Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Mar. 05, 2021 | Jun. 30, 2020 | |
Document and Entity Information | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2020 | ||
Entity File Number | 001-13349 | ||
Entity Registrant Name | BAR HARBOR BANKSHARES | ||
Entity Incorporation, State or Country Code | ME | ||
Entity Tax Identification Number | 01-0393663 | ||
Entity Address, Address Line One | PO Box 400 | ||
Entity Address, Address Line Two | 82 Main Street | ||
Entity Address, City or Town | Bar Harbor | ||
Entity Address, State or Province | ME | ||
Entity Address, Postal Zip Code | 04609-0400 | ||
City Area Code | 207 | ||
Local Phone Number | 669-6784 | ||
Title of 12(b) Security | Common Stock, par value $2.00 per share | ||
Trading Symbol | BHB | ||
Security Exchange Name | NYSEAMER | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 14,938,697 | ||
Entity Public Float | $ 334,523,815 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000743367 | ||
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Cash and due from banks | $ 27,566 | $ 26,485 |
Interest-bearing deposits with other banks | 198,441 | 30,425 |
Total cash and cash equivalents | 226,007 | 56,910 |
Securities: | ||
Securities available for sale | 585,046 | 663,230 |
Federal Home Loan Bank stock | 14,036 | 20,679 |
Total securities | 599,082 | 683,909 |
Loans held for sale | 23,988 | 6,499 |
Loans: | ||
Total loans | 2,562,885 | 2,634,593 |
Less: Allowance for loan losses | (19,082) | (15,353) |
Net loans | 2,543,803 | 2,619,240 |
Premises and equipment, net | 52,458 | 51,205 |
Other real estate owned | 2,236 | |
Goodwill | 119,477 | 118,649 |
Other intangible assets | 7,670 | 8,641 |
Cash surrender value of bank-owned life insurance | 77,870 | 75,863 |
Deferred tax assets, net | 1,745 | 3,865 |
Other assets | 73,662 | 42,111 |
Total assets | 3,725,762 | 3,669,128 |
Deposits: | ||
Demand | 544,636 | 414,534 |
NOW | 738,849 | 575,809 |
Savings | 521,638 | 388,683 |
Money market | 402,731 | 384,090 |
Time | 698,361 | 932,635 |
Total deposits | 2,906,215 | 2,695,751 |
Borrowings: | ||
Senior | 276,062 | 471,396 |
Subordinated | 59,961 | 59,920 |
Total borrowings | 336,023 | 531,316 |
Other liabilities | 72,183 | 45,654 |
Total liabilities | 3,314,421 | 3,272,721 |
Shareholders' equity | ||
Capital stock, par value $2.00; authorized 20,000,000 shares; issued 16,428,388 shares at December 31, 2020 and December 31, 2019 | 32,857 | 32,857 |
Additional paid-in capital | 190,084 | 188,536 |
Retained earnings | 195,607 | 175,780 |
Accumulated other comprehensive income | 11,016 | 3,911 |
Less: 1,512,465 and 870,257 shares of treasury stock at December 31, 2020 and December 31, 2019, respectively | (18,223) | (4,677) |
Total shareholders' equity | 411,341 | 396,407 |
Total liabilities and shareholders' equity | $ 3,725,762 | $ 3,669,128 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Capital stock, par value (in dollars per share) | $ 2 | $ 2 |
Capital stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Capital stock, shares issued (in shares) | 16,428,388 | 16,428,388 |
Treasury stock (in shares) | 1,512,465 | 870,257 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Interest and dividend income | |||
Loans | $ 107,085 | $ 111,042 | $ 104,015 |
Securities and other | 19,019 | 24,349 | 23,436 |
Total interest and dividend income | 126,104 | 135,391 | 127,451 |
Interest expense | |||
Deposits | 18,043 | 27,034 | 19,521 |
Borrowings | 8,881 | 18,547 | 17,047 |
Total interest expense | 26,924 | 45,581 | 36,568 |
Net interest income | 99,180 | 89,810 | 90,883 |
Provision for loan losses | 5,625 | 2,317 | 2,780 |
Net interest income after provision for loan losses | 93,555 | 87,493 | 88,103 |
Non-interest income | |||
Trust and investment management fee income | 13,378 | 12,063 | 11,985 |
Customer service fees | 11,327 | 10,127 | 9,538 |
Gain (loss) on sales of securities, net | 5,445 | 237 | (924) |
Mortgage banking income | 6,884 | 1,626 | 1,490 |
Bank-owned life insurance income | 2,007 | 2,053 | 1,821 |
Customer derivative income | 2,503 | 2,028 | 860 |
Other income | 1,412 | 935 | 3,165 |
Total non-interest income | 42,956 | 29,069 | 27,935 |
Non-interest expense | |||
Salaries and employee benefits | 48,920 | 45,000 | 40,964 |
Occupancy and equipment | 16,751 | 14,214 | 12,386 |
(Gain) loss on premises and equipment, net | (32) | 18 | |
Outside services | 1,985 | 1,818 | 2,408 |
Professional services | 2,060 | 2,191 | 1,474 |
Communication | 892 | 821 | 804 |
Marketing | 1,385 | 1,872 | 1,743 |
Amortization of intangible assets | 1,024 | 861 | 828 |
Loss on debt extinguishment | 1,351 | 1,096 | |
Acquisition, conversion and other expenses | 5,801 | 8,317 | 1,728 |
Other expenses | 14,723 | 13,525 | 13,204 |
Total non-interest expense | 94,860 | 89,733 | 75,539 |
Income before income taxes | 41,651 | 26,829 | 40,499 |
Income tax expense | 8,407 | 4,209 | 7,562 |
Net income | $ 33,244 | $ 22,620 | $ 32,937 |
Earnings per share: | |||
Basic (in dollars per share) | $ 2.18 | $ 1.46 | $ 2.13 |
Diluted (in dollars per share) | $ 2.18 | $ 1.45 | $ 2.12 |
Weighted average common shares outstanding: | |||
Basic (in shares) | 15,245,728 | 15,540,884 | 15,487,686 |
Diluted (in shares) | 15,271,547 | 15,586,993 | 15,564,464 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 33,244 | $ 22,620 | $ 32,937 |
Other comprehensive income, before tax: | |||
Changes in unrealized gain (loss) on securities available for sale | 5,819 | 18,646 | (8,563) |
Changes in unrealized gain on hedging derivatives | 3,772 | 2,216 | 654 |
Changes in unrealized loss on pension | (338) | (350) | (216) |
Income taxes related to other comprehensive income: | |||
Changes in unrealized (gain) loss on securities available for sale | (1,345) | (4,434) | 1,978 |
Changes in unrealized gain on hedging derivatives | (880) | (448) | (168) |
Changes in unrealized loss on pension | 77 | 83 | 47 |
Total other comprehensive income (loss) | 7,105 | 15,713 | (6,268) |
Total comprehensive income | $ 40,349 | $ 38,333 | $ 26,669 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common stock amount | Additional paid-in capital | Retained earnings | Accumulated other comprehensive income (loss) | Treasury stock | Total |
Increase (Decrease) in Stockholders' Equity | ||||||
Modified retrospective basis adoption of Revenue Recognition Accounting Codification Standard 606 | $ (184) | $ (184) | ||||
Balance at beginning of period at Dec. 31, 2017 | $ 32,857 | $ 186,702 | 144,977 | $ (4,554) | $ (5,341) | 354,641 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 32,937 | 32,937 | ||||
Other comprehensive income | (6,268) | (6,268) | ||||
Cash dividends declared | (12,184) | (12,184) | ||||
Treasury stock purchased | (324) | (324) | ||||
Net issuance to employee stock plans, including related tax effects | (395) | 1,010 | 615 | |||
Reclassification of the income tax effects of the Tax Cuts and Jobs Act from accumulated other comprehensive income for adoption of ASU 2018-02 | 980 | (980) | ||||
Recognition of stock based compensation | 1,346 | 1,346 | ||||
Balance at end of period at Dec. 31, 2018 | 32,857 | 187,653 | 166,526 | (11,802) | (4,655) | 370,579 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 22,620 | 22,620 | ||||
Other comprehensive income | 15,713 | 15,713 | ||||
Cash dividends declared | (13,366) | (13,366) | ||||
Treasury stock purchased | (239) | (239) | ||||
Net issuance to employee stock plans, including related tax effects | (490) | 217 | (273) | |||
Recognition of stock based compensation | 1,373 | 1,373 | ||||
Balance at end of period at Dec. 31, 2019 | 32,857 | 188,536 | 175,780 | 3,911 | (4,677) | 396,407 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 33,244 | 33,244 | ||||
Other comprehensive income | 7,105 | 7,105 | ||||
Cash dividends declared | (13,417) | (13,417) | ||||
Treasury stock purchased | (14,188) | (14,188) | ||||
Net issuance to employee stock plans, including related tax effects | (22) | 642 | 620 | |||
Recognition of stock based compensation | 1,570 | 1,570 | ||||
Balance at end of period at Dec. 31, 2020 | $ 32,857 | $ 190,084 | $ 195,607 | $ 11,016 | $ (18,223) | $ 411,341 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends declared (in dollars per share) | $ 0.88 | $ 0.86 | $ 0.79 |
Treasury stock purchased (in shares) | 733,567 | 9,195 | 10,899 |
Net issuance (in shares) | 91,359 | 34,944 | 101,460 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | |||
Net income | $ 33,244 | $ 22,620 | $ 32,937 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Provision for loan losses | 5,625 | 2,317 | 2,780 |
Net amortization of securities | 3,367 | 3,341 | 3,945 |
Deferred tax benefit | (38) | 1,020 | (443) |
Change in unamortized net loan costs and premiums | 1,104 | (555) | (600) |
Premises and equipment depreciation | 4,771 | 4,136 | 3,704 |
Stock-based compensation expense | 1,570 | 1,373 | 1,346 |
Accretion of purchase accounting entries, net | (1,975) | (3,806) | (3,512) |
Amortization of other intangibles | 1,025 | 861 | 828 |
Income from cash surrender value of bank-owned life insurance policies | (2,007) | (2,053) | (1,821) |
(Gain) loss on sales of securities, net | (5,445) | (237) | 924 |
Increase in right-of-use lease assets | (578) | (632) | |
Increase in lease liabilities | 625 | 660 | |
(Gain) loss on other real estate owned | (355) | 166 | |
(Gain) loss on premises and equipment, net | (32) | 18 | |
Net change in other assets and liabilities | (2,728) | 7,174 | (2,366) |
Net cash provided by operating activities | 38,173 | 36,403 | 37,722 |
Cash flows from investing activities: | |||
Proceeds from sales of securities available for sale | 153,200 | 92,315 | 29,107 |
Proceeds from maturities, calls and prepayments of securities available for sale | 151,829 | 115,334 | 95,629 |
Purchases of securities available for sale | (215,567) | (129,189) | (146,763) |
Net change in loans | 53,400 | (150,831) | (5,158) |
Purchase of FHLB stock | (4,105) | (11,687) | (2,676) |
Proceeds from sale of FHLB stock | 10,748 | 26,667 | 5,122 |
Purchase of premises and equipment, net | (6,776) | (9,185) | (4,793) |
Proceeds from premises held for sale | 903 | ||
Net investment in community limited partnerships | (2,750) | (22) | (585) |
Purchase of bank-owned life insurance | (14,000) | ||
Acquisitions, net of cash acquired | (340) | (18,383) | |
Proceeds from sale of other real estate owned | 2,205 | 153 | |
Net cash provided by (used in) investing activities | 142,747 | (84,981) | (43,964) |
Cash flows from financing activities: | |||
Net change in deposits | 210,464 | 212,693 | 131,981 |
Net change in short-term FHLB borrowings | (248,262) | (308,380) | 37,000 |
Proceeds from long-term advances | 148,199 | 328,097 | 42,700 |
Repayments of long-term advances | (78,186) | (237,719) | (180,982) |
Net change in short-term other borrowings | (17,053) | 8,621 | (4,495) |
Proceeds from subordinated debt issuance | 40,000 | ||
Repayments of subordinated debt | (22,000) | ||
Payment of subordinated debt issuance costs | (700) | ||
Exercise of stock options | (273) | ||
Exercise of stock options | 620 | 615 | |
Purchase of treasury and common stock | (14,188) | (239) | (324) |
Cash dividends paid on common stock | (13,417) | (13,366) | (12,184) |
Net cash (used in) provided by financing activities | (11,823) | 6,734 | 14,311 |
Net change in cash and cash equivalents | 169,097 | (41,844) | 8,069 |
Cash and cash equivalents at beginning of year | 56,910 | 98,754 | 90,685 |
Cash and cash equivalents at end of year | 226,007 | 56,910 | 98,754 |
Supplemental cash flow information: | |||
Interest paid | 27,423 | 45,755 | 36,511 |
Income taxes paid, net | 10,045 | 2,371 | 9,891 |
Acquisition of non-cash assets and liabilities: | |||
Assets acquired | 1,171 | 243,676 | |
Liabilities acquired | $ (343) | 261,814 | |
Other non-cash changes: | |||
Real estate owned acquired in settlement of loans | 250 | $ 2,380 | |
Initial recognition of operating lease right-of-use assets | 8,991 | ||
Initial recognition of operating lease liabilities | $ 8,991 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation: Consolidation: Reclassifications: Use of estimates: Cash and Cash Equivalents: Securities: Premiums and discounts on securities are amortized and accreted over the term of the securities using the interest method. Gains and losses on the sale of securities are recognized at the trade date using the specific-identification method and are shown separately in the Consolidated Statements of Income. Other-Than-Temporary Impairments on Securities: a security or if it is more likely than not that the Company will be required to sell the security before recovery, an OTTI write-down is recognized in earnings equal to the entire difference between the security’s amortized cost basis and its fair value. If the Company does not intend to sell the security or it is not more likely than not that it will be required to sell the security before recovery, the OTTI write-down is separated into an amount representing credit loss, which is recognized in earnings, and an amount related to all other factors, which is recognized in other comprehensive income. To determine the amount related to credit loss on a debt security, the Company applies a methodology similar to that used for evaluating the impairment of loans. Federal Home Loan Bank Stock: The Company periodically evaluates FHLB stock for impairment based on the capital adequacy of the FHLB and its overall financial condition. Based on the capital adequacy, liquidity position and sustained profitability of the FHLB, management believes there is no impairment related to the carrying amount of the Bank’s FHLB stock as of December 31, 2020. Loans Held for Sale: Loans: Interest on loans is accrued and credited to income based on the principal amount of loans outstanding. Loan origination and commitment fees and direct loan origination costs are deferred, and the net amount is amortized as an adjustment of the related loans’ yield, using the level-yield method over the estimated lives of the related loans. Acquired Loans: For loans that meet the criteria stipulated in ASC 310-30, “Loans and Debt Securities Acquired with Deteriorated Credit Quality,” the Company recognizes the accretable yield, which is defined as the excess of all cash flows expected at acquisition over the initial fair value of the loan, as interest income on a level-yield basis over the expected remaining life of the loan. The excess of the loan’s contractually required payments over the cash flows expected to be collected is the non-accretable difference. The non-accretable difference is not recognized as an adjustment of yield, a loss accrual, or a valuation allowance. The Company evaluates quarterly whether the timing and cash to be collected are reasonably expected. Subsequent significant increases in cash flows the Company expects to collect will first reduce any previously recognized valuation allowance and then be reflected prospectively as an increase to the level yield. Subsequent decreases in expected cash flows may result in the loan being considered impaired. Interest income is not recognized to the extent that the net investment in the loan would increase to an amount greater than the estimated payoff amount. For loans that do not meet the ASC 310-30 criteria, the Company accretes interest income based on the contractually required cash flows. The Company subjects loans that do not meet the ASC 310-30 criteria to ASC 450, “Contingencies” by collectively evaluating these loans for an allowance for loan loss. Acquired loans that met the criteria for non-accrual of interest prior to the acquisition are considered performing upon acquisition, regardless of whether the customer is contractually delinquent, if the Company can reasonably estimate the timing and amount of the expected cash flows on such loans and if the Company expects to fully collect the new carrying value of the loans. As such, the Company may no longer consider the loan to be non-accrual or nonperforming and may accrue interest on these loans, including the impact of any accretable yield. Non-performing loans: When a loan has been placed on non-accrual status, previously accrued and uncollected interest is reversed against interest on the loan. The interest on non-accrual loans is accounted for using the cash-basis or cost-recovery method depending on corresponding credit risk, until qualifying for return to accrual status. A loan can be returned to accrual status when collectability of principal is reasonably assured and the loan has performed for a period of time, generally six months. Impaired loans: Factors considered by management in determining impairment include payment status and collateral value. In considering loans for evaluation of impairment, management generally excludes smaller balance, homogeneous loans; residential mortgage loans, home equity loans, and all consumer loans, unless such loans were restructured in a troubled debt restructuring. These loans are collectively evaluated for risk of loss. When a loan has been identified as being impaired, the amount of impairment is measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the estimated fair value of the collateral, less any selling costs, if the loan is collateral-dependent. If the measurement of the impaired loan is less than the recorded investment in the loan (including accrued interest, net of deferred loan fees or costs, and unamortized premiums or discounts), impairment is recognized by establishing or adjusting an existing allocation of the allowance for loan losses, or by recording a partial charge-off of the loan to its fair value. Interest payments made on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case, interest income may be accrued or recognized on a cash basis. Loans Modified in a Troubled Debt Restructuring: However, performance prior to the modification, or significant events that coincide with the modification, are included in assessing whether the borrower can meet the new terms and may result in the loan being returned to accrual status at the time of loan modification or after a shorter performance period. If the borrower’s ability to meet the revised payment schedule is uncertain, the loan remains on non-accrual status. Loan Modifications under the CARES Act: Allowance for Loan Losses: The allowance is calculated in accordance with ASC 310 - Receivables and ASC 450 - Contingencies. Under the guidance of ASC 310, specific allowances are established in cases where management has identified significant conditions or circumstances related to individual loans where the probability of a loss may be incurred. Credit loss estimates for loans without specific allowances are determined under the guidance of ASC 450, which includes portfolio segmentation based on similar risk characteristics, determination of estimated historical loss rates, calculation of a time-based loss emergence and confirmation periods, and adjustments for certain qualitative risk factors. Arriving at an appropriate level of allowance for loan losses involves a high degree of judgment. The determination of the adequacy of the allowance and provisioning for estimated losses is evaluated regularly based on review of loans, with particular emphasis on non-performing and other loans that management believes warrant special consideration. While management uses available information to recognize losses on loans, changing economic conditions and the economic prospects of the borrowers may necessitate future additions or reductions to the allowance. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Bank’s allowance, which also may necessitate future additions or reductions to the allowance, based on information available to them at the time of their examination. Refer to Note 4 - Allowance for Loan Losses Reserve for Unfunded Commitments: Premises and Equipment: three seven years Transfers of Financial Assets: Other Real Estate Owned: value and operating expenses of the property are recognized through charges to other non-interest expense. The fair value of the property acquired and ongoing valuation is based on third-party appraisals, broker price opinions, recent sales activity, or a combination thereof, subject to management judgment. Due to changing market conditions the amount ultimately realized on the other real estate owned may differ from the amounts reflected in the financial statements. Goodwill: Goodwill represents the excess of the purchase price over the fair value of net assets acquired in accordance with the purchase method of accounting for business combinations. Goodwill is not amortized but, instead, is subject to impairment tests on at least an annual basis, or more frequently, if an event occurs or circumstances change that reduce the fair value of a reporting unit below its carrying amount. The impairment testing process is conducted by assigning assets and goodwill to each reporting unit. Currently, the Company’s goodwill is evaluated at the entity level as there is only one reporting unit. The Company, at our discretion, assesses certain qualitative factors to determine if it is more likely than not that the fair value of the reporting unit is less than its carrying value. An impairment charge is recognized if the carrying fair value of goodwill exceeds the implied fair value of goodwill. Refer to Note 6 – Goodwill and Other Intangibles Other Intangible Assets: Bank-Owned Life Insurance: Capitalized Servicing Right s : The Company’s capitalized servicing rights are initially recorded at fair value. Fair values are established by using a discounted cash flow model to calculate the present value of estimated future net servicing income. Changes in the fair value of capitalized servicing rights are primarily due to changes in valuation inputs, assumptions, and the collection and realization of expected cash flows. However, these capitalized servicing rights are amortized in proportion to and over the period of estimated net servicing income, which includes prepayment assumptions. An impairment analysis is prepared on a quarterly basis by estimating the fair value of the capitalized servicing rights and comparing that value to the carrying amount. A valuation allowance is established when the carrying amount of these capitalized servicing rights exceeds fair value. The capitalized servicing rights are included in other assets on the Company’s consolidated balance sheet. Derivative Financial Instruments: Changes in the fair value of derivative instruments that are highly effective and qualify as cash flow hedge are recorded in other comprehensive income (loss). Any ineffective portion is recorded in earnings. For fair value hedges that are highly effective, the gain or loss on the derivative and the loss or gain on the hedged item attributable to the hedged risk are both recognized in earnings, with the differences (if any) representing hedge ineffectiveness. The Company discontinues hedge accounting when it is determined that the derivative is no longer highly effective in offsetting changes of the hedged risk on the hedged item, or management determines that the designation of the derivative as a hedging instrument is no longer appropriate. Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense based on the item being hedged. Net cash settlements on derivatives that do not quality for hedge accounting are reporting in non-interest income. Cash flows on hedges are classified in the cash flow statement the same as cash flows of the items being hedged. The Company enters into commitments to fund mortgage loans with borrowers (interest rate locks) and forward commitments for the future delivery of these mortgage loans for sale on the secondary market. These mortgage banking derivatives are classified as free standing derivatives to hedge against inherent interest rate and pricing risk associated with selling loans. The commitments to lend generally terminate once the loan is funded, the lock period expires or the borrower decides not to contract for the loan. The forward commitments generally terminate once the loan is sold or the commitment period expires. These commitments are considered derivatives which are accounted for by recognizing their estimated fair value on the Consolidated Balance Sheets in either other assets or other liabilities. Senior and Subordinated Borrowings: Off-Balance Sheet Financial Instruments: Stock Based Compensation: Stock Based Compensation Plans o Employee Stock Purchase Plan: Employee Benefit Plans: The Company recognizes the over-funded or under-funded status of post-retirement benefit plans as a liability or asset on the balance sheet in other liabilities or other assets and recognizes changes in that funded status through other comprehensive income (loss). Gains and losses, prior service costs and credits, and any remaining transition amounts that have not yet been recognized through net periodic benefit costs are recognized in accumulated other comprehensive income/(loss), net of tax effects, until they are amortized as a component of net periodic cost. The measurement date, which is the date at which the benefit obligation and plan assets are measured, is the Company’s fiscal year end. Employee 401(k) expenses are recognized for the amount of the Company’s matching contributions. Income Taxes: Treasury Stock: Earnings Per Share: Revenue Recognition: Revenue from Contracts with Customers Wealth Management: Marketing Costs: Segment Reporting: Recent Accounting Pronouncements The following table provides a brief description of accounting standards that could have a material impact to the Company’s consolidated financial statements upon adoption: Standard Description Required Date Effect on financial statements Standards Adopted in 2020 ASU 2017-04, Simplifying the Test for Goodwill Impairment This ASU amends Topic 350, Intangibles-Goodwill and Other, and eliminates Step 2 from the goodwill impairment test. The Company still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary January 1, 2020 The Company has adopted ASU 2017-04 effective January 1, 2020, as required, and the ASU did not have a material impact on its financial statements. Annual goodwill testing was completed as of September 30, 2020. The Company recognized no impairments to goodwill in the third quarter of 2020. See management’s discussion and analysis for further details. ASU 2018-13 Changes to Disclosure Requirements Fair Value Measurement, Topic 820 This ASU eliminates, adds and modifies certain disclosure requirements for fair value measurements. Among the changes, entities will no longer be required to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, but will be required to disclose the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. January 1, 2020 The Company has adopted ASU 2018-13, as of January 1, 2020, as required, and the ASU did not have a material impact to the disclosures as a result of the adoption. Standard Description Required Date Effect on financial statements Standards Not Yet Adopted ASU 2016-13, Measurement of Credit Losses on Financial Instruments ASU 2018‑19, Codification Improvements to ASU 2016-13 This ASU amends Topic 326, Financial Instruments- Credit Losses to replace the current incurred loss accounting model with a current expected credit loss approach ("CECL") for financial instruments measured at amortized cost and other commitments to extend credit, such as of balance sheet credit exposures (loan commitments, unused line of credit and stand-by letters of credit). The amendments require entities to consider all available relevant information when estimating current expected credit losses, including details about past events, current conditions, and reasonable and supportable forecasts. The resulting allowance for credit losses is to reflect the portion of the amortized cost basis that the entity does not expect to collect. The amendments also eliminate the current accounting model for purchased credit impaired loans and certain off-balance sheet exposures. Additional quantitative and qualitative disclosures are required upon adoption. January 1, 2020 Adoption of this ASU is expected to primarily change how the Company estimates credit losses with the application of the expected credit loss model. The Company will apply the standard's provisions as a cumulative effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (i.e., modified retrospective approach). The Company's CECL implementation efforts in the fourth quarter focused on the finalization and board approval of the final CECL model, completed modelling of off-balance sheet credit risks, completed formal governance and control documentation, and developed and presented revised disclosures for board approval. 95 basis points compared to 74 basis points reported under the incurred loss model. The 95 basis points may change in the first quarter of 2021 based primarily on any changes in economic forecasts. ASU 2018-14 Compensation- Disclosure Requirements for Defined Pension Plans Topic 715-20 This ASU makes minor changes to the disclosure requirements for employers that sponsor defined benefit pension and/or other post-retirement benefit plans. January 1, 2021 Adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements. Standard Description Required Date Effect on financial statements Standards Not Yet Adopted (continued) ASU 2020-01, Investments—Equity Securities, Investments Equity Method and Joint Ventures, and Derivatives and Hedging In January 2016, the FASB issued Accounting Standards Update No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, which added Topic 321, Investments – Equity Securities, and made targeted improvements to address certain aspects of accounting for financial instruments. The amendments in this Update affect all entities that apply the guidance in Topics 321, 323, and 815 and (1) elect to apply the measurement alternative or (2) enter into a forward contract or purchase an option to purchase securities that, upon settlement of the forward contract or exercise of the purchased option, would be accounted for under the equity method of accounting. December 15, 2020 The Company has been evaluating our equity method investments which primarily consist of community limited partnership investments to ensure compliance with the new guidance prospectively in 2021. Adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements. ASU 2020-04 Facilitation of the Effects of Reference Rate Reform, Topic 848, as amended in ASU 2021-01 This ASU provides temporary optional expedients and exceptions to GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens of the expected market transition from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate ("SOFR"). For instance, companies can (1) elect not to apply certain modification accounting requirements to contracts affected by reference rate reform, if certain criteria are met. A company that makes this election would not have to re-measure the contracts at the modification date or reassess a previous accounting determination. Companies can also (2) elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met. Finally, companies can (3) make a one-time election to sell and/or reclassify held-to-maturity debt securities that reference an interest rate affected by reference rate reform. May be elected through December 31, 2022. The Company is currently evaluating all of its contracts, hedging relationships and other transactions that will be effected by reference rates that are being discontinued and determining which elections need to be made. 1 |
SECURITIES AVAILABLE FOR SALE
SECURITIES AVAILABLE FOR SALE | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
SECURITIES AVAILABLE FOR SALE | NOTE 2. SECURITIES AVAILABLE FOR SALE The following is a summary of securities available for sale: Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value December 31, 2020 Mortgage-backed securities: US Government-sponsored enterprises $ 206,834 $ 6,018 $ (462) $ 212,390 US Government agency 82,878 2,870 (116) 85,632 Private label 19,810 40 (141) 19,709 Obligations of states and political subdivisions thereof 164,766 4,244 (6) 169,004 Corporate bonds 97,689 1,465 (843) 98,311 Total securities available for sale $ 571,977 $ 14,637 $ (1,568) $ 585,046 Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value December 31, 2019 Mortgage-backed securities: US Government-sponsored enterprises $ 319,064 $ 4,985 $ (2,080) $ 321,969 US Government agency 98,568 1,640 (547) 99,661 Private label 20,212 68 (747) 19,533 Obligations of states and political subdivisions thereof 139,332 2,942 (268) 142,006 Corporate bonds 78,804 1,478 (221) 80,061 Total securities available for sale $ 655,980 $ 11,113 $ (3,863) $ 663,230 The amortized cost and estimated fair value of available for sale (“AFS”) securities segregated by contractual maturity at December 31, 2020 are presented below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. Mortgage-backed securities are shown in total, as their maturities are highly variable. Available for sale (in thousands) Amortized Cost Fair Value Within 1 year $ — $ — Over 1 year to 5 years 20,566 20,963 Over 5 years to 10 years 76,456 76,598 Over 10 years 165,433 169,752 Total bonds and obligations 262,455 267,313 Mortgage-backed securities 309,522 317,733 Total securities available for sale $ 571,977 $ 585,046 The following table summarizes proceeds from the sale of AFS securities and realized gains and losses: Proceeds from Sale of Securities (in thousands) Available for Sale Realized Gains Realized Losses Net 2020 $ 153,200 $ 5,492 $ (47) $ 5,445 2019 92,315 993 (756) 237 2018 29,107 — (924) (924) Securities with unrealized losses, segregated by the duration of their continuous unrealized loss positions, are summarized as follows: Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (in thousands) Losses Value Losses Value Losses Value December 31, 2020 Mortgage-backed securities: US Government-sponsored enterprises $ 209 $ 40,285 $ 253 $ 4,323 $ 462 $ 44,608 US Government agency 45 6,776 71 3,297 116 10,073 Private label — — 141 19,514 141 19,514 Obligations of states and political subdivisions thereof 6 5,577 — — 6 5,577 Corporate bonds 555 21,774 288 11,712 843 33,486 Total securities available for sale $ 815 $ 74,412 $ 753 $ 38,846 $ 1,568 $ 113,258 Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (in thousands) Losses Value Losses Value Losses Value December 31, 2019 Mortgage-backed securities: US Government-sponsored enterprises $ 1,074 $ 43,429 $ 1,006 $ 49,712 $ 2,080 $ 93,141 US Government agency 432 19,717 115 9,120 547 28,837 Private label 380 9,843 367 9,411 747 19,254 Obligations of states and political subdivisions thereof 137 29,355 131 1,682 268 31,037 Corporate bonds 142 9,888 79 12,276 221 22,164 Total securities available for sale $ 2,165 $ 112,232 $ 1,698 $ 82,201 $ 3,863 $ 194,433 A summary of securities pledged as collateral for certain deposits and borrowing arrangements as December 31, 2020 December 31, 2019 Carrying Estimated Carrying Estimated (in thousands) Value Fair Value Value Fair Value Securities pledged for deposits $ 83,805 $ 92,862 $ 217,009 $ 220,054 Securities pledged for repurchase agreements 37,444 39,119 96,007 96,477 Securities pledged for borrowings (1) 48,725 51,913 157,172 157,458 Total securities pledged $ 169,974 $ 183,894 $ 470,188 $ 473,989 (1) The Bank pledged securities as collateral for certain borrowing arrangements with the Federal Home Loan Bank of Boston and Federal Reserve Bank of Boston. Securities Impairment As a part of the Company’s ongoing security monitoring process, the Company identifies securities in an unrealized loss position that could potentially be other-than-temporarily impaired. For the twelve months ended December 31, 2020, 2019 and 2018 the Company did not record any other-than-temporary impairment (“OTTI”) losses. The following table presents the remaining amount of historical credit losses on debt securities and changes reflected in the statement of income: Twelve Months Ended December 31, (in thousands) 2020 2019 2018 Estimated credit losses as of prior year-end $ 1,697 $ 1,697 $ 1,697 Reductions for securities paid off during the period — — — Estimated credit losses at end of the period $ 1,697 $ 1,697 $ 1,697 The Company expects to recover its amortized cost basis on all debt securities in its AFS portfolio, as unrealized losses are the result of changes in the interest rate environment and other market factors. Furthermore, the Company does not intend to sell nor does it anticipate that it will be required to sell any of its securities in an unrealized loss position as of December 31, 2020, prior to this recovery. The Company’s ability and intent to hold these securities until recovery is supported by the Company’s strong capital and liquidity positions as well as its historically low portfolio turnover. The following summarizes, by investment security type, the basis for the conclusion that the debt securities in an unrealized loss position within the Company’s AFS were not other-than-temporarily impaired at December 31, 2020: US Government-sponsored enterprises 35 out of the total 571 securities in the Company’s portfolios of AFS US Government-sponsored enterprises were in unrealized loss positions. Aggregate unrealized losses represented 1.04% of the amortized cost of securities in unrealized loss positions. The FNMA and FHLMC guarantee the contractual cash flows of all of the Company’s US Government- sponsored enterprises. The securities are investment grade rated and there were no material underlying credit downgrades during the year. All securities are performing. US Government agencies 10 out of the total 159 securities in the Company’s portfolios of AFS US Government agency securities were in unrealized loss positions. Aggregate unrealized losses represented 1.14% of the amortized cost of securities in unrealized loss positions. The Government National Mortgage Association (“GNMA”) guarantees the contractual cash flows of all of the Company’s US government agency securities. The securities are rated investment grade and there were no material underlying credit downgrades during the year. All securities are performing. Private-label 9 of the total 16 securities in the Company’s portfolio of AFS private-label mortgage-backed securities were in unrealized loss positions. Aggregate unrealized losses represented 0.72% of the amortized cost of securities in unrealized loss positions. Based upon the foregoing considerations, and the expectation that the Company will receive all of the future contractual cash flows related to the amortized cost on these securities, the Company does not consider there to be any additional other-than-temporary impairment with respect to these securities. Obligations of states and political subdivisions thereof 2 of the total 142 securities in the Company’s portfolio of AFS municipal bonds and obligations were in unrealized loss positions. Aggregate unrealized losses represented 0.12% of the amortized cost of securities in unrealized loss positions. The Company continually monitors the municipal bond sector of the market carefully and periodically evaluates the appropriate level of exposure to the market. At this time, the Company believes the bonds in this portfolio carry minimal risk of default and the Company is appropriately compensated for that risk. There were no material underlying credit downgrades during the year. All securities are performing. Corporate bonds 11 of the total 33 securities in the Company’s portfolio of AFS corporate bonds were in an unrealized loss position. The aggregate unrealized loss represents 2.45% of the amortized cost of securities in unrealized loss positions. The Company reviews the financial strength of all of these bonds and has concluded that the amortized cost remains supported by the expected future cash flows of these securities. |
LOANS
LOANS | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
LOANS | NOTE 3. LOANS The Company’s loan portfolio is comprised of the following segments: commercial real estate, commercial and industrial, residential real estate, and consumer loans. Commercial real estate loans include multi-family, commercial construction and land development, and other commercial real estate classes. Commercial and industrial loans include loans to commercial and agricultural businesses, and tax exempt entities. Residential real estate loans consist of mortgages for 1-to-4 family housing. Consumer loans include home equity loans, auto and other installment loans. The Company’s lending activities are principally conducted in Maine, New Hampshire, and Vermont. Total loans include business activity loans and acquired loans. Acquired loans are those loans previously acquired from a business combination. The following is a summary of total loans: December 31, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 129,255 $ 1,868 $ 131,123 $ 31,387 $ 2,903 $ 34,290 Other commercial real estate 765,862 187,396 953,258 666,051 230,320 896,371 Total commercial real estate 895,117 189,264 1,084,381 697,438 233,223 930,661 Commercial and industrial: Commercial 315,005 45,683 360,688 239,692 59,072 298,764 Agricultural 16,797 153 16,950 20,018 206 20,224 Tax exempt 39,429 24,002 63,431 66,860 37,443 104,303 Total commercial and industrial 371,231 69,838 441,069 326,570 96,721 423,291 Total commercial loans 1,266,348 259,102 1,525,450 1,024,008 329,944 1,353,952 Residential real estate: Residential mortgages 633,390 290,501 923,891 734,188 411,170 1,145,358 Total residential real estate 633,390 290,501 923,891 734,188 411,170 1,145,358 Consumer: Home equity 55,092 47,372 102,464 59,368 63,033 122,401 Other consumer 9,924 1,156 11,080 11,167 1,715 12,882 Total consumer 65,016 48,528 113,544 70,535 64,748 135,283 Total loans $ 1,964,754 $ 598,131 $ 2,562,885 $ 1,828,731 $ 805,862 $ 2,634,593 Total unamortized net costs and premiums included in the year-end total for business activity loans were as follows: (in thousands) December 31, 2020 December 31, 2019 Unamortized net loan origination costs $ 5,157 $ 3,603 Unamortized net premium on purchased loans (85) (134) Total unamortized net costs and premiums $ 5,072 $ 3,469 For the year ended December 31, 2020, the Company had pledged loans with a collateral value totaling $71.9 million to the Federal Reserve Bank of Boston for certain borrowing arrangements. The Company also pledged residential first mortgage loans, home equity loans and certain commercial loans with collateral value totaling $910.5 million for FHLB borrowings for the year ended December 31, 2020. (See Note 8 - Borrowed Funds The carrying amount of the acquired loans at December 31, 2020 totaled $598.1 million. A subset of these loans was determined to have evidence of credit deterioration at the acquisition date, which is accounted for in accordance with ASC 310-30. These purchased credit-impaired loans presently maintain a carrying value of $12.7 million (and a note balance of $16.3 million). These loans are evaluated for impairment through the periodic reforecasting of expected cash flows. Loans considered not impaired at acquisition date had a carrying amount of $585.4 million. The following table summarizes activity in the accretable yield for the acquired loan portfolio that falls under the purview of ASC 310-30, Accounting for Certain Loans or Debt Securities Acquired in a Transfer: Twelve Months Ended December 31, (in thousands) 2020 2019 Balance at beginning of period $ 7,367 $ 4,377 Acquisitions — 4,391 Net reclassifications from (to) nonaccretable difference 1,146 541 Accretion (2,957) (1,942) Balance at end of period $ 5,556 $ 7,367 The following is a summary of past due loans at December 31, 2020 and December 31, 2019: Business Activities Loans 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing December 31, 2020 Commercial real estate: Construction and land development $ — $ — $ 1 $ 1 $ 129,254 $ 129,255 $ — Other commercial real estate 454 464 850 1,768 764,094 765,862 — Total commercial real estate 454 464 851 1,769 893,348 895,117 — Commercial and industrial: Commercial 5 310 157 472 314,533 315,005 — Agricultural 7 — 36 43 16,754 16,797 — Tax exempt — — — — 39,429 39,429 — Total commercial and industrial 12 310 193 515 370,716 371,231 — Total commercial loans 466 774 1,044 2,284 1,264,064 1,266,348 — Residential real estate: Residential mortgages 6,219 1,767 973 8,959 624,431 633,390 — Total residential real estate 6,219 1,767 973 8,959 624,431 633,390 — Consumer: Home equity 95 137 170 402 54,690 55,092 3 Other consumer 20 — 2 22 9,902 9,924 — Total consumer 115 137 172 424 64,592 65,016 3 Total loans $ 6,800 $ 2,678 $ 2,189 $ 11,667 $ 1,953,087 $ 1,964,754 $ 3 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing December 31, 2020 Commercial real estate: Construction and land development $ — $ — $ — $ — $ 74 $ 1,868 $ — Other commercial real estate 2,360 105 695 3,160 6,359 187,396 — Total commercial real estate 2,360 105 695 3,160 6,433 189,264 — Commercial and industrial: Commercial 184 — 131 315 870 45,683 — Agricultural — — — — 153 153 — Tax exempt — — — — — 24,002 — Total commercial and industrial 184 — 131 315 1,023 69,838 — Total commercial loans 2,544 105 826 3,475 7,456 259,102 — Residential real estate: Residential mortgages 785 579 1,155 2,519 4,532 290,501 121 Total residential real estate 785 579 1,155 2,519 4,532 290,501 121 Consumer: Home equity 971 486 101 1,558 659 47,372 — Other consumer — — — — 39 1,156 — Total consumer 971 486 101 1,558 698 48,528 — Total loans $ 4,300 $ 1,170 $ 2,082 $ 7,552 $ 12,686 $ 598,131 $ 121 Business Activities Loans 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ 205 $ 53 $ — $ 258 $ 31,129 $ 31,387 $ — Other commercial real estate 40 1,534 1,810 3,384 662,667 666,051 — Total commercial real estate 245 1,587 1,810 3,642 693,796 697,438 — Commercial and industrial: Commercial 452 50 894 1,396 238,296 239,692 — Agricultural 62 34 96 192 19,826 20,018 — Tax exempt — — — — 66,860 66,860 — Total commercial and industrial 514 84 990 1,588 324,982 326,570 — Total commercial loans 759 1,671 2,800 5,230 1,018,778 1,024,008 — Residential real estate: Residential mortgages 7,293 1,243 668 9,204 724,984 734,188 — Total residential real estate 7,293 1,243 668 9,204 724,984 734,188 — Consumer: Home equity 597 43 429 1,069 58,299 59,368 50 Other consumer 36 12 — 48 11,119 11,167 — Total consumer 633 55 429 1,117 69,418 70,535 50 Total loans $ 8,685 $ 2,969 $ 3,897 $ 15,551 $ 1,813,180 $ 1,828,731 $ 50 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ — $ 12 $ — $ 12 $ 384 $ 2,903 $ — Other commercial real estate 2,029 245 231 2,505 8,289 230,320 — Total commercial real estate 2,029 257 231 2,517 8,673 233,223 — Commercial and industrial: Commercial 440 335 140 915 2,723 59,072 — Agricultural — — — — 173 206 — Tax exempt — — — — 36 37,443 — Total commercial and industrial 440 335 140 915 2,932 96,721 — Total commercial loans 2,469 592 371 3,432 11,605 329,944 — Residential real estate: Residential mortgages 3,185 864 1,015 5,064 5,591 411,170 — Total residential real estate 3,185 864 1,015 5,064 5,591 411,170 — Consumer: Home equity 208 548 217 973 1,291 63,033 217 Other consumer 2 9 — 11 66 1,715 — Total consumer 210 557 217 984 1,357 64,748 217 Total loans $ 5,864 $ 2,013 $ 1,603 $ 9,480 $ 18,553 $ 805,862 $ 217 Non-Accrual Loans The following is summary information pertaining to non-accrual loans at December 31, 2020 and December 31, 2019: December 31, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 190 $ — $ 190 $ 258 $ — $ 258 Other commercial real estate 1,404 2,657 4,061 2,888 343 3,231 Total commercial real estate 1,594 2,657 4,251 3,146 343 3,489 Commercial and industrial: Commercial 869 375 1,244 932 626 1,558 Agricultural 222 — 222 278 — 278 Tax exempt — — — — — — Total commercial and industrial 1,091 375 1,466 1,210 626 1,836 Total commercial loans 2,685 3,032 5,717 4,356 969 5,325 Residential real estate: Residential mortgages 3,301 2,428 5,729 3,362 1,973 5,335 Total residential real estate 3,301 2,428 5,729 3,362 1,973 5,335 Consumer: Home equity 438 291 729 615 254 869 Other consumer 13 — 13 21 — 21 Total consumer 451 291 742 636 254 890 Total loans $ 6,437 $ 5,751 $ 12,188 $ 8,354 $ 3,196 $ 11,550 Loans evaluated for impairment by portfolio segment as of December 31, 2020 and December 31, 2019 were as follows: Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2020 Balance at end of period Individually evaluated for impairment $ 2,222 $ 997 $ 2,215 $ 12 $ 5,446 Collectively evaluated 892,895 370,234 631,175 65,004 1,959,308 Total $ 895,117 $ 371,231 $ 633,390 $ 65,016 $ 1,964,754 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2020 Balance at end of period Individually evaluated for impairment $ 2,338 $ 294 $ 668 $ — $ 3,300 Purchased credit impaired 6,433 1,023 4,532 698 12,686 Collectively evaluated 180,493 68,521 285,301 47,830 582,145 Total $ 189,264 $ 69,838 $ 290,501 $ 48,528 $ 598,131 Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 3,964 $ 1,353 $ 2,620 $ 13 $ 7,950 Collectively evaluated 693,474 325,217 731,568 70,522 1,820,781 Total $ 697,438 $ 326,570 $ 734,188 $ 70,535 $ 1,828,731 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 258 $ 385 $ 1,032 $ — $ 1,675 Purchased credit impaired 8,673 2,932 5,591 1,357 18,553 Collectively evaluated 224,292 93,404 404,547 63,391 785,634 Total $ 233,223 $ 96,721 $ 411,170 $ 64,748 $ 805,862 The following is a summary of impaired loans at December 31, 2020 and December 31, 2019: Business Activities Loans December 31, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 748 832 — Commercial 851 958 — Agricultural 146 150 — Tax exempt loans — — — Residential real estate 612 701 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 189 199 139 Other commercial real estate 1,285 1,356 227 Commercial — — — Agricultural — — — Tax exempt loans — — — Residential real estate 1,603 1,663 67 Home equity 12 12 1 Other consumer — — — Total Commercial real estate 2,222 2,387 366 Commercial and industrial 997 1,108 — Residential real estate 2,215 2,364 67 Consumer 12 12 1 Total impaired loans $ 5,446 $ 5,871 $ 434 Acquired Loans December 31, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,567 1,595 — Commercial 229 332 — Agricultural — — — Tax exempt loans — — — Residential real estate 423 465 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 771 791 290 Commercial 65 67 5 Agricultural — — — Tax exempt loans — — — Residential real estate 245 334 1 Home equity — — — Other consumer — — — Total Commercial real estate 2,338 2,386 290 Commercial and industrial 294 399 5 Residential real estate 668 799 1 Consumer — — — Total impaired loans $ 3,300 $ 3,584 $ 296 Business Activities Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,911 1,957 — Commercial 710 773 — Agricultural 361 361 — Tax exempt loans — — — Residential real estate 2,067 2,227 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 258 258 205 Other commercial real estate 1,795 1,940 1,026 Commercial 282 289 164 Agricultural — — — Tax exempt loans — — — Residential real estate 553 590 57 Home equity 13 13 — Other consumer — — — Total Commercial real estate 3,964 4,155 1,231 Commercial and industrial 1,353 1,423 164 Residential real estate 2,620 2,817 57 Consumer 13 13 — Total impaired loans $ 7,950 $ 8,408 $ 1,452 Acquired Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 90 90 — Commercial 385 481 — Agricultural — — — Tax exempt — — — Residential mortgages 678 938 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 168 168 12 Commercial — — — Agricultural — — — Tax exempt — — — Residential mortgages 354 376 49 Home equity — — — Other consumer — — — Total Commercial real estate 258 258 12 Commercial and industrial 385 481 — Residential real estate 1,032 1,314 49 Consumer — — — Total impaired loans $ 1,675 $ 2,053 $ 61 The following is a summary of the average recorded investment and interest income recognized on impaired loans as of December 31, 2020 and December 31, 2019: Business Activities Loan Year Ended December 31, 2020 Year Ended December 31, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 392 — 5,434 55 Commercial 842 4 871 5 Agricultural 114 2 — — Tax exempt loans — — — — Residential real estate 641 17 2,089 47 Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development 203 — 56 1 Other commercial real estate 1,295 14 1,737 — Commercial — — 153 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 1,616 37 540 7 Home equity 12 1 13 — Other consumer — — — — Total Commercial real estate 1,890 14 7,227 56 Commercial and industrial 956 6 1,024 5 Residential real estate 2,257 54 2,629 54 Consumer 12 1 13 — Total impaired loans $ 5,115 $ 75 $ 10,893 $ 115 Acquired Loans Year Ended December 31, 2020 Year Ended December 31, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,218 — 89 — Commercial 298 — 429 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 436 — 652 — Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development — — — — Other commercial real estate 678 3 123 — Commercial 73 — — — Agricultural — — — — Tax exempt loans — — — — Residential real estate 249 — 361 — Home equity — — — — Other consumer — — — — Total Commercial real estate 1,896 3 212 — Commercial and industrial 371 — 429 — Residential real estate 685 — 1,013 — Consumer — — — — Total impaired loans $ 2,952 $ 3 $ 1,654 $ — Troubled Debt Restructuring Loans The Company’s loan portfolio also includes certain loans that have been modified in a Troubled Debt Restructuring ("TDR"), where economic concessions have been granted to borrowers who have experienced or are expected to experience financial difficulties. These concessions typically result from the Company’s loss mitigation activities and could include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance, or other actions. Certain TDRs are classified as non-performing at the time of restructure and may only be returned to performing status after considering the borrower’s sustained repayment performance for a reasonable period, generally six months. TDRs are evaluated individually for impairment and may result in a specific allowance amount allocated to an individual loan. The following tables include the recorded investment and number of modifications identified during the twelve months ended December 31, 2020, 2019 and 2018, respectively. The table includes the recorded investment in the loans prior to a modification and also the recorded investment in the loans after the loans were restructured. Modifications may include adjustments to interest rates, payment amounts, extensions of maturity, court ordered concessions or other actions intended to minimize economic loss and avoid foreclosure or repossession of collateral. Year Ended December 31, 2020 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded Specific (in thousands, except modifications) Modifications Investment Investment Reserve Troubled Debt Restructurings Other commercial real estate 1 $ 54 $ 244 $ 24 Other commercial 6 229 239 — Agricultural 1 86 86 — Home equity 1 26 24 — Other consumer 1 9 8 — Total 10 $ 404 $ 601 $ 24 Year Ended December 31, 2019 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded Specific (in thousands, except modifications) Modifications Investment Investment Reserve Troubled Debt Restructurings Other commercial real estate 10 $ 630 $ 529 $ 69 Other commercial 7 366 271 — Agricultural 2 500 503 — Residential mortgages 12 1,427 1,327 — Total 31 $ 2,923 $ 2,630 $ 69 Twelve Months Ended December 31, 2018 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded Specific (in thousands, except modifications) Modifications Investment Investment Reserve Troubled Debt Restructurings Commercial construction and land development 1 $ 1 $ 1 $ 1 Other commercial real estate 9 1,896 1,564 153 Other commercial 7 556 486 55 Agricultural 1 167 — — Residential mortgages 19 3,348 2,752 145 Home equity 1 100 100 — Other consumer 3 13 11 — Total 41 $ 6,081 $ 4,914 $ 354 The following table summarizes the types of loan concessions made for the periods presented: Year Ended December 31, 2020 2019 2018 Post-Modification Post-Modification Post-Modification Outstanding outstanding outstanding Number of Recorded Number of Recorded Number of Recorded (in thousands, except modifications) Modifications Investment Modifications Investment Modifications Investment Troubled Debt Restructurings Interest only payments and maturity concession — $ — 2 $ 73 1 $ 16 Interest rate, forbearance and maturity concession 4 384 — — — — Amortization and maturity concession — — 4 273 1 286 Amortization, interest rate and maturity concession — — 5 539 — — Forbearance — — 5 346 3 271 Forbearance and interest only payments 1 24 7 692 6 121 Forbearance and interest rate concession — — — — 1 49 Forbearance and maturity concession — — 4 472 20 2,030 Maturity concession 5 193 — — 2 440 Restructure without concession — — — — 5 1,419 Other — — 4 235 2 282 Total 10 $ 601 31 $ 2,630 41 $ 4,914 For the twelve months ended December 31, 2020, 2019 and 2018, there were no loans that were restructured that had subsequently defaulted during the period. The evaluation of certain loans individually for specific impairment includes loans that were previously classified as TDRs or continue to be classified as TDRs. Foreclosure As of December 31, 2020, the Company had no bank-owned residential real estate property. As of December 31, 2019, the Company maintained bank-owned residential real estate property with a fair value of $2.2 million. Additionally, residential mortgage loans collateralized by real estate property that are in the process of foreclosure as of December 31, 2020 and December 31, 2019 totaled $633 thousand and $810 thousand, respectively. Loan Concentrations Loan concentrations in specific industries may occasionally emerge as a result of economic conditions, changes in local demands, natural loan growth and runoff. At December 31, 2020 the largest industry concentration outside of commercial real estate was the hospitality industry which represents 11% or $276.4 million of the Company’s total loan portfolio, compared with 8.6% or $227.0 million at December 31, 2019. Loans to Related Parties In the ordinary course of business, the Bank has made loans at prevailing rates and terms to directors, officers and other related parties. In management’s opinion, such loans do not present more than the normal risk of collectability or incorporate other unfavorable features, and were made under terms that are consistent with the Bank’s lending policies. Loan to related parties at December 31, 2020 and December 31, 2019 are summarized below. (in thousands) December 31, 2020 December 31, 2019 Beginning balance $ 8,209 $ 8,395 Changes in composition (1) — (302) New loans 1,589 242 Less: repayments (3,667) (126) Ending balance $ 6,131 $ 8,209 (1) Adjustments to reflect changes in status of directors and officers for each year presented. Mortgage Banking The Bank sells loans in the secondary market and retains the ability to service many of these loans. The Bank earns fees for the servicing provided. At year end 2020 and 2019, the Company was servicing loans for participants totaling $596.3 million and $497.2 million, respectively. Loans serviced for others are not included in the accompanying consolidated balance sheets. The risks inherent in servicing assets relate primarily to changes in prepayments that result from shifts in interest rates. Contractually-specified servicing fees were $1.3 million for the years ended 2020, 2019, and 2018, and is included as a component of other income within non- interest income. Servicing rights activity during 2020 and 2019, included in other assets, was as follows: At or for the Twelve Months Ended December 31, (in thousands) 2020 2019 Balance at beginning of year $ 3,001 $ 3,086 Additions 1,152 160 Amortization (800) (245) Balance at end of year $ 3,353 $ 3,001 Total held for sale loans were $24.0 million and $6.5 million and at December 31, 2020 and 2019, respectively. The net gains on sales of loans at December 31, 2020 and 2019 were $5.3 million and $493 thousand, respectively, and is included as a component of mortgage banking income within non-interest income. |
ALLOWANCE FOR LOAN LOSSES
ALLOWANCE FOR LOAN LOSSES | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
ALLOWANCE FOR LOAN LOSSES | NOTE 4. ALLOWANCE FOR LOAN LOSSES The allowance for loan losses is maintained at a level considered adequate to provide for an estimate of probable credit losses inherent in the loan portfolio. The allowance is increased by the provision charged to operating expense and reduced by net charge-offs. Loans are charged against the allowance for loan losses when the Company believes collectability has declined to a point where there is a distinct possibility of some loss of principal and interest. While the Company uses the best information available to make the evaluation, future adjustments may be necessary if there are significant changes in conditions. The allowance is comprised of four distinct reserve components: (1) specific reserves related to loans individually evaluated; (2) quantitative reserves related to loans collectively evaluated; (3) qualitative reserves related to loans collectively evaluated; and (4) a temporal estimate is made for incurred loss emergence period for each loan category within the collectively evaluated pools. A summary of the methodology employed on a quarterly basis with respect to each of these components in order to evaluate the overall adequacy of the Company’s allowance for loan losses is as follows: Specific Reserve for Loans Individually Evaluated First, the Company identifies loan relationships having aggregate balances in excess of $150 thousand with potential credit weaknesses. Such loan relationships are identified primarily through the Company’s analysis of internal loan evaluations, past due loan reports, TDRs and loans adversely classified. Each loan so identified is then individually evaluated for impairment. Loans are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the original loan agreement. Substantially all impaired loans have historically been collateral dependent, meaning repayment of the loan is expected or is considered to be provided solely from the sale of the loan’s underlying collateral. For such loans, the Company measures impairment based on the fair value of the loan’s collateral, which is generally determined utilizing current appraisals. A specific reserve is established in an amount equal to the excess, if any, of the recorded investment in each impaired loan over the fair value of its underlying collateral, less estimated costs to sell. The Company’s policy is to re-evaluate the fair value of collateral dependent loans at least every twelve months unless there is a known deterioration in the collateral’s value, in which case a new appraisal is obtained. Purchase credit impaired (“PCI”) loans are collectively evaluated, but are not included in the general reserve as described below. The evaluation of the PCI loans requires continued quarterly assessment of key assumptions and estimates similar to the initial fair value estimate, including changes in the severity of loss, timing and speed of payments, collateral value changes, expected cash flows and other relevant factors. The quarterly assessment is compared to the initial fair value estimate and a determination is made if an adjustment to the allowance for loan loss is deemed necessary. Quantitative Reserve for Loans Collectively Evaluated Second, the Company stratifies the loan portfolio into two general business loan pools: substandard (7 risk rated) and pass-rated (0 to 6 rated) by loan type. Substandard rated loans are subject to higher credit loss rates in the allowance for loan loss calculation. The Company utilizes historical loss rates for commercial real estate and commercial and industrial loans assessed by internal risk rating. Historical loss rates on residential real estate and consumer loans are not risk graded. Residential real estate and consumer loans are considered as part of the pass-rated portfolio unless removed due to specific reserve evaluation based on past due status and/or other indications of credit deterioration. Quantitative reserves relative to each loan pool are established as follows: for all loan segments an allocation equaling 100% of the respective pool’s average 3-year historical net loan charge-off rate (determined based upon the most recent 12 quarters) is applied to the aggregate recorded investment in the pool of loans. Purchased performing loans are collectively evaluated as their own separate category within each loan pool. Qualitative Reserve for Loans Collectively Evaluated Third, the Company considers the necessity to adjust the average historical net loan charge-off rates relative to each of the above two loan pools for potential risks factors that could result in actual losses deviating from prior loss experience. Such qualitative risk factors considered are: (1) lending policies and procedures, (2) business conditions, (3) volume and nature of the loan portfolio, (4) experience, ability and depth of lending management, (5) problem loan trends, (6) quality of the Company’s loan review system, (7) concentrations in the loan portfolio, (8) competition, legal, and regulatory environment and (9) collateral coverage and loan-to-value. Loss Emergence Period for Loans Collectively Evaluated Fourth, the general allowance related to loans collectively evaluated includes an estimate of incurred losses over an estimated loss emergence period ("LEP"). The LEP is generated utilizing a charge-off look-back analysis, which evaluates the time from the first indication of elevated risk of repayment (or other early event indicating a problem) to eventual charge-off to support the LEP considered in the allowance calculation. This reserving methodology establishes the approximate number of months of LEP that represents incurred losses for each loan portfolio within each portfolio segment in addition to the qualitative reserves. Activity in the allowance for loan losses for the twelve months ended December 31, 2020, 2019 and 2018 was as follows: Business Activities Loans At or for the Year Ended December 31, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Charged-off loans (1,036) (540) (43) (306) (1,925) Recoveries on charged-off loans 154 21 — 45 220 Provision for loan losses 4,167 288 718 261 5,434 Balance at end of period $ 10,953 $ 3,377 $ 4,077 $ 379 $ 18,786 Individually evaluated for impairment 366 — 67 1 434 Collectively evaluated 10,587 3,377 4,010 378 18,352 Total $ 10,953 $ 3,377 $ 4,077 $ 379 $ 18,786 Acquired Loans At or for the Year Ended December 31, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 147 $ 6 $ 143 $ — $ 296 Charged-off loans (101) (53) (11) (78) (243) Recoveries on charged-off loans 19 9 13 11 52 Provision (release) for loan losses 225 43 (144) 67 191 Balance at end of period $ 290 $ 5 $ 1 $ — $ 296 Individually evaluated for impairment 290 5 1 — 296 Collectively evaluated — — — — — Total $ 290 $ 5 $ 1 $ — $ 296 Business Activities Loans At or for the Year Ended December 31, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Charged-off loans (212) (336) (109) (228) (885) Recoveries on charged-off loans 194 65 55 6 320 Provision (release) for loan losses 875 1,499 (526) 193 2,041 Balance at end of period $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Individually evaluated for impairment 1,231 164 57 — 1,452 Collectively evaluated 6,437 3,444 3,345 379 13,605 Total $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Acquired Loans At or for the Year Ended December 31, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 173 $ 35 $ 77 $ — $ 285 Charged-off loans — (23) (240) (5) (268) Recoveries on charged-off loans — — — 3 3 Provision (releases) for loan losses (26) (6) 306 2 276 Balance at end of period $ 147 $ 6 $ 143 $ — $ 296 Individually evaluated for impairment 12 — 49 — 61 Collectively evaluated 135 6 94 — 235 Total $ 147 $ 6 $ 143 $ — $ 296 Business Activities Loans At or for the Twelve Months Ended December 31, 2018 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,037 $ 2,373 $ 3,357 $ 386 $ 12,153 Charged-off loans (417) (111) (225) (629) (1,382) Recoveries on charged-off loans 275 76 166 18 535 Provision for loan losses 916 42 684 633 2,275 Balance at end of period $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Individually evaluated for impairment 422 78 111 — 611 Collectively evaluated 6,389 2,302 3,871 408 12,970 Total $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Acquired Loans At or for the Twelve Months Ended December 31, 2018 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 97 $ 16 $ 59 $ — $ 172 Charged-off loans (136) (166) (158) (65) (525) Recoveries on charged-off loans 43 7 — 83 133 Provision (releases) for loan losses 169 178 176 (18) 505 Balance at end of period $ 173 $ 35 $ 77 $ — $ 285 Individually evaluated for impairment — — 41 — 41 Collectively evaluated 173 35 36 — 244 Total $ 173 $ 35 $ 77 $ — $ 285 Credit Quality Information Loan Origination/Risk Management: Credit Quality Indicators/Classified Loans: The following are the definitions of the Company’s credit quality indicators: Pass: Special Mention: adverse trend in the borrower’s operations or an imbalanced position in the balance sheet which has not reached a point where the liquidation is jeopardized may be included in this classification. Special mention loans are not adversely classified and do not expose the Company to sufficient risks to warrant classification. Substandard: Doubtful: Loss: The following tables present the Company’s commercial loans by risk rating at December 31, 2020 and December 31, 2019: Business Activities Loans Commercial Real Estate Credit Risk Profile by Creditworthiness Category Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 129,065 $ 31,057 $ 745,600 $ 646,886 $ 874,665 $ 677,943 Special mention — — 4,626 5,483 4,626 5,483 Substandard — 330 15,076 11,974 15,076 12,304 Doubtful 189 — 560 1,708 749 1,708 Loss 1 — — — 1 — Total $ 129,255 $ 31,387 $ 765,862 $ 666,051 $ 895,117 $ 697,438 Commercial and Industrial Credit Risk Profile by Creditworthiness Category Commercial Agricultural Tax exempt loans Total commercial (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 298,568 $ 221,329 $ 16,025 $ 18,940 $ 39,429 $ 66,860 $ 354,022 $ 307,129 Special mention 1,644 2,744 334 298 — — 1,978 3,042 Substandard 14,158 14,866 438 780 — — 14,596 15,646 Doubtful 633 753 — — — — 633 753 Loss 2 — — — — — 2 — Total $ 315,005 $ 239,692 $ 16,797 $ 20,018 $ 39,429 $ 66,860 $ 371,231 $ 326,570 Residential Real Estate and Consumer Loans Credit Risk Profile Based on Payment Activity Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Performing $ 630,089 $ 737,325 $ 54,654 $ 58,753 $ 9,911 $ 11,146 $ 694,654 $ 807,224 Nonperforming 3,301 3,362 438 615 13 21 3,752 3,998 Total $ 633,390 $ 740,687 $ 55,092 $ 59,368 $ 9,924 $ 11,167 $ 698,406 $ 811,222 Acquired Loans Commercial Real Estate Credit Risk Profile by Creditworthiness Category Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 1,703 $ 2,412 $ 177,405 $ 218,491 $ 179,108 $ 220,903 Special mention — 12 1,449 2,261 1,449 2,273 Substandard 165 479 7,026 9,400 7,191 9,879 Doubtful — — 1,516 168 1,516 168 Total $ 1,868 $ 2,903 $ 187,396 $ 230,320 $ 189,264 $ 233,223 Commercial and Industrial Credit Risk Profile by Creditworthiness Category Commercial Agricultural Tax exempt loans Total commercial (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 43,972 $ 51,184 $ 20 $ 58 $ 24,002 $ 37,407 $ 67,994 $ 88,649 Special mention 793 5,432 — — — — 793 5,432 Substandard 451 2,115 133 148 — 36 584 2,299 Doubtful 467 341 — — — — 467 341 Total $ 45,683 $ 59,072 $ 153 $ 206 $ 24,002 $ 37,443 $ 69,838 $ 96,721 Residential Real Estate and Consumer Loans Credit Risk Profile Based on Payment Activity Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Performing $ 288,073 $ 407,811 $ 47,081 $ 62,504 $ 1,156 $ 1,707 $ 336,310 $ 472,022 Nonperforming 2,428 3,359 291 529 — 8 2,719 3,896 Total $ 290,501 $ 411,170 $ 47,372 $ 63,033 $ 1,156 $ 1,715 $ 339,029 $ 475,918 The following table summarizes information about total classified and criticized loans as of December 31, 2020 and December 31, 2019. December 31, 2020 December 31, 2019 Business Business (in thousands) Activities Loans Acquired Loans Total Activities Loans Acquired Loans Total Non-accrual $ 6,437 $ 5,751 $ 12,188 $ 8,354 $ 3,196 $ 11,550 Substandard accruing 28,371 6,726 35,097 26,055 13,387 39,442 Loss accruing 1 — 1 — — — Total classified 34,809 12,477 47,286 34,409 16,583 50,992 Special mention 6,604 2,242 8,846 8,525 7,705 16,230 Total Criticized $ 41,413 $ 14,719 $ 56,132 $ 42,934 $ 24,288 $ 67,222 |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
PREMISES AND EQUIPMENT | NOTE 5. PREMISES AND EQUIPMENT Year-end premises and equipment at December 31, 2020 and December 31, 2019 are summarized as follows: Estimated Useful (in thousands, except years) 2020 2019 Life Land $ 5,531 $ 5,028 N/A Buildings and improvements 55,366 52,363 5-39 years Furniture and equipment 13,865 13,573 3-7 years Premises and equipment, gross 74,762 70,964 Accumulated depreciation (22,304) (19,759) Premises and equipment, net $ 52,458 $ 51,205 Depreciation expense for the years ended December 31, 2020, 2019 and 2018 amounted to $4.8 million, $4.1 million and $3.7 million, respectively. Premises held for sale for the years ended December 31, 2020 and 2019 were $962 thousand and $1.8 million, respectively and are included in other assets. The Company measures assets held for sale at the lower of carrying amount or estimated fair value less 6% selling costs. The Company sold $802 thousand of premises held for sale in 2020 at a gain of $122 thousand, there were no sales in 2019 and 2018. There were no impairment charges recognized in 2020, 2019 and 2018. |
GOODWILL AND OTHER INTANGIBLES
GOODWILL AND OTHER INTANGIBLES | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLES | NOTE 6. GOODWILL AND OTHER INTANGIBLES The activity impacting goodwill in 2020 and 2019 is as follows: (in thousands) 2020 2019 Balance at beginning of year $ 118,649 $ 100,085 Acquisition 828 18,564 Balance at end of year $ 119,477 $ 118,649 In the fourth quarter of 2020, the Company completed its annual goodwill impairment testing using balance sheet and market data as of September 30, 2020. The analysis was performed at the consolidated Bank level of the Company, which is considered the smallest reporting unit carrying goodwill. The step one analysis under the guidance of ASC 350 was passed, and therefore no goodwill impairment was recognized for the year ended December 31, 2020. No impairment was recorded in 2019 and 2018. The components of other intangible assets in 2020 and 2019 are as follows: 2020 Gross Accumulated Net Intangible (in thousands) Intangible Assets Amortization Assets Core deposit intangible (non-maturity deposits) $ 9,305 $ (3,287) $ 6,018 Customer list and other intangibles 1,901 (249) 1,652 Total $ 11,206 $ (3,536) $ 7,670 2019 Gross Accumulated Net Intangible (in thousands) Intangible Assets Amortization Assets Core deposit intangible (non-maturity deposits) $ 9,483 $ (2,635) $ 6,848 Customer list and other intangibles 2,065 (272) 1,793 Total $ 11,548 $ (2,907) $ 8,641 Other intangible assets are amortized on a straight-line basis over their estimated lives, which range from 5 years to 11 years. Amortization expenses related to intangibles totaled $1.0 million in 2020, $861 thousand in 2019 and $828 thousand in 2018. The estimated aggregate future amortization expense for other intangible assets remaining at year end 2020 is as follows: Other Intangible (in thousands) Assets 2021 $ 934 2022 932 2023 932 2024 932 2025 932 and thereafter 3,008 Total $ 7,670 |
DEPOSITS
DEPOSITS | 12 Months Ended |
Dec. 31, 2020 | |
Deposits [Abstract] | |
DEPOSITS | NOTE 7. DEPOSITS A summary of time deposits at December 31, 2020 and December 31, 2019 are as follows: (in thousands) December 31, 2020 December 31, 2019 Time less than $100,000 $ 325,646 $ 600,747 Time $100,000 through $250,000 278,940 225,505 Time $250,000 or more 93,775 106,383 Total $ 698,361 $ 932,635 At December 31, 2020 and December 31, 2019, the scheduled maturities by year for time deposits are as follows: (in thousands) December 31, 2020 December 31, 2019 Within 1 year $ 574,007 $ 555,074 Over 1 year to 2 years 61,584 287,934 Over 2 years to 3 years 41,145 51,444 Over 3 years to 4 years 12,875 31,262 Over 4 years to 5 years 8,728 6,883 Over 5 years 22 38 Total $ 698,361 $ 932,635 Included in time deposits are brokered deposits of $201.8 million and $526.9 million at December 31, 2020 and December 31, 2019, respectively. Also included in time deposits are reciprocal deposits of $125.0 million and $64.1 million at December 31, 2020 and December 31, 2019, respectively. |
BORROWED FUNDS
BORROWED FUNDS | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
BORROWED FUNDS | NOTE 8. BORROWED FUNDS Borrowed funds at December 31, 2020 and December 31, 2019 are summarized, as follows: December 31, 2020 December 31, 2019 Weighted Weighted (dollars in thousands) Carrying Value Average Rate Carrying Value Average Rate Short-term borrowings Advances from the FHLB $ 65,676 1.19 % $ 303,286 1.83 % Other borrowings 27,779 0.15 44,832 0.99 Total short-term borrowings 93,455 0.44 348,118 1.73 Long-term borrowings Advances from the FHLB 182,607 1.73 123,278 1.93 Subordinated borrowings 59,961 4.34 59,920 5.53 Total long-term borrowings 242,568 2.37 183,198 2.87 Total $ 336,023 1.41 % $ 531,316 2.11 % Short-term debt includes Federal Home Loan Bank of Boston (“FHLB”) advances with a remaining maturity of less than one year. The Company also maintains a $1.0 million secured line of credit with the FHLB that bears a daily adjustable rate calculated by the FHLB. There was no outstanding balance on the FHLB line of credit for the years ended December 31, 2020 and 2019. The Company also has capacity to borrow funds on a secured basis utilizing the Borrower in Custody program and the Discount Window at the Federal Reserve Bank of Boston (the “FRB”). At December 31, 2020, the Company’s available secured line of credit at the FRB was $71.9 million. The Company has pledged certain loans and securities to the FRB to support this arrangement. There were no borrowings with the FRB as of December 31, 2020 and December 31, 2019. The Company maintains an unused unsecured federal funds line of credit with a correspondent bank that has an aggregate overnight borrowing capacity of $50 million as of December 31, 2020 and December 31, 2019. There was no outstanding balance on the line of credit as of December 31, 2020 and December 31, 2019. Long-term FHLB advances consist of advances with a remaining maturity of more than one year. The advances outstanding at December 31, 2020 include $20.0 million of callable advances and $307 thousand of amortizing advances. The advances outstanding at December 31, 2019 include no callable advances and $316 thousand of amortizing advances. All FHLB borrowings, including the line of credit, are secured by a blanket security agreement on certain qualified collateral, principally residential first mortgage loans and certain securities. A summary of maturities of FHLB advances as of December 31, 2020 is as follows: December 31, 2020 Weighted Average (in thousands, except rates) Amount Rate 2021 $ 65,676 1.19 % 2022 75,000 1.87 2023 80,000 1.77 2024 7,300 1.16 2025 20,000 1.21 2026 and thereafter 307 4.12 Total FHLB advances $ 248,283 1.59 % On November 26, 2019, the Company executed a new Subordinated Note Purchase Agreement with an aggregate of $40.0 million of subordinated notes (the "Notes") to accredited investors. The Notes have a maturity date of December 1, 2029 and bear a fixed interest rate of 4.63% through December 1, 2024 payable semi-annually in arrears. From December 1, 2024 and thereafter the interest rate shall be reset quarterly to an interest rate per annum equal to the then current three-month Secured Overnight Financing Rate ("SOFR") plus 3.27%. The Company has the option beginning with the interest payment date of December 1, 2024, and on any scheduled payment date thereafter, to redeem the Notes, in whole or in part upon prior approval of the Federal Reserve. The transaction included debt issuance costs of $659 thousand and $700 thousand net of amortization as of December 31, 2020 and 2019 respectively, that are netted against the subordinated debt. The Company also has $20.6 million in floating Junior Subordinated Deferrable Interest Debentures (“Debentures”) issued by NHTB Capital Trust II (“Trust II”) and NHTB Capital Trust III (“Trust III”), which are both Connecticut statutory trusts. The Debentures were issued on March 30, 2004, carry a variable interest rate of three-month LIBOR plus 2.79%, and mature in 2034. The debt is callable by the Company at the time when any interest payment is made. Trust II and Trust III are considered variable interest entities for which the Company is not the primary beneficiary. Accordingly, Trust II and Trust III are not consolidated into the Company’s financial statements. |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT PLANS | NOTE 9. EMPLOYEE BENEFIT PLANS Pension Plans The Company maintains a legacy, employer-sponsored defined benefit pension plan (the “Plan”) for which participation and benefit accruals were frozen on January 13, 2017. The Plan was assumed in connection with a business combination in 2017. Accordingly, no employees are permitted to commence participation in the Plan and future salary increases and years of credited service are not considered when computing an employee’s benefits under the Plan. As of December 31, 2020, all minimum Employee Retirement Income Security Act (“ERISA”) funding requirements have been met. The Company did not have any defined benefit pension plans prior to 2017. The following tables set forth information about the plan for the year ended December 31, 2020 and 2019: (in thousands) 2020 2019 Change in projected benefit obligation: Projected benefit obligation at beginning of year $ 8,926 $ 8,009 Service cost — — Interest cost 282 331 Actuarial loss 913 1,068 Benefits paid (319) (300) Settlements (152) (182) Projected benefit obligation at end of year 9,650 8,926 Change in fair value of plan assets: Fair value of plan assets at beginning of year 11,078 9,990 Expected return on plan assets 1,433 1,570 Contributions by employer — — Benefits paid (319) (300) Settlements (152) (182) Fair value of plan assets at end of year 12,040 11,078 Overfunded status $ (2,390) $ (2,152) Amounts recognized in consolidated balance sheet: Other assets $ 2,390 $ 2,152 Net periodic pension cost is comprised of the following for the year ended December 31, 2020 and 2019: (in thousands) 2020 2019 Interest cost $ 282 $ 331 Expected return on plan assets (708) (638) Settlement Charge — — Net periodic pension benefit credit $ (426) $ (307) (in thousands) 2020 2019 Net actuarial loss $ 178 $ 145 Settlement charge — — Net period pension benefit credit (426) (307) Total recognized in net periodic benefit (credit) cost and other comprehensive income $ (248) $ (162) Change in plan assets and benefit obligations recognized in accumulated other comprehensive income as of December 31, 2020 and 2019 are as follows: (in thousands) 2020 2019 Net actuarial loss $ 178 $ 145 Settlement charge — — Prior service cost 893 748 Total accumulated other comprehensive loss (pre-tax) $ 1,071 $ 893 The after tax components of accumulated other comprehensive loss, which have not yet been recognized in net periodic pension cost, related to the Plan are a net loss of $822 thousand. The Company expects to make no cash contributions to the pension trust during the 2021 fiscal year. The amount expected to be amortized from accumulated other comprehensive loss into net periodic pension cost over the next fiscal year is zero. The principal actuarial assumptions used at December 31, 2020 and 2019 were as follows: 2020 2019 Projected benefit obligation Discount rate 2.46 % 3.23 % Net periodic pension cost Discount rate 3.23 % 4.23 % Long-term rate of return on plan assets 6.00 6.50 The discount rate that is used in the measurement of the pension obligation is determined by comparing the expected future retirement payment cash flows of the plan to the Citigroup Above Median Double-A Curve as of the measurement date. The expected long-term rate of return on Plan assets reflects expectations of future returns as applied to the plan’s target allocation of asset classes. In estimating that rate, appropriate consideration was given to historical returns earned by equities and fixed income securities. The Company’s overall investment strategy with respect to the Plan’s assets is to maintain assets at a level that will sufficiently cover future beneficiary obligations while achieving long term growth in assets. The Plan’s targeted asset allocation is 54% equity securities and 46% fixed-income securities primarily consisting of intermediate-term products. The fair values for investment securities are determined by quoted prices in active markets, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). The fair value of the Plan’s assets by category and level within fair value hierarchy are as follows at December 31, 2020 and 2019: 2020 (in thousands) Total Level 1 Level 2 Equity mutual funds: Large-cap $ 2,364 $ 2,364 $ — Mid-cap 744 744 — Small-cap 765 765 — International 1,499 1,499 Fixed income funds: Fixed-income - core plus 3,880 3,880 — Intermediate duration 1,338 1,338 — Common stock 510 510 — Common/collective trusts - large-cap 620 — 620 Cash equivalents - money market 320 320 — Total $ 12,040 $ 11,420 $ 620 2019 (in thousands) Total Level 1 Level 2 Equity mutual funds: Large-cap $ 2,144 $ 2,144 $ — Mid-cap 590 590 — Small-cap 557 557 — International 1,009 1,009 Fixed income funds: Fixed-income - core plus 4,028 4,028 — Intermediate duration 1,371 1,371 — Common stock 574 574 — Common/collective trusts - large-cap 566 — 566 Cash equivalents - money market 230 230 — Total $ 11,069 $ 10,503 $ 566 The Plan did not hold any assets classified as Level 3, and there were no transfers between levels during 2020 and 2019. Estimated benefit payments under the Company’s pension plan over the next 10 years at December 31, 2020 are as follows: (in thousands) Payments 2021 $ 354 2022 372 2023 369 2024 384 2025 379 2026-2030 2,321 Total $ 4,179 Non-qualified Supplemental Executive Retirement Plan The Company has non-qualified supplemental executive retirement agreements with certain retired officers. The agreements provide supplemental retirement benefits payable in installments over a period of years upon retirement or death. This agreement provides a stream of future payments in accordance with individually defined vesting schedules upon retirement, termination, or in the event that the participating executive leaves the Company following a change of control event. The following table sets forth changes in benefit obligation, changes in plan assets, and the funded status of the plan as of and for the years ended December 31, 2020 and December 31, 2019: (in thousands) 2020 2019 Change in benefit obligation: Projected benefit obligation at beginning of year $ 2,979 $ 3,033 Service cost — — Interest cost 81 103 Actuarial loss 202 221 Benefits paid (293) (378) Projected benefit obligation at end of year $ 2,969 $ 2,979 Change in fair value of plan assets: Fair value of plan assets at beginning of year $ — $ — Expected return on plan assets — — Contributions by employer 293 378 Benefits paid (293) (378) Fair value of plan assets at end of year $ — $ — Underfunded status $ 2,969 $ 2,979 Amounts recognized in consolidated balance sheet Other liabilities $ 2,969 $ 2,979 Net periodic benefit cost is comprised of the following for the years ended December 31, 2020 and 2019: (in thousands) 2020 2019 Interest cost $ 81 $ 103 Expected return on plan assets — — Amortization of unrecognized actuarial loss 42 15 Net periodic benefit cost $ 123 $ 118 (in thousands) 2020 2019 Net actuarial loss $ 202 $ 220 Amortization of unrecognized actuarial loss (42) (15) Total recognized in net periodic benefit cost and other comprehensive loss $ 160 $ 205 Change in plan assets and benefit obligations recognized in accumulated other comprehensive income in 2020 and 2019 are as follows: (in thousands) 2020 2019 Accumulated other comprehensive loss at beginning of the year (pre-tax) $ 619 $ 414 Actuarial loss 202 220 Amortization of actuarial loss (42) (15) Accumulated other comprehensive loss at end of year (pre-tax) $ 779 $ 619 The after tax components of accumulated other comprehensive loss, which have not yet been recognized in net periodic benefit cost, related to the non-qualified supplemental executive retirement agreements are a net loss of $597 thousand. The amount expected to be amortized from accumulated other comprehensive income into net periodic benefit cost over the next fiscal year is $43 thousand. The principal actuarial assumptions used at December 31, 2020 and December 31, 2019 were as follows: 2020 2019 Discount rate beginning of year 2.65 % 3.83 % Discount rate end of year 1.56 2.65 The discount rate used in the measurement of the non-qualified supplemental executive retirement plan obligation is determined by comparing the expected future retirement payment cash flows to the Citigroup Above Median Double- A Curve as of the measurement date. The Company expects to contribute the following amounts to fund benefit payments under the supplemental executive retirement plans: (in thousands) Payments 2021 $ 260 2022 260 2023 260 2024 260 2025 260 2026-2037 2,018 Total $ 3,318 401(k) Plan The Company maintains a Section 401(k) savings plan for substantially all of its employees. Employees are eligible to participate in the 401(k) Plan on the first day of any quarter following their date of hire and attainment of age 21½ . Under the plan, the Company makes a matching contribution of a portion of the amount contributed by each participating employee, up to a percentage of the employee’s annual salary. The plan allows for supplementary profit sharing contributions by the Company, at its discretion, for the benefit of participating employees. The total expense for this plan in 2020, 2019, and 2018 was $1.2 million, $1.1 million, and $1.0 million, respectively. Other Plans As a result of the acquisition of a business combination in 2017, the Company assumed salary continuation agreements for supplemental retirement income with certain prior executives and senior officers along with an executive indexed supplemental retirement plan for one prior executive. The total liability for these agreements included in other liabilities was $8.8 million at December 31, 2020 and $8.1 million at December 31, 2019. Expense recorded in 2020, 2019 and 2018 under these agreements was $793 thousand, $779 thousand and $752 thousand, respectively. The Company also assumed split-dollar life insurance agreements with the 2017 business combination with an accrued liability of $919 thousand at December 31, 2020 and $834 thousand at December 31, 2019. Expense recorded for the split-dollar life insurance agreements was $65 thousand and $163 thousand and $57 thousand in 2020, 2019 and 2018, respectively. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | NOTE 10. INCOME TAXES The following table summarizes the current and deferred components of income tax expense (benefit) for each of the years ended December 31, 2020, 2019 and 2018: (in thousands) 2020 2019 2018 Current: Federal tax expense $ 7,165 $ 2,639 $ 6,775 State tax expense 1,280 550 1,230 Total current tax expense 8,445 3,189 8,005 Deferred tax expense (38) 1,020 (443) Total income tax expense $ 8,407 $ 4,209 $ 7,562 The following table reconciles the expected federal income tax expense (computed by applying the federal statutory tax rate of 21%) to recorded income tax expense for the years ended December 31, 2020, 2019 and 2018: 2020 2019 2018 (in thousands, except ratios) Amount Rate Amount Rate Amount Rate Statutory tax rate $ 8,747 21.00 % $ 5,633 21.00 % $ 8,505 21.00 % Increase (decrease) resulting from: State taxes, net of federal benefit 1,120 2.69 547 2.04 908 2.24 Tax exempt interest (1,301) (3.12) (1,375) (5.13) (1,315) (3.25) Federal tax credits (330) (0.79) (282) (1.05) (125) (0.31) Officers' life insurance (403) (0.97) (431) (1.61) (382) (0.94) Gain of disposal of low income housing tax credit investments 147 0.35 — — — — Stock-based compensation plans 52 0.12 (20) (0.07) (120) (0.30) Other 375 0.90 137 0.51 91 0.23 Effective tax rate $ 8,407 20.18 % $ 4,209 15.69 % $ 7,562 18.67 % The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities at December 31, 2020 and 2019 are summarized below. The net deferred tax asset, which is included in other assets, amounted to $1.7 million at December 31, 2020 and $3.9 million at December 31, 2019. The significant components of deferred tax assets and liabilities at December 31, 2020 and December 31, 2019 were as follows: 2020 2019 (in thousands) Assets Liabilities Assets Liabilities Allowance for loan losses $ 4,464 $ — $ 3,507 $ — Deferred compensation 4,129 — 3,383 — Unrealized gain or loss on securities available for sale — 4,404 — 1,858 Unrealized gain or loss on derivatives 623 — 307 — Depreciation — 2,261 — 1,722 Deferred loan origination costs — 1,190 — 862 Non-accrual interest 492 — 381 — Branch acquisition costs and goodwill — 1,034 — 712 Core deposit intangible — 1,078 — 1,231 Acquisition fair value adjustments 1,833 — 2,223 — Prepaid expenses — 301 — 311 Mortgage servicing rights — 784 — 703 Equity compensation 432 — 468 — Prepaid pension — 377 — 359 Contract incentives 1,017 — 1,167 — Right of use asset — 2,419 — 2,253 Lease liability 2,487 — 2,273 — Other 116 — 167 — Total $ 15,593 $ 13,848 $ 13,876 $ 10,011 The Company has determined that a valuation allowance is not required for its net deferred tax asset since it is more likely than not that this asset is realizable principally through future taxable income and future reversal of existing temporary differences. GAAP requires the measurement of unrecorded tax benefits related to uncertain tax positions. An unrecorded tax benefit is the difference between the tax benefit of a position taken, or expected to be taken, on a tax return and the benefit recorded for accounting purposes. At December 31, 2020 and 2019, the Company had no unrecorded tax benefits and does not expect the amount of unrecorded tax benefits to significantly increase within the next twelve months. The Company is subject to income tax in the U.S. federal jurisdiction and also in the states of Maine, New Hampshire and Massachusetts. The Company is no longer subject to examination by taxing authorities for years before 2017. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES | NOTE 11. DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES The Company uses derivative instruments to minimize fluctuations in earnings and cash flows caused by interest rate volatility. The Company’s interest rate risk management strategy involves modifying the re-pricing characteristics of certain assets or liabilities so the changes in interest rates do not have a significant effect on net interest income. Thus, all of the Company's derivative contracts are considered to be interest rate contracts. The Company recognizes its derivative instruments on the consolidated balance sheet at fair value. On the date the derivative instrument is entered into, the Company designates whether the derivative is part of a hedging relationship (i.e., cash flow or fair value hedge). The Company formally documents relationships between hedging instruments and hedged items, as well as its risk management objective and strategy for undertaking hedge transactions. The Company also assesses, both at the hedge’s inception and on an ongoing basis, whether the derivatives used in hedging transactions are highly effective in offsetting the changes in cash flows or fair values of hedged items. Changes in fair value of derivative instruments that are highly effective and qualify as cash flow hedges are recorded in other comprehensive income or loss. The Company offers derivative products in the form of interest rate swaps, to commercial loan customers to facilitate their risk management strategies. These instruments are executed through Master Netting Arrangements ("MNA") with financial institution counterparties or Risk Participation Agreements ("RPA") with commercial bank counterparties, for which the Company assumes a pro rata share of the credit exposure associated with a borrower’s performance related to the derivative contract with the counterparty. Information about derivative assets and liabilities at December 31, 2020 and December 31, 2019, follows: December 31, 2020 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale fundings $ 75,000 4.0 $ (2,664) Other liabilities Total cash flow hedges 75,000 (2,664) Fair value hedges: Interest rate swap on securities 37,190 8.6 2,789 Other assets Total fair value hedges 37,190 2,789 Economic hedges: Forward sale commitments 50,629 0.2 (95) Other liabilities Customer Loan Swaps-MNA Counterparty 235,947 6.8 (15,938) Other liabilities Customer Loan Swaps-RPA Counterparty 119,285 7.9 (9,957) Other liabilities Customer Loan Swaps-Customer 355,232 7.1 25,895 Other assets Total economic hedges 761,093 (95) Non-hedging derivatives: Interest rate lock commitments 3,320 0.1 22 Other assets Total non-hedging derivatives 3,320 22 Total $ 876,603 $ 52 December 31, 2019 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale fundings $ 100,000 4.6 $ (1,311) Other liabilities Total cash flow hedges 100,000 (1,311) Fair value hedges: Interest rate swap on securities 37,190 9.6 593 Other liabilities Total fair value hedges 37,190 593 Economic hedges: Forward sale commitments 11,228 0.1 (84) Other liabilities Customer Loan Swaps-MNA Counterparty 135,598 7.5 (4,669) (1) Customer Loan Swaps-RPA Counterparty 69,505 8.8 (3,377) (1) Customer Loan Swaps-Customer 205,103 8.1 8,046 (1) Total economic hedges 421,434 (84) Non-hedging derivatives: Interest rate lock commitments 21,748 0.1 59 Other assets Total non-hedging derivatives 21,748 59 Total $ 580,372 $ (743) (1) Customer loan derivatives are subject to MNA or RPA arrangements with financial institution counterparties, thus assets and liabilities with the counterparty are netted for financial statement presentation. As of December 31, 2020, and 2019, the following amounts were recorded on the balance sheet related to cumulative basis adjustments for fair value hedges: Cumulative Amount of Fair Location of Hedged Item on Carrying Amount of Hedged Value Hedging Adjustment in Balance Sheet Assets (Liabilities) Carrying Amount December 31, 2020 Interest rate swap on securities Securities Available for Sale $ 40,209 $ 3,019 December 31, 2019 Interest rate swap on securities Securities Available for Sale $ 39,026 $ 523 Information about derivative assets and liabilities for December 31, 2020 and December 31, 2019, follows: Year Ended December 31, 2020 Amount of Amount of Gain (Loss) Gain (Loss) Recognized in Reclassified Location of Amount of Other Location of Gain (Loss) from Other Gain (Loss) Gain (Loss) Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ (2,566) Non-interest expense $ (3,935) Interest expense $ (829) Total cash flow hedges (2,566) (3,935) (829) Fair value hedges: Interest rate swap on securities 5,458 Interest income — Interest income (281) Total fair value hedges 5,458 — (281) Economic hedges: Forward commitments — Other income — Other income (11) Total economic hedges — — (11) Non-hedging derivatives: Interest rate lock commitments — Other income — Other income (37) Total non-hedging derivatives — — (37) Total $ 2,892 $ (3,935) $ (1,158) (1) As of December 31, 2020 the Company does not expect any gains or losses from accumulated other comprehensive income into earnings within the next 12 months. Years Ended December 31, 2019 Amount of Amount of Gain (Loss) Gain (Loss) Amount of Recognized in Reclassified Location of Gain (Loss) Other Location of Gain (Loss) from Other Gain (Loss) Recognized Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ — Interest expense $ — Interest expense $ (2) Interest rate cap agreements 2,291 Non-interest expense 3,156 Interest expense (603) Total cash flow hedges 2,291 3,156 (605) Fair value hedges: Interest rate swap on securities (523) Interest income — Interest income 7 Total economic hedges (523) — 7 Economic hedges: Forward commitments — Other income — Other income (84) Total economic hedges — — (84) Non-hedging derivatives: Interest rate lock commitments — Other income — Other Income 52 Total non-hedging derivatives — — 52 Total $ 1,768 $ 3,156 $ (630) Cash flow hedges Interest rate swaps on wholesale funding In March and November 2019 and April 2020, the Company entered into interest rate swaps on wholesale borrowings (the "SWAPS") to limit its exposure to rising interest rates over a five year term. Under the terms of the agreement, the Company has two swaps each with a $50.0 million notional amount and pay fixed interest rates of 2.46% and 1.53%, and one swap with a $25.0 million notional amount and pays a fixed interest rate of 0.59%. The financial institution counterparty pays the Company interest on the three-month LIBOR rate. The Company designated the swap as a cash flow hedge. Based on direct and indirect events resulting from COVID-19 pandemic, the Company determined that $50 million of wholesale fundings were no longer necessary. As a result of the unprecedented nature of the pandemic the FASB staff believes that it would be acceptable for a company to determine that missed forecasts related to the effects of the COVID-19 pandemic need not be considered when determining whether it has exhibited a pattern of missing forecasts that would call into question its ability to accurately predict forecasted transactions and the propriety of using cash flow hedge accounting in the future for similar transactions. The FASB staff believes that this guidance did not contemplate forecasts changing so rapidly as a result of a pandemic. The March 2019 hedge with a $50.0 million notional amount and fixed rate of 2.46% was terminated in the fourth quarter of 2020, with $3.9 million loss recognized in acquisition, conversion, and other expenses as a result of the reclassification from other comprehensive income. Interest rate cap agreements In 2014, interest rate cap agreements were purchased to limit the Company’s exposure to rising interest rates on four rolling, three-month borrowings indexed to three-month LIBOR. Under the terms of the agreements, the Company paid total premiums of $4.6 million for the right to receive cash flow payments if three-month LIBOR rises above the caps of 3.00%, thus effectively ensuring interest expense on the borrowings at maximum rates of 3.00% for the duration of the agreements. The interest rate cap agreements were designated as cash flow hedges, however the caps were terminated in the fourth quarter of 2019, with $3.2 million recognized in acquisition, restructuring and other expenses as a result of the reclassification from other comprehensive income. Fair value hedges For derivative instruments that are designated and qualify as a fair value hedge, the gain or loss on the derivative instrument as well as the offsetting loss or gain on the hedged asset or liability attributable to the hedged risk are recognized in current earnings. The Company utilizes interest rate swaps designated as fair value hedges to mitigate the effect of changing interest rates on the fair values of fixed rate callable securities available-for-sale. The hedging strategy on securities converts the fixed interest rates to LIBOR-based variable interest rates. These derivatives are designated as partial term hedges of selected cash flows covering specified periods of time prior to the call dates of the hedged securities. During 2019, the Company entered into eight swap transactions with a notional amount of $37.2 million designated as fair value hedges. These derivatives are intended to protect against the effects of changing interest rates on the fair values of fixed rate securities. The fixed rates on the transactions have a weighted average of 1.697%. Economic hedges Forward sale commitments The Company utilizes forward sale commitments on residential mortgage loans to hedge interest rate risk and the associated effects on the fair value of interest rate lock commitments and loans originated for sale. The forward sale commitments are accounted for as derivatives. The Company typically uses a combination of best efforts and mandatory delivery contracts. The contracts are loan sale agreements where the Company commits to deliver a certain principal amount of mortgage loans to an investor at a specified price on or before a specified date. Generally, the Company may enter into contracts just prior to the loan closing with a customer. Customer loan derivatives The Company enters into customer loan derivatives to facilitate the risk management strategies for commercial banking customers. The Company mitigates this risk by entering into equal and offsetting loan swap agreements with highly rated third-party financial institutions. The Company is party to master netting arrangements with its financial institutional counterparties and the Company offsets assets and liabilities under these arrangements for financial statement presentation purposes. The master netting arrangements provide for a single net settlement of all loan swap agreements, as well as collateral or cash funds, in the event of default on, or termination of, any one contract with that counterparty. Collateral is provided by cash or securities received or posted by the counterparty with net liability positions, respectively, in accordance with contract thresholds. Currently, the Company has posted cash of $23.5 million with counterparties. The below table describes the potential effect of master netting arrangements on the consolidated balance sheet and the financial collateral pledged for these arrangements: Gross Amounts Offset in the Consolidated Balance Sheet Derivative Cash Collateral (in thousands) Liabilities Derivative Assets Pledged Net Amount As of December 31, 2020 Customer Loan Derivatives: MNA counterparty $ (15,938) $ 15,938 $ 23,450 $ — RPA counterparty (9,957) 9,957 — — Total $ (25,895) $ 25,895 $ 23,450 $ — Non-hedging derivatives Interest rate lock commitments The Company enters into interest rate lock commitments (“IRLCs”) for residential mortgage loans, which commit the Company to lend funds to a potential borrower at a specific interest rate and within a specified period of time. IRLCs relate to the origination of residential mortgage loans that are held for sale are considered derivative financial instruments under applicable accounting guidance. Outstanding IRLCs expose the Company to the risk that the price of the mortgage loans underlying the commitments may decline due to increases in mortgage interest rates from inception of the rate lock to the funding of the loan. The IRLCs are free-standing derivatives which are carried at fair value with changes recorded in non-interest income in the Company’s Consolidated Statements of Income. Changes in the fair value of IRLCs subsequent to inception are based on; (i) changes in the fair value of the underlying loan resulting from the fulfillment of the commitment and (ii) changes in the probability when the loan will fund within the terms of the commitment, which is affected primarily by changes in interest rates and the passage of time. |
OTHER COMMITMENTS, CONTINGENCIE
OTHER COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE SHEET ACTIVITIES | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
OTHER COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE SHEET ACTIVITIES | NOTE 12. OTHER COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE SHEET ACTIVITIES Customer Obligations The Company is a party to financial instruments in the normal course of business to meet financing needs of its customers. These financial instruments include commitments to extend credit, unused or unadvanced loan funds, and letters of credit. The Company uses the same lending policies and procedures to make such commitments as it uses for other lending products. Customer’s creditworthiness is evaluated on a case-by-case basis. Commitments to originate loans, including unused or unadvanced loan funds, are agreements to lend to a customer provided there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require customer payment of a fee. Since many of the commitments are expected to expire without being fully drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Standby letters of credit generally become payable upon the failure of the customer to perform according to the terms of the underlying contract with the third party, while commercial letters of credit are issued specifically to facilitate commerce and typically result in the commitment being drawn on when the underlying transaction is consummated between the customer and a third party. The contractual amount of these letters of credit represents the maximum potential future payments guaranteed by the Company. Typically these letters of credit expire if unused; therefore the total amounts do not necessarily represent future cash requirements. The following table summarizes the contractual amounts of commitments and contingent liabilities to customers as of December 31, 2020 and December 31, 2019: (in thousands) 2020 2019 Commitments to originate new loans $ 71,857 $ 112,669 Unused funds on commercial and other lines of credit 202,217 188,098 Unadvanced funds on home equity lines of credit 117,198 114,711 Unadvanced funds on construction and real estate loans 106,935 97,500 Commercial and standby letters of credit 3,481 2,941 Letters of credit securing municipal deposits 181,150 38,390 Total $ 682,838 $ 554,309 Legal Claims Various legal claims arise from time to time in the normal course of business. As of December 31, 2020, neither the Company nor its subsidiaries were involved in any pending legal proceedings believed by management to be material to the Company’s financial condition or results of operations. Periodically, there have been various claims and lawsuits involving the Company, such as claims to enforce liens, condemnation proceedings on properties in which the Company holds security interests, claims involving the making and servicing of real property loans, and other issues incident in the normal course of the Company’s business. However, neither the Company nor its subsidiaries are a party to any pending legal proceedings that it believes, in the aggregate, would have a material adverse effect on the financial condition or operations of the Company. Additionally, an estimate of future, probable losses cannot be estimated as of December 31, 2020. |
SHAREHOLDERS' EQUITY AND EARNIN
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE | 12 Months Ended |
Dec. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE | NOTE 13. SHAREHOLDERS’ EQUITY AND EARNINGS PER COMMON SHARE The actual and required capital ratios at December 31, 2020 and December 31, 2019 were as follows: 2020 Regulatory Minimum to Actual be "Well-Capitalized" (in thousands, except ratios) Amount Ratio Amount Ratio Company (consolidated) Total capital to risk-weighted assets $ 353,239 13.56 % $ 273,479 10.50 % Common equity tier 1 capital to risk-weighted assets 273,178 10.49 182,320 7.00 Tier 1 capital to risk-weighted assets 273,178 11.28 205,850 8.50 Tier 1 capital to average assets 273,178 8.12 168,147 5.00 Bank Total capital to risk-weighted assets $ 345,397 13.27 % $ 273,298 10.50 % Common equity tier 1 capital to risk-weighted assets 325,956 12.52 182,244 7.00 Tier 1 capital to risk-weighted assets 325,956 12.52 221,296 8.50 Tier 1 capital to average assets 325,956 9.02 180,685 5.00 2019 Regulatory Minimum to Actual be "Well-Capitalized" (in thousands, except ratios) Amount Ratio Amount Ratio Company (consolidated) Total capital to risk-weighted assets $ 341,492 13.61 % $ 263,377 10.50 % Common equity tier 1 capital to risk-weighted assets 265,205 10.57 175,584 7.00 Tier 1 capital to risk-weighted assets 285,825 11.39 213,211 8.50 Tier 1 capital to average assets 285,825 8.13 175,890 5.00 Bank Total capital to risk-weighted assets $ 310,982 12.42 % $ 262,999 10.50 % Common equity tier 1 capital to risk-weighted assets 295,315 11.79 175,332 7.00 Tier 1 capital to risk-weighted assets 295,315 11.79 212,904 8.50 Tier 1 capital to average assets 295,315 8.39 175,996 5.00 At each date shown, the Company and the Bank met the conditions to be classified as “well-capitalized” under the relevant regulatory framework. To be categorized as “well-capitalized”, an institution must maintain minimum total risk-based, Tier 1 risk-based, and Tier 1 leverage ratios as set forth in the table above. The Company and the Bank are subject to the Basel III rule that requires the Company and the Bank to assess their Common equity tier 1 capital to risk weighted assets and the Company and the Bank each exceed the minimum to be “well-capitalized.” Effective January 1, 2019, all banking organizations must maintain a minimum Common equity tier 1 risk-based capital ratio of 7.0%, a minimum Tier 1 risk-based capital ratio of 8.5% and a minimum Total risk- based capital ratio of 10.5%. Accumulated Other Comprehensive Income Components of accumulated other comprehensive income at December 31, 2020 and December 31, 2019 are as follows: (in thousands) 2020 2019 Accumulated other comprehensive income, before tax: Net unrealized gain on AFS securities $ 13,069 $ 7,250 Net unrealized gain (loss) on hedging derivatives 3,144 (628) Net unrealized loss on post-retirement plans (1,850) (1,512) Income taxes related to items of accumulated other comprehensive income: Net unrealized gain on AFS securities (3,046) (1,703) Net unrealized (gain) loss on hedging derivatives (733) 149 Net unrealized loss on post-retirement plans 432 355 Accumulated other comprehensive income $ 11,016 $ 3,911 The following table presents the components of other comprehensive income in 2020, 2019 and 2018: 2020 (in thousands) Before Tax Tax Effect Net of Tax Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 11,264 $ (2,636) $ 8,628 Less: reclassification adjustment for gains (losses) realized in net income 5,445 (1,291) 4,154 Net unrealized gain on AFS securities 5,819 (1,345) 4,474 Net unrealized gain on hedging derivatives: Net unrealized loss arising during the period (1,080) 37 (1,043) Less: reclassification adjustment for (losses) gains realized in net income (4,852) 917 (3,935) Net unrealized gain on hedging derivatives 3,772 (880) 2,892 Net unrealized loss on post-retirement plans: Net unrealized loss arising during the period (338) 77 (261) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on post-retirement plans (338) 77 (261) Other comprehensive income $ 9,253 $ (2,148) $ 7,105 2019 (in thousands) Before Tax Tax Effect Net of Tax Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 18,883 $ (4,489) $ 14,394 Less: reclassification adjustment for gains (losses) realized in net income 237 (55) 182 Net unrealized gain on AFS securities 18,646 (4,434) 14,212 Net unrealized loss on derivative hedges: Net unrealized loss arising during the period (938) 289 (649) Less: reclassification adjustment for gains (losses) realized in net income (3,156) 737 (2,419) Net unrealized gain on derivative hedges 2,218 (448) 1,770 Net unrealized loss on post-retirement plans: Net unrealized loss arising during the period (352) 83 (269) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on post-retirement plans (352) 83 (269) Other comprehensive income $ 20,512 $ (4,799) $ 15,713 2018 (in thousands) Before Tax Tax Effect Net of Tax Net unrealized loss on AFS securities: Net unrealized arising during the period $ (9,487) $ 2,194 $ (7,293) Less: reclassification adjustment for gains (losses) realized in net income (924) 216 (708) Net unrealized loss on AFS securities (8,563) 1,978 (6,585) Net unrealized gain on derivative hedges: Net unrealized gain arising during the period 654 (168) 486 Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on derivative hedges 654 (168) 486 Net unrealized loss on post-retirement plans: Net unrealized loss arising during the period (245) 54 (191) Less: reclassification adjustment for gains (losses) realized in net income (29) 7 (22) Net unrealized loss on post-retirement plans (216) 47 (169) Other comprehensive loss $ (8,125) $ 1,857 $ (6,268) The following table presents the changes in each component of accumulated other comprehensive income/(loss) in 2020, 2019 and 2018: 2020 Net unrealized Net loss on Net unrealized gain effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Balance at beginning of period $ 5,547 $ (479) $ (1,157) $ 3,911 Other comprehensive gain (loss) before reclassifications 8,628 (1,043) (261) 7,324 Less: amounts reclassified from accumulated other comprehensive income 4,154 (3,935) — 219 Total other comprehensive income (loss) 4,474 2,892 (261) 7,105 Balance at end of period $ 10,021 $ 2,413 $ (1,418) $ 11,016 2019 Net unrealized Net loss on Net unrealized (loss) gain effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Balance at beginning of period $ (8,665) $ (2,249) $ (888) $ (11,802) Other comprehensive (loss) gain before reclassifications 14,394 (649) (269) 13,476 Less: amounts reclassified from accumulated other comprehensive income 182 (2,419) — (2,237) Total other comprehensive income (loss) 14,212 1,770 (269) 15,713 Less: amounts reclassified from accumulated other comprehensive income for ASU 2018-02 — — — — Balance at end of period $ 5,547 $ (479) $ (1,157) $ 3,911 2018 Net unrealized Net loss on Net unrealized (loss) gain effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Balance at beginning of period $ (1,713) $ (2,250) $ (591) $ (4,554) Other comprehensive (loss) gain before reclassifications (7,293) 486 (191) (6,998) Less: amounts reclassified from accumulated other comprehensive income (708) — (22) (730) Total other comprehensive (loss) income (6,585) 486 (169) (6,268) Less: amounts reclassified from accumulated other comprehensive income for ASU 2018-02 (367) (485) (128) (980) Balance at end of period $ (8,665) $ (2,249) $ (888) $ (11,802) The following tables presents the amounts reclassified out of each component of accumulated other comprehensive income (loss) in 2020, 2019 and 2018: Affected Line Item where (in thousands) 2020 2019 2018 Net Income is Presented Net realized gains on AFS securities: Before tax $ 5,445 $ 237 $ (924) Non-interest income Tax effect (1,291) (55) 216 Tax expense Total reclassifications for the period $ 4,154 $ 182 $ (708) Affected Line Item where (in thousands) 2020 2019 2018 Net Income is Presented Realized loss on effective derivative hedges: Before tax $ 4,852 $ (3,156) $ — Non-interest expense Tax effect (917) 737 — Tax expense Total reclassifications for the period $ 3,935 $ (2,419) $ — Affected Line Item where (in thousands) 2020 2019 2018 Net Income is Presented Realized loss on effective post retirement: Before tax $ — $ — $ (29) Non-interest expense Tax effect — — 7 Tax expense Total reclassifications for the period $ — $ — $ (22) Earnings per share have been computed based on the following (average diluted shares outstanding are calculated using the treasury stock method): (in thousands, except per share and share data) 2020 2019 2018 Net income $ 33,244 $ 22,620 $ 32,937 Average number of basic common shares outstanding 15,245,728 15,540,884 15,487,686 Plus: dilutive effect of stock options and awards outstanding 25,819 46,109 76,778 Average number of diluted common shares outstanding 15,271,547 15,586,993 15,564,464 Anti-dilutive options excluded from earnings calculation — — 7,991 Earnings per share: Basic $ 2.18 $ 1.46 $ 2.13 Diluted $ 2.18 $ 1.45 $ 2.12 |
STOCK BASED COMPENSATION PLANS
STOCK BASED COMPENSATION PLANS | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
STOCK BASED COMPENSATION PLANS | NOTE 14. STOCK BASED COMPENSATION PLANS On October 3, 2000, the shareholders of the Company approved the Bar Harbor Bankshares and Subsidiaries Incentive Stock Option Plan of 2000 (the “ISOP”) for its officers and employees, which provided for the issuance of up to 1,012,500 shares of common stock. The purchase price of the stock covered by each option must be at least 100% of the trading value on the date such option was granted. Vesting terms ranged from three On May 19, 2015, the shareholders of the Company approved the adoption of the 2015 Bar Harbor Bankshares and Subsidiaries Equity Incentive Plan (the “2015 Plan”) for employees and directors of the Company and its subsidiaries. Subject to adjustment for stock splits, stock dividends, and similar events, the total number of shares of common stock that could be issued under the 2015 Plan over the 10 year period in which the plan is in place was 420,000 shares of common stock. The 2015 Plan was administered by the Company’s Compensation Committee. All employees and directors of the Company and its subsidiaries were eligible to participate in the 2015 Plan, subject to the discretion of the administrator and the terms of the 2015 Plan. The maximum stock award granted to one individual did not exceed 30,000 shares of common stock (subject to adjustment for stock splits, and similar events) for any calendar year. No grants were made after May 19, 2019 pursuant to this plan. On May 21, 2019 the shareholders of the Company approved the adoption of the 2019 Bar Harbor Bankshares and Subsidiaries Equity Incentive Plan (the “2019 Plan”) for employees and directors of the Company and its subsidiaries. Subject to adjustment for stock splits, stock dividends, and similar events, the total number of shares of common stock that can be issued under the 2019 Plan over the 10 year period in which the plan will be in place is 500,000 shares of common stock. The 2019 Plan is administered by the Company’s Compensation Committee. All employees and directors of the Company and its subsidiaries are eligible to participate in the 2019 Plan, subject to the discretion of the administrator and the terms of the 2019 Plan. As of December 31, 2020 there were 330,188 shares available for grant under this plan. In April of 2013, the Board of Directors approved a Long Term Incentive Program for senior management members. The program is designed to be made up of a series of three year rolling plans utilizing the shares made available through the approved equity plans. Grants may be given in time vested restricted stock awards, time vested restricted stock units or performance vested restricted stock units, or a combination of these types of grants. Compensation expense recognized in connection with the stock based compensation plans are presented in the following table for the years ended December 31, 2020, 2019, and 2018: (in thousands) 2020 2019 2018 Stock options and restricted stock awards $ 287 $ 328 $ 350 Performance stock units 385 170 237 Restricted stock units 1,258 854 711 Total compensation expense $ 1,930 $ 1,352 $ 1,298 The total tax benefit recognized associated with stock options and restricted stock awards for the years ended 2020, 2019 and 2018 was $67 thousand, $78 thousand and $81 thousand, respectively. The total tax benefit recognized associated with restricted stock units and performance stock units for the years ended 2020, 2019 and 2018 was $383 thousand, $244 thousand and $221 thousand, respectively. Stock Option and Restricted Stock Awards Activity: Number of Weighted Aggregate Stock Options Average Intrinsic Value Stock Options Outstanding Exercise Price (in thousands) Outstanding at January 1, 2020 107,784 $ 20.15 Granted — — Exercised (9,860) 18.42 Forfeited (483) 16.96 Expired (2,875) 21.90 Outstanding at December 31, 2020 94,566 $ 20.29 $ 226 Ending vested and expected to vest December 31, 2020 94,566 $ 20.29 $ 226 Exercisable at December 31, 2020 92,956 20.35 217 Number of Weighted Aggregate Stock Options Average Intrinsic Value Stock Options Outstanding Exercise Price (in thousands) Outstanding at January 1, 2019 121,637 $ 19.96 Granted — — Exercised (13,853) 18.44 Forfeited — — Outstanding at December 31, 2019 107,784 $ 20.15 $ 565 Ending vested and expected to vest December 31, 2019 107,784 $ 20.15 $ 565 Exercisable at December 31, 2019 98,460 20.48 483 Number of Restricted Stock Weighted Average Awards Grant Date Fair Restricted Stock Awards Outstanding Value Outstanding at January 1, 2020 — $ — Awarded 39,565 23.59 Vested (39,565) 23.59 Forfeited — — Outstanding at December 31, 2020 — $ — There were no restricted stock awards granted in 2019. The intrinsic value of the options exercised under both plans for the years ended December 31, 2020, 2019, and 2018, was approximately $48 thousand, $98 thousand and $760 thousand, respectively. As of December 31, 2020, there was no unrecognized compensation cost related to unvested stock option awards, net of estimated forfeitures. Performance Stock Units During 2020, performance stock unit awards were granted to certain executive officers providing the opportunity to earn shares of common stock of the Company collectively ranging from zero to 37,562 shares, based on the Company’s performance compared to peers. The performance stock units granted will vest only if the performance measures are achieved. Failure to achieve the performance measures will result in all or a portion of shares being forfeited. The performance shares granted had a weighted average fair value of $25.07 at the date of grant, and will be earned over a three year performance period. During 2019, performance stock unit awards were granted to certain executive officers providing the opportunity to earn shares of common stock of the Company collectively ranging from zero to 26,956 shares, based on the Company’s performance compared to peers. The performance stock units granted will vest only if the performance measures are achieved. Failure to achieve the performance measures will result in all or a portion of shares being forfeited. The performance shares granted had a weighted average fair value of $23.24 at the date of grant, and will be earned over a three year performance period. The following table summarizes performance units at target as of December 31, 2020 and 2019: Number of Weighted Average Performance Stock Grant Date Fair Performance Stock Units Units Outstanding Value Nonvested at January 1, 2020 43,058 $ 26.01 Awarded 25,041 25.07 Vested and exercised (10,369) 18.51 Forfeited (1,402) 29.13 Nonvested at December 31, 2020 56,328 $ 24.98 Number of Weighted Average Performance Stock Grant Date Fair Performance Stock Units Units Outstanding Value Nonvested at January 1, 2019 37,865 $ 26.77 Awarded 17,968 23.24 Vested and exercised (11,801) 23.92 Forfeited (974) 28.78 Nonvested at December 31, 2019 43,058 $ 26.01 The intrinsic value of the performance stock units vested and exercised for the years ended December 31, 2020, 2019 and 2018, was $174 thousand, $376 thousand and $337 thousand, respectively. Restricted Stock Units During 2020 and 2019, restricted stock units were granted to certain executive officers and senior vice presidents. The restricted shares granted were valued between $20.44 and $25.07 for 2020 and between $22.07 and $24.67 for 2019 the fair market value at the date of grant and vest annually over three years. The following table summarizes restricted stock units activity in 2020 and 2019: Number of Weighted Average Restricted Stock Grant Date Fair Units Outstanding Value Outstanding at January 1, 2020 106,552 $ 25.82 Granted 63,667 21.98 Vested and exercised (31,565) 27.38 Forfeited (7,256) 25.60 Outstanding at December 31, 2020 131,398 $ 23.57 Number of Weighted Average Restricted Stock Grant Date Fair Units Outstanding Value Outstanding at January 1, 2019 80,740 $ 28.24 Granted 50,352 22.45 Vested and exercised (19,411) 26.11 Forfeited (5,129) 29.28 Outstanding at December 31, 2019 106,552 $ 25.82 The intrinsic value of the restricted stock units vested and exercised for the years ended December 31, 2020, 2019 and 2018, was $600 thousand, $493 thousand and $594 thousand, respectively. As of December 31, 2020, there was $2.2 million of total unrecognized compensation cost related to nonvested restricted stock units and performance stock units granted under the Plans. That cost is expected to be recognized over a weighted average period of 1.62 years. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 15. FAIR VALUE MEASUREMENTS A description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. These valuation methodologies were applied to all of the Company’s financial assets and financial liabilities that are carried at fair value. Recurring Fair Value Measurements The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis as of December 31, 2020 and December 31, 2019, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value. December 31, 2020 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 212,390 $ — $ 212,390 US Government agency — 85,632 — 85,632 Private label — 19,709 — 19,709 Obligations of states and political subdivisions thereof — 169,004 — 169,004 Corporate bonds — 98,311 — 98,311 Derivative assets — 28,684 22 28,706 Derivative liabilities — (28,559) (95) (28,654) December 31, 2019 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 321,969 $ — $ 321,969 US Government agency — 99,661 — 99,661 Private label — 19,533 — 19,533 Obligations of states and political subdivisions thereof — 142,006 — 142,006 Corporate bonds — 80,061 — 80,061 Derivative assets — 6,791 59 6,850 Derivative liabilities — (8,102) (84) (8,186) Securities Available for Sale: Derivative Assets and Liabilities Cash Flow Hedges. Interest Rate Lock Commitments. Forward Sale Commitments Customer Loan Derivatives. Although the Company has determined that the majority of the inputs used to value its customer loan derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. However, as of December 31, 2020, the Company assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and determined that the credit valuation adjustments are not significant to the overall valuation of its derivatives. As a result, the Company determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. The table below presents the changes in Level 3 assets and liabilities that were measured at fair value on a recurring basis in 2020 and 2019. Assets (Liabilities) Interest Rate Lock Forward (in thousands) Commitments Commitments December 31, 2018 8 — Realized gain (loss) recognized in non-interest income 51 (84) December 31, 2019 59 (84) Realized loss recognized in non-interest income (37) (11) December 31, 2020 $ 22 $ (95) Quantitative information about the significant unobservable inputs within Level 3 recurring assets and liabilities is as follows: Significant Fair Value Fair Value Unobservable (in thousands, except ratios) Dec 31, 2020 Dec 31, 2019 Valuation Techniques Unobservable Inputs Input Value Assets (Liabilities) Interest Rate Lock Commitment $ 22 $ 59 Historical trend Closing Ratio 90 % Pricing Model Origination Costs, per loan $ 1.7 Forward Commitments (95) (84) Quoted prices for similar loans in active markets Freddie Mac pricing system Pair-off contract price Total $ (73) $ (25) There were no level 3 assets and liabilities that were measured at fair value on a recurring basis in 2020 and 2019. Non-Recurring Fair Value Measurements The Company is required, on a non-recurring basis, to adjust the carrying value or provide valuation allowances for certain assets using fair value measurements in accordance with U.S. GAAP. The following is a summary of applicable non-recurring fair value measurements. Fair Value Measurement December 31, 2020 December 31, 2019 December 31, 2020 Date as of December 31, 2020 Level 3 Level 3 Total Level 3 (in thousands) Inputs Inputs Gains (Losses) Inputs Assets Impaired loans $ 8,746 $ 9,625 $ 879 December 2020 Capitalized servicing rights 3,605 4,301 696 December 2020 Other real estate owned — 2,236 (355) September 2020 Premises held for sale 962 1,764 122 December 2020 Total $ 13,313 $ 17,926 $ 1,342 Quantitative information about the significant unobservable inputs within Level 3 non-recurring assets as of December 31, 2020 and December 31, 2019 is as follows: (in thousands, except ratios) Fair Value Dec 31, 2020 Valuation Techniques Unobservable Inputs Range (Weighted Average) (a) Assets Impaired loans $ 6,128 Fair value of collateral-appraised value Loss severity 0% to 70% Appraised value $0 to $1,730 Impaired loans 2,618 Discount cash flow Discount rate 3.50% to 9.50% Cash flows $19 to $953 Capitalized servicing rights 3,605 Discounted cash flow Constant prepayment rate (CPR) 18.53% Discount rate 10.05% Premises held for sale 962 Fair value of asset less selling costs Appraised value $220 to $386 Selling Costs 6% Total $ 13,313 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individuals properties. (in thousands, except ratios) Fair Value Dec 31, 2019 Valuation Techniques Unobservable Inputs Range (Weighted Average) (a) Assets Impaired loans $ 6,137 Fair value of collateral-appraised value Loss severity 0% to 55.00% Appraised value $0 to $6,915 Impaired loans 3,488 Discount cash flow Discount rate 2.88% to 9.50% Cash flows $22 to $1,002 Capitalized servicing rights 4,301 Discounted cash flow Constant prepayment rate (CPR) 9.95% Discount rate 10.07% Other real estate owned 2,236 Fair value of collateral less selling costs Appraised value $2,695 Selling Costs 10% to 20% Premises held for sale 1,764 Fair value of asset less selling costs Appraised value $136 to $527 Selling Costs 6% Total $ 17,926 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individuals properties. There were no Level 1 or Level 2 non-recurring fair value measurements for the periods ended December 31, 2020 and December 31, 2019. Impaired Loans. Capitalized loan servicing rights . Other real estate owned (“OREO”). Premises held for sale. Summary of Estimated Fair Values of Financial Instruments The following table represents estimated fair values, and related carrying amounts of the Company’s financial instruments as of December 31, 2020 and December 31, 2019. Certain financial instruments and all non-financial instruments are excluded from disclosure requirements. Accordingly, the aggregate fair value amounts presented herein may not necessarily represent the underlying fair value of the Company. December 31, 2020 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 226,007 $ 226,007 $ 226,007 $ — $ — Securities available for sale 585,046 585,046 — 585,046 — FHLB stock 14,036 14,036 — 14,036 — Loans held for sale 23,988 — — — 24,163 Net loans 2,543,803 2,547,970 — — 2,547,970 Accrued interest receivable 2,964 2,964 — 2,964 — Cash surrender value of bank-owned life insurance policies 77,870 77,870 — 77,870 — Derivative assets 28,706 28,706 — 28,684 22 Financial Liabilities Non-maturity deposits $ 2,207,854 $ 2,122,222 $ — $ 2,122,222 $ — Time deposits 698,361 694,700 — 694,700 — Securities sold under agreements to repurchase 27,779 27,779 — 27,779 — FHLB advances 248,283 252,698 — 252,698 — Subordinated borrowings 59,961 57,091 — 57,091 — Derivative liabilities 28,654 28,654 — 28,559 95 December 31, 2019 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 56,910 $ 56,910 $ 56,910 $ — $ — Securities available for sale 663,230 663,230 — 663,230 — FHLB stock 20,679 20,679 — 20,679 — Loans held for sale 6,499 — — — 6,572 Net loans 2,625,739 2,634,147 — — 2,634,147 Accrued interest receivable 3,294 3,294 — 3,294 — Cash surrender value of bank-owned life insurance policies 75,863 75,863 — 75,863 — Derivative assets 6,850 6,850 — 6,791 59 Financial Liabilities Non-maturity deposits $ 1,763,116 $ 1,751,481 $ — $ 1,751,481 $ — Time deposits 932,635 932,886 — 932,886 — Short-term other borrowings 44,832 44,831 — 44,831 — FHLB advances 426,564 425,989 — 425,989 — Subordinated borrowings 59,920 59,920 — 59,920 — Derivative liabilities 8,186 8,186 — 8,102 84 |
REVENUE FROM CONTRACTS WITH CUS
REVENUE FROM CONTRACTS WITH CUSTOMERS | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE FROM CONTRACTS WITH CUSTOMERS | NOTE 16. REVENUE FROM CONTRACTS WITH CUSTOMERS The Company has accounted for the various non-interest revenue streams and related contracts under ASC 606. Disaggregation of Revenue The following tables present disaggregation of the Company’s non-interest revenue by major business line and timing of revenue recognition for the transfer of products or services: Twelve Months Ended December 31, (in thousands) 2020 2019 Major Products/Service Lines Trust management fees $ 12,246 $ 11,098 Financial services fees 1,132 966 Interchange fees 6,668 4,899 Customer deposit fees 3,746 4,281 Other customer service fees 913 946 Total $ 24,705 $ 22,190 Twelve Months Ended December 31, (in thousands) 2020 2019 Timing of Revenue Recognition Products and services transferred at a point in time $ 11,992 $ 10,748 Products and services transferred over time 12,713 11,442 Total $ 24,705 $ 22,190 Trust Management Fees The trust management business generates revenue through a range of fiduciary services including trust and estate administration, wealth advisory, and investment management to individuals, businesses, not-for-profit organizations, and municipalities. Revenue from these services is generally recognized over time and is typically based on a time elapsed measure of progress. Certain fees, such as bill paying fees, distribution fees, real estate sale fees, and supplemental tax service fees, are recorded as revenue at a point in time upon the completion of the service. Financial Services Fees Bar Harbor Financial Services is a branch office of Infinex, an independent registered broker dealer offering securities and insurance products not affiliated with the Company or its subsidiaries. The Company has a revenue sharing agreement with Infinex for any financial service fee income generated. Financial services fees are recognized at a point in time upon the completion of monthly service requirements. Interchange Fees The Company earns interchange fees from transaction fees that merchants pay whenever a customer uses a debit card to make a purchase from the merchant. The fees are paid to the card-issuing bank to cover handling costs, fraud, bad debt costs and the risk involved in approving the payment. Interchange fees are generally recognized as revenue at a point in time upon the completion of a debit card transaction. Customer Deposit Fees The Customer Deposit business offers a variety of deposit accounts with a range of interest rates, fee schedules and other terms, which are designed to meet the customer’s financial needs. Additional depositor related services provided to customers include ATM, bank-by-phone, internet banking, internet bill pay, mobile banking, and other cash management services which include remote deposit capture, ACH origination, and wire transfers. These customer deposit fees are generally recognized by the Company at a point in time upon the completion of the service. Other Customer Service Fees The Company has certain incentive and referral fee arrangements with independent third parties in which fees are earned for new account activity, product sales, or transaction volume generated for the respective third parties. The Company also earns a percentage of the fees generated from third party credit card plans promoted through the Bank. Revenue from these incentive and referral fee arrangements are recognized over time using the right to invoice measure of progress. Contract Balances with Customers The following table provides information about contract assets or receivables and contract liabilities or deferred revenues from contracts with customers. (in thousands) December 31, 2020 December 31, 2019 Balances from contracts with customers only: Other Assets $ 1,121 $ 1,703 Other Liabilities 2,785 3,114 The timing of revenue recognition, billings and cash collections results in contract assets or receivables and contract liabilities or deferred revenue on the consolidated balance sheets. For most customer contracts, fees are deducted directly from customer accounts and, therefore, there is no associated impact on the accounts receivable balance. For certain types of service contracts, the Company has an unconditional right to consideration under the service contract and an accounts receivable balance is recorded for services completed. When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded. Contract liabilities are recognized as revenue after control of the products or services is transferred to the customer and all revenue recognition criteria have been met. Costs to Obtain and Fulfill a Contract The Company currently expenses contract costs for processing and administrative fees for debit card transactions. The Company also expenses custody fees and transactional costs associated with securities transactions as well as third party tax preparation fees. The Company has elected the practical expedient in ASC 340-40-25-4, whereby the Company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets the Company otherwise would have recognized is one year or less. |
LEASES
LEASES | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
LEASES | NOTE 17. LEASES A lease is defined as a contract, or part of a contract, that conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. On January 1, 2019, the Company adopted ASU No. 2016-02 “Leases” The Company has elected the following practical expedients in conjunction with implementation of ASC 842 as follows: ● Package of practical expedients : o Lease classification as an operating lease under the prior standards is grandfathered. o Re-evaluation of embedded leases evaluated under the prior standards is not required. o No re-assessment of previously recorded initial direct lease costs. ● Election to exclude short-term leases (i.e., leases with initial terms of twelve months or less), from capitalization on the consolidated balance sheets. The following table presents the consolidated statements of condition classification of the Company’s ROU assets and lease liabilities: (in thousands) Classification December 31, 2020 December 31, 2019 Lease Right-of-Use Assets Operating lease right-of-use assets Other assets $ 10,338 $ 9,623 Lease Liabilities Operating lease liabilities Other liabilities 10,627 9,651 The calculated amount of the ROU assets and lease liabilities in the table above are impacted by the length of the lease term and the discount rate used for the present value of the minimum lease payments. The Company’s lease agreements often include one or more options to renew at the Company’s discretion. If at lease inception, the Company considers the exercising of a renewal option to be reasonably certain, the Company will include the extended term in the calculation of the ROU asset and lease liability. Regarding the discount rate, ASC 842 requires the use of the rate implicit in the lease whenever this rate is readily determinable. As this rate is rarely determinable, the Company utilizes its incremental borrowing rate at lease inception, on a collateralized basis, over a similar term. For operating leases existing prior to January 1, 2019, the rate for the original lease term as of January 1, 2019 was used. December 31, 2020 December 31, 2019 Weighted-average remaining lease term (in years) Operating leases 9.26 8.96 Weighted-average discount rate Operating leases 3.15 % 3.27 % The following table represents lease costs and other lease information. As the Company elected, for all classes of underlying assets, not to separate lease and non-lease components and instead to account for them as a single lease component, the variable lease cost primarily represents variable payments such as real estate taxes, common area maintenance and utilities. Twelve Months Ended (in thousands) December 31, 2020 December 31, 2019 Lease Costs Operating lease cost $ 1,285 $ 698 Variable lease cost 271 711 Total lease cost $ 1,556 $ 1,409 Future minimum payments for operating leases with initial or remaining terms of one year or more as of December 31, 2020 are, as follows: (in thousands) Payments Twelve Months Ended: December 31, 2021 $ 1,293 December 31, 2022 1,319 December 31, 2023 1,318 December 31, 2024 1,293 December 31, 2025 1,092 Thereafter 5,362 Total future minimum lease payments 11,677 Amounts representing interest (1,050) Present value of net future minimum lease payments $ 10,627 |
CONDENSED FINANCIAL STATEMENTS
CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Information Disclosure [Abstract] | |
CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY | NOTE 18. CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY The condensed balance sheets of Bar Harbor Bankshares as of December 31, 2020 and 2019, and the condensed statements of income and cash flows for the years ended December 31, 2020, 2019 and 2018 are presented below: CONDENSED BALANCE SHEETS December 31, (in thousands) 2020 2019 Assets Cash $ 10,741 $ 29,223 Investment in subsidiaries 464,645 427,536 Premises and equipment 756 687 Other assets 1,934 4,586 Total assets $ 478,076 $ 462,032 Liabilities and Shareholders Equity Subordinated notes $ 59,961 $ 59,920 Accrued expenses 6,774 5,705 Shareholders equity 411,341 396,407 Total liabilities and shareholders equity $ 478,076 $ 462,032 CONDENSED STATEMENTS OF INCOME Years Ended December 31, (in thousands) 2020 2019 2018 Income: Dividends from subsidiaries $ 8,024 $ 21,734 $ 23,705 Other income 742 337 31 Total income 8,766 22,071 23,736 Interest expense 2,750 2,188 2,121 Non-interest expense 4,465 3,208 3,147 Total expense 7,215 5,396 5,268 Income before taxes and equity in undistributed income of subsidiaries 1,552 16,675 18,468 Income tax benefit (1,539) (1,100) (1,136) Income before equity in undistributed income of subsidiaries 3,091 17,775 19,604 Equity in undistributed income of subsidiaries 30,153 4,845 13,333 Net income $ 33,244 $ 22,620 $ 32,937 CONDENSED STATEMENTS OF CASH FLOWS Years Ended December 31, (in thousands) 2020 2019 2018 Cash flows from operating activities: Net income $ 33,244 $ 22,620 $ 32,937 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed income of subsidiaries (30,153) (4,845) (13,333) Other, net 3,840 (1,040) (1,457) Net cash provided by operating activities 6,931 16,735 18,147 Cash flows from investing activities: Acquisitions, net of cash paid — — — Purchase of securities — — (7) Capital contribution to subsidiary — (8,000) — Net cash used in investing activities — (8,000) (7) Cash flows from financing activities: Proceeds from issuance of subordinated debt — 40,000 — Repayment of subordinated debt — (17,000) — Net proceeds from common stock 2,192 883 951 Net proceeds from reissuance of treasury stock (14,188) (22) 686 Common stock cash dividends paid (13,417) (13,366) (12,184) Net cash (used in) provided by financing activities (25,413) 10,495 (10,547) Net change in cash and cash equivalents (18,482) 19,230 7,593 Cash and cash equivalents at beginning of year 29,223 9,993 2,400 Cash and cash equivalents at end of year $ 10,741 $ 29,223 $ 9,993 |
QUARTERLY DATA (UNAUDITED)
QUARTERLY DATA (UNAUDITED) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY DATA (UNAUDITED) | NOTE 19. QUARTERLY DATA (UNAUDITED) Quarterly results of operations were as follows during 2020 and 2019: 2020 Fourth Third Second First (in thousands, except per share data) Quarter Quarter Quarter Quarter Interest and dividend income $ 30,700 $ 30,475 $ 31,435 $ 33,494 Interest expense 5,338 5,810 6,845 8,931 Net interest income 25,362 24,665 24,590 24,563 Non-interest income 14,723 10,102 9,710 8,421 Provision for loan losses 1,360 1,800 1,354 1,111 Non-interest expense 27,816 22,419 22,266 22,359 Income before income taxes 10,909 10,548 10,680 9,514 Income tax expense 2,269 2,146 2,199 1,793 Net income $ 8,640 $ 8,402 $ 8,481 $ 7,721 Earnings per share: Basic $ 0.58 $ 0.56 $ 0.55 $ 0.50 Diluted $ 0.58 $ 0.56 $ 0.55 $ 0.50 Weighted average shares outstanding: Basic 14,909 15,079 15,424 15,558 Diluted 14,952 15,103 15,441 15,593 2019 Fourth Third Second First (in thousands, except per share data) Quarter Quarter Quarter Quarter Interest and dividend income $ 34,117 $ 34,262 $ 33,785 $ 33,227 Interest expense 10,013 11,817 12,289 11,462 Net interest income 24,104 22,445 21,496 21,765 Non-interest income 7,806 7,643 7,453 6,167 Provision for loan losses 538 893 562 324 Non-interest expense 26,803 23,400 20,906 18,624 Income before income taxes 4,569 5,795 7,481 8,984 Income tax expense 362 780 1,364 1,703 Net income $ 4,207 $ 5,015 $ 6,117 $ 7,281 Earnings per share: Basic $ 0.27 $ 0.32 $ 0.39 $ 0.47 Diluted $ 0.27 $ 0.32 $ 0.39 $ 0.47 Weighted average shares outstanding: Basic 15,554 15,547 15,538 15,523 Diluted 15,602 15,581 15,586 15,587 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 20. SUBSEQUENT EVENTS There were no significant subsequent events between December 31, 2020 and through the date the financial statements are available to be issued. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of presentation | Basis of presentation: |
Consolidation | Consolidation: |
Reclassifications | Reclassifications: |
Use of estimates | Use of estimates: |
Cash and Cash Equivalents | Cash and Cash Equivalents: |
Securities and Other-Than-Temporary Impairments on Securities | Securities: Premiums and discounts on securities are amortized and accreted over the term of the securities using the interest method. Gains and losses on the sale of securities are recognized at the trade date using the specific-identification method and are shown separately in the Consolidated Statements of Income. Other-Than-Temporary Impairments on Securities: a security or if it is more likely than not that the Company will be required to sell the security before recovery, an OTTI write-down is recognized in earnings equal to the entire difference between the security’s amortized cost basis and its fair value. If the Company does not intend to sell the security or it is not more likely than not that it will be required to sell the security before recovery, the OTTI write-down is separated into an amount representing credit loss, which is recognized in earnings, and an amount related to all other factors, which is recognized in other comprehensive income. To determine the amount related to credit loss on a debt security, the Company applies a methodology similar to that used for evaluating the impairment of loans. |
Federal Home Loan Bank Stock | Federal Home Loan Bank Stock: The Company periodically evaluates FHLB stock for impairment based on the capital adequacy of the FHLB and its overall financial condition. Based on the capital adequacy, liquidity position and sustained profitability of the FHLB, management believes there is no impairment related to the carrying amount of the Bank’s FHLB stock as of December 31, 2020. |
Loans Held for Sale | Loans Held for Sale: |
Loans | Loans: Interest on loans is accrued and credited to income based on the principal amount of loans outstanding. Loan origination and commitment fees and direct loan origination costs are deferred, and the net amount is amortized as an adjustment of the related loans’ yield, using the level-yield method over the estimated lives of the related loans. |
Acquired Loans | Acquired Loans: For loans that meet the criteria stipulated in ASC 310-30, “Loans and Debt Securities Acquired with Deteriorated Credit Quality,” the Company recognizes the accretable yield, which is defined as the excess of all cash flows expected at acquisition over the initial fair value of the loan, as interest income on a level-yield basis over the expected remaining life of the loan. The excess of the loan’s contractually required payments over the cash flows expected to be collected is the non-accretable difference. The non-accretable difference is not recognized as an adjustment of yield, a loss accrual, or a valuation allowance. The Company evaluates quarterly whether the timing and cash to be collected are reasonably expected. Subsequent significant increases in cash flows the Company expects to collect will first reduce any previously recognized valuation allowance and then be reflected prospectively as an increase to the level yield. Subsequent decreases in expected cash flows may result in the loan being considered impaired. Interest income is not recognized to the extent that the net investment in the loan would increase to an amount greater than the estimated payoff amount. For loans that do not meet the ASC 310-30 criteria, the Company accretes interest income based on the contractually required cash flows. The Company subjects loans that do not meet the ASC 310-30 criteria to ASC 450, “Contingencies” by collectively evaluating these loans for an allowance for loan loss. Acquired loans that met the criteria for non-accrual of interest prior to the acquisition are considered performing upon acquisition, regardless of whether the customer is contractually delinquent, if the Company can reasonably estimate the timing and amount of the expected cash flows on such loans and if the Company expects to fully collect the new carrying value of the loans. As such, the Company may no longer consider the loan to be non-accrual or nonperforming and may accrue interest on these loans, including the impact of any accretable yield. |
Non-performing loans | Non-performing loans: When a loan has been placed on non-accrual status, previously accrued and uncollected interest is reversed against interest on the loan. The interest on non-accrual loans is accounted for using the cash-basis or cost-recovery method depending on corresponding credit risk, until qualifying for return to accrual status. A loan can be returned to accrual status when collectability of principal is reasonably assured and the loan has performed for a period of time, generally six months. |
Impaired loans | Impaired loans: Factors considered by management in determining impairment include payment status and collateral value. In considering loans for evaluation of impairment, management generally excludes smaller balance, homogeneous loans; residential mortgage loans, home equity loans, and all consumer loans, unless such loans were restructured in a troubled debt restructuring. These loans are collectively evaluated for risk of loss. When a loan has been identified as being impaired, the amount of impairment is measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the estimated fair value of the collateral, less any selling costs, if the loan is collateral-dependent. If the measurement of the impaired loan is less than the recorded investment in the loan (including accrued interest, net of deferred loan fees or costs, and unamortized premiums or discounts), impairment is recognized by establishing or adjusting an existing allocation of the allowance for loan losses, or by recording a partial charge-off of the loan to its fair value. Interest payments made on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case, interest income may be accrued or recognized on a cash basis. |
Loans Modified in a Troubled Debt Restructuring | Loans Modified in a Troubled Debt Restructuring: However, performance prior to the modification, or significant events that coincide with the modification, are included in assessing whether the borrower can meet the new terms and may result in the loan being returned to accrual status at the time of loan modification or after a shorter performance period. If the borrower’s ability to meet the revised payment schedule is uncertain, the loan remains on non-accrual status. Loan Modifications under the CARES Act: |
Allowance for Loan Losses | Allowance for Loan Losses: The allowance is calculated in accordance with ASC 310 - Receivables and ASC 450 - Contingencies. Under the guidance of ASC 310, specific allowances are established in cases where management has identified significant conditions or circumstances related to individual loans where the probability of a loss may be incurred. Credit loss estimates for loans without specific allowances are determined under the guidance of ASC 450, which includes portfolio segmentation based on similar risk characteristics, determination of estimated historical loss rates, calculation of a time-based loss emergence and confirmation periods, and adjustments for certain qualitative risk factors. Arriving at an appropriate level of allowance for loan losses involves a high degree of judgment. The determination of the adequacy of the allowance and provisioning for estimated losses is evaluated regularly based on review of loans, with particular emphasis on non-performing and other loans that management believes warrant special consideration. While management uses available information to recognize losses on loans, changing economic conditions and the economic prospects of the borrowers may necessitate future additions or reductions to the allowance. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Bank’s allowance, which also may necessitate future additions or reductions to the allowance, based on information available to them at the time of their examination. Refer to Note 4 - Allowance for Loan Losses |
Reserve for Unfunded Commitments | Reserve for Unfunded Commitments: |
Premises and Equipment | Premises and Equipment: three seven years |
Transfers of Financial Assets | Transfers of Financial Assets: |
Other Real Estate Owned | Other Real Estate Owned: value and operating expenses of the property are recognized through charges to other non-interest expense. The fair value of the property acquired and ongoing valuation is based on third-party appraisals, broker price opinions, recent sales activity, or a combination thereof, subject to management judgment. Due to changing market conditions the amount ultimately realized on the other real estate owned may differ from the amounts reflected in the financial statements. |
Goodwill and Other Intangible Assets | Goodwill: Goodwill represents the excess of the purchase price over the fair value of net assets acquired in accordance with the purchase method of accounting for business combinations. Goodwill is not amortized but, instead, is subject to impairment tests on at least an annual basis, or more frequently, if an event occurs or circumstances change that reduce the fair value of a reporting unit below its carrying amount. The impairment testing process is conducted by assigning assets and goodwill to each reporting unit. Currently, the Company’s goodwill is evaluated at the entity level as there is only one reporting unit. The Company, at our discretion, assesses certain qualitative factors to determine if it is more likely than not that the fair value of the reporting unit is less than its carrying value. An impairment charge is recognized if the carrying fair value of goodwill exceeds the implied fair value of goodwill. Refer to Note 6 – Goodwill and Other Intangibles Other Intangible Assets: |
Bank-Owned Life Insurance | Bank-Owned Life Insurance: |
Capitalized Servicing Rights | Capitalized Servicing Right s : The Company’s capitalized servicing rights are initially recorded at fair value. Fair values are established by using a discounted cash flow model to calculate the present value of estimated future net servicing income. Changes in the fair value of capitalized servicing rights are primarily due to changes in valuation inputs, assumptions, and the collection and realization of expected cash flows. However, these capitalized servicing rights are amortized in proportion to and over the period of estimated net servicing income, which includes prepayment assumptions. An impairment analysis is prepared on a quarterly basis by estimating the fair value of the capitalized servicing rights and comparing that value to the carrying amount. A valuation allowance is established when the carrying amount of these capitalized servicing rights exceeds fair value. The capitalized servicing rights are included in other assets on the Company’s consolidated balance sheet. |
Derivative Financial Instruments | Derivative Financial Instruments: Changes in the fair value of derivative instruments that are highly effective and qualify as cash flow hedge are recorded in other comprehensive income (loss). Any ineffective portion is recorded in earnings. For fair value hedges that are highly effective, the gain or loss on the derivative and the loss or gain on the hedged item attributable to the hedged risk are both recognized in earnings, with the differences (if any) representing hedge ineffectiveness. The Company discontinues hedge accounting when it is determined that the derivative is no longer highly effective in offsetting changes of the hedged risk on the hedged item, or management determines that the designation of the derivative as a hedging instrument is no longer appropriate. Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense based on the item being hedged. Net cash settlements on derivatives that do not quality for hedge accounting are reporting in non-interest income. Cash flows on hedges are classified in the cash flow statement the same as cash flows of the items being hedged. The Company enters into commitments to fund mortgage loans with borrowers (interest rate locks) and forward commitments for the future delivery of these mortgage loans for sale on the secondary market. These mortgage banking derivatives are classified as free standing derivatives to hedge against inherent interest rate and pricing risk associated with selling loans. The commitments to lend generally terminate once the loan is funded, the lock period expires or the borrower decides not to contract for the loan. The forward commitments generally terminate once the loan is sold or the commitment period expires. These commitments are considered derivatives which are accounted for by recognizing their estimated fair value on the Consolidated Balance Sheets in either other assets or other liabilities. |
Senior and Subordinated Borrowings | Senior and Subordinated Borrowings: |
Off-Balance Sheet Financial Instruments | Off-Balance Sheet Financial Instruments: |
Stock Based Compensation | Stock Based Compensation: Stock Based Compensation Plans o |
Employee Stock Purchase Plan | Employee Stock Purchase Plan: |
Employee Benefit Plans | Employee Benefit Plans: The Company recognizes the over-funded or under-funded status of post-retirement benefit plans as a liability or asset on the balance sheet in other liabilities or other assets and recognizes changes in that funded status through other comprehensive income (loss). Gains and losses, prior service costs and credits, and any remaining transition amounts that have not yet been recognized through net periodic benefit costs are recognized in accumulated other comprehensive income/(loss), net of tax effects, until they are amortized as a component of net periodic cost. The measurement date, which is the date at which the benefit obligation and plan assets are measured, is the Company’s fiscal year end. Employee 401(k) expenses are recognized for the amount of the Company’s matching contributions. |
Income Taxes | Income Taxes: |
Treasury Stock | Treasury Stock: |
Earnings Per Share | Earnings Per Share: |
Revenue Recognition | Revenue Recognition: Revenue from Contracts with Customers |
Wealth Management | Wealth Management: |
Marketing Costs | Marketing Costs: |
Segment Reporting | Segment Reporting: |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The following table provides a brief description of accounting standards that could have a material impact to the Company’s consolidated financial statements upon adoption: Standard Description Required Date Effect on financial statements Standards Adopted in 2020 ASU 2017-04, Simplifying the Test for Goodwill Impairment This ASU amends Topic 350, Intangibles-Goodwill and Other, and eliminates Step 2 from the goodwill impairment test. The Company still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary January 1, 2020 The Company has adopted ASU 2017-04 effective January 1, 2020, as required, and the ASU did not have a material impact on its financial statements. Annual goodwill testing was completed as of September 30, 2020. The Company recognized no impairments to goodwill in the third quarter of 2020. See management’s discussion and analysis for further details. ASU 2018-13 Changes to Disclosure Requirements Fair Value Measurement, Topic 820 This ASU eliminates, adds and modifies certain disclosure requirements for fair value measurements. Among the changes, entities will no longer be required to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, but will be required to disclose the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. January 1, 2020 The Company has adopted ASU 2018-13, as of January 1, 2020, as required, and the ASU did not have a material impact to the disclosures as a result of the adoption. Standard Description Required Date Effect on financial statements Standards Not Yet Adopted ASU 2016-13, Measurement of Credit Losses on Financial Instruments ASU 2018‑19, Codification Improvements to ASU 2016-13 This ASU amends Topic 326, Financial Instruments- Credit Losses to replace the current incurred loss accounting model with a current expected credit loss approach ("CECL") for financial instruments measured at amortized cost and other commitments to extend credit, such as of balance sheet credit exposures (loan commitments, unused line of credit and stand-by letters of credit). The amendments require entities to consider all available relevant information when estimating current expected credit losses, including details about past events, current conditions, and reasonable and supportable forecasts. The resulting allowance for credit losses is to reflect the portion of the amortized cost basis that the entity does not expect to collect. The amendments also eliminate the current accounting model for purchased credit impaired loans and certain off-balance sheet exposures. Additional quantitative and qualitative disclosures are required upon adoption. January 1, 2020 Adoption of this ASU is expected to primarily change how the Company estimates credit losses with the application of the expected credit loss model. The Company will apply the standard's provisions as a cumulative effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (i.e., modified retrospective approach). The Company's CECL implementation efforts in the fourth quarter focused on the finalization and board approval of the final CECL model, completed modelling of off-balance sheet credit risks, completed formal governance and control documentation, and developed and presented revised disclosures for board approval. 95 basis points compared to 74 basis points reported under the incurred loss model. The 95 basis points may change in the first quarter of 2021 based primarily on any changes in economic forecasts. ASU 2018-14 Compensation- Disclosure Requirements for Defined Pension Plans Topic 715-20 This ASU makes minor changes to the disclosure requirements for employers that sponsor defined benefit pension and/or other post-retirement benefit plans. January 1, 2021 Adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements. Standard Description Required Date Effect on financial statements Standards Not Yet Adopted (continued) ASU 2020-01, Investments—Equity Securities, Investments Equity Method and Joint Ventures, and Derivatives and Hedging In January 2016, the FASB issued Accounting Standards Update No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, which added Topic 321, Investments – Equity Securities, and made targeted improvements to address certain aspects of accounting for financial instruments. The amendments in this Update affect all entities that apply the guidance in Topics 321, 323, and 815 and (1) elect to apply the measurement alternative or (2) enter into a forward contract or purchase an option to purchase securities that, upon settlement of the forward contract or exercise of the purchased option, would be accounted for under the equity method of accounting. December 15, 2020 The Company has been evaluating our equity method investments which primarily consist of community limited partnership investments to ensure compliance with the new guidance prospectively in 2021. Adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements. ASU 2020-04 Facilitation of the Effects of Reference Rate Reform, Topic 848, as amended in ASU 2021-01 This ASU provides temporary optional expedients and exceptions to GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens of the expected market transition from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate ("SOFR"). For instance, companies can (1) elect not to apply certain modification accounting requirements to contracts affected by reference rate reform, if certain criteria are met. A company that makes this election would not have to re-measure the contracts at the modification date or reassess a previous accounting determination. Companies can also (2) elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met. Finally, companies can (3) make a one-time election to sell and/or reclassify held-to-maturity debt securities that reference an interest rate affected by reference rate reform. May be elected through December 31, 2022. The Company is currently evaluating all of its contracts, hedging relationships and other transactions that will be effected by reference rates that are being discontinued and determining which elections need to be made. |
SECURITIES AVAILABLE FOR SALE (
SECURITIES AVAILABLE FOR SALE (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Securities Available for Sale | Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value December 31, 2020 Mortgage-backed securities: US Government-sponsored enterprises $ 206,834 $ 6,018 $ (462) $ 212,390 US Government agency 82,878 2,870 (116) 85,632 Private label 19,810 40 (141) 19,709 Obligations of states and political subdivisions thereof 164,766 4,244 (6) 169,004 Corporate bonds 97,689 1,465 (843) 98,311 Total securities available for sale $ 571,977 $ 14,637 $ (1,568) $ 585,046 Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value December 31, 2019 Mortgage-backed securities: US Government-sponsored enterprises $ 319,064 $ 4,985 $ (2,080) $ 321,969 US Government agency 98,568 1,640 (547) 99,661 Private label 20,212 68 (747) 19,533 Obligations of states and political subdivisions thereof 139,332 2,942 (268) 142,006 Corporate bonds 78,804 1,478 (221) 80,061 Total securities available for sale $ 655,980 $ 11,113 $ (3,863) $ 663,230 |
Schedule of Amortized Cost and Estimated Fair Value of Available for Sale (AFS) Securities, Segregated by Contractual Maturity | Available for sale (in thousands) Amortized Cost Fair Value Within 1 year $ — $ — Over 1 year to 5 years 20,566 20,963 Over 5 years to 10 years 76,456 76,598 Over 10 years 165,433 169,752 Total bonds and obligations 262,455 267,313 Mortgage-backed securities 309,522 317,733 Total securities available for sale $ 571,977 $ 585,046 |
Schedule of Gains and Losses from Sale of AFS Securities | Proceeds from Sale of Securities (in thousands) Available for Sale Realized Gains Realized Losses Net 2020 $ 153,200 $ 5,492 $ (47) $ 5,445 2019 92,315 993 (756) 237 2018 29,107 — (924) (924) |
Schedule of Securities with Unrealized Losses, Segregated by the Duration of Continuous Unrealized Loss Positions | Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (in thousands) Losses Value Losses Value Losses Value December 31, 2020 Mortgage-backed securities: US Government-sponsored enterprises $ 209 $ 40,285 $ 253 $ 4,323 $ 462 $ 44,608 US Government agency 45 6,776 71 3,297 116 10,073 Private label — — 141 19,514 141 19,514 Obligations of states and political subdivisions thereof 6 5,577 — — 6 5,577 Corporate bonds 555 21,774 288 11,712 843 33,486 Total securities available for sale $ 815 $ 74,412 $ 753 $ 38,846 $ 1,568 $ 113,258 Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (in thousands) Losses Value Losses Value Losses Value December 31, 2019 Mortgage-backed securities: US Government-sponsored enterprises $ 1,074 $ 43,429 $ 1,006 $ 49,712 $ 2,080 $ 93,141 US Government agency 432 19,717 115 9,120 547 28,837 Private label 380 9,843 367 9,411 747 19,254 Obligations of states and political subdivisions thereof 137 29,355 131 1,682 268 31,037 Corporate bonds 142 9,888 79 12,276 221 22,164 Total securities available for sale $ 2,165 $ 112,232 $ 1,698 $ 82,201 $ 3,863 $ 194,433 |
Summary of Securities Pledged as Collateral | December 31, 2020 December 31, 2019 Carrying Estimated Carrying Estimated (in thousands) Value Fair Value Value Fair Value Securities pledged for deposits $ 83,805 $ 92,862 $ 217,009 $ 220,054 Securities pledged for repurchase agreements 37,444 39,119 96,007 96,477 Securities pledged for borrowings (1) 48,725 51,913 157,172 157,458 Total securities pledged $ 169,974 $ 183,894 $ 470,188 $ 473,989 (1) The Bank pledged securities as collateral for certain borrowing arrangements with the Federal Home Loan Bank of Boston and Federal Reserve Bank of Boston. |
Schedule of Other Than Temporary Impairment Losses | Twelve Months Ended December 31, (in thousands) 2020 2019 2018 Estimated credit losses as of prior year-end $ 1,697 $ 1,697 $ 1,697 Reductions for securities paid off during the period — — — Estimated credit losses at end of the period $ 1,697 $ 1,697 $ 1,697 |
LOANS (Tables)
LOANS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
Schedule of Loans | December 31, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 129,255 $ 1,868 $ 131,123 $ 31,387 $ 2,903 $ 34,290 Other commercial real estate 765,862 187,396 953,258 666,051 230,320 896,371 Total commercial real estate 895,117 189,264 1,084,381 697,438 233,223 930,661 Commercial and industrial: Commercial 315,005 45,683 360,688 239,692 59,072 298,764 Agricultural 16,797 153 16,950 20,018 206 20,224 Tax exempt 39,429 24,002 63,431 66,860 37,443 104,303 Total commercial and industrial 371,231 69,838 441,069 326,570 96,721 423,291 Total commercial loans 1,266,348 259,102 1,525,450 1,024,008 329,944 1,353,952 Residential real estate: Residential mortgages 633,390 290,501 923,891 734,188 411,170 1,145,358 Total residential real estate 633,390 290,501 923,891 734,188 411,170 1,145,358 Consumer: Home equity 55,092 47,372 102,464 59,368 63,033 122,401 Other consumer 9,924 1,156 11,080 11,167 1,715 12,882 Total consumer 65,016 48,528 113,544 70,535 64,748 135,283 Total loans $ 1,964,754 $ 598,131 $ 2,562,885 $ 1,828,731 $ 805,862 $ 2,634,593 |
Summary of Unamortized Net Costs and Premiums in Business Activity Loans | (in thousands) December 31, 2020 December 31, 2019 Unamortized net loan origination costs $ 5,157 $ 3,603 Unamortized net premium on purchased loans (85) (134) Total unamortized net costs and premiums $ 5,072 $ 3,469 |
Schedule of Activity in the Accretable Yield for the Acquired Loan Portfolio that Falls Under the Review of ASC 310-30, Accounting for Certain Loans or Debt Securities Acquired in a Transfer | Twelve Months Ended December 31, (in thousands) 2020 2019 Balance at beginning of period $ 7,367 $ 4,377 Acquisitions — 4,391 Net reclassifications from (to) nonaccretable difference 1,146 541 Accretion (2,957) (1,942) Balance at end of period $ 5,556 $ 7,367 |
Summary of Past Due Loans | Business Activities Loans 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing December 31, 2020 Commercial real estate: Construction and land development $ — $ — $ 1 $ 1 $ 129,254 $ 129,255 $ — Other commercial real estate 454 464 850 1,768 764,094 765,862 — Total commercial real estate 454 464 851 1,769 893,348 895,117 — Commercial and industrial: Commercial 5 310 157 472 314,533 315,005 — Agricultural 7 — 36 43 16,754 16,797 — Tax exempt — — — — 39,429 39,429 — Total commercial and industrial 12 310 193 515 370,716 371,231 — Total commercial loans 466 774 1,044 2,284 1,264,064 1,266,348 — Residential real estate: Residential mortgages 6,219 1,767 973 8,959 624,431 633,390 — Total residential real estate 6,219 1,767 973 8,959 624,431 633,390 — Consumer: Home equity 95 137 170 402 54,690 55,092 3 Other consumer 20 — 2 22 9,902 9,924 — Total consumer 115 137 172 424 64,592 65,016 3 Total loans $ 6,800 $ 2,678 $ 2,189 $ 11,667 $ 1,953,087 $ 1,964,754 $ 3 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing December 31, 2020 Commercial real estate: Construction and land development $ — $ — $ — $ — $ 74 $ 1,868 $ — Other commercial real estate 2,360 105 695 3,160 6,359 187,396 — Total commercial real estate 2,360 105 695 3,160 6,433 189,264 — Commercial and industrial: Commercial 184 — 131 315 870 45,683 — Agricultural — — — — 153 153 — Tax exempt — — — — — 24,002 — Total commercial and industrial 184 — 131 315 1,023 69,838 — Total commercial loans 2,544 105 826 3,475 7,456 259,102 — Residential real estate: Residential mortgages 785 579 1,155 2,519 4,532 290,501 121 Total residential real estate 785 579 1,155 2,519 4,532 290,501 121 Consumer: Home equity 971 486 101 1,558 659 47,372 — Other consumer — — — — 39 1,156 — Total consumer 971 486 101 1,558 698 48,528 — Total loans $ 4,300 $ 1,170 $ 2,082 $ 7,552 $ 12,686 $ 598,131 $ 121 Business Activities Loans 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ 205 $ 53 $ — $ 258 $ 31,129 $ 31,387 $ — Other commercial real estate 40 1,534 1,810 3,384 662,667 666,051 — Total commercial real estate 245 1,587 1,810 3,642 693,796 697,438 — Commercial and industrial: Commercial 452 50 894 1,396 238,296 239,692 — Agricultural 62 34 96 192 19,826 20,018 — Tax exempt — — — — 66,860 66,860 — Total commercial and industrial 514 84 990 1,588 324,982 326,570 — Total commercial loans 759 1,671 2,800 5,230 1,018,778 1,024,008 — Residential real estate: Residential mortgages 7,293 1,243 668 9,204 724,984 734,188 — Total residential real estate 7,293 1,243 668 9,204 724,984 734,188 — Consumer: Home equity 597 43 429 1,069 58,299 59,368 50 Other consumer 36 12 — 48 11,119 11,167 — Total consumer 633 55 429 1,117 69,418 70,535 50 Total loans $ 8,685 $ 2,969 $ 3,897 $ 15,551 $ 1,813,180 $ 1,828,731 $ 50 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ — $ 12 $ — $ 12 $ 384 $ 2,903 $ — Other commercial real estate 2,029 245 231 2,505 8,289 230,320 — Total commercial real estate 2,029 257 231 2,517 8,673 233,223 — Commercial and industrial: Commercial 440 335 140 915 2,723 59,072 — Agricultural — — — — 173 206 — Tax exempt — — — — 36 37,443 — Total commercial and industrial 440 335 140 915 2,932 96,721 — Total commercial loans 2,469 592 371 3,432 11,605 329,944 — Residential real estate: Residential mortgages 3,185 864 1,015 5,064 5,591 411,170 — Total residential real estate 3,185 864 1,015 5,064 5,591 411,170 — Consumer: Home equity 208 548 217 973 1,291 63,033 217 Other consumer 2 9 — 11 66 1,715 — Total consumer 210 557 217 984 1,357 64,748 217 Total loans $ 5,864 $ 2,013 $ 1,603 $ 9,480 $ 18,553 $ 805,862 $ 217 |
Summary of Information Pertaining to Non-Accrual Loans | December 31, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 190 $ — $ 190 $ 258 $ — $ 258 Other commercial real estate 1,404 2,657 4,061 2,888 343 3,231 Total commercial real estate 1,594 2,657 4,251 3,146 343 3,489 Commercial and industrial: Commercial 869 375 1,244 932 626 1,558 Agricultural 222 — 222 278 — 278 Tax exempt — — — — — — Total commercial and industrial 1,091 375 1,466 1,210 626 1,836 Total commercial loans 2,685 3,032 5,717 4,356 969 5,325 Residential real estate: Residential mortgages 3,301 2,428 5,729 3,362 1,973 5,335 Total residential real estate 3,301 2,428 5,729 3,362 1,973 5,335 Consumer: Home equity 438 291 729 615 254 869 Other consumer 13 — 13 21 — 21 Total consumer 451 291 742 636 254 890 Total loans $ 6,437 $ 5,751 $ 12,188 $ 8,354 $ 3,196 $ 11,550 |
Schedule of Loans Evaluated for Impairment | Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2020 Balance at end of period Individually evaluated for impairment $ 2,222 $ 997 $ 2,215 $ 12 $ 5,446 Collectively evaluated 892,895 370,234 631,175 65,004 1,959,308 Total $ 895,117 $ 371,231 $ 633,390 $ 65,016 $ 1,964,754 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2020 Balance at end of period Individually evaluated for impairment $ 2,338 $ 294 $ 668 $ — $ 3,300 Purchased credit impaired 6,433 1,023 4,532 698 12,686 Collectively evaluated 180,493 68,521 285,301 47,830 582,145 Total $ 189,264 $ 69,838 $ 290,501 $ 48,528 $ 598,131 Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 3,964 $ 1,353 $ 2,620 $ 13 $ 7,950 Collectively evaluated 693,474 325,217 731,568 70,522 1,820,781 Total $ 697,438 $ 326,570 $ 734,188 $ 70,535 $ 1,828,731 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 258 $ 385 $ 1,032 $ — $ 1,675 Purchased credit impaired 8,673 2,932 5,591 1,357 18,553 Collectively evaluated 224,292 93,404 404,547 63,391 785,634 Total $ 233,223 $ 96,721 $ 411,170 $ 64,748 $ 805,862 |
Summary of Impaired Loans | Business Activities Loans December 31, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 748 832 — Commercial 851 958 — Agricultural 146 150 — Tax exempt loans — — — Residential real estate 612 701 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 189 199 139 Other commercial real estate 1,285 1,356 227 Commercial — — — Agricultural — — — Tax exempt loans — — — Residential real estate 1,603 1,663 67 Home equity 12 12 1 Other consumer — — — Total Commercial real estate 2,222 2,387 366 Commercial and industrial 997 1,108 — Residential real estate 2,215 2,364 67 Consumer 12 12 1 Total impaired loans $ 5,446 $ 5,871 $ 434 Acquired Loans December 31, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,567 1,595 — Commercial 229 332 — Agricultural — — — Tax exempt loans — — — Residential real estate 423 465 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 771 791 290 Commercial 65 67 5 Agricultural — — — Tax exempt loans — — — Residential real estate 245 334 1 Home equity — — — Other consumer — — — Total Commercial real estate 2,338 2,386 290 Commercial and industrial 294 399 5 Residential real estate 668 799 1 Consumer — — — Total impaired loans $ 3,300 $ 3,584 $ 296 Business Activities Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,911 1,957 — Commercial 710 773 — Agricultural 361 361 — Tax exempt loans — — — Residential real estate 2,067 2,227 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 258 258 205 Other commercial real estate 1,795 1,940 1,026 Commercial 282 289 164 Agricultural — — — Tax exempt loans — — — Residential real estate 553 590 57 Home equity 13 13 — Other consumer — — — Total Commercial real estate 3,964 4,155 1,231 Commercial and industrial 1,353 1,423 164 Residential real estate 2,620 2,817 57 Consumer 13 13 — Total impaired loans $ 7,950 $ 8,408 $ 1,452 Acquired Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 90 90 — Commercial 385 481 — Agricultural — — — Tax exempt — — — Residential mortgages 678 938 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 168 168 12 Commercial — — — Agricultural — — — Tax exempt — — — Residential mortgages 354 376 49 Home equity — — — Other consumer — — — Total Commercial real estate 258 258 12 Commercial and industrial 385 481 — Residential real estate 1,032 1,314 49 Consumer — — — Total impaired loans $ 1,675 $ 2,053 $ 61 |
Summary of the Average Recorded Investment and Interest Income Recognized on Impaired Loans | Business Activities Loan Year Ended December 31, 2020 Year Ended December 31, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 392 — 5,434 55 Commercial 842 4 871 5 Agricultural 114 2 — — Tax exempt loans — — — — Residential real estate 641 17 2,089 47 Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development 203 — 56 1 Other commercial real estate 1,295 14 1,737 — Commercial — — 153 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 1,616 37 540 7 Home equity 12 1 13 — Other consumer — — — — Total Commercial real estate 1,890 14 7,227 56 Commercial and industrial 956 6 1,024 5 Residential real estate 2,257 54 2,629 54 Consumer 12 1 13 — Total impaired loans $ 5,115 $ 75 $ 10,893 $ 115 Acquired Loans Year Ended December 31, 2020 Year Ended December 31, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,218 — 89 — Commercial 298 — 429 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 436 — 652 — Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development — — — — Other commercial real estate 678 3 123 — Commercial 73 — — — Agricultural — — — — Tax exempt loans — — — — Residential real estate 249 — 361 — Home equity — — — — Other consumer — — — — Total Commercial real estate 1,896 3 212 — Commercial and industrial 371 — 429 — Residential real estate 685 — 1,013 — Consumer — — — — Total impaired loans $ 2,952 $ 3 $ 1,654 $ — |
Schedule of Recorded Investment and Number of Modifications for TDRs | Year Ended December 31, 2020 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded Specific (in thousands, except modifications) Modifications Investment Investment Reserve Troubled Debt Restructurings Other commercial real estate 1 $ 54 $ 244 $ 24 Other commercial 6 229 239 — Agricultural 1 86 86 — Home equity 1 26 24 — Other consumer 1 9 8 — Total 10 $ 404 $ 601 $ 24 Year Ended December 31, 2019 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded Specific (in thousands, except modifications) Modifications Investment Investment Reserve Troubled Debt Restructurings Other commercial real estate 10 $ 630 $ 529 $ 69 Other commercial 7 366 271 — Agricultural 2 500 503 — Residential mortgages 12 1,427 1,327 — Total 31 $ 2,923 $ 2,630 $ 69 Twelve Months Ended December 31, 2018 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded Specific (in thousands, except modifications) Modifications Investment Investment Reserve Troubled Debt Restructurings Commercial construction and land development 1 $ 1 $ 1 $ 1 Other commercial real estate 9 1,896 1,564 153 Other commercial 7 556 486 55 Agricultural 1 167 — — Residential mortgages 19 3,348 2,752 145 Home equity 1 100 100 — Other consumer 3 13 11 — Total 41 $ 6,081 $ 4,914 $ 354 |
Summary of Loan Concessions | Year Ended December 31, 2020 2019 2018 Post-Modification Post-Modification Post-Modification Outstanding outstanding outstanding Number of Recorded Number of Recorded Number of Recorded (in thousands, except modifications) Modifications Investment Modifications Investment Modifications Investment Troubled Debt Restructurings Interest only payments and maturity concession — $ — 2 $ 73 1 $ 16 Interest rate, forbearance and maturity concession 4 384 — — — — Amortization and maturity concession — — 4 273 1 286 Amortization, interest rate and maturity concession — — 5 539 — — Forbearance — — 5 346 3 271 Forbearance and interest only payments 1 24 7 692 6 121 Forbearance and interest rate concession — — — — 1 49 Forbearance and maturity concession — — 4 472 20 2,030 Maturity concession 5 193 — — 2 440 Restructure without concession — — — — 5 1,419 Other — — 4 235 2 282 Total 10 $ 601 31 $ 2,630 41 $ 4,914 |
Schedule of Loans to Related Parties | (in thousands) December 31, 2020 December 31, 2019 Beginning balance $ 8,209 $ 8,395 Changes in composition (1) — (302) New loans 1,589 242 Less: repayments (3,667) (126) Ending balance $ 6,131 $ 8,209 (1) Adjustments to reflect changes in status of directors and officers for each year presented. |
Schedule of Servicing Rights Activity | At or for the Twelve Months Ended December 31, (in thousands) 2020 2019 Balance at beginning of year $ 3,001 $ 3,086 Additions 1,152 160 Amortization (800) (245) Balance at end of year $ 3,353 $ 3,001 |
ALLOWANCE FOR LOAN LOSSES (Tabl
ALLOWANCE FOR LOAN LOSSES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
Schedule of Activity in the Allowance for Loan Losses | Business Activities Loans At or for the Year Ended December 31, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Charged-off loans (1,036) (540) (43) (306) (1,925) Recoveries on charged-off loans 154 21 — 45 220 Provision for loan losses 4,167 288 718 261 5,434 Balance at end of period $ 10,953 $ 3,377 $ 4,077 $ 379 $ 18,786 Individually evaluated for impairment 366 — 67 1 434 Collectively evaluated 10,587 3,377 4,010 378 18,352 Total $ 10,953 $ 3,377 $ 4,077 $ 379 $ 18,786 Acquired Loans At or for the Year Ended December 31, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 147 $ 6 $ 143 $ — $ 296 Charged-off loans (101) (53) (11) (78) (243) Recoveries on charged-off loans 19 9 13 11 52 Provision (release) for loan losses 225 43 (144) 67 191 Balance at end of period $ 290 $ 5 $ 1 $ — $ 296 Individually evaluated for impairment 290 5 1 — 296 Collectively evaluated — — — — — Total $ 290 $ 5 $ 1 $ — $ 296 Business Activities Loans At or for the Year Ended December 31, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Charged-off loans (212) (336) (109) (228) (885) Recoveries on charged-off loans 194 65 55 6 320 Provision (release) for loan losses 875 1,499 (526) 193 2,041 Balance at end of period $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Individually evaluated for impairment 1,231 164 57 — 1,452 Collectively evaluated 6,437 3,444 3,345 379 13,605 Total $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Acquired Loans At or for the Year Ended December 31, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 173 $ 35 $ 77 $ — $ 285 Charged-off loans — (23) (240) (5) (268) Recoveries on charged-off loans — — — 3 3 Provision (releases) for loan losses (26) (6) 306 2 276 Balance at end of period $ 147 $ 6 $ 143 $ — $ 296 Individually evaluated for impairment 12 — 49 — 61 Collectively evaluated 135 6 94 — 235 Total $ 147 $ 6 $ 143 $ — $ 296 Business Activities Loans At or for the Twelve Months Ended December 31, 2018 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,037 $ 2,373 $ 3,357 $ 386 $ 12,153 Charged-off loans (417) (111) (225) (629) (1,382) Recoveries on charged-off loans 275 76 166 18 535 Provision for loan losses 916 42 684 633 2,275 Balance at end of period $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Individually evaluated for impairment 422 78 111 — 611 Collectively evaluated 6,389 2,302 3,871 408 12,970 Total $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Acquired Loans At or for the Twelve Months Ended December 31, 2018 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 97 $ 16 $ 59 $ — $ 172 Charged-off loans (136) (166) (158) (65) (525) Recoveries on charged-off loans 43 7 — 83 133 Provision (releases) for loan losses 169 178 176 (18) 505 Balance at end of period $ 173 $ 35 $ 77 $ — $ 285 Individually evaluated for impairment — — 41 — 41 Collectively evaluated 173 35 36 — 244 Total $ 173 $ 35 $ 77 $ — $ 285 |
Schedule of Loans by Risk Rating | Business Activities Loans Commercial Real Estate Credit Risk Profile by Creditworthiness Category Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 129,065 $ 31,057 $ 745,600 $ 646,886 $ 874,665 $ 677,943 Special mention — — 4,626 5,483 4,626 5,483 Substandard — 330 15,076 11,974 15,076 12,304 Doubtful 189 — 560 1,708 749 1,708 Loss 1 — — — 1 — Total $ 129,255 $ 31,387 $ 765,862 $ 666,051 $ 895,117 $ 697,438 Commercial and Industrial Credit Risk Profile by Creditworthiness Category Commercial Agricultural Tax exempt loans Total commercial (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 298,568 $ 221,329 $ 16,025 $ 18,940 $ 39,429 $ 66,860 $ 354,022 $ 307,129 Special mention 1,644 2,744 334 298 — — 1,978 3,042 Substandard 14,158 14,866 438 780 — — 14,596 15,646 Doubtful 633 753 — — — — 633 753 Loss 2 — — — — — 2 — Total $ 315,005 $ 239,692 $ 16,797 $ 20,018 $ 39,429 $ 66,860 $ 371,231 $ 326,570 Residential Real Estate and Consumer Loans Credit Risk Profile Based on Payment Activity Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Performing $ 630,089 $ 737,325 $ 54,654 $ 58,753 $ 9,911 $ 11,146 $ 694,654 $ 807,224 Nonperforming 3,301 3,362 438 615 13 21 3,752 3,998 Total $ 633,390 $ 740,687 $ 55,092 $ 59,368 $ 9,924 $ 11,167 $ 698,406 $ 811,222 Acquired Loans Commercial Real Estate Credit Risk Profile by Creditworthiness Category Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 1,703 $ 2,412 $ 177,405 $ 218,491 $ 179,108 $ 220,903 Special mention — 12 1,449 2,261 1,449 2,273 Substandard 165 479 7,026 9,400 7,191 9,879 Doubtful — — 1,516 168 1,516 168 Total $ 1,868 $ 2,903 $ 187,396 $ 230,320 $ 189,264 $ 233,223 Commercial and Industrial Credit Risk Profile by Creditworthiness Category Commercial Agricultural Tax exempt loans Total commercial (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Grade: Pass $ 43,972 $ 51,184 $ 20 $ 58 $ 24,002 $ 37,407 $ 67,994 $ 88,649 Special mention 793 5,432 — — — — 793 5,432 Substandard 451 2,115 133 148 — 36 584 2,299 Doubtful 467 341 — — — — 467 341 Total $ 45,683 $ 59,072 $ 153 $ 206 $ 24,002 $ 37,443 $ 69,838 $ 96,721 Residential Real Estate and Consumer Loans Credit Risk Profile Based on Payment Activity Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Dec 31, 2020 Dec 31, 2019 Performing $ 288,073 $ 407,811 $ 47,081 $ 62,504 $ 1,156 $ 1,707 $ 336,310 $ 472,022 Nonperforming 2,428 3,359 291 529 — 8 2,719 3,896 Total $ 290,501 $ 411,170 $ 47,372 $ 63,033 $ 1,156 $ 1,715 $ 339,029 $ 475,918 |
Summary of Information About Total Loans Rated Special Mention or Lower | December 31, 2020 December 31, 2019 Business Business (in thousands) Activities Loans Acquired Loans Total Activities Loans Acquired Loans Total Non-accrual $ 6,437 $ 5,751 $ 12,188 $ 8,354 $ 3,196 $ 11,550 Substandard accruing 28,371 6,726 35,097 26,055 13,387 39,442 Loss accruing 1 — 1 — — — Total classified 34,809 12,477 47,286 34,409 16,583 50,992 Special mention 6,604 2,242 8,846 8,525 7,705 16,230 Total Criticized $ 41,413 $ 14,719 $ 56,132 $ 42,934 $ 24,288 $ 67,222 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Estimated Useful (in thousands, except years) 2020 2019 Life Land $ 5,531 $ 5,028 N/A Buildings and improvements 55,366 52,363 5-39 years Furniture and equipment 13,865 13,573 3-7 years Premises and equipment, gross 74,762 70,964 Accumulated depreciation (22,304) (19,759) Premises and equipment, net $ 52,458 $ 51,205 |
GOODWILL AND OTHER INTANGIBLES
GOODWILL AND OTHER INTANGIBLES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | (in thousands) 2020 2019 Balance at beginning of year $ 118,649 $ 100,085 Acquisition 828 18,564 Balance at end of year $ 119,477 $ 118,649 |
Schedule of Finite-Lived Intangible Assets | 2020 Gross Accumulated Net Intangible (in thousands) Intangible Assets Amortization Assets Core deposit intangible (non-maturity deposits) $ 9,305 $ (3,287) $ 6,018 Customer list and other intangibles 1,901 (249) 1,652 Total $ 11,206 $ (3,536) $ 7,670 2019 Gross Accumulated Net Intangible (in thousands) Intangible Assets Amortization Assets Core deposit intangible (non-maturity deposits) $ 9,483 $ (2,635) $ 6,848 Customer list and other intangibles 2,065 (272) 1,793 Total $ 11,548 $ (2,907) $ 8,641 |
Schedule of Future Amortization Expense | Other Intangible (in thousands) Assets 2021 $ 934 2022 932 2023 932 2024 932 2025 932 and thereafter 3,008 Total $ 7,670 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Deposits [Abstract] | |
Summary of Time Deposits | (in thousands) December 31, 2020 December 31, 2019 Time less than $100,000 $ 325,646 $ 600,747 Time $100,000 through $250,000 278,940 225,505 Time $250,000 or more 93,775 106,383 Total $ 698,361 $ 932,635 |
Time Deposit Maturities | (in thousands) December 31, 2020 December 31, 2019 Within 1 year $ 574,007 $ 555,074 Over 1 year to 2 years 61,584 287,934 Over 2 years to 3 years 41,145 51,444 Over 3 years to 4 years 12,875 31,262 Over 4 years to 5 years 8,728 6,883 Over 5 years 22 38 Total $ 698,361 $ 932,635 |
BORROWED FUNDS (Tables)
BORROWED FUNDS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Borrowed Funds | December 31, 2020 December 31, 2019 Weighted Weighted (dollars in thousands) Carrying Value Average Rate Carrying Value Average Rate Short-term borrowings Advances from the FHLB $ 65,676 1.19 % $ 303,286 1.83 % Other borrowings 27,779 0.15 44,832 0.99 Total short-term borrowings 93,455 0.44 348,118 1.73 Long-term borrowings Advances from the FHLB 182,607 1.73 123,278 1.93 Subordinated borrowings 59,961 4.34 59,920 5.53 Total long-term borrowings 242,568 2.37 183,198 2.87 Total $ 336,023 1.41 % $ 531,316 2.11 % |
Summary of Maturities of FHLB Advances | December 31, 2020 Weighted Average (in thousands, except rates) Amount Rate 2021 $ 65,676 1.19 % 2022 75,000 1.87 2023 80,000 1.77 2024 7,300 1.16 2025 20,000 1.21 2026 and thereafter 307 4.12 Total FHLB advances $ 248,283 1.59 % |
EMPLOYEE BENEFIT PLANS (Tables)
EMPLOYEE BENEFIT PLANS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Pension Plans | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan | (in thousands) 2020 2019 Change in projected benefit obligation: Projected benefit obligation at beginning of year $ 8,926 $ 8,009 Service cost — — Interest cost 282 331 Actuarial loss 913 1,068 Benefits paid (319) (300) Settlements (152) (182) Projected benefit obligation at end of year 9,650 8,926 Change in fair value of plan assets: Fair value of plan assets at beginning of year 11,078 9,990 Expected return on plan assets 1,433 1,570 Contributions by employer — — Benefits paid (319) (300) Settlements (152) (182) Fair value of plan assets at end of year 12,040 11,078 Overfunded status $ (2,390) $ (2,152) Amounts recognized in consolidated balance sheet: Other assets $ 2,390 $ 2,152 |
Schedule of Net Benefit Costs | (in thousands) 2020 2019 Interest cost $ 282 $ 331 Expected return on plan assets (708) (638) Settlement Charge — — Net periodic pension benefit credit $ (426) $ (307) (in thousands) 2020 2019 Net actuarial loss $ 178 $ 145 Settlement charge — — Net period pension benefit credit (426) (307) Total recognized in net periodic benefit (credit) cost and other comprehensive income $ (248) $ (162) |
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) | (in thousands) 2020 2019 Net actuarial loss $ 178 $ 145 Settlement charge — — Prior service cost 893 748 Total accumulated other comprehensive loss (pre-tax) $ 1,071 $ 893 |
Schedule of Assumptions Used | 2020 2019 Projected benefit obligation Discount rate 2.46 % 3.23 % Net periodic pension cost Discount rate 3.23 % 4.23 % Long-term rate of return on plan assets 6.00 6.50 |
Schedule of Allocation of Plan Assets | 2020 (in thousands) Total Level 1 Level 2 Equity mutual funds: Large-cap $ 2,364 $ 2,364 $ — Mid-cap 744 744 — Small-cap 765 765 — International 1,499 1,499 Fixed income funds: Fixed-income - core plus 3,880 3,880 — Intermediate duration 1,338 1,338 — Common stock 510 510 — Common/collective trusts - large-cap 620 — 620 Cash equivalents - money market 320 320 — Total $ 12,040 $ 11,420 $ 620 2019 (in thousands) Total Level 1 Level 2 Equity mutual funds: Large-cap $ 2,144 $ 2,144 $ — Mid-cap 590 590 — Small-cap 557 557 — International 1,009 1,009 Fixed income funds: Fixed-income - core plus 4,028 4,028 — Intermediate duration 1,371 1,371 — Common stock 574 574 — Common/collective trusts - large-cap 566 — 566 Cash equivalents - money market 230 230 — Total $ 11,069 $ 10,503 $ 566 |
Schedule of Expected Benefit Payments | (in thousands) Payments 2021 $ 354 2022 372 2023 369 2024 384 2025 379 2026-2030 2,321 Total $ 4,179 |
Non-qualified Supplemental Executive Retirement Plan | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan | (in thousands) 2020 2019 Change in benefit obligation: Projected benefit obligation at beginning of year $ 2,979 $ 3,033 Service cost — — Interest cost 81 103 Actuarial loss 202 221 Benefits paid (293) (378) Projected benefit obligation at end of year $ 2,969 $ 2,979 Change in fair value of plan assets: Fair value of plan assets at beginning of year $ — $ — Expected return on plan assets — — Contributions by employer 293 378 Benefits paid (293) (378) Fair value of plan assets at end of year $ — $ — Underfunded status $ 2,969 $ 2,979 Amounts recognized in consolidated balance sheet Other liabilities $ 2,969 $ 2,979 |
Schedule of Net Benefit Costs | (in thousands) 2020 2019 Interest cost $ 81 $ 103 Expected return on plan assets — — Amortization of unrecognized actuarial loss 42 15 Net periodic benefit cost $ 123 $ 118 (in thousands) 2020 2019 Net actuarial loss $ 202 $ 220 Amortization of unrecognized actuarial loss (42) (15) Total recognized in net periodic benefit cost and other comprehensive loss $ 160 $ 205 |
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) | (in thousands) 2020 2019 Accumulated other comprehensive loss at beginning of the year (pre-tax) $ 619 $ 414 Actuarial loss 202 220 Amortization of actuarial loss (42) (15) Accumulated other comprehensive loss at end of year (pre-tax) $ 779 $ 619 |
Schedule of Assumptions Used | 2020 2019 Discount rate beginning of year 2.65 % 3.83 % Discount rate end of year 1.56 2.65 |
Schedule of Expected Benefit Payments | (in thousands) Payments 2021 $ 260 2022 260 2023 260 2024 260 2025 260 2026-2037 2,018 Total $ 3,318 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | (in thousands) 2020 2019 2018 Current: Federal tax expense $ 7,165 $ 2,639 $ 6,775 State tax expense 1,280 550 1,230 Total current tax expense 8,445 3,189 8,005 Deferred tax expense (38) 1,020 (443) Total income tax expense $ 8,407 $ 4,209 $ 7,562 |
Schedule of Effective Income Tax Rate Reconciliation | 2020 2019 2018 (in thousands, except ratios) Amount Rate Amount Rate Amount Rate Statutory tax rate $ 8,747 21.00 % $ 5,633 21.00 % $ 8,505 21.00 % Increase (decrease) resulting from: State taxes, net of federal benefit 1,120 2.69 547 2.04 908 2.24 Tax exempt interest (1,301) (3.12) (1,375) (5.13) (1,315) (3.25) Federal tax credits (330) (0.79) (282) (1.05) (125) (0.31) Officers' life insurance (403) (0.97) (431) (1.61) (382) (0.94) Gain of disposal of low income housing tax credit investments 147 0.35 — — — — Stock-based compensation plans 52 0.12 (20) (0.07) (120) (0.30) Other 375 0.90 137 0.51 91 0.23 Effective tax rate $ 8,407 20.18 % $ 4,209 15.69 % $ 7,562 18.67 % |
Schedule of Deferred Tax Assets and Liabilities | 2020 2019 (in thousands) Assets Liabilities Assets Liabilities Allowance for loan losses $ 4,464 $ — $ 3,507 $ — Deferred compensation 4,129 — 3,383 — Unrealized gain or loss on securities available for sale — 4,404 — 1,858 Unrealized gain or loss on derivatives 623 — 307 — Depreciation — 2,261 — 1,722 Deferred loan origination costs — 1,190 — 862 Non-accrual interest 492 — 381 — Branch acquisition costs and goodwill — 1,034 — 712 Core deposit intangible — 1,078 — 1,231 Acquisition fair value adjustments 1,833 — 2,223 — Prepaid expenses — 301 — 311 Mortgage servicing rights — 784 — 703 Equity compensation 432 — 468 — Prepaid pension — 377 — 359 Contract incentives 1,017 — 1,167 — Right of use asset — 2,419 — 2,253 Lease liability 2,487 — 2,273 — Other 116 — 167 — Total $ 15,593 $ 13,848 $ 13,876 $ 10,011 |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Information About Derivative Assets and Liabilities | December 31, 2020 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale fundings $ 75,000 4.0 $ (2,664) Other liabilities Total cash flow hedges 75,000 (2,664) Fair value hedges: Interest rate swap on securities 37,190 8.6 2,789 Other assets Total fair value hedges 37,190 2,789 Economic hedges: Forward sale commitments 50,629 0.2 (95) Other liabilities Customer Loan Swaps-MNA Counterparty 235,947 6.8 (15,938) Other liabilities Customer Loan Swaps-RPA Counterparty 119,285 7.9 (9,957) Other liabilities Customer Loan Swaps-Customer 355,232 7.1 25,895 Other assets Total economic hedges 761,093 (95) Non-hedging derivatives: Interest rate lock commitments 3,320 0.1 22 Other assets Total non-hedging derivatives 3,320 22 Total $ 876,603 $ 52 December 31, 2019 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale fundings $ 100,000 4.6 $ (1,311) Other liabilities Total cash flow hedges 100,000 (1,311) Fair value hedges: Interest rate swap on securities 37,190 9.6 593 Other liabilities Total fair value hedges 37,190 593 Economic hedges: Forward sale commitments 11,228 0.1 (84) Other liabilities Customer Loan Swaps-MNA Counterparty 135,598 7.5 (4,669) (1) Customer Loan Swaps-RPA Counterparty 69,505 8.8 (3,377) (1) Customer Loan Swaps-Customer 205,103 8.1 8,046 (1) Total economic hedges 421,434 (84) Non-hedging derivatives: Interest rate lock commitments 21,748 0.1 59 Other assets Total non-hedging derivatives 21,748 59 Total $ 580,372 $ (743) (1) Customer loan derivatives are subject to MNA or RPA arrangements with financial institution counterparties, thus assets and liabilities with the counterparty are netted for financial statement presentation. |
Schedule of Amounts Recorded On The Balance Sheet | Cumulative Amount of Fair Location of Hedged Item on Carrying Amount of Hedged Value Hedging Adjustment in Balance Sheet Assets (Liabilities) Carrying Amount December 31, 2020 Interest rate swap on securities Securities Available for Sale $ 40,209 $ 3,019 December 31, 2019 Interest rate swap on securities Securities Available for Sale $ 39,026 $ 523 |
Schedule of Derivative Instruments Gain (Loss) | Year Ended December 31, 2020 Amount of Amount of Gain (Loss) Gain (Loss) Recognized in Reclassified Location of Amount of Other Location of Gain (Loss) from Other Gain (Loss) Gain (Loss) Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ (2,566) Non-interest expense $ (3,935) Interest expense $ (829) Total cash flow hedges (2,566) (3,935) (829) Fair value hedges: Interest rate swap on securities 5,458 Interest income — Interest income (281) Total fair value hedges 5,458 — (281) Economic hedges: Forward commitments — Other income — Other income (11) Total economic hedges — — (11) Non-hedging derivatives: Interest rate lock commitments — Other income — Other income (37) Total non-hedging derivatives — — (37) Total $ 2,892 $ (3,935) $ (1,158) (1) As of December 31, 2020 the Company does not expect any gains or losses from accumulated other comprehensive income into earnings within the next 12 months. Years Ended December 31, 2019 Amount of Amount of Gain (Loss) Gain (Loss) Amount of Recognized in Reclassified Location of Gain (Loss) Other Location of Gain (Loss) from Other Gain (Loss) Recognized Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ — Interest expense $ — Interest expense $ (2) Interest rate cap agreements 2,291 Non-interest expense 3,156 Interest expense (603) Total cash flow hedges 2,291 3,156 (605) Fair value hedges: Interest rate swap on securities (523) Interest income — Interest income 7 Total economic hedges (523) — 7 Economic hedges: Forward commitments — Other income — Other income (84) Total economic hedges — — (84) Non-hedging derivatives: Interest rate lock commitments — Other income — Other Income 52 Total non-hedging derivatives — — 52 Total $ 1,768 $ 3,156 $ (630) |
Schedule of Offsetting Liabilities | Gross Amounts Offset in the Consolidated Balance Sheet Derivative Cash Collateral (in thousands) Liabilities Derivative Assets Pledged Net Amount As of December 31, 2020 Customer Loan Derivatives: MNA counterparty $ (15,938) $ 15,938 $ 23,450 $ — RPA counterparty (9,957) 9,957 — — Total $ (25,895) $ 25,895 $ 23,450 $ — |
OTHER COMMITMENTS, CONTINGENC_2
OTHER COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE SHEET ACTIVITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Loss Contingencies by Contingency | (in thousands) 2020 2019 Commitments to originate new loans $ 71,857 $ 112,669 Unused funds on commercial and other lines of credit 202,217 188,098 Unadvanced funds on home equity lines of credit 117,198 114,711 Unadvanced funds on construction and real estate loans 106,935 97,500 Commercial and standby letters of credit 3,481 2,941 Letters of credit securing municipal deposits 181,150 38,390 Total $ 682,838 $ 554,309 |
SHAREHOLDERS' EQUITY AND EARN_2
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Actual and Required Capital Ratios | 2020 Regulatory Minimum to Actual be "Well-Capitalized" (in thousands, except ratios) Amount Ratio Amount Ratio Company (consolidated) Total capital to risk-weighted assets $ 353,239 13.56 % $ 273,479 10.50 % Common equity tier 1 capital to risk-weighted assets 273,178 10.49 182,320 7.00 Tier 1 capital to risk-weighted assets 273,178 11.28 205,850 8.50 Tier 1 capital to average assets 273,178 8.12 168,147 5.00 Bank Total capital to risk-weighted assets $ 345,397 13.27 % $ 273,298 10.50 % Common equity tier 1 capital to risk-weighted assets 325,956 12.52 182,244 7.00 Tier 1 capital to risk-weighted assets 325,956 12.52 221,296 8.50 Tier 1 capital to average assets 325,956 9.02 180,685 5.00 2019 Regulatory Minimum to Actual be "Well-Capitalized" (in thousands, except ratios) Amount Ratio Amount Ratio Company (consolidated) Total capital to risk-weighted assets $ 341,492 13.61 % $ 263,377 10.50 % Common equity tier 1 capital to risk-weighted assets 265,205 10.57 175,584 7.00 Tier 1 capital to risk-weighted assets 285,825 11.39 213,211 8.50 Tier 1 capital to average assets 285,825 8.13 175,890 5.00 Bank Total capital to risk-weighted assets $ 310,982 12.42 % $ 262,999 10.50 % Common equity tier 1 capital to risk-weighted assets 295,315 11.79 175,332 7.00 Tier 1 capital to risk-weighted assets 295,315 11.79 212,904 8.50 Tier 1 capital to average assets 295,315 8.39 175,996 5.00 |
Schedule of Components of Accumulated Other Comprehensive Income | (in thousands) 2020 2019 Accumulated other comprehensive income, before tax: Net unrealized gain on AFS securities $ 13,069 $ 7,250 Net unrealized gain (loss) on hedging derivatives 3,144 (628) Net unrealized loss on post-retirement plans (1,850) (1,512) Income taxes related to items of accumulated other comprehensive income: Net unrealized gain on AFS securities (3,046) (1,703) Net unrealized (gain) loss on hedging derivatives (733) 149 Net unrealized loss on post-retirement plans 432 355 Accumulated other comprehensive income $ 11,016 $ 3,911 |
Schedule of Components of Other Comprehensive Income (Loss) | 2020 (in thousands) Before Tax Tax Effect Net of Tax Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 11,264 $ (2,636) $ 8,628 Less: reclassification adjustment for gains (losses) realized in net income 5,445 (1,291) 4,154 Net unrealized gain on AFS securities 5,819 (1,345) 4,474 Net unrealized gain on hedging derivatives: Net unrealized loss arising during the period (1,080) 37 (1,043) Less: reclassification adjustment for (losses) gains realized in net income (4,852) 917 (3,935) Net unrealized gain on hedging derivatives 3,772 (880) 2,892 Net unrealized loss on post-retirement plans: Net unrealized loss arising during the period (338) 77 (261) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on post-retirement plans (338) 77 (261) Other comprehensive income $ 9,253 $ (2,148) $ 7,105 2019 (in thousands) Before Tax Tax Effect Net of Tax Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 18,883 $ (4,489) $ 14,394 Less: reclassification adjustment for gains (losses) realized in net income 237 (55) 182 Net unrealized gain on AFS securities 18,646 (4,434) 14,212 Net unrealized loss on derivative hedges: Net unrealized loss arising during the period (938) 289 (649) Less: reclassification adjustment for gains (losses) realized in net income (3,156) 737 (2,419) Net unrealized gain on derivative hedges 2,218 (448) 1,770 Net unrealized loss on post-retirement plans: Net unrealized loss arising during the period (352) 83 (269) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on post-retirement plans (352) 83 (269) Other comprehensive income $ 20,512 $ (4,799) $ 15,713 2018 (in thousands) Before Tax Tax Effect Net of Tax Net unrealized loss on AFS securities: Net unrealized arising during the period $ (9,487) $ 2,194 $ (7,293) Less: reclassification adjustment for gains (losses) realized in net income (924) 216 (708) Net unrealized loss on AFS securities (8,563) 1,978 (6,585) Net unrealized gain on derivative hedges: Net unrealized gain arising during the period 654 (168) 486 Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on derivative hedges 654 (168) 486 Net unrealized loss on post-retirement plans: Net unrealized loss arising during the period (245) 54 (191) Less: reclassification adjustment for gains (losses) realized in net income (29) 7 (22) Net unrealized loss on post-retirement plans (216) 47 (169) Other comprehensive loss $ (8,125) $ 1,857 $ (6,268) |
Schedule of Changes in Components of Accumulated Other Comprehensive Income | 2020 Net unrealized Net loss on Net unrealized gain effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Balance at beginning of period $ 5,547 $ (479) $ (1,157) $ 3,911 Other comprehensive gain (loss) before reclassifications 8,628 (1,043) (261) 7,324 Less: amounts reclassified from accumulated other comprehensive income 4,154 (3,935) — 219 Total other comprehensive income (loss) 4,474 2,892 (261) 7,105 Balance at end of period $ 10,021 $ 2,413 $ (1,418) $ 11,016 2019 Net unrealized Net loss on Net unrealized (loss) gain effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Balance at beginning of period $ (8,665) $ (2,249) $ (888) $ (11,802) Other comprehensive (loss) gain before reclassifications 14,394 (649) (269) 13,476 Less: amounts reclassified from accumulated other comprehensive income 182 (2,419) — (2,237) Total other comprehensive income (loss) 14,212 1,770 (269) 15,713 Less: amounts reclassified from accumulated other comprehensive income for ASU 2018-02 — — — — Balance at end of period $ 5,547 $ (479) $ (1,157) $ 3,911 2018 Net unrealized Net loss on Net unrealized (loss) gain effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Balance at beginning of period $ (1,713) $ (2,250) $ (591) $ (4,554) Other comprehensive (loss) gain before reclassifications (7,293) 486 (191) (6,998) Less: amounts reclassified from accumulated other comprehensive income (708) — (22) (730) Total other comprehensive (loss) income (6,585) 486 (169) (6,268) Less: amounts reclassified from accumulated other comprehensive income for ASU 2018-02 (367) (485) (128) (980) Balance at end of period $ (8,665) $ (2,249) $ (888) $ (11,802) |
Reclassification out of Accumulated Other Comprehensive Income | Affected Line Item where (in thousands) 2020 2019 2018 Net Income is Presented Net realized gains on AFS securities: Before tax $ 5,445 $ 237 $ (924) Non-interest income Tax effect (1,291) (55) 216 Tax expense Total reclassifications for the period $ 4,154 $ 182 $ (708) Affected Line Item where (in thousands) 2020 2019 2018 Net Income is Presented Realized loss on effective derivative hedges: Before tax $ 4,852 $ (3,156) $ — Non-interest expense Tax effect (917) 737 — Tax expense Total reclassifications for the period $ 3,935 $ (2,419) $ — Affected Line Item where (in thousands) 2020 2019 2018 Net Income is Presented Realized loss on effective post retirement: Before tax $ — $ — $ (29) Non-interest expense Tax effect — — 7 Tax expense Total reclassifications for the period $ — $ — $ (22) |
Schedule of Earnings Per Share | (in thousands, except per share and share data) 2020 2019 2018 Net income $ 33,244 $ 22,620 $ 32,937 Average number of basic common shares outstanding 15,245,728 15,540,884 15,487,686 Plus: dilutive effect of stock options and awards outstanding 25,819 46,109 76,778 Average number of diluted common shares outstanding 15,271,547 15,586,993 15,564,464 Anti-dilutive options excluded from earnings calculation — — 7,991 Earnings per share: Basic $ 2.18 $ 1.46 $ 2.13 Diluted $ 2.18 $ 1.45 $ 2.12 |
STOCK BASED COMPENSATION PLANS
STOCK BASED COMPENSATION PLANS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Allocation of Recognized Compensation Expense | (in thousands) 2020 2019 2018 Stock options and restricted stock awards $ 287 $ 328 $ 350 Performance stock units 385 170 237 Restricted stock units 1,258 854 711 Total compensation expense $ 1,930 $ 1,352 $ 1,298 |
Summary of Stock Option Activity | Number of Weighted Aggregate Stock Options Average Intrinsic Value Stock Options Outstanding Exercise Price (in thousands) Outstanding at January 1, 2020 107,784 $ 20.15 Granted — — Exercised (9,860) 18.42 Forfeited (483) 16.96 Expired (2,875) 21.90 Outstanding at December 31, 2020 94,566 $ 20.29 $ 226 Ending vested and expected to vest December 31, 2020 94,566 $ 20.29 $ 226 Exercisable at December 31, 2020 92,956 20.35 217 Number of Weighted Aggregate Stock Options Average Intrinsic Value Stock Options Outstanding Exercise Price (in thousands) Outstanding at January 1, 2019 121,637 $ 19.96 Granted — — Exercised (13,853) 18.44 Forfeited — — Outstanding at December 31, 2019 107,784 $ 20.15 $ 565 Ending vested and expected to vest December 31, 2019 107,784 $ 20.15 $ 565 Exercisable at December 31, 2019 98,460 20.48 483 |
Summary of Restricted Stock Awards Activity | Number of Restricted Stock Weighted Average Awards Grant Date Fair Restricted Stock Awards Outstanding Value Outstanding at January 1, 2020 — $ — Awarded 39,565 23.59 Vested (39,565) 23.59 Forfeited — — Outstanding at December 31, 2020 — $ — |
Performance stock units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary of Stock Units Activity | Number of Weighted Average Performance Stock Grant Date Fair Performance Stock Units Units Outstanding Value Nonvested at January 1, 2020 43,058 $ 26.01 Awarded 25,041 25.07 Vested and exercised (10,369) 18.51 Forfeited (1,402) 29.13 Nonvested at December 31, 2020 56,328 $ 24.98 Number of Weighted Average Performance Stock Grant Date Fair Performance Stock Units Units Outstanding Value Nonvested at January 1, 2019 37,865 $ 26.77 Awarded 17,968 23.24 Vested and exercised (11,801) 23.92 Forfeited (974) 28.78 Nonvested at December 31, 2019 43,058 $ 26.01 |
Restricted stock units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary of Stock Units Activity | Number of Weighted Average Restricted Stock Grant Date Fair Units Outstanding Value Outstanding at January 1, 2020 106,552 $ 25.82 Granted 63,667 21.98 Vested and exercised (31,565) 27.38 Forfeited (7,256) 25.60 Outstanding at December 31, 2020 131,398 $ 23.57 Number of Weighted Average Restricted Stock Grant Date Fair Units Outstanding Value Outstanding at January 1, 2019 80,740 $ 28.24 Granted 50,352 22.45 Vested and exercised (19,411) 26.11 Forfeited (5,129) 29.28 Outstanding at December 31, 2019 106,552 $ 25.82 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | December 31, 2020 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 212,390 $ — $ 212,390 US Government agency — 85,632 — 85,632 Private label — 19,709 — 19,709 Obligations of states and political subdivisions thereof — 169,004 — 169,004 Corporate bonds — 98,311 — 98,311 Derivative assets — 28,684 22 28,706 Derivative liabilities — (28,559) (95) (28,654) December 31, 2019 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 321,969 $ — $ 321,969 US Government agency — 99,661 — 99,661 Private label — 19,533 — 19,533 Obligations of states and political subdivisions thereof — 142,006 — 142,006 Corporate bonds — 80,061 — 80,061 Derivative assets — 6,791 59 6,850 Derivative liabilities — (8,102) (84) (8,186) |
Schedule of Changes in Level 3 Assets Measured on a Recurring Basis | Assets (Liabilities) Interest Rate Lock Forward (in thousands) Commitments Commitments December 31, 2018 8 — Realized gain (loss) recognized in non-interest income 51 (84) December 31, 2019 59 (84) Realized loss recognized in non-interest income (37) (11) December 31, 2020 $ 22 $ (95) |
Schedule of Changes in Level 3 Liabilities Measured on a Recurring Basis | Assets (Liabilities) Interest Rate Lock Forward (in thousands) Commitments Commitments December 31, 2018 8 — Realized gain (loss) recognized in non-interest income 51 (84) December 31, 2019 59 (84) Realized loss recognized in non-interest income (37) (11) December 31, 2020 $ 22 $ (95) |
Schedule of Quantitative Information, Valuation, Recurring | Significant Fair Value Fair Value Unobservable (in thousands, except ratios) Dec 31, 2020 Dec 31, 2019 Valuation Techniques Unobservable Inputs Input Value Assets (Liabilities) Interest Rate Lock Commitment $ 22 $ 59 Historical trend Closing Ratio 90 % Pricing Model Origination Costs, per loan $ 1.7 Forward Commitments (95) (84) Quoted prices for similar loans in active markets Freddie Mac pricing system Pair-off contract price Total $ (73) $ (25) |
Summary of Applicable Non-Recurring Fair Value Measurements | Fair Value Measurement December 31, 2020 December 31, 2019 December 31, 2020 Date as of December 31, 2020 Level 3 Level 3 Total Level 3 (in thousands) Inputs Inputs Gains (Losses) Inputs Assets Impaired loans $ 8,746 $ 9,625 $ 879 December 2020 Capitalized servicing rights 3,605 4,301 696 December 2020 Other real estate owned — 2,236 (355) September 2020 Premises held for sale 962 1,764 122 December 2020 Total $ 13,313 $ 17,926 $ 1,342 |
Schedule of Quantitative Information, Valuation, Non-recurring | (in thousands, except ratios) Fair Value Dec 31, 2020 Valuation Techniques Unobservable Inputs Range (Weighted Average) (a) Assets Impaired loans $ 6,128 Fair value of collateral-appraised value Loss severity 0% to 70% Appraised value $0 to $1,730 Impaired loans 2,618 Discount cash flow Discount rate 3.50% to 9.50% Cash flows $19 to $953 Capitalized servicing rights 3,605 Discounted cash flow Constant prepayment rate (CPR) 18.53% Discount rate 10.05% Premises held for sale 962 Fair value of asset less selling costs Appraised value $220 to $386 Selling Costs 6% Total $ 13,313 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individuals properties. (in thousands, except ratios) Fair Value Dec 31, 2019 Valuation Techniques Unobservable Inputs Range (Weighted Average) (a) Assets Impaired loans $ 6,137 Fair value of collateral-appraised value Loss severity 0% to 55.00% Appraised value $0 to $6,915 Impaired loans 3,488 Discount cash flow Discount rate 2.88% to 9.50% Cash flows $22 to $1,002 Capitalized servicing rights 4,301 Discounted cash flow Constant prepayment rate (CPR) 9.95% Discount rate 10.07% Other real estate owned 2,236 Fair value of collateral less selling costs Appraised value $2,695 Selling Costs 10% to 20% Premises held for sale 1,764 Fair value of asset less selling costs Appraised value $136 to $527 Selling Costs 6% Total $ 17,926 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individuals properties. |
Summary of Estimated Fair Values, and Related Carrying Amounts, of Financial Instruments | December 31, 2020 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 226,007 $ 226,007 $ 226,007 $ — $ — Securities available for sale 585,046 585,046 — 585,046 — FHLB stock 14,036 14,036 — 14,036 — Loans held for sale 23,988 — — — 24,163 Net loans 2,543,803 2,547,970 — — 2,547,970 Accrued interest receivable 2,964 2,964 — 2,964 — Cash surrender value of bank-owned life insurance policies 77,870 77,870 — 77,870 — Derivative assets 28,706 28,706 — 28,684 22 Financial Liabilities Non-maturity deposits $ 2,207,854 $ 2,122,222 $ — $ 2,122,222 $ — Time deposits 698,361 694,700 — 694,700 — Securities sold under agreements to repurchase 27,779 27,779 — 27,779 — FHLB advances 248,283 252,698 — 252,698 — Subordinated borrowings 59,961 57,091 — 57,091 — Derivative liabilities 28,654 28,654 — 28,559 95 December 31, 2019 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 56,910 $ 56,910 $ 56,910 $ — $ — Securities available for sale 663,230 663,230 — 663,230 — FHLB stock 20,679 20,679 — 20,679 — Loans held for sale 6,499 — — — 6,572 Net loans 2,625,739 2,634,147 — — 2,634,147 Accrued interest receivable 3,294 3,294 — 3,294 — Cash surrender value of bank-owned life insurance policies 75,863 75,863 — 75,863 — Derivative assets 6,850 6,850 — 6,791 59 Financial Liabilities Non-maturity deposits $ 1,763,116 $ 1,751,481 $ — $ 1,751,481 $ — Time deposits 932,635 932,886 — 932,886 — Short-term other borrowings 44,832 44,831 — 44,831 — FHLB advances 426,564 425,989 — 425,989 — Subordinated borrowings 59,920 59,920 — 59,920 — Derivative liabilities 8,186 8,186 — 8,102 84 |
REVENUE FROM CONTRACTS WITH C_2
REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Twelve Months Ended December 31, (in thousands) 2020 2019 Major Products/Service Lines Trust management fees $ 12,246 $ 11,098 Financial services fees 1,132 966 Interchange fees 6,668 4,899 Customer deposit fees 3,746 4,281 Other customer service fees 913 946 Total $ 24,705 $ 22,190 Twelve Months Ended December 31, (in thousands) 2020 2019 Timing of Revenue Recognition Products and services transferred at a point in time $ 11,992 $ 10,748 Products and services transferred over time 12,713 11,442 Total $ 24,705 $ 22,190 |
Contract Balances from Contracts with Customers | (in thousands) December 31, 2020 December 31, 2019 Balances from contracts with customers only: Other Assets $ 1,121 $ 1,703 Other Liabilities 2,785 3,114 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
ROU Assets and Liabilities | (in thousands) Classification December 31, 2020 December 31, 2019 Lease Right-of-Use Assets Operating lease right-of-use assets Other assets $ 10,338 $ 9,623 Lease Liabilities Operating lease liabilities Other liabilities 10,627 9,651 |
Additional Information Regarding Leases | December 31, 2020 December 31, 2019 Weighted-average remaining lease term (in years) Operating leases 9.26 8.96 Weighted-average discount rate Operating leases 3.15 % 3.27 % Twelve Months Ended (in thousands) December 31, 2020 December 31, 2019 Lease Costs Operating lease cost $ 1,285 $ 698 Variable lease cost 271 711 Total lease cost $ 1,556 $ 1,409 |
Future Minimum Payments for Leases | (in thousands) Payments Twelve Months Ended: December 31, 2021 $ 1,293 December 31, 2022 1,319 December 31, 2023 1,318 December 31, 2024 1,293 December 31, 2025 1,092 Thereafter 5,362 Total future minimum lease payments 11,677 Amounts representing interest (1,050) Present value of net future minimum lease payments $ 10,627 |
CONDENSED FINANCIAL STATEMENT_2
CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Balance Sheet | December 31, (in thousands) 2020 2019 Assets Cash $ 10,741 $ 29,223 Investment in subsidiaries 464,645 427,536 Premises and equipment 756 687 Other assets 1,934 4,586 Total assets $ 478,076 $ 462,032 Liabilities and Shareholders Equity Subordinated notes $ 59,961 $ 59,920 Accrued expenses 6,774 5,705 Shareholders equity 411,341 396,407 Total liabilities and shareholders equity $ 478,076 $ 462,032 |
Condensed Income Statement | Years Ended December 31, (in thousands) 2020 2019 2018 Income: Dividends from subsidiaries $ 8,024 $ 21,734 $ 23,705 Other income 742 337 31 Total income 8,766 22,071 23,736 Interest expense 2,750 2,188 2,121 Non-interest expense 4,465 3,208 3,147 Total expense 7,215 5,396 5,268 Income before taxes and equity in undistributed income of subsidiaries 1,552 16,675 18,468 Income tax benefit (1,539) (1,100) (1,136) Income before equity in undistributed income of subsidiaries 3,091 17,775 19,604 Equity in undistributed income of subsidiaries 30,153 4,845 13,333 Net income $ 33,244 $ 22,620 $ 32,937 |
Condensed Cash Flow Statement | Years Ended December 31, (in thousands) 2020 2019 2018 Cash flows from operating activities: Net income $ 33,244 $ 22,620 $ 32,937 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Equity in undistributed income of subsidiaries (30,153) (4,845) (13,333) Other, net 3,840 (1,040) (1,457) Net cash provided by operating activities 6,931 16,735 18,147 Cash flows from investing activities: Acquisitions, net of cash paid — — — Purchase of securities — — (7) Capital contribution to subsidiary — (8,000) — Net cash used in investing activities — (8,000) (7) Cash flows from financing activities: Proceeds from issuance of subordinated debt — 40,000 — Repayment of subordinated debt — (17,000) — Net proceeds from common stock 2,192 883 951 Net proceeds from reissuance of treasury stock (14,188) (22) 686 Common stock cash dividends paid (13,417) (13,366) (12,184) Net cash (used in) provided by financing activities (25,413) 10,495 (10,547) Net change in cash and cash equivalents (18,482) 19,230 7,593 Cash and cash equivalents at beginning of year 29,223 9,993 2,400 Cash and cash equivalents at end of year $ 10,741 $ 29,223 $ 9,993 |
QUARTERLY DATA (UNAUDITED) (Tab
QUARTERLY DATA (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information | 2020 Fourth Third Second First (in thousands, except per share data) Quarter Quarter Quarter Quarter Interest and dividend income $ 30,700 $ 30,475 $ 31,435 $ 33,494 Interest expense 5,338 5,810 6,845 8,931 Net interest income 25,362 24,665 24,590 24,563 Non-interest income 14,723 10,102 9,710 8,421 Provision for loan losses 1,360 1,800 1,354 1,111 Non-interest expense 27,816 22,419 22,266 22,359 Income before income taxes 10,909 10,548 10,680 9,514 Income tax expense 2,269 2,146 2,199 1,793 Net income $ 8,640 $ 8,402 $ 8,481 $ 7,721 Earnings per share: Basic $ 0.58 $ 0.56 $ 0.55 $ 0.50 Diluted $ 0.58 $ 0.56 $ 0.55 $ 0.50 Weighted average shares outstanding: Basic 14,909 15,079 15,424 15,558 Diluted 14,952 15,103 15,441 15,593 2019 Fourth Third Second First (in thousands, except per share data) Quarter Quarter Quarter Quarter Interest and dividend income $ 34,117 $ 34,262 $ 33,785 $ 33,227 Interest expense 10,013 11,817 12,289 11,462 Net interest income 24,104 22,445 21,496 21,765 Non-interest income 7,806 7,643 7,453 6,167 Provision for loan losses 538 893 562 324 Non-interest expense 26,803 23,400 20,906 18,624 Income before income taxes 4,569 5,795 7,481 8,984 Income tax expense 362 780 1,364 1,703 Net income $ 4,207 $ 5,015 $ 6,117 $ 7,281 Earnings per share: Basic $ 0.27 $ 0.32 $ 0.39 $ 0.47 Diluted $ 0.27 $ 0.32 $ 0.39 $ 0.47 Weighted average shares outstanding: Basic 15,554 15,547 15,538 15,523 Diluted 15,602 15,581 15,586 15,587 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) $ in Millions | Mar. 15, 2020 | Dec. 31, 2020 | Dec. 31, 2019USD ($) |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Reserve requirement maximum reduced percentage | 0 | ||
Reserve requirements | $ 23.1 | ||
Period past due to trigger non-accrual status | 90 days | ||
Period past due to trigger write-down or write-off | 120 days | ||
Period of performance for return to accrual status | 6 months | ||
Number of basis points of loan loss reserve | 0.95 | ||
Number of basis points of loan loss reserve under incurred loss model | 0.74 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Property, etc. (Details) | 12 Months Ended |
Dec. 31, 2020item | |
Property, Plant and Equipment [Line Items] | |
Number of reporting units | 1 |
Enrollment term of employee stock purchase plan | 6 months |
Premises | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful live of premises and equipment | 5 years |
Premises | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful live of premises and equipment | 39 years |
Furniture and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful live of premises and equipment | 3 years |
Furniture and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful live of premises and equipment | 7 years |
SECURITIES AVAILABLE FOR SALE -
SECURITIES AVAILABLE FOR SALE - Summary of Securities Available for Sale (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Investment Holdings [Line Items] | ||
Amortized Cost | $ 571,977 | $ 655,980 |
Gross Unrealized Gains | 14,637 | 11,113 |
Gross Unrealized Losses | (1,568) | (3,863) |
Fair Value | 585,046 | 663,230 |
US Government-sponsored enterprises | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 206,834 | 319,064 |
Gross Unrealized Gains | 6,018 | 4,985 |
Gross Unrealized Losses | (462) | (2,080) |
Fair Value | 212,390 | 321,969 |
US Government agency | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 82,878 | 98,568 |
Gross Unrealized Gains | 2,870 | 1,640 |
Gross Unrealized Losses | (116) | (547) |
Fair Value | 85,632 | 99,661 |
Private label | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 19,810 | 20,212 |
Gross Unrealized Gains | 40 | 68 |
Gross Unrealized Losses | (141) | (747) |
Fair Value | 19,709 | 19,533 |
Obligations of states and political subdivisions thereof | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 164,766 | 139,332 |
Gross Unrealized Gains | 4,244 | 2,942 |
Gross Unrealized Losses | (6) | (268) |
Fair Value | 169,004 | 142,006 |
Corporate bonds | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 97,689 | 78,804 |
Gross Unrealized Gains | 1,465 | 1,478 |
Gross Unrealized Losses | (843) | (221) |
Fair Value | $ 98,311 | $ 80,061 |
SECURITIES AVAILABLE FOR SALE_2
SECURITIES AVAILABLE FOR SALE - Maturity of Available for Sale Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Amortized Cost | ||
Over 1 year to 5 years | $ 20,566 | |
Over 5 years to 10 years | 76,456 | |
Over 10 years | 165,433 | |
Total bonds and obligations | 262,455 | |
Mortgage-backed securities | 309,522 | |
Amortized Cost | 571,977 | $ 655,980 |
Fair Value | ||
Over 1 year to 5 years | 20,963 | |
Over 5 years to 10 years | 76,598 | |
Over 10 years | 169,752 | |
Total bonds and obligations | 267,313 | |
Mortgage-backed securities | 317,733 | |
Total securities available for sale | $ 585,046 | $ 663,230 |
SECURITIES AVAILABLE FOR SALE_3
SECURITIES AVAILABLE FOR SALE - Proceeds from the Sale of Securities and Realized Gains and Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |||
Proceeds from sales of securities available for sale | $ 153,200 | $ 92,315 | $ 29,107 |
Realized Gains | 5,492 | 993 | |
Realized Losses | (47) | (756) | (924) |
Net | $ 5,445 | $ 237 | $ (924) |
SECURITIES AVAILABLE FOR SALE_4
SECURITIES AVAILABLE FOR SALE - Summary of Securities with Unrealized Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Gross Unrealized Losses | ||
Less Than Twelve Months | $ 815 | $ 2,165 |
Over Twelve Months | 753 | 1,698 |
Total | 1,568 | 3,863 |
Fair Value | ||
Less Than Twelve Months | 74,412 | 112,232 |
Over Twelve Months | 38,846 | 82,201 |
Total | 113,258 | 194,433 |
US Government-sponsored enterprises | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 209 | 1,074 |
Over Twelve Months | 253 | 1,006 |
Total | 462 | 2,080 |
Fair Value | ||
Less Than Twelve Months | 40,285 | 43,429 |
Over Twelve Months | 4,323 | 49,712 |
Total | 44,608 | 93,141 |
US Government agency | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 45 | 432 |
Over Twelve Months | 71 | 115 |
Total | 116 | 547 |
Fair Value | ||
Less Than Twelve Months | 6,776 | 19,717 |
Over Twelve Months | 3,297 | 9,120 |
Total | 10,073 | 28,837 |
Private label | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 380 | |
Over Twelve Months | 141 | 367 |
Total | 141 | 747 |
Fair Value | ||
Less Than Twelve Months | 9,843 | |
Over Twelve Months | 19,514 | 9,411 |
Total | 19,514 | 19,254 |
Obligations of states and political subdivisions thereof | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 6 | 137 |
Over Twelve Months | 131 | |
Total | 6 | 268 |
Fair Value | ||
Less Than Twelve Months | 5,577 | 29,355 |
Over Twelve Months | 1,682 | |
Total | 5,577 | 31,037 |
Corporate bonds | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 555 | 142 |
Over Twelve Months | 288 | 79 |
Total | 843 | 221 |
Fair Value | ||
Less Than Twelve Months | 21,774 | 9,888 |
Over Twelve Months | 11,712 | 12,276 |
Total | $ 33,486 | $ 22,164 |
SECURITIES AVAILABLE FOR SALE_5
SECURITIES AVAILABLE FOR SALE - Securities Pledged for Collateral (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Carrying Amount | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Securities pledged for deposits | $ 83,805 | $ 217,009 |
Securities pledged for repurchase agreements | 37,444 | 96,007 |
Securities pledged for borrowings | 48,725 | 157,172 |
Total securities pledged | 169,974 | 470,188 |
Total Fair Value | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Securities pledged for deposits | 92,862 | 220,054 |
Securities pledged for repurchase agreements | 39,119 | 96,477 |
Securities pledged for borrowings | 51,913 | 157,458 |
Total securities pledged | $ 183,894 | $ 473,989 |
SECURITIES AVAILABLE FOR SALE_6
SECURITIES AVAILABLE FOR SALE - Securities Impairment (Details) - Available-for-sale Securities - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings | |||
Estimated credit losses as of prior year-end | $ 1,697 | $ 1,697 | $ 1,697 |
Reductions for securities paid off during the period | 0 | 0 | 0 |
Estimated credit losses at end of the period | $ 1,697 | $ 1,697 | $ 1,697 |
SECURITIES AVAILABLE FOR SALE_7
SECURITIES AVAILABLE FOR SALE - Basis for Impairment Conclusion (Details) | 12 Months Ended |
Dec. 31, 2020security | |
US Government-sponsored enterprises | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 35 |
Available for sale securities portfolio, number of securities (security) | 571 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 1.04% |
US Government agency | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 10 |
Available for sale securities portfolio, number of securities (security) | 159 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 1.14% |
Private label | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 9 |
Available for sale securities portfolio, number of securities (security) | 16 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 0.72% |
Obligations of states and political subdivisions thereof | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 2 |
Available for sale securities portfolio, number of securities (security) | 142 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 0.12% |
Corporate bonds | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 11 |
Available for sale securities portfolio, number of securities (security) | 33 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 2.45% |
LOANS - Summary of Total Loans
LOANS - Summary of Total Loans (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 2,562,885 | $ 2,634,593 |
Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,964,754 | 1,828,731 |
Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 598,131 | 805,862 |
Total commercial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,525,450 | 1,353,952 |
Total commercial loans | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,266,348 | 1,024,008 |
Total commercial loans | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 259,102 | 329,944 |
Total commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,084,381 | 930,661 |
Total commercial real estate | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 895,117 | 697,438 |
Total commercial real estate | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 189,264 | 233,223 |
Total commercial real estate | Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 131,123 | 34,290 |
Total commercial real estate | Construction and land development | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 129,255 | 31,387 |
Total commercial real estate | Construction and land development | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,868 | 2,903 |
Total commercial real estate | Other commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 953,258 | 896,371 |
Total commercial real estate | Other commercial real estate | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 765,862 | 666,051 |
Total commercial real estate | Other commercial real estate | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 187,396 | 230,320 |
Total commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 441,069 | 423,291 |
Total commercial and industrial | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 371,231 | 326,570 |
Total commercial and industrial | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 69,838 | 96,721 |
Total commercial and industrial | Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 360,688 | 298,764 |
Total commercial and industrial | Commercial | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 315,005 | 239,692 |
Total commercial and industrial | Commercial | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 45,683 | 59,072 |
Total commercial and industrial | Agricultural | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 16,950 | 20,224 |
Total commercial and industrial | Agricultural | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 16,797 | 20,018 |
Total commercial and industrial | Agricultural | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 153 | 206 |
Total commercial and industrial | Tax exempt | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 63,431 | 104,303 |
Total commercial and industrial | Tax exempt | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 39,429 | 66,860 |
Total commercial and industrial | Tax exempt | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 24,002 | 37,443 |
Total residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 923,891 | 1,145,358 |
Total residential real estate | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of families | item | 4 | |
Total residential real estate | Minimum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of families | item | 1 | |
Total residential real estate | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 633,390 | 734,188 |
Total residential real estate | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 290,501 | 411,170 |
Total residential real estate | Residential mortgages | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 923,891 | 1,145,358 |
Total residential real estate | Residential mortgages | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 633,390 | 734,188 |
Total residential real estate | Residential mortgages | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 290,501 | 411,170 |
Total consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 113,544 | 135,283 |
Total consumer | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 65,016 | 70,535 |
Total consumer | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 48,528 | 64,748 |
Total consumer | Home equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 102,464 | 122,401 |
Total consumer | Home equity | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 55,092 | 59,368 |
Total consumer | Home equity | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 47,372 | 63,033 |
Total consumer | Other consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 11,080 | 12,882 |
Total consumer | Other consumer | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 9,924 | 11,167 |
Total consumer | Other consumer | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 1,156 | $ 1,715 |
LOANS - Unamortized Net Costs a
LOANS - Unamortized Net Costs and Premiums (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Receivables [Abstract] | ||
Unamortized net loan origination costs | $ 5,157 | $ 3,603 |
Unamortized net premium on purchased loans | (85) | (134) |
Total unamortized net costs and premiums | $ 5,072 | $ 3,469 |
LOANS - Pledged, Purchased cred
LOANS - Pledged, Purchased credit impaired, Accretable yield (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Collateral value of pledged loans to Federal Reserve Bank of Boston | $ 71,900 | |
Collateral value of pledged loans for FHLB borrowings | 910,500 | |
Total loans | 2,562,885 | $ 2,634,593 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule | ||
Balance at beginning of period | 7,367 | 4,377 |
Acquisitions | 4,391 | |
Net reclassifications from (to) nonaccretable difference | 1,146 | 541 |
Accretion | (2,957) | (1,942) |
Balance at end of period | 5,556 | 7,367 |
Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 598,131 | $ 805,862 |
Acquired Loans | Financial Asset Acquired with Credit Deterioration [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 12,700 | |
Total notes balances | 16,300 | |
Acquired Loans | Financial Asset Acquired and No Credit Deterioration [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 585,400 |
LOANS - Summary of Past Due Loa
LOANS - Summary of Past Due Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 2,562,885 | $ 2,634,593 |
Total commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1,525,450 | 1,353,952 |
Total commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1,084,381 | 930,661 |
Total commercial real estate | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 131,123 | 34,290 |
Total commercial real estate | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 953,258 | 896,371 |
Total commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 441,069 | 423,291 |
Total commercial and industrial | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 360,688 | 298,764 |
Total commercial and industrial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 16,950 | 20,224 |
Total commercial and industrial | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 63,431 | 104,303 |
Total residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 923,891 | 1,145,358 |
Total residential real estate | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 923,891 | 1,145,358 |
Total consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 113,544 | 135,283 |
Total consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 102,464 | 122,401 |
Total consumer | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 11,080 | 12,882 |
Business Activities Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 11,667 | 15,551 |
Current | 1,953,087 | 1,813,180 |
Total loans | 1,964,754 | 1,828,731 |
Past Due More Than 90 days and Accruing | 3 | 50 |
Business Activities Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 6,800 | 8,685 |
Business Activities Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,678 | 2,969 |
Business Activities Loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,189 | 3,897 |
Business Activities Loans | Total commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,284 | 5,230 |
Current | 1,264,064 | 1,018,778 |
Total loans | 1,266,348 | 1,024,008 |
Business Activities Loans | Total commercial loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 466 | 759 |
Business Activities Loans | Total commercial loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 774 | 1,671 |
Business Activities Loans | Total commercial loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,044 | 2,800 |
Business Activities Loans | Total commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,769 | 3,642 |
Current | 893,348 | 693,796 |
Total loans | 895,117 | 697,438 |
Business Activities Loans | Total commercial real estate | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1 | 258 |
Current | 129,254 | 31,129 |
Total loans | 129,255 | 31,387 |
Business Activities Loans | Total commercial real estate | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,768 | 3,384 |
Current | 764,094 | 662,667 |
Total loans | 765,862 | 666,051 |
Business Activities Loans | Total commercial real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 454 | 245 |
Business Activities Loans | Total commercial real estate | 30-59 Days Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 205 | |
Business Activities Loans | Total commercial real estate | 30-59 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 454 | 40 |
Business Activities Loans | Total commercial real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 464 | 1,587 |
Business Activities Loans | Total commercial real estate | 60-89 Days Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 53 | |
Business Activities Loans | Total commercial real estate | 60-89 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 464 | 1,534 |
Business Activities Loans | Total commercial real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 851 | 1,810 |
Business Activities Loans | Total commercial real estate | 90 Days or Greater Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1 | |
Business Activities Loans | Total commercial real estate | 90 Days or Greater Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 850 | 1,810 |
Business Activities Loans | Total commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 515 | 1,588 |
Current | 370,716 | 324,982 |
Total loans | 371,231 | 326,570 |
Business Activities Loans | Total commercial and industrial | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 472 | 1,396 |
Current | 314,533 | 238,296 |
Total loans | 315,005 | 239,692 |
Business Activities Loans | Total commercial and industrial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 43 | 192 |
Current | 16,754 | 19,826 |
Total loans | 16,797 | 20,018 |
Business Activities Loans | Total commercial and industrial | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 39,429 | 66,860 |
Total loans | 39,429 | 66,860 |
Business Activities Loans | Total commercial and industrial | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 12 | 514 |
Business Activities Loans | Total commercial and industrial | 30-59 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 5 | 452 |
Business Activities Loans | Total commercial and industrial | 30-59 Days Past Due | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 7 | 62 |
Business Activities Loans | Total commercial and industrial | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 310 | 84 |
Business Activities Loans | Total commercial and industrial | 60-89 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 310 | 50 |
Business Activities Loans | Total commercial and industrial | 60-89 Days Past Due | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 34 | |
Business Activities Loans | Total commercial and industrial | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 193 | 990 |
Business Activities Loans | Total commercial and industrial | 90 Days or Greater Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 157 | 894 |
Business Activities Loans | Total commercial and industrial | 90 Days or Greater Past Due | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 36 | 96 |
Business Activities Loans | Total residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 8,959 | 9,204 |
Current | 624,431 | 724,984 |
Total loans | 633,390 | 734,188 |
Business Activities Loans | Total residential real estate | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 8,959 | 9,204 |
Current | 624,431 | 724,984 |
Total loans | 633,390 | 734,188 |
Business Activities Loans | Total residential real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 6,219 | 7,293 |
Business Activities Loans | Total residential real estate | 30-59 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 6,219 | 7,293 |
Business Activities Loans | Total residential real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,767 | 1,243 |
Business Activities Loans | Total residential real estate | 60-89 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,767 | 1,243 |
Business Activities Loans | Total residential real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 973 | 668 |
Business Activities Loans | Total residential real estate | 90 Days or Greater Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 973 | 668 |
Business Activities Loans | Total consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 424 | 1,117 |
Current | 64,592 | 69,418 |
Total loans | 65,016 | 70,535 |
Past Due More Than 90 days and Accruing | 3 | 50 |
Business Activities Loans | Total consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 402 | 1,069 |
Current | 54,690 | 58,299 |
Total loans | 55,092 | 59,368 |
Past Due More Than 90 days and Accruing | 3 | 50 |
Business Activities Loans | Total consumer | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 22 | 48 |
Current | 9,902 | 11,119 |
Total loans | 9,924 | 11,167 |
Business Activities Loans | Total consumer | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 115 | 633 |
Business Activities Loans | Total consumer | 30-59 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 95 | 597 |
Business Activities Loans | Total consumer | 30-59 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 20 | 36 |
Business Activities Loans | Total consumer | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 137 | 55 |
Business Activities Loans | Total consumer | 60-89 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 137 | 43 |
Business Activities Loans | Total consumer | 60-89 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 12 | |
Business Activities Loans | Total consumer | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 172 | 429 |
Business Activities Loans | Total consumer | 90 Days or Greater Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 170 | 429 |
Business Activities Loans | Total consumer | 90 Days or Greater Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2 | |
Acquired Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 7,552 | 9,480 |
Acquired Credit Impaired | 12,686 | 18,553 |
Total loans | 598,131 | 805,862 |
Past Due More Than 90 days and Accruing | 121 | 217 |
Acquired Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 4,300 | 5,864 |
Acquired Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,170 | 2,013 |
Acquired Loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,082 | 1,603 |
Acquired Loans | Total commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 3,475 | 3,432 |
Acquired Credit Impaired | 7,456 | 11,605 |
Total loans | 259,102 | 329,944 |
Acquired Loans | Total commercial loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,544 | 2,469 |
Acquired Loans | Total commercial loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 105 | 592 |
Acquired Loans | Total commercial loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 826 | 371 |
Acquired Loans | Total commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 3,160 | 2,517 |
Acquired Credit Impaired | 6,433 | 8,673 |
Total loans | 189,264 | 233,223 |
Acquired Loans | Total commercial real estate | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 12 | |
Acquired Credit Impaired | 74 | 384 |
Total loans | 1,868 | 2,903 |
Acquired Loans | Total commercial real estate | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 3,160 | 2,505 |
Acquired Credit Impaired | 6,359 | 8,289 |
Total loans | 187,396 | 230,320 |
Acquired Loans | Total commercial real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,360 | 2,029 |
Acquired Loans | Total commercial real estate | 30-59 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,360 | 2,029 |
Acquired Loans | Total commercial real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 105 | 257 |
Acquired Loans | Total commercial real estate | 60-89 Days Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 12 | |
Acquired Loans | Total commercial real estate | 60-89 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 105 | 245 |
Acquired Loans | Total commercial real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 695 | 231 |
Acquired Loans | Total commercial real estate | 90 Days or Greater Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 695 | 231 |
Acquired Loans | Total commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 315 | 915 |
Acquired Credit Impaired | 1,023 | 2,932 |
Total loans | 69,838 | 96,721 |
Acquired Loans | Total commercial and industrial | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 315 | 915 |
Acquired Credit Impaired | 870 | 2,723 |
Total loans | 45,683 | 59,072 |
Acquired Loans | Total commercial and industrial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Acquired Credit Impaired | 153 | 173 |
Total loans | 153 | 206 |
Acquired Loans | Total commercial and industrial | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Acquired Credit Impaired | 36 | |
Total loans | 24,002 | 37,443 |
Acquired Loans | Total commercial and industrial | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 184 | 440 |
Acquired Loans | Total commercial and industrial | 30-59 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 184 | 440 |
Acquired Loans | Total commercial and industrial | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 335 | |
Acquired Loans | Total commercial and industrial | 60-89 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 335 | |
Acquired Loans | Total commercial and industrial | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 131 | 140 |
Acquired Loans | Total commercial and industrial | 90 Days or Greater Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 131 | 140 |
Acquired Loans | Total residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,519 | 5,064 |
Acquired Credit Impaired | 4,532 | 5,591 |
Total loans | 290,501 | 411,170 |
Past Due More Than 90 days and Accruing | 121 | |
Acquired Loans | Total residential real estate | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,519 | 5,064 |
Acquired Credit Impaired | 4,532 | 5,591 |
Total loans | 290,501 | 411,170 |
Past Due More Than 90 days and Accruing | 121 | |
Acquired Loans | Total residential real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 785 | 3,185 |
Acquired Loans | Total residential real estate | 30-59 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 785 | 3,185 |
Acquired Loans | Total residential real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 579 | 864 |
Acquired Loans | Total residential real estate | 60-89 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 579 | 864 |
Acquired Loans | Total residential real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,155 | 1,015 |
Acquired Loans | Total residential real estate | 90 Days or Greater Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,155 | 1,015 |
Acquired Loans | Total consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,558 | 984 |
Acquired Credit Impaired | 698 | 1,357 |
Total loans | 48,528 | 64,748 |
Past Due More Than 90 days and Accruing | 217 | |
Acquired Loans | Total consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,558 | 973 |
Acquired Credit Impaired | 659 | 1,291 |
Total loans | 47,372 | 63,033 |
Past Due More Than 90 days and Accruing | 217 | |
Acquired Loans | Total consumer | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 11 | |
Acquired Credit Impaired | 39 | 66 |
Total loans | 1,156 | 1,715 |
Acquired Loans | Total consumer | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 971 | 210 |
Acquired Loans | Total consumer | 30-59 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 971 | 208 |
Acquired Loans | Total consumer | 30-59 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2 | |
Acquired Loans | Total consumer | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 486 | 557 |
Acquired Loans | Total consumer | 60-89 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 486 | 548 |
Acquired Loans | Total consumer | 60-89 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 9 | |
Acquired Loans | Total consumer | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 101 | 217 |
Acquired Loans | Total consumer | 90 Days or Greater Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | $ 101 | $ 217 |
LOANS - Non-accrual Loans (Deta
LOANS - Non-accrual Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Non-accrual loans | ||
Total loans | $ 12,188 | $ 11,550 |
Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 6,437 | 8,354 |
Acquired Loans | ||
Non-accrual loans | ||
Total loans | 5,751 | 3,196 |
Total commercial loans | ||
Non-accrual loans | ||
Total loans | 5,717 | 5,325 |
Total commercial loans | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 2,685 | 4,356 |
Total commercial loans | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 3,032 | 969 |
Total commercial real estate | ||
Non-accrual loans | ||
Total loans | 4,251 | 3,489 |
Total commercial real estate | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 1,594 | 3,146 |
Total commercial real estate | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 2,657 | 343 |
Total commercial real estate | Construction and land development | ||
Non-accrual loans | ||
Total loans | 190 | 258 |
Total commercial real estate | Construction and land development | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 190 | 258 |
Total commercial real estate | Other commercial real estate | ||
Non-accrual loans | ||
Total loans | 4,061 | 3,231 |
Total commercial real estate | Other commercial real estate | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 1,404 | 2,888 |
Total commercial real estate | Other commercial real estate | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 2,657 | 343 |
Total commercial and industrial | ||
Non-accrual loans | ||
Total loans | 1,466 | 1,836 |
Total commercial and industrial | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 1,091 | 1,210 |
Total commercial and industrial | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 375 | 626 |
Total commercial and industrial | Commercial | ||
Non-accrual loans | ||
Total loans | 1,244 | 1,558 |
Total commercial and industrial | Commercial | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 869 | 932 |
Total commercial and industrial | Commercial | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 375 | 626 |
Total commercial and industrial | Agricultural | ||
Non-accrual loans | ||
Total loans | 222 | 278 |
Total commercial and industrial | Agricultural | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 222 | 278 |
Total residential real estate | ||
Non-accrual loans | ||
Total loans | 5,729 | 5,335 |
Total residential real estate | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 3,301 | 3,362 |
Total residential real estate | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 2,428 | 1,973 |
Total residential real estate | Residential mortgages | ||
Non-accrual loans | ||
Total loans | 5,729 | 5,335 |
Total residential real estate | Residential mortgages | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 3,301 | 3,362 |
Total residential real estate | Residential mortgages | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 2,428 | 1,973 |
Total consumer | ||
Non-accrual loans | ||
Total loans | 742 | 890 |
Total consumer | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 451 | 636 |
Total consumer | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 291 | 254 |
Total consumer | Home equity | ||
Non-accrual loans | ||
Total loans | 729 | 869 |
Total consumer | Home equity | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 438 | 615 |
Total consumer | Home equity | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 291 | 254 |
Total consumer | Other consumer | ||
Non-accrual loans | ||
Total loans | 13 | 21 |
Total consumer | Other consumer | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | $ 13 | $ 21 |
LOANS - Loans Evaluated for Imp
LOANS - Loans Evaluated for Impairment (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Allowance for loan losses | ||
Loans and Leases Receivable, Net Amount | $ 2,543,803 | $ 2,619,240 |
Total loans | 2,562,885 | 2,634,593 |
Total commercial real estate | ||
Allowance for loan losses | ||
Total loans | 1,084,381 | 930,661 |
Total commercial and industrial | ||
Allowance for loan losses | ||
Total loans | 441,069 | 423,291 |
Total residential real estate | ||
Allowance for loan losses | ||
Total loans | 923,891 | 1,145,358 |
Total consumer | ||
Allowance for loan losses | ||
Total loans | 113,544 | 135,283 |
Business Activities Loans | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 5,446 | 7,950 |
Collectively evaluated | 1,959,308 | 1,820,781 |
Total loans | 1,964,754 | 1,828,731 |
Business Activities Loans | Total commercial real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 2,222 | 3,964 |
Collectively evaluated | 892,895 | 693,474 |
Total loans | 895,117 | 697,438 |
Business Activities Loans | Total commercial and industrial | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 997 | 1,353 |
Collectively evaluated | 370,234 | 325,217 |
Total loans | 371,231 | 326,570 |
Business Activities Loans | Total residential real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 2,215 | 2,620 |
Collectively evaluated | 631,175 | 731,568 |
Total loans | 633,390 | 734,188 |
Business Activities Loans | Total consumer | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 12 | 13 |
Collectively evaluated | 65,004 | 70,522 |
Total loans | 65,016 | 70,535 |
Acquired Loans | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 3,300 | 1,675 |
Purchased credit impaired | 12,686 | 18,553 |
Collectively evaluated | 582,145 | 785,634 |
Total loans | 598,131 | 805,862 |
Acquired Loans | Total commercial real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 2,338 | 258 |
Purchased credit impaired | 6,433 | 8,673 |
Collectively evaluated | 180,493 | 224,292 |
Total loans | 189,264 | 233,223 |
Acquired Loans | Total commercial and industrial | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 294 | 385 |
Purchased credit impaired | 1,023 | 2,932 |
Collectively evaluated | 68,521 | 93,404 |
Total loans | 69,838 | 96,721 |
Acquired Loans | Total residential real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 668 | 1,032 |
Purchased credit impaired | 4,532 | 5,591 |
Collectively evaluated | 285,301 | 404,547 |
Total loans | 290,501 | 411,170 |
Acquired Loans | Total consumer | ||
Allowance for loan losses | ||
Purchased credit impaired | 698 | 1,357 |
Collectively evaluated | 47,830 | 63,391 |
Total loans | 48,528 | 64,748 |
Construction and land development | Total commercial real estate | ||
Allowance for loan losses | ||
Total loans | 131,123 | 34,290 |
Construction and land development | Business Activities Loans | Total commercial real estate | ||
Allowance for loan losses | ||
Total loans | 129,255 | 31,387 |
Construction and land development | Acquired Loans | Total commercial real estate | ||
Allowance for loan losses | ||
Purchased credit impaired | 74 | 384 |
Total loans | 1,868 | 2,903 |
Tax exempt | Total commercial and industrial | ||
Allowance for loan losses | ||
Total loans | 63,431 | 104,303 |
Tax exempt | Business Activities Loans | Total commercial and industrial | ||
Allowance for loan losses | ||
Total loans | 39,429 | 66,860 |
Tax exempt | Acquired Loans | Total commercial and industrial | ||
Allowance for loan losses | ||
Purchased credit impaired | 36 | |
Total loans | 24,002 | 37,443 |
Residential mortgages | Total residential real estate | ||
Allowance for loan losses | ||
Total loans | 923,891 | 1,145,358 |
Residential mortgages | Business Activities Loans | Total residential real estate | ||
Allowance for loan losses | ||
Total loans | 633,390 | 734,188 |
Residential mortgages | Acquired Loans | Total residential real estate | ||
Allowance for loan losses | ||
Purchased credit impaired | 4,532 | 5,591 |
Total loans | 290,501 | 411,170 |
Home equity | Total consumer | ||
Allowance for loan losses | ||
Total loans | 102,464 | 122,401 |
Home equity | Business Activities Loans | Total consumer | ||
Allowance for loan losses | ||
Total loans | 55,092 | 59,368 |
Home equity | Acquired Loans | Total consumer | ||
Allowance for loan losses | ||
Purchased credit impaired | 659 | 1,291 |
Total loans | 47,372 | 63,033 |
Other consumer | Total consumer | ||
Allowance for loan losses | ||
Total loans | 11,080 | 12,882 |
Other consumer | Business Activities Loans | Total consumer | ||
Allowance for loan losses | ||
Total loans | 9,924 | 11,167 |
Other consumer | Acquired Loans | Total consumer | ||
Allowance for loan losses | ||
Purchased credit impaired | 39 | 66 |
Total loans | $ 1,156 | $ 1,715 |
LOANS - Impaired Loans (Details
LOANS - Impaired Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Business Activities Loans | ||
Recorded Investment | ||
Total | $ 5,446 | $ 7,950 |
Unpaid Principal Balance | ||
Total | 5,871 | 8,408 |
Related Allowance | ||
With an allowance recorded | 434 | 1,452 |
Business Activities Loans | Construction and land development | ||
Recorded Investment | ||
With an allowance recorded | 189 | 258 |
Unpaid Principal Balance | ||
With an allowance recorded | 199 | 258 |
Related Allowance | ||
With an allowance recorded | 139 | 205 |
Business Activities Loans | Other commercial real estate | ||
Recorded Investment | ||
With no related allowance | 748 | 1,911 |
With an allowance recorded | 1,285 | 1,795 |
Unpaid Principal Balance | ||
With no related allowance | 832 | 1,957 |
With an allowance recorded | 1,356 | 1,940 |
Related Allowance | ||
With an allowance recorded | 227 | 1,026 |
Business Activities Loans | Commercial | ||
Recorded Investment | ||
With no related allowance | 851 | 710 |
With an allowance recorded | 282 | |
Unpaid Principal Balance | ||
With no related allowance | 958 | 773 |
With an allowance recorded | 289 | |
Related Allowance | ||
With an allowance recorded | 164 | |
Business Activities Loans | Agricultural | ||
Recorded Investment | ||
With no related allowance | 146 | 361 |
Unpaid Principal Balance | ||
With no related allowance | 150 | 361 |
Business Activities Loans | Residential mortgages | ||
Recorded Investment | ||
With no related allowance | 612 | 2,067 |
With an allowance recorded | 1,603 | 553 |
Unpaid Principal Balance | ||
With no related allowance | 701 | 2,227 |
With an allowance recorded | 1,663 | 590 |
Related Allowance | ||
With an allowance recorded | 67 | 57 |
Business Activities Loans | Home equity | ||
Recorded Investment | ||
With an allowance recorded | 12 | 13 |
Unpaid Principal Balance | ||
With an allowance recorded | 12 | 13 |
Related Allowance | ||
With an allowance recorded | 1 | |
Business Activities Loans | Total commercial real estate | ||
Recorded Investment | ||
Total | 2,222 | 3,964 |
Unpaid Principal Balance | ||
Total | 2,387 | 4,155 |
Related Allowance | ||
With an allowance recorded | 366 | 1,231 |
Business Activities Loans | Total commercial and industrial | ||
Recorded Investment | ||
Total | 997 | 1,353 |
Unpaid Principal Balance | ||
Total | 1,108 | 1,423 |
Related Allowance | ||
With an allowance recorded | 164 | |
Business Activities Loans | Total residential real estate | ||
Recorded Investment | ||
Total | 2,215 | 2,620 |
Unpaid Principal Balance | ||
Total | 2,364 | 2,817 |
Related Allowance | ||
With an allowance recorded | 67 | 57 |
Business Activities Loans | Total consumer | ||
Recorded Investment | ||
Total | 12 | 13 |
Unpaid Principal Balance | ||
Total | 12 | 13 |
Related Allowance | ||
With an allowance recorded | 1 | |
Acquired Loans | ||
Recorded Investment | ||
Total | 3,300 | 1,675 |
Unpaid Principal Balance | ||
Total | 3,584 | 2,053 |
Related Allowance | ||
With an allowance recorded | 296 | 61 |
Acquired Loans | Other commercial real estate | ||
Recorded Investment | ||
With no related allowance | 1,567 | 90 |
With an allowance recorded | 771 | 168 |
Unpaid Principal Balance | ||
With no related allowance | 1,595 | 90 |
With an allowance recorded | 791 | 168 |
Related Allowance | ||
With an allowance recorded | 290 | 12 |
Acquired Loans | Commercial | ||
Recorded Investment | ||
With no related allowance | 229 | 385 |
With an allowance recorded | 65 | |
Unpaid Principal Balance | ||
With no related allowance | 332 | 481 |
With an allowance recorded | 67 | |
Related Allowance | ||
With an allowance recorded | 5 | |
Acquired Loans | Residential mortgages | ||
Recorded Investment | ||
With no related allowance | 423 | 678 |
With an allowance recorded | 245 | 354 |
Unpaid Principal Balance | ||
With no related allowance | 465 | 938 |
With an allowance recorded | 334 | 376 |
Related Allowance | ||
With an allowance recorded | 1 | 49 |
Acquired Loans | Total commercial real estate | ||
Recorded Investment | ||
Total | 2,338 | 258 |
Unpaid Principal Balance | ||
Total | 2,386 | 258 |
Related Allowance | ||
With an allowance recorded | 290 | 12 |
Acquired Loans | Total commercial and industrial | ||
Recorded Investment | ||
Total | 294 | 385 |
Unpaid Principal Balance | ||
Total | 399 | 481 |
Related Allowance | ||
With an allowance recorded | 5 | |
Acquired Loans | Total residential real estate | ||
Recorded Investment | ||
Total | 668 | 1,032 |
Unpaid Principal Balance | ||
Total | 799 | 1,314 |
Related Allowance | ||
With an allowance recorded | $ 1 | $ 49 |
LOANS - Average Recorded Invest
LOANS - Average Recorded Investment and Interest Income Recognized on Impaired Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | $ 5,115 | $ 10,893 |
Interest Income Recognized | 75 | 115 |
Business Activities Loans | Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with related allowance | 203 | 56 |
Interest income recognized, with related allowance | 1 | |
Business Activities Loans | Other commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with no related allowance | 392 | 5,434 |
Interest income recognized, with no related allowance | 55 | |
Average recorded investment, with related allowance | 1,295 | 1,737 |
Interest income recognized, with related allowance | 14 | |
Business Activities Loans | Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with no related allowance | 842 | 871 |
Interest income recognized, with no related allowance | 4 | 5 |
Average recorded investment, with related allowance | 153 | |
Business Activities Loans | Agricultural | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with no related allowance | 114 | |
Interest income recognized, with no related allowance | 2 | |
Business Activities Loans | Residential mortgages | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with no related allowance | 641 | 2,089 |
Interest income recognized, with no related allowance | 17 | 47 |
Average recorded investment, with related allowance | 1,616 | 540 |
Interest income recognized, with related allowance | 37 | 7 |
Business Activities Loans | Home equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with related allowance | 12 | 13 |
Interest income recognized, with related allowance | 1 | |
Business Activities Loans | Total commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | 1,890 | 7,227 |
Interest Income Recognized | 14 | 56 |
Business Activities Loans | Total commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | 956 | 1,024 |
Interest Income Recognized | 6 | 5 |
Business Activities Loans | Total residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | 2,257 | 2,629 |
Interest Income Recognized | 54 | 54 |
Business Activities Loans | Total consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | 12 | 13 |
Interest Income Recognized | 1 | |
Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | 2,952 | 1,654 |
Interest Income Recognized | 3 | |
Acquired Loans | Other commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with no related allowance | 1,218 | 89 |
Average recorded investment, with related allowance | 678 | 123 |
Interest income recognized, with related allowance | 3 | |
Acquired Loans | Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with no related allowance | 298 | 429 |
Average recorded investment, with related allowance | 73 | |
Acquired Loans | Residential mortgages | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average recorded investment, with no related allowance | 436 | 652 |
Average recorded investment, with related allowance | 249 | 361 |
Acquired Loans | Total commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | 1,896 | 212 |
Interest Income Recognized | 3 | |
Acquired Loans | Total commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | 371 | 429 |
Acquired Loans | Total residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Average Recorded Investment | $ 685 | $ 1,013 |
LOANS - TDR, Recorded Investmen
LOANS - TDR, Recorded Investment and Number of Modifications (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)itemloan | Dec. 31, 2019USD ($)itemloan | Dec. 31, 2018USD ($)loanitem | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Borrower's sustained repayment performance period | 6 months | ||
Number of Modifications | item | 10 | 31 | 41 |
Pre-Modification Outstanding Recorded Investment | $ 404 | $ 2,923 | $ 6,081 |
Post-Modification Outstanding Recorded Investment | 601 | 2,630 | 4,914 |
Special Reserve | $ 24 | $ 69 | $ 354 |
Number of modifications which subsequently defaulted | loan | 0 | 0 | 0 |
Total loans | $ 2,562,885 | $ 2,634,593 | |
Interest only payments and maturity concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 2 | 1 | |
Post-Modification Outstanding Recorded Investment | $ 73 | $ 16 | |
Interest rate, forbearance and maturity concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 4 | ||
Post-Modification Outstanding Recorded Investment | $ 384 | ||
Amortization and maturity concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 4 | 1 | |
Post-Modification Outstanding Recorded Investment | $ 273 | $ 286 | |
Amortization, interest rate and maturity concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 5 | ||
Post-Modification Outstanding Recorded Investment | $ 539 | ||
Forbearance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 5 | 3 | |
Post-Modification Outstanding Recorded Investment | $ 346 | $ 271 | |
Forbearance and interest only payments | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 1 | 7 | 6 |
Post-Modification Outstanding Recorded Investment | $ 24 | $ 692 | $ 121 |
Forbearance And Interest Rate Concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 1 | ||
Post-Modification Outstanding Recorded Investment | $ 49 | ||
Forbearance and maturity concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 4 | 20 | |
Post-Modification Outstanding Recorded Investment | $ 472 | $ 2,030 | |
Maturity concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 5 | 2 | |
Post-Modification Outstanding Recorded Investment | $ 193 | $ 440 | |
Restructure without concession | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 5 | ||
Post-Modification Outstanding Recorded Investment | $ 1,419 | ||
Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 4 | 2 | |
Post-Modification Outstanding Recorded Investment | $ 235 | $ 282 | |
Construction and land development | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 1 | ||
Pre-Modification Outstanding Recorded Investment | $ 1 | ||
Post-Modification Outstanding Recorded Investment | 1 | ||
Special Reserve | $ 1 | ||
Other commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 1 | 10 | 9 |
Pre-Modification Outstanding Recorded Investment | $ 54 | $ 630 | $ 1,896 |
Post-Modification Outstanding Recorded Investment | 244 | 529 | 1,564 |
Special Reserve | $ 24 | $ 69 | $ 153 |
Commercial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 6 | 7 | 7 |
Pre-Modification Outstanding Recorded Investment | $ 229 | $ 366 | $ 556 |
Post-Modification Outstanding Recorded Investment | $ 239 | $ 271 | 486 |
Special Reserve | $ 55 | ||
Agricultural | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 1 | 2 | 1 |
Pre-Modification Outstanding Recorded Investment | $ 86 | $ 500 | $ 167 |
Post-Modification Outstanding Recorded Investment | $ 86 | $ 503 | |
Residential mortgages | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 12 | 19 | |
Pre-Modification Outstanding Recorded Investment | $ 1,427 | $ 3,348 | |
Post-Modification Outstanding Recorded Investment | 1,327 | 2,752 | |
Special Reserve | $ 145 | ||
Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 1 | 1 | |
Pre-Modification Outstanding Recorded Investment | $ 26 | $ 100 | |
Post-Modification Outstanding Recorded Investment | $ 24 | $ 100 | |
Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of Modifications | item | 1 | 3 | |
Pre-Modification Outstanding Recorded Investment | $ 9 | $ 13 | |
Post-Modification Outstanding Recorded Investment | 8 | $ 11 | |
Total commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 1,084,381 | 930,661 | |
Total commercial real estate | Construction and land development | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 131,123 | 34,290 | |
Total commercial real estate | Other commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 953,258 | 896,371 | |
Total commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 441,069 | 423,291 | |
Total commercial and industrial | Commercial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 360,688 | 298,764 | |
Total commercial and industrial | Agricultural | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 16,950 | 20,224 | |
Total commercial and industrial | Tax exempt | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 63,431 | 104,303 | |
Total residential real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 923,891 | 1,145,358 | |
Fair value of bank-owned residential real estate property | 2,200 | ||
Total residential real estate | Residential mortgages | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 923,891 | 1,145,358 | |
Residential mortgage loans collateralized by real estate property in the process of foreclosure | 633 | 810 | |
Total consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 113,544 | 135,283 | |
Total consumer | Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 102,464 | 122,401 | |
Total consumer | Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | $ 11,080 | $ 12,882 |
LOANS - Concentrations (Details
LOANS - Concentrations (Details) - Product Line - Loan concentration - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of loan portfolio | 11.00% | 8.60% |
Total notes balances | $ 276.4 | $ 227 |
LOANS - Loans to Related Partie
LOANS - Loans to Related Parties (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Loans and Leases Receivable, Related Parties [Roll Forward] | ||
Beginning balance | $ 8,209 | $ 8,395 |
Changes in composition | (302) | |
New loans | 1,589 | 242 |
Less: repayments | (3,667) | (126) |
Ending balance | $ 6,131 | $ 8,209 |
LOANS - Mortgage Banking (Detai
LOANS - Mortgage Banking (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Receivables [Abstract] | ||
Servicing loans for participants | $ 596,300 | $ 497,200 |
Contractually specified servicing fees | 1,300 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Balance at beginning of year | 3,001 | 3,086 |
Additions | 1,152 | 160 |
Amortization | (800) | (245) |
Balance at end of year | 3,353 | 3,001 |
Total residential loans included in held for sale loans | 23,988 | 6,499 |
Net gains on sales of loans | $ 5,300 | $ 493 |
ALLOWANCE FOR LOAN LOSSES (Deta
ALLOWANCE FOR LOAN LOSSES (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($)item | |
Receivables [Abstract] | |
Number of reserve components | 4 |
Specific reserve for loans individually evaluated, threshold | $ | $ 150 |
Number of business pools | 2 |
Quantitative reserve, percent of historical charge-off rate | 100.00% |
ALLOWANCE FOR LOAN LOSSES - All
ALLOWANCE FOR LOAN LOSSES - Allowance Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | $ 15,353 | $ 15,353 | ||||||||||||
Provision (release) for loan losses | $ 1,360 | $ 1,800 | $ 1,354 | 1,111 | $ 538 | $ 893 | $ 562 | $ 324 | 5,625 | $ 2,317 | $ 2,780 | |||
Balance at end of period | 19,082 | 15,353 | 19,082 | 15,353 | ||||||||||
Allowance For Loan Losses | ||||||||||||||
Total | 19,082 | 15,353 | 15,353 | 15,353 | 15,353 | $ 19,082 | $ 15,353 | |||||||
Business Activities Loans | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 15,057 | 13,581 | 15,057 | 13,581 | 12,153 | |||||||||
Charged-off loans | (1,925) | (885) | (1,382) | |||||||||||
Recoveries on charged-off loans | 220 | 320 | 535 | |||||||||||
Provision (release) for loan losses | 5,434 | 2,041 | 2,275 | |||||||||||
Balance at end of period | 18,786 | 15,057 | 18,786 | 15,057 | 13,581 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 434 | 1,452 | $ 611 | |||||||||||
Collectively evaluated | 18,352 | 13,605 | 12,970 | |||||||||||
Total | 18,786 | 15,057 | 15,057 | 13,581 | 15,057 | 15,057 | 12,153 | 18,786 | 15,057 | 13,581 | ||||
Business Activities Loans | Total commercial real estate | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 7,668 | 6,811 | 7,668 | 6,811 | 6,037 | |||||||||
Charged-off loans | (1,036) | (212) | (417) | |||||||||||
Recoveries on charged-off loans | 154 | 194 | 275 | |||||||||||
Provision (release) for loan losses | 4,167 | 875 | 916 | |||||||||||
Balance at end of period | 10,953 | 7,668 | 10,953 | 7,668 | 6,811 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 366 | 1,231 | 422 | |||||||||||
Collectively evaluated | 10,587 | 6,437 | 6,389 | |||||||||||
Total | 10,953 | 7,668 | 7,668 | 6,811 | 10,953 | 6,811 | 6,037 | 10,953 | 7,668 | 6,811 | ||||
Business Activities Loans | Total commercial and industrial | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 3,608 | 2,380 | 3,608 | 2,380 | 2,373 | |||||||||
Charged-off loans | (540) | (336) | (111) | |||||||||||
Recoveries on charged-off loans | 21 | 65 | 76 | |||||||||||
Provision (release) for loan losses | 288 | 1,499 | 42 | |||||||||||
Balance at end of period | 3,377 | 3,608 | 3,377 | 3,608 | 2,380 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 164 | 78 | ||||||||||||
Collectively evaluated | 3,377 | 3,444 | 2,302 | |||||||||||
Total | 3,377 | 3,608 | 3,608 | 2,380 | 3,377 | 2,380 | 2,373 | 3,377 | 3,608 | 2,380 | ||||
Business Activities Loans | Total residential real estate | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 3,402 | 3,982 | 3,402 | 3,982 | 3,357 | |||||||||
Charged-off loans | (43) | (109) | (225) | |||||||||||
Recoveries on charged-off loans | 55 | 166 | ||||||||||||
Provision (release) for loan losses | 718 | (526) | 684 | |||||||||||
Balance at end of period | 4,077 | 3,402 | 4,077 | 3,402 | 3,982 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 67 | 57 | 111 | |||||||||||
Collectively evaluated | 4,010 | 3,345 | 3,871 | |||||||||||
Total | 4,077 | 3,402 | 3,402 | 3,982 | 4,077 | 3,982 | 3,357 | 4,077 | 3,402 | 3,982 | ||||
Business Activities Loans | Total consumer | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 379 | 408 | 379 | 408 | 386 | |||||||||
Charged-off loans | (306) | (228) | (629) | |||||||||||
Recoveries on charged-off loans | 45 | 6 | 18 | |||||||||||
Provision (release) for loan losses | 261 | 193 | 633 | |||||||||||
Balance at end of period | 379 | 379 | 379 | 379 | 408 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 1 | |||||||||||||
Collectively evaluated | 378 | 379 | 408 | |||||||||||
Total | 379 | 379 | 379 | 408 | 379 | 408 | 386 | 379 | 379 | 408 | ||||
Acquired Loans | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 296 | 285 | 296 | 285 | 172 | |||||||||
Charged-off loans | (243) | (268) | (525) | |||||||||||
Recoveries on charged-off loans | 52 | 3 | 133 | |||||||||||
Provision (release) for loan losses | 191 | 276 | 505 | |||||||||||
Balance at end of period | 296 | 296 | 296 | 296 | 285 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 296 | 61 | 41 | |||||||||||
Collectively evaluated | 235 | 244 | ||||||||||||
Total | 296 | 296 | 296 | 285 | 296 | 285 | 172 | 296 | 296 | 285 | ||||
Acquired Loans | Total commercial real estate | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 147 | 173 | 147 | 173 | 97 | |||||||||
Charged-off loans | (101) | (136) | ||||||||||||
Recoveries on charged-off loans | 19 | 43 | ||||||||||||
Provision (release) for loan losses | 225 | (26) | 169 | |||||||||||
Balance at end of period | 290 | 147 | 290 | 147 | 173 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 290 | 12 | ||||||||||||
Collectively evaluated | 135 | 173 | ||||||||||||
Total | 290 | 147 | 147 | 173 | 147 | 147 | 97 | 290 | 147 | 173 | ||||
Acquired Loans | Total commercial and industrial | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 6 | 35 | 6 | 35 | 16 | |||||||||
Charged-off loans | (53) | (23) | (166) | |||||||||||
Recoveries on charged-off loans | 9 | 7 | ||||||||||||
Provision (release) for loan losses | 43 | (6) | 178 | |||||||||||
Balance at end of period | 5 | 6 | 5 | 6 | 35 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 5 | |||||||||||||
Collectively evaluated | 6 | 35 | ||||||||||||
Total | 5 | 6 | 6 | 35 | 6 | 6 | 16 | 5 | 6 | 35 | ||||
Acquired Loans | Total residential real estate | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Balance at beginning of period | 143 | 77 | 143 | 77 | 59 | |||||||||
Charged-off loans | (11) | (240) | (158) | |||||||||||
Recoveries on charged-off loans | 13 | |||||||||||||
Provision (release) for loan losses | (144) | 306 | 176 | |||||||||||
Balance at end of period | 1 | 143 | 1 | 143 | 77 | |||||||||
Allowance For Loan Losses | ||||||||||||||
Individually evaluated for impairment | 1 | 49 | 41 | |||||||||||
Collectively evaluated | 94 | 36 | ||||||||||||
Total | $ 1 | $ 143 | $ 143 | $ 77 | 143 | 143 | 59 | $ 1 | $ 143 | $ 77 | ||||
Acquired Loans | Total consumer | ||||||||||||||
Activity in the allowance for loan losses | ||||||||||||||
Charged-off loans | (78) | (5) | (65) | |||||||||||
Recoveries on charged-off loans | 11 | 3 | 83 | |||||||||||
Provision (release) for loan losses | $ 67 | $ 2 | $ (18) |
ALLOWANCE FOR LOAN LOSSES - Loa
ALLOWANCE FOR LOAN LOSSES - Loans by Credit Risk Rating (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Credit quality information | ||
Total | $ 2,543,803 | $ 2,619,240 |
Total loans | 2,562,885 | 2,634,593 |
Total commercial real estate | ||
Credit quality information | ||
Total loans | 1,084,381 | 930,661 |
Total commercial and industrial | ||
Credit quality information | ||
Total loans | 441,069 | 423,291 |
Special mention | ||
Credit quality information | ||
Total loans | 8,846 | 16,230 |
Substandard | ||
Credit quality information | ||
Total loans | 35,097 | 39,442 |
Loss | ||
Credit quality information | ||
Total loans | 1 | |
Non-accrual | ||
Credit quality information | ||
Total loans | 12,188 | 11,550 |
Total classified | ||
Credit quality information | ||
Total loans | 47,286 | 50,992 |
Total Criticized | ||
Credit quality information | ||
Total loans | 56,132 | 67,222 |
Business Activities Loans | ||
Credit quality information | ||
Total loans | 1,964,754 | 1,828,731 |
Business Activities Loans | Total commercial real estate | ||
Credit quality information | ||
Total loans | 895,117 | 697,438 |
Business Activities Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 371,231 | 326,570 |
Business Activities Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 698,406 | 811,222 |
Business Activities Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 694,654 | 807,224 |
Business Activities Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 3,752 | 3,998 |
Business Activities Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Total loans | 874,665 | 677,943 |
Business Activities Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 354,022 | 307,129 |
Business Activities Loans | Special mention | ||
Credit quality information | ||
Total loans | 6,604 | 8,525 |
Business Activities Loans | Special mention | Total commercial real estate | ||
Credit quality information | ||
Total loans | 4,626 | 5,483 |
Business Activities Loans | Special mention | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 1,978 | 3,042 |
Business Activities Loans | Substandard | ||
Credit quality information | ||
Total loans | 28,371 | 26,055 |
Business Activities Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Total loans | 15,076 | 12,304 |
Business Activities Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 14,596 | 15,646 |
Business Activities Loans | Doubtful | Total commercial real estate | ||
Credit quality information | ||
Total loans | 749 | 1,708 |
Business Activities Loans | Doubtful | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 633 | 753 |
Business Activities Loans | Loss | ||
Credit quality information | ||
Total loans | 1 | |
Business Activities Loans | Loss | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1 | |
Business Activities Loans | Loss | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 2 | |
Business Activities Loans | Non-accrual | ||
Credit quality information | ||
Total loans | 6,437 | 8,354 |
Business Activities Loans | Total classified | ||
Credit quality information | ||
Total loans | 34,809 | 34,409 |
Business Activities Loans | Total Criticized | ||
Credit quality information | ||
Total loans | 41,413 | 42,934 |
Acquired Loans | ||
Credit quality information | ||
Total loans | 598,131 | 805,862 |
Acquired Loans | Total commercial real estate | ||
Credit quality information | ||
Total loans | 189,264 | 233,223 |
Acquired Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 69,838 | 96,721 |
Acquired Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 339,029 | 475,918 |
Acquired Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 336,310 | 472,022 |
Acquired Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 2,719 | 3,896 |
Acquired Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Total loans | 179,108 | 220,903 |
Acquired Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 67,994 | 88,649 |
Acquired Loans | Special mention | ||
Credit quality information | ||
Total loans | 2,242 | 7,705 |
Acquired Loans | Special mention | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1,449 | 2,273 |
Acquired Loans | Special mention | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 793 | 5,432 |
Acquired Loans | Substandard | ||
Credit quality information | ||
Total loans | 6,726 | 13,387 |
Acquired Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Total loans | 7,191 | 9,879 |
Acquired Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 584 | 2,299 |
Acquired Loans | Doubtful | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1,516 | 168 |
Acquired Loans | Doubtful | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 467 | 341 |
Acquired Loans | Non-accrual | ||
Credit quality information | ||
Total loans | 5,751 | 3,196 |
Acquired Loans | Total classified | ||
Credit quality information | ||
Total loans | 12,477 | 16,583 |
Acquired Loans | Total Criticized | ||
Credit quality information | ||
Total loans | 14,719 | 24,288 |
Construction and land development | Total commercial real estate | ||
Credit quality information | ||
Total loans | 131,123 | 34,290 |
Construction and land development | Business Activities Loans | Total commercial real estate | ||
Credit quality information | ||
Total loans | 129,255 | 31,387 |
Construction and land development | Business Activities Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Total loans | 129,065 | 31,057 |
Construction and land development | Business Activities Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Total loans | 330 | |
Construction and land development | Business Activities Loans | Doubtful | Total commercial real estate | ||
Credit quality information | ||
Total loans | 189 | |
Construction and land development | Business Activities Loans | Loss | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1 | |
Construction and land development | Acquired Loans | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1,868 | 2,903 |
Construction and land development | Acquired Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1,703 | 2,412 |
Construction and land development | Acquired Loans | Special mention | Total commercial real estate | ||
Credit quality information | ||
Total loans | 12 | |
Construction and land development | Acquired Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Total loans | 165 | 479 |
Other commercial real estate | Total commercial real estate | ||
Credit quality information | ||
Total loans | 953,258 | 896,371 |
Other commercial real estate | Business Activities Loans | Total commercial real estate | ||
Credit quality information | ||
Total loans | 765,862 | 666,051 |
Other commercial real estate | Business Activities Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Total loans | 745,600 | 646,886 |
Other commercial real estate | Business Activities Loans | Special mention | Total commercial real estate | ||
Credit quality information | ||
Total loans | 4,626 | 5,483 |
Other commercial real estate | Business Activities Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Total loans | 15,076 | 11,974 |
Other commercial real estate | Business Activities Loans | Doubtful | Total commercial real estate | ||
Credit quality information | ||
Total loans | 560 | 1,708 |
Other commercial real estate | Acquired Loans | Total commercial real estate | ||
Credit quality information | ||
Total loans | 187,396 | 230,320 |
Other commercial real estate | Acquired Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Total loans | 177,405 | 218,491 |
Other commercial real estate | Acquired Loans | Special mention | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1,449 | 2,261 |
Other commercial real estate | Acquired Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Total loans | 7,026 | 9,400 |
Other commercial real estate | Acquired Loans | Doubtful | Total commercial real estate | ||
Credit quality information | ||
Total loans | 1,516 | 168 |
Commercial | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 360,688 | 298,764 |
Commercial | Business Activities Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 315,005 | 239,692 |
Commercial | Business Activities Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 298,568 | 221,329 |
Commercial | Business Activities Loans | Special mention | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 1,644 | 2,744 |
Commercial | Business Activities Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 14,158 | 14,866 |
Commercial | Business Activities Loans | Doubtful | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 633 | 753 |
Commercial | Business Activities Loans | Loss | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 2 | |
Commercial | Acquired Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 45,683 | 59,072 |
Commercial | Acquired Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 43,972 | 51,184 |
Commercial | Acquired Loans | Special mention | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 793 | 5,432 |
Commercial | Acquired Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 451 | 2,115 |
Commercial | Acquired Loans | Doubtful | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 467 | 341 |
Agricultural | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 16,950 | 20,224 |
Agricultural | Business Activities Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 16,797 | 20,018 |
Agricultural | Business Activities Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 16,025 | 18,940 |
Agricultural | Business Activities Loans | Special mention | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 334 | 298 |
Agricultural | Business Activities Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 438 | 780 |
Agricultural | Acquired Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 153 | 206 |
Agricultural | Acquired Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 20 | 58 |
Agricultural | Acquired Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 133 | 148 |
Tax exempt | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 63,431 | 104,303 |
Tax exempt | Business Activities Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 39,429 | 66,860 |
Tax exempt | Business Activities Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 39,429 | 66,860 |
Tax exempt | Acquired Loans | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 24,002 | 37,443 |
Tax exempt | Acquired Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 24,002 | 37,407 |
Tax exempt | Acquired Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Total loans | 36 | |
Residential mortgages | Business Activities Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 633,390 | 740,687 |
Residential mortgages | Business Activities Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 630,089 | 737,325 |
Residential mortgages | Business Activities Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 3,301 | 3,362 |
Residential mortgages | Acquired Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 290,501 | 411,170 |
Residential mortgages | Acquired Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 288,073 | 407,811 |
Residential mortgages | Acquired Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 2,428 | 3,359 |
Home equity | Business Activities Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 55,092 | 59,368 |
Home equity | Business Activities Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 54,654 | 58,753 |
Home equity | Business Activities Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 438 | 615 |
Home equity | Acquired Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 47,372 | 63,033 |
Home equity | Acquired Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 47,081 | 62,504 |
Home equity | Acquired Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 291 | 529 |
Other consumer | Business Activities Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 9,924 | 11,167 |
Other consumer | Business Activities Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 9,911 | 11,146 |
Other consumer | Business Activities Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 13 | 21 |
Other consumer | Acquired Loans | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | 1,156 | 1,715 |
Other consumer | Acquired Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | $ 1,156 | 1,707 |
Other consumer | Acquired Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Total loans | $ 8 |
PREMISES AND EQUIPMENT (Details
PREMISES AND EQUIPMENT (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | $ 74,762 | $ 70,964 | |
Accumulated depreciation | (22,304) | (19,759) | |
Property, Plant and Equipment, Net, Total | 52,458 | 51,205 | |
Depreciation expense | $ 4,800 | 4,100 | $ 3,700 |
Estimated selling costs, as a percent | 6.00% | ||
Gain (Loss) on Sale of Properties | $ 122 | ||
Impairment charges | 0 | 0 | 0 |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 5,531 | 5,028 | |
Buildings and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | $ 55,366 | 52,363 | |
Buildings and improvements | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful live of premises and equipment | 5 years | ||
Buildings and improvements | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful live of premises and equipment | 39 years | ||
Furniture and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | $ 13,865 | 13,573 | |
Furniture and equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful live of premises and equipment | 3 years | ||
Furniture and equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful live of premises and equipment | 7 years | ||
Other Assets | |||
Property, Plant and Equipment [Line Items] | |||
Premises held for sale | $ 962 | 1,800 | |
Premises | |||
Property, Plant and Equipment [Line Items] | |||
Premises held for sale | $ 0 | $ 0 | |
Premises held for sale | $ 802 | ||
Premises | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful live of premises and equipment | 5 years | ||
Premises | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful live of premises and equipment | 39 years |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLES - Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill [Roll Forward] | |||
Goodwill, Beginning Balance | $ 118,649 | $ 100,085 | |
Acquisition | 828 | 18,564 | |
Goodwill, Ending Balance | 119,477 | 118,649 | $ 100,085 |
Goodwill, Impairment Loss | $ 0 | $ 0 | $ 0 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLES - Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Intangible Assets | $ 11,206 | $ 11,548 | |
Accumulated Amortization | (3,536) | (2,907) | |
Net Intangible Assets | 7,670 | 8,641 | |
Amortization of intangible assets | 1,024 | 861 | $ 828 |
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract] | |||
2021 | 934 | ||
2022 | 932 | ||
2023 | 932 | ||
2024 | 932 | ||
2025 | 932 | ||
and thereafter | $ 3,008 | ||
Minimum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful life | 5 years | ||
Maximum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Useful life | 11 years | ||
Core deposit intangible | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Intangible Assets | $ 9,305 | 9,483 | |
Accumulated Amortization | (3,287) | (2,635) | |
Net Intangible Assets | 6,018 | 6,848 | |
Customer list and other intangibles | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Intangible Assets | 1,901 | 2,065 | |
Accumulated Amortization | (249) | (272) | |
Net Intangible Assets | $ 1,652 | $ 1,793 |
DEPOSITS - Components (Details)
DEPOSITS - Components (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deposits [Abstract] | ||
Time less than $100,000 | $ 325,646 | $ 600,747 |
Time $100,000 through $250,000 | 278,940 | 225,505 |
Time $250,000 or more | 93,775 | 106,383 |
Total | $ 698,361 | $ 932,635 |
DEPOSITS - Maturities, Brokered
DEPOSITS - Maturities, Brokered, Reciprocal (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Time Deposits, Fiscal Year Maturity [Abstract] | ||
Within 1 year | $ 574,007 | $ 555,074 |
Over 1 year to 2 years | 61,584 | 287,934 |
Over 2 years to 3 years | 41,145 | 51,444 |
Over 3 years to 4 years | 12,875 | 31,262 |
Over 4 years to 5 years | 8,728 | 6,883 |
Over 5 years | 22 | 38 |
Total | 698,361 | 932,635 |
Brokered deposits | 201,800 | 526,900 |
Reciprocal deposits | $ 125,000 | $ 64,100 |
BORROWED FUNDS - Summary of Bor
BORROWED FUNDS - Summary of Borrowed Funds (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Short-term borrowings | ||
Carrying Value | $ 93,455 | $ 348,118 |
Weighted Average Rate | 0.44% | 1.73% |
Long-term borrowings | ||
Carrying Value | $ 242,568 | $ 183,198 |
Weighted Average Rate | 2.37% | 2.87% |
Total borrowings | $ 336,023 | $ 531,316 |
Weighted Average Rate | 1.41% | 2.11% |
Advances from the FHLB | ||
Short-term borrowings | ||
Carrying Value | $ 65,676 | $ 303,286 |
Weighted Average Rate | 1.19% | 1.83% |
Long-term borrowings | ||
Carrying Value | $ 182,607 | $ 123,278 |
Weighted Average Rate | 1.73% | 1.93% |
Other borrowings | ||
Short-term borrowings | ||
Carrying Value | $ 27,779 | $ 44,832 |
Weighted Average Rate | 0.15% | 0.99% |
Subordinated borrowings | ||
Long-term borrowings | ||
Carrying Value | $ 59,961 | $ 59,920 |
Weighted Average Rate | 4.34% | 5.53% |
BORROWED FUNDS - Additional Inf
BORROWED FUNDS - Additional Information (Details) - USD ($) $ in Thousands | Mar. 30, 2004 | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||
Outstanding amount | $ 242,568 | $ 183,198 | |
Financial Guarantee | NHTB Capital Trust II and NHTB Capital Trust III | |||
Debt Instrument [Line Items] | |||
Debentures issued by variable interest entities | $ 20,600 | ||
LIBOR | Financial Guarantee | |||
Debt Instrument [Line Items] | |||
Interest rate margin | 2.79% | ||
Callable Advances | |||
Debt Instrument [Line Items] | |||
Outstanding amount | 20,000 | 0 | |
Amortizing Advances | |||
Debt Instrument [Line Items] | |||
Outstanding amount | 307 | 316 | |
Advances from the FHLB | |||
Debt Instrument [Line Items] | |||
Outstanding amount | 182,607 | 123,278 | |
Credit Facility, Secured, FHLB [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit maintained | 1,000 | ||
Line of credit outstanding | 0 | 0 | |
Credit Facility, Secured, FRB [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit maintained | 71,900 | ||
Line of credit outstanding | 0 | 0 | |
Credit Facility, Unsecured, Federal Funds [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit maintained | 50,000 | ||
Line of credit outstanding | $ 0 | $ 0 |
BORROWED FUNDS - Maturities of
BORROWED FUNDS - Maturities of FHLB Advances (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Carrying Value | |
2021 | $ 65,676 |
2022 | 75,000 |
2023 | 80,000 |
2024 | 7,300 |
2025 | 20,000 |
2026 and thereafter | 307 |
Total FHLB advances | $ 248,283 |
Weighted Average Rate | |
2021 | 1.19% |
2022 | 1.87% |
2023 | 1.77% |
2024 | 1.16% |
2025 | 1.21% |
2026 and thereafter | 4.12% |
Total FHLB advances | 1.59% |
BORROWED FUNDS - Subordinated a
BORROWED FUNDS - Subordinated and Junior Subordinated Borrowings (Details) - Subordinated borrowings - USD ($) $ in Thousands | Nov. 26, 2019 | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||
Debt issuance costs | $ 700 | ||
Principal amount of debt issued | $ 40,000 | ||
Fixed interest rate | 4.63% | ||
Debt issuance costs | $ 659 | ||
SOFR | |||
Debt Instrument [Line Items] | |||
Interest rate margin | 3.27% |
EMPLOYEE BENEFIT PLANS - Inform
EMPLOYEE BENEFIT PLANS - Information about the plan (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Pension Plans | ||
Change in projected benefit obligation: | ||
Projected benefit obligation at beginning of year | $ 8,926 | $ 8,009 |
Interest cost | 282 | 331 |
Actuarial loss | 913 | 1,068 |
Benefits paid | (319) | (300) |
Settlements | (152) | (182) |
Projected benefit obligation at end of year | 9,650 | 8,926 |
Change in fair value of plan assets: | ||
Fair value of plan assets at beginning of year | 11,078 | 9,990 |
Expected return on plan assets | 1,433 | 1,570 |
Benefits paid | (319) | (300) |
Settlements | (152) | (182) |
Fair value of plan assets at end of year | 12,040 | 11,078 |
Under/(over) funded status | (2,390) | (2,152) |
Amounts recognized in consolidated balance sheet assets (liabilities) | 2,390 | 2,152 |
Non-qualified Supplemental Executive Retirement Plan | ||
Change in projected benefit obligation: | ||
Projected benefit obligation at beginning of year | 2,979 | 3,033 |
Interest cost | 81 | 103 |
Actuarial loss | 202 | 221 |
Benefits paid | (293) | (378) |
Projected benefit obligation at end of year | 2,969 | 2,979 |
Change in fair value of plan assets: | ||
Contributions by employer | 293 | 378 |
Benefits paid | (293) | (378) |
Under/(over) funded status | 2,969 | 2,979 |
Amounts recognized in consolidated balance sheet assets (liabilities) | $ 2,969 | $ 2,979 |
EMPLOYEE BENEFIT PLANS - Schedu
EMPLOYEE BENEFIT PLANS - Schedule of Net Benefit Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial loss | $ 338 | $ 350 | $ 216 |
Pension Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 282 | 331 | |
Expected return on plan assets | (708) | (638) | |
Settlement Charge | 0 | 0 | |
Net actuarial loss | 178 | 145 | |
Settlement charge | 0 | 0 | |
Net periodic pension benefit cost (credit) | (426) | (307) | |
Total recognized in net periodic benefit (credit) cost and other comprehensive income (loss) | (248) | (162) | |
Non-qualified Supplemental Executive Retirement Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 81 | 103 | |
Net actuarial loss | 202 | 220 | |
Amortization of unrecognized actuarial loss | 42 | 15 | |
Net periodic pension benefit cost (credit) | 123 | 118 | |
Total recognized in net periodic benefit (credit) cost and other comprehensive income (loss) | $ 160 | $ 205 |
EMPLOYEE BENEFIT PLANS - Amount
EMPLOYEE BENEFIT PLANS - Amounts Recognized in Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial loss | $ 338 | $ 350 | $ 216 |
Pension Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial loss | 178 | 145 | |
Settlement charge | 0 | 0 | |
Prior service cost (credit) | 893 | 748 | |
Total recognized in net periodic benefit cost and other comprehensive loss | 1,071 | 893 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
After tax components of accumulated other comprehensive loss, not yet recognized in net periodic pension cost | 822 | ||
Expected cash contributions | 0 | ||
Expected amortization from accumulated other comprehensive loss into net periodic pension cost | 0 | ||
Non-qualified Supplemental Executive Retirement Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial loss | 202 | 220 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Accumulated other comprehensive loss at beginning of the year (pre-tax) | 619 | 414 | |
Actuarial loss | 202 | 220 | |
Amortization of actuarial loss | (42) | (15) | |
Accumulated other comprehensive loss at end of year (pre-tax) | 779 | $ 619 | $ 414 |
After tax components of accumulated other comprehensive loss, not yet recognized in net periodic pension cost | 597 | ||
Expected amortization from accumulated other comprehensive loss into net periodic pension cost | $ 43 |
EMPLOYEE BENEFIT PLANS - Assump
EMPLOYEE BENEFIT PLANS - Assumptions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net periodic pension cost | |||
Transfer into Level 3, Asset | $ 0 | $ 0 | |
Transfer out of Level 3, Asset | 0 | 0 | |
Transfer into level 3, Liability | 0 | 0 | |
Transfer out of level 3, Liability | $ 0 | $ 0 | |
Pension Plans | |||
Projected benefit obligation | |||
Discount rate, obligation | 2.46% | 3.23% | |
Net periodic pension cost | |||
Discount rate, periodic cost | 3.23% | 4.23% | |
Long-term rate of return on plan assets | 6.00% | 6.50% | |
Pension Plans | Common stock | |||
Net periodic pension cost | |||
Target asset allocation | 54.00% | ||
Pension Plans | Fixed-income securities | |||
Net periodic pension cost | |||
Target asset allocation | 46.00% | ||
Non-qualified Supplemental Executive Retirement Plan | |||
Projected benefit obligation | |||
Discount rate, obligation | 1.56% | 2.65% | 3.83% |
EMPLOYEE BENEFIT PLANS - Alloca
EMPLOYEE BENEFIT PLANS - Allocation of Plan Assets (Details) - Pension Plans - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | $ 12,040 | $ 11,078 | $ 9,990 |
Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 12,040 | 11,069 | |
Recurring | Large-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 2,364 | 2,144 | |
Recurring | Mid-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 744 | 590 | |
Recurring | Small-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 765 | 557 | |
Recurring | International | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 1,499 | 1,009 | |
Recurring | Fixed-income - core plus | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 3,880 | 4,028 | |
Recurring | Intermediate duration | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 1,338 | 1,371 | |
Recurring | Common stock | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 510 | 574 | |
Recurring | Common/collective trusts - large-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 620 | 566 | |
Recurring | Cash equivalents - money market | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 320 | 230 | |
Level 1 | Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 11,420 | 10,503 | |
Level 1 | Recurring | Large-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 2,364 | 2,144 | |
Level 1 | Recurring | Mid-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 744 | 590 | |
Level 1 | Recurring | Small-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 765 | 557 | |
Level 1 | Recurring | International | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 1,499 | 1,009 | |
Level 1 | Recurring | Fixed-income - core plus | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 3,880 | 4,028 | |
Level 1 | Recurring | Intermediate duration | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 1,338 | 1,371 | |
Level 1 | Recurring | Common stock | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 510 | 574 | |
Level 1 | Recurring | Cash equivalents - money market | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 320 | 230 | |
Level 2 | Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 620 | 566 | |
Level 2 | Recurring | Common/collective trusts - large-cap | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | $ 620 | $ 566 |
EMPLOYEE BENEFIT PLANS - Estima
EMPLOYEE BENEFIT PLANS - Estimated Benefit Payments (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Pension Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2021 | $ 354 |
2022 | 372 |
2023 | 369 |
2024 | 384 |
2025 | 379 |
2026-2030 | 2,321 |
Total | 4,179 |
Non-qualified Supplemental Executive Retirement Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2021 | 260 |
2022 | 260 |
2023 | 260 |
2024 | 260 |
2025 | 260 |
2026-2037 | 2,018 |
Total | $ 3,318 |
EMPLOYEE BENEFIT PLANS - 401(k)
EMPLOYEE BENEFIT PLANS - 401(k) and Other plans (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($)item | |
Defined Benefit Plan Disclosure [Line Items] | |||
Total 401(k) expense | $ 1,200 | $ 1,100 | $ 1 |
Number of executives | item | 1 | ||
Salary continuation agreement | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Accrued liability | 8,800 | 8,100 | |
Benefit expense | 793 | 779 | $ 752 |
Split-dollar life insurance agreement | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Accrued liability | 919 | 834 | |
Benefit expense | $ 65 | $ 163 | $ 57 |
INCOME TAXES - Components of In
INCOME TAXES - Components of Income Tax Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Current: | |||||||||||
Federal tax expense | $ 7,165 | $ 2,639 | $ 6,775 | ||||||||
State tax expense | 1,280 | 550 | 1,230 | ||||||||
Total current tax expense | 8,445 | 3,189 | 8,005 | ||||||||
Deferred tax expense | (38) | 1,020 | (443) | ||||||||
Income Tax Expense (Benefit), Total | $ 2,269 | $ 2,146 | $ 2,199 | $ 1,793 | $ 362 | $ 780 | $ 1,364 | $ 1,703 | $ 8,407 | $ 4,209 | $ 7,562 |
INCOME TAXES - Effective Income
INCOME TAXES - Effective Income Tax Reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Amount | |||||||||||
Statutory tax rate | $ 8,747 | $ 5,633 | $ 8,505 | ||||||||
Increase (decrease) resulting from: | |||||||||||
State taxes, net of federal benefit | 1,120 | 547 | 908 | ||||||||
Tax exempt interest | (1,301) | (1,375) | (1,315) | ||||||||
Federal tax credits | (330) | (282) | (125) | ||||||||
Officers' life insurance | (403) | (431) | (382) | ||||||||
Gain of disposal of low income housing tax credit investments | 147 | ||||||||||
Stock-based compensation plans | 52 | (20) | (120) | ||||||||
Other | 375 | 137 | 91 | ||||||||
Income Tax Expense (Benefit), Total | $ 2,269 | $ 2,146 | $ 2,199 | $ 1,793 | $ 362 | $ 780 | $ 1,364 | $ 1,703 | $ 8,407 | $ 4,209 | $ 7,562 |
Rate | |||||||||||
Statutory tax rate | 21.00% | 21.00% | 21.00% | ||||||||
Increase (decrease) resulting from: | |||||||||||
State taxes, net of federal benefit | 2.69% | 2.04% | 2.24% | ||||||||
Tax exempt interest | (3.12%) | (5.13%) | (3.25%) | ||||||||
Federal tax credits | (0.79%) | (1.05%) | (0.31%) | ||||||||
Officers' life insurance | (0.97%) | (1.61%) | (0.94%) | ||||||||
Gain of Disposal of LIHTC Investments | 0.35% | ||||||||||
Stock-based compensation plans | 0.12% | (0.07%) | (0.30%) | ||||||||
Other | 0.90% | 0.51% | 0.23% | ||||||||
Effective tax rate | 20.18% | 15.69% | 18.67% |
INCOME TAXES - Deferred Tax Ass
INCOME TAXES - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Income Tax Disclosure [Abstract] | ||
Deferred tax assets, net | $ 1,745 | $ 3,865 |
Deferred Tax Assets, Gross [Abstract] | ||
Allowance for loan losses | 4,464 | 3,507 |
Deferred compensation | 4,129 | 3,383 |
Unrealized gain or loss on derivatives | 623 | 307 |
Non-accrual interest | 492 | 381 |
Acquisition fair value adjustments | 1,833 | 2,223 |
Equity compensation | 432 | 468 |
Contract incentives | 1,017 | 1,167 |
Lease liability | 2,487 | 2,273 |
Other | 116 | 167 |
Total | 15,593 | 13,876 |
Deferred Tax Liabilities, Gross [Abstract] | ||
Unrealized gain or loss on securities available for sale | 4,404 | 1,858 |
Depreciation | 2,261 | 1,722 |
Deferred loan origination costs | 1,190 | 862 |
Branch acquisition costs and goodwill | 1,034 | 712 |
Core deposit intangible | 1,078 | 1,231 |
Prepaid expenses | 301 | 311 |
Mortgage servicing rights | 784 | 703 |
Prepaid pension | 377 | 359 |
Right of use asset | 2,419 | 2,253 |
Total | $ 13,848 | $ 10,011 |
INCOME TAXES - Tax Cuts and Job
INCOME TAXES - Tax Cuts and Jobs Act (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% | 21.00% |
Unrecognized tax benefits | $ 0 |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Apr. 30, 2020 | Nov. 30, 2019 | Mar. 31, 2019 | |
Derivative [Line Items] | |||||
Notional Amount | $ 876,603 | $ 580,372 | |||
Estimated Fair Value Asset (Liability) | 52 | (743) | |||
Interest rate swap on deposits | |||||
Derivative [Line Items] | |||||
Notional Amount | 50,000 | $ 25,000 | $ 50,000 | $ 50,000 | |
Hedged Asset, Fair Value Hedge | 40,209 | 39,026 | |||
Cumulative amount of fair value hedging adjustment in carrying amount | 3,019 | 523 | |||
Fair Value Hedging | Interest rate swap on deposits | |||||
Derivative [Line Items] | |||||
Notional Amount | 37,200 | ||||
Designated as hedging instrument | Cash flow hedges | |||||
Derivative [Line Items] | |||||
Notional Amount | 75,000 | 100,000 | |||
Estimated Fair Value Asset (Liability) | (2,664) | (1,311) | |||
Designated as hedging instrument | Cash flow hedges | Interest rate cap agreements | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 75,000 | ||||
Weighted Average Maturity (in years) | 4 years | ||||
Estimated Fair Value Asset (Liability) | $ (2,664) | ||||
Designated as hedging instrument | Cash flow hedges | Interest rate swap on deposits | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 100,000 | ||||
Weighted Average Maturity (in years) | 4 years 7 months 6 days | ||||
Estimated Fair Value Asset (Liability) | $ (1,311) | ||||
Designated as hedging instrument | Fair Value Hedging | |||||
Derivative [Line Items] | |||||
Notional Amount | 37,190 | 37,190 | |||
Estimated Fair Value Asset (Liability) | 2,789 | 593 | |||
Designated as hedging instrument | Fair Value Hedging | Interest rate swap on deposits | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 37,190 | $ 37,190 | |||
Weighted Average Maturity (in years) | 8 years 7 months 6 days | 9 years 7 months 6 days | |||
Estimated Fair Value Asset (Liability) | $ 2,789 | $ 593 | |||
Designated as hedging instrument | Economic hedges | |||||
Derivative [Line Items] | |||||
Notional Amount | 761,093 | 421,434 | |||
Estimated Fair Value Asset (Liability) | (95) | (84) | |||
Designated as hedging instrument | Economic hedges | Forward sale commitments | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 50,629 | $ 11,228 | |||
Weighted Average Maturity (in years) | 2 months 12 days | 1 month 6 days | |||
Estimated Fair Value Asset (Liability) | $ (95) | $ (84) | |||
Designated as hedging instrument | Economic hedges | Customer loan derivative liability | MNA counterparty | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 235,947 | $ 135,598 | |||
Weighted Average Maturity (in years) | 6 years 9 months 18 days | 7 years 6 months | |||
Estimated Fair Value Asset (Liability) | $ (15,938) | $ (4,669) | |||
Designated as hedging instrument | Economic hedges | Customer loan derivative liability | RPA counterparty | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 119,285 | $ 69,505 | |||
Weighted Average Maturity (in years) | 7 years 10 months 24 days | 8 years 9 months 18 days | |||
Estimated Fair Value Asset (Liability) | $ (9,957) | $ (3,377) | |||
Designated as hedging instrument | Economic hedges | Customer loan derivative liability | Customer | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 355,232 | $ 205,103 | |||
Weighted Average Maturity (in years) | 7 years 1 month 6 days | 8 years 1 month 6 days | |||
Estimated Fair Value Asset (Liability) | $ 25,895 | $ 8,046 | |||
Not designated as hedging instrument | |||||
Derivative [Line Items] | |||||
Notional Amount | 3,320 | 21,748 | |||
Estimated Fair Value Asset (Liability) | 22 | 59 | |||
Not designated as hedging instrument | Interest Rate Lock Commitment | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 3,320 | $ 21,748 | |||
Weighted Average Maturity (in years) | 1 month 6 days | 1 month 6 days | |||
Estimated Fair Value Asset (Liability) | $ 22 | $ 59 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Amount of Gain (Loss) recognized in Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | $ 2,892 | $ 1,768 |
Amount of Gain (Loss) Reclassified from Other Comprehensive Income | (3,935) | 3,156 |
Amount of Gain (Loss) Recognized in Income | (1,158) | (630) |
Designated as hedging instrument | Cash flow hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | (2,566) | 2,291 |
Amount of Gain (Loss) Reclassified from Other Comprehensive Income | (3,935) | 3,156 |
Amount of Gain (Loss) Recognized in Income | (829) | (605) |
Designated as hedging instrument | Cash flow hedges | Interest rate swap on deposits | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | (2) | |
Designated as hedging instrument | Cash flow hedges | Interest rate cap agreements | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | (2,566) | 2,291 |
Amount of Gain (Loss) Reclassified from Other Comprehensive Income | (3,935) | 3,156 |
Amount of Gain (Loss) Recognized in Income | (829) | (603) |
Designated as hedging instrument | Fair Value Hedging | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | 5,458 | (523) |
Amount of Gain (Loss) Recognized in Income | (281) | 7 |
Designated as hedging instrument | Fair Value Hedging | Interest rate swap on deposits | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | 5,458 | (523) |
Amount of Gain (Loss) Recognized in Income | (281) | 7 |
Designated as hedging instrument | Economic hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | (11) | (84) |
Designated as hedging instrument | Economic hedges | Forward sale commitments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | (11) | (84) |
Not designated as hedging instrument | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | (37) | 52 |
Not designated as hedging instrument | Interest Rate Lock Commitment | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | $ (37) | $ 52 |
DERIVATIVE FINANCIAL INSTRUME_5
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Additional information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($) | Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Apr. 30, 2020USD ($)item | Nov. 30, 2019USD ($)item | Mar. 31, 2019USD ($)item | Dec. 31, 2014USD ($)item | |
Derivative [Line Items] | |||||||||
Acquisition, conversion and other expenses | $ 5,801 | $ 8,317 | $ 1,728 | ||||||
Notional amount of interest rate swap | $ 876,603 | $ 580,372 | 876,603 | $ 580,372 | |||||
Interest rate swap on deposits | |||||||||
Derivative [Line Items] | |||||||||
Derivative, Number of Instruments Held | item | 1 | 2 | 2 | ||||||
Acquisition, conversion and other expenses | 3,900 | ||||||||
Term of interest rate swap | 5 years | ||||||||
Notional amount of interest rate swap | $ 50,000 | $ 50,000 | $ 25,000 | $ 50,000 | $ 50,000 | ||||
Fixed interest rate, weighted average | 2.46% | 2.46% | 0.59% | 1.53% | 2.46% | ||||
Cash flow hedges | Interest rate cap agreements | |||||||||
Derivative [Line Items] | |||||||||
Derivative, Number of Instruments Held | item | 4 | ||||||||
Premiums paid | $ 4,600 | ||||||||
Cap interest rate | 3.00% | ||||||||
Effective percentage interest rate, maximum | 3.00% | ||||||||
Acquisition, conversion and other expenses | 3,200 | ||||||||
Fair Value Hedging | Interest rate swap on deposits | |||||||||
Derivative [Line Items] | |||||||||
Derivative, Number of Instruments Held | item | 8 | 8 | |||||||
Notional amount of interest rate swap | $ 37,200 | $ 37,200 | |||||||
Fixed interest rate, weighted average | 1.697% | 1.697% | |||||||
Designated as hedging instrument | Cash flow hedges | |||||||||
Derivative [Line Items] | |||||||||
Notional amount of interest rate swap | $ 75,000 | 100,000 | $ 75,000 | $ 100,000 | |||||
Designated as hedging instrument | Cash flow hedges | Interest rate cap agreements | |||||||||
Derivative [Line Items] | |||||||||
Notional amount of interest rate swap | 75,000 | 75,000 | |||||||
Designated as hedging instrument | Cash flow hedges | Interest rate swap on deposits | |||||||||
Derivative [Line Items] | |||||||||
Notional amount of interest rate swap | 100,000 | 100,000 | |||||||
Designated as hedging instrument | Fair Value Hedging | |||||||||
Derivative [Line Items] | |||||||||
Notional amount of interest rate swap | 37,190 | 37,190 | 37,190 | 37,190 | |||||
Designated as hedging instrument | Fair Value Hedging | Interest rate swap on deposits | |||||||||
Derivative [Line Items] | |||||||||
Notional amount of interest rate swap | $ 37,190 | $ 37,190 | $ 37,190 | $ 37,190 |
DERIVATIVE FINANCIAL INSTRUME_6
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Offsetting Assets and Liabilities (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Derivative [Line Items] | |
Cash Collateral Pledged | $ 23,450 |
MNA counterparty | |
Derivative [Line Items] | |
Cash Collateral Pledged | 23,450 |
Customer loan derivative liability | |
Derivative [Line Items] | |
Derivative liabilities | (25,895) |
Customer loan derivative liability | MNA counterparty | |
Derivative [Line Items] | |
Derivative liabilities | (15,938) |
Customer loan derivative liability | RPA counterparty | |
Derivative [Line Items] | |
Derivative liabilities | (9,957) |
Customer loan derivative asset | |
Derivative [Line Items] | |
Derivative Assets | 25,895 |
Customer loan derivative asset | MNA counterparty | |
Derivative [Line Items] | |
Derivative Assets | 15,938 |
Customer loan derivative asset | RPA counterparty | |
Derivative [Line Items] | |
Derivative Assets | $ 9,957 |
OTHER COMMITMENTS, CONTINGENC_3
OTHER COMMITMENTS, CONTINGENCIES, AND OFF-BALANCE SHEET ACTIVITIES (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Loss Contingencies [Line Items] | ||
Contractual amounts of commitments and contingent liabilities | $ 682,838 | $ 554,309 |
Commitments to originate new loans | ||
Loss Contingencies [Line Items] | ||
Contractual amounts of commitments and contingent liabilities | 71,857 | 112,669 |
Unused funds on commercial and other lines of credit | ||
Loss Contingencies [Line Items] | ||
Contractual amounts of commitments and contingent liabilities | 202,217 | 188,098 |
Unadvanced funds on home equity lines of credit | ||
Loss Contingencies [Line Items] | ||
Contractual amounts of commitments and contingent liabilities | 117,198 | 114,711 |
Unadvanced funds on construction and real estate loans | ||
Loss Contingencies [Line Items] | ||
Contractual amounts of commitments and contingent liabilities | 106,935 | 97,500 |
Commercial and standby letters of credit | ||
Loss Contingencies [Line Items] | ||
Contractual amounts of commitments and contingent liabilities | 3,481 | 2,941 |
Letters of credit securing municipal deposits | ||
Loss Contingencies [Line Items] | ||
Contractual amounts of commitments and contingent liabilities | $ 181,150 | $ 38,390 |
SHAREHOLDERS' EQUITY AND EARN_3
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE - Actual and Required Capital Ratios (Details) $ in Thousands | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) |
Actual | ||
Total capital to risk-weighted assets | $ 353,239 | $ 341,492 |
Common equity tier 1 capital to risk-weighted assets | 273,178 | 265,205 |
Tier 1 capital to risk-weighted assets | 273,178 | 285,825 |
Tier 1 capital to average assets | $ 273,178 | $ 285,825 |
Total capital to risk-weighted assets, ratio | 13.56 | 13.61 |
Common equity tier 1 capital to risk-weighted assets, ratio | 10.49 | 10.57 |
Tier 1 capital to risk-weighted assets, ratio | 11.28 | 11.39 |
Tier 1 capital to average assets, ratio | 8.12 | 8.13 |
Capital Required For Capital Adequacy [Abstract] | ||
Total capital to risk-weighted assets | $ 273,479 | $ 263,377 |
Common equity tier 1 capital to risk-weighted assets | 182,320 | 175,584 |
Tier 1 capital to risk-weighted assets | 205,850 | 213,211 |
Tier 1 capital to average assets | $ 168,147 | $ 175,890 |
Regulatory minimum to be well capitalized, Total capital to risk-weighted assets, ratio | 10.50 | 10.50 |
Regulatory minimum to be well capitalized, Common equity tier 1 capital to risk-weighted assets, ratio | 7.00% | 7.00% |
Regulatory minimum to be well capitalized, Tier 1 capital to risk-weighted assets, ratio | 8.50 | 8.50 |
Regulatory minimum to be well capitalized, Tier 1 capital to average assets, ratio | 5 | 5 |
Bank | ||
Actual | ||
Total capital to risk-weighted assets | $ 345,397 | $ 310,982 |
Common equity tier 1 capital to risk-weighted assets | 325,956 | 295,315 |
Tier 1 capital to risk-weighted assets | 325,956 | 295,315 |
Tier 1 capital to average assets | $ 325,956 | $ 295,315 |
Total capital to risk-weighted assets, ratio | 13.27 | 12.42 |
Common equity tier 1 capital to risk-weighted assets, ratio | 12.52 | 11.79 |
Tier 1 capital to risk-weighted assets, ratio | 12.52 | 11.79 |
Tier 1 capital to average assets, ratio | 9.02 | 8.39 |
Capital Required For Capital Adequacy [Abstract] | ||
Total capital to risk-weighted assets | $ 273,298 | $ 262,999 |
Common equity tier 1 capital to risk-weighted assets | 182,244 | 175,332 |
Tier 1 capital to risk-weighted assets | 221,296 | 212,904 |
Tier 1 capital to average assets | $ 180,685 | $ 175,996 |
Regulatory minimum to be well capitalized, Total capital to risk-weighted assets, ratio | 10.50 | 10.50 |
Regulatory minimum to be well capitalized, Common equity tier 1 capital to risk-weighted assets, ratio | 7.00% | 7.00% |
Regulatory minimum to be well capitalized, Tier 1 capital to risk-weighted assets, ratio | 8.50 | 8.50 |
Regulatory minimum to be well capitalized, Tier 1 capital to average assets, ratio | 5 | 5 |
SHAREHOLDERS' EQUITY AND EARN_4
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE - Components of AOCI (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive income (loss) | $ 11,016 | $ 3,911 | ||
Net unrealized gain (loss) on AFS securities | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other accumulated comprehensive income (loss), before tax: | 13,069 | 7,250 | ||
Income taxes related to items of accumulated other comprehensive (income) loss: | (3,046) | (1,703) | ||
Accumulated other comprehensive income (loss) | 10,021 | 5,547 | $ (8,665) | $ (1,713) |
Net unrealized gain (loss) on effective cash flow hedging derivatives | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other accumulated comprehensive income (loss), before tax: | 3,144 | (628) | ||
Income taxes related to items of accumulated other comprehensive (income) loss: | (733) | 149 | ||
Accumulated other comprehensive income (loss) | 2,413 | (479) | (2,249) | (2,250) |
Net unrealized gain (loss) on post-retirement plans | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other accumulated comprehensive income (loss), before tax: | (1,850) | (1,512) | ||
Income taxes related to items of accumulated other comprehensive (income) loss: | 432 | 355 | ||
Accumulated other comprehensive income (loss) | $ (1,418) | $ (1,157) | $ (888) | $ (591) |
SHAREHOLDERS' EQUITY AND EARN_5
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE - Components of OCI (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net unrealized gain (loss) arising during the period | |||
Before Tax | $ 2,892 | $ 1,768 | |
Less: reclassification adjustment for gains (losses) realized in net income | |||
Before Tax | (3,935) | 3,156 | |
Other comprehensive income | |||
Before Tax | 9,253 | 20,512 | $ (8,125) |
Tax Effect | (2,148) | (4,799) | 1,857 |
Total other comprehensive income (loss) | 7,105 | 15,713 | (6,268) |
Net unrealized gain (loss) on AFS securities | |||
Net unrealized gain (loss) arising during the period | |||
Before Tax | 11,264 | 18,883 | (9,487) |
Tax Effect | (2,636) | (4,489) | 2,194 |
Net of Tax | 8,628 | 14,394 | (7,293) |
Less: reclassification adjustment for gains (losses) realized in net income | |||
Before Tax | 5,445 | 237 | (924) |
Tax Effect | (1,291) | (55) | 216 |
Net of Tax | 4,154 | 182 | (708) |
Other comprehensive income | |||
Before Tax | 5,819 | 18,646 | (8,563) |
Tax Effect | (1,345) | (4,434) | 1,978 |
Total other comprehensive income (loss) | 4,474 | 14,212 | (6,585) |
Net unrealized gain (loss) on effective cash flow hedging derivatives | |||
Net unrealized gain (loss) arising during the period | |||
Before Tax | (1,080) | (938) | 654 |
Tax Effect | 37 | 289 | (168) |
Net of Tax | (1,043) | (649) | 486 |
Less: reclassification adjustment for gains (losses) realized in net income | |||
Before Tax | (4,852) | (3,156) | |
Tax Effect | 917 | 737 | |
Net of Tax | (3,935) | (2,419) | |
Other comprehensive income | |||
Before Tax | 3,772 | 2,218 | 654 |
Tax Effect | (880) | (448) | (168) |
Total other comprehensive income (loss) | 2,892 | 1,770 | 486 |
Net unrealized gain (loss) on post-retirement plans | |||
Net unrealized gain (loss) arising during the period | |||
Before Tax | (338) | (352) | (245) |
Tax Effect | 77 | 83 | 54 |
Net of Tax | (261) | (269) | (191) |
Less: reclassification adjustment for gains (losses) realized in net income | |||
Before Tax | (29) | ||
Tax Effect | 7 | ||
Net of Tax | (22) | ||
Other comprehensive income | |||
Before Tax | (338) | (352) | (216) |
Tax Effect | 77 | 83 | 47 |
Total other comprehensive income (loss) | $ (261) | $ (269) | $ (169) |
SHAREHOLDERS' EQUITY AND EARN_6
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE - Changes in AOCI (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Balance at beginning of period | $ 3,911 | |||
Total other comprehensive income (loss) | 7,105 | $ 15,713 | $ (6,268) | |
Balance at end of period | 3,911 | $ 11,016 | ||
Net unrealized gain (loss) on AFS securities | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Balance at beginning of period | 5,547 | (8,665) | (1,713) | |
Other comprehensive gain (loss) before reclassifications | 8,628 | 14,394 | (7,293) | |
Less: amounts reclassified from accumulated other comprehensive income | 4,154 | 182 | (708) | |
Total other comprehensive income (loss) | 4,474 | 14,212 | (6,585) | |
Balance at end of period | 5,547 | (8,665) | (1,713) | 10,021 |
Net unrealized gain (loss) on effective cash flow hedging derivatives | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Balance at beginning of period | (479) | (2,249) | (2,250) | |
Other comprehensive gain (loss) before reclassifications | (1,043) | (649) | 486 | |
Less: amounts reclassified from accumulated other comprehensive income | (3,935) | (2,419) | ||
Total other comprehensive income (loss) | 2,892 | 1,770 | 486 | |
Balance at end of period | (479) | (2,249) | (2,250) | 2,413 |
Net unrealized gain (loss) on post-retirement plans | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Balance at beginning of period | (1,157) | (888) | (591) | |
Other comprehensive gain (loss) before reclassifications | (261) | (269) | (191) | |
Less: amounts reclassified from accumulated other comprehensive income | (22) | |||
Total other comprehensive income (loss) | (261) | (269) | (169) | |
Balance at end of period | (1,157) | (888) | (591) | (1,418) |
Accumulated other comprehensive income (loss) | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Balance at beginning of period | 3,911 | (11,802) | (4,554) | |
Other comprehensive gain (loss) before reclassifications | 7,324 | 13,476 | (6,998) | |
Less: amounts reclassified from accumulated other comprehensive income | 219 | (2,237) | (730) | |
Total other comprehensive income (loss) | 7,105 | 15,713 | (6,268) | |
Balance at end of period | $ 3,911 | $ (11,802) | (4,554) | $ 11,016 |
Accounting Standards Update 2018-02 | Net unrealized gain (loss) on AFS securities | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Less: amounts reclassified from accumulated other comprehensive income | (367) | |||
Accounting Standards Update 2018-02 | Net unrealized gain (loss) on effective cash flow hedging derivatives | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Less: amounts reclassified from accumulated other comprehensive income | (485) | |||
Accounting Standards Update 2018-02 | Net unrealized gain (loss) on post-retirement plans | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Less: amounts reclassified from accumulated other comprehensive income | (128) | |||
Accounting Standards Update 2018-02 | Accumulated other comprehensive income (loss) | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||
Less: amounts reclassified from accumulated other comprehensive income | $ (980) |
SHAREHOLDERS' EQUITY AND EARN_7
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE - Amounts Reclassified Out of AOCI (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Non-interest income | $ 14,723 | $ 10,102 | $ 9,710 | $ 8,421 | $ 7,806 | $ 7,643 | $ 7,453 | $ 6,167 | $ 42,956 | $ 29,069 | $ 27,935 |
Non-interest expense | (27,816) | (22,419) | (22,266) | (22,359) | (26,803) | (23,400) | (20,906) | (18,624) | (94,860) | (89,733) | (75,539) |
Salaries and employee benefits | (48,920) | (45,000) | (40,964) | ||||||||
Tax expense | $ (2,269) | $ (2,146) | $ (2,199) | $ (1,793) | $ (362) | $ (780) | $ (1,364) | $ (1,703) | (8,407) | (4,209) | (7,562) |
Available-for-sale Securities, Gross Realized Gains | 5,492 | 993 | |||||||||
Available-for-sale Securities, Gross Realized Losses | 47 | 756 | 924 | ||||||||
Net unrealized gain (loss) on AFS securities | Reclassification out of AOCI | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Non-interest income | 5,445 | 237 | (924) | ||||||||
Tax expense | (1,291) | (55) | 216 | ||||||||
Net of tax | 4,154 | 182 | (708) | ||||||||
Net unrealized loss on effective derivative hedges | Reclassification out of AOCI | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Non-interest income | 4,852 | (3,156) | |||||||||
Tax expense | (917) | 737 | |||||||||
Net of tax | $ 3,935 | $ (2,419) | |||||||||
Net unrealized gain (loss) on post-retirement plans | Reclassification out of AOCI | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Salaries and employee benefits | (29) | ||||||||||
Tax expense | 7 | ||||||||||
Net of tax | $ (22) |
SHAREHOLDERS' EQUITY AND EARN_8
SHAREHOLDERS' EQUITY AND EARNINGS PER COMMON SHARE - Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Equity [Abstract] | |||||||||||
Net income | $ 8,640 | $ 8,402 | $ 8,481 | $ 7,721 | $ 4,207 | $ 5,015 | $ 6,117 | $ 7,281 | $ 33,244 | $ 22,620 | $ 32,937 |
Average number of basic common shares outstanding (in shares) | 14,909,000 | 15,079,000 | 15,424,000 | 15,558,000 | 15,554,000 | 15,547,000 | 15,538,000 | 15,523,000 | 15,245,728 | 15,540,884 | 15,487,686 |
Plus: dilutive effect of stock options and awards outstanding (in shares) | 25,819 | 46,109 | 76,778 | ||||||||
Average number of diluted common shares outstanding (in shares) | 14,952,000 | 15,103,000 | 15,441,000 | 15,593,000 | 15,602,000 | 15,581,000 | 15,586,000 | 15,587,000 | 15,271,547 | 15,586,993 | 15,564,464 |
Anti-dilutive options excluded from earnings calculation (in shares) | 7,991 | ||||||||||
Earnings per share: | |||||||||||
Basic (in dollars per share) | $ 0.58 | $ 0.56 | $ 0.55 | $ 0.50 | $ 0.27 | $ 0.32 | $ 0.39 | $ 0.47 | $ 2.18 | $ 1.46 | $ 2.13 |
Diluted (in dollars per share) | $ 0.58 | $ 0.56 | $ 0.55 | $ 0.50 | $ 0.27 | $ 0.32 | $ 0.39 | $ 0.47 | $ 2.18 | $ 1.45 | $ 2.12 |
STOCK BASED COMPENSATION PLAN_2
STOCK BASED COMPENSATION PLANS - (Details) - shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
ISOP | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized for issuance | 1,012,500 | |
Purchase price as percent of trading value | 100.00% | |
Term of plan | 10 years | |
ISOP | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 3 years | |
ISOP | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 7 years | |
2015 Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized for issuance | 420,000 | |
Term of plan | 10 years | |
Stock award granted to one individual, maximum | 30,000 | |
2019 Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized for issuance | 500,000 | |
Term of plan | 10 years | |
Shares available for grant under this plan | 330,188 | |
Long Term Incentive Program | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Term of plan | 3 years | |
Performance stock units | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares available for grant under this plan | 0 | 0 |
Performance stock units | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares available for grant under this plan | 37,562 | 26,956 |
Restricted stock units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 3 years |
STOCK BASED COMPENSATION PLAN_3
STOCK BASED COMPENSATION PLANS - Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total compensation expense | $ 1,930 | $ 1,352 | $ 1,298 |
Stock options and restricted stock awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total compensation expense | 287 | 328 | 350 |
Tax benefit recognized from compensation expense | 67 | 78 | 81 |
Restricted stock units and performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Tax benefit recognized from compensation expense | 383 | 244 | 221 |
Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total compensation expense | 385 | 170 | 237 |
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total compensation expense | $ 1,258 | $ 854 | $ 711 |
STOCK BASED COMPENSATION PLAN_4
STOCK BASED COMPENSATION PLANS - Stock Options Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Number of Stock Options Outstanding | ||
Beginning balance (in shares) | 107,784 | 121,637 |
Exercised (in shares) | (9,860) | (13,853) |
Forfeited (in shares) | (483) | |
Expired (in shares) | (2,875) | |
Ending balance (in shares) | 94,566 | 107,784 |
Ending vested and expected to vest (in shares) | 94,566 | 107,784 |
Exercisable, outstanding (in shares) | 92,956 | 98,460 |
Weighted Average Exercise Price | ||
Beginning balance (usd per share) | $ 20.15 | $ 19.96 |
Exercised (usd per share) | 18.42 | 18.44 |
Forfeited (usd per share) | 16.96 | |
Expired (usd per share) | 21.90 | |
Ending balance (usd per share) | 20.29 | 20.15 |
Ending vested and expected to vest (usd per share) | 20.29 | 20.15 |
Exercisable (usd per share) | $ 20.35 | $ 20.48 |
Aggregate Intrinsic Value (in thousands) | ||
Value of ending outstanding balance | $ 226 | $ 565 |
Ending vested and expected to vest | 226 | 565 |
Exercisable, aggregate intrinsic value | $ 217 | $ 483 |
STOCK BASED COMPENSATION PLAN_5
STOCK BASED COMPENSATION PLANS - Restricted Stock Award Activity (Details) - Restricted Stock Awards - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Number of Awards Outstanding | ||
Awarded (in shares) | 39,565 | 0 |
Vested (in shares) | (39,565) | |
Weighted Average Grant Date Fair Value | ||
Granted (usd per share) | $ 23.59 | |
Vested (usd per share) | $ 23.59 |
STOCK BASED COMPENSATION PLAN_6
STOCK BASED COMPENSATION PLANS - Intrinsic value and unrecognized compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Intrinsic value of options exercised | $ 48 | $ 98 | $ 760 |
Unrecognized compensation cost | 0 | ||
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation cost | $ 2,200 | ||
Unrecognized compensation cost, expense recognition period | 1 year 7 months 13 days |
STOCK BASED COMPENSATION PLAN_7
STOCK BASED COMPENSATION PLANS - Stock Units Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Weighted Average Grant Date Fair Value | |||
Unrecognized compensation cost | $ 0 | ||
Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period required | 3 years | 3 years | |
Number of Units Outstanding | |||
Beginning balance (in shares) | 43,058 | 37,865 | |
Awarded (in shares) | 25,041 | 17,968 | |
Vested (in shares) | (10,369) | (11,801) | |
Forfeited (in shares) | (1,402) | (974) | |
Ending balance (in shares) | 56,328 | 43,058 | 37,865 |
Weighted Average Grant Date Fair Value | |||
Beginning balance (usd per share) | $ 26.01 | $ 26.77 | |
Granted (usd per share) | 25.07 | 23.24 | |
Vested (usd per share) | 18.51 | 23.92 | |
Forfeited (usd per share) | 29.13 | 28.78 | |
Ending balance (usd per share) | $ 24.98 | $ 26.01 | $ 26.77 |
Intrinsic value of stock units vested and exercised | $ 174 | $ 376 | $ 337 |
Performance stock units | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for grant under this plan | 0 | 0 | |
Performance stock units | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for grant under this plan | 37,562 | 26,956 | |
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Number of Units Outstanding | |||
Beginning balance (in shares) | 106,552 | 80,740 | |
Awarded (in shares) | 63,667 | 50,352 | |
Vested (in shares) | (31,565) | (19,411) | |
Forfeited (in shares) | (7,256) | (5,129) | |
Ending balance (in shares) | 131,398 | 106,552 | 80,740 |
Weighted Average Grant Date Fair Value | |||
Beginning balance (usd per share) | $ 25.82 | $ 28.24 | |
Granted (usd per share) | 21.98 | 22.45 | |
Vested (usd per share) | 27.38 | 26.11 | |
Forfeited (usd per share) | 25.60 | 29.28 | |
Ending balance (usd per share) | $ 23.57 | $ 25.82 | $ 28.24 |
Intrinsic value of stock units vested and exercised | $ 600 | $ 493 | $ 594 |
Unrecognized compensation cost | $ 2,200 | ||
Unrecognized compensation cost, expense recognition period | 1 year 7 months 13 days | ||
Restricted stock units | Minimum | |||
Weighted Average Grant Date Fair Value | |||
Granted (usd per share) | $ 20.44 | $ 22.07 | |
Restricted stock units | Maximum | |||
Weighted Average Grant Date Fair Value | |||
Granted (usd per share) | $ 25.07 | $ 24.67 |
FAIR VALUE MEASUREMENTS - Measu
FAIR VALUE MEASUREMENTS - Measured on Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 585,046 | $ 663,230 |
US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 212,390 | 321,969 |
US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 85,632 | 99,661 |
Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 19,709 | 19,533 |
Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 169,004 | 142,006 |
Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 98,311 | 80,061 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Derivative assets | 0 | |
Derivative liabilities | 0 | |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 663,230 | |
Derivative assets | 6,791 | |
Derivative liabilities | (8,102) | |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Derivative assets | 59 | |
Derivative liabilities | (84) | |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 28,706 | 6,850 |
Derivative liabilities | (28,654) | (8,186) |
Recurring | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 212,390 | 321,969 |
Recurring | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 85,632 | 99,661 |
Recurring | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 19,709 | 19,533 |
Recurring | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 169,004 | 142,006 |
Recurring | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 98,311 | 80,061 |
Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Derivative liabilities | 0 | |
Recurring | Level 1 | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 1 | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 1 | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 1 | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Recurring | Level 1 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 28,684 | 6,791 |
Derivative liabilities | (28,559) | (8,102) |
Recurring | Level 2 | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 212,390 | 321,969 |
Recurring | Level 2 | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 85,632 | 99,661 |
Recurring | Level 2 | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 19,709 | 19,533 |
Recurring | Level 2 | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 169,004 | 142,006 |
Recurring | Level 2 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 98,311 | 80,061 |
Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 22 | 59 |
Derivative liabilities | (95) | $ (84) |
Recurring | Level 3 | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 3 | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 3 | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 3 | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Recurring | Level 3 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 0 |
FAIR VALUE MEASUREMENTS - Chang
FAIR VALUE MEASUREMENTS - Changes in Level 3 (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair Value, Recurring Basis, Unobservable Input Reconciliation, Net Derivative Asset (Liability), Gain (Loss), Statement of Income [Extensible List] | Noninterest Income | Noninterest Income |
Interest Rate Lock Commitment | ||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Beginning balance | $ 59 | $ 8 |
Realized (loss) gain recognized in non-interest income | (37) | 51 |
Ending balance | 22 | 59 |
Forward Commitments | ||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Beginning balance | (84) | |
Realized (loss) gain recognized in non-interest income | (11) | (84) |
Ending balance | $ (95) | $ (84) |
FAIR VALUE MEASUREMENTS - Unobs
FAIR VALUE MEASUREMENTS - Unobservable Inputs Recurring (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Derivative asset (liability), fair value | $ 52,000 | $ (743,000) |
Recurring | Level 3 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Total | (73,000) | (25,000) |
Recurring | Level 3 | Interest Rate Lock Commitment | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Derivative asset (liability), fair value | $ 22,000 | 59,000 |
Closing Ratio | 90.00% | |
Origination Costs, per loan | $ 1,700 | |
Recurring | Level 3 | Forward Commitments | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Derivative asset (liability), fair value | $ (95,000) | $ (84,000) |
FAIR VALUE MEASUREMENTS - Mea_2
FAIR VALUE MEASUREMENTS - Measured on Non-recurring Basis (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Assets | ||
Other real estate owned | $ 2,236,000 | |
Non-recurring | Level 3 | ||
Assets | ||
Impaired loans | $ 8,746,000 | 9,625,000 |
Capitalized servicing rights | 3,605,000 | 4,301,000 |
Other real estate owned | 2,236,000 | |
Premises held for sale | 962,000 | 1,764,000 |
Total | 13,313,000 | 17,926,000 |
Total Gains (Losses) | 1,342,000 | |
Non-recurring | Level 3 | Impaired loans | ||
Assets | ||
Impaired loans | 6,137,000 | |
Total Gains (Losses) | 879,000 | |
Non-recurring | Level 3 | Capitalized servicing rights | ||
Assets | ||
Total Gains (Losses) | 696,000 | |
Non-recurring | Level 3 | Other real estate owned | ||
Assets | ||
Other real estate owned | $ 2,236,000 | |
Total Gains (Losses) | (355,000) | |
Non-recurring | Level 3 | Assets held for sale | ||
Assets | ||
Total Gains (Losses) | $ 122,000 |
FAIR VALUE MEASUREMENTS - Uno_2
FAIR VALUE MEASUREMENTS - Unobservable Inputs Non-recurring (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Other real estate owned | $ 2,236,000 | |
Level 3 | Impaired loans | Discount cash flow | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | 3,488,000 | |
Non-recurring | Level 3 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | $ 8,746,000 | 9,625,000 |
Capitalized servicing rights | 3,605,000 | 4,301,000 |
Other real estate owned | 2,236,000 | |
Carrying value of assets held for sale | 962,000 | 1,764,000 |
Total | 13,313,000 | 17,926,000 |
Non-recurring | Level 3 | Fair value of collateral -appraised value | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | 6,128,000 | |
Non-recurring | Level 3 | Discount cash flow | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | $ 2,618,000 | |
Non-recurring | Level 3 | Impaired loans | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | $ 6,137,000 | |
Non-recurring | Level 3 | Impaired loans | Minimum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Loss severity | 0.00% | 0.00% |
Appraised value | $ 0 | $ 0 |
Cash flows | $ 19,000 | $ 22,000 |
Discount rate | 3.50% | 2.88% |
Non-recurring | Level 3 | Impaired loans | Maximum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Loss severity | 70.00% | 0.55% |
Appraised value | $ 1,730,000 | $ 6,915,000 |
Cash flows | $ 953,000 | $ 1,002,000 |
Discount rate | 9.50% | 9.50% |
Non-recurring | Level 3 | Capitalized servicing rights | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Constant prepayment rate (CPR) | 18.53% | 9.95% |
Discount rate | 10.05% | 10.07% |
Non-recurring | Level 3 | Other real estate owned | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Other real estate owned | $ 2,236,000 | |
Appraised value | $ 2,695,000 | |
Non-recurring | Level 3 | Other real estate owned | Minimum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Selling Costs | 10.00% | |
Non-recurring | Level 3 | Other real estate owned | Maximum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Selling Costs | 20.00% | |
Non-recurring | Level 3 | Assets held for sale | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Selling Costs | 6.00% | 6.00% |
Non-recurring | Level 3 | Assets held for sale | Minimum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Appraised value | $ 220,000 | $ 136,000 |
Non-recurring | Level 3 | Assets held for sale | Maximum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Appraised value | $ 386,000 | $ 527,000 |
FAIR VALUE MEASUREMENTS - Fair
FAIR VALUE MEASUREMENTS - Fair Values and Carrying Amounts (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financial Assets | ||
Securities available for sale | $ 585,046 | $ 663,230 |
Financial Liabilities | ||
Time Deposits | 698,361 | 932,635 |
FRB PPPLF | 93,455 | 348,118 |
Level 1 | ||
Financial Assets | ||
Cash and cash equivalents | 56,910 | |
Securities available for sale | 0 | |
FHLB stock | 0 | |
Loans held for sale | 0 | |
Net loans | 0 | |
Accrued interest receivable | 0 | |
Cash surrender value of bank-owned life insurance policies | 0 | |
Derivative assets | 0 | |
Financial Liabilities | ||
Non-maturity deposits | 0 | |
Time Deposits | 0 | |
Short-term other borrowings | 0 | |
FHLB advances | 0 | |
Subordinated borrowings | 0 | |
Derivative liabilities | 0 | |
Level 2 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | |
Securities available for sale | 663,230 | |
FHLB stock | 20,679 | |
Loans held for sale | 0 | |
Net loans | 0 | |
Accrued interest receivable | 3,294 | |
Cash surrender value of bank-owned life insurance policies | 75,863 | |
Derivative assets | 6,791 | |
Financial Liabilities | ||
Non-maturity deposits | 1,751,481 | |
Time Deposits | 932,886 | |
Short-term other borrowings | 44,831 | |
FHLB advances | 425,989 | |
Subordinated borrowings | 59,920 | |
Derivative liabilities | 8,102 | |
Level 3 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | |
Securities available for sale | 0 | |
FHLB stock | 0 | |
Loans held for sale | 6,572 | |
Net loans | 2,634,147 | |
Accrued interest receivable | 0 | |
Cash surrender value of bank-owned life insurance policies | 0 | |
Derivative assets | 59 | |
Financial Liabilities | ||
Non-maturity deposits | 0 | |
Time Deposits | 0 | |
Short-term other borrowings | 0 | |
FHLB advances | 0 | |
Subordinated borrowings | 0 | |
Derivative liabilities | 84 | |
Carrying Amount | ||
Financial Assets | ||
Cash and cash equivalents | 226,007 | 56,910 |
Securities available for sale | 585,046 | 663,230 |
FHLB stock | 14,036 | 20,679 |
Loans held for sale | 23,988 | 6,499 |
Net loans | 2,543,803 | 2,625,739 |
Accrued interest receivable | 2,964 | 3,294 |
Cash surrender value of bank-owned life insurance policies | 77,870 | 75,863 |
Derivative assets | 28,706 | 6,850 |
Financial Liabilities | ||
Non-maturity deposits | 2,207,854 | 1,763,116 |
Time Deposits | 698,361 | 932,635 |
Short-term other borrowings | 44,832 | |
Securities sold under agreements to repurchase | 27,779 | |
FHLB advances | 248,283 | 426,564 |
Subordinated borrowings | 59,961 | 59,920 |
Derivative liabilities | 28,654 | 8,186 |
Total Fair Value | ||
Financial Assets | ||
Cash and cash equivalents | 226,007 | 56,910 |
Securities available for sale | 585,046 | 663,230 |
FHLB stock | 14,036 | 20,679 |
Loans held for sale | 0 | |
Net loans | 2,547,970 | 2,634,147 |
Accrued interest receivable | 2,964 | 3,294 |
Cash surrender value of bank-owned life insurance policies | 77,870 | 75,863 |
Derivative assets | 28,706 | 6,850 |
Financial Liabilities | ||
Non-maturity deposits | 2,122,222 | 1,751,481 |
Time Deposits | 694,700 | 932,886 |
Short-term other borrowings | 44,831 | |
Securities sold under agreements to repurchase | 27,779 | |
FHLB advances | 252,698 | 425,989 |
Subordinated borrowings | 57,091 | 59,920 |
Derivative liabilities | 28,654 | $ 8,186 |
Total Fair Value | Level 1 | ||
Financial Assets | ||
Cash and cash equivalents | 226,007 | |
Securities available for sale | 0 | |
FHLB stock | 0 | |
Loans held for sale | 0 | |
Net loans | 0 | |
Accrued interest receivable | 0 | |
Cash surrender value of bank-owned life insurance policies | 0 | |
Derivative assets | 0 | |
Financial Liabilities | ||
Non-maturity deposits | 0 | |
Time Deposits | 0 | |
Securities sold under agreements to repurchase | 0 | |
FHLB advances | 0 | |
Subordinated borrowings | 0 | |
Derivative liabilities | 0 | |
Total Fair Value | Level 2 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | |
Securities available for sale | 585,046 | |
FHLB stock | 14,036 | |
Loans held for sale | 0 | |
Net loans | 0 | |
Accrued interest receivable | 2,964 | |
Cash surrender value of bank-owned life insurance policies | 77,870 | |
Derivative assets | 28,684 | |
Financial Liabilities | ||
Non-maturity deposits | 2,122,222 | |
Time Deposits | 694,700 | |
Securities sold under agreements to repurchase | 27,779 | |
FHLB advances | 252,698 | |
Subordinated borrowings | 57,091 | |
Derivative liabilities | 28,559 | |
Total Fair Value | Level 3 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | |
Securities available for sale | 0 | |
FHLB stock | 0 | |
Loans held for sale | 24,163 | |
Net loans | 2,547,970 | |
Accrued interest receivable | 0 | |
Cash surrender value of bank-owned life insurance policies | 0 | |
Derivative assets | 22 | |
Financial Liabilities | ||
Non-maturity deposits | 0 | |
Time Deposits | 0 | |
Securities sold under agreements to repurchase | 0 | |
FHLB advances | 0 | |
Subordinated borrowings | 0 | |
Derivative liabilities | $ 95 |
REVENUE FROM CONTRACTS WITH C_3
REVENUE FROM CONTRACTS WITH CUSTOMERS - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 24,705 | $ 22,190 |
Products and services transferred at a point in time | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 11,992 | 10,748 |
Products and services transferred over time | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 12,713 | 11,442 |
Trust management fees | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 12,246 | 11,098 |
Financial services fees | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,132 | 966 |
Interchange fees | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 6,668 | 4,899 |
Customer deposit fees | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 3,746 | 4,281 |
Other customer service fees | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 913 | $ 946 |
REVENUE FROM CONTRACTS WITH C_4
REVENUE FROM CONTRACTS WITH CUSTOMERS - Contract Balances from Contracts with Customers (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Balances from contracts with customers only: | ||
Other Assets | $ 1,121 | $ 1,703 |
Other Liabilities | $ 2,785 | $ 3,114 |
Revenue, Practical Expedient, Incremental Cost of Obtaining Contract [true false] | true |
LEASES - Assets and liabilities
LEASES - Assets and liabilities (Details) - USD ($) $ in Thousands | Jan. 01, 2019 | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | |||
Operating lease right-of-use assets | $ 10,338 | $ 9,623 | |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other Asset | Other Asset | |
Present value of net future minimum lease payments | $ 10,627 | $ 9,651 | |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Other Liabilities | Other Liabilities | |
Lease, Practical Expedients, Package [true false] | true |
LEASES - Lease Term and Cost (D
LEASES - Lease Term and Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | ||
Weighted-average remaining lease term (in years) | 9 years 3 months 3 days | 8 years 11 months 15 days |
Weighted-average discount rate | 3.15% | 3.27% |
Operating lease cost | $ 1,285 | $ 698 |
Variable lease cost | 271 | 711 |
Total lease cost | $ 1,556 | $ 1,409 |
LEASES - Future Minimum Payment
LEASES - Future Minimum Payments for Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | ||
December 31, 2021 | $ 1,293 | |
December 31, 2022 | 1,319 | |
December 31, 2023 | 1,318 | |
December 31, 2024 | 1,293 | |
December 31, 2025 | 1,092 | |
Thereafter | 5,362 | |
Total future minimum lease payments | 11,677 | |
Amounts representing interest | (1,050) | |
Present value of net future minimum lease payments | $ 10,627 | $ 9,651 |
CONDENSED FINANCIAL STATEMENT_3
CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY - Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||||
Cash | $ 27,566 | $ 26,485 | ||
Premises and equipment | 52,458 | 51,205 | ||
Other assets | 73,662 | 42,111 | ||
Total assets | 3,725,762 | 3,669,128 | ||
Liabilities and Shareholders Equity | ||||
Shareholders equity | 411,341 | 396,407 | $ 370,579 | $ 354,641 |
Total liabilities and shareholders' equity | 3,725,762 | 3,669,128 | ||
Parent Company | ||||
Assets | ||||
Cash | 10,741 | 29,223 | ||
Investment in subsidiaries | 464,645 | 427,536 | ||
Premises and equipment | 756 | 687 | ||
Other assets | 1,934 | 4,586 | ||
Total assets | 478,076 | 462,032 | ||
Liabilities and Shareholders Equity | ||||
Subordinated notes | 59,961 | 59,920 | ||
Accrued expenses | 6,774 | 5,705 | ||
Shareholders equity | 411,341 | 396,407 | ||
Total liabilities and shareholders' equity | $ 478,076 | $ 462,032 |
CONDENSED FINANCIAL STATEMENT_4
CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY - Statements of Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Interest expense | $ 5,338 | $ 5,810 | $ 6,845 | $ 8,931 | $ 10,013 | $ 11,817 | $ 12,289 | $ 11,462 | $ 26,924 | $ 45,581 | $ 36,568 |
Non-interest expense | 27,816 | 22,419 | 22,266 | 22,359 | 26,803 | 23,400 | 20,906 | 18,624 | 94,860 | 89,733 | 75,539 |
Income before income taxes | 10,909 | 10,548 | 10,680 | 9,514 | 4,569 | 5,795 | 7,481 | 8,984 | 41,651 | 26,829 | 40,499 |
Income tax benefit | 2,269 | 2,146 | 2,199 | 1,793 | 362 | 780 | 1,364 | 1,703 | 8,407 | 4,209 | 7,562 |
Net income | $ 8,640 | $ 8,402 | $ 8,481 | $ 7,721 | $ 4,207 | $ 5,015 | $ 6,117 | $ 7,281 | 33,244 | 22,620 | 32,937 |
Parent Company | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Dividends from subsidiaries | 8,024 | 21,734 | 23,705 | ||||||||
Other income | 742 | 337 | 31 | ||||||||
Total income | 8,766 | 22,071 | 23,736 | ||||||||
Interest expense | 2,750 | 2,188 | 2,121 | ||||||||
Non-interest expense | 4,465 | 3,208 | 3,147 | ||||||||
Total expense | 7,215 | 5,396 | 5,268 | ||||||||
Income before income taxes | 1,552 | 16,675 | 18,468 | ||||||||
Income tax benefit | (1,539) | (1,100) | (1,136) | ||||||||
Income before equity in undistributed income of subsidiaries | 3,091 | 17,775 | 19,604 | ||||||||
Equity in undistributed income of subsidiaries | 30,153 | 4,845 | 13,333 | ||||||||
Net income | $ 33,244 | $ 22,620 | $ 32,937 |
CONDENSED FINANCIAL STATEMENT_5
CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY - Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | |||||||||||
Net income | $ 8,640 | $ 8,402 | $ 8,481 | $ 7,721 | $ 4,207 | $ 5,015 | $ 6,117 | $ 7,281 | $ 33,244 | $ 22,620 | $ 32,937 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||||||
Net cash provided by operating activities | 38,173 | 36,403 | 37,722 | ||||||||
Cash flows from investing activities: | |||||||||||
Net cash provided by (used in) investing activities | 142,747 | (84,981) | (43,964) | ||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from subordinated debt issuance | 40,000 | ||||||||||
Repayments of subordinated debt | (22,000) | ||||||||||
Net cash (used in) provided by financing activities | (11,823) | 6,734 | 14,311 | ||||||||
Net change in cash and cash equivalents | 169,097 | (41,844) | 8,069 | ||||||||
Cash and cash equivalents at beginning of year | 56,910 | 98,754 | 56,910 | 98,754 | 90,685 | ||||||
Cash and cash equivalents at end of year | 226,007 | 56,910 | 226,007 | 56,910 | 98,754 | ||||||
Parent Company | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income | 33,244 | 22,620 | 32,937 | ||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||||||
Equity in undistributed income of subsidiaries | (30,153) | (4,845) | (13,333) | ||||||||
Other, net | 3,840 | (1,040) | (1,457) | ||||||||
Net cash provided by operating activities | 6,931 | 16,735 | 18,147 | ||||||||
Cash flows from investing activities: | |||||||||||
Purchase of securities | (7) | ||||||||||
Capital contribution to subsidiary | (8,000) | ||||||||||
Net cash provided by (used in) investing activities | (8,000) | (7) | |||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from subordinated debt issuance | 40,000 | ||||||||||
Repayments of subordinated debt | (17,000) | ||||||||||
Net proceeds from common stock | 2,192 | 883 | 951 | ||||||||
Net proceeds from reissuance of treasury stock | (14,188) | (22) | 686 | ||||||||
Common stock cash dividends paid | (13,417) | (13,366) | (12,184) | ||||||||
Net cash (used in) provided by financing activities | (25,413) | 10,495 | (10,547) | ||||||||
Net change in cash and cash equivalents | (18,482) | 19,230 | 7,593 | ||||||||
Cash and cash equivalents at beginning of year | $ 29,223 | $ 9,993 | 29,223 | 9,993 | 2,400 | ||||||
Cash and cash equivalents at end of year | $ 10,741 | $ 29,223 | $ 10,741 | $ 29,223 | $ 9,993 |
QUARTERLY DATA (UNAUDITED) (Det
QUARTERLY DATA (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest and dividend income | $ 30,700 | $ 30,475 | $ 31,435 | $ 33,494 | $ 34,117 | $ 34,262 | $ 33,785 | $ 33,227 | $ 126,104 | $ 135,391 | $ 127,451 |
Interest expense | 5,338 | 5,810 | 6,845 | 8,931 | 10,013 | 11,817 | 12,289 | 11,462 | 26,924 | 45,581 | 36,568 |
Net interest income | 25,362 | 24,665 | 24,590 | 24,563 | 24,104 | 22,445 | 21,496 | 21,765 | 99,180 | 89,810 | 90,883 |
Non-interest income | 14,723 | 10,102 | 9,710 | 8,421 | 7,806 | 7,643 | 7,453 | 6,167 | 42,956 | 29,069 | 27,935 |
Provision for loan losses | 1,360 | 1,800 | 1,354 | 1,111 | 538 | 893 | 562 | 324 | 5,625 | 2,317 | 2,780 |
Non-interest expense | 27,816 | 22,419 | 22,266 | 22,359 | 26,803 | 23,400 | 20,906 | 18,624 | 94,860 | 89,733 | 75,539 |
Income before income taxes | 10,909 | 10,548 | 10,680 | 9,514 | 4,569 | 5,795 | 7,481 | 8,984 | 41,651 | 26,829 | 40,499 |
Income tax expense | 2,269 | 2,146 | 2,199 | 1,793 | 362 | 780 | 1,364 | 1,703 | 8,407 | 4,209 | 7,562 |
Net income | $ 8,640 | $ 8,402 | $ 8,481 | $ 7,721 | $ 4,207 | $ 5,015 | $ 6,117 | $ 7,281 | $ 33,244 | $ 22,620 | $ 32,937 |
Earnings per share: | |||||||||||
Basic (in dollars per share) | $ 0.58 | $ 0.56 | $ 0.55 | $ 0.50 | $ 0.27 | $ 0.32 | $ 0.39 | $ 0.47 | $ 2.18 | $ 1.46 | $ 2.13 |
Diluted (in dollars per share) | $ 0.58 | $ 0.56 | $ 0.55 | $ 0.50 | $ 0.27 | $ 0.32 | $ 0.39 | $ 0.47 | $ 2.18 | $ 1.45 | $ 2.12 |
Weighted average shares outstanding: | |||||||||||
Basic (in shares) | 14,909,000 | 15,079,000 | 15,424,000 | 15,558,000 | 15,554,000 | 15,547,000 | 15,538,000 | 15,523,000 | 15,245,728 | 15,540,884 | 15,487,686 |
Diluted (in shares) | 14,952,000 | 15,103,000 | 15,441,000 | 15,593,000 | 15,602,000 | 15,581,000 | 15,586,000 | 15,587,000 | 15,271,547 | 15,586,993 | 15,564,464 |