Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Mar. 09, 2023 | Jun. 30, 2022 | |
Document and Entity Information | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 0-18082 | ||
Entity Registrant Name | GREAT SOUTHERN BANCORP, INC. | ||
Entity Incorporation, State or Country Code | MD | ||
Entity Tax Identification Number | 43-1524856 | ||
Entity Address, Address Line One | 1451 E. Battlefield | ||
Entity Address, City or Town | Springfield | ||
Entity Address, State or Province | MO | ||
Entity Address, Postal Zip Code | 65804 | ||
City Area Code | 417 | ||
Local Phone Number | 887-4400 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | GSBC | ||
Trading Exchange | NASDAQ | ||
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 | ||
Number of common stock shares outstanding | 12,179,386 | ||
Entity Public Float | $ 534,668,377 | ||
Entity Central Index Key | 0000854560 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Auditor Name | FORVIS, LLP | ||
Auditor Firm ID | 686 | ||
Auditor Location | Springfield, Missouri |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Assets | ||
Cash | $ 105,262 | $ 90,008 |
Interest-bearing deposits in other financial institutions | 63,258 | 627,259 |
Cash and cash equivalents | 168,520 | 717,267 |
Available-for-sale securities | 490,592 | 501,032 |
Held-to-maturity securities | 202,495 | 0 |
Mortgage loans held for sale | 4,811 | 8,735 |
Loans receivable, net of allowance for credit losses of $63,480 and $60,754 at December 31, 2022 and 2021, respectively | 4,506,836 | 4,007,500 |
Interest receivable | 19,107 | 10,705 |
Prepaid expenses and other assets | 69,461 | 45,176 |
Other real estate owned and repossessions, net | 233 | 2,087 |
Premises and equipment, net | 141,070 | 132,733 |
Goodwill and other intangible assets | 10,813 | 6,081 |
Federal Home Loan Bank stock and other interest earning assets | 30,814 | 6,655 |
Current and deferred income taxes | 35,950 | 11,973 |
Total assets | 5,680,702 | 5,449,944 |
Liabilities | ||
Deposits | 4,684,910 | 4,552,101 |
Securities sold under reverse repurchase agreements with customers | 176,843 | 137,116 |
Short-term borrowings and other interest-bearing liabilities | 89,583 | 1,839 |
Subordinated debentures issued to capital trust | 25,774 | 25,774 |
Subordinated notes | 74,281 | 73,984 |
Accrued interest payable | 3,010 | 646 |
Advances from borrowers for taxes and insurance | 6,590 | 6,147 |
Accrued expenses and other liabilities | 73,808 | 25,956 |
Liability for unfunded commitments | 12,816 | 9,629 |
Total liabilities | 5,147,615 | 4,833,192 |
Commitments and Contingencies | ||
Stockholders' Equity | ||
Serial preferred stock, $.01 par value; authorized 1,000,000 shares; issued and outstanding 2022 and 2021 - -0- shares | 0 | 0 |
Common stock, $.01 par value; authorized 20,000,000 shares; issued and outstanding 2022 - 12,231,290 shares, 2021 -13,128,493 shares | 122 | 131 |
Additional paid-in capital | 42,445 | 38,314 |
Retained earnings | 543,875 | 545,548 |
Accumulated other comprehensive income (loss), net of income taxes of $(17,948) and $9,676 at December 31, 2022 and 2021, respectively | (53,355) | 32,759 |
Total stockholders' equity | 533,087 | 616,752 |
Total liabilities and stockholders' equity | $ 5,680,702 | $ 5,449,944 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Consolidated Statements of Financial Condition | ||
Loans receivable, allowance for credit losses | $ 63,480 | $ 60,754 |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 20,000,000 | 20,000,000 |
Common Stock, Shares, Issued | 12,231,290 | 13,128,493 |
Common Stock, Shares, Outstanding | 12,231,290 | 13,128,493 |
Accumulated other comprehensive income, net of income taxes | $ (17,948) | $ 9,676 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest Income | |||
Loans | $ 205,751 | $ 186,269 | $ 204,964 |
Investment securities and other | 21,226 | 12,404 | 12,739 |
Total Interest Income | 226,977 | 198,673 | 217,703 |
Interest Expense | |||
Deposits | 20,676 | 13,102 | 32,431 |
Securities sold under reverse repurchase agreements | 324 | 37 | 31 |
Short-term borrowings, overnight FHLBank borrowings and other interest-bearing liabilities | 1,066 | 644 | |
Subordinated debentures issued to capital trust | 875 | 448 | 628 |
Subordinated notes | 4,422 | 7,165 | 6,831 |
Total Interest Expense | 27,363 | 20,752 | 40,565 |
Net Interest Income | 199,614 | 177,921 | 177,138 |
Provision (Credit) for Credit Losses on Loans | 3,000 | (6,700) | 15,871 |
Provision for Unfunded Commitments | 3,187 | 939 | 0 |
Net Interest Income After Provision (Credit) for Credit Losses and Provision for Unfunded Commitments | 193,427 | 183,682 | 161,267 |
Non-interest Income | |||
Commissions | 1,208 | 1,263 | 892 |
Overdraft and insufficient funds fees | 7,872 | 6,686 | 6,481 |
Point-of-sale and ATM fee income and service charges | 15,705 | 15,029 | 12,203 |
Net gain on loan sales | 2,584 | 9,463 | 8,089 |
Net realized gain (loss) on sales of available-for-sale securities | (130) | 78 | |
Late charges and fees on loans | 1,182 | 1,434 | 1,419 |
Gain (loss) on derivative interest rate products | 321 | 312 | (264) |
Other income | 5,399 | 4,130 | 6,152 |
Total Noninterest Income | 34,141 | 38,317 | 35,050 |
Non-interest Expense | |||
Salaries and employee benefits | 75,300 | 70,290 | 70,810 |
Net occupancy and equipment expense | 28,471 | 29,163 | 27,582 |
Postage | 3,379 | 3,164 | 3,069 |
Insurance | 3,197 | 3,061 | 2,405 |
Advertising | 3,261 | 3,072 | 2,631 |
Office supplies and printing | 867 | 848 | 1,016 |
Telephone | 3,170 | 3,458 | 3,794 |
Legal, audit and other professional fees | 6,330 | 6,555 | 2,378 |
Expense on other real estate and repossessions | 359 | 627 | 2,023 |
Acquired deposit intangible asset amortization | 768 | 863 | 1,154 |
Other operating expenses | 8,264 | 6,534 | 6,363 |
Total Noninterest Expense | 133,366 | 127,635 | 123,225 |
Income Before Income Taxes | 94,202 | 94,364 | 73,092 |
Provision for Income Taxes | 18,254 | 19,737 | 13,779 |
Net Income | $ 75,948 | $ 74,627 | $ 59,313 |
Earnings Per Common Share | |||
Basic | $ 6.07 | $ 5.50 | $ 4.22 |
Diluted | 6.02 | 5.46 | 4.21 |
Dividends Declared Per Common Share | $ 1.56 | $ 1.40 | $ 2.36 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Consolidated Statements of Comprehensive Income | |||
Net Income | $ 75,948 | $ 74,627 | $ 59,313 |
Unrealized appreciation (depreciation) on available-for-sale securities, net of taxes (credit) of $(18,106), $(4,171) and $4,215 for 2022, 2021 and 2020, respectively | (56,448) | (14,121) | 14,274 |
Unrealized loss on securities transferred to held-to-maturity, net of taxes (credit) of $29, $-0- and $-0- for 2022, 2021 and 2020, respectively | 89 | ||
Less: reclassification adjustment for losses (gains) included in net income, net of taxes (credit) of $32, $0 and $18 for 2022, 2021 and 2020, respectively | 98 | (60) | |
Amortization of realized gain on termination of cash flow hedge, net of taxes (credit) of $(1,852), $(1,852) and $(1,541), for 2022, 2021, and 2020, respectively | (6,271) | (6,271) | (5,223) |
Change in value of active cash flow hedges, net of taxes (credit) of $(7,695), $0 and $3,519 for 2022, 2021 and 2020, respectively | (23,582) | 11,914 | |
Other comprehensive income (loss) | (86,114) | (20,392) | 20,905 |
Comprehensive Income (Loss) | $ (10,166) | $ 54,235 | $ 80,218 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Consolidated Statements of Comprehensive Income | |||
Unrealized appreciation (depreciation) on available-for-sale securities, net of taxes | $ (18,106) | $ (4,171) | $ 4,215 |
Unrealized loss on securities transferred to held-to-maturity, net of taxes (credit) | 29 | 0 | 0 |
Reclassification adjustment for losses (gains) included in net income, net of taxes (credit) | 32 | 0 | 18 |
Amortization of realized gain on termination of cash flow hedge, net of taxes (credit) | (1,852) | (1,852) | (1,541) |
Change in value of active cash flow hedges, net of taxes (credit) | $ (7,695) | $ 0 | $ 3,519 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total | |
Balance at beginning of period at Dec. 31, 2019 | $ 143 | $ 33,510 | $ 537,167 | $ 32,246 | $ 603,066 | ||
Net income | 59,313 | 59,313 | |||||
Stock issued under Stock Option Plan | 1,494 | $ 320 | 1,814 | ||||
Common cash dividends declared | [1] | (33,253) | (33,253) | ||||
Other comprehensive gain (loss) | 20,905 | 20,905 | |||||
Purchase of the Company's common stock | (22,104) | (22,104) | |||||
Reclassification of treasury stock per Maryland law | (5) | (21,779) | 21,784 | ||||
Balance at ending of period at Dec. 31, 2020 | 138 | 35,004 | 541,448 | 53,151 | 629,741 | ||
Net income | 74,627 | 74,627 | |||||
Stock issued under Stock Option Plan | 3,310 | 1,615 | 4,925 | ||||
Common cash dividends declared | [2] | (18,851) | (18,851) | ||||
Other comprehensive gain (loss) | (20,392) | (20,392) | |||||
Purchase of the Company's common stock | (39,123) | (39,123) | |||||
Reclassification of treasury stock per Maryland law | (7) | (37,501) | 37,508 | ||||
Balance at ending of period (CECL adoption) at Dec. 31, 2021 | (14,175) | (14,175) | |||||
Balance at ending of period at Dec. 31, 2021 | 131 | 38,314 | 545,548 | 32,759 | 616,752 | ||
Net income | 75,948 | 75,948 | |||||
Stock issued under Stock Option Plan | 4,131 | 3,564 | 7,695 | ||||
Common cash dividends declared | [3] | (19,347) | (19,347) | ||||
Other comprehensive gain (loss) | (86,114) | (86,114) | |||||
Purchase of the Company's common stock | (61,847) | (61,847) | |||||
Reclassification of treasury stock per Maryland law | (9) | (58,274) | $ 58,283 | ||||
Balance at ending of period at Dec. 31, 2022 | $ 122 | $ 42,445 | $ 543,875 | $ (53,355) | $ 533,087 | ||
[1]$2.36 per share total dividends.[2]$1.40 per share total dividends.[3]$1.56 per share total dividends. |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Consolidated Statements of Stockholders' Equity | |||
Per share total dividends | $ 1.56 | $ 1.40 | $ 2.36 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Operating Activities | |||
Net income | $ 75,948 | $ 74,627 | $ 59,313 |
Proceeds from sales of loans held for sale | 103,347 | 351,391 | 317,173 |
Originations of loans held for sale | (95,007) | (332,289) | (316,125) |
Items not requiring (providing) cash | |||
Depreciation | 8,498 | 9,555 | 10,007 |
Amortization | 1,179 | 1,583 | 2,075 |
Compensation expense for stock option grants | 1,437 | 1,225 | 1,153 |
Provision (credit) for credit losses | 3,000 | (6,700) | 15,871 |
Provision for unfunded commitments | 3,187 | 939 | 0 |
Net gain on loan sales | (2,584) | (9,463) | (8,089) |
Net realized (gain) loss on available-for-sale securities | 130 | 0 | (78) |
Gain on sale of premises and equipment | (1,023) | (1) | (37) |
Loss (gain) on sale/write-down of other real estate and repossessions | (126) | (71) | 840 |
Accretion of deferred income, premiums, discounts and other | (7,719) | (10,262) | (6,147) |
Loss (gain) on derivative interest rate products | (321) | (312) | 264 |
Deferred income taxes | 2,485 | 3,712 | (11,480) |
Changes in | |||
Interest receivable | (8,402) | 2,088 | 362 |
Prepaid expenses and other assets | (24,248) | 3,257 | (17,163) |
Accrued expenses and other liabilities | 5,637 | (2,495) | (612) |
Income taxes refundable/payable | 1,162 | (1,808) | (1,279) |
Net cash provided by operating activities | 66,580 | 84,976 | 46,048 |
Investing Activities | |||
Net change in loans | (134,344) | 448,599 | (62,493) |
Purchase of loans | (361,817) | (152,797) | (92,099) |
Cash received for termination of interest rate derivative | 0 | 0 | 45,864 |
Purchase of premises and equipment | (20,110) | (5,739) | (8,224) |
Proceeds from sale of premises and equipment | 3,980 | 586 | 781 |
Proceeds from sale of other real estate and repossessions | 2,351 | 2,230 | 4,096 |
Capitalized costs on other real estate owned | 0 | 0 | (126) |
Proceeds from sale of available-for-sale securities | 18,375 | 0 | 19,236 |
Proceeds from repayments of held-to-maturity securities | 23,821 | 0 | 0 |
Proceeds from maturities, calls and repayments of available-for-sale securities | 51,348 | 72,149 | 76,248 |
Purchase of available-for-sale securities | (360,725) | (177,466) | (118,296) |
Redemption (purchase) of Federal Home Loan Bank stock and other interest-earning assets | (24,159) | 3,151 | 3,667 |
Net cash provided by (used in) investing activities | (801,280) | 190,713 | (131,346) |
Financing Activities | |||
Net increase (decrease) in certificates of deposit | 321,718 | (429,723) | (330,306) |
Net increase (decrease) in checking and savings accounts | (188,909) | 464,921 | 887,114 |
Net increase (decrease) in short-term borrowings and other interest-bearing liabilities | 127,471 | (26,737) | (146,632) |
Advances from (to) borrowers for taxes and insurance | 443 | (1,389) | 52 |
Proceeds from issuance of subordinated notes | 0 | 0 | 73,513 |
Redemption of subordinated notes | 0 | (75,000) | 0 |
Purchase of the company's common stock | (61,847) | (39,123) | (22,104) |
Dividends paid | (19,181) | (18,800) | (33,426) |
Stock options exercised | 6,258 | 3,700 | 661 |
Net cash provided by (used in) financing activities | 185,953 | (122,151) | 428,872 |
Increase (Decrease) in Cash and Cash Equivalents | (548,747) | 153,538 | 343,574 |
Cash and Cash Equivalents, Beginning of Year | 717,267 | 563,729 | 220,155 |
Cash and Cash Equivalents, End of Year | $ 168,520 | $ 717,267 | $ 563,729 |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Nature of Operations and Summary of Significant Accounting Policies | |
Nature of Operations and Summary of Significant Accounting Policies | Note 1: Nature of Operations and Summary of Significant Accounting Policies Nature of Operations and Operating Segments Great Southern Bancorp, Inc. (“GSBC” or the “Company”) operates as a one-bank holding company. GSBC’s business primarily consists of the operations of Great Southern Bank (the “Bank”), which provides a full range of financial services to customers primarily located in Missouri, Iowa, Kansas, Minnesota, Nebraska and Arkansas. The Bank also originates commercial loans from lending offices in Atlanta; Charlotte, North Carolina; Chicago; Dallas; Denver; Omaha, Nebraska; Phoenix; and Tulsa, Oklahoma. The Company and the Bank are subject to regulation by certain federal and state agencies and undergo periodic examinations by those regulatory agencies. The Company’s banking operation is its only reportable segment. The banking operation is principally engaged in the business of originating residential and commercial real estate loans, construction loans, commercial business loans and consumer loans and funding these loans by attracting deposits from the general public, accepting brokered deposits and borrowing from the Federal Home Loan Bank and others. The operating results of this segment are regularly reviewed by management to make decisions about resource allocations and to assess performance. Selected information is not presented separately for the Company’s reportable segment, as there is no material difference between that information and the corresponding information in the consolidated financial statements. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses and the valuation of real estate acquired in connection with foreclosures or in satisfaction of loans and fair values of financial instruments. In connection with the determination of the allowance for credit losses and the valuation of foreclosed assets held for sale, management obtains independent appraisals for significant properties. In addition, the Company considers that the determination of the carrying value of goodwill and intangible assets involves a high degree of judgment and complexity. Principles of Consolidation The consolidated financial statements include the accounts of Great Southern Bancorp, Inc., its wholly owned subsidiary, the Bank, and the Bank’s wholly owned subsidiaries, Great Southern Real Estate Development Corporation, GSB One LLC (including its wholly owned subsidiary, GSB Two LLC), Great Southern Financial Corporation, Great Southern Community Development Company, LLC (including its wholly owned subsidiary, Great Southern CDE, LLC), GS, LLC, GSSC, LLC, GSTC Investments, LLC, GS-RE Holding, LLC (including its wholly owned subsidiary, GS RE Management, LLC), GS-RE Holding II, LLC, GS-RE Holding III, LLC, VFP Conclusion Holding, LLC and VFP Conclusion Holding II, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. Federal Home Loan Bank Stock Federal Home Loan Bank common stock is a required investment for institutions that are members of the Federal Home Loan Bank system. The required investment in common stock is based on a predetermined formula, carried at cost and evaluated for impairment. Securities Available-for-sale securities, which include any security for which the Company has no immediate plan to sell but which may be sold in the future, are carried at fair value. Unrealized gains and losses are recorded, net of related income tax effects, in other comprehensive income. Held-to-maturity securities, which include any security for which the Company has the positive intent and ability to hold until maturity, are carried at historical cost adjusted for amortization of premiums and accretion of discounts. Amortization of premiums and accretion of discounts are recorded as interest income from securities. Realized gains and losses are recorded as net security gains (losses). Gains and losses on sales of securities are determined on the specific-identification method. The Company evaluates all securities quarterly to determine if any securities in a loss position require a provision for credit losses in accordance with ASC 326, Measurement of Credit Losses on Financial Instruments Mortgage Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Write-downs to fair value are recognized as a charge to earnings at the time the decline in value occurs. Nonbinding forward commitments to sell individual mortgage loans are generally obtained to reduce market risk on mortgage loans in the process of origination and mortgage loans held for sale. Gains and losses resulting from sales of mortgage loans are recognized when the respective loans are sold to investors. Fees received from borrowers to guarantee the funding of mortgage loans held for sale and fees paid to investors to ensure the ultimate sale of such mortgage loans are recognized as income or expense when the loans are sold or when it becomes evident that the commitment will not be used. Loans Originated by the Company Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at their outstanding principal balances adjusted for any charge-offs, the allowance for credit losses, any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Interest income is reported on the interest method and includes amortization of net deferred loan fees and costs over the loan term. Past due status is based on the contractual terms of a loan. Generally, loans are placed on nonaccrual status at 90 days past due and interest is considered a loss, unless the loan is well secured and in the process of collection. Payments received on nonaccrual loans are applied to principal until the loans are returned to accrual status. Loans are returned to accrual status when all payments contractually due are brought current, payment performance is sustained for a period of time, generally six months, and future payments are reasonably assured. With the exception of consumer loans, charge-offs on loans are recorded when available information indicates a loan is not fully collectible and the loss is reasonably quantifiable. Consumer loans are charged-off at specified delinquency dates consistent with regulatory guidelines. Allowance for Credit Losses The allowance for credit losses is measured using an average historical loss model that incorporates relevant information about past events (including historical credit loss experience on loans with similar risk characteristics), current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the loans. The allowance for credit losses is measured on a collective (pool) basis. Loans are aggregated into pools based on similar risk characteristics, including borrower type, collateral and repayment types and expected credit loss patterns. Classified loans and/or TDR loans with a balance greater than or equal to $100,000, which do not necessarily share similar risk characteristics, are evaluated on an individual basis. For loans evaluated for credit losses on a collective basis, average historical loss rates are calculated for each pool using the Company’s historical net charge-offs (combined charge-offs and recoveries by observable historical reporting period) and outstanding loan balances during a lookback period. Lookback periods can be different based on the individual pool and represent management’s credit expectations for the pool of loans over the remaining contractual life. In certain loan pools, if the Company’s own historical loss rate is not reflective of the loss expectations, the historical loss rate is augmented by industry and peer data. The calculated average net charge-off rate is then adjusted for current conditions and reasonable and supportable forecasts. These adjustments increase or decrease the average historical loss rate to reflect expectations of future losses given economic forecasts of key macroeconomic variables including, but not limited to, unemployment rate, GDP, disposable income and market volatility. The adjustments are based on results from various regression models projecting the impact of the macroeconomic variables to loss rates. The forecast is used for a reasonable and supportable period before reverting back to historical averages using a straight-line method. The forecast adjusted loss rate is applied to the amortized cost of loans over the remaining contractual lives, adjusted for expected prepayments. The contractual term excludes expected extensions, renewals and modifications unless there is a reasonable expectation that a troubled debt restructuring will be executed. Additionally, the allowance for credit losses considers other qualitative factors not included in historical loss rates or macroeconomic forecast such as changes in portfolio composition, underwriting practices, or significant unique events or conditions. Loans Acquired in Business Combinations Loans acquired in business combinations under ASC Topic 805, Business Combinations Fair Value Measurements and Disclosures For acquired loans not acquired in conjunction with an FDIC-assisted transaction that were not considered to be purchased credit-impaired loans, the Company evaluated those loans acquired in accordance with the provisions of ASC Topic 310-20, Nonrefundable Fees and Other Costs Loans and Debt Securities Acquired with Deteriorated Credit Quality The Company evaluated all of its loans acquired in conjunction with its FDIC-assisted transactions in accordance with the provisions of ASC Topic 310-30. For purposes of applying ASC 310-30, loans acquired in FDIC-assisted business combinations are aggregated into pools of loans with common risk characteristics. All loans acquired in the FDIC transactions, both covered and not covered by loss sharing agreements, were deemed to be purchased credit-impaired loans as there is general evidence of credit deterioration since origination in the pools and there is some probability that not all contractually required payments will be collected. As a result, related discounts are recognized subsequently through accretion based on changes in the expected cash flows of these acquired loans. Prior to the adoption of ASU 2016-13, the expected cash flows of the acquired loan pools in excess of the fair values recorded, referred to as the accretable yield, was recognized in interest income over the remaining estimated lives of the loan pools for impaired loans accounted for under ASC Topic 310-30. Subsequent to acquisition date, the Company estimated cash flows expected to be collected on pools of loans sharing common risk characteristics, which are treated in the aggregate when applying various valuation techniques. Increases in the Company’s cash flow expectations have been recognized as increases to the accretable yield while decreases have been recognized as impairments through the allowance for credit losses. Other Real Estate Owned and Repossessions Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less estimated cost to sell at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less estimated cost to sell. Revenue and expenses from operations and changes in the valuation allowance are included in net expense on foreclosed assets. Other real estate owned also includes bank premises formerly, but no longer, used for banking activities, as well as property originally acquired for future expansion but no longer intended to be used for that purpose. Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Depreciation is charged to expense using the straight-line and accelerated methods over the estimated useful lives of the assets. Leasehold improvements are capitalized and amortized using the straight-line and accelerated methods over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Material lease obligations consist of leases for various loan offices and banking centers. All of our leases are classified as operating leases (as they were prior to January 1, 2019), and therefore were previously not recognized on the Company’s consolidated statements of financial condition. With the adoption of ASU 2016-02, these operating leases are now included as a right of use asset in the premises and equipment line item on the Company’s consolidated statements of financial condition. The corresponding lease liability is included in the accrued expenses and other liabilities line item on the Company’s consolidated statements of financial condition. The calculated amounts of the right of use assets and lease liabilities are impacted by the length of the lease term and the discount rate used to present value the minimum lease payments. The Company’s lease agreements often include one or more options to renew extended term in the calculation of the right of use asset and lease liability. 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 right of use asset and lease liability. Regarding the discount rate, the Company uses 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 over a similar term. The discount rate utilized is the FHLBank borrowing rate for the term corresponding to the expected term of the lease. Long-Lived Asset Impairment The Company evaluates the recoverability of the carrying value of long-lived assets whenever events or circumstances indicate the carrying amount may not be recoverable. If a long-lived asset is tested for recoverability and the undiscounted estimated future cash flows expected to result from the use and eventual disposition of the asset is less than the carrying amount of the asset, the asset cost is adjusted to fair value and an impairment loss is recognized as the amount by which the carrying amount of a long-lived asset exceeds its fair value. No material asset impairment was recognized during the years ended December 31, 2022, 2021 and 2020. Goodwill and Intangible Assets Goodwill is evaluated annually for impairment or more frequently if impairment indicators are present. The annual, or interim, goodwill impairment test is performed by comparing the fair value of a reporting unit with its carrying amount and an impairment charge is recognized for the amount by which the carrying amount exceeds the reporting unit’s fair value. The Company still may perform a qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. Deposit intangible assets are being amortized on the straight-line basis generally over a period of seven years. Arena naming rights intangible assets are being amortized on the straight-line basis generally over a period of fifteen years. Such assets are periodically evaluated as to the recoverability of their carrying value. A summary of goodwill and intangible assets is as follows: December 31, 2022 2021 (In Thousands) Goodwill – Branch acquisitions $ 5,396 $ 5,396 Deposit intangibles Fifth Third Bank (January 2016) 53 685 Arena Naming Rights (April 2022) 5,364 — 5,417 685 $ 10,813 $ 6,081 Loan Servicing and Origination Fee Income Loan servicing income represents fees earned for servicing real estate mortgage loans owned by various investors. The fees are generally calculated on the outstanding principal balances of the loans serviced and are recorded as income when earned. Loan origination fees, net of direct loan origination costs, are recognized as income using the level-yield method over the contractual life of the loan. Stockholders’ Equity The Company is incorporated in the State of Maryland. Under Maryland law, there is no concept of “Treasury Shares.” Instead, shares purchased by the Company constitute authorized but unissued shares under Maryland law. Accounting principles generally accepted in the United States of America state that accounting for treasury stock shall conform to state law. The cost of shares purchased by the Company has been allocated to common stock and retained earnings balances. Earnings Per Common Share Basic earnings per common share are computed based on the weighted average number of common shares outstanding during each year. Diluted earnings per common share are computed using the weighted average common shares and all potential dilutive common shares outstanding during the period. Earnings per common share (EPS) were computed as follows: 2022 2021 2020 (In Thousands, Except Per Share Data) Net income and net income available to common shareholders $ 75,948 $ 74,627 $ 59,313 Average common shares outstanding 12,516 13,558 14,043 Average common share stock options outstanding 91 116 61 Average diluted common shares 12,607 13,674 14,104 Earnings per common share – basic $ 6.07 $ 5.50 $ 4.22 Earnings per common share – diluted $ 6.02 $ 5.46 $ 4.21 Options outstanding at December 31, 2022, 2021 and 2020, to purchase 559,484, 383,338 and 758,901 shares of common stock, respectively, were not included in the computation of diluted earnings per common share for each of the years because the exercise prices of such options were greater than the average market prices of the common stock for the years ended December 31, 2022, 2021 and 2020, respectively. Stock Compensation Plans The Company has stock-based employee compensation plans, which are described more fully in Note 20 Compensation – Stock Compensation Cash Equivalents The Company considers all liquid investments with original maturities of three months or less to be cash equivalents. At December 31, 2022 and 2021, cash equivalents consisted of interest-bearing deposits in other financial institutions. At December 31, 2022, nearly all of the interest-bearing deposits were uninsured and held at the Federal Home Loan Bank or the Federal Reserve Bank. Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (FASB ASC 740, Income Taxes Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term “more likely than not” means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. At December 31, 2022 and 2021, no valuation allowance was established. The Company recognizes interest and penalties on income taxes as a component of income tax expense. The Company files consolidated income tax returns with its subsidiaries. Derivatives and Hedging Activities FASB ASC 815, Derivatives and Hedging Note 16 As required by FASB ASC 815, the Company records all derivatives in the statement of financial condition at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Recent Accounting Pronouncements In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting In January 2021, the FASB issued ASU 2021-01, Reference Rate Reform (Topic 848): Scope In March 2022, the FASB issued ASU 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging – Portfolio Layer Method In March 2022, the FASB issued ASU 2022-02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures In December 2022, the FASB issued ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848 |
Investments in Securities
Investments in Securities | 12 Months Ended |
Dec. 31, 2022 | |
Investments in Securities | |
Investments in Securities | Note 2: Investments in Securities Held-to-maturity securities (“HTM”), which include any security for which the Company has both the positive intent and ability to hold until maturity, are carried at historical cost adjusted for amortization of premiums and accretion of discounts. Premiums and discounts are amortized and accreted, respectively, to interest income over the security’s estimated life. Prepayments are anticipated for certain mortgage-backed securities. Premiums on callable securities are amortized to their earliest call date. Available-for-sale securities (“AFS”), which include any security for which the Company has no immediate plan to sell but which may be sold in the future, are carried at fair value. Realized gains and losses, based on specifically identified amortized cost of the individual security, are included in non-interest income. Unrealized gains and losses are recorded, net of related income tax effects, in stockholders’ equity. Premiums and discounts are amortized and accreted, respectively, to interest income over the estimated life of the security. Prepayments are anticipated for certain mortgage-backed and Small Business Administration (SBA) securities. Premiums on callable securities are amortized to their earliest call date. During the three months ended March 31, 2022, the Company transferred, at fair value, $226.5 million of securities from the available-for-sale portfolio to the held-to-maturity portfolio. The related net unrealized gross gains were $1.0 million; $775,000 (net of income taxes) remained in accumulated other comprehensive income and will be amortized over the remaining life of the securities. No gains or losses on these securities were recognized at the time of transfer. As of December 31, 2022, the net unrealized gross gains remaining were $118,000; net of income taxes, these unrealized gains were $89,000. The amortized cost and fair values of securities were as follows: December 31, 2022 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 327,266 $ — $ 40,784 $ 286,482 Agency collateralized mortgage obligations 90,205 — 11,731 78,474 States and political subdivisions securities 60,667 119 3,291 57,495 Small Business Administration securities 75,076 — 6,935 68,141 $ 553,214 $ 119 $ 62,741 $ 490,592 December 31, 2022 Amortized Gross Gross Amortized Fair Value Carrying Unrealized Unrealized Fair Cost Adjustment Value Gains Losses Value (In Thousands) HELD-TO-MATURITY SECURITIES: Agency mortgage-backed securities $ 73,891 $ 3,015 $ 76,906 $ — $ 9,820 $ 67,086 Agency collateralized mortgage obligations 122,247 (2,885) 119,362 — 14,129 105,233 States and political subdivisions 6,239 (12) 6,227 — 781 5,446 $ 202,377 $ 118 $ 202,495 $ — $ 24,730 $ 177,765 December 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 219,624 $ 10,561 $ 744 $ 229,441 Agency collateralized mortgage obligations 204,332 2,443 2,498 204,277 States and political subdivisions securities 38,440 1,618 43 40,015 Small Business Administration securities 26,802 497 — 27,299 $ 489,198 $ 15,119 $ 3,285 $ 501,032 No securities were classified as held-to-maturity at December 31, 2021. At December 31, 2022, the Company’s available-for-sale agency mortgage-backed securities portfolio consisted of FNMA securities totaling $196.4 million, FHLMC securities totaling $90.1 million and GNMA securities totaling $78.5 million. At December 31, 2021, available-for-sale agency mortgage-backed securities portfolio consisted of FNMA securities totaling $180.5 million, FHLMC securities totaling $47.4 million and GNMA securities totaling $1.5 million. At December 31, 2022, all of the Company’s $286.5 million agency mortgage-backed securities had fixed rates of interest. At December 31, 2021, all of the Company’s $229.4 million available-for-sale agency mortgage-backed securities had fixed rates of interest. The amortized cost and fair value of available-for-sale and held-to-maturity securities at December 31, 2022, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair Cost Value Carrying Value Value (In Thousands) One year or less $ — $ — $ — $ — After one through two years — — — — After two through three years — — — — After three through four years — — — — After four through five years 245 245 — — After five through fifteen years 6,761 6,565 2,578 2,233 After fifteen years 53,661 50,685 3,649 3,213 Securities not due on a single maturity date 492,547 433,097 196,268 172,319 $ 553,214 $ 490,592 $ 202,495 $ 177,765 The amortized cost and fair values of securities pledged as collateral were as follows at December 31, 2022 and 2021: 2022 2021 Amortized Fair Amortized Fair Cost Value Cost Value (In Thousands) Public deposits $ 15,402 $ 13,489 $ 4,742 $ 5,029 Collateralized borrowing accounts 210,330 186,170 133,242 139,112 Other 4,018 3,764 6,257 6,461 $ 229,750 $ 203,423 $ 144,241 $ 150,602 Available-for-sale investments in debt securities are reported in the financial statements at their fair value, which was $490.6 million and $501.0 million at December 31, 2022 and 2021, respectively. Total fair value of these investments for which the amortized cost exceeded the fair value at December 31, 2022 and 2021, was $472.0 million and $173.9 million, respectively, which is approximately 96.2% and 34.7%, respectively, of the Company’s available-for-sale investment portfolio. A high percentage of the unrealized losses were related to the Company’s mortgage-backed securities, collateralized mortgage obligations and Small Business Administration (SBA) securities, which are issued and guaranteed by U.S. government-sponsored entities and agencies. The Company’s state and political subdivisions securities are investments in insured fixed rate municipal bonds for which the issuers continue to make timely principal and interest payments under the contractual terms of the securities. Held-to-maturity investments in debt securities are reported in the financial statements at their amortized cost, which was $202.5 million at December 31, 2022. Total fair value of these investments at December 31, 2022 was approximately $177.8 million. Total fair value of these investments for which the amortized cost exceeded the fair value at December 31, 2022 and 2021, was $177.8 million, which is 100.0% of the Company’s held-to-maturity investment portfolio. There were no held-to-maturity investment securities at December 31, 2021. Held-to-maturity investment securities are evaluated for potential losses under ASU 2016-13. Based on evaluation of available evidence, including recent changes in market interest rates, credit rating information and information obtained from regulatory filings, management believes the declines in fair value for these available-for-sale debt securities are temporary. The following table shows the Company’s gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2022 and 2021: 2022 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 221,562 $ (27,597) $ 64,918 $ (13,187) $ 286,480 $ (40,784) Agency collateralized mortgage obligations 28,537 (3,262) 40,642 (8,469) 69,179 (11,731) Small Business Administration securities 60,473 (5,224) 7,667 (1,711) 68,140 (6,935) States and political subdivisions securities 44,455 (2,913) 3,753 (378) 48,208 (3,291) $ 355,027 $ (38,996) $ 116,980 $ (23,745) $ 472,007 $ (62,741) 2022 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) HELD-TO-MATURITY SECURITIES: Agency mortgage-backed securities $ 59,218 $ (7,766) $ 7,868 $ (2,054) $ 67,086 $ (9,820) Agency collateralized mortgage obligations 61,055 (6,411) 44,178 (7,718) 105,233 (14,129) States and political subdivisions securities 900 (101) 4,546 (680) 5,446 (781) $ 121,173 $ (14,278) $ 56,592 $ (10,452) $ 177,765 $ (24,730) 2021 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 47,769 $ (388) $ 10,583 $ (356) $ 58,352 $ (744) Agency collateralized mortgage obligations 92,727 (1,588) 16,298 (910) 109,025 (2,498) States and political subdivisions securities 6,537 (43) — — 6,537 (43) $ 147,033 $ (2,019) $ 26,881 $ (1,266) $ 173,914 $ (3,285) No securities were classified as held-to-maturity at December 31, 2021. Allowance for Credit Losses Measurement of Credit Losses on Financial Instruments Regarding securities issued by state and political subdivisions, management considers the following when evaluating these securities: (i) current issuer bond ratings, (ii) historical loss rates for given bond ratings, (iii) whether issuers continue to make timely principal and interest payments under the contractual terms of the securities, (iv) updated financial information of the issuer, (v) internal forecasts and (vi) whether such securities provide insurance or other credit enhancement or are pre-refunded by the issuers. These securities are highly rated by major rating agencies and have a long history of no credit losses. Likewise, the Company has not experienced historical losses on these types of securities. Accordingly, no allowance for credit losses has been recorded for these securities. |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2022 | |
Loans and Allowance for Credit Losses | |
Loans and Allowance for Credit Losses | Note 3: Loans and Allowance for Credit Losses The Company adopted ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments The Company adopted ASC 326 using the prospective transition approach for financial assets purchased with credit deterioration (PCD) that were previously classified as purchased credit impaired (PCI) and accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether PCI assets met the criteria of PCD assets as of the date of adoption. On January 1, 2021, the amortized cost basis of the PCD assets were adjusted to reflect the addition of $1.9 million to the allowance for credit losses. Results for reporting periods prior to January 1, 2021, continue to be reported in accordance with previously applicable GAAP. Under the incurred loss model, the Company delayed recognition of losses until it was probable that a loss was incurred. The allowance for credit losses was established as losses were estimated to have occurred through a provision for credit losses charged to earnings. Credit losses were charged against the allowance when management believed the uncollectability of a loan balance was confirmed. The allowance for credit losses was evaluated on a regular basis by management and was based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. The allowance consisted of allocated and general components. The allocated component related to loans that were classified as impaired. For loans classified as impaired, an allowance was established when the present value of expected future cash flows (or collateral value or observable market price) of the impaired loan was lower than the carrying value of that loan. The general component covered non-classified loans and was based on historical charge-off experience and expected loss given default derived from the Company’s internal risk rating process. Results for reporting periods after December 31, 2020, include loans acquired and accounted for under ASC 310-30 net of discount within the loan classes, while for reporting periods prior to January 1, 2021, the loans acquired and accounted for under ASC 310-30 were shown separately. Beginning on January 1, 2021, the allowance for credit losses is measured using an average historical loss model which incorporates relevant information about past events (including historical credit loss experience on loans with similar risk characteristics), current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the loans. The allowance for credit losses is measured on a collective (pool) basis. Loans are aggregated into pools based on similar risk characteristics including borrower type, collateral and repayment types and expected credit loss patterns. Loans that do not share similar risk characteristics, primarily classified and/or TDR loans with a balance greater than or equal to $100,000, are evaluated on an individual basis. For loans evaluated for credit losses on a collective basis, average historical loss rates are calculated for each pool using the Company’s historical net charge-offs (combined charge-offs and recoveries by observable historical reporting period) and outstanding loan balances during a lookback period. Lookback periods can be different based on the individual pool and represent management’s credit expectations for the pool of loans over the remaining contractual life. In certain loan pools, if the Company’s own historical loss rate is not reflective of the loss expectations, the historical loss rate is augmented by industry and peer data. The calculated average net charge-off rate is then adjusted for current conditions and reasonable and supportable forecasts. These adjustments increase or decrease the average historical loss rate to reflect expectations of future losses given economic forecasts of key macroeconomic variables including, but not limited to, unemployment rate, gross domestic product (“GDP”), commercial real estate price index, consumer sentiment and construction spending. The adjustments are based on results from various regression models projecting the impact of the macroeconomic variables to loss rates. The forecast is used for a reasonable and supportable period before reverting to historical averages. The forecast-adjusted loss rate is applied to the amortized cost of loans over the remaining contractual lives, adjusted for expected prepayments. The contractual term excludes expected extensions, renewals and modifications unless there is a reasonable expectation that a troubled debt restructuring (“TDR”) will be executed. Additionally, the allowance for credit losses considers other qualitative factors not included in historical loss rates or macroeconomic forecasts such as changes in portfolio composition, underwriting practices, or significant unique events or conditions. ASU 2016-13 requires an allowance for off balance sheet credit exposures: unfunded lines of credit, undisbursed portions of loans, written residential and commercial commitments, and letters of credit. To determine the amount needed for allowance purposes, a utilization rate is determined either by the model or internally for each pool. Our loss model calculates the reserve on unfunded commitments based upon the utilization rate multiplied by the average loss rate factors in each pool with unfunded and committed balances. The liability for unfunded lending commitments utilizes the same model as the allowance for credit losses on loans; however, the liability for unfunded lending commitments incorporates assumptions for the portion of unfunded commitments that are expected to be funded. Classes of loans at December 31, 2022 and 2021, included: December 31, December 31, 2022 2021 (In Thousands) One- to four-family residential construction $ 33,849 $ 28,302 Subdivision construction 32,067 26,694 Land development 41,613 47,827 Commercial construction 757,690 617,505 Owner occupied one- to four-family residential 778,533 561,958 Non-owner occupied one- to four-family residential 124,870 119,635 Commercial real estate 1,530,663 1,476,230 Other residential 781,761 697,903 Commercial business 293,228 280,513 Industrial revenue bonds 12,852 14,203 Consumer auto 37,281 48,915 Consumer other 33,732 37,902 Home equity lines of credit 123,242 119,965 4,581,381 4,077,552 Allowance for credit losses (63,480) (60,754) Deferred loan fees and gains, net (11,065) (9,298) $ 4,506,836 $ 4,007,500 Classes of loans by aging were as follows as of the dates indicated: December 31, 2022 Total Loans Over 90 Total > 90 Days Past 30-59 Days 60-89 Days Days Total Past Loans Due and Past Due Past Due Past Due Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ — $ — $ — $ — $ 33,849 $ 33,849 $ — Subdivision construction — — — — 32,067 32,067 — Land development — — 384 384 41,229 41,613 — Commercial construction — — — — 757,690 757,690 — Owner occupied one- to four- family residential 2,568 462 722 3,752 774,781 778,533 — Non-owner occupied one- to four-family residential — 63 — 63 124,807 124,870 — Commercial real estate 196 — 1,579 1,775 1,528,888 1,530,663 — Other residential — — — — 781,761 781,761 — Commercial business 8 — 586 594 292,634 293,228 — Industrial revenue bonds — — — — 12,852 12,852 — Consumer auto 100 34 14 148 37,133 37,281 — Consumer other 288 114 111 513 33,219 33,732 — Home equity lines of credit 234 38 274 546 122,696 123,242 — Total $ 3,394 $ 711 $ 3,670 $ 7,775 $ 4,573,606 $ 4,581,381 $ — FDIC-assisted acquired loans included above $ 253 $ 4 $ 428 $ 685 $ 57,923 $ 58,608 $ — December 31, 2021 Total Loans Over 90 Total > 90 Days Past 30-59 Days 60-89 Days Days Total Past Loans Due and Past Due Past Due Past Due Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ — $ — $ — $ — $ 28,302 $ 28,302 $ — Subdivision construction — — — — 26,694 26,694 — Land development 29 15 468 512 47,315 47,827 — Commercial construction — — — — 617,505 617,505 — Owner occupied one- to four- family residential 843 2 2,216 3,061 558,897 561,958 — Non-owner occupied one- to four-family residential — — — — 119,635 119,635 — Commercial real estate — — 2,006 2,006 1,474,224 1,476,230 — Other residential — — — — 697,903 697,903 — Commercial business 1,404 — — 1,404 279,109 280,513 — Industrial revenue bonds — — — — 14,203 14,203 — Consumer auto 229 31 34 294 48,621 48,915 — Consumer other 126 28 63 217 37,685 37,902 — Home equity lines of credit — — 636 636 119,329 119,965 — Total $ 2,631 $ 76 $ 5,423 $ 8,130 $ 4,069,422 $ 4,077,552 $ — FDIC-assisted acquired loans included above $ 433 $ — $ 1,736 $ 2,169 $ 72,001 $ 74,170 $ — Loans are placed on nonaccrual status at 90 days past due and interest is considered a loss unless the loan is well secured and in the process of collection. Payments received on nonaccrual loans are applied to principal until the loans are returned to accrual status. Loans are returned to accrual status when all payments contractually due are brought current, payment performance is sustained for a period of time, generally six months, and future payments are reasonably assured. With the exception of consumer loans, charge-offs on loans are recorded when available information indicates a loan is not fully collectible and the loss is reasonably quantifiable. Consumer loans are charged-off at specified delinquency dates consistent with regulatory guidelines. Non-accruing loans are summarized as follows: December 31, December 31, 2022 2021 (In Thousands) One- to four-family residential construction $ — $ — Subdivision construction — — Land development 384 468 Commercial construction — — Owner occupied one- to four-family residential 722 2,216 Non-owner occupied one- to four-family residential — — Commercial real estate 1,579 2,006 Other residential — — Commercial business 586 — Industrial revenue bonds — — Consumer auto 14 34 Consumer other 111 63 Home equity lines of credit 274 636 Total non-accruing loans $ 3,670 $ 5,423 FDIC-assisted acquired loans included above $ 428 $ 1,736 No interest income was recorded on these loans for the years ended December 31, 2022 and 2021, respectively. Nonaccrual loans for which there is no related allowance for credit losses as of December 31, 2022 had an amortized cost of $2.1 million. These loans are individually assessed and do not require an allowance due to being adequately collateralized under the collateral-dependent valuation method. A collateral-dependent loan is a financial asset for which the repayment is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty based on the Company’s assessment as of the reporting date. Collateral-dependent loans are identified by either a classified risk rating or TDR status and a loan balance equal to or greater than $100,000, including, but not limited to, any loan in process of foreclosure or repossession. The following table presents the activity in the allowance for credit losses by portfolio segment for the years ended December 31, 2022 and 2021. On January 1, 2021, the Company adopted the CECL methodology, which added $11.6 million to the total Allowance for Credit Loss, including $1.9 million of remaining discount on loans that were previously accounted for as PCI. December 31, 2022 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for credit losses Balance, January 1, 2022 $ 9,364 $ 10,502 $ 28,604 $ 2,797 $ 4,142 $ 5,345 $ 60,754 Provision (credit) charged to expense 1,652 1,498 (1,465) 152 1,491 (328) 3,000 Losses charged off (40) — (44) (84) (51) (1,950) (2,169) Recoveries 195 110 1 — 240 1,349 1,895 Balance, December 31, 2022 $ 11,171 $ 12,110 $ 27,096 $ 2,865 $ 5,822 $ 4,416 $ 63,480 December 31, 2021 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for credit losses Balance, December 31, 2020 $ 4,536 $ 9,375 $ 33,707 $ 3,521 $ 2,390 $ 2,214 $ 55,743 CECL adoption 4,533 5,832 (2,531) (1,165) 1,499 3,427 11,595 Balance, January 1, 2021 9,069 15,207 31,176 2,356 3,889 5,641 67,338 Provision (credit) charged to expense — (4,797) (2,478) 575 — — (6,700) Losses charged off (190) — (142) (154) (81) (2,054) (2,621) Recoveries 485 92 48 20 334 1,758 2,737 Balance, December 31, 2021 $ 9,364 $ 10,502 $ 28,604 $ 2,797 $ 4,142 $ 5,345 $ 60,754 The following table presents the activity in the allowance for unfunded commitments by portfolio segment for the years ended December 31, 2022 and 2021. On January 1, 2021, the Company adopted the CECL methodology, which created an $8.7 million allowance for unfunded commitments. December 31, 2022 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for unfunded commitments Balance, January 1, 2022 $ 687 $ 5,703 $ 367 $ 908 $ 1,582 $ 382 $ 9,629 Provision (credit) charged to expense 49 2,921 49 (106) 152 122 3,187 Balance, December 31, 2022 $ 736 $ 8,624 $ 416 $ 802 $ 1,734 $ 504 $ 12,816 December 31, 2021 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for unfunded commitments Balance, December 31, 2020 $ — $ — $ — $ — $ — $ — $ — CECL adoption 917 5,227 354 910 935 347 8,690 Balance, January 1, 2021 917 5,227 354 910 935 347 8,690 Provision (credit) charged to expense (230) 476 13 (2) 647 35 939 Balance, December 31, 2021 $ 687 $ 5,703 $ 367 $ 908 $ 1,582 $ 382 $ 9,629 The following table presents the activity in the allowance for credit losses by portfolio segment for the year ended December 31, 2020 prepared using the previous GAAP incurred loss method prior to the adoption of ASU 2016-13. Also presented are the balance in the allowance for credit losses and the recorded investment in loans based on portfolio segment and impairment method as of the year ended December 31, 2020 prepared using the previous GAAP incurred loss method prior to the adoption of ASU 2016-13. December 31, 2020 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for Loan Losses Balance, January 1, 2020 $ 4,339 $ 5,153 $ 24,334 $ 3,076 $ 1,355 $ 2,037 $ 40,294 Provision (benefit) charged to expense 84 4,042 9,343 242 914 1,246 15,871 Losses charged off (70) — (43) (1) (28) (3,152) (3,294) Recoveries 183 180 73 204 149 2,083 2,872 Balance, December 31, 2020 $ 4,536 $ 9,375 $ 33,707 $ 3,521 $ 2,390 $ 2,214 $ 55,743 Ending balance: Individually evaluated for impairment $ 90 $ — $ 445 $ — $ 14 $ 164 $ 713 Collectively evaluated for impairment $ 4,382 $ 9,282 $ 32,937 $ 3,378 $ 2,331 $ 2,040 $ 54,350 Loans acquired and accounted for under ASC 310-30 $ 64 $ 93 $ 325 $ 143 $ 45 $ 10 $ 680 Loans Individually evaluated for impairment $ 3,546 $ — $ 3,438 $ — $ 167 $ 1,897 $ 9,048 Collectively evaluated for impairment $ 655,146 $ 1,021,145 $ 1,550,239 $ 1,266,847 $ 384,734 $ 239,727 $ 5,117,838 Loans acquired and accounted for under ASC 310-30 $ 57,113 $ 6,150 $ 24,613 $ 2,551 $ 2,549 $ 5,667 $ 98,643 The portfolio segments used in the preceding three tables correspond to the loan classes used in all other tables in Note 3 ● The one- to four-family residential and construction segment includes the one- to four-family residential construction, subdivision construction, owner occupied one- to four-family residential and non-owner occupied one- to four-family residential classes. ● The other residential segment corresponds to the other residential (multi-family) class. ● The commercial real estate segment includes the commercial real estate and industrial revenue bonds classes. ● The commercial construction segment includes the land development and commercial construction classes. ● The commercial business segment corresponds to the commercial business class. ● The consumer segment includes the consumer auto, consumer other and home equity lines of credit classes. The weighted average interest rate on loans receivable at December 31, 2022 and 2021, was 5.54% and 4.26%, respectively. Loans serviced for others are not included in the accompanying consolidated statements of financial condition. The unpaid principal balance of loans serviced for others at December 31, 2022, was The following tables presents the amortized cost basis of collateral-dependent loans by class of loans: December 31, 2022 Principal Specific Balance Allowance (In Thousands) One- to four-family residential construction $ — $ — Subdivision construction — — Land development 384 — Commercial construction — — Owner occupied one- to four-family residential 1,637 40 Non-owner occupied one- to four-family residential — — Commercial real estate 1,571 — Other residential — — Commercial business 586 125 Industrial revenue bonds — — Consumer auto — — Consumer other 160 80 Home equity lines of credit 135 — Total $ 4,473 $ 245 December 31, 2021 Principal Specific Balance Allowance (In Thousands) One- to four-family residential construction $ — $ — Subdivision construction — — Land development 468 — Commercial construction — — Owner occupied one- to four-family residential 1,980 18 Non-owner occupied one- to four-family residential — — Commercial real estate 2,217 397 Other residential — — Commercial business — — Industrial revenue bonds — — Consumer auto — — Consumer other 160 80 Home equity lines of credit 377 — Total $ 5,202 $ 495 Prior to adoption of ASU 2016-13, a loan was considered impaired, in accordance with the impairment accounting guidance (FASB ASC 310-10-35-16) when, based on then-current information and events, it was probable the Company would be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans included not only nonperforming loans but also loans modified in TDRs where concessions had been granted to borrowers experiencing financial difficulties. The following table presents information pertaining to impaired loans as of December 31, 2020 in accordance with previous GAAP prior to the adoption of ASU 2016-13. Year Ended December 31, 2020 December 31, 2020 Average Unpaid Investment Interest Recorded Principal Specific in Impaired Income Balance Balance Allowance Loans Recognized (In Thousands) One- to four-family residential construction $ — $ — $ — $ — $ — Subdivision construction 20 20 — 115 3 Land development — — — — — Commercial construction — — — — — Owner occupied one- to four-family residential 3,457 3,776 90 2,999 169 Non-owner occupied one- to four-family residential 69 106 — 309 18 Commercial real estate 3,438 3,472 445 3,736 135 Other residential — — — — — Commercial business 166 551 14 800 34 Industrial revenue bonds — — — — — Consumer auto 865 964 140 932 91 Consumer other 403 552 19 298 47 Home equity lines of credit 630 668 5 550 36 Total $ 9,048 $ 10,109 $ 713 $ 9,739 $ 533 At December 31, 2020, $4.8 million of impaired loans had specific valuation allowances totaling $713,000. For loans that were non-accruing, interest of approximately $292,000, $432,000 and $579,000 would have been recognized on an accrual basis during the years ended December 31, 2022, 2021 and 2020, respectively. TDRs are loans that are modified by granting concessions to borrowers experiencing financial difficulties. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance or other actions intended to maximize collection. The types of concessions made are factored into the estimation of the allowance for credit losses for TDRs primarily using a discounted cash flows or collateral adequacy approach TDRs by class are presented below as of December 31, 2022 and 2021. December 31, 2022 Accruing TDR Loans Non-accruing TDR Loans Total TDR Loans Number Balance Number Balance Number Balance (In Thousands) Construction and land development — $ — — $ — — $ — One- to four-family residential 13 1,028 3 98 16 1,126 Other residential — — — — — — Commercial real estate — — 2 1,571 2 1,571 Commercial business — — — — — — Consumer 13 210 5 42 18 252 26 $ 1,238 10 $ 1,711 36 $ 2,949 December 31, 2021 Accruing TDR Loans Non-accruing TDR Loans Total TDR Loans Number Balance Number Balance Number Balance (In Thousands) Construction and land development 1 $ 15 — $ — 1 $ 15 One- to four-family residential 10 579 12 1,059 22 1,638 Other residential — — — — — — Commercial real estate 1 85 1 1,726 2 1,811 Commercial business — — — — — — Consumer 26 323 13 64 39 387 38 $ 1,002 26 $ 2,849 64 $ 3,851 The following table presents newly restructured loans during the years ended December 31, 2022, 2021, and 2020 by type of modification: 2022 Total Interest Only Term Combination Modification (In Thousands) Residential one-to-four family $ — $ — $ 32 $ 32 Commercial real estate — — 247 247 Commercial business — — — — Consumer — 4 3 7 $ — $ 4 $ 282 $ 286 2021 Total Interest Only Term Combination Modification (In Thousands) Residential one-to-four family $ 31 $ 202 $ 134 $ 367 Commercial real estate 1,768 — — 1,768 Commercial business — — — — Consumer — 259 11 270 $ 1,799 $ 461 $ 145 $ 2,405 2020 Total Interest Only Term Combination Modification (In Thousands) Residential one-to-four family $ — $ — $ 1,030 $ 1,030 Commercial real estate — — 559 559 Commercial business — — 22 22 Consumer — 16 1,951 1,967 $ — $ 16 $ 3,562 $ 3,578 At December 31, 2022, of the $2.9 million in TDRs, $1.7 million were classified as substandard using the Company’s internal grading system. The Company had no TDRs that were modified in the previous 12 months and subsequently defaulted during the year ended December 31, 2022. At December 31, 2021, of the $3.9 million in TDRs, $2.9 million were classified as substandard using the Company’s internal grading system. The Company had no TDRs that were modified in the previous 12 months and subsequently defaulted during the year ended December 31, 2021. The Company utilizes an internal risk rating system comprised of a series of grades to categorize loans according to perceived risk associated with the expectation of debt repayment. The analysis of the borrower’s ability to repay considers specific information, including but not limited to current financial information, historical payment experience, industry information, collateral levels and collateral types. A risk rating is assigned at loan origination and then monitored throughout the contractual term for possible risk rating changes. Satisfactory loans range from Excellent to Moderate Risk, but generally are loans supported by strong recent financial statements. Character and capacity of borrower are strong, including reasonable project performance, good industry experience, liquidity and/or net worth. Probability of financial deterioration seems unlikely. Repayment is expected from approved sources over a reasonable period of time. Watch loans are identified when the borrower has capacity to perform according to terms; however, elements of uncertainty exist. Margins of debt service coverage may be narrow, historical patterns of financial performance may be erratic, collateral margins may be diminished and the borrower may be a new and/or thinly capitalized company. Some management weakness may also exist, the borrower may have somewhat limited access to other financial institutions, and that ability may diminish in difficult economic times. Special Mention loans have weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of repayment prospects or the Bank’s credit position at some future date. It is a transitional grade that is closely monitored for improvement or deterioration. The Substandard rating is applied to loans where the borrower exhibits well-defined weaknesses that jeopardize its continued performance and are of a severity that the distinct possibility of default exists. Loans are placed on “non-accrual” when management does not expect to collect payments consistent with acceptable and agreed upon terms of repayment. Doubtful loans have all the weaknesses inherent to those classified Substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, highly questionable and improbable. Loans considered loss are uncollectable and no longer included as an asset. All loans are analyzed for risk rating updates regularly. For larger loans, rating assessments may be more frequent if relevant information is obtained earlier through debt covenant monitoring or overall relationship management. Smaller loans are monitored as identified by the loan officer based on the risk profile of the individual borrower or if the loan becomes past due related to credit issues. Loans rated Watch, Special Mention, Substandard or Doubtful are subject to quarterly review and monitoring processes. In addition to the regular monitoring performed by the lending personnel and credit committees, loans are subject to review by the credit review department, which verifies the appropriateness of the risk ratings for the loans chosen as part of its risk-based review plan. The following table presents a summary of loans by category and risk rating separated by origination and loan class as of December 31, 2022. Term Loans by Origination Year Revolving 2022 2021 2020 2019 2018 Prior Loans Total (In Thousands) One- to four-family residential construction Satisfactory (1-4) $ 21,885 $ 7,265 $ 1,391 $ — $ — $ — $ 3,308 $ 33,849 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 21,885 7,265 1,391 — — — 3,308 33,849 Subdivision construction Satisfactory (1-4) 4,478 25,864 800 203 134 588 — 32,067 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 4,478 25,864 800 203 134 588 — 32,067 Construction and land development Satisfactory (1-4) 16,746 6,914 4,866 7,338 762 3,990 613 41,229 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — 384 384 Total 16,746 6,914 4,866 7,338 762 3,990 997 41,613 Other construction Satisfactory (1-4) 113,512 446,125 176,340 21,713 — — — 757,690 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 113,512 446,125 176,340 21,713 — — — 757,690 One- to four-family residential Satisfactory (1-4) 340,886 219,504 128,509 73,162 39,685 97,236 687 899,669 Watch (5) — — — 179 88 1,341 57 1,665 Special Mention (6) — — — — — — — — Classified (7-9) — — 158 — — 1,832 79 2,069 Total 340,886 219,504 128,667 73,341 39,773 100,409 823 903,403 Other residential Sa |
FDIC-Assisted Acquired Loans
FDIC-Assisted Acquired Loans | 12 Months Ended |
Dec. 31, 2022 | |
FDIC-Assisted Acquired Loans | |
FDIC-Assisted Acquired Loans | Note 4: FDIC-Assisted Acquired Loans On March 20, 2009, Great Southern Bank entered into a purchase and assumption agreement with loss share with the Federal Deposit Insurance Corporation (FDIC) to assume all of the deposits (excluding brokered deposits) and acquire certain assets of TeamBank, N.A., a full service commercial bank headquartered in Paola, Kansas. The related loss sharing agreement was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. On September 4, 2009, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Vantus Bank, a full service thrift headquartered in Sioux City, Iowa. The related loss sharing agreement was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. On October 7, 2011, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Sun Security Bank, a full service bank headquartered in Ellington, Missouri. The related loss sharing agreement was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. On April 27, 2012, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Inter Savings Bank, FSB (“InterBank”), a full service bank headquartered in Maple Grove, Minnesota. The related loss sharing agreement was terminated early, effective June 9, 2017, by mutual agreement of Great Southern Bank and the FDIC. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. On June 20, 2014, Great Southern Bank entered into a purchase and assumption agreement with the FDIC to purchase a substantial portion of the loans and investment securities, as well as certain other assets, and assume all of the deposits, as well as certain other liabilities, of Valley Bank, a full-service bank headquartered in Moline, Illinois, with significant operations in Iowa. This transaction did not include a loss sharing agreement. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. The following table presents the balances of the acquired loans related to the various FDIC-assisted transactions at December 31, 2022 and 2021. Sun Security TeamBank Vantus Bank Bank InterBank Valley Bank (In Thousands) December 31, 2022 Gross loans receivable $ 2,703 $ 3,983 $ 7,221 $ 24,402 $ 12,750 Balance of accretable discount due to change in expected losses — — — — — Net carrying value of loans receivable $ 2,703 $ 3,983 $ 7,221 $ 24,402 $ 12,750 December 31, 2021 Gross loans receivable $ 3,613 $ 5,304 $ 9,405 $ 32,645 $ 23,632 Balance of accretable discount due to change in expected losses (65) (19) (63) (58) (224) Net carrying value of loans receivable $ 3,548 $ 5,285 $ 9,342 $ 32,587 $ 23,408 Fair Value and Expected Cash Flows At the time of these acquisitions, the Company determined the fair value of the loan portfolios based on several assumptions. Factors considered in the valuations were projected cash flows for the loans, type of loan and related collateral, classification status, fixed or variable interest rate, term of loan, current discount rates and whether or not the loan was amortizing. Loans were grouped together according to similar characteristics and were treated in the aggregate when applying various valuation techniques. Management also estimated the amount of credit losses that were expected to be realized for the loan portfolios. The discounted cash flow approach was used to value each pool of loans. For non-performing loans, fair value was estimated by calculating the present value of the recoverable cash flows using a discount rate based on comparable corporate bond rates. The amount of the estimated cash flows expected to be received from the acquired loan pools in excess of the fair values recorded for the loan pools is referred to as the accretable yield. The accretable yield is recognized as interest income over the estimated lives of the loans. As of January 1, 2021, we adopted the new accounting standard related to accounting for credit losses. With the adoption of this standard, discounts are no longer reclassified from non-accretable to accretable. All adjustments made prior to January 1, 2021 continue to be accreted to interest income. The adjustments to accretable yield made prior to 2021, impacted the Company’s Consolidated Statements of Income by $429,000 |
Other Real Estate Owned and Rep
Other Real Estate Owned and Repossessions | 12 Months Ended |
Dec. 31, 2022 | |
Other Real Estate Owned and Repossessions | |
Other Real Estate Owned and Repossessions | Note 5: Other Real Estate Owned and Repossessions Major classifications of other real estate owned at December 31, 2022 and 2021, were as follows: 2022 2021 (In Thousands) Foreclosed assets held for sale and repossessions One- to four-family construction $ — $ — Subdivision construction — — Land development — 315 Commercial construction — — One- to four-family residential — 183 Other residential — — Commercial real estate — — Commercial business — — Consumer 50 90 Foreclosed assets held for sale and repossessions 50 588 Other real estate owned not acquired through foreclosure 183 1,499 Other real estate owned and repossessions $ 233 $ 2,087 At December 31, 2022, other real estate owned not acquired through foreclosure included two properties, both of which were branch locations that were closed and held for sale. During the year ended December 31, 2022, two At December 31, 2021, other real estate owned not acquired through foreclosure included four properties, all of which were branch locations that were closed and held for sale. During the year ended December 31, 2021, one former branch location was added to this category for $1.2 million. During the year ended December 31, 2021, no additional valuation write-downs were recorded on branch locations that were closed and held for sale. At December 31, 2022 and 2021, residential mortgage loans totaling $173,000 and $125,000, respectively, were in the process of foreclosure. Expenses applicable to other real estate owned and repossessions for the years ended December 31, 2022, 2021 and 2020, included the following: 2022 2021 2020 (In Thousands) Net gains on sales of other real estate owned and repossessions $ (149) $ (282) $ (480) Valuation write-downs 23 211 1,320 Operating expenses, net of rental income 485 698 1,183 $ 359 $ 627 $ 2,023 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Premises and Equipment | |
Premises and Equipment | Note 6: Premises and Equipment Major classifications of premises and equipment at December 31, 2022 and 2021, stated at cost, were as follows: 2022 2021 (In Thousands) Land $ 39,622 $ 39,440 Buildings and improvements 105,096 101,207 Furniture, fixtures and equipment 67,505 57,982 Operating leases right of use asset 7,397 7,715 219,620 206,344 Less accumulated depreciation 78,550 73,611 $ 141,070 $ 132,733 Leases. Leases (Topic 842). $7.9 For the years ended December 31, 2022, 2021 and 2020, lease expense was $1.6 million, $1.5 million and $1.6 million, respectively. The Company’s short-term leases related to offsite ATMs have both fixed and variable lease payment components, based on the number of transactions at the various ATMs. The variable portion of these lease payments is not material and the total lease expense related to ATMs was $ 307,000, $ 307,000 and $ 275,000 for the years ended December 31, 2022, 2021 and 2020, respectively. The Company does not sublease any of its leased facilities; however, it does lease to other third parties portions of facilities that it owns. In terms of being the lessor in these circumstances, all of these lease agreements are classified as operating leases. In the years ended December 31, 2022, 2021, and 2020, income recognized from these lease agreements was $1.2 million, $1.2 million, and $1.2 million respectively, and was included in occupancy and equipment expense. At or For the Year Ended December 31, 2022 December 31, 2021 (In Thousands) Statement of Financial Condition Operating leases right of use asset $ 7,397 $ 7,715 Operating leases liability $ 7,599 $ 7,886 Statement of Income Operating lease costs classified as occupancy and equipment expense $ 1,579 $ 1,529 (includes short-term lease costs and amortization of right of use asset) Supplemental Cash Flow Information Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,547 $ 1,483 Right of use assets obtained in exchange for lease obligations: Operating leases $ 618 $ 74 At December 31, 2022, future expected lease payments for leases with terms exceeding one year were as follows (in thousands): 2023 $ 1,199 2024 1,146 2025 1,126 2026 1,064 2027 987 Thereafter 3,206 Future lease payments expected 8,728 Less interest portion of lease payments (1,129) Lease liability $ 7,599 |
Investments in Limited Partners
Investments in Limited Partnerships | 12 Months Ended |
Dec. 31, 2022 | |
Investments in Limited Partnerships | |
Investments in Limited Partnerships | Note 7: Investments in Limited Partnerships Investments in Affordable Housing Partnerships The Company has invested in certain limited partnerships that were formed to develop and operate apartments and single-family houses designed as high-quality affordable housing for lower income tenants throughout Missouri and contiguous states. At December 31, 2022 the Company had 19 such investments, with a net carrying value of $38.4 million. At December 31, 2021 the Company had 16 such investments, with a net carrying value of $25.1 million. Due to the Company’s inability to exercise any significant influence over any of the investments in Affordable Housing Partnerships, they all are accounted for using the proportional amortization method. Each of the partnerships must meet the regulatory requirements for affordable housing for a minimum 15-year compliance period to fully utilize the tax credits. If the partnerships cease to qualify during the compliance period, the credits may be denied for any period in which the projects are not in compliance and a portion of the credits previously taken may be subject to recapture with interest. The remaining federal affordable housing tax credits to be utilized through 2034 were $83.2 million as of December 31, 2022, assuming no tax credit recapture events occur and all projects currently under construction are completed as planned. Amortization of the investments in partnerships is expected to be approximately million, assuming all projects currently under construction are completed and funded as planned. The Company’s usage of federal affordable housing tax credits approximated $ Investments in Community Development Entities The Company has invested in certain limited partnerships that were formed to develop and operate business and real estate projects located in low-income communities. At December 31, 2022 the Company had one such investment, with a net carrying value of . Due to the Company’s inability to exercise any significant influence over any of the investments in qualified Community Development Entities, they are all accounted for using the cost method. Each of the partnerships provides federal New Market Tax Credits over a credit allowance period. In each of the first three years, credits totaling percent of the original investment are allowed on the credit allowance dates. Each of the partnerships must be invested in a qualified Community Development Entity on each of the credit allowance dates during the seven-year period to utilize the tax credits. If the Community Development Entities cease to qualify during the seven-year period, the credits may be denied for any credit allowance date and a portion of the credits previously taken may be subject to recapture with interest. The investments in the Community Development Entities cannot be redeemed before the end of the The Company’s usage of federal New Market Tax Credits approximated $100,000, $100,000 and $100,000 during 2022, 2021 and 2020, respectively. Investment amortization amounted to $ Investments in Limited Partnerships for Federal Rehabilitation/Historic Tax Credits From time to time, the Company has invested in certain limited partnerships that were formed to provide certain federal rehabilitation/historic tax credits. At December 31, 2022 the Company had one such investment, with a net carrying value of $629,000. At December 31, 2021 the Company had one such investment, with a net carrying value of $642,000. Under prior tax law, the Company utilized these credits in their entirety in the year the project was placed in service and the impact to the Consolidated Statements of Income has not been material. Currently, such partnerships provide federal rehabilitation/historic tax credits over a five-year credit allowance period. Investments in Limited Partnerships for State Tax Credits From time to time, the Company has invested in certain limited partnerships that were formed to provide certain state tax credits. The Company has primarily syndicated these tax credits and the impact to the Consolidated Statements of Income has not been material. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2022 | |
Deposits | |
Deposits | Note 8: Deposits Deposits at December 31, 2022 and 2021, are summarized as follows: Weighted Average Interest Rate 2022 2021 (In Thousands, Except Interest Rates) Non-interest-bearing accounts — $ 1,063,588 $ 1,209,822 Interest-bearing checking and savings accounts 0.90% and 0.12% 2,338,535 2,381,210 3,402,123 3,591,032 Certificate accounts 0% - 0.99% 280,784 825,217 1% - 1.99% 125,951 73,563 2% - 2.99% 452,123 55,509 3% - 3.99% 267,231 6,780 4% - 4.99% 156,698 — 5% and above — — 1,282,787 961,069 $ 4,684,910 $ 4,552,101 The weighted average interest rate on certificates of deposit was 2.30% and 0.60% at December 31, 2022 and 2021, respectively. The aggregate amount of certificates of deposit originated by the Bank in denominations greater than $250,000 was approximately $217.4 million and $88.0 million at December 31, 2022 and 2021, respectively. The Bank utilizes brokered deposits as an additional funding source. The aggregate amount of brokered deposits was approximately $ At December 31, 2022, scheduled maturities of certificates of deposit were as follows: Retail Brokered Total (In Thousands) 2023 $ 958,115 $ 112,824 $ 1,070,939 2024 42,099 96,961 139,060 2025 13,748 51,706 65,454 2026 2,967 — 2,967 2027 3,532 — 3,532 Thereafter 835 — 835 $ 1,021,296 $ 261,491 $ 1,282,787 A summary of interest expense on deposits for the years ended December 31, 2022, 2021 and 2020, is as follows: 2022 2021 2020 (In Thousands) Checking and savings accounts $ 6,938 $ 4,023 $ 7,096 Certificate accounts 13,980 9,139 25,453 Early withdrawal penalties (242) (60) (118) $ 20,676 $ 13,102 $ 32,431 |
Advances From Federal Home Loan
Advances From Federal Home Loan Bank | 12 Months Ended |
Dec. 31, 2022 | |
Advances From Federal Home Loan Bank | |
Advances From Federal Home Loan Bank | Note 9: Advances From Federal Home Loan Bank At December 31, 2022 and 2021, there were no outstanding term advances from the Federal Home Loan Bank of Des Moines. At December 31, 2022, there were outstanding overnight borrowings from the Federal Home Loan Bank of Des Moines, which are included in Short-Term Borrowings. The Bank has pledged FHLB stock, investment securities and first mortgage loans free of other pledges, liens and encumbrances as collateral for outstanding advances. No investment securities were specifically pledged as collateral for advances at December 31, 2022 and 2021. Loans with carrying values of approximately billion were pledged as collateral for outstanding advances at December 31, 2022 and 2021, respectively. The Bank had |
Short-Term Borrowings
Short-Term Borrowings | 12 Months Ended |
Dec. 31, 2022 | |
Short-Term Borrowings. | |
Short-Term Borrowings | Note 10: Short-Term Borrowings Short-term borrowings at December 31, 2022 and 2021, are summarized as follows: 2022 2021 (In Thousands) Notes payable – Community Development Equity Funds $ 1,083 $ 1,449 Other interest-bearing liabilities — 390 Securities sold under reverse repurchase agreements 176,843 137,116 Overnight borrowings from the Federal Home Loan Bank 88,500 — $ 266,426 $ 138,955 The Bank enters into sales of securities under agreements to repurchase (reverse repurchase agreements). Reverse repurchase agreements are treated as financings, and the obligations to repurchase securities sold are reflected as a liability in the statements of financial condition. The dollar amount of securities underlying the agreements remains in the asset accounts. Securities underlying the agreements are being held by the Bank during the agreement period. All agreements are written on a term of one-month or less. At December 31, 2021, other interest-bearing liabilities consisted of cash collateral held by the Company to satisfy minimum collateral posting thresholds with its derivative dealer counterparties representing the termination value of derivatives, which at such time were in a net asset position. Under the collateral agreements between the parties, either party may choose to provide cash or securities to satisfy its collateral requirements. At December 31, 2022, the Company posted cash collateral to its derivative dealer counterparties as the derivatives were in a net liability position. Short-term borrowings had weighted average interest rates of 2.16% at December 31, 2022, compared to 0.02% at December 31, 2021. Short-term borrowings averaged approximately $181.1 million and $145.3 million for the years ended December 31, 2022 and 2021, respectively. The maximum amounts outstanding at any month end were The following table represents the Company’s securities sold under reverse repurchase agreements, which contractually mature daily, at December 31, 2022 and 2021: 2022 2021 (In Thousands) Mortgage-backed securities – GNMA, FNMA, FHLMC $ 176,843 $ 137,116 |
Federal Reserve Bank Borrowings
Federal Reserve Bank Borrowings | 12 Months Ended |
Dec. 31, 2022 | |
Federal Reserve Bank Borrowings | |
Federal Reserve Bank Borrowings | Note 11: Federal Reserve Bank Borrowings At December 31, 2022 and 2021, the Bank had $397.0 million and $352.4 million, respectively, available under a line-of-credit borrowing arrangement with the Federal Reserve Bank. The line is secured primarily by consumer and commercial loans. There were |
Subordinated Debentures Issued
Subordinated Debentures Issued to Capital Trusts | 12 Months Ended |
Dec. 31, 2022 | |
Subordinated Debentures Issued to Capital Trusts | |
Subordinated Debentures Issued to Capital Trusts | Note 12: Subordinated Debentures Issued to Capital Trusts In November 2006, Great Southern Capital Trust II (Trust II), a statutory trust formed by the Company for the purpose of issuing the securities, issued a $25.0 million aggregate liquidation amount of floating rate cumulative trust preferred securities. The Trust II securities bear a floating distribution rate equal to 90-day LIBOR plus . The Trust II securities became redeemable at the Company’s option in February 2012, and if not sooner redeemed, mature on February 1, 2037. The Trust II securities were sold in a private transaction exempt from registration under the Securities Act of 1933, as amended. The gross proceeds of the offering were used to purchase Junior Subordinated Debentures from the Company totaling million and bearing an interest rate identical to the distribution rate on the Trust II securities. The initial interest rate on the Trust II debentures was . The interest rate was At December 31, 2022 and 2021, subordinated debentures issued to capital trusts were as follows: 2022 2021 (In Thousands) Subordinated debentures $ 25,774 $ 25,774 |
Subordinated Notes
Subordinated Notes | 12 Months Ended |
Dec. 31, 2022 | |
Subordinated Notes | |
Subordinated Notes | Note 13: Subordinated Notes On August 8, 2016, the Company completed the public offering and sale of $75.0 million of its subordinated notes. The notes were due August 15, 2026 and had a fixed interest rate of 5.25% until August 15, 2021, at which time the rate was to become floating at a rate equal to three-month LIBOR plus 4.087%. The notes were sold at par, resulting in net proceeds, after underwriting discounts and commissions, legal, accounting and other professional fees, of approximately $73.5 million. Total debt issuance costs of approximately five On August 15, 2021, in accordance with the terms of the notes, the Company redeemed all $75.0 million aggregate principal amount of the notes at a redemption price equal to 100% of their principal amount, plus accrued and unpaid interest. On June 10, 2020, the Company completed the public offering and sale of $75.0 million of its subordinated notes. The notes are due June 15, 2030, and have a fixed interest rate of . The Company may call the notes at par beginning on June 15, 2025, and on any scheduled interest payment date thereafter. The notes were sold at par, resulting in net proceeds, after underwriting discounts and commissions, legal, accounting and other professional fees, of approximately million. Total debt issuance costs of approximately Amortization of the debt issuance costs during the years ended December 31, 2022 and 2021, totaled $293,000 and $587,000, respectively, and is included in interest expense on subordinated notes in the consolidated statements of income, resulting in an imputed interest rate of 5.95 % and 5.97%, respectively. At December 31, 2022 and 2021, subordinated notes are summarized as follows: 2022 2021 (In Thousands) Subordinated notes $ 75,000 $ 75,000 Less: unamortized debt issuance costs 719 1,016 $ 74,281 $ 73,984 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Taxes | |
Income Taxes | Note 14: Income Taxes The Company files a consolidated federal income tax return. As of December 31, 2022 and 2021, retained earnings included approximately million for which no deferred income tax liability had been recognized. This amount represents an allocation of income to bad debt deductions for tax purposes only for tax years prior to 1988. If the Bank were to liquidate, the entire amount would have to be recaptured and would create income for tax purposes only, which would be subject to the then-current corporate income tax rate. The unrecorded deferred income tax liability on the above amount was approximately During the years ended December 31, 2022, 2021 and 2020, the provision for income taxes included these components: 2022 2021 2020 (In Thousands) Taxes currently payable $ 15,769 $ 16,025 $ 25,259 Deferred income taxes (benefit) 2,485 3,712 (11,480) Income taxes $ 18,254 $ 19,737 $ 13,779 The tax effects of temporary differences related to deferred taxes shown on the statements of financial condition were: December 31, 2022 2021 (In Thousands) Deferred tax assets Allowance for credit losses $ 15,618 $ 13,854 Liability for unfunded commitments 3,153 2,196 Interest on nonperforming loans 66 98 Accrued expenses 1,341 1,227 Write-down of foreclosed assets — 35 Write-down of fixed assets 67 62 Unrealized loss on available-for-sale securities 15,407 — Unrealized loss on active cash flow derivatives 7,695 — Income recognized for tax in excess of book related to terminated cash flow derivatives 5,530 6,978 Deferred income 290 298 Difference in basis for acquired assets and liabilities 686 893 49,853 25,641 Deferred tax liabilities Tax depreciation in excess of book depreciation (8,210) (5,681) FHLB stock dividends (337) (313) Partnership tax credits (668) (251) Prepaid expenses (1,196) (883) Unrealized gain on securities transferred to held-to-maturity securities (29) — Unrealized gain on available-for-sale securities — (2,698) Unrealized gain on terminated cash flow derivatives (5,530) (6,978) Other (235) (328) (16,205) (17,132) Net deferred tax asset $ 33,648 $ 8,509 Reconciliations of the Company’s effective tax rates from continuing operations to the statutory corporate tax rates were as follows: 2022 2021 2020 Tax at statutory rate 21.0 % 21.0 % 21.0 % Nontaxable interest and dividends (0.5) (0.3) (0.5) Tax credits (1.6) (1.8) (3.8) State taxes 1.8 1.3 1.4 Deferred tax rate change benefit (0.6) — — Other (0.7) 0.7 0.8 19.4 % 20.9 % 18.9 % The Company and its consolidated subsidiaries have not been audited recently by the Internal Revenue Service (IRS). As a result, federal tax years through December 31, 2018 are now closed. The Company was previously under State of Missouri income and franchise tax examinations for its 2014 and 2015 tax years. The examinations concluded with one unresolved issue related to the exclusion of certain income in the calculation of Missouri income tax. The Missouri Department of Revenue denied the Company’s administrative protest regarding the 2014 and 2015 tax years’ examinations. In June 2021, the Company filed a formal protest with the Missouri Administrative Hearing Commission (MAHC), which has special jurisdiction to hear tax matters and is similar to a trial court, to continue defending the Company’s rights and associated tax position. The Company has engaged legal and tax advisors and continues to believe it will ultimately prevail on the issue; however, if the Company does not prevail, the tax obligation to the State of Missouri could be up to a total of $4.0 million for these tax years and additional amounts could be levied for subsequent tax years. The MAHC received documents from each party but no hearings have occurred to date. The State of Illinois Department of Revenue recently completed a tax examination of the Company’s Illinois Business Income Tax for the 2018 and 2019 tax years. There were no proposed material changes to the returns. |
Disclosures About Fair Value of
Disclosures About Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2022 | |
Disclosures About Fair Value of Financial Instruments | |
Disclosures About Fair Value of Financial Instruments | Note 15: Disclosures About Fair Value of Financial Instruments ASC Topic 820, Fair Value Measurements ● Quoted prices in active markets for identical assets or liabilities (Level 1): Inputs that are quoted unadjusted prices in active markets for identical assets that the Company has the ability to access at the measurement date. An active market for the asset is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. ● Other observable inputs (Level 2): Inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity including quoted prices for similar assets, quoted prices for securities in inactive markets and inputs derived principally from or corroborated by observable market data by correlation or other means. ● Significant unobservable inputs (Level 3): Inputs that reflect assumptions of a source independent of the reporting entity or the reporting entity’s own assumptions that are supported by little or no market activity or observable inputs. Financial instruments are broken down by recurring or nonrecurring measurement status. Recurring assets are initially measured at fair value and are required to be remeasured at fair value in the financial statements at each reporting date. Assets measured on a nonrecurring basis are assets that, due to an event or circumstance, were required to be remeasured at fair value after initial recognition in the financial statements at some time during the reporting period. The Company considers transfers between the levels of the hierarchy to be recognized at the end of related reporting periods. Recurring Measurements The following table presents the fair value measurements of assets recognized in the accompanying balance sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at December 31, 2022 and 2021: Fair Value Measurements Using Quoted Prices in Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) (In Thousands) December 31, 2022 Available-for-sale securities Agency mortgage-backed securities $ 286,482 $ — $ 286,482 $ — Agency collateralized mortgage obligations 78,474 — 78,474 — States and political subdivisions securities 57,495 — 57,495 — Small Business Administration securities 68,141 — 68,141 — Interest rate derivative asset 11,061 — 11,061 — Interest rate derivative liability (42,097) — (42,097) — December 31, 2021 Available-for-sale securities Agency mortgage-backed securities $ 229,441 $ — $ 229,441 $ — Agency collateralized mortgage obligations 204,277 — 204,277 — States and political subdivisions securities 40,015 — 40,015 — Small Business Administration securities 27,299 — 27,299 — Interest rate derivative asset 2,816 — 2,816 — Interest rate derivative liability (2,895) — (2,895) — The following is a description of inputs and valuation methodologies used for assets recorded at fair value on a recurring basis and recognized in the accompanying statements of financial condition at December 31, 2022 and 2021, as well as the general classification of such assets pursuant to the valuation hierarchy. There have been no significant changes in the valuation techniques during the year ended December 31, 2022. Available-for-Sale Securities Investment securities available-for-sale are recorded at fair value on a recurring basis. The fair values used by the Company are obtained from an independent pricing service, which represent either quoted market prices for the identical asset or fair values determined by pricing models, or other model-based valuation techniques, that consider observable market data, such as interest rate volatilities, LIBOR/SOFR yield curve, credit spreads and prices from market makers and live trading systems. Recurring Level 2 securities include U.S. government agency securities, mortgage-backed securities, state and municipal bonds and certain other investments. Inputs used for valuing Level 2 securities include observable data that may include dealer quotes, benchmark yields, market spreads, live trading levels and market consensus prepayment speeds, among other things. Additional inputs include indicative values derived from the independent pricing service’s proprietary computerized models. There were no recurring Level 3 securities at December 31, 2022 or December 31, 2021. Interest Rate Derivatives The fair value is estimated using forward-looking interest rate curves and is determined using observable market rates and, therefore, are classified within Level 2 of the valuation hierarchy. Nonrecurring Measurements The following tables present the fair value measurement of assets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at December 31, 2022 and 2021: Fair Value Measurements Using Quoted Prices in Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) (In Thousands) December 31, 2022 Collateral-dependent loans $ 785 $ — $ — $ 785 Foreclosed assets held for sale $ — $ — $ — $ — December 31, 2021 Collateral-dependent loans $ 1,712 $ — $ — $ 1,712 Foreclosed assets held for sale $ 315 $ — $ — $ 315 Following is a description of the valuation methodologies used for assets measured at fair value on a nonrecurring basis and recognized in the accompanying statements of financial condition, as well as the general classification of such assets pursuant to the valuation hierarchy. For assets classified within Level 3 of the fair value hierarchy, the process used to develop the reported fair value is described below. Loans Held for Sale Mortgage loans held for sale are recorded at the lower of carrying value or fair value. The fair value of mortgage loans held for sale is based on what secondary markets are currently offering for portfolios with similar characteristics. As such, the Company classifies mortgage loans held for sale as Nonrecurring Level 2. Write-downs to fair value typically do not occur as the Company generally enters into commitments to sell individual mortgage loans at the time the loan is originated to reduce market risk. The Company typically does not have commercial loans held for sale. At December 31, 2022 and 2021, the aggregate fair value of mortgage loans held for sale was not materially different than their cost. Accordingly, no mortgage loans held for sale were marked down and reported at fair value. Collateral-Dependent Loans When the Company has a specific expectation to initiate, or has initiated, foreclosure proceedings, and when the repayment of a loan is expected to be substantially dependent on the liquidation of underlying collateral, the relationship is deemed collateral-dependent. The fair value of collateral used by the Company was determined by obtaining an observable market price or by obtaining an appraised value from an independent, licensed or certified appraiser, using observable market data. This data included information such as selling price of similar properties and capitalization rates of similar properties sold within the market, expected future cash flows or earnings of the subject property based on current market expectations, and other relevant factors. All appraised values were adjusted for market-related trends based on the Company’s experience in sales and other appraisals of similar property types as well as estimated selling costs. Each quarter, management reviewed all collateral-dependent impaired loans on a loan-by-loan basis to determine whether updated appraisals were necessary based on loan performance, collateral type and guarantor support. At times, the Company measured the fair value of collateral-dependent impaired loans using appraisals with dates more than one year prior to the date of review. These appraisals were discounted by applying current, observable market data about similar property types such as sales contracts, estimations of value by individuals familiar with the market, other appraisals, sales or collateral assessments based on current market activity until updated appraisals are obtained. Depending on the length of time since an appraisal was performed and the data provided through our reviews, these appraisals were typically discounted 10-40%. The policy described above was the same for all types of collateral-dependent loans. The Company records collateral-dependent loans as Nonrecurring Level 3. If a loan’s fair value as estimated by the Company is less than its carrying value, the Company either records a charge-off of the portion of the loan that exceeds the fair value or establishes a reserve within the allowance for credit losses specific to the loan. Loans for which such charge-offs or reserves were recorded during the years ended December 31, 2022 and December 31, 2021, are shown in the table above (net of reserves). Foreclosed Assets Held for Sale Foreclosed assets held for sale are initially recorded at fair value less estimated cost to sell at the date of foreclosure. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less estimated cost to sell. Foreclosed assets held for sale are classified within Level 3 of the fair value hierarchy. The foreclosed assets represented in the table above have been re-measured during the years ended December 31, 2022 and 2021, subsequent to their initial transfer to foreclosed assets. Fair Value of Financial Instruments The following methods were used to estimate the fair value of all other financial instruments recognized in the accompanying statements of financial condition at amounts other than fair value. Cash and Cash Equivalents and Federal Home Loan Bank Stock The carrying amount approximates fair value. Held-to-Maturity Securities Fair values for held-to-maturity securities are estimated based on quoted market prices of similar securities. For these securities, the Company obtains fair value measurements from an independent pricing service, which represent either quoted market prices for the identical asset or fair values determined by pricing models, or other model-based valuation techniques, that consider observable market data, such as interest rate volatilities, LIBOR/SOFR yield curve, credit spreads and prices from market makers and live trading systems. These securities include U.S. government agency securities, mortgage-backed securities, state and municipal bonds and certain other investments. Loans and Interest Receivable The fair value of loans is estimated on an exit price basis incorporating contractual cash flow, prepayments discount spreads, credit loss and liquidity premiums. Loans with similar characteristics are aggregated for purposes of the calculations. The carrying amount of accrued interest receivable approximates its fair value. Deposits and Accrued Interest Payable The fair value of demand deposits and savings accounts is the amount payable on demand at the reporting date, i.e., their carrying amounts. The fair value of fixed maturity certificates of deposit is estimated using a discounted cash flow calculation using the average advances yield curve from 11 districts of the FHLB for the as of date. The carrying amount of accrued interest payable approximates its fair value. Short-Term Borrowings The carrying amount approximates fair value. Subordinated Debentures Issued to Capital Trusts The subordinated debentures have floating rates that reset quarterly. The carrying amount of these debentures approximates their fair value. Subordinated Notes The fair values used by the Company are obtained from independent sources and are derived from quoted market prices of the Company’s subordinated notes and quoted market prices of other subordinated debt instruments with similar characteristics. Commitments to Originate Loans, Letters of Credit and Lines of Credit The fair value of commitments is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed rate loan commitments, fair value also considers the difference between current levels of interest rates and the committed rates. The fair value of letters of credit is based on fees currently charged for similar agreements or on the estimated cost to terminate them or otherwise settle the obligations with the counterparties at the reporting date. The following table presents estimated fair values of the Company’s financial instruments not recorded at fair value in the financial statements. The fair values of certain of these instruments were calculated by discounting expected cash flows, which method involves significant judgments by management and uncertainties. Fair value is the estimated amount at which financial assets or liabilities could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. Because no market exists for certain of these financial instruments and because management does not intend to sell these financial instruments, the Company does not know whether the fair values shown below represent values at which the respective financial instruments could be sold individually or in the aggregate. December 31, 2022 December 31, 2021 Carrying Fair Hierarchy Carrying Fair Hierarchy Amount Value Level Amount Value Level (Dollars in Thousands) Financial assets Cash and cash equivalents $ 168,520 $ 168,520 1 $ 717,267 $ 717,267 1 Held-to-maturity securities 202,495 177,765 2 — — 2 Mortgage loans held for sale 4,811 4,811 2 8,735 8,735 2 Loans, net of allowance for credit losses 4,506,836 4,391,084 3 4,007,500 4,001,362 3 Interest receivable 19,107 19,107 3 10,705 10,705 3 Investment in FHLB stock and other assets 30,814 30,814 3 6,655 6,655 3 Financial liabilities Deposits 4,684,910 4,672,913 3 4,552,101 4,552,202 3 Short-term borrowings 266,426 266,426 3 138,955 138,955 3 Subordinated debentures 25,774 25,774 3 25,774 25,774 3 Subordinated notes 74,281 72,000 2 73,984 81,000 2 Interest payable 3,010 3,010 3 646 646 3 Unrecognized financial instruments (net of contractual value) Commitments to originate loans — — 3 — — 3 Letters of credit 73 73 3 50 50 3 Lines of credit — — 3 — — 3 |
Derivatives and Hedging Activit
Derivatives and Hedging Activities | 12 Months Ended |
Dec. 31, 2022 | |
Derivatives and Hedging Activities | |
Derivatives and Hedging Activities | Risk Management Objective of Using Derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity and credit risk, primarily by managing the amount, sources and duration of its assets and liabilities. In the normal course of business, the Company may use derivative financial instruments (primarily interest rate swaps) from time to time to assist in its interest rate risk management. The Company has interest rate derivatives that result from a service provided to certain qualifying loan customers that are not used to manage interest rate risk in the Company’s assets or liabilities and are not designated in a qualifying hedging relationship. The Company manages a matched book with respect to its derivative instruments in order to minimize its net risk exposure resulting from such transactions. In addition, the Company has interest rate derivatives that were designated in a qualified hedging relationship. Nondesignated Hedges The Company has interest rate swaps that are not designated in a qualifying hedging relationship. Derivatives not designated as hedges are not speculative and result from a service the Company provides to certain loan customers. The Company executes interest rate swaps with commercial banking customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously hedged by offsetting interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. At December 31, 2022, the Company had six interest rate swaps and one interest rate cap totaling $107.0 million in notional amount with commercial customers, and six interest rate swaps and one interest rate cap with the same notional amount with third parties related to its program. In addition, at December 31, 2022, the Company had million, in which the lead institution has an interest rate swap with their customer and the economics of the counterparty swap are passed along to the Company through the loan participation. At December 31, 2021, the Company had amount with third parties related to its program. In addition, at December 31, 2021, the Company had and Cash Flow Hedges Interest Rate Swap. In March 2020, the Company and its swap counterparty mutually agreed to terminate the $400 million interest rate swap prior to its contractual maturity. The Company was paid $45.9 million from its swap counterparty as a result of this termination. This million, less the accrued interest portion and net of deferred income taxes, was reflected in the Company’s stockholders’ equity as Accumulated Other Comprehensive Income and a portion of it is being accreted to interest income on loans monthly through the original contractual termination date of October 6, 2025. This has the effect of reducing Accumulated Other Comprehensive Income and increasing Net Interest Income and Retained Earnings over the period. The Company recorded interest income of $8.1 million and $7.7 million on this interest rate swap during the years ended December 31, 2022, 2021 and 2020, respectively. At December 31, 2022, the Company expected to have a sufficient amount of eligible variable rate loans to continue to accrete this interest income in future periods. If this expectation changes and the amount of eligible variable rate loans decreases significantly, the Company may be required to recognize this interest income more rapidly. In March 2022, the Company entered into an interest rate swap transaction as part of its ongoing interest rate management strategies to hedge the risk of its floating rate loans. The notional amount of the swap is $300 million, with a termination date of March 1, 2024. Under the terms of the swap, the Company receives a fixed rate of interest of 1.6725% and pays a floating rate of interest equal to one-month USD-LIBOR (or the equivalent replacement rate if USD-LIBOR rate is not available). The floating rate resets monthly and net settlements of interest due to/from the counterparty also occur monthly. The floating rate of interest was 4.142% as of December 31, 2022. To the extend the floating rate of interest exceeds the fixed rate of interest, the Company will be required to pay net settlements to the counterparty and will record those net payments as a reduction of interest income on loans. If the fixed rate of interest exceeds the floating rate of interest, the Company will receive net interest settlements, which will be recorded as loan interest income. The Company recorded a reduction of loan interest income related to this swap transaction of $941,000 for the year ended December 31, 2022. In July 2022, the Company entered into two additional interest rate swap transactions as part of its ongoing interest rate management strategies to hedge the risk of its floating rate loans. The notional amount of each swap is $200 million with an effective date of May 1, 2023 The effective portion of the gain or loss on the derivative is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affected earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Statements of Financial Condition: Location in Fair Value Consolidated Statements December 31, December 31, of Financial Condition 2022 2021 (In Thousands) Derivatives designated as hedging instruments Derivative Liabilities Active interest rate swaps Accrued expenses and other liabilities $ 31,277 $ — Total derivatives designated as hedging instruments $ 31,277 $ — Derivatives not designated as hedging instruments Derivative Assets Interest rate products Prepaid expenses and other assets $ 11,061 $ 2,816 Total derivatives not designated as hedging instruments $ 11,061 $ 2,816 Derivative Liabilities Interest rate products Accrued expenses and other liabilities $ 10,820 $ 2,895 Total derivatives not designated as hedging instruments $ 10,820 $ 2,895 The following table presents the effect of cash flow hedge accounting on the statements of comprehensive income: Amount of Gain (Loss) Recognized in AOCI Year Ended December 31 Cash Flow Hedges 2022 2021 2020 (In Thousands) Terminated interest rate swaps, net of income taxes $ (6,271) $ (6,271) $ 6,691 Active interest rate swaps, net of income taxes (23,582) — — $ (29,853) $ (6,271) $ 6,691 The following table presents the effect of cash flow hedge accounting on the statements of operations: Year Ended December 31 Cash Flow Hedges 2022 2021 2020 Interest Interest Interest Interest Interest Interest Income Expense Income Expense Income Expense (In Thousands) Terminated interest rate swaps $ 8,123 $ — $ 8,123 $ — $ 7,676 $ — Active interest rate swaps (941) — — — — — $ 7,182 $ — $ 8,123 $ — $ 7,676 $ — Agreements with Derivative Counterparties The Company has agreements with its derivative counterparties. If the Company defaults on any of its indebtedness, including a default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. If the Bank fails to maintain its status as a well-capitalized institution, then the counterparty could terminate the derivative positions and the Company would be required to settle its obligations under the agreements. Similarly, the Company could be required to settle its obligations under certain of its agreements if certain regulatory events occurred, such as the issuance of a formal directive, or if the Company’s credit rating is downgraded below a specified level. At December 31, 2022, the termination value of derivatives with our derivative dealer counterparties (related to loan level swaps with commercial lending customers) in a net asset position, which included accrued interest but excluded any adjustment for nonperformance risk, related to these agreements was $242,000. Additionally, the Company’s activity with one of its derivative counterparties met the level at which the minimum collateral posting thresholds take effect (collateral to be given by the Company) and the Company had posted collateral of $20.7 million to the derivative counterparty to satisfy the loan level agreements. At December 31, 2021, the termination value of derivatives with our derivative dealer counterparties (related to loan level swaps with commercial lending customers) in a net liability position, which included accrued interest but excluded any adjustment for nonperformance risk, related to these agreements was $437,000. Additionally, the Company’s activity with one of its derivative counterparties met the level at which the minimum collateral posting thresholds take effect (collateral to be given by the Company) and the Company had posted collateral of $1.2 million to the derivative counterparties to satisfy the loan level agreements. The Bank also received cash collateral from another derivative counterparty of $390,000 to cover its fair value position with us. If the Company had breached any of these provisions at December 31, 2022 or December 31, 2021, it could have been required to settle its obligations under the agreements at the termination value. |
Commitments and Credit Risk
Commitments and Credit Risk | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Credit Risk | |
Commitments and Credit Risk | Note 17: Commitments and Credit Risk Commitments to Originate Loans Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since a significant portion of the commitments may expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon extension of credit, is based on management’s credit evaluation of the counterparty. Collateral held varies but may include accounts receivable, inventory, property and equipment, commercial real estate and residential real estate. At December 31, 2022 and 2021, the Bank had outstanding commitments to originate loans and fund commercial construction loans aggregating approximately $97.1 million and $159.7 million, respectively. The commitments extend over varying periods of time with the majority being disbursed within a 30- to 180-day period. Mortgage loans in the process of origination represent amounts that the Bank plans to fund within a normal period of 60 to 90 days, many of which are intended for sale to investors in the secondary market. Total mortgage loans in the process of origination amounted to approximately Letters of Credit Standby letters of credit are irrevocable conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Financial standby letters of credit are primarily issued to support public and private borrowing arrangements, including commercial paper, bond financing and similar transactions. Performance standby letters of credit are issued to guarantee performance of certain customers under nonfinancial contractual obligations. The credit risk involved in issuing standby letters of credit is essentially the same as that involved in extending loans to customers. Fees for letters of credit issued are initially recorded by the Bank as deferred revenue and are included in earnings at the termination of the respective agreements. Should the Bank be obligated to perform under the standby letters of credit, the Bank may seek recourse from the customer for reimbursement of amounts paid. The Company had total outstanding standby letters of credit amounting to approximately $16.7 million and $13.4 million at December 31, 2022 and 2021, respectively, with no letters of credit having terms over five years. Lines of Credit Lines of credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Lines of credit generally have fixed expiration dates. Since a portion of the line may expire without being drawn upon, the total unused lines do not necessarily represent future cash requirements. The Bank evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon extension of credit, is based on management’s credit evaluation of the counterparty. Collateral held varies but may include accounts receivable, inventory, property and equipment, commercial real estate and residential real estate. The Bank uses the same credit policies in granting lines of credit as it does for on-balance-sheet instruments. At December 31, 2022, the Bank had granted unused lines of credit to borrowers aggregating approximately $1.8 billion and $199.2 million for commercial lines and open-end consumer lines, respectively. At December 31, 2021, the Bank had granted unused lines of credit to borrowers aggregating approximately $1.3 billion and $175.7 million for commercial lines and open-end consumer lines, respectively. Credit Risk The Bank grants collateralized commercial, real estate and consumer loans primarily to customers in its market areas. Although the Bank has a diversified portfolio, loans (including the FDIC-assisted acquired loans) aggregating approximately |
Additional Cash Flow Informatio
Additional Cash Flow Information | 12 Months Ended |
Dec. 31, 2022 | |
Additional Cash Flow Information | |
Additional Cash Flow Information | Note 18: Additional Cash Flow Information Year Ended December 31, 2022 2021 2020 (In Thousands) Noncash Investing and Financing Activities Real estate acquired in settlement of loans $ 371 $ 1,154 $ 1,707 Transfer of available-for-sale securities to held-to-maturity 226 — — Sale and financing of foreclosed assets — — 625 Conversion of premises and equipment to foreclosed assets — 1,215 80 Dividends declared but not paid 4,893 4,727 4,676 Additional Cash Payment Information Interest paid 24,999 22,700 42,221 Income taxes paid 10,258 12,959 18,755 |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2022 | |
Employee Benefits | |
Employee Benefits | Note 19: Employee Benefits The Company participates in the Pentegra Defined Benefit Plan for Financial Institutions (Pentegra DB Plan), a multiemployer defined benefit pension plan covering all employees who have met minimum service requirements. Effective July 1, 2006, this plan was closed to new participants. Employees already in the plan continue to accrue benefits. The Pentegra DB Plan’s Employer Identification Number is 13-5645888 and the Plan Number is 333. The Company’s policy is to fund pension cost accrued. Employer contributions charged to expense for this plan for the years ended December 31, 2022, 2021 and 2020, were approximately million and million, respectively. The Company’s contributions to the Pentegra DB Plan were not more than of the total contributions to the plan. The funded status of the plan as of July 1, 2022 and 2021, was , respectively. The funded status was calculated by taking the market value of plan assets, which reflected contributions received through June 30, 2022 and 2021, respectively, divided by the funding target. No collective bargaining agreements are in place that require contributions to the Pentegra DB Plan. The Company has a defined contribution retirement plan covering substantially all employees. The Company matches contribution on the next 2% of the employee’s compensation. Employer contributions charged to expense for this plan for the years ended December 31, 2022, 2021 and 2020, were approximately |
Stock Compensation Plans
Stock Compensation Plans | 12 Months Ended |
Dec. 31, 2022 | |
Stock Compensation Plans | |
Stock Compensation Plans | Note 20: Stock Compensation Plans The Company established the 2003 Stock Option and Incentive Plan (the “2003 Plan”) for employees and directors of the Company and its subsidiaries. Under the plan, stock options or other awards could be granted with respect to shares of common stock. On May 15, 2013, the Company’s stockholders approved the Great Southern Bancorp, Inc. 2013 Equity Incentive Plan (the “2013 Plan”). Upon the stockholders’ approval of the 2013 Plan, the Company’s 2003 Plan was frozen. As a result, no new stock options or other awards may be granted under the 2003 Plan; however, existing outstanding awards under the 2003 Plan were not affected. At December 31, 2022, The Company established the 2013 Plan for employees and directors of the Company and its subsidiaries. Under the plan, stock options or other awards could be granted with respect to shares of common stock. On May 9, 2018, the Company’s stockholders approved the Great Southern Bancorp, Inc. 2018 Omnibus Incentive Plan (the “2018 Plan”). Upon the stockholders’ approval of the 2018 Plan, the 2013 Plan was frozen. As a result, no new stock options or other awards may be granted under the 2013 Plan; however, existing outstanding awards under the 2013 Plan were not affected. At December 31, 2022, The Company established the 2018 Plan for employees and directors of the Company and its subsidiaries. Under the plan, stock options or other awards could be granted with respect to shares of common stock. On May 11, 2022, the Company’s stockholders approved the Great Southern Bancorp, Inc. 2022 Omnibus Incentive Plan (the “2022 Plan”). Upon the stockholders’ approval of the 2022 Plan, the 2018 Plan was frozen. As a result, no new stock options or other awards may be granted under the 2018 Plan; however, existing outstanding awards under the 2018 Plan were not affected. At December 31, 2022, The 2022 Plan provides for the grant from time to time to directors, emeritus directors, officers, employees and advisory directors of stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares and performance units. The number of shares of common stock available for awards under the 2022 Plan is (the “2022 Plan Limit”). Shares utilized for awards other than stock options and stock appreciation rights will be counted against the 2022 Plan Limit on a -to-1 basis. At December 31, 2022, Stock options may be either incentive stock options or nonqualified stock options, and the option price must be at least equal to the fair value of the Company’s common stock on the date of grant. Options generally are granted for a 10 commencing two years from the date of grant. The Stock Option Committee has discretion to accelerate a participant’s right to exercise an option. Stock awards may be granted upon terms and conditions determined solely at the discretion of the Stock Option Committee. The table below summarizes transactions under the Company’s stock compensation plans, all of which related to stock options granted under such plans: Shares Weighted Available Under Average to Grant Option Exercise Price Balance, January 1, 2020 436,900 807,868 $ 49.139 Granted from 2018 Plan (196,350) 196,350 41.740 Exercised — (21,436) 33.805 Forfeited from terminated plan(s) — (6,875) 38.849 Forfeited from current plan(s) 4,800 (4,800) 57.513 Balance, December 31, 2020 245,350 971,107 48.079 Granted from 2018 Plan (202,700) 202,700 57.980 Exercised — (91,285) 40.532 Forfeited from terminated plan(s) — (5,197) 44.563 Forfeited from current plan(s) 44,022 (44,022) 52.256 Balance, December 31, 2021 86,672 1,033,303 50.528 Granted from 2018 Plan (2,500) 2,500 61.550 Forfeited from terminated plan(s) 39,235 (39,235) 52.523 Termination of 2018 Plan (123,407) — — Available to Grant from 2022 Plan 800,000 — — Granted from 2022 Plan (205,900) 205,900 61.505 Exercised — (136,801) 42.149 Forfeited from current plan(s) 750 (750) 61.550 Balance, December 31, 2022 594,850 1,064,917 $ 53.671 The Company’s stock option grants contain terms that provide for a graded vesting schedule whereby portions of the options vest in increments over the requisite service period. These options typically vest one-fourth at the end of each of years two, three, four and five from the grant date. As provided for under FASB ASC 718, the Company has elected to recognize compensation expense for options with graded vesting schedules on a straight-line basis over the requisite service period for the entire option grant. In addition, ASC 718 requires companies to recognize compensation expense based on the estimated number of stock options for which service is expected to be rendered. The Company’s historical forfeitures of its share-based awards have not been significant. Forfeitures are estimated annually based on historical information. The fair value of each option award is estimated on the date of the grant using the Black-Scholes option pricing model with the following assumptions for the years ended December 31, 2022, 2021 and 2020: 2022 2021 2020 Expected dividends per share $ 1.60 $ 1.44 $ 1.36 Risk-free interest rate 3.77 % 1.24 % 0.35 % Expected life of options 6 years 5 years 5 years Expected volatility 23.70 % 28.33 % 29.32 % Weighted average fair value of options granted during year $ 13.46 $ 11.56 $ 7.30 Expected volatilities are based on the historical volatility of the Company’s stock, based on the monthly closing stock price. The expected life of options granted is based on actual historical exercise behavior of all employees and directors and approximates the graded vesting period of the options. Expected dividends are based on the annualized dividends declared at the time of the option grant. For 2022, the risk-free interest rate is based on the average of the five-year treasury rate and the seven-year treasury rate on the grant date of the options. For 2021 and 2020, the risk-free interest rate is based on the five-year treasury rate on the grant date of the options. The following table presents the activity related to options under all plans for the year ended December 31, 2022: Weighted Weighted Average Average Remaining Exercise Contractual Options Price Term Options outstanding, January 1, 2022 1,033,303 $ 50.528 7.05 years Granted 208,400 61.506 Exercised (136,801) 42.149 Forfeited (39,985) 52.692 Options outstanding, December 31, 2022 1,064,917 53.671 7.13 years Options exercisable, December 31, 2022 428,073 $ 50.098 5.00 years For the years ended December 31, 2022, 2021 and 2020, options granted were 208,400, 202,700, and 196,350 , respectively. The total intrinsic value (amount by which the fair value of the underlying stock exceeds the exercise price of an option on exercise date) of options exercised during the years ended December 31, 2022, 2021 and 2020, was , respectively. Cash received from the exercise of options for the years ended December 31, 2022, 2021 and 2020, was $661,000 , respectively. The actual tax benefit realized for the tax deductions from option exercises totaled for the years ended December 31, 2022, 2021 and 2020, respectively. The total intrinsic value of options outstanding at December 31, 2022, 2021 and 2020, was million, respectively. The total intrinsic value of options exercisable at December 31, 2022, 2021 and 2020, was The following table presents the activity related to nonvested options under all plans for the year ended December 31, 2022. Weighted Weighted Average Average Exercise Grant Date Options Price Fair Value Nonvested options, January 1, 2022 611,956 $ 53.091 $ 9.768 Granted 208,400 61.506 13.317 Vested this period (147,716) 52.100 9.148 Nonvested options forfeited (35,796) 53.125 9.798 Nonvested options, December 31, 2022 636,844 $ 56.073 $ 11.117 For the years ended December 31, 2022, 2021 and 2020, compensation expense for stock option grants was $1.4 million, $1.2 million and $1.2 million, respectively. At December 31, 2022, there was $6.5 million of total unrecognized compensation cost related to nonvested options granted under the Company’s plans. This compensation cost is expected to be recognized through 2028, with the majority of this expense recognized in 2023 and 2024. The following table further summarizes information about stock options outstanding at December 31, 2022: Options Outstanding Weighted Options Exercisable Average Weighted Weighted Remaining Average Average Number Contractual Exercise Number Exercise Range of Exercise Prices Outstanding Term Price Exercisable Price $23.860 to 29.640 9,977 0.85 years $ 28.714 9,977 $ 28.714 $32.590 to 38.610 27,981 1.96 years 33.289 27,981 33.289 $41.300 to 41.740 210,423 6.80 years 41.630 86,383 41.473 $50.710 to 59.750 467,102 6.61 years 55.388 234,308 53.218 $60.150 to 62.010 349,434 8.61 years 60.972 69,424 60.150 1,064,917 7.13 years $ 53.671 428,073 $ 50.098 |
Significant Estimates and Conce
Significant Estimates and Concentrations | 12 Months Ended |
Dec. 31, 2022 | |
Significant Estimates and Concentration | |
Significant Estimates and Concentration | Note 21: Significant Estimates and Concentrations GAAP requires disclosure of certain significant estimates and current vulnerabilities due to certain concentrations. Estimates related to the allowance for credit losses are reflected in Note 3 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2022 | |
Accumulated Other Comprehensive Income | |
Accumulated Other Comprehensive Income | Note 22: Accumulated Other Comprehensive Income The components of accumulated other comprehensive income (AOCI), included in stockholders’ equity, are as follows: 2022 2021 (In Thousands) Net unrealized gain (loss) on available-for-sale securities $ (62,622) $ 11,834 Net unrealized gain on held-to-maturity securities 118 — Net unrealized gain (loss) on active derivatives used for cash flow hedges (31,277) — Net unrealized gain on terminated derivatives used for cash flow hedges 22,478 30,601 (71,303) 42,435 Tax effect 17,948 (9,676) Net-of-tax amount $ (53,355) $ 32,759 Amounts reclassified from AOCI and the affected line items in the statements of income during the years ended December 31, 2022, 2021 and 2020, were as follows: Amounts Reclassified from AOCI Affected Line Item in the 2022 2021 2020 Statements of Income (In Thousands) Unrealized gains/(losses) on available-for-sale securities $ (130) $ — $ 78 Net realized gains (losses) on available-for-sale securities (total reclassified amount before tax) Change in fair value of cash flow hedge 8,123 8,123 6,764 Amortization of realized gain on termination of cash flow hedge (total reclassification amount before tax) Income taxes (1,820) (1,852) (1,559) Tax (expense) benefit Total reclassifications out of AOCI $ 6,173 $ 6,271 $ 5,283 |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2022 | |
Regulatory Matters | |
Regulatory Matters | Note 23: Regulatory Matters The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct and material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of the Company’s and the Bank’s assets, liabilities and certain off-balance-sheet items as calculated under GAAP, regulatory reporting practices, and regulatory capital standards. The Company’s and the Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Quantitative measures established by regulatory reporting standards to ensure capital adequacy require the Bank to maintain minimum amounts and ratios (set forth in the table below as of December 31, 2022) of Total and Tier I Capital (as defined) to risk-weighted assets (as defined), of Tier I Capital (as defined) to adjusted tangible assets (as defined) and of Common Equity Tier 1 Capital (as defined) to risk-weighted assets (as defined). Management believes, as of December 31, 2022, that the Bank met all capital adequacy requirements to which it was then subject. As of December 31, 2022, the most recent notification from the Bank’s regulators categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized as of December 31, 2022, the Bank must have maintained minimum Total capital, Tier I capital, Tier 1 Leverage capital and Common Equity Tier 1 capital ratios as set forth in the table. There are no conditions or events since that notification that management believes have changed the Bank’s category. The Company and the Bank are subject to certain restrictions on the amount of dividends that may be declared without prior regulatory approval. At December 31, 2022 and 2021, the Company and the Bank exceeded their minimum capital requirements then in effect. The entities may not pay dividends which would reduce capital below the minimum requirements shown above. In addition to the minimum capital ratios, the capital rules include a capital conservation buffer, under which a banking organization must have Common Equity Tier 1 capital more than 2.5% above each of its minimum risk-based capital ratios in order to avoid restrictions on paying dividends, repurchasing shares, and paying certain discretionary bonuses. The net unrealized gain or loss on securities is not included in computing regulatory capital. The Company’s and the Bank’s actual capital amounts and ratios are presented in the following table. No amount was deducted from capital for interest-rate risk. To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars In Thousands) As of December 31, 2022 Total capital Great Southern Bancorp, Inc. $ 746,287 13.5 % $ 440,767 8.0 % N/A N/A Great Southern Bank $ 721,616 13.1 % $ 440,683 8.0 % $ 550,854 10.0 % Tier I capital Great Southern Bancorp, Inc. $ 607,807 11.0 % $ 330,575 6.0 % N/A N/A Great Southern Bank $ 658,136 11.9 % $ 330,512 6.0 % $ 440,683 8.0 % Tier I leverage capital Great Southern Bancorp, Inc. $ 607,807 10.6 % $ 228,673 4.0 % N/A N/A Great Southern Bank $ 658,136 11.5 % $ 228,511 4.0 % $ 285,638 5.0 % Common equity Tier I capital Great Southern Bancorp, Inc. $ 582,807 10.6 % $ 247,932 4.5 % N/A N/A Great Southern Bank $ 658,136 11.9 % $ 247,884 4.5 % $ 358,055 6.5 % As of December 31, 2021 Total capital Great Southern Bancorp, Inc. $ 745,641 16.3 % $ 365,120 8.0 % N/A N/A Great Southern Bank $ 701,215 15.4 % $ 365,048 8.0 % $ 456,310 10.0 % Tier I capital Great Southern Bancorp, Inc. $ 613,544 13.4 % $ 273,840 6.0 % N/A N/A Great Southern Bank $ 644,134 14.1 % $ 273,786 6.0 % $ 365,048 8.0 % Tier I leverage capital Great Southern Bancorp, Inc. $ 613,544 11.3 % $ 217,264 4.0 % N/A N/A Great Southern Bank $ 644,134 11.9 % $ 217,209 4.0 % $ 271,511 5.0 % Common equity Tier I capital Great Southern Bancorp, Inc. $ 588,544 12.9 % $ 205,380 4.5 % N/A N/A Great Southern Bank $ 644,134 14.1 % $ 205,340 4.5 % $ 296,602 6.5 % |
Litigation Matters
Litigation Matters | 12 Months Ended |
Dec. 31, 2022 | |
Litigation Matters | |
Litigation Matters | Note 24: Litigation Matters In the normal course of business, the Company and its subsidiaries are subject to pending and threatened legal actions, some of which seek substantial relief or damages. While the ultimate outcome of such legal proceedings cannot be predicted with certainty, after reviewing pending and threatened litigation with counsel, management believes at this time that the outcome of such litigation will not have a material adverse effect on the Company’s business, financial condition or results of operations. |
Summary of Unaudited Quarterly
Summary of Unaudited Quarterly Operating Results | 12 Months Ended |
Dec. 31, 2022 | |
Summary of Unaudited Quarterly Operating Results | |
Summary of Unaudited Quarterly Operating Results | Note 25: Summary of Unaudited Quarterly Operating Results Following is a summary of unaudited quarterly operating results for the years 2022, 2021 and 2020: 2022 Three Months Ended March 31 June 30 September 30 December 31 (In Thousands, Except Per Share Data) Interest income $ 46,673 $ 52,698 $ 59,657 $ 67,949 Interest expense 3,407 3,867 6,759 13,330 Provision (credit) for credit losses on loans — — 2,000 1,000 Provision (credit) for unfunded commitments (193) 2,223 1,315 (159) Net realized gain (loss) on available-for-sale securities 7 — 31 (168) Non-interest income 9,176 9,319 7,984 7,661 Non-interest expense 31,268 33,004 34,758 34,336 Provision for income taxes 4,380 4,699 4,676 4,499 Net income available to common shareholders 16,987 18,224 18,133 22,604 Earnings per common share – diluted 1.30 1.44 1.46 1.84 2021 Three Months Ended March 31 June 30 September 30 December 31 (In Thousands, Except Per Share Data) Interest income $ 50,633 $ 50,452 $ 49,640 $ 47,948 Interest expense 6,544 5,768 4,717 3,723 Provision (credit) for credit losses on loans 300 (1,000) (3,000) (3,000) Provision (credit) for unfunded commitments (674) (307) 643 1,277 Non-interest income 9,736 9,585 9,798 9,198 Non-interest expense 30,321 30,191 31,339 35,784 Provision for income taxes 5,010 5,271 5,375 4,081 Net income available to common shareholders 18,868 20,114 20,364 15,281 Earnings per common share – diluted 1.36 1.46 1.49 1.14 2020 Three Months Ended March 31 June 30 September 30 December 31 (In Thousands, Except Per Share Data) Interest income $ 57,474 $ 54,011 $ 53,599 $ 52,619 Interest expense 12,536 10,556 9,431 8,042 Provision for credit losses on loans 3,871 6,000 4,500 1,500 Net realized gains on available-for-sale securities — 78 — — Non-interest income 7,367 8,261 9,466 9,956 Non-interest expense 30,815 29,349 31,988 31,073 Provision for income taxes 2,751 3,164 3,692 4,172 Net income available to common shareholders 14,868 13,203 13,454 17,788 Earnings per common share – diluted 1.04 0.93 0.96 1.28 |
Condensed Parent Company Statem
Condensed Parent Company Statements | 12 Months Ended |
Dec. 31, 2022 | |
Condensed Parent Company Statements | |
Condensed Parent Company Statements | Note 26: Condensed Parent Company Statements The condensed statements of financial condition at December 31, 2022 and 2021, and statements of income, comprehensive income and cash flows for the years ended December 31, 2022, 2021 and 2020, for the parent company, Great Southern Bancorp, Inc., were as follows: December 31, 2022 2021 (In Thousands) Statements of Financial Condition Assets Cash $ 29,097 $ 48,372 Investment in subsidiary bank 608,416 672,342 Deferred and accrued income taxes 148 94 Prepaid expenses and other assets 882 868 $ 638,543 $ 721,676 Liabilities and Stockholders’ Equity Accounts payable and accrued expenses $ 5,401 $ 5,166 Subordinated debentures issued to capital trust 25,774 25,774 Subordinated notes 74,281 73,984 Common stock 122 131 Additional paid-in capital 42,445 38,314 Retained earnings 543,875 545,548 Accumulated other comprehensive income (loss) (53,355) 32,759 $ 638,543 $ 721,676 2022 2021 2020 (In Thousands) Statements of Income Income Dividends from subsidiary bank $ 60,000 $ 74,000 $ 40,000 Other income — — 5 60,000 74,000 40,005 Expense Operating expenses 2,550 2,121 2,197 Interest expense 5,298 7,613 7,459 7,848 9,734 9,656 Income before income tax and equity in undistributed earnings of subsidiaries 52,152 64,266 30,349 Credit for income taxes (1,608) (1,850) (1,800) Income before equity in earnings of subsidiaries 53,760 66,116 32,149 Equity in undistributed earnings of subsidiaries 22,188 8,511 27,164 Net income $ 75,948 $ 74,627 $ 59,313 2022 2021 2020 (In Thousands) Statements of Cash Flows Operating Activities Net income $ 75,948 $ 74,627 $ 59,313 Items not requiring (providing) cash Equity in undistributed earnings of subsidiary (22,188) (8,511) (27,164) Compensation expense for stock option grants 1,437 1,225 1,153 Amortization of interest rate derivative and deferred costs on subordinated notes 297 587 608 Changes in Prepaid expenses and other assets (14) 15 (15) Accounts payable and accrued expenses 69 (1,661) 31 Income taxes (54) 63 (46) Net cash provided by operating activities 55,495 66,345 33,880 Investing Activities Net cash provided by investing activities — — — Financing Activities Purchases of the Company’s common stock (61,847) (39,123) (22,104) Proceeds from issuance of subordinated notes — — 73,513 Redemption of subordinated notes — (75,000) — Dividends paid (19,181) (18,800) (33,426) Stock options exercised 6,258 3,700 661 Net cash provided by (used in) financing activities (74,770) (129,223) 18,644 Increase (Decrease) in Cash (19,275) (62,878) 52,524 Cash, Beginning of Year 48,372 111,250 58,726 Cash, End of Year $ 29,097 $ 48,372 $ 111,250 Additional Cash Payment Information Interest paid $ 5,115 $ 9,103 $ 7,349 2022 2021 2020 (In Thousands) Statements of Comprehensive Income Net Income $ 75,948 $ 74,627 $ 59,313 Comprehensive income (loss) of subsidiaries (86,114) (20,392) 20,905 Comprehensive Income $ (10,166) $ 54,235 $ 80,218 |
Nature of Operations and Summ_2
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Nature of Operations and Summary of Significant Accounting Policies | |
Nature of Operations and Operating Segments | Nature of Operations and Operating Segments Great Southern Bancorp, Inc. (“GSBC” or the “Company”) operates as a one-bank holding company. GSBC’s business primarily consists of the operations of Great Southern Bank (the “Bank”), which provides a full range of financial services to customers primarily located in Missouri, Iowa, Kansas, Minnesota, Nebraska and Arkansas. The Bank also originates commercial loans from lending offices in Atlanta; Charlotte, North Carolina; Chicago; Dallas; Denver; Omaha, Nebraska; Phoenix; and Tulsa, Oklahoma. The Company and the Bank are subject to regulation by certain federal and state agencies and undergo periodic examinations by those regulatory agencies. The Company’s banking operation is its only reportable segment. The banking operation is principally engaged in the business of originating residential and commercial real estate loans, construction loans, commercial business loans and consumer loans and funding these loans by attracting deposits from the general public, accepting brokered deposits and borrowing from the Federal Home Loan Bank and others. The operating results of this segment are regularly reviewed by management to make decisions about resource allocations and to assess performance. Selected information is not presented separately for the Company’s reportable segment, as there is no material difference between that information and the corresponding information in the consolidated financial statements. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses and the valuation of real estate acquired in connection with foreclosures or in satisfaction of loans and fair values of financial instruments. In connection with the determination of the allowance for credit losses and the valuation of foreclosed assets held for sale, management obtains independent appraisals for significant properties. In addition, the Company considers that the determination of the carrying value of goodwill and intangible assets involves a high degree of judgment and complexity. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Great Southern Bancorp, Inc., its wholly owned subsidiary, the Bank, and the Bank’s wholly owned subsidiaries, Great Southern Real Estate Development Corporation, GSB One LLC (including its wholly owned subsidiary, GSB Two LLC), Great Southern Financial Corporation, Great Southern Community Development Company, LLC (including its wholly owned subsidiary, Great Southern CDE, LLC), GS, LLC, GSSC, LLC, GSTC Investments, LLC, GS-RE Holding, LLC (including its wholly owned subsidiary, GS RE Management, LLC), GS-RE Holding II, LLC, GS-RE Holding III, LLC, VFP Conclusion Holding, LLC and VFP Conclusion Holding II, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Federal Home Loan Bank Stock | Federal Home Loan Bank Stock Federal Home Loan Bank common stock is a required investment for institutions that are members of the Federal Home Loan Bank system. The required investment in common stock is based on a predetermined formula, carried at cost and evaluated for impairment. |
Securities | Securities Available-for-sale securities, which include any security for which the Company has no immediate plan to sell but which may be sold in the future, are carried at fair value. Unrealized gains and losses are recorded, net of related income tax effects, in other comprehensive income. Held-to-maturity securities, which include any security for which the Company has the positive intent and ability to hold until maturity, are carried at historical cost adjusted for amortization of premiums and accretion of discounts. Amortization of premiums and accretion of discounts are recorded as interest income from securities. Realized gains and losses are recorded as net security gains (losses). Gains and losses on sales of securities are determined on the specific-identification method. The Company evaluates all securities quarterly to determine if any securities in a loss position require a provision for credit losses in accordance with ASC 326, Measurement of Credit Losses on Financial Instruments |
Mortgage Loans Held for Sale | Mortgage Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Write-downs to fair value are recognized as a charge to earnings at the time the decline in value occurs. Nonbinding forward commitments to sell individual mortgage loans are generally obtained to reduce market risk on mortgage loans in the process of origination and mortgage loans held for sale. Gains and losses resulting from sales of mortgage loans are recognized when the respective loans are sold to investors. Fees received from borrowers to guarantee the funding of mortgage loans held for sale and fees paid to investors to ensure the ultimate sale of such mortgage loans are recognized as income or expense when the loans are sold or when it becomes evident that the commitment will not be used. |
Loans Originated by the Company | Loans Originated by the Company Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at their outstanding principal balances adjusted for any charge-offs, the allowance for credit losses, any deferred fees or costs on originated loans and unamortized premiums or discounts on purchased loans. Interest income is reported on the interest method and includes amortization of net deferred loan fees and costs over the loan term. Past due status is based on the contractual terms of a loan. Generally, loans are placed on nonaccrual status at 90 days past due and interest is considered a loss, unless the loan is well secured and in the process of collection. Payments received on nonaccrual loans are applied to principal until the loans are returned to accrual status. Loans are returned to accrual status when all payments contractually due are brought current, payment performance is sustained for a period of time, generally six months, and future payments are reasonably assured. With the exception of consumer loans, charge-offs on loans are recorded when available information indicates a loan is not fully collectible and the loss is reasonably quantifiable. Consumer loans are charged-off at specified delinquency dates consistent with regulatory guidelines. |
Allowance for Credit Losses | Allowance for Credit Losses The allowance for credit losses is measured using an average historical loss model that incorporates relevant information about past events (including historical credit loss experience on loans with similar risk characteristics), current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the loans. The allowance for credit losses is measured on a collective (pool) basis. Loans are aggregated into pools based on similar risk characteristics, including borrower type, collateral and repayment types and expected credit loss patterns. Classified loans and/or TDR loans with a balance greater than or equal to $100,000, which do not necessarily share similar risk characteristics, are evaluated on an individual basis. For loans evaluated for credit losses on a collective basis, average historical loss rates are calculated for each pool using the Company’s historical net charge-offs (combined charge-offs and recoveries by observable historical reporting period) and outstanding loan balances during a lookback period. Lookback periods can be different based on the individual pool and represent management’s credit expectations for the pool of loans over the remaining contractual life. In certain loan pools, if the Company’s own historical loss rate is not reflective of the loss expectations, the historical loss rate is augmented by industry and peer data. The calculated average net charge-off rate is then adjusted for current conditions and reasonable and supportable forecasts. These adjustments increase or decrease the average historical loss rate to reflect expectations of future losses given economic forecasts of key macroeconomic variables including, but not limited to, unemployment rate, GDP, disposable income and market volatility. The adjustments are based on results from various regression models projecting the impact of the macroeconomic variables to loss rates. The forecast is used for a reasonable and supportable period before reverting back to historical averages using a straight-line method. The forecast adjusted loss rate is applied to the amortized cost of loans over the remaining contractual lives, adjusted for expected prepayments. The contractual term excludes expected extensions, renewals and modifications unless there is a reasonable expectation that a troubled debt restructuring will be executed. Additionally, the allowance for credit losses considers other qualitative factors not included in historical loss rates or macroeconomic forecast such as changes in portfolio composition, underwriting practices, or significant unique events or conditions. |
Loans Acquired in Business Combination | Loans Acquired in Business Combinations Loans acquired in business combinations under ASC Topic 805, Business Combinations Fair Value Measurements and Disclosures For acquired loans not acquired in conjunction with an FDIC-assisted transaction that were not considered to be purchased credit-impaired loans, the Company evaluated those loans acquired in accordance with the provisions of ASC Topic 310-20, Nonrefundable Fees and Other Costs Loans and Debt Securities Acquired with Deteriorated Credit Quality The Company evaluated all of its loans acquired in conjunction with its FDIC-assisted transactions in accordance with the provisions of ASC Topic 310-30. For purposes of applying ASC 310-30, loans acquired in FDIC-assisted business combinations are aggregated into pools of loans with common risk characteristics. All loans acquired in the FDIC transactions, both covered and not covered by loss sharing agreements, were deemed to be purchased credit-impaired loans as there is general evidence of credit deterioration since origination in the pools and there is some probability that not all contractually required payments will be collected. As a result, related discounts are recognized subsequently through accretion based on changes in the expected cash flows of these acquired loans. Prior to the adoption of ASU 2016-13, the expected cash flows of the acquired loan pools in excess of the fair values recorded, referred to as the accretable yield, was recognized in interest income over the remaining estimated lives of the loan pools for impaired loans accounted for under ASC Topic 310-30. Subsequent to acquisition date, the Company estimated cash flows expected to be collected on pools of loans sharing common risk characteristics, which are treated in the aggregate when applying various valuation techniques. Increases in the Company’s cash flow expectations have been recognized as increases to the accretable yield while decreases have been recognized as impairments through the allowance for credit losses. |
Other Real Estate Owned and Repossessions | Other Real Estate Owned and Repossessions Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less estimated cost to sell at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less estimated cost to sell. Revenue and expenses from operations and changes in the valuation allowance are included in net expense on foreclosed assets. Other real estate owned also includes bank premises formerly, but no longer, used for banking activities, as well as property originally acquired for future expansion but no longer intended to be used for that purpose. |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Depreciation is charged to expense using the straight-line and accelerated methods over the estimated useful lives of the assets. Leasehold improvements are capitalized and amortized using the straight-line and accelerated methods over the terms of the respective leases or the estimated useful lives of the improvements, whichever is shorter. Material lease obligations consist of leases for various loan offices and banking centers. All of our leases are classified as operating leases (as they were prior to January 1, 2019), and therefore were previously not recognized on the Company’s consolidated statements of financial condition. With the adoption of ASU 2016-02, these operating leases are now included as a right of use asset in the premises and equipment line item on the Company’s consolidated statements of financial condition. The corresponding lease liability is included in the accrued expenses and other liabilities line item on the Company’s consolidated statements of financial condition. The calculated amounts of the right of use assets and lease liabilities are impacted by the length of the lease term and the discount rate used to present value the minimum lease payments. The Company’s lease agreements often include one or more options to renew extended term in the calculation of the right of use asset and lease liability. 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 right of use asset and lease liability. Regarding the discount rate, the Company uses 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 over a similar term. The discount rate utilized is the FHLBank borrowing rate for the term corresponding to the expected term of the lease. |
Long-Lived Asset Impairment | Long-Lived Asset Impairment The Company evaluates the recoverability of the carrying value of long-lived assets whenever events or circumstances indicate the carrying amount may not be recoverable. If a long-lived asset is tested for recoverability and the undiscounted estimated future cash flows expected to result from the use and eventual disposition of the asset is less than the carrying amount of the asset, the asset cost is adjusted to fair value and an impairment loss is recognized as the amount by which the carrying amount of a long-lived asset exceeds its fair value. No material asset impairment was recognized during the years ended December 31, 2022, 2021 and 2020. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill is evaluated annually for impairment or more frequently if impairment indicators are present. The annual, or interim, goodwill impairment test is performed by comparing the fair value of a reporting unit with its carrying amount and an impairment charge is recognized for the amount by which the carrying amount exceeds the reporting unit’s fair value. The Company still may perform a qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. Deposit intangible assets are being amortized on the straight-line basis generally over a period of seven years. Arena naming rights intangible assets are being amortized on the straight-line basis generally over a period of fifteen years. Such assets are periodically evaluated as to the recoverability of their carrying value. A summary of goodwill and intangible assets is as follows: December 31, 2022 2021 (In Thousands) Goodwill – Branch acquisitions $ 5,396 $ 5,396 Deposit intangibles Fifth Third Bank (January 2016) 53 685 Arena Naming Rights (April 2022) 5,364 — 5,417 685 $ 10,813 $ 6,081 |
Loan Servicing and Origination Fee Income | Loan Servicing and Origination Fee Income Loan servicing income represents fees earned for servicing real estate mortgage loans owned by various investors. The fees are generally calculated on the outstanding principal balances of the loans serviced and are recorded as income when earned. Loan origination fees, net of direct loan origination costs, are recognized as income using the level-yield method over the contractual life of the loan. |
Stockholders' Equity | Stockholders’ Equity The Company is incorporated in the State of Maryland. Under Maryland law, there is no concept of “Treasury Shares.” Instead, shares purchased by the Company constitute authorized but unissued shares under Maryland law. Accounting principles generally accepted in the United States of America state that accounting for treasury stock shall conform to state law. The cost of shares purchased by the Company has been allocated to common stock and retained earnings balances. |
Earnings Per Common Share | Earnings Per Common Share Basic earnings per common share are computed based on the weighted average number of common shares outstanding during each year. Diluted earnings per common share are computed using the weighted average common shares and all potential dilutive common shares outstanding during the period. Earnings per common share (EPS) were computed as follows: 2022 2021 2020 (In Thousands, Except Per Share Data) Net income and net income available to common shareholders $ 75,948 $ 74,627 $ 59,313 Average common shares outstanding 12,516 13,558 14,043 Average common share stock options outstanding 91 116 61 Average diluted common shares 12,607 13,674 14,104 Earnings per common share – basic $ 6.07 $ 5.50 $ 4.22 Earnings per common share – diluted $ 6.02 $ 5.46 $ 4.21 Options outstanding at December 31, 2022, 2021 and 2020, to purchase 559,484, 383,338 and 758,901 shares of common stock, respectively, were not included in the computation of diluted earnings per common share for each of the years because the exercise prices of such options were greater than the average market prices of the common stock for the years ended December 31, 2022, 2021 and 2020, respectively. |
Stock Compensation Plans | Stock Compensation Plans The Company has stock-based employee compensation plans, which are described more fully in Note 20 Compensation – Stock Compensation |
Cash Equivalents | Cash Equivalents The Company considers all liquid investments with original maturities of three months or less to be cash equivalents. At December 31, 2022 and 2021, cash equivalents consisted of interest-bearing deposits in other financial institutions. At December 31, 2022, nearly all of the interest-bearing deposits were uninsured and held at the Federal Home Loan Bank or the Federal Reserve Bank. |
Income Taxes | Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (FASB ASC 740, Income Taxes Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are recognized if it is more likely than not, based on the technical merits, that the tax position will be realized or sustained upon examination. The term “more likely than not” means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. At December 31, 2022 and 2021, no valuation allowance was established. The Company recognizes interest and penalties on income taxes as a component of income tax expense. The Company files consolidated income tax returns with its subsidiaries. |
Derivatives and Hedging Activities | Derivatives and Hedging Activities FASB ASC 815, Derivatives and Hedging Note 16 As required by FASB ASC 815, the Company records all derivatives in the statement of financial condition at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting In January 2021, the FASB issued ASU 2021-01, Reference Rate Reform (Topic 848): Scope In March 2022, the FASB issued ASU 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging – Portfolio Layer Method In March 2022, the FASB issued ASU 2022-02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures In December 2022, the FASB issued ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848 |
Investments in Affordable Housing Partnerships | Investments in Affordable Housing Partnerships The Company has invested in certain limited partnerships that were formed to develop and operate apartments and single-family houses designed as high-quality affordable housing for lower income tenants throughout Missouri and contiguous states. At December 31, 2022 the Company had 19 such investments, with a net carrying value of $38.4 million. At December 31, 2021 the Company had 16 such investments, with a net carrying value of $25.1 million. Due to the Company’s inability to exercise any significant influence over any of the investments in Affordable Housing Partnerships, they all are accounted for using the proportional amortization method. Each of the partnerships must meet the regulatory requirements for affordable housing for a minimum 15-year compliance period to fully utilize the tax credits. If the partnerships cease to qualify during the compliance period, the credits may be denied for any period in which the projects are not in compliance and a portion of the credits previously taken may be subject to recapture with interest. The remaining federal affordable housing tax credits to be utilized through 2034 were $83.2 million as of December 31, 2022, assuming no tax credit recapture events occur and all projects currently under construction are completed as planned. Amortization of the investments in partnerships is expected to be approximately million, assuming all projects currently under construction are completed and funded as planned. The Company’s usage of federal affordable housing tax credits approximated $ |
Investments in Community Development Entities | Investments in Community Development Entities The Company has invested in certain limited partnerships that were formed to develop and operate business and real estate projects located in low-income communities. At December 31, 2022 the Company had one such investment, with a net carrying value of . Due to the Company’s inability to exercise any significant influence over any of the investments in qualified Community Development Entities, they are all accounted for using the cost method. Each of the partnerships provides federal New Market Tax Credits over a credit allowance period. In each of the first three years, credits totaling percent of the original investment are allowed on the credit allowance dates. Each of the partnerships must be invested in a qualified Community Development Entity on each of the credit allowance dates during the seven-year period to utilize the tax credits. If the Community Development Entities cease to qualify during the seven-year period, the credits may be denied for any credit allowance date and a portion of the credits previously taken may be subject to recapture with interest. The investments in the Community Development Entities cannot be redeemed before the end of the The Company’s usage of federal New Market Tax Credits approximated $100,000, $100,000 and $100,000 during 2022, 2021 and 2020, respectively. Investment amortization amounted to $ |
Investments in Limited Partnerships for Federal Rehabilitation/Historic Tax Credits | Investments in Limited Partnerships for Federal Rehabilitation/Historic Tax Credits From time to time, the Company has invested in certain limited partnerships that were formed to provide certain federal rehabilitation/historic tax credits. At December 31, 2022 the Company had one such investment, with a net carrying value of $629,000. At December 31, 2021 the Company had one such investment, with a net carrying value of $642,000. Under prior tax law, the Company utilized these credits in their entirety in the year the project was placed in service and the impact to the Consolidated Statements of Income has not been material. Currently, such partnerships provide federal rehabilitation/historic tax credits over a five-year credit allowance period. |
Investments in Limited Partnerships for State Tax Credits | Investments in Limited Partnerships for State Tax Credits From time to time, the Company has invested in certain limited partnerships that were formed to provide certain state tax credits. The Company has primarily syndicated these tax credits and the impact to the Consolidated Statements of Income has not been material. |
Nature of Operations and Summ_3
Nature of Operations and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Nature of Operations and Summary of Significant Accounting Policies | |
Schedule of goodwill and intangible assets | December 31, 2022 2021 (In Thousands) Goodwill – Branch acquisitions $ 5,396 $ 5,396 Deposit intangibles Fifth Third Bank (January 2016) 53 685 Arena Naming Rights (April 2022) 5,364 — 5,417 685 $ 10,813 $ 6,081 |
Schedule of earnings per common share | 2022 2021 2020 (In Thousands, Except Per Share Data) Net income and net income available to common shareholders $ 75,948 $ 74,627 $ 59,313 Average common shares outstanding 12,516 13,558 14,043 Average common share stock options outstanding 91 116 61 Average diluted common shares 12,607 13,674 14,104 Earnings per common share – basic $ 6.07 $ 5.50 $ 4.22 Earnings per common share – diluted $ 6.02 $ 5.46 $ 4.21 |
Investments in Securities (Tabl
Investments in Securities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Investments in Securities | |
Schedule of investment securities | December 31, 2022 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 327,266 $ — $ 40,784 $ 286,482 Agency collateralized mortgage obligations 90,205 — 11,731 78,474 States and political subdivisions securities 60,667 119 3,291 57,495 Small Business Administration securities 75,076 — 6,935 68,141 $ 553,214 $ 119 $ 62,741 $ 490,592 December 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 219,624 $ 10,561 $ 744 $ 229,441 Agency collateralized mortgage obligations 204,332 2,443 2,498 204,277 States and political subdivisions securities 38,440 1,618 43 40,015 Small Business Administration securities 26,802 497 — 27,299 $ 489,198 $ 15,119 $ 3,285 $ 501,032 |
Schedule of amortized cost and fair values of securities | December 31, 2022 Amortized Gross Gross Amortized Fair Value Carrying Unrealized Unrealized Fair Cost Adjustment Value Gains Losses Value (In Thousands) HELD-TO-MATURITY SECURITIES: Agency mortgage-backed securities $ 73,891 $ 3,015 $ 76,906 $ — $ 9,820 $ 67,086 Agency collateralized mortgage obligations 122,247 (2,885) 119,362 — 14,129 105,233 States and political subdivisions 6,239 (12) 6,227 — 781 5,446 $ 202,377 $ 118 $ 202,495 $ — $ 24,730 $ 177,765 |
Schedule of amortized cost and fair value of available-for-sale and held-to-maturity securities by contractual maturity | Available-for-Sale Held-to-Maturity Amortized Fair Amortized Fair Cost Value Carrying Value Value (In Thousands) One year or less $ — $ — $ — $ — After one through two years — — — — After two through three years — — — — After three through four years — — — — After four through five years 245 245 — — After five through fifteen years 6,761 6,565 2,578 2,233 After fifteen years 53,661 50,685 3,649 3,213 Securities not due on a single maturity date 492,547 433,097 196,268 172,319 $ 553,214 $ 490,592 $ 202,495 $ 177,765 |
Schedule of amortized cost and fair values of securities pledged as collateral | 2022 2021 Amortized Fair Amortized Fair Cost Value Cost Value (In Thousands) Public deposits $ 15,402 $ 13,489 $ 4,742 $ 5,029 Collateralized borrowing accounts 210,330 186,170 133,242 139,112 Other 4,018 3,764 6,257 6,461 $ 229,750 $ 203,423 $ 144,241 $ 150,602 |
Schedule of gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position | 2022 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 221,562 $ (27,597) $ 64,918 $ (13,187) $ 286,480 $ (40,784) Agency collateralized mortgage obligations 28,537 (3,262) 40,642 (8,469) 69,179 (11,731) Small Business Administration securities 60,473 (5,224) 7,667 (1,711) 68,140 (6,935) States and political subdivisions securities 44,455 (2,913) 3,753 (378) 48,208 (3,291) $ 355,027 $ (38,996) $ 116,980 $ (23,745) $ 472,007 $ (62,741) 2022 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) HELD-TO-MATURITY SECURITIES: Agency mortgage-backed securities $ 59,218 $ (7,766) $ 7,868 $ (2,054) $ 67,086 $ (9,820) Agency collateralized mortgage obligations 61,055 (6,411) 44,178 (7,718) 105,233 (14,129) States and political subdivisions securities 900 (101) 4,546 (680) 5,446 (781) $ 121,173 $ (14,278) $ 56,592 $ (10,452) $ 177,765 $ (24,730) 2021 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Agency mortgage-backed securities $ 47,769 $ (388) $ 10,583 $ (356) $ 58,352 $ (744) Agency collateralized mortgage obligations 92,727 (1,588) 16,298 (910) 109,025 (2,498) States and political subdivisions securities 6,537 (43) — — 6,537 (43) $ 147,033 $ (2,019) $ 26,881 $ (1,266) $ 173,914 $ (3,285) |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Loans and Allowance for Credit Losses | |
Schedule of classes of loans | December 31, December 31, 2022 2021 (In Thousands) One- to four-family residential construction $ 33,849 $ 28,302 Subdivision construction 32,067 26,694 Land development 41,613 47,827 Commercial construction 757,690 617,505 Owner occupied one- to four-family residential 778,533 561,958 Non-owner occupied one- to four-family residential 124,870 119,635 Commercial real estate 1,530,663 1,476,230 Other residential 781,761 697,903 Commercial business 293,228 280,513 Industrial revenue bonds 12,852 14,203 Consumer auto 37,281 48,915 Consumer other 33,732 37,902 Home equity lines of credit 123,242 119,965 4,581,381 4,077,552 Allowance for credit losses (63,480) (60,754) Deferred loan fees and gains, net (11,065) (9,298) $ 4,506,836 $ 4,007,500 |
Schedule of loans classified by aging analysis | December 31, 2022 Total Loans Over 90 Total > 90 Days Past 30-59 Days 60-89 Days Days Total Past Loans Due and Past Due Past Due Past Due Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ — $ — $ — $ — $ 33,849 $ 33,849 $ — Subdivision construction — — — — 32,067 32,067 — Land development — — 384 384 41,229 41,613 — Commercial construction — — — — 757,690 757,690 — Owner occupied one- to four- family residential 2,568 462 722 3,752 774,781 778,533 — Non-owner occupied one- to four-family residential — 63 — 63 124,807 124,870 — Commercial real estate 196 — 1,579 1,775 1,528,888 1,530,663 — Other residential — — — — 781,761 781,761 — Commercial business 8 — 586 594 292,634 293,228 — Industrial revenue bonds — — — — 12,852 12,852 — Consumer auto 100 34 14 148 37,133 37,281 — Consumer other 288 114 111 513 33,219 33,732 — Home equity lines of credit 234 38 274 546 122,696 123,242 — Total $ 3,394 $ 711 $ 3,670 $ 7,775 $ 4,573,606 $ 4,581,381 $ — FDIC-assisted acquired loans included above $ 253 $ 4 $ 428 $ 685 $ 57,923 $ 58,608 $ — December 31, 2021 Total Loans Over 90 Total > 90 Days Past 30-59 Days 60-89 Days Days Total Past Loans Due and Past Due Past Due Past Due Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ — $ — $ — $ — $ 28,302 $ 28,302 $ — Subdivision construction — — — — 26,694 26,694 — Land development 29 15 468 512 47,315 47,827 — Commercial construction — — — — 617,505 617,505 — Owner occupied one- to four- family residential 843 2 2,216 3,061 558,897 561,958 — Non-owner occupied one- to four-family residential — — — — 119,635 119,635 — Commercial real estate — — 2,006 2,006 1,474,224 1,476,230 — Other residential — — — — 697,903 697,903 — Commercial business 1,404 — — 1,404 279,109 280,513 — Industrial revenue bonds — — — — 14,203 14,203 — Consumer auto 229 31 34 294 48,621 48,915 — Consumer other 126 28 63 217 37,685 37,902 — Home equity lines of credit — — 636 636 119,329 119,965 — Total $ 2,631 $ 76 $ 5,423 $ 8,130 $ 4,069,422 $ 4,077,552 $ — FDIC-assisted acquired loans included above $ 433 $ — $ 1,736 $ 2,169 $ 72,001 $ 74,170 $ — |
Schedule of non-accruing loans | December 31, December 31, 2022 2021 (In Thousands) One- to four-family residential construction $ — $ — Subdivision construction — — Land development 384 468 Commercial construction — — Owner occupied one- to four-family residential 722 2,216 Non-owner occupied one- to four-family residential — — Commercial real estate 1,579 2,006 Other residential — — Commercial business 586 — Industrial revenue bonds — — Consumer auto 14 34 Consumer other 111 63 Home equity lines of credit 274 636 Total non-accruing loans $ 3,670 $ 5,423 FDIC-assisted acquired loans included above $ 428 $ 1,736 |
Schedule of activity in the allowance for credit losses and unfunded commitments by portfolio segment | December 31, 2022 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for credit losses Balance, January 1, 2022 $ 9,364 $ 10,502 $ 28,604 $ 2,797 $ 4,142 $ 5,345 $ 60,754 Provision (credit) charged to expense 1,652 1,498 (1,465) 152 1,491 (328) 3,000 Losses charged off (40) — (44) (84) (51) (1,950) (2,169) Recoveries 195 110 1 — 240 1,349 1,895 Balance, December 31, 2022 $ 11,171 $ 12,110 $ 27,096 $ 2,865 $ 5,822 $ 4,416 $ 63,480 December 31, 2021 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for credit losses Balance, December 31, 2020 $ 4,536 $ 9,375 $ 33,707 $ 3,521 $ 2,390 $ 2,214 $ 55,743 CECL adoption 4,533 5,832 (2,531) (1,165) 1,499 3,427 11,595 Balance, January 1, 2021 9,069 15,207 31,176 2,356 3,889 5,641 67,338 Provision (credit) charged to expense — (4,797) (2,478) 575 — — (6,700) Losses charged off (190) — (142) (154) (81) (2,054) (2,621) Recoveries 485 92 48 20 334 1,758 2,737 Balance, December 31, 2021 $ 9,364 $ 10,502 $ 28,604 $ 2,797 $ 4,142 $ 5,345 $ 60,754 December 31, 2022 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for unfunded commitments Balance, January 1, 2022 $ 687 $ 5,703 $ 367 $ 908 $ 1,582 $ 382 $ 9,629 Provision (credit) charged to expense 49 2,921 49 (106) 152 122 3,187 Balance, December 31, 2022 $ 736 $ 8,624 $ 416 $ 802 $ 1,734 $ 504 $ 12,816 December 31, 2021 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for unfunded commitments Balance, December 31, 2020 $ — $ — $ — $ — $ — $ — $ — CECL adoption 917 5,227 354 910 935 347 8,690 Balance, January 1, 2021 917 5,227 354 910 935 347 8,690 Provision (credit) charged to expense (230) 476 13 (2) 647 35 939 Balance, December 31, 2021 $ 687 $ 5,703 $ 367 $ 908 $ 1,582 $ 382 $ 9,629 |
Schedule of loans and leases receivable allowance for loan losses | December 31, 2020 One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for Loan Losses Balance, January 1, 2020 $ 4,339 $ 5,153 $ 24,334 $ 3,076 $ 1,355 $ 2,037 $ 40,294 Provision (benefit) charged to expense 84 4,042 9,343 242 914 1,246 15,871 Losses charged off (70) — (43) (1) (28) (3,152) (3,294) Recoveries 183 180 73 204 149 2,083 2,872 Balance, December 31, 2020 $ 4,536 $ 9,375 $ 33,707 $ 3,521 $ 2,390 $ 2,214 $ 55,743 Ending balance: Individually evaluated for impairment $ 90 $ — $ 445 $ — $ 14 $ 164 $ 713 Collectively evaluated for impairment $ 4,382 $ 9,282 $ 32,937 $ 3,378 $ 2,331 $ 2,040 $ 54,350 Loans acquired and accounted for under ASC 310-30 $ 64 $ 93 $ 325 $ 143 $ 45 $ 10 $ 680 Loans Individually evaluated for impairment $ 3,546 $ — $ 3,438 $ — $ 167 $ 1,897 $ 9,048 Collectively evaluated for impairment $ 655,146 $ 1,021,145 $ 1,550,239 $ 1,266,847 $ 384,734 $ 239,727 $ 5,117,838 Loans acquired and accounted for under ASC 310-30 $ 57,113 $ 6,150 $ 24,613 $ 2,551 $ 2,549 $ 5,667 $ 98,643 |
Schedule of amortized cost basis of collateral-dependent loans by class of loans | The following tables presents the amortized cost basis of collateral-dependent loans by class of loans: December 31, 2022 Principal Specific Balance Allowance (In Thousands) One- to four-family residential construction $ — $ — Subdivision construction — — Land development 384 — Commercial construction — — Owner occupied one- to four-family residential 1,637 40 Non-owner occupied one- to four-family residential — — Commercial real estate 1,571 — Other residential — — Commercial business 586 125 Industrial revenue bonds — — Consumer auto — — Consumer other 160 80 Home equity lines of credit 135 — Total $ 4,473 $ 245 December 31, 2021 Principal Specific Balance Allowance (In Thousands) One- to four-family residential construction $ — $ — Subdivision construction — — Land development 468 — Commercial construction — — Owner occupied one- to four-family residential 1,980 18 Non-owner occupied one- to four-family residential — — Commercial real estate 2,217 397 Other residential — — Commercial business — — Industrial revenue bonds — — Consumer auto — — Consumer other 160 80 Home equity lines of credit 377 — Total $ 5,202 $ 495 |
Schedule of impaired financing receivables | Year Ended December 31, 2020 December 31, 2020 Average Unpaid Investment Interest Recorded Principal Specific in Impaired Income Balance Balance Allowance Loans Recognized (In Thousands) One- to four-family residential construction $ — $ — $ — $ — $ — Subdivision construction 20 20 — 115 3 Land development — — — — — Commercial construction — — — — — Owner occupied one- to four-family residential 3,457 3,776 90 2,999 169 Non-owner occupied one- to four-family residential 69 106 — 309 18 Commercial real estate 3,438 3,472 445 3,736 135 Other residential — — — — — Commercial business 166 551 14 800 34 Industrial revenue bonds — — — — — Consumer auto 865 964 140 932 91 Consumer other 403 552 19 298 47 Home equity lines of credit 630 668 5 550 36 Total $ 9,048 $ 10,109 $ 713 $ 9,739 $ 533 |
Schedule of TDRs by class | December 31, 2022 Accruing TDR Loans Non-accruing TDR Loans Total TDR Loans Number Balance Number Balance Number Balance (In Thousands) Construction and land development — $ — — $ — — $ — One- to four-family residential 13 1,028 3 98 16 1,126 Other residential — — — — — — Commercial real estate — — 2 1,571 2 1,571 Commercial business — — — — — — Consumer 13 210 5 42 18 252 26 $ 1,238 10 $ 1,711 36 $ 2,949 December 31, 2021 Accruing TDR Loans Non-accruing TDR Loans Total TDR Loans Number Balance Number Balance Number Balance (In Thousands) Construction and land development 1 $ 15 — $ — 1 $ 15 One- to four-family residential 10 579 12 1,059 22 1,638 Other residential — — — — — — Commercial real estate 1 85 1 1,726 2 1,811 Commercial business — — — — — — Consumer 26 323 13 64 39 387 38 $ 1,002 26 $ 2,849 64 $ 3,851 |
Schedule of newly restructured loans, which were considered TDRs by type of modification | 2022 Total Interest Only Term Combination Modification (In Thousands) Residential one-to-four family $ — $ — $ 32 $ 32 Commercial real estate — — 247 247 Commercial business — — — — Consumer — 4 3 7 $ — $ 4 $ 282 $ 286 2021 Total Interest Only Term Combination Modification (In Thousands) Residential one-to-four family $ 31 $ 202 $ 134 $ 367 Commercial real estate 1,768 — — 1,768 Commercial business — — — — Consumer — 259 11 270 $ 1,799 $ 461 $ 145 $ 2,405 2020 Total Interest Only Term Combination Modification (In Thousands) Residential one-to-four family $ — $ — $ 1,030 $ 1,030 Commercial real estate — — 559 559 Commercial business — — 22 22 Consumer — 16 1,951 1,967 $ — $ 16 $ 3,562 $ 3,578 |
Summary of loans by category and risk rating separated by origination and loan class | Term Loans by Origination Year Revolving 2022 2021 2020 2019 2018 Prior Loans Total (In Thousands) One- to four-family residential construction Satisfactory (1-4) $ 21,885 $ 7,265 $ 1,391 $ — $ — $ — $ 3,308 $ 33,849 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 21,885 7,265 1,391 — — — 3,308 33,849 Subdivision construction Satisfactory (1-4) 4,478 25,864 800 203 134 588 — 32,067 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 4,478 25,864 800 203 134 588 — 32,067 Construction and land development Satisfactory (1-4) 16,746 6,914 4,866 7,338 762 3,990 613 41,229 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — 384 384 Total 16,746 6,914 4,866 7,338 762 3,990 997 41,613 Other construction Satisfactory (1-4) 113,512 446,125 176,340 21,713 — — — 757,690 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 113,512 446,125 176,340 21,713 — — — 757,690 One- to four-family residential Satisfactory (1-4) 340,886 219,504 128,509 73,162 39,685 97,236 687 899,669 Watch (5) — — — 179 88 1,341 57 1,665 Special Mention (6) — — — — — — — — Classified (7-9) — — 158 — — 1,832 79 2,069 Total 340,886 219,504 128,667 73,341 39,773 100,409 823 903,403 Other residential Satisfactory (1-4) 83,822 133,648 168,232 142,630 122,614 123,538 3,939 778,423 Watch (5) — — — — — 3,338 — 3,338 Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 83,822 133,648 168,232 142,630 122,614 126,876 3,939 781,761 Commercial real estate Satisfactory (1-4) 221,341 171,484 109,939 203,426 185,682 577,216 36,658 1,505,746 Watch (5) — — — — — 23,338 — 23,338 Special Mention (6) — — — — — — — — Classified (7-9) — — — — — 1,579 — 1,579 Total 221,341 171,484 109,939 203,426 185,682 602,133 36,658 1,530,663 Commercial business Satisfactory (1-4) 45,349 66,258 39,645 15,505 9,309 65,307 64,088 305,461 Watch (5) — — — — — 34 — 34 Special Mention (6) — — — — — — — — Classified (7-9) — — — — — 394 191 585 Total 45,349 66,258 39,645 15,505 9,309 65,735 64,279 306,080 Consumer Satisfactory (1-4) 21,309 11,168 5,711 2,708 3,263 16,380 132,792 193,331 Watch (5) — 28 — 7 — 160 100 295 Special Mention (6) — — — — — — — — Classified (7-9) — 11 9 — 2 248 359 629 Total 21,309 11,207 5,720 2,715 3,265 16,788 133,251 194,255 Combined Satisfactory (1-4) 869,328 1,088,230 635,433 466,685 361,449 884,255 242,085 4,547,465 Watch (5) — 28 — 186 88 28,211 157 28,670 Special Mention (6) — — — — — — — — Classified (7-9) — 11 167 — 2 4,053 1,013 5,246 Total $ 869,328 $ 1,088,269 $ 635,600 $ 466,871 $ 361,539 $ 916,519 $ 243,255 $ 4,581,381 Term Loans by Origination Year Revolving 2021 2020 2019 2018 2017 Prior Loans Total (In Thousands) One- to four-family residential construction Satisfactory (1-4) $ 23,081 $ 4,453 $ 763 $ — $ — $ 5 $ — $ 28,302 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 23,081 4,453 763 — — 5 — 28,302 Subdivision construction Satisfactory (1-4) 24,129 949 224 160 252 965 — 26,679 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — 15 — 15 Total 24,129 949 224 160 252 980 — 26,694 Construction and land development Satisfactory (1-4) 9,968 15,965 11,115 2,591 3,013 4,184 527 47,363 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — 468 468 Total 9,968 15,965 11,115 2,591 3,013 4,184 995 47,831 Other construction Satisfactory (1-4) 145,991 298,710 130,502 42,302 — — — 617,505 Watch (5) — — — — — — — — Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 145,991 298,710 130,502 42,302 — — — 617,505 One- to four-family residential Satisfactory (1-4) 237,498 169,765 93,648 49,618 14,707 113,059 1,662 679,957 Watch (5) — — — 132 — 267 69 468 Special Mention (6) — — — — — — — — Classified (7-9) — — 144 — 50 1,223 83 1,500 Total 237,498 169,765 93,792 49,750 14,757 114,549 1,814 681,925 Other residential Satisfactory (1-4) 117,029 96,551 115,418 179,441 104,053 70,438 11,605 694,535 Watch (5) — — — — — 3,417 — 3,417 Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 117,029 96,551 115,418 179,441 104,053 73,855 11,605 697,952 Commercial real estate Satisfactory (1-4) 141,868 113,226 220,580 231,321 196,166 521,545 22,785 1,447,491 Watch (5) — 410 582 — — 25,742 — 26,734 Special Mention (6) — — — — — — — — Classified (7-9) — — — — — 2,006 — 2,006 Total 141,868 113,636 221,162 231,321 196,166 549,293 22,785 1,476,231 Commercial business Satisfactory (1-4) 67,049 28,743 23,947 16,513 24,126 58,116 76,187 294,681 Watch (5) — — — — — 58 — 58 Special Mention (6) — — — — — — — — Classified (7-9) — — — — — — — — Total 67,049 28,743 23,947 16,513 24,126 58,174 76,187 294,739 Consumer Satisfactory (1-4) 20,140 11,138 7,154 9,065 4,175 24,280 130,111 206,063 Watch (5) — — — 20 4 10 29 63 Special Mention (6) — — — — — — — — Classified (7-9) — 2 — 16 32 280 347 677 Total 20,140 11,140 7,154 9,101 4,211 24,570 130,487 206,803 Combined Satisfactory (1-4) 786,753 739,500 603,351 531,011 346,492 792,592 242,877 4,042,576 Watch (5) — 410 582 152 4 29,494 98 30,740 Special Mention (6) — — — — — — — — Classified (7-9) — 2 144 16 82 3,524 898 4,666 Total $ 786,753 $ 739,912 $ 604,077 $ 531,179 $ 346,578 $ 825,610 $ 243,873 $ 4,077,982 |
Schedule of related party transactions | 2022 2021 (In Thousands) Balance, beginning of year $ 10,097 $ 13,468 New loans 3,079 629 Payments (5,226) (4,000) Balance, end of year $ 7,950 $ 10,097 |
FDIC-Assisted Acquired Loans (T
FDIC-Assisted Acquired Loans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
FDIC-Assisted Acquired Loans | |
Balances of acquired loans related to the various FDIC-assisted transactions | Sun Security TeamBank Vantus Bank Bank InterBank Valley Bank (In Thousands) December 31, 2022 Gross loans receivable $ 2,703 $ 3,983 $ 7,221 $ 24,402 $ 12,750 Balance of accretable discount due to change in expected losses — — — — — Net carrying value of loans receivable $ 2,703 $ 3,983 $ 7,221 $ 24,402 $ 12,750 December 31, 2021 Gross loans receivable $ 3,613 $ 5,304 $ 9,405 $ 32,645 $ 23,632 Balance of accretable discount due to change in expected losses (65) (19) (63) (58) (224) Net carrying value of loans receivable $ 3,548 $ 5,285 $ 9,342 $ 32,587 $ 23,408 |
Other Real Estate Owned and R_2
Other Real Estate Owned and Repossessions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Real Estate Owned and Repossessions | |
Schedule of major classifications of other real estate owned | 2022 2021 (In Thousands) Foreclosed assets held for sale and repossessions One- to four-family construction $ — $ — Subdivision construction — — Land development — 315 Commercial construction — — One- to four-family residential — 183 Other residential — — Commercial real estate — — Commercial business — — Consumer 50 90 Foreclosed assets held for sale and repossessions 50 588 Other real estate owned not acquired through foreclosure 183 1,499 Other real estate owned and repossessions $ 233 $ 2,087 |
Schedule of expenses applicable to other real estate owned and repossessions | 2022 2021 2020 (In Thousands) Net gains on sales of other real estate owned and repossessions $ (149) $ (282) $ (480) Valuation write-downs 23 211 1,320 Operating expenses, net of rental income 485 698 1,183 $ 359 $ 627 $ 2,023 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Premises and Equipment | |
Schedule of major classifications of premises and equipment, stated at cost | 2022 2021 (In Thousands) Land $ 39,622 $ 39,440 Buildings and improvements 105,096 101,207 Furniture, fixtures and equipment 67,505 57,982 Operating leases right of use asset 7,397 7,715 219,620 206,344 Less accumulated depreciation 78,550 73,611 $ 141,070 $ 132,733 |
Schedule of calculated amounts of the right of use assets and lease liabilities | At or For the Year Ended December 31, 2022 December 31, 2021 (In Thousands) Statement of Financial Condition Operating leases right of use asset $ 7,397 $ 7,715 Operating leases liability $ 7,599 $ 7,886 Statement of Income Operating lease costs classified as occupancy and equipment expense $ 1,579 $ 1,529 (includes short-term lease costs and amortization of right of use asset) Supplemental Cash Flow Information Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,547 $ 1,483 Right of use assets obtained in exchange for lease obligations: Operating leases $ 618 $ 74 |
Schedule of future expected lease payments for leases with terms exceeding one year | 2023 $ 1,199 2024 1,146 2025 1,126 2026 1,064 2027 987 Thereafter 3,206 Future lease payments expected 8,728 Less interest portion of lease payments (1,129) Lease liability $ 7,599 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Deposits | |
Schedule of deposits | Weighted Average Interest Rate 2022 2021 (In Thousands, Except Interest Rates) Non-interest-bearing accounts — $ 1,063,588 $ 1,209,822 Interest-bearing checking and savings accounts 0.90% and 0.12% 2,338,535 2,381,210 3,402,123 3,591,032 Certificate accounts 0% - 0.99% 280,784 825,217 1% - 1.99% 125,951 73,563 2% - 2.99% 452,123 55,509 3% - 3.99% 267,231 6,780 4% - 4.99% 156,698 — 5% and above — — 1,282,787 961,069 $ 4,684,910 $ 4,552,101 |
Schedule of Maturities of certificates of deposit | At December 31, 2022, scheduled maturities of certificates of deposit were as follows: Retail Brokered Total (In Thousands) 2023 $ 958,115 $ 112,824 $ 1,070,939 2024 42,099 96,961 139,060 2025 13,748 51,706 65,454 2026 2,967 — 2,967 2027 3,532 — 3,532 Thereafter 835 — 835 $ 1,021,296 $ 261,491 $ 1,282,787 |
Schedule of Interest Expense on Deposit Liabilities | 2022 2021 2020 (In Thousands) Checking and savings accounts $ 6,938 $ 4,023 $ 7,096 Certificate accounts 13,980 9,139 25,453 Early withdrawal penalties (242) (60) (118) $ 20,676 $ 13,102 $ 32,431 |
Short-Term Borrowings (Tables)
Short-Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Short-Term Borrowings. | |
Schedule of short-term debt | 2022 2021 (In Thousands) Notes payable – Community Development Equity Funds $ 1,083 $ 1,449 Other interest-bearing liabilities — 390 Securities sold under reverse repurchase agreements 176,843 137,116 Overnight borrowings from the Federal Home Loan Bank 88,500 — $ 266,426 $ 138,955 |
Schedule of securities sold under reverse repurchase agreements, which contractually mature daily | 2022 2021 (In Thousands) Mortgage-backed securities – GNMA, FNMA, FHLMC $ 176,843 $ 137,116 |
Subordinated Debentures Issue_2
Subordinated Debentures Issued to Capital Trusts (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Subordinated Debentures Issued to Capital Trusts | |
Schedule of subordinated debentures issued to capital trusts | 2022 2021 (In Thousands) Subordinated debentures $ 25,774 $ 25,774 |
Subordinated Notes (Tables)
Subordinated Notes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Subordinated Notes | |
Schedule of subordinated notes | 2022 2021 (In Thousands) Subordinated notes $ 75,000 $ 75,000 Less: unamortized debt issuance costs 719 1,016 $ 74,281 $ 73,984 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Taxes | |
Schedule of provision for income taxes | 2022 2021 2020 (In Thousands) Taxes currently payable $ 15,769 $ 16,025 $ 25,259 Deferred income taxes (benefit) 2,485 3,712 (11,480) Income taxes $ 18,254 $ 19,737 $ 13,779 |
Schedule of deferred tax assets and liabilities | December 31, 2022 2021 (In Thousands) Deferred tax assets Allowance for credit losses $ 15,618 $ 13,854 Liability for unfunded commitments 3,153 2,196 Interest on nonperforming loans 66 98 Accrued expenses 1,341 1,227 Write-down of foreclosed assets — 35 Write-down of fixed assets 67 62 Unrealized loss on available-for-sale securities 15,407 — Unrealized loss on active cash flow derivatives 7,695 — Income recognized for tax in excess of book related to terminated cash flow derivatives 5,530 6,978 Deferred income 290 298 Difference in basis for acquired assets and liabilities 686 893 49,853 25,641 Deferred tax liabilities Tax depreciation in excess of book depreciation (8,210) (5,681) FHLB stock dividends (337) (313) Partnership tax credits (668) (251) Prepaid expenses (1,196) (883) Unrealized gain on securities transferred to held-to-maturity securities (29) — Unrealized gain on available-for-sale securities — (2,698) Unrealized gain on terminated cash flow derivatives (5,530) (6,978) Other (235) (328) (16,205) (17,132) Net deferred tax asset $ 33,648 $ 8,509 |
Schedule of reconciliations of the effective tax rates from continuing operations to the statutory corporate tax rates | 2022 2021 2020 Tax at statutory rate 21.0 % 21.0 % 21.0 % Nontaxable interest and dividends (0.5) (0.3) (0.5) Tax credits (1.6) (1.8) (3.8) State taxes 1.8 1.3 1.4 Deferred tax rate change benefit (0.6) — — Other (0.7) 0.7 0.8 19.4 % 20.9 % 18.9 % |
Disclosures About Fair Value _2
Disclosures About Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosures About Fair Value of Financial Instruments | |
Schedule of fair value measurements of assets recognized in the accompanying statements of financial condition measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements | Fair Value Measurements Using Quoted Prices in Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) (In Thousands) December 31, 2022 Available-for-sale securities Agency mortgage-backed securities $ 286,482 $ — $ 286,482 $ — Agency collateralized mortgage obligations 78,474 — 78,474 — States and political subdivisions securities 57,495 — 57,495 — Small Business Administration securities 68,141 — 68,141 — Interest rate derivative asset 11,061 — 11,061 — Interest rate derivative liability (42,097) — (42,097) — December 31, 2021 Available-for-sale securities Agency mortgage-backed securities $ 229,441 $ — $ 229,441 $ — Agency collateralized mortgage obligations 204,277 — 204,277 — States and political subdivisions securities 40,015 — 40,015 — Small Business Administration securities 27,299 — 27,299 — Interest rate derivative asset 2,816 — 2,816 — Interest rate derivative liability (2,895) — (2,895) — |
Schedule of fair value measurements of assets measured at fair value on a nonrecurring basis | Fair Value Measurements Using Quoted Prices in Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) (In Thousands) December 31, 2022 Collateral-dependent loans $ 785 $ — $ — $ 785 Foreclosed assets held for sale $ — $ — $ — $ — December 31, 2021 Collateral-dependent loans $ 1,712 $ — $ — $ 1,712 Foreclosed assets held for sale $ 315 $ — $ — $ 315 |
Schedule of estimated fair values of the Company's financial instruments not recorded at fair value on the statements of financial condition | December 31, 2022 December 31, 2021 Carrying Fair Hierarchy Carrying Fair Hierarchy Amount Value Level Amount Value Level (Dollars in Thousands) Financial assets Cash and cash equivalents $ 168,520 $ 168,520 1 $ 717,267 $ 717,267 1 Held-to-maturity securities 202,495 177,765 2 — — 2 Mortgage loans held for sale 4,811 4,811 2 8,735 8,735 2 Loans, net of allowance for credit losses 4,506,836 4,391,084 3 4,007,500 4,001,362 3 Interest receivable 19,107 19,107 3 10,705 10,705 3 Investment in FHLB stock and other assets 30,814 30,814 3 6,655 6,655 3 Financial liabilities Deposits 4,684,910 4,672,913 3 4,552,101 4,552,202 3 Short-term borrowings 266,426 266,426 3 138,955 138,955 3 Subordinated debentures 25,774 25,774 3 25,774 25,774 3 Subordinated notes 74,281 72,000 2 73,984 81,000 2 Interest payable 3,010 3,010 3 646 646 3 Unrecognized financial instruments (net of contractual value) Commitments to originate loans — — 3 — — 3 Letters of credit 73 73 3 50 50 3 Lines of credit — — 3 — — 3 |
Derivatives and Hedging Activ_2
Derivatives and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Derivatives and Hedging Activities | |
Schedule of fair value of derivative Instruments and location in statements of financials | Location in Fair Value Consolidated Statements December 31, December 31, of Financial Condition 2022 2021 (In Thousands) Derivatives designated as hedging instruments Derivative Liabilities Active interest rate swaps Accrued expenses and other liabilities $ 31,277 $ — Total derivatives designated as hedging instruments $ 31,277 $ — Derivatives not designated as hedging instruments Derivative Assets Interest rate products Prepaid expenses and other assets $ 11,061 $ 2,816 Total derivatives not designated as hedging instruments $ 11,061 $ 2,816 Derivative Liabilities Interest rate products Accrued expenses and other liabilities $ 10,820 $ 2,895 Total derivatives not designated as hedging instruments $ 10,820 $ 2,895 |
Schedule of effect of cash flow hedge accounting through accumulated other comprehensive income on statements of comprehensive income | Amount of Gain (Loss) Recognized in AOCI Year Ended December 31 Cash Flow Hedges 2022 2021 2020 (In Thousands) Terminated interest rate swaps, net of income taxes $ (6,271) $ (6,271) $ 6,691 Active interest rate swaps, net of income taxes (23,582) — — $ (29,853) $ (6,271) $ 6,691 |
Schedule of effect of cash flow hedge accounting on statements of operations | Year Ended December 31 Cash Flow Hedges 2022 2021 2020 Interest Interest Interest Interest Interest Interest Income Expense Income Expense Income Expense (In Thousands) Terminated interest rate swaps $ 8,123 $ — $ 8,123 $ — $ 7,676 $ — Active interest rate swaps (941) — — — — — $ 7,182 $ — $ 8,123 $ — $ 7,676 $ — |
Additional Cash Flow Informat_2
Additional Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Additional Cash Flow Information | |
Schedule of cash flow, supplemental disclosures | Year Ended December 31, 2022 2021 2020 (In Thousands) Noncash Investing and Financing Activities Real estate acquired in settlement of loans $ 371 $ 1,154 $ 1,707 Transfer of available-for-sale securities to held-to-maturity 226 — — Sale and financing of foreclosed assets — — 625 Conversion of premises and equipment to foreclosed assets — 1,215 80 Dividends declared but not paid 4,893 4,727 4,676 Additional Cash Payment Information Interest paid 24,999 22,700 42,221 Income taxes paid 10,258 12,959 18,755 |
Stock Compensation Plans (Table
Stock Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Stock Compensation Plans | |
Schedule of share-based compensation, stock options, activity | Shares Weighted Available Under Average to Grant Option Exercise Price Balance, January 1, 2020 436,900 807,868 $ 49.139 Granted from 2018 Plan (196,350) 196,350 41.740 Exercised — (21,436) 33.805 Forfeited from terminated plan(s) — (6,875) 38.849 Forfeited from current plan(s) 4,800 (4,800) 57.513 Balance, December 31, 2020 245,350 971,107 48.079 Granted from 2018 Plan (202,700) 202,700 57.980 Exercised — (91,285) 40.532 Forfeited from terminated plan(s) — (5,197) 44.563 Forfeited from current plan(s) 44,022 (44,022) 52.256 Balance, December 31, 2021 86,672 1,033,303 50.528 Granted from 2018 Plan (2,500) 2,500 61.550 Forfeited from terminated plan(s) 39,235 (39,235) 52.523 Termination of 2018 Plan (123,407) — — Available to Grant from 2022 Plan 800,000 — — Granted from 2022 Plan (205,900) 205,900 61.505 Exercised — (136,801) 42.149 Forfeited from current plan(s) 750 (750) 61.550 Balance, December 31, 2022 594,850 1,064,917 $ 53.671 |
Schedule of fair value option pricing model assumptions | 2022 2021 2020 Expected dividends per share $ 1.60 $ 1.44 $ 1.36 Risk-free interest rate 3.77 % 1.24 % 0.35 % Expected life of options 6 years 5 years 5 years Expected volatility 23.70 % 28.33 % 29.32 % Weighted average fair value of options granted during year $ 13.46 $ 11.56 $ 7.30 |
Schedule of share-based compensation, activity | Weighted Weighted Average Average Remaining Exercise Contractual Options Price Term Options outstanding, January 1, 2022 1,033,303 $ 50.528 7.05 years Granted 208,400 61.506 Exercised (136,801) 42.149 Forfeited (39,985) 52.692 Options outstanding, December 31, 2022 1,064,917 53.671 7.13 years Options exercisable, December 31, 2022 428,073 $ 50.098 5.00 years |
Schedule of nonvested share activity | Weighted Weighted Average Average Exercise Grant Date Options Price Fair Value Nonvested options, January 1, 2022 611,956 $ 53.091 $ 9.768 Granted 208,400 61.506 13.317 Vested this period (147,716) 52.100 9.148 Nonvested options forfeited (35,796) 53.125 9.798 Nonvested options, December 31, 2022 636,844 $ 56.073 $ 11.117 |
Schedule of share-based compensation arrangement by share-based payment award, options, vested and expected to vest, exercisable | The following table further summarizes information about stock options outstanding at December 31, 2022: Options Outstanding Weighted Options Exercisable Average Weighted Weighted Remaining Average Average Number Contractual Exercise Number Exercise Range of Exercise Prices Outstanding Term Price Exercisable Price $23.860 to 29.640 9,977 0.85 years $ 28.714 9,977 $ 28.714 $32.590 to 38.610 27,981 1.96 years 33.289 27,981 33.289 $41.300 to 41.740 210,423 6.80 years 41.630 86,383 41.473 $50.710 to 59.750 467,102 6.61 years 55.388 234,308 53.218 $60.150 to 62.010 349,434 8.61 years 60.972 69,424 60.150 1,064,917 7.13 years $ 53.671 428,073 $ 50.098 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accumulated Other Comprehensive Income | |
Schedule of amounts in accumulated other comprehensive income (loss) to be recognized over next fiscal year | 2022 2021 (In Thousands) Net unrealized gain (loss) on available-for-sale securities $ (62,622) $ 11,834 Net unrealized gain on held-to-maturity securities 118 — Net unrealized gain (loss) on active derivatives used for cash flow hedges (31,277) — Net unrealized gain on terminated derivatives used for cash flow hedges 22,478 30,601 (71,303) 42,435 Tax effect 17,948 (9,676) Net-of-tax amount $ (53,355) $ 32,759 |
Schedule of amounts reclassified from accumulated other comprehensive income | Amounts Reclassified from AOCI Affected Line Item in the 2022 2021 2020 Statements of Income (In Thousands) Unrealized gains/(losses) on available-for-sale securities $ (130) $ — $ 78 Net realized gains (losses) on available-for-sale securities (total reclassified amount before tax) Change in fair value of cash flow hedge 8,123 8,123 6,764 Amortization of realized gain on termination of cash flow hedge (total reclassification amount before tax) Income taxes (1,820) (1,852) (1,559) Tax (expense) benefit Total reclassifications out of AOCI $ 6,173 $ 6,271 $ 5,283 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Regulatory Matters | |
Schedule of company's and the bank's actual capital amounts and ratios | To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars In Thousands) As of December 31, 2022 Total capital Great Southern Bancorp, Inc. $ 746,287 13.5 % $ 440,767 8.0 % N/A N/A Great Southern Bank $ 721,616 13.1 % $ 440,683 8.0 % $ 550,854 10.0 % Tier I capital Great Southern Bancorp, Inc. $ 607,807 11.0 % $ 330,575 6.0 % N/A N/A Great Southern Bank $ 658,136 11.9 % $ 330,512 6.0 % $ 440,683 8.0 % Tier I leverage capital Great Southern Bancorp, Inc. $ 607,807 10.6 % $ 228,673 4.0 % N/A N/A Great Southern Bank $ 658,136 11.5 % $ 228,511 4.0 % $ 285,638 5.0 % Common equity Tier I capital Great Southern Bancorp, Inc. $ 582,807 10.6 % $ 247,932 4.5 % N/A N/A Great Southern Bank $ 658,136 11.9 % $ 247,884 4.5 % $ 358,055 6.5 % As of December 31, 2021 Total capital Great Southern Bancorp, Inc. $ 745,641 16.3 % $ 365,120 8.0 % N/A N/A Great Southern Bank $ 701,215 15.4 % $ 365,048 8.0 % $ 456,310 10.0 % Tier I capital Great Southern Bancorp, Inc. $ 613,544 13.4 % $ 273,840 6.0 % N/A N/A Great Southern Bank $ 644,134 14.1 % $ 273,786 6.0 % $ 365,048 8.0 % Tier I leverage capital Great Southern Bancorp, Inc. $ 613,544 11.3 % $ 217,264 4.0 % N/A N/A Great Southern Bank $ 644,134 11.9 % $ 217,209 4.0 % $ 271,511 5.0 % Common equity Tier I capital Great Southern Bancorp, Inc. $ 588,544 12.9 % $ 205,380 4.5 % N/A N/A Great Southern Bank $ 644,134 14.1 % $ 205,340 4.5 % $ 296,602 6.5 % |
Summary of Unaudited Quarterl_2
Summary of Unaudited Quarterly Operating Results (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Summary of Unaudited Quarterly Operating Results | |
Summary of unaudited quarterly operating results | 2022 Three Months Ended March 31 June 30 September 30 December 31 (In Thousands, Except Per Share Data) Interest income $ 46,673 $ 52,698 $ 59,657 $ 67,949 Interest expense 3,407 3,867 6,759 13,330 Provision (credit) for credit losses on loans — — 2,000 1,000 Provision (credit) for unfunded commitments (193) 2,223 1,315 (159) Net realized gain (loss) on available-for-sale securities 7 — 31 (168) Non-interest income 9,176 9,319 7,984 7,661 Non-interest expense 31,268 33,004 34,758 34,336 Provision for income taxes 4,380 4,699 4,676 4,499 Net income available to common shareholders 16,987 18,224 18,133 22,604 Earnings per common share – diluted 1.30 1.44 1.46 1.84 2021 Three Months Ended March 31 June 30 September 30 December 31 (In Thousands, Except Per Share Data) Interest income $ 50,633 $ 50,452 $ 49,640 $ 47,948 Interest expense 6,544 5,768 4,717 3,723 Provision (credit) for credit losses on loans 300 (1,000) (3,000) (3,000) Provision (credit) for unfunded commitments (674) (307) 643 1,277 Non-interest income 9,736 9,585 9,798 9,198 Non-interest expense 30,321 30,191 31,339 35,784 Provision for income taxes 5,010 5,271 5,375 4,081 Net income available to common shareholders 18,868 20,114 20,364 15,281 Earnings per common share – diluted 1.36 1.46 1.49 1.14 2020 Three Months Ended March 31 June 30 September 30 December 31 (In Thousands, Except Per Share Data) Interest income $ 57,474 $ 54,011 $ 53,599 $ 52,619 Interest expense 12,536 10,556 9,431 8,042 Provision for credit losses on loans 3,871 6,000 4,500 1,500 Net realized gains on available-for-sale securities — 78 — — Non-interest income 7,367 8,261 9,466 9,956 Non-interest expense 30,815 29,349 31,988 31,073 Provision for income taxes 2,751 3,164 3,692 4,172 Net income available to common shareholders 14,868 13,203 13,454 17,788 Earnings per common share – diluted 1.04 0.93 0.96 1.28 |
Condensed Parent Company Stat_2
Condensed Parent Company Statements (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Condensed Parent Company Statements | |
Schedule of condensed statements of financial condition | December 31, 2022 2021 (In Thousands) Statements of Financial Condition Assets Cash $ 29,097 $ 48,372 Investment in subsidiary bank 608,416 672,342 Deferred and accrued income taxes 148 94 Prepaid expenses and other assets 882 868 $ 638,543 $ 721,676 Liabilities and Stockholders’ Equity Accounts payable and accrued expenses $ 5,401 $ 5,166 Subordinated debentures issued to capital trust 25,774 25,774 Subordinated notes 74,281 73,984 Common stock 122 131 Additional paid-in capital 42,445 38,314 Retained earnings 543,875 545,548 Accumulated other comprehensive income (loss) (53,355) 32,759 $ 638,543 $ 721,676 |
Schedule of condensed statements of income | 2022 2021 2020 (In Thousands) Statements of Income Income Dividends from subsidiary bank $ 60,000 $ 74,000 $ 40,000 Other income — — 5 60,000 74,000 40,005 Expense Operating expenses 2,550 2,121 2,197 Interest expense 5,298 7,613 7,459 7,848 9,734 9,656 Income before income tax and equity in undistributed earnings of subsidiaries 52,152 64,266 30,349 Credit for income taxes (1,608) (1,850) (1,800) Income before equity in earnings of subsidiaries 53,760 66,116 32,149 Equity in undistributed earnings of subsidiaries 22,188 8,511 27,164 Net income $ 75,948 $ 74,627 $ 59,313 |
Schedule of condensed statements of cashflows | 2022 2021 2020 (In Thousands) Statements of Cash Flows Operating Activities Net income $ 75,948 $ 74,627 $ 59,313 Items not requiring (providing) cash Equity in undistributed earnings of subsidiary (22,188) (8,511) (27,164) Compensation expense for stock option grants 1,437 1,225 1,153 Amortization of interest rate derivative and deferred costs on subordinated notes 297 587 608 Changes in Prepaid expenses and other assets (14) 15 (15) Accounts payable and accrued expenses 69 (1,661) 31 Income taxes (54) 63 (46) Net cash provided by operating activities 55,495 66,345 33,880 Investing Activities Net cash provided by investing activities — — — Financing Activities Purchases of the Company’s common stock (61,847) (39,123) (22,104) Proceeds from issuance of subordinated notes — — 73,513 Redemption of subordinated notes — (75,000) — Dividends paid (19,181) (18,800) (33,426) Stock options exercised 6,258 3,700 661 Net cash provided by (used in) financing activities (74,770) (129,223) 18,644 Increase (Decrease) in Cash (19,275) (62,878) 52,524 Cash, Beginning of Year 48,372 111,250 58,726 Cash, End of Year $ 29,097 $ 48,372 $ 111,250 Additional Cash Payment Information Interest paid $ 5,115 $ 9,103 $ 7,349 |
Schedule of condensed statements of comprehensive income | 2022 2021 2020 (In Thousands) Statements of Comprehensive Income Net Income $ 75,948 $ 74,627 $ 59,313 Comprehensive income (loss) of subsidiaries (86,114) (20,392) 20,905 Comprehensive Income $ (10,166) $ 54,235 $ 80,218 |
Nature of Operations and Summ_4
Nature of Operations and Summary of Significant Accounting Policies - Impairment or Disposal of Long-Lived Assets (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Nature of Operations and Summary of Significant Accounting Policies | |||
Asset impairment charges | $ 0 | $ 0 | $ 0 |
Nature of Operations and Summ_5
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Intangible Assets and Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Nature of Operations and Summary of Significant Accounting Policies | ||
Intangible assets, amortization period | 7 years | |
Goodwill -- Branch acquisitions | $ 5,396 | $ 5,396 |
Finite-Lived Core Deposits, Gross | 5,417 | 685 |
Intangible Assets, Net (Including Goodwill), Total | 10,813 | 6,081 |
Fifth Third Bank | ||
Nature of Operations and Summary of Significant Accounting Policies | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 53 | $ 685 |
Arena Naming Rights | ||
Nature of Operations and Summary of Significant Accounting Policies | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 5,364 |
Nature of Operations and Summ_6
Nature of Operations and Summary of Significant Accounting Policies - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Nature of Operations and Summary of Significant Accounting Policies | |||
Net income and net income available to common shareholders | $ 75,948 | $ 74,627 | $ 59,313 |
Average common shares outstanding | 12,516 | 13,558 | 14,043 |
Average common share stock options outstanding | 91 | 116 | 61 |
Average diluted common shares | 12,607 | 13,674 | 14,104 |
Earnings per common share - basic | $ 6.07 | $ 5.50 | $ 4.22 |
Earnings per common share - diluted | $ 6.02 | $ 5.46 | $ 4.21 |
Nature of Operations and Summ_7
Nature of Operations and Summary of Significant Accounting Policies - Options to Purchase Shares of Common Stock (Details) - shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Nature of Operations and Summary of Significant Accounting Policies | |||
Options to purchase shares of common stock outstanding not included in computation of diluted earnings per share because exercise price greater than average market price | 559,484 | 383,338 | 758,901 |
Nature of Operations and Summ_8
Nature of Operations and Summary of Significant Accounting Policies - Stock Compensation Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Nature of Operations and Summary of Significant Accounting Policies | |||
Share based compensation expense | $ 1.4 | $ 1.2 | $ 1.2 |
Nature of Operations and Summ_9
Nature of Operations and Summary of Significant Accounting Policies - Allowance for Credit Losses (Details) - USD ($) | 12 Months Ended | |
Jan. 01, 2021 | Dec. 31, 2022 | |
Nature of Operations and Summary of Significant Accounting Policies | ||
TDR loans evaluated on individual | $ 100,000 | $ 100,000 |
Investments in Securities - Inv
Investments in Securities - Investments in Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Investments in Securities | ||
Amortized Cost | $ 553,214 | |
Available-for-sale Securities | ||
Investments in Securities | ||
Amortized Cost | 553,214 | $ 489,198 |
Gross Unrealized Gains | 119 | 15,119 |
Gross Unrealized Losses | 62,741 | 3,285 |
Fair Value | 490,592 | 501,032 |
Agency mortgage-backed securities | Available-for-sale Securities | ||
Investments in Securities | ||
Amortized Cost | 327,266 | 219,624 |
Gross Unrealized Gains | 10,561 | |
Gross Unrealized Losses | 40,784 | 744 |
Fair Value | 286,482 | 229,441 |
Agency collateralized mortgage obligations | Available-for-sale Securities | ||
Investments in Securities | ||
Amortized Cost | 90,205 | 204,332 |
Gross Unrealized Gains | 2,443 | |
Gross Unrealized Losses | 11,731 | 2,498 |
Fair Value | 78,474 | 204,277 |
States and political subdivisions securities | Available-for-sale Securities | ||
Investments in Securities | ||
Amortized Cost | 60,667 | 38,440 |
Gross Unrealized Gains | 119 | 1,618 |
Gross Unrealized Losses | 3,291 | 43 |
Fair Value | 57,495 | 40,015 |
Small Business Administration securities | Available-for-sale Securities | ||
Investments in Securities | ||
Amortized Cost | 75,076 | 26,802 |
Gross Unrealized Gains | 497 | |
Gross Unrealized Losses | 6,935 | |
Fair Value | $ 68,141 | $ 27,299 |
Investments in Securities - Hel
Investments in Securities - Held to maturity securities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Held To Maturity Securities | ||
Amortized cost | $ 202,377 | $ 0 |
Fair Value Adjustment | 118 | |
Amortized Carrying Value | 202,495 | $ 0 |
Gross Unrealized Losses | 24,730 | |
Fair Value | 177,765 | |
Agency mortgage-backed securities | ||
Held To Maturity Securities | ||
Amortized cost | 73,891 | |
Fair Value Adjustment | 3,015 | |
Amortized Carrying Value | 76,906 | |
Gross Unrealized Losses | 9,820 | |
Fair Value | 67,086 | |
Agency collateralized mortgage obligations | ||
Held To Maturity Securities | ||
Amortized cost | 122,247 | |
Fair Value Adjustment | (2,885) | |
Amortized Carrying Value | 119,362 | |
Gross Unrealized Losses | 14,129 | |
Fair Value | 105,233 | |
States and political subdivisions securities | ||
Held To Maturity Securities | ||
Amortized cost | 6,239 | |
Fair Value Adjustment | (12) | |
Amortized Carrying Value | 6,227 | |
Gross Unrealized Losses | 781 | |
Fair Value | $ 5,446 |
Investments in Securities - Unr
Investments in Securities - Unrealized Gain (Loss) on Investments (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
HELD-TO-MATURITY SECURITIES: | ||
Held-to-maturity securities, Less than 12 Month, Fair Value | $ 121,173 | |
Held-to-maturity securities, Less than 12 Months, Unrealized Losses | (14,278) | |
Held-to-maturity securities, 12 Months or Longer, Fair Value | 56,592 | |
Held-to-maturity securities, 12 Months or Longer, Unrealized Losses | (10,452) | |
Held-to-maturity securities, Fair Value | 177,765 | |
Held-to-maturity securities, Unrealized Losses | (24,730) | |
Agency mortgage-backed securities. | ||
AVAILABLE-FOR-SALE SECURITIES: | ||
Available-for-sale securities, Less than Twelve Months, Fair Value | 221,562 | $ 47,769 |
Available-for-sale Securities, Less than 12 Months, Unrealized Loss | (27,597) | (388) |
Available-for-sale securities, Twelve Months or Longer, Fair Value | 64,918 | 10,583 |
Available-for-sale Securities,12 Months or Longer, Unrealized Loss | (13,187) | (356) |
Available-for-sale securities, Fair Value | 286,480 | 58,352 |
Available-for-sale securities, Unrealized Loss | (40,784) | (744) |
HELD-TO-MATURITY SECURITIES: | ||
Held-to-maturity securities, Less than 12 Month, Fair Value | 59,218 | |
Held-to-maturity securities, Less than 12 Months, Unrealized Losses | (7,766) | |
Held-to-maturity securities, 12 Months or Longer, Fair Value | 7,868 | |
Held-to-maturity securities, 12 Months or Longer, Unrealized Losses | (2,054) | |
Held-to-maturity securities, Fair Value | 67,086 | |
Held-to-maturity securities, Unrealized Losses | (9,820) | |
Agency collateralized mortgage obligations | ||
AVAILABLE-FOR-SALE SECURITIES: | ||
Available-for-sale securities, Less than Twelve Months, Fair Value | 28,537 | 92,727 |
Available-for-sale Securities, Less than 12 Months, Unrealized Loss | (3,262) | (1,588) |
Available-for-sale securities, Twelve Months or Longer, Fair Value | 40,642 | 16,298 |
Available-for-sale Securities,12 Months or Longer, Unrealized Loss | (8,469) | (910) |
Available-for-sale securities, Fair Value | 69,179 | 109,025 |
Available-for-sale securities, Unrealized Loss | (11,731) | (2,498) |
HELD-TO-MATURITY SECURITIES: | ||
Held-to-maturity securities, Less than 12 Month, Fair Value | 61,055 | |
Held-to-maturity securities, Less than 12 Months, Unrealized Losses | (6,411) | |
Held-to-maturity securities, 12 Months or Longer, Fair Value | 44,178 | |
Held-to-maturity securities, 12 Months or Longer, Unrealized Losses | (7,718) | |
Held-to-maturity securities, Fair Value | 105,233 | |
Held-to-maturity securities, Unrealized Losses | (14,129) | |
States and political subdivisions securities | ||
AVAILABLE-FOR-SALE SECURITIES: | ||
Available-for-sale securities, Less than Twelve Months, Fair Value | 44,455 | 6,537 |
Available-for-sale Securities, Less than 12 Months, Unrealized Loss | (2,913) | (43) |
Available-for-sale securities, Twelve Months or Longer, Fair Value | 3,753 | |
Available-for-sale Securities,12 Months or Longer, Unrealized Loss | (378) | |
Available-for-sale securities, Fair Value | 48,208 | 6,537 |
Available-for-sale securities, Unrealized Loss | (3,291) | (43) |
HELD-TO-MATURITY SECURITIES: | ||
Held-to-maturity securities, Less than 12 Month, Fair Value | 900 | |
Held-to-maturity securities, Less than 12 Months, Unrealized Losses | (101) | |
Held-to-maturity securities, 12 Months or Longer, Fair Value | 4,546 | |
Held-to-maturity securities, 12 Months or Longer, Unrealized Losses | (680) | |
Held-to-maturity securities, Fair Value | 5,446 | |
Held-to-maturity securities, Unrealized Losses | (781) | |
Small Business Administration securities | ||
AVAILABLE-FOR-SALE SECURITIES: | ||
Available-for-sale securities, Less than Twelve Months, Fair Value | 60,473 | |
Available-for-sale Securities, Less than 12 Months, Unrealized Loss | (5,224) | |
Available-for-sale securities, Twelve Months or Longer, Fair Value | 7,667 | |
Available-for-sale Securities,12 Months or Longer, Unrealized Loss | (1,711) | |
Available-for-sale securities, Fair Value | 68,140 | |
Available-for-sale securities, Unrealized Loss | (6,935) | |
Unrealized Losses and Estimated Fair Value | ||
AVAILABLE-FOR-SALE SECURITIES: | ||
Available-for-sale securities, Less than Twelve Months, Fair Value | 355,027 | 147,033 |
Available-for-sale Securities, Less than 12 Months, Unrealized Loss | (38,996) | (2,019) |
Available-for-sale securities, Twelve Months or Longer, Fair Value | 116,980 | 26,881 |
Available-for-sale Securities,12 Months or Longer, Unrealized Loss | (23,745) | (1,266) |
Available-for-sale securities, Fair Value | 472,007 | 173,914 |
Available-for-sale securities, Unrealized Loss | $ (62,741) | $ (3,285) |
Investments in Securities - I_2
Investments in Securities - Investments Classified by Contractual Maturity Date (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Available-for-Sale - Amortized cost | ||
After four through five years | $ 245 | |
After five through fifteen years | 6,761 | |
After fifteen years | 53,661 | |
Securities not due on a single maturity date | 492,547 | |
Available-for-sale Securities, Amortized Cost, Total | 553,214 | |
Available-for-Sale - Fair Value | ||
After four through five years | 245 | |
After five through fifteen years | 6,565 | |
After fifteen years | 50,685 | |
Securities not due on a single maturity date | 433,097 | |
Available-for-sale Securities, Fair Value, Total | 490,592 | $ 501,032 |
Held-to-Maturity - Amortized Carrying Value | ||
After five through fifteen years | 2,578 | |
After fifteen years | 3,649 | |
Securities not due on a single maturity date | 196,268 | |
Held-to-Maturity, Amortized Carrying Value, Total | 202,495 | $ 0 |
Held-to-Maturity - Fair Value | ||
After five through fifteen years | 2,233 | |
After fifteen years | 3,213 | |
Securities not due on a single maturity date | 172,319 | |
Held-to-maturity, Fair Value, Total | $ 177,765 |
Investments in Securities - I_3
Investments in Securities - Investments Classified by Contractual Maturity Date (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
Investments in Securities | |
Debt Securities, Available-for-sale, Maturity, without Single Maturity Date, Amortized Cost | $ 492,547 |
Debt Securities, Available-for-sale, Maturity, without Single Maturity Date, Fair Value | $ 433,097 |
Investments in Securities - Sch
Investments in Securities - Schedule of Financial Instruments Owned and Pledged as Collateral (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Public deposits | ||
Investments in Securities | ||
Securities owned and pledged as collateral amortized cost | $ 15,402 | $ 4,742 |
Public deposits | Estimate of Fair Value Measurement | ||
Investments in Securities | ||
Fair Value | 13,489 | 5,029 |
Collateralized borrowing accounts | ||
Investments in Securities | ||
Securities owned and pledged as collateral amortized cost | 210,330 | 133,242 |
Collateralized borrowing accounts | Estimate of Fair Value Measurement | ||
Investments in Securities | ||
Fair Value | 186,170 | 139,112 |
Other | ||
Investments in Securities | ||
Securities owned and pledged as collateral amortized cost | 4,018 | 6,257 |
Other | Estimate of Fair Value Measurement | ||
Investments in Securities | ||
Fair Value | 3,764 | 6,461 |
Securities Pledged as Collateral | ||
Investments in Securities | ||
Securities owned and pledged as collateral amortized cost | 229,750 | 144,241 |
Securities Pledged as Collateral | Estimate of Fair Value Measurement | ||
Investments in Securities | ||
Fair Value | $ 203,423 | $ 150,602 |
Investments in Securities - Add
Investments in Securities - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Investments in Securities | |||
Securities transferred from available for sale portfolio to held to maturity portfolio | $ 226,500,000 | $ 0 | |
Net unrealized gains on transfers | 1,000,000 | ||
Net of income tax | $ 775,000 | ||
Net unrealized gains on transfers | 118,000 | ||
Net of income tax | 89,000 | ||
Available-for-sale securities | 490,592,000 | $ 501,032,000 | |
Fair value of debt securities reported less than their historical cost | $ 472,000,000 | $ 173,900,000 | |
Debt securities reported less than their historical cost percent of investment portfolio | 96.20% | 34.70% | |
Held-to-maturity investment portfolio | 100% | ||
Held-to-maturity securities | $ 202,495,000 | $ 0 | |
Total fair value of held-to-maturity | 177,765,000 | ||
Available-for-sale Securities, Amortized Cost, Total | 553,214,000 | ||
Amortized cost of Held To Maturity securities | 202,377,000 | 0 | |
Available-for-sale Securities | |||
Investments in Securities | |||
Available-for-sale Securities, Amortized Cost, Total | 553,214,000 | 489,198,000 | |
Fixed rates of interest | |||
Investments in Securities | |||
Mortgage backed securities | 286,500,000 | 229,400,000 | |
Federal National Mortgage Association Certificates and Obligations (FNMA) | |||
Investments in Securities | |||
Agency collateralized mortgage obligations | 180,500,000 | ||
Agency mortgage-backed securities | 196,400,000 | ||
Federal Home Loan Mortgage Corporation Certificates and Obligations (FHLMC) | |||
Investments in Securities | |||
Agency collateralized mortgage obligations | 47,400,000 | ||
Agency mortgage-backed securities | 90,100,000 | ||
Government National Mortgage Association Certificates and Obligations (GNMA) | |||
Investments in Securities | |||
Agency collateralized mortgage obligations | $ 1,500,000 | ||
Agency mortgage-backed securities | $ 78,500,000 |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses - Schedule of Accounts, Notes, Loans and Financing Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Loans and Allowance for Credit Losses | |||
Loans receivable | $ 4,581,381 | $ 4,077,552 | |
Allowance for credit losses | (63,480) | (60,754) | $ (67,338) |
Deferred loan fees and gains, net | (11,065) | (9,298) | |
Loans receivable, net | 4,506,836 | 4,007,500 | |
One- to four-family residential construction | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 33,849 | 28,302 | |
Subdivision construction | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 32,067 | 26,694 | |
Land development | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 41,613 | 47,827 | |
Commercial construction | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 757,690 | 617,505 | |
Owner occupied one- to four-family residential | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 778,533 | 561,958 | |
Non-owner occupied one- to four-family residential | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 124,870 | 119,635 | |
Commercial real estate | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 1,530,663 | 1,476,230 | |
Other residential | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 781,761 | 697,903 | |
Commercial business | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 293,228 | 280,513 | |
Industrial revenue bonds | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 12,852 | 14,203 | |
Consumer auto | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 37,281 | 48,915 | |
Consumer other | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | 33,732 | 37,902 | |
Home equity lines of credit | |||
Loans and Allowance for Credit Losses | |||
Loans receivable | $ 123,242 | $ 119,965 |
Loans and Allowance for Credi_4
Loans and Allowance for Credit Losses - Schedule of Loans Classified by Aging Analysis (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
30-59 Days Past Due | Land development | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | $ 29 | |
30-59 Days Past Due | Owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | $ 2,568 | 843 |
30-59 Days Past Due | Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 196 | |
30-59 Days Past Due | Commercial business | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 8 | 1,404 |
30-59 Days Past Due | Consumer auto | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 100 | 229 |
30-59 Days Past Due | Consumer other | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 288 | 126 |
30-59 Days Past Due | Home equity lines of credit | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 234 | |
30-59 Days Past Due | Total | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 3,394 | 2,631 |
30-59 Days Past Due | FDIC-assisted acquired loans included above | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 253 | 433 |
60-89 Days Past Due | Land development | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 15 | |
60-89 Days Past Due | Owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 462 | 2 |
60-89 Days Past Due | Non-owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 63 | |
60-89 Days Past Due | Consumer auto | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 34 | 31 |
60-89 Days Past Due | Consumer other | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 114 | 28 |
60-89 Days Past Due | Home equity lines of credit | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 38 | |
60-89 Days Past Due | Total | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 711 | 76 |
60-89 Days Past Due | FDIC-assisted acquired loans included above | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 4 | |
Over 90 Days Past Due | Land development | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 384 | 468 |
Over 90 Days Past Due | Owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 722 | 2,216 |
Over 90 Days Past Due | Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 1,579 | 2,006 |
Over 90 Days Past Due | Commercial business | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 586 | |
Over 90 Days Past Due | Consumer auto | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 14 | 34 |
Over 90 Days Past Due | Consumer other | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 111 | 63 |
Over 90 Days Past Due | Home equity lines of credit | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 274 | 636 |
Over 90 Days Past Due | Total | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 3,670 | 5,423 |
Over 90 Days Past Due | FDIC-assisted acquired loans included above | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 428 | 1,736 |
Total Past Due | Land development | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 384 | 512 |
Total Past Due | Owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 3,752 | 3,061 |
Total Past Due | Non-owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 63 | |
Total Past Due | Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 1,775 | 2,006 |
Total Past Due | Commercial business | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 594 | 1,404 |
Total Past Due | Consumer auto | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 148 | 294 |
Total Past Due | Consumer other | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 513 | 217 |
Total Past Due | Home equity lines of credit | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 546 | 636 |
Total Past Due | Total | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 7,775 | 8,130 |
Total Past Due | FDIC-assisted acquired loans included above | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 685 | 2,169 |
Current | One- to four-family residential construction | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 33,849 | 28,302 |
Current | Subdivision construction | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 32,067 | 26,694 |
Current | Land development | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 41,229 | 47,315 |
Current | Commercial construction | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 757,690 | 617,505 |
Current | Owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 774,781 | 558,897 |
Current | Non-owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 124,807 | 119,635 |
Current | Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 1,528,888 | 1,474,224 |
Current | Other residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 781,761 | 697,903 |
Current | Commercial business | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 292,634 | 279,109 |
Current | Industrial revenue bonds | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 12,852 | 14,203 |
Current | Consumer auto | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 37,133 | 48,621 |
Current | Consumer other | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 33,219 | 37,685 |
Current | Home equity lines of credit | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 122,696 | 119,329 |
Current | Total | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 4,573,606 | 4,069,422 |
Current | FDIC-assisted acquired loans included above | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 57,923 | 72,001 |
Total Loans Receivable | One- to four-family residential construction | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 33,849 | 28,302 |
Total Loans Receivable | Subdivision construction | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 32,067 | 26,694 |
Total Loans Receivable | Land development | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 41,613 | 47,827 |
Total Loans Receivable | Commercial construction | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 757,690 | 617,505 |
Total Loans Receivable | Owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 778,533 | 561,958 |
Total Loans Receivable | Non-owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 124,870 | 119,635 |
Total Loans Receivable | Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 1,530,663 | 1,476,230 |
Total Loans Receivable | Other residential | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 781,761 | 697,903 |
Total Loans Receivable | Commercial business | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 293,228 | 280,513 |
Total Loans Receivable | Industrial revenue bonds | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 12,852 | 14,203 |
Total Loans Receivable | Consumer auto | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 37,281 | 48,915 |
Total Loans Receivable | Consumer other | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 33,732 | 37,902 |
Total Loans Receivable | Home equity lines of credit | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 123,242 | 119,965 |
Total Loans Receivable | Total | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | 4,581,381 | 4,077,552 |
Total Loans Receivable | FDIC-assisted acquired loans included above | ||
Loans and Allowance for Credit Losses | ||
Financing receivables by class | $ 58,608 | $ 74,170 |
Loans and Allowance for Credi_5
Loans and Allowance for Credit Losses - Financing Receivable, Nonaccrual (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Land development | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | $ 384 | $ 468 |
Owner occupied one- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | 722 | 2,216 |
Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | 1,579 | 2,006 |
Commercial business | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | 586 | |
Consumer auto | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | 14 | 34 |
Consumer other | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | 111 | 63 |
Home equity lines of credit | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | 274 | 636 |
Total | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | 3,670 | 5,423 |
FDIC-assisted acquired loans included above | ||
Loans and Allowance for Credit Losses | ||
Total non-accruing loans | $ 428 | $ 1,736 |
Loans and Allowance for Credi_6
Loans and Allowance for Credit Losses - Financing Receivable, Allowance for Credit Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | $ 60,754 | $ 67,338 | |
Provision (credit) charged to expense | 3,000 | (6,700) | $ 15,871 |
Losses charged off | (2,169) | (2,621) | |
Recoveries | 1,895 | 2,737 | |
Balance at end of period | 63,480 | 60,754 | 67,338 |
Loans Receivable | |||
Loans and Allowance for Credit Losses | |||
Individually evaluated for impairment | 713 | ||
Collectively evaluated for impairment | 54,350 | ||
Loans acquired and accounted for under ASC 310-30 | 680 | ||
Individually evaluated for impairment | 9,048 | ||
Collectively evaluated for impairment | 5,117,838 | ||
Loans acquired and accounted for under ASC 310-30 | 98,643 | ||
Loans Receivable | Allowance For Credit Losses | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 55,743 | 40,294 | |
Provision (credit) charged to expense | 15,871 | ||
Losses charged off | (3,294) | ||
Recoveries | 2,872 | ||
Balance at end of period | 55,743 | ||
Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 9,629 | 8,690 | |
Provision (credit) charged to expense | 3,187 | 939 | |
Balance at end of period | 12,816 | 9,629 | 8,690 |
CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 11,595 | ||
Balance at end of period | 11,595 | ||
CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 8,690 | ||
Before CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 55,743 | ||
Balance at end of period | 55,743 | ||
Before CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 0 | ||
One- To Four-Family Residential | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 9,364 | 9,069 | |
Provision (credit) charged to expense | 1,652 | ||
Losses charged off | (40) | (190) | |
Recoveries | 195 | 485 | |
Balance at end of period | 11,171 | 9,364 | 9,069 |
Individually evaluated for impairment | 90 | ||
Collectively evaluated for impairment | 4,382 | ||
Loans acquired and accounted for under ASC 310-30 | 64 | ||
Individually evaluated for impairment | 3,546 | ||
Collectively evaluated for impairment | 655,146 | ||
Loans acquired and accounted for under ASC 310-30 | 57,113 | ||
One- To Four-Family Residential | Allowance For Credit Losses | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 4,536 | 4,339 | |
Provision (credit) charged to expense | 84 | ||
Losses charged off | (70) | ||
Recoveries | 183 | ||
Balance at end of period | 4,536 | ||
One- To Four-Family Residential | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 687 | 917 | |
Provision (credit) charged to expense | 49 | (230) | |
Balance at end of period | 736 | 687 | 917 |
One- To Four-Family Residential | CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 4,533 | ||
Balance at end of period | 4,533 | ||
One- To Four-Family Residential | CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 917 | ||
One- To Four-Family Residential | Before CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 4,536 | ||
Balance at end of period | 4,536 | ||
One- To Four-Family Residential | Before CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 0 | ||
Other Residential | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 10,502 | 15,207 | |
Provision (credit) charged to expense | 1,498 | (4,797) | |
Recoveries | 110 | 92 | |
Balance at end of period | 12,110 | 10,502 | 15,207 |
Collectively evaluated for impairment | 9,282 | ||
Loans acquired and accounted for under ASC 310-30 | 93 | ||
Collectively evaluated for impairment | 1,021,145 | ||
Loans acquired and accounted for under ASC 310-30 | 6,150 | ||
Other Residential | Allowance For Credit Losses | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 9,375 | 5,153 | |
Provision (credit) charged to expense | 4,042 | ||
Recoveries | 180 | ||
Balance at end of period | 9,375 | ||
Other Residential | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 5,703 | 5,227 | |
Provision (credit) charged to expense | 2,921 | 476 | |
Balance at end of period | 8,624 | 5,703 | 5,227 |
Other Residential | CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 5,832 | ||
Balance at end of period | 5,832 | ||
Other Residential | CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 5,227 | ||
Other Residential | Before CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 9,375 | ||
Balance at end of period | 9,375 | ||
Other Residential | Before CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 0 | ||
Commercial Real Estate | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 28,604 | 31,176 | |
Provision (credit) charged to expense | (1,465) | (2,478) | |
Losses charged off | (44) | (142) | |
Recoveries | 1 | 48 | |
Balance at end of period | 27,096 | 28,604 | 31,176 |
Individually evaluated for impairment | 445 | ||
Collectively evaluated for impairment | 32,937 | ||
Loans acquired and accounted for under ASC 310-30 | 325 | ||
Individually evaluated for impairment | 3,438 | ||
Collectively evaluated for impairment | 1,550,239 | ||
Loans acquired and accounted for under ASC 310-30 | 24,613 | ||
Commercial Real Estate | Allowance For Credit Losses | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 33,707 | 24,334 | |
Provision (credit) charged to expense | 9,343 | ||
Losses charged off | (43) | ||
Recoveries | 73 | ||
Balance at end of period | 33,707 | ||
Commercial Real Estate | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 367 | 354 | |
Provision (credit) charged to expense | 49 | 13 | |
Balance at end of period | 416 | 367 | 354 |
Commercial Real Estate | CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | (2,531) | ||
Balance at end of period | (2,531) | ||
Commercial Real Estate | CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 354 | ||
Commercial Real Estate | Before CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 33,707 | ||
Balance at end of period | 33,707 | ||
Commercial Real Estate | Before CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 0 | ||
Commercial Construction | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 2,797 | 2,356 | |
Provision (credit) charged to expense | 152 | 575 | |
Losses charged off | (84) | (154) | |
Recoveries | 20 | ||
Balance at end of period | 2,865 | 2,797 | 2,356 |
Collectively evaluated for impairment | 3,378 | ||
Loans acquired and accounted for under ASC 310-30 | 143 | ||
Collectively evaluated for impairment | 1,266,847 | ||
Loans acquired and accounted for under ASC 310-30 | 2,551 | ||
Commercial Construction | Allowance For Credit Losses | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 3,521 | 3,076 | |
Provision (credit) charged to expense | 242 | ||
Losses charged off | (1) | ||
Recoveries | 204 | ||
Balance at end of period | 3,521 | ||
Commercial Construction | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 908 | 910 | |
Provision (credit) charged to expense | (106) | (2) | |
Balance at end of period | 802 | 908 | 910 |
Commercial Construction | CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | (1,165) | ||
Balance at end of period | (1,165) | ||
Commercial Construction | CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 910 | ||
Commercial Construction | Before CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 3,521 | ||
Balance at end of period | 3,521 | ||
Commercial Construction | Before CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 0 | ||
Commercial Business | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 4,142 | 3,889 | |
Provision (credit) charged to expense | 1,491 | ||
Losses charged off | (51) | (81) | |
Recoveries | 240 | 334 | |
Balance at end of period | 5,822 | 4,142 | 3,889 |
Individually evaluated for impairment | 14 | ||
Collectively evaluated for impairment | 2,331 | ||
Loans acquired and accounted for under ASC 310-30 | 45 | ||
Individually evaluated for impairment | 167 | ||
Collectively evaluated for impairment | 384,734 | ||
Loans acquired and accounted for under ASC 310-30 | 2,549 | ||
Commercial Business | Allowance For Credit Losses | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 2,390 | 1,355 | |
Provision (credit) charged to expense | 914 | ||
Losses charged off | (28) | ||
Recoveries | 149 | ||
Balance at end of period | 2,390 | ||
Commercial Business | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 1,582 | 935 | |
Provision (credit) charged to expense | 152 | 647 | |
Balance at end of period | 1,734 | 1,582 | 935 |
Commercial Business | CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 1,499 | ||
Balance at end of period | 1,499 | ||
Commercial Business | CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 935 | ||
Commercial Business | Before CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 2,390 | ||
Balance at end of period | 2,390 | ||
Commercial Business | Before CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 0 | ||
Consumer | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 5,345 | 5,641 | |
Provision (credit) charged to expense | (328) | ||
Losses charged off | (1,950) | (2,054) | |
Recoveries | 1,349 | 1,758 | |
Balance at end of period | 4,416 | 5,345 | 5,641 |
Individually evaluated for impairment | 164 | ||
Collectively evaluated for impairment | 2,040 | ||
Loans acquired and accounted for under ASC 310-30 | 10 | ||
Individually evaluated for impairment | 1,897 | ||
Collectively evaluated for impairment | 239,727 | ||
Loans acquired and accounted for under ASC 310-30 | 5,667 | ||
Consumer | Allowance For Credit Losses | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 2,214 | 2,037 | |
Provision (credit) charged to expense | 1,246 | ||
Losses charged off | (3,152) | ||
Recoveries | 2,083 | ||
Balance at end of period | 2,214 | ||
Consumer | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 382 | 347 | |
Provision (credit) charged to expense | 122 | 35 | |
Balance at end of period | $ 504 | 382 | 347 |
Consumer | CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 3,427 | ||
Balance at end of period | 3,427 | ||
Consumer | CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | 347 | ||
Consumer | Before CECL adoption | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | $ 2,214 | ||
Balance at end of period | 2,214 | ||
Consumer | Before CECL adoption | Allowance for unfunded commitment | |||
Loans and Allowance for Credit Losses | |||
Balance at beginning of period | $ 0 |
Loans and Allowance for Credi_7
Loans and Allowance for Credit Losses - Weighted Average Interest Rate on Loans Receivable (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Loans and Allowance for Credit Losses | ||
Loans Receivable weighted average interest rate | 5.54% | 4.26% |
Commercial loan participations sold to other financial institutions | $ 422.3 | $ 249.5 |
Residential mortgage loans sold | 117.9 | 136.3 |
Unpaid principal balances | ||
Loans and Allowance for Credit Losses | ||
Loans serviced for others | 540.2 | 385.8 |
Unused lines of Credit | ||
Loans and Allowance for Credit Losses | ||
Loans serviced for others | $ 104.1 | $ 130.9 |
Loans and Allowance for Credi_8
Loans and Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | $ 9,048 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 10,109 | $ 4,473 | $ 5,202 |
Impaired Financing Receivable, Related Allowance | 713 | 245 | 495 |
Impaired Financing Receivable, Average Recorded Investment | 9,739 | ||
Impaired Financing Receivable Interest Income Recognized | 533 | ||
One- to four-family residential construction | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 0 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 0 | ||
Impaired Financing Receivable, Related Allowance | 0 | ||
Impaired Financing Receivable, Average Recorded Investment | 0 | ||
Impaired Financing Receivable Interest Income Recognized | 0 | ||
Subdivision construction | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 20 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 20 | ||
Impaired Financing Receivable, Related Allowance | 0 | ||
Impaired Financing Receivable, Average Recorded Investment | 115 | ||
Impaired Financing Receivable Interest Income Recognized | 3 | ||
Land development | Land development [Member] | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 0 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 0 | ||
Impaired Financing Receivable, Related Allowance | 0 | ||
Impaired Financing Receivable, Average Recorded Investment | 0 | ||
Impaired Financing Receivable Interest Income Recognized | 0 | ||
Land development | Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Impaired Financing Receivable, Unpaid Principal Balance | 384 | 468 | |
Commercial Loan [Member] | Commercial Loan [Member] | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 0 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 0 | ||
Impaired Financing Receivable, Related Allowance | 0 | ||
Impaired Financing Receivable, Average Recorded Investment | 0 | ||
Impaired Financing Receivable Interest Income Recognized | 0 | ||
Owner occupied one- to four-family residential | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 3,457 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 3,776 | ||
Impaired Financing Receivable, Related Allowance | 90 | ||
Impaired Financing Receivable, Average Recorded Investment | 2,999 | ||
Impaired Financing Receivable Interest Income Recognized | 169 | ||
Owner occupied one- to four-family residential | Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Impaired Financing Receivable, Unpaid Principal Balance | 1,637 | 1,980 | |
Impaired Financing Receivable, Related Allowance | 40 | 18 | |
Non-owner occupied one- to four-family residential | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 69 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 106 | ||
Impaired Financing Receivable, Related Allowance | 0 | ||
Impaired Financing Receivable, Average Recorded Investment | 309 | ||
Impaired Financing Receivable Interest Income Recognized | 18 | ||
Commercial Real Estate [Member] | Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Impaired Financing Receivable, Unpaid Principal Balance | 1,571 | 2,217 | |
Impaired Financing Receivable, Related Allowance | 397 | ||
Commercial Real Estate [Member] | Commercial Real Estate [Member] | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 3,438 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 3,472 | ||
Impaired Financing Receivable, Related Allowance | 445 | ||
Impaired Financing Receivable, Average Recorded Investment | 3,736 | ||
Impaired Financing Receivable Interest Income Recognized | 135 | ||
Other residential | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 0 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 0 | ||
Impaired Financing Receivable, Related Allowance | 0 | ||
Impaired Financing Receivable, Average Recorded Investment | 0 | ||
Impaired Financing Receivable Interest Income Recognized | 0 | ||
Commercial business | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 166 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 551 | ||
Impaired Financing Receivable, Related Allowance | 14 | ||
Impaired Financing Receivable, Average Recorded Investment | 800 | ||
Impaired Financing Receivable Interest Income Recognized | 34 | ||
Commercial business | Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Impaired Financing Receivable, Unpaid Principal Balance | 586 | ||
Impaired Financing Receivable, Related Allowance | 125 | ||
Industrial Revenue Bonds [Member] | Industrial Revenue Bonds [Member] | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 0 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 0 | ||
Impaired Financing Receivable, Related Allowance | 0 | ||
Impaired Financing Receivable, Average Recorded Investment | 0 | ||
Impaired Financing Receivable Interest Income Recognized | 0 | ||
Consumer auto | Consumer auto | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 865 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 964 | ||
Impaired Financing Receivable, Related Allowance | 140 | ||
Impaired Financing Receivable, Average Recorded Investment | 932 | ||
Impaired Financing Receivable Interest Income Recognized | 91 | ||
Consumer other | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 403 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 552 | ||
Impaired Financing Receivable, Related Allowance | 19 | ||
Impaired Financing Receivable, Average Recorded Investment | 298 | ||
Impaired Financing Receivable Interest Income Recognized | 47 | ||
Consumer other | Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Impaired Financing Receivable, Unpaid Principal Balance | 160 | 160 | |
Impaired Financing Receivable, Related Allowance | 80 | 80 | |
Home equity lines of credit | Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Impaired Financing Receivable, Unpaid Principal Balance | $ 135 | ||
Home equity lines of credit | Home equity lines of credit | |||
Loans and Allowance for Credit Losses | |||
Recorded Balance | 630 | ||
Impaired Financing Receivable, Unpaid Principal Balance | 668 | ||
Impaired Financing Receivable, Related Allowance | 5 | ||
Impaired Financing Receivable, Average Recorded Investment | 550 | ||
Impaired Financing Receivable Interest Income Recognized | $ 36 | ||
Home equity lines of credit | Home equity lines of credit | Loans Receivable [Member] | |||
Loans and Allowance for Credit Losses | |||
Impaired Financing Receivable, Unpaid Principal Balance | $ 377 |
Loans and Allowance for Credi_9
Loans and Allowance for Credit Losses - Impaired Loans Specific Valuation Allowance (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Loans and Allowance for Credit Losses | |||
Impaired loans | $ 4,800,000 | ||
Impaired loans valuation allowance | 713,000 | ||
Loans and leases receivable, impaired, interest lost on nonaccrual loans | $ 292,000 | $ 432,000 | $ 579,000 |
Loans and Allowance for Cred_10
Loans and Allowance for Credit Losses - Troubled debt restructurings (TDRs) (Details) | 12 Months Ended | |
Dec. 31, 2022 USD ($) contract | Dec. 31, 2021 USD ($) contract | |
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | contract | 36 | 64 |
TDR loans, Balance | $ 2,949,000 | $ 3,851,000 |
Consumer | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | contract | 18 | 39 |
TDR loans, Balance | $ 252,000 | $ 387,000 |
Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | contract | 2 | 2 |
TDR loans, Balance | $ 1,571,000 | $ 1,811,000 |
Construction and Land Development [Member] | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | contract | 1 | |
TDR loans, Balance | $ 15,000 | |
One- to four-family construction | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | contract | 16 | 22 |
TDR loans, Balance | $ 1,126,000 | $ 1,638,000 |
Accruing | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 26 | 38 |
TDR loans, Balance | $ 1,238,000 | $ 1,002,000 |
Accruing | Consumer | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 13 | 26 |
TDR loans, Balance | $ 210,000 | $ 323,000 |
Accruing | Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 1 | |
TDR loans, Balance | $ 85,000 | |
Accruing | Construction and Land Development [Member] | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 1 | |
TDR loans, Balance | $ 15,000 | |
Accruing | One- to four-family construction | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 13 | 10 |
TDR loans, Balance | $ 1,028,000 | $ 579,000 |
Non-accruing | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 10 | 26 |
TDR loans, Balance | $ 1,711,000 | $ 2,849,000 |
Non-accruing | Consumer | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 5 | 13 |
TDR loans, Balance | $ 42,000 | $ 64,000 |
Non-accruing | Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 2 | 1 |
TDR loans, Balance | $ 1,571,000 | $ 1,726,000 |
Non-accruing | One- to four-family construction | ||
Loans and Allowance for Credit Losses | ||
TDR Loans, Number | 3 | 12 |
TDR loans, Balance | $ 98,000 | $ 1,059,000 |
Loans and Allowance for Cred_11
Loans and Allowance for Credit Losses - Financing Receivable, Troubled Debt Restructuring (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Commercial real estate | |||
Loans and Allowance for Credit Losses | |||
Interest Only | $ 1,768 | ||
Combination | $ 247 | $ 559 | |
Total Modification | 247 | 1,768 | 559 |
One- to four-family residential | |||
Loans and Allowance for Credit Losses | |||
Interest Only | 31 | ||
Term | 202 | ||
Combination | 32 | 134 | 1,030 |
Total Modification | 32 | 367 | 1,030 |
Commercial business | |||
Loans and Allowance for Credit Losses | |||
Combination | 22 | ||
Total Modification | 22 | ||
Consumer | |||
Loans and Allowance for Credit Losses | |||
Term | 4 | 259 | 16 |
Combination | 3 | 11 | 1,951 |
Total Modification | 7 | 270 | 1,967 |
Newly Restructured Modified Loans | |||
Loans and Allowance for Credit Losses | |||
Interest Only | 1,799 | ||
Term | 4 | 461 | 16 |
Combination | 282 | 145 | 3,562 |
Total Modification | $ 286 | $ 2,405 | $ 3,578 |
Loans and Allowance for Cred_12
Loans and Allowance for Credit Losses - Additional Information (Details) - USD ($) | 12 Months Ended | ||||
Jan. 01, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Loans and Allowance for Credit Losses | |||||
Loans receivable, allowance for credit losses | $ 63,480,000 | $ 60,754,000 | |||
Troubled debt restructurings internal grading system substandard | 1,700,000 | 2,900,000 | |||
TDR loans, Balance | 2,949,000 | 3,851,000 | |||
Non-accrual loans for no related allowance amortized cost | 2,100,000 | ||||
TDR loans evaluated on individual | $ 100,000 | 100,000 | |||
After-tax effect decreased retained earnings | 14,200,000 | ||||
Allowance for credit losses | 67,300,000 | ||||
FDIC-acquired loans and remaining Accretable yield | 429,000 | ||||
Minimum loan balance with addition to TDR status for classification of loans into Collateral-dependent loans | 100,000 | ||||
Interest income | 0 | 0 | |||
Financing Receivables, Troubled Debt Restructuring | 2,900,000 | 3,900,000 | |||
Allowance for credit losses | (63,480,000) | (60,754,000) | $ (67,338,000) | ||
CECL adoption | |||||
Loans and Allowance for Credit Losses | |||||
Allowance for credit losses | (11,595,000) | ||||
Allowance for unfunded commitment | |||||
Loans and Allowance for Credit Losses | |||||
Allowance for credit losses | 8,700,000 | ||||
Allowance for credit losses | (12,816,000) | (9,629,000) | $ (8,690,000) | ||
Allowance for unfunded commitment | CECL adoption | |||||
Loans and Allowance for Credit Losses | |||||
Allowance for credit losses | $ (8,690,000) | ||||
Commercial real estate | |||||
Loans and Allowance for Credit Losses | |||||
TDR loans, Balance | $ 1,571,000 | $ 1,811,000 | |||
PCI | |||||
Loans and Allowance for Credit Losses | |||||
Allowance for credit losses | 1,900,000 | ||||
Adopted ASC 326 | |||||
Loans and Allowance for Credit Losses | |||||
Allowance for credit losses | 11,600,000 | ||||
CECL Methodology | |||||
Loans and Allowance for Credit Losses | |||||
Allowance for credit losses | 11,600,000 | ||||
Allowance for credit loss remaining discount on loan | 1,900,000 | ||||
CECL Methodology | Allowance for unfunded commitment | |||||
Loans and Allowance for Credit Losses | |||||
Allowance for credit losses | $ 8,700,000 |
Loans and Allowance for Cred_13
Loans and Allowance for Credit Losses - Summary of Loans by Risk Category and Past Due Status (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Loans and Allowance for Credit Losses | ||
Current Year | $ 869,328,000 | $ 786,753,000 |
One Year Before | 1,088,269,000 | 739,912,000 |
Two Years Before | 635,600,000 | 604,077,000 |
Three Years Before | 466,871,000 | 531,179,000 |
Four Years Before | 361,539,000 | 346,578,000 |
Prior | 916,519,000 | 825,610,000 |
Revolving Loans | 243,255,000 | 243,873,000 |
Total | 4,581,381,000 | 4,077,982,000 |
FDIC-acquired Loans and Remaining Accretable yield | 429,000 | |
Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 869,328,000 | 786,753,000 |
One Year Before | 1,088,230,000 | 739,500,000 |
Two Years Before | 635,433,000 | 603,351,000 |
Three Years Before | 466,685,000 | 531,011,000 |
Four Years Before | 361,449,000 | 346,492,000 |
Prior | 884,255,000 | 792,592,000 |
Revolving Loans | 242,085,000 | 242,877,000 |
Total | 4,547,465,000 | 4,042,576,000 |
Watch | ||
Loans and Allowance for Credit Losses | ||
One Year Before | 28,000 | 410,000 |
Two Years Before | 582,000 | |
Three Years Before | 186,000 | 152,000 |
Four Years Before | 88,000 | 4,000 |
Prior | 28,211,000 | 29,494,000 |
Revolving Loans | 157,000 | 98,000 |
Total | 28,670,000 | 30,740,000 |
Classified | ||
Loans and Allowance for Credit Losses | ||
One Year Before | 11,000 | 2,000 |
Two Years Before | 167,000 | 144,000 |
Three Years Before | 16,000 | |
Four Years Before | 2,000 | 82,000 |
Prior | 4,053,000 | 3,524,000 |
Revolving Loans | 1,013,000 | 898,000 |
Total | 5,246,000 | 4,666,000 |
Commercial real estate | ||
Loans and Allowance for Credit Losses | ||
Current Year | 221,341,000 | 141,868,000 |
One Year Before | 171,484,000 | 113,636,000 |
Two Years Before | 109,939,000 | 221,162,000 |
Three Years Before | 203,426,000 | 231,321,000 |
Four Years Before | 185,682,000 | 196,166,000 |
Prior | 602,133,000 | 549,293,000 |
Revolving Loans | 36,658,000 | 22,785,000 |
Total | 1,530,663,000 | 1,476,231,000 |
Commercial real estate | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 221,341,000 | 141,868,000 |
One Year Before | 171,484,000 | 113,226,000 |
Two Years Before | 109,939,000 | 220,580,000 |
Three Years Before | 203,426,000 | 231,321,000 |
Four Years Before | 185,682,000 | 196,166,000 |
Prior | 577,216,000 | 521,545,000 |
Revolving Loans | 36,658,000 | 22,785,000 |
Total | 1,505,746,000 | 1,447,491,000 |
Commercial real estate | Watch | ||
Loans and Allowance for Credit Losses | ||
One Year Before | 410,000 | |
Two Years Before | 582,000 | |
Prior | 23,338,000 | 25,742,000 |
Total | 23,338,000 | 26,734,000 |
Commercial real estate | Classified | ||
Loans and Allowance for Credit Losses | ||
Prior | 1,579,000 | 2,006,000 |
Total | 1,579,000 | 2,006,000 |
Customer | ||
Loans and Allowance for Credit Losses | ||
Current Year | 21,309,000 | 20,140,000 |
One Year Before | 11,207,000 | 11,140,000 |
Two Years Before | 5,720,000 | 7,154,000 |
Three Years Before | 2,715,000 | 9,101,000 |
Four Years Before | 3,265,000 | 4,211,000 |
Prior | 16,788,000 | 24,570,000 |
Revolving Loans | 133,251,000 | 130,487,000 |
Total | 194,255,000 | 206,803,000 |
Customer | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 21,309,000 | 20,140,000 |
One Year Before | 11,168,000 | 11,138,000 |
Two Years Before | 5,711,000 | 7,154,000 |
Three Years Before | 2,708,000 | 9,065,000 |
Four Years Before | 3,263,000 | 4,175,000 |
Prior | 16,380,000 | 24,280,000 |
Revolving Loans | 132,792,000 | 130,111,000 |
Total | 193,331,000 | 206,063,000 |
Customer | Watch | ||
Loans and Allowance for Credit Losses | ||
One Year Before | 28,000 | |
Three Years Before | 7,000 | 20,000 |
Four Years Before | 4,000 | |
Prior | 160,000 | 10,000 |
Revolving Loans | 100,000 | 29,000 |
Total | 295,000 | 63,000 |
Customer | Classified | ||
Loans and Allowance for Credit Losses | ||
One Year Before | 11,000 | 2,000 |
Two Years Before | 9,000 | |
Three Years Before | 16,000 | |
Four Years Before | 2,000 | 32,000 |
Prior | 248,000 | 280,000 |
Revolving Loans | 359,000 | 347,000 |
Total | 629,000 | 677,000 |
One- to four-family construction | ||
Loans and Allowance for Credit Losses | ||
Current Year | 21,885,000 | 23,081,000 |
One Year Before | 7,265,000 | 4,453,000 |
Two Years Before | 1,391,000 | 763,000 |
Prior | 5,000 | |
Revolving Loans | 3,308,000 | |
Total | 33,849,000 | 28,302,000 |
One- to four-family construction | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 21,885,000 | 23,081,000 |
One Year Before | 7,265,000 | 4,453,000 |
Two Years Before | 1,391,000 | 763,000 |
Prior | 5,000 | |
Revolving Loans | 3,308,000 | |
Total | 33,849,000 | 28,302,000 |
Subdivision construction | ||
Loans and Allowance for Credit Losses | ||
Current Year | 4,478,000 | 24,129,000 |
One Year Before | 25,864,000 | 949,000 |
Two Years Before | 800,000 | 224,000 |
Three Years Before | 203,000 | 160,000 |
Four Years Before | 134,000 | 252,000 |
Prior | 588,000 | 980,000 |
Total | 32,067,000 | 26,694,000 |
Subdivision construction | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 4,478,000 | 24,129,000 |
One Year Before | 25,864,000 | 949,000 |
Two Years Before | 800,000 | 224,000 |
Three Years Before | 203,000 | 160,000 |
Four Years Before | 134,000 | 252,000 |
Prior | 588,000 | 965,000 |
Total | 32,067,000 | 26,679,000 |
Subdivision construction | Classified | ||
Loans and Allowance for Credit Losses | ||
Prior | 15,000 | |
Total | 15,000 | |
Construction and land development | ||
Loans and Allowance for Credit Losses | ||
Current Year | 16,746,000 | 9,968,000 |
One Year Before | 6,914,000 | 15,965,000 |
Two Years Before | 4,866,000 | 11,115,000 |
Three Years Before | 7,338,000 | 2,591,000 |
Four Years Before | 762,000 | 3,013,000 |
Prior | 3,990,000 | 4,184,000 |
Revolving Loans | 997,000 | 995,000 |
Total | 41,613,000 | 47,831,000 |
Construction and land development | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 16,746,000 | 9,968,000 |
One Year Before | 6,914,000 | 15,965,000 |
Two Years Before | 4,866,000 | 11,115,000 |
Three Years Before | 7,338,000 | 2,591,000 |
Four Years Before | 762,000 | 3,013,000 |
Prior | 3,990,000 | 4,184,000 |
Revolving Loans | 613,000 | 527,000 |
Total | 41,229,000 | 47,363,000 |
Construction and land development | Classified | ||
Loans and Allowance for Credit Losses | ||
Revolving Loans | 384,000 | 468,000 |
Total | 384,000 | 468,000 |
Other Construction | ||
Loans and Allowance for Credit Losses | ||
Current Year | 113,512,000 | 145,991,000 |
One Year Before | 446,125,000 | 298,710,000 |
Two Years Before | 176,340,000 | 130,502,000 |
Three Years Before | 21,713,000 | 42,302,000 |
Total | 757,690,000 | 617,505,000 |
Other Construction | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 113,512,000 | 145,991,000 |
One Year Before | 446,125,000 | 298,710,000 |
Two Years Before | 176,340,000 | 130,502,000 |
Three Years Before | 21,713,000 | 42,302,000 |
Total | 757,690,000 | 617,505,000 |
One- to four-family residential | ||
Loans and Allowance for Credit Losses | ||
Current Year | 340,886,000 | 237,498,000 |
One Year Before | 219,504,000 | 169,765,000 |
Two Years Before | 128,667,000 | 93,792,000 |
Three Years Before | 73,341,000 | 49,750,000 |
Four Years Before | 39,773,000 | 14,757,000 |
Prior | 100,409,000 | 114,549,000 |
Revolving Loans | 823,000 | 1,814,000 |
Total | 903,403,000 | 681,925,000 |
One- to four-family residential | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 340,886,000 | 237,498,000 |
One Year Before | 219,504,000 | 169,765,000 |
Two Years Before | 128,509,000 | 93,648,000 |
Three Years Before | 73,162,000 | 49,618,000 |
Four Years Before | 39,685,000 | 14,707,000 |
Prior | 97,236,000 | 113,059,000 |
Revolving Loans | 687,000 | 1,662,000 |
Total | 899,669,000 | 679,957,000 |
One- to four-family residential | Watch | ||
Loans and Allowance for Credit Losses | ||
Three Years Before | 179,000 | 132,000 |
Four Years Before | 88,000 | |
Prior | 1,341,000 | 267,000 |
Revolving Loans | 57,000 | 69,000 |
Total | 1,665,000 | 468,000 |
One- to four-family residential | Classified | ||
Loans and Allowance for Credit Losses | ||
Two Years Before | 158,000 | 144,000 |
Four Years Before | 50,000 | |
Prior | 1,832,000 | 1,223,000 |
Revolving Loans | 79,000 | 83,000 |
Total | 2,069,000 | 1,500,000 |
Other residential | ||
Loans and Allowance for Credit Losses | ||
Current Year | 83,822,000 | 117,029,000 |
One Year Before | 133,648,000 | 96,551,000 |
Two Years Before | 168,232,000 | 115,418,000 |
Three Years Before | 142,630,000 | 179,441,000 |
Four Years Before | 122,614,000 | 104,053,000 |
Prior | 126,876,000 | 73,855,000 |
Revolving Loans | 3,939,000 | 11,605,000 |
Total | 781,761,000 | 697,952,000 |
Other residential | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 83,822,000 | 117,029,000 |
One Year Before | 133,648,000 | 96,551,000 |
Two Years Before | 168,232,000 | 115,418,000 |
Three Years Before | 142,630,000 | 179,441,000 |
Four Years Before | 122,614,000 | 104,053,000 |
Prior | 123,538,000 | 70,438,000 |
Revolving Loans | 3,939,000 | 11,605,000 |
Total | 778,423,000 | 694,535,000 |
Other residential | Watch | ||
Loans and Allowance for Credit Losses | ||
Prior | 3,338,000 | 3,417,000 |
Total | 3,338,000 | 3,417,000 |
Commercial business | ||
Loans and Allowance for Credit Losses | ||
Current Year | 45,349,000 | 67,049,000 |
One Year Before | 66,258,000 | 28,743,000 |
Two Years Before | 39,645,000 | 23,947,000 |
Three Years Before | 15,505,000 | 16,513,000 |
Four Years Before | 9,309,000 | 24,126,000 |
Prior | 65,735,000 | 58,174,000 |
Revolving Loans | 64,279,000 | 76,187,000 |
Total | 306,080,000 | 294,739,000 |
Commercial business | Satisfactory | ||
Loans and Allowance for Credit Losses | ||
Current Year | 45,349,000 | 67,049,000 |
One Year Before | 66,258,000 | 28,743,000 |
Two Years Before | 39,645,000 | 23,947,000 |
Three Years Before | 15,505,000 | 16,513,000 |
Four Years Before | 9,309,000 | 24,126,000 |
Prior | 65,307,000 | 58,116,000 |
Revolving Loans | 64,088,000 | 76,187,000 |
Total | 305,461,000 | 294,681,000 |
Commercial business | Watch | ||
Loans and Allowance for Credit Losses | ||
Prior | 34,000 | 58,000 |
Total | 34,000 | $ 58,000 |
Commercial business | Classified | ||
Loans and Allowance for Credit Losses | ||
Prior | 394,000 | |
Revolving Loans | 191,000 | |
Total | $ 585,000 |
Loans and Allowance for Cred_14
Loans and Allowance for Credit Losses - Schedule of related party transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Loans and Allowance for Credit Losses | ||
Balance, beginning of year | $ 10,097 | $ 13,468 |
New loans | 3,079 | 629 |
Payments | (5,226) | (4,000) |
Balance, end of year | $ 7,950 | $ 10,097 |
FDIC-Assisted Acquired Loans (D
FDIC-Assisted Acquired Loans (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Jun. 09, 2017 | Apr. 26, 2016 | Jun. 20, 2014 | |
FDIC-ASSISTED ACQUIRED LOANS | |||||
Goodwill recorded on acquisition date | $ 10,813,000 | $ 6,081,000 | |||
Team Bank | |||||
FDIC-ASSISTED ACQUIRED LOANS | |||||
Goodwill recorded on acquisition date | $ 0 | ||||
Gross loans receivable | 2,703,000 | 3,613,000 | |||
Balance of accretable discount due to change in expected losses | 0 | (65,000) | |||
Net carrying value of loans receivable | 2,703,000 | 3,548,000 | |||
Vantus Bank | |||||
FDIC-ASSISTED ACQUIRED LOANS | |||||
Goodwill recorded on acquisition date | 0 | ||||
Gross loans receivable | 3,983,000 | 5,304,000 | |||
Balance of accretable discount due to change in expected losses | 0 | (19,000) | |||
Net carrying value of loans receivable | 3,983,000 | 5,285,000 | |||
Sun Security Bank | |||||
FDIC-ASSISTED ACQUIRED LOANS | |||||
Goodwill recorded on acquisition date | $ 0 | ||||
Gross loans receivable | 7,221,000 | 9,405,000 | |||
Balance of accretable discount due to change in expected losses | 0 | (63,000) | |||
Net carrying value of loans receivable | 7,221,000 | 9,342,000 | |||
Inter Bank | |||||
FDIC-ASSISTED ACQUIRED LOANS | |||||
Goodwill recorded on acquisition date | $ 0 | ||||
Gross loans receivable | 24,402,000 | 32,645,000 | |||
Balance of accretable discount due to change in expected losses | 0 | (58,000) | |||
Net carrying value of loans receivable | 24,402,000 | 32,587,000 | |||
Valley Bank | |||||
FDIC-ASSISTED ACQUIRED LOANS | |||||
Goodwill recorded on acquisition date | $ 0 | ||||
Gross loans receivable | 12,750,000 | 23,632,000 | |||
Balance of accretable discount due to change in expected losses | 0 | (224,000) | |||
Net carrying value of loans receivable | $ 12,750,000 | $ 23,408,000 |
FDIC-Assisted Acquired Loans -
FDIC-Assisted Acquired Loans - Consolidated Statements of Income (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
FDIC-Assisted Acquired Loans | |||
Remaining accreted yield adjustment | $ 429 | $ 1,600 | $ 5,600 |
Other Real Estate Owned and R_3
Other Real Estate Owned and Repossessions - Schedule of Major Classifications of Foreclosed Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | $ 50 | $ 588 |
Other real estate owned not acquired through foreclosure | 183 | 1,499 |
Other real estate owned and repossessions | 233 | 2,087 |
One- to four-family residential | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | 0 | 183 |
Commercial real estate | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | 0 | 0 |
Land development | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | 0 | 315 |
One- to four-family construction | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | 0 | 0 |
Subdivision construction | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | 0 | 0 |
Other residential | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | 0 | 0 |
Commercial business | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | 0 | 0 |
Consumer | ||
Other Real Estate Owned and Repossessions | ||
Foreclosed assets held for sale and repossessions | $ 50 | $ 90 |
Other Real Estate Owned and R_4
Other Real Estate Owned and Repossessions (Details) | 12 Months Ended | ||
Dec. 31, 2022 USD ($) property | Dec. 31, 2021 USD ($) property | Dec. 31, 2020 USD ($) | |
Valuation write-downs | $ 23,000 | $ 211,000 | $ 1,320,000 |
Former branch | |||
Number of real estate properties | property | 2 | 4 | |
Amount of one former branch location | $ 0 | $ 1,200,000 | |
Valuation write-downs | 0 | 0 | |
Residential mortgage | |||
Mortgage loans in process of foreclosure, amount | $ 173,000 | $ 125,000 |
Other Real Estate Owned and R_5
Other Real Estate Owned and Repossessions - Schedule of Expenses Applicable to Foreclosed Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Real Estate Owned and Repossessions | |||
Net gains on sales of other real estate owned and repossessions | $ (149) | $ (282) | $ (480) |
Valuation write-downs | 23 | 211 | 1,320 |
Operating expenses, net of rental income | 485 | 698 | 1,183 |
Expenses on real estate and repossessions | $ 359 | $ 627 | $ 2,023 |
Premises and Equipment - Proper
Premises and Equipment - Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Premises and Equipment | ||
Land | $ 39,622 | $ 39,440 |
Buildings and improvements | 105,096 | 101,207 |
Furniture, fixtures and equipment | 67,505 | 57,982 |
Operating leases right of use asset | $ 7,397 | $ 7,715 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid expenses and other assets | Prepaid expenses and other assets |
Premises and equipment, gross | $ 219,620 | $ 206,344 |
Less accumulated depreciation | 78,550 | 73,611 |
Total premises and equipment | $ 141,070 | $ 132,733 |
Premises and Equipment - Additi
Premises and Equipment - Additional information (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Premises and Equipment | ||||
Operating leases right of use asset | $ 7,397,000 | $ 7,715,000 | ||
Weighted average lease terms | 8 years 2 months 12 days | |||
Operating lease, weighted average discount rate, percent | 3.42% | |||
Operating lease, expense | $ 1,600,000 | 1,500,000 | $ 1,600,000 | |
Lease expense related to ATMs | 307,000 | 307,000 | 275,000 | |
Income recognized from lessor agreements | $ 1,200,000 | $ 1,200,000 | $ 1,200,000 | |
ASU 2016-02 | Adjustment | ||||
Premises and Equipment | ||||
Operating leases right of use asset | $ 9,500,000 | |||
Minimum | ||||
Premises and Equipment | ||||
Expected lease terms | 3 months 18 days | |||
Maximum | ||||
Premises and Equipment | ||||
Expected lease terms | 15 years 10 months 24 days |
Premises and Equipment - Calcul
Premises and Equipment - Calculated amount of right of use assets and lease liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Premises and Equipment | ||
Operating leases right of use asset | $ 7,397 | $ 7,715 |
Operating leases right of use asset | 7,397 | 7,715 |
Operating leases liability | 7,599 | 7,886 |
Operating lease costs classified as occupancy and equipment expense (includes short-term lease costs and amortization of right of use asset) | 1,579 | 1,529 |
Operating cash flows from operating leases | 1,547 | 1,483 |
Operating leases | 618 | 74 |
Statement of Financial Condition | ||
Premises and Equipment | ||
Operating leases liability | $ 7,599 | $ 7,886 |
Premises and Equipment - Future
Premises and Equipment - Future expected lease payments for leases (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Future expected lease payments | ||
2023 | $ 1,199 | |
2024 | 1,146 | |
2025 | 1,126 | |
2026 | 1,064 | |
2027 | 987 | |
Thereafter | 3,206 | |
Future lease payments expected | 8,728 | |
Less interest portion of lease payments | (1,129) | |
Lease liability | $ 7,599 | $ 7,886 |
Investments in Limited Partne_2
Investments in Limited Partnerships (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Investments in Limited Partnerships | |||
Number of investments in affordable housing partnerships | 19 | 16 | |
Investments in affordable housing partnerships carrying value, net | $ 38.4 | $ 25.1 | |
Federal affordable housing tax credits | 83.2 | ||
Expected amortization of investments in affordable housing partnerships | 75 | ||
Usage of federal affordable housing tax credits | 4.9 | 4.9 | $ 6.6 |
Actual amortization of investments in affordable housing partnerships | $ 4.4 | $ 4.2 | $ 5.5 |
Investments in Limited Partne_3
Investments in Limited Partnerships - Investments in Community Development Entities and Investments in Limited Partnerships for Federal Rehabilitation/Historic Tax Credits (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Investments in Limited Partnerships | |||
Investments in community development entities net carrying amount | $ 465,000 | $ 481,000 | |
Investments in limited partnerships for federal or historic tax credits | 629,000 | 642,000 | |
Usage of investment in community development entities federal new market tax credits | 100,000 | 100,000 | $ 100,000 |
Actual amortization of investment in community development entities | $ 83,000 | $ 86,000 | $ 80,000 |
Credit allowance period | 7 years | ||
Community development entities, minimum period before redemption | 7 years | ||
Credit allowance period for federal rehabilitation/historic tax credits | 5 years | ||
For the First three years | |||
Investments in Limited Partnerships | |||
Percentage of investments on credit allowance period | 5% | ||
For the next four years | |||
Investments in Limited Partnerships | |||
Percentage of investments on credit allowance period | 6% |
Deposits - Summary of Deposits
Deposits - Summary of Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deposits | ||
Non-interest-bearing demand deposits | $ 1,063,588 | $ 1,209,822 |
Interest-bearing checking and savings accounts | 2,338,535 | 2,381,210 |
Demand deposit accounts, total | 3,402,123 | 3,591,032 |
Time deposits | 1,282,787 | 961,069 |
Total Deposits | $ 4,684,910 | $ 4,552,101 |
Weighted average interest rate on certificates of deposit | 2.30% | 0.60% |
Interest-bearing domestic deposits, brokered | $ 411,500 | $ 67,400 |
0.90% and 0.12% | ||
Deposits | ||
Weighted average rate on interest-bearing demand and savings deposits | 0.90% | 0.12% |
0.00% - 0.99% | ||
Deposits | ||
Time deposits | $ 280,784 | $ 825,217 |
0.00% - 0.99% | Minimum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 0% | |
0.00% - 0.99% | Maximum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 0.99% | |
1.00% - 1.99% | ||
Deposits | ||
Time deposits | $ 125,951 | 73,563 |
1.00% - 1.99% | Minimum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 1% | |
1.00% - 1.99% | Maximum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 1.99% | |
2.00% - 2.99% | ||
Deposits | ||
Time deposits | $ 452,123 | 55,509 |
2.00% - 2.99% | Minimum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 2% | |
2.00% - 2.99% | Maximum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 2.99% | |
3.00% - 3.99% | ||
Deposits | ||
Time deposits | $ 267,231 | $ 6,780 |
3.00% - 3.99% | Minimum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 3% | |
3.00% - 3.99% | Maximum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 3.99% | |
4.00% - 4.99% | ||
Deposits | ||
Time deposits | $ 156,698 | |
4.00% - 4.99% | Minimum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 4% | |
4.00% - 4.99% | Maximum | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 4.99% | |
5% and above | ||
Deposits | ||
Weighted average interest rate on certificates of deposit | 5% |
Deposits - Maturities of certif
Deposits - Maturities of certificates of deposit (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deposits | ||
Time deposits by category | $ 1,282,787 | $ 961,069 |
Certificates of deposit | ||
Deposits | ||
2023 | 1,070,939 | |
2024 | 139,060 | |
2025 | 65,454 | |
2026 | 2,967 | |
2027 | 3,532 | |
Thereafter | 835 | |
Time deposits by category | 1,282,787 | |
Retail | Certificates of deposit | ||
Deposits | ||
2023 | 958,115 | |
2024 | 42,099 | |
2025 | 13,748 | |
2026 | 2,967 | |
2027 | 3,532 | |
Thereafter | 835 | |
Time deposits by category | 1,021,296 | |
Brokered | Certificates of deposit | ||
Deposits | ||
2023 | 112,824 | |
2024 | 96,961 | |
2025 | 51,706 | |
Time deposits by category | $ 261,491 |
Deposits - Summary of interest
Deposits - Summary of interest expense on deposits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Deposits | |||
Checking and savings accounts | $ 6,938 | $ 4,023 | $ 7,096 |
Certificate accounts | 13,980 | 9,139 | 25,453 |
Early withdrawal penalties | (242) | (60) | (118) |
Total interest expense on deposits | $ 20,676 | $ 13,102 | $ 32,431 |
Deposits - Weighted Average Int
Deposits - Weighted Average Interest Rate on Certificates of Deposit (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
Deposits | ||
Weighted average interest rate on certificates of deposit | 2.30% | 0.60% |
Deposits - Originated Certifica
Deposits - Originated Certificates of Deposit and Brokered Deposits (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Deposit Liability [Line Items] | ||
Amount of certificates of deposit greater than $250,000 originated | $ 217.4 | $ 88 |
Interest-bearing domestic deposits, brokered | 411.5 | $ 67.4 |
IntraFi Financial Network | ||
Deposit Liability [Line Items] | ||
Interest-bearing domestic deposits, brokered | $ 150 |
Advances From Federal Home Lo_2
Advances From Federal Home Loan Bank (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Advances From Federal Home Loan Bank | ||
Advances from Federal Home Loan Banks | $ 0 | $ 0 |
Loans with carrying values | 1,620,000,000 | 1,190,000,000 |
Long-term line of credit | 0 | 0 |
Federal Home Loan Bank of Des Moines | ||
Advances From Federal Home Loan Bank | ||
Long-term line of credit | 1,010,000,000 | |
Estimate of Fair Value Measurement | ||
Advances From Federal Home Loan Bank | ||
Investments, Fair Value Disclosure | $ 0 | $ 0 |
Short-Term Borrowings - Schedul
Short-Term Borrowings - Schedule of Short-Term Borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Short-Term Borrowings. | ||
Notes payable - Community Development Equity Funds | $ 1,083 | $ 1,449 |
Other interest-bearing liabilities | 390 | |
Securities sold under reverse repurchase agreements with customers | 176,843 | 137,116 |
Overnight borrowings from the Federal Home Loan Bank | 88,500 | |
Short-term borrowings total | $ 266,426 | $ 138,955 |
Short-Term Borrowings - Short-t
Short-Term Borrowings - Short-term borrowings (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Short-Term Borrowings. | ||
Weighted average interest rates of short-term borrowings | 2.16% | 0.02% |
Short-term borrowings average | $ 181.1 | $ 145.3 |
Maximum amounts outstanding of short-term borrowing | $ 317.7 | $ 184.2 |
Short-Term Borrowings - Sched_2
Short-Term Borrowings - Schedule of Repurchase Agreements (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Short-Term Borrowings | ||
Mortgage-backed securities - GNMA, FNMA, FHLMC | $ 176,843 | $ 137,116 |
Financial Assets Sold under Agreement to Repurchase | Mortgage Backed Securities, Other | ||
Short-Term Borrowings | ||
Mortgage-backed securities - GNMA, FNMA, FHLMC | $ 176,843 | $ 137,116 |
Federal Reserve Bank Borrowin_2
Federal Reserve Bank Borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Federal Reserve Bank Borrowings | ||
Amount borrowed | $ 0 | $ 0 |
Federal Reserve Bank Advances | ||
Federal Reserve Bank Borrowings | ||
Available line of credit | $ 397,000 | $ 352,400 |
Subordinated Debentures Issue_3
Subordinated Debentures Issued to Capital Trust - Additional information (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Nov. 30, 2006 | Dec. 31, 2022 | Dec. 31, 2021 | |
Subordinated Debentures Issued to Capital Trusts | |||
Subordinated debentures issued to capital trust | $ 25,800 | $ 25,774 | $ 25,774 |
Subordinated Debentures | |||
Subordinated Debentures Issued to Capital Trusts | |||
Aggregate liquidation amount | $ 25,000 | ||
Interest rate | 6.98% | 6.04% | 1.73% |
90-day LIBOR | Subordinated Debentures | |||
Subordinated Debentures Issued to Capital Trusts | |||
Spread on variable rate | 1.60% |
Subordinated Debentures Issue_4
Subordinated Debentures Issued to Capital Trust - Schedule of subordinated debentures issued to capital trusts (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Nov. 30, 2006 |
Subordinated Debentures Issued to Capital Trusts | |||
Subordinated debentures | $ 25,774 | $ 25,774 | $ 25,800 |
Subordinated Notes (Details)
Subordinated Notes (Details) - USD ($) | 12 Months Ended | ||||
Aug. 15, 2021 | Jun. 10, 2020 | Aug. 08, 2016 | Dec. 31, 2022 | Dec. 31, 2021 | |
SUBORDINATED NOTES | |||||
Public offering and sale of subordinated notes | $ 75,000,000 | $ 75,000,000 | |||
Subordinated note interest rate | 5.50% | 5.25% | |||
Amortization of the debt issuance costs | $ 293,000 | $ 587,000 | |||
Subordinated borrowing, interest rate | 5.95% | 5.97% | |||
Senior Subordinated Notes | |||||
SUBORDINATED NOTES | |||||
Proceeds from issuance of senior long-term debt | $ 73,500,000 | $ 73,500,000 | |||
Payment of financing and stock issuance costs | $ 1,500,000 | $ 1,500,000 | |||
Expected life of the notes | 5 years | 5 years | |||
Principal amount redeemed | $ 75,000,000 | ||||
Redemption price as percentage of aggregate principal balance | 100% | ||||
Senior Subordinated Notes | SOFR | |||||
SUBORDINATED NOTES | |||||
Spread on variable rate, plus 3 months SOFR | 5.325% | ||||
Senior Subordinated Notes | 90-day LIBOR | |||||
SUBORDINATED NOTES | |||||
Spread on variable rate | 4.087% |
Subordinated Notes - Schedule o
Subordinated Notes - Schedule of subordinated borrowing (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Subordinated Notes | ||
Subordinated notes | $ 75,000 | $ 75,000 |
Less: unamortized debt issuance costs | 719 | 1,016 |
Total subordinated notes | $ 74,281 | $ 73,984 |
Income Taxes - Additional infor
Income Taxes - Additional information (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Income Taxes | ||
Retained earnings for which no deferred income tax liability had been recognized | $ 17.5 | $ 17.5 |
Unrecorded deferred income tax liability | 4.3 | $ 3.9 |
Tax obligation under tax examinations | $ 4 |
Income Taxes - Schedule of prov
Income Taxes - Schedule of provision for income taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Taxes | |||
Taxes currently payable | $ 15,769 | $ 16,025 | $ 25,259 |
Deferred income taxes (benefit) | 2,485 | 3,712 | (11,480) |
Income taxes | $ 18,254 | $ 19,737 | $ 13,779 |
Income Taxes - Schedule of defe
Income Taxes - Schedule of deferred tax assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred tax assets | ||
Allowance for credit losses | $ 15,618 | $ 13,854 |
Liability for unfunded commitments | 3,153 | 2,196 |
Interest on nonperforming loans | 66 | 98 |
Accrued expenses | 1,341 | 1,227 |
Write-down of foreclosed assets | 35 | |
Write-down of fixed assets | 67 | 62 |
Unrealized loss on available-for-sale securities | 15,407 | |
Unrealized loss on active cash flow derivatives | 7,695 | |
Income recognized for tax in excess of book related to terminated cash flow derivatives | 5,530 | 6,978 |
Deferred income | 290 | 298 |
Difference in basis for acquired assets and liabilities | 686 | 893 |
Deferred Tax Assets, Gross, Total | 49,853 | 25,641 |
Deferred tax liabilities | ||
Tax depreciation in excess of book depreciation | (8,210) | (5,681) |
FHLB stock dividends | (337) | (313) |
Partnership tax credits | (668) | (251) |
Prepaid expenses | (1,196) | (883) |
Unrealized gain on securities transferred to held-to-maturity securities | (29) | |
Unrealized gain on available-for-sale securities | (2,698) | |
Unrealized gain on terminated cash flow derivatives | (5,530) | (6,978) |
Other | (235) | (328) |
Deferred tax liabilities, gross, total | (16,205) | (17,132) |
Net deferred tax asset | $ 33,648 | $ 8,509 |
Income Taxes - schedule of effe
Income Taxes - schedule of effective income tax rate reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Taxes | |||
Tax at statutory rate | 21% | 21% | 21% |
Nontaxable interest and dividends | (0.50%) | (0.30%) | (0.50%) |
Tax credits | (1.60%) | (1.80%) | (3.80%) |
State taxes | 1.80% | 1.30% | 1.40% |
Deferred tax rate change benefit | (0.60%) | ||
Other | (0.70%) | 0.70% | 0.80% |
Effective Income Tax Rate Reconciliation, Percent, Total | 19.40% | 20.90% | 18.90% |
Disclosures About Fair Value _3
Disclosures About Fair Value of Financial Instruments - Fair value, assets measured on recurring basis (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Agency mortgage-backed securities | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | $ 286,482,000 | $ 229,441,000 |
Agency collateralized mortgage obligations | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 78,474,000 | 204,277,000 |
States and political subdivisions securities | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 57,495,000 | 40,015,000 |
Small Business Administration securities | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 68,141,000 | 27,299,000 |
Interest rate derivative asset | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 11,061,000 | 2,816,000 |
Interest rate derivative liability | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | (42,097,000) | (2,895,000) |
Level 2 | Agency mortgage-backed securities | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 286,482,000 | 229,441,000 |
Level 2 | Agency collateralized mortgage obligations | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 78,474,000 | 204,277,000 |
Level 2 | States and political subdivisions securities | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 57,495,000 | 40,015,000 |
Level 2 | Small Business Administration securities | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 68,141,000 | 27,299,000 |
Level 2 | Interest rate derivative asset | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | 11,061,000 | 2,816,000 |
Level 2 | Interest rate derivative liability | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | (42,097,000) | (2,895,000) |
Level 3 | ||
Fair value of recurring basis and the level within the fair value hierarchy in which the fair value measurements | ||
Available-for-Sale Securities | $ 0 | $ 0 |
Disclosures About Fair Value _4
Disclosures About Fair Value of Financial Instruments - Fair value, assets and liabilities measured on nonrecurring basis (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Collateral-dependent loans | ||
Nonrecurring Measurements | ||
Fair value measurement of assets | $ 785 | $ 1,712 |
Foreclosed assets held for sale | ||
Nonrecurring Measurements | ||
Fair value measurement of assets | 315 | |
Level 3 | Collateral-dependent loans | ||
Nonrecurring Measurements | ||
Fair value measurement of assets | $ 785 | 1,712 |
Level 3 | Foreclosed assets held for sale | ||
Nonrecurring Measurements | ||
Fair value measurement of assets | $ 315 |
Disclosures About Fair Value _5
Disclosures About Fair Value of Financial Instruments - Collateral-Dependent Loans (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Maximum | |
Collateral-Dependent Loans | |
Discounted rate for appraisals | 40% |
Minimum | |
Collateral-Dependent Loans | |
Discounted rate for appraisals | 10% |
Disclosures About Fair Value _6
Disclosures About Fair Value of Financial Instruments - Schedule of financial instruments fair value (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Subordinated debentures | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 25,774 | $ 25,774 |
Carrying Amount | $ 25,774 | $ 25,774 |
Hierarchy Level | 3 | 3 |
Subordinated notes | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 72,000 | $ 81,000 |
Carrying Amount | $ 74,281 | $ 73,984 |
Hierarchy Level | 2 | 2 |
Deposits | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 4,672,913 | $ 4,552,202 |
Carrying Amount | $ 4,684,910 | $ 4,552,101 |
Hierarchy Level | 3 | 3 |
Short-term Debt | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 266,426 | $ 138,955 |
Carrying Amount | $ 266,426 | $ 138,955 |
Hierarchy Level | 3 | 3 |
Unrecognized financial instruments (net of contractual value) | Commitments to originate loans | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Hierarchy Level | 3 | 3 |
Unrecognized financial instruments (net of contractual value) | Letters of credit | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 73 | $ 50 |
Carrying Amount | $ 73 | $ 50 |
Hierarchy Level | 3 | 3 |
Unrecognized financial instruments (net of contractual value) | Lines of credit | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Hierarchy Level | 3 | 3 |
Interest payable | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 3,010 | $ 646 |
Carrying Amount | $ 3,010 | $ 646 |
Hierarchy Level | 3 | 3 |
Loans, net of allowance for credit losses | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 4,391,084 | $ 4,001,362 |
Carrying Amount | $ 4,506,836 | $ 4,007,500 |
Hierarchy Level | 3 | 3 |
Cash and cash equivalents | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 168,520 | $ 717,267 |
Carrying Amount | $ 168,520 | $ 717,267 |
Hierarchy Level | 1 | 1 |
Held-to-maturity securities | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 177,765 | |
Carrying Amount | $ 202,495 | |
Hierarchy Level | 2 | 2 |
Mortgage loans held for sale | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 4,811 | $ 8,735 |
Carrying Amount | $ 4,811 | $ 8,735 |
Hierarchy Level | 2 | 2 |
Interest Receivable | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 19,107 | $ 10,705 |
Carrying Amount | $ 19,107 | $ 10,705 |
Hierarchy Level | 3 | 3 |
Investment in FHLB stock and other assets | ||
Fair value of respective financial instruments could be sold individually or in the aggregate | ||
Fair Value | $ 30,814 | $ 6,655 |
Carrying Amount | $ 30,814 | $ 6,655 |
Hierarchy Level | 3 | 3 |
Derivatives and Hedging Activ_3
Derivatives and Hedging Activities - Nondesignated Hedges (Details) - Nondesignated Hedges | 12 Months Ended | ||
Dec. 31, 2022 USD ($) contract loan | Dec. 31, 2021 USD ($) contract loan | Dec. 31, 2020 USD ($) | |
Derivatives and Hedging Activities | |||
Gains (losses) on fair value hedges recognized in earnings | $ | $ 321,000 | $ 312,000 | $ (264,000) |
Commercial customers | |||
Derivatives and Hedging Activities | |||
Notional amount of derivatives | $ | 107,000,000 | $ 93,900,000 | |
Interest rate contract | Third parties | |||
Derivatives and Hedging Activities | |||
Notional amount of derivatives | $ | $ 93,900,000 | ||
Interest rate swap | |||
Derivatives and Hedging Activities | |||
Number of participation loans purchased | loan | 1 | 4 | |
Participating mortgage loans, mortgage obligations amount | $ | $ 8,800,000 | $ 27,200,000 | |
Interest rate swap | Third parties | |||
Derivatives and Hedging Activities | |||
Number of interest rate derivatives held | contract | 6 | 11 | |
Interest rate swap | Commercial customers | |||
Derivatives and Hedging Activities | |||
Number of interest rate derivatives held | contract | 6 | 11 | |
Interest rate cap | Third parties | |||
Derivatives and Hedging Activities | |||
Number of interest rate derivatives held | contract | 1 | 1 | |
Interest rate cap | Commercial customers | |||
Derivatives and Hedging Activities | |||
Number of interest rate derivatives held | contract | 1 | 1 |
Derivatives and Hedging Activ_4
Derivatives and Hedging Activities - Cash Flow Hedges (Details) - Cash flow hedges - USD ($) | 1 Months Ended | 12 Months Ended | ||||||
Mar. 02, 2020 | Mar. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Jul. 31, 2022 | Mar. 31, 2022 | Oct. 31, 2018 | |
Interest rate swap | ||||||||
Derivatives and Hedging Activities | ||||||||
Notional amount of derivatives | $ 300,000,000 | $ 400,000,000 | ||||||
Derivative, fixed interest rate | 1.6725% | 3.018% | ||||||
Floating rate of interest | 4.142% | |||||||
Interest rate swap interest income | $ 8,100,000 | $ 8,100,000 | $ 7,700,000 | |||||
Expected interest income on termination | $ 45,900,000 | $ 45,900,000 | ||||||
Terminated interest rate swap | $ 941,000 | |||||||
Terminated notional amount of derivatives | $ 400,000,000 | |||||||
Interest rate swap | USD-Prime rate | ||||||||
Derivatives and Hedging Activities | ||||||||
Derivative, fixed interest rate | 7.50% | |||||||
Interest rate swap | USD-SOFR | ||||||||
Derivatives and Hedging Activities | ||||||||
Floating rate of interest | 4.06173% | |||||||
Interest rate swap one | ||||||||
Derivatives and Hedging Activities | ||||||||
Notional amount of derivatives | $ 200,000,000 | |||||||
Derivative, fixed interest rate | 2.628% | |||||||
Interest rate swap two | ||||||||
Derivatives and Hedging Activities | ||||||||
Notional amount of derivatives | $ 200,000,000 | |||||||
Derivative, fixed interest rate | 5.725% |
Derivatives and Hedging Activ_5
Derivatives and Hedging Activities - Fair value and location (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Derivatives designated as hedging instruments | ||
Total derivatives not designated as hedging instruments, Liabilities | $ 10,820 | $ 2,895 |
Total derivatives designated as hedging instruments, Liabilities | 31,277 | |
Derivative Assets | ||
Total derivatives not designated as hedging instruments, Assets | 11,061 | 2,816 |
Active interest rate swaps | Accrued expenses and other liabilities | ||
Derivatives designated as hedging instruments | ||
Total derivatives designated as hedging instruments, Liabilities | 31,277 | |
Interest rate products | Prepaid expenses and other current assets | ||
Derivative Assets | ||
Total derivatives not designated as hedging instruments, Assets | 11,061 | 2,816 |
Interest rate products | Accrued expenses and other liabilities | ||
Derivatives designated as hedging instruments | ||
Total derivatives not designated as hedging instruments, Liabilities | $ 10,820 | $ 2,895 |
Derivatives and Hedging Activ_6
Derivatives and Hedging Activities - Cash Flow Hedge on Comprehensive Income (Details) - Amount of Gain (Loss) Recognized in AOCI - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Derivatives and Hedging Activities | |||
Interest rate swaps, net of income taxes | $ (29,853) | $ (6,271) | $ 6,691 |
Terminated interest rate swap, net of income taxes | |||
Derivatives and Hedging Activities | |||
Interest rate swaps, net of income taxes | (6,271) | $ (6,271) | $ 6,691 |
Active interest rate swap, net of income taxes | |||
Derivatives and Hedging Activities | |||
Interest rate swaps, net of income taxes | $ (23,582) |
Derivatives and Hedging Activ_7
Derivatives and Hedging Activities - Cash Flow Hedge on Statements of Operations (Details) - Interest Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Derivatives and Hedging Activities | |||
Interest rate swaps, net of income taxes | $ 7,182 | $ 8,123 | $ 7,676 |
Terminated interest rate swap, net of income taxes | |||
Derivatives and Hedging Activities | |||
Interest rate swaps, net of income taxes | 8,123 | $ 8,123 | $ 7,676 |
Active interest rate swap, net of income taxes | |||
Derivatives and Hedging Activities | |||
Interest rate swaps, net of income taxes | $ (941) |
Derivatives and Hedging Activ_8
Derivatives and Hedging Activities - Agreements with Derivative Counterparties (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Loan level swaps | ||
Derivatives and Hedging Activities | ||
Termination value of derivatives with derivative dealer counterparties | $ 1,200,000 | |
Derivative counterparties collateral | $ 20,700,000 | |
Net liability position | Balance sheet hedge | ||
Derivatives and Hedging Activities | ||
Termination value of derivatives with derivative dealer counterparties | 437,000 | |
Cash collateral received from derivative counterparty | 390,000 | |
Net asset position | Balance sheet hedge | ||
Derivatives and Hedging Activities | ||
Derivative counterparties collateral | $ 242,000 | $ 437,000 |
Commitments and Credit Risk - M
Commitments and Credit Risk - Mortgage Loans in Process of Origination (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Commitments and Credit Risk | ||
Mortgage loans in the process of origination | $ 16.8 | $ 53.5 |
Commitments and Credit Risk - L
Commitments and Credit Risk - Letters of Credit (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Commitments and Credit Risk | ||
Letters of credit outstanding, amount | $ 16.7 | $ 13.4 |
Commitments and Credit Risk -_2
Commitments and Credit Risk - Lines of Credit (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Commitments and Credit Risk | ||
Letters of credit outstanding, amount | $ 16.7 | $ 13.4 |
Commercial lines of credit | ||
Commitments and Credit Risk | ||
Letters of credit outstanding, amount | 1,800 | 1,300 |
Open-end consumer lines of credit | ||
Commitments and Credit Risk | ||
Letters of credit outstanding, amount | $ 199.2 | $ 175.7 |
Commitments and Credit Risk_ Cr
Commitments and Credit Risk: Credit Risk - Secured Loans (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Asset pledged as collateral | ||
Commitments and Credit Risk | ||
Loans and leases receivable, collateral for secured borrowings | $ 814.1 | $ 743.5 |
Commitments and Credit Risk - O
Commitments and Credit Risk - Outstanding Commitments to Originate Loans (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Commitments and Credit Risk | ||
Outstanding commitments to originate loans | $ 97.1 | $ 159.7 |
Additional Cash Flow Informat_3
Additional Cash Flow Information - Schedule of Cash Flow, Supplemental Disclosures (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Additional Cash Flow Information | |||
Income taxes paid | $ 18,254 | $ 19,737 | $ 13,779 |
Noncash investing and financing activities | |||
Additional Cash Flow Information | |||
Real estate acquired in settlement of loans | 371 | 1,154 | 1,707 |
Transfer of available-for-sale securities to held-to-maturity | 226 | ||
Sale and financing of foreclosed assets | 625 | ||
Conversion of premises and equipment to foreclosed assets | 1,215 | 80 | |
Dividends declared but not paid | 4,893 | 4,727 | 4,676 |
Additional cash payment information | |||
Additional Cash Flow Information | |||
Interest paid | 24,999 | 22,700 | 42,221 |
Income taxes paid | $ 10,258 | $ 12,959 | $ 18,755 |
Employee Benefits (Details)
Employee Benefits (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Jul. 01, 2022 | Jul. 31, 2021 | |
Employee Benefits | |||||
Employer contributions charged to expense | $ 1.5 | $ 2.1 | $ 2.1 | ||
Percentage of employer maximum total contributions | 5% | ||||
Funded status of the plan (as a percent) | 100% | 112.40% | |||
Percentage of employer's matching contribution of the employee's compensation | 100% | ||||
Percentage of employee's compensation on which employer matches | 3% | ||||
Percentage of employer's matching contribution of the employee's compensation | 50% | ||||
Percentage of employee's compensation on which employer matches | 2% | ||||
Employer contributions charged to expense | $ 1.7 | $ 1.7 | $ 1.6 |
Stock Compensation Plans - Addi
Stock Compensation Plans - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Stock Compensation Plans | |||
Number of options outstanding | 1,064,917 | ||
Stock options term | 10 years | ||
Compensation expense for stock option grants | $ | $ 1,437 | $ 1,225 | $ 1,153 |
Percentage of cumulative annual installments | 25% | ||
2003 Plan | |||
Stock Compensation Plans | |||
Number of shares authorized | 598,224 | ||
Number of options outstanding | 300 | ||
2013 Plan | |||
Stock Compensation Plans | |||
Number of shares authorized | 700,000 | ||
Number of options outstanding | 229,501 | ||
2018 Plan | |||
Stock Compensation Plans | |||
Number of shares authorized | 800,000 | ||
Number of options outstanding | 629,966 | ||
2022 Plan | |||
Stock Compensation Plans | |||
Number of shares authorized | 800,000 | ||
Number of options outstanding | 205,150 | ||
Ratio of shares utilized for awards other than stock options and stock appreciation rights | 2.5 |
Stock Compensation Plans - Sche
Stock Compensation Plans - Schedule of Share-based Compensation, Stock Options, Activity (Details) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Stock Compensation Plans | ||||
Available to Grant | 594,850 | 86,672 | 245,350 | 436,900 |
Shares Under Option | 1,064,917 | 1,033,303 | 971,107 | 807,868 |
Weighted Average Exercise Price | $ 53.671 | $ 50.528 | $ 48.079 | $ 49.139 |
Granted from 2018 Plan | ||||
Stock Compensation Plans | ||||
Available to Grant | 2,500 | 202,700 | 196,350 | |
Shares Under Option | 2,500 | 202,700 | 196,350 | |
Weighted Average Exercise Price | $ 61.550 | $ 57.980 | $ 41.740 | |
Exercised | ||||
Stock Compensation Plans | ||||
Shares Under Option | 136,801 | 91,285 | 21,436 | |
Weighted Average Exercise Price | $ 42.149 | $ 40.532 | $ 33.805 | |
Forfeited from terminated plan(s) | ||||
Stock Compensation Plans | ||||
Available to Grant | 39,235 | |||
Shares Under Option | 39,235 | 5,197 | 6,875 | |
Weighted Average Exercise Price | $ 52.523 | $ 44.563 | $ 38.849 | |
Forfeited from current plan(s) | ||||
Stock Compensation Plans | ||||
Available to Grant | 750 | 44,022 | 4,800 | |
Shares Under Option | 750 | 44,022 | 4,800 | |
Weighted Average Exercise Price | $ 61.550 | $ 52.256 | $ 57.513 | |
Termination of 2018 Plan | ||||
Stock Compensation Plans | ||||
Available to Grant | 123,407 | |||
Available to Grant from 2022 Plan | ||||
Stock Compensation Plans | ||||
Available to Grant | 800,000 | |||
Granted from 2022 Plan | ||||
Stock Compensation Plans | ||||
Available to Grant | 205,900 | |||
Shares Under Option | 205,900 | |||
Weighted Average Exercise Price | $ 61.505 |
Stock Compensation Plans - Sc_2
Stock Compensation Plans - Schedule of Fair Value Option Pricing Model Assumptions (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Stock Compensation Plans | |||
Expected dividends per share | $ 1.60 | $ 1.44 | $ 1.36 |
Risk-free interest rate | 3.77% | 1.24% | 0.35% |
Expected life of options | 6 years | 5 years | 5 years |
Expected volatility | 23.70% | 28.33% | 29.32% |
Weighted average fair value of options granted during year | $ 13.46 | $ 11.56 | $ 7.30 |
Stock Compensation Plans - Sc_3
Stock Compensation Plans - Schedule of Share-based Compensation, Activity (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Stock Compensation Plans | ||
Number Outstanding | 1,064,917 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 53.671 | |
Weighted Average Remaining Contractual Term | 7 years 1 month 17 days | 7 years 18 days |
Granted | ||
Stock Compensation Plans | ||
Number Outstanding | 208,400 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 61.506 | |
Exercised | ||
Stock Compensation Plans | ||
Number Outstanding | 136,801 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 42.149 | |
Forfeited | ||
Stock Compensation Plans | ||
Number Outstanding | 39,985 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 52.692 | |
Balance beginning of period | ||
Stock Compensation Plans | ||
Number Outstanding | 1,033,303 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 50.528 | |
Balance end of period | Options exercisable | ||
Stock Compensation Plans | ||
Number Outstanding | 428,073 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 50.098 | |
Weighted Average Remaining Contractual Term | 5 years |
Stock Compensation Plans - Opti
Stock Compensation Plans - Options Granted and Intrinsic Value (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Stock Compensation Plans | |||
Options granted | 208,400 | 202,700 | 196,350 |
The total intrinsic value of options exercised | $ 2,600,000 | $ 1,400,000 | $ 371,000 |
Proceeds from Stock Options Exercised | 6,258,000 | 3,700,000 | 661,000 |
The actual tax benefit realized for the tax deductions from option exercises | 2,300,000 | 1,200,000 | 257,000 |
The total intrinsic value of options outstanding | 6,700,000 | 9,200,000 | 4,500,000 |
The total intrinsic value of options exercisable | $ 4,100,000 | $ 5,300,000 | $ 2,900,000 |
Stock Compensation Plans - Sc_4
Stock Compensation Plans - Schedule of Nonvested Share Activity (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Nonvested options | ||
Stock Compensation Plans | ||
Options | 636,844 | 611,956 |
Weighted Average Exercise Price | $ 56.073 | $ 53.091 |
Weighted Average Grant Date Fair Value | $ 11.117 | $ 9.768 |
Granted | ||
Stock Compensation Plans | ||
Options | 208,400 | |
Weighted Average Exercise Price | $ 61.506 | |
Weighted Average Grant Date Fair Value | $ 13.317 | |
Vested this period | ||
Stock Compensation Plans | ||
Options | 147,716 | |
Weighted Average Exercise Price | $ 52.100 | |
Weighted Average Grant Date Fair Value | $ 9.148 | |
Nonvested options forfeited | ||
Stock Compensation Plans | ||
Options | 35,796 | |
Weighted Average Exercise Price | $ 53.125 | |
Weighted Average Grant Date Fair Value | $ 9.798 |
Stock Compensation Plans - Nonv
Stock Compensation Plans - Nonvested Options Granted Unrecognized Compensation Cost (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Stock Compensation Plans | |
Total unrecognized compensation cost related to nonvested options granted | $ 6.5 |
Stock Compensation Plans - Shar
Stock Compensation Plans - Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable (Details) - $ / shares | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Stock Compensation Plans | ||||
Number Outstanding | 1,064,917 | |||
Weighted Average Remaining Contractual Term | 7 years 1 month 17 days | 7 years 18 days | ||
Weighted Average Exercise Price | $ 53.671 | $ 50.528 | $ 48.079 | $ 49.139 |
Options Outstanding | ||||
Stock Compensation Plans | ||||
Number Outstanding | 1,064,917 | |||
Weighted Average Remaining Contractual Term | 7 years 1 month 17 days | |||
Weighted Average Exercise Price | $ 53.671 | |||
Options exercisable | ||||
Stock Compensation Plans | ||||
Number Exercisable | 428,073 | |||
Weighted Average Exercise Price | $ 50.098 | |||
Range of Exercise Prices | $23.860 to 29.640 | ||||
Stock Compensation Plans | ||||
Exercise price range, minimum | 23.860 | |||
Exercise price range, maximum | $ 29.640 | |||
Range of Exercise Prices | $23.860 to 29.640 | Options Outstanding | ||||
Stock Compensation Plans | ||||
Number Outstanding | 9,977 | |||
Weighted Average Remaining Contractual Term | 10 months 6 days | |||
Weighted Average Exercise Price | $ 28.714 | |||
Range of Exercise Prices | $23.860 to 29.640 | Options exercisable | ||||
Stock Compensation Plans | ||||
Number Exercisable | 9,977 | |||
Weighted Average Exercise Price | $ 28.714 | |||
Range of Exercise Prices | $32.590 to 38.610 | ||||
Stock Compensation Plans | ||||
Exercise price range, minimum | 32.590 | |||
Exercise price range, maximum | $ 38.610 | |||
Range of Exercise Prices | $32.590 to 38.610 | Options Outstanding | ||||
Stock Compensation Plans | ||||
Number Outstanding | 27,981 | |||
Weighted Average Remaining Contractual Term | 1 year 11 months 15 days | |||
Weighted Average Exercise Price | $ 33.289 | |||
Range of Exercise Prices | $32.590 to 38.610 | Options exercisable | ||||
Stock Compensation Plans | ||||
Number Exercisable | 27,981 | |||
Weighted Average Exercise Price | $ 33.289 | |||
Range of Exercise Prices | $41.300 to 41.740 | ||||
Stock Compensation Plans | ||||
Exercise price range, minimum | 41.300 | |||
Exercise price range, maximum | $ 41.740 | |||
Range of Exercise Prices | $41.300 to 41.740 | Options Outstanding | ||||
Stock Compensation Plans | ||||
Number Outstanding | 210,423 | |||
Weighted Average Remaining Contractual Term | 6 years 9 months 18 days | |||
Weighted Average Exercise Price | $ 41.630 | |||
Range of Exercise Prices | $41.300 to 41.740 | Options exercisable | ||||
Stock Compensation Plans | ||||
Number Exercisable | 86,383 | |||
Weighted Average Exercise Price | $ 41.473 | |||
Range of Exercise Prices | $50.710 to 59.750 | ||||
Stock Compensation Plans | ||||
Exercise price range, minimum | 50.710 | |||
Exercise price range, maximum | $ 59.750 | |||
Range of Exercise Prices | $50.710 to 59.750 | Options Outstanding | ||||
Stock Compensation Plans | ||||
Number Outstanding | 467,102 | |||
Weighted Average Remaining Contractual Term | 6 years 7 months 9 days | |||
Weighted Average Exercise Price | $ 55.388 | |||
Range of Exercise Prices | $50.710 to 59.750 | Options exercisable | ||||
Stock Compensation Plans | ||||
Number Exercisable | 234,308 | |||
Weighted Average Exercise Price | $ 53.218 | |||
Range of Exercise Prices | $60.150 to 62.010 | ||||
Stock Compensation Plans | ||||
Exercise price range, minimum | 60.150 | |||
Exercise price range, maximum | $ 62.010 | |||
Range of Exercise Prices | $60.150 to 62.010 | Options Outstanding | ||||
Stock Compensation Plans | ||||
Number Outstanding | 349,434 | |||
Weighted Average Remaining Contractual Term | 8 years 7 months 9 days | |||
Weighted Average Exercise Price | $ 60.972 | |||
Range of Exercise Prices | $60.150 to 62.010 | Options exercisable | ||||
Stock Compensation Plans | ||||
Number Exercisable | 69,424 | |||
Weighted Average Exercise Price | $ 60.150 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income - Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Accumulated Other Comprehensive Income | ||
Accumulated other comprehensive income, before tax | $ (71,303) | $ 42,435 |
Tax effect | 17,948 | (9,676) |
Net-of-tax amount | (53,355) | 32,759 |
Net unrealized gain (loss) on available-for-sale securities | ||
Accumulated Other Comprehensive Income | ||
Accumulated other comprehensive income, before tax | (62,622) | 11,834 |
Net unrealized gain on held-to-maturity securities | ||
Accumulated Other Comprehensive Income | ||
Accumulated other comprehensive income, before tax | 118 | |
Net unrealized gain (loss) on active derivatives used for cash flow hedges | ||
Accumulated Other Comprehensive Income | ||
Accumulated other comprehensive income, before tax | (31,277) | |
Net unrealized gain on terminated derivatives used for cash flow hedges | ||
Accumulated Other Comprehensive Income | ||
Accumulated other comprehensive income, before tax | $ 22,478 | $ 30,601 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income - Schedule of Amounts Reclassified from Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accumulated Other Comprehensive Income | |||
Total reclassifications out of AOCI | $ 6,173 | $ 6,271 | $ 5,283 |
Affected Line Item in the Statements of Income | Net realized gains (losses) on available-for-sale securities (total reclassified amount before tax) | |||
Accumulated Other Comprehensive Income | |||
Unrealized gains/(losses) on available- for-sale securities | (130) | 78 | |
Affected Line Item in the Statements of Income | Amortization of realized gain on termination of cash flow hedge (total reclassification amount before tax) | |||
Accumulated Other Comprehensive Income | |||
Change in fair value of cash flow hedge | 8,123 | 8,123 | 6,764 |
Affected Line Item in the Statements of Income | Tax (expense) benefit | |||
Accumulated Other Comprehensive Income | |||
Income taxes | $ (1,820) | $ (1,852) | $ (1,559) |
Regulatory Matters - Schedule o
Regulatory Matters - Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Total capital | Great Southern Bancorp, Inc. | ||
Regulatory Matters | ||
Actual Capital Amount | $ 746,287 | $ 745,641 |
Actual Capital Ratio | 13.50% | 16.30% |
Capital Required for Capital Adequacy | $ 440,767 | $ 365,120 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.080 | 0.080 |
Total capital | Great Southern Bank | ||
Regulatory Matters | ||
Actual Capital Amount | $ 721,616 | $ 701,215 |
Actual Capital Ratio | 13.10% | 15.40% |
Capital Required for Capital Adequacy | $ 440,683 | $ 365,048 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.080 | 0.080 |
Capital Required to be Well Capitalized | $ 550,854 | $ 456,310 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 0.100 | 0.100 |
Tier I capital | Great Southern Bancorp, Inc. | ||
Regulatory Matters | ||
Actual Capital Amount | $ 607,807 | $ 613,544 |
Actual Capital Ratio | 11% | 13.40% |
Capital Required for Capital Adequacy | $ 330,575 | $ 273,840 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.060 | 0.060 |
Tier I capital | Great Southern Bank | ||
Regulatory Matters | ||
Actual Capital Amount | $ 658,136 | $ 644,134 |
Actual Capital Ratio | 11.90% | 14.10% |
Capital Required for Capital Adequacy | $ 330,512 | $ 273,786 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.060 | 0.060 |
Capital Required to be Well Capitalized | $ 440,683 | $ 365,048 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 0.080 | 0.080 |
Tier I leverage capital | Great Southern Bancorp, Inc. | ||
Regulatory Matters | ||
Actual Capital Amount | $ 607,807 | $ 613,544 |
Actual Capital Ratio | 10.60% | 11.30% |
Capital Required for Capital Adequacy | $ 228,673 | $ 217,264 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.040 | 0.040 |
Tier I leverage capital | Great Southern Bank | ||
Regulatory Matters | ||
Actual Capital Amount | $ 658,136 | $ 644,134 |
Actual Capital Ratio | 11.50% | 11.90% |
Capital Required for Capital Adequacy | $ 228,511 | $ 217,209 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.040 | 0.040 |
Capital Required to be Well Capitalized | $ 285,638 | $ 271,511 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 0.050 | 0.050 |
Common equity Tier I capital | Great Southern Bancorp, Inc. | ||
Regulatory Matters | ||
Actual Capital Amount | $ 582,807 | $ 588,544 |
Actual Capital Ratio | 10.60% | 12.90% |
Capital Required for Capital Adequacy | $ 247,932 | $ 205,380 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.045 | 0.045 |
Common equity Tier I capital | Great Southern Bank | ||
Regulatory Matters | ||
Actual Capital Amount | $ 658,136 | $ 644,134 |
Actual Capital Ratio | 11.90% | 14.10% |
Capital Required for Capital Adequacy | $ 247,884 | $ 205,340 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.045 | 0.045 |
Capital Required to be Well Capitalized | $ 358,055 | $ 296,602 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 0.065 | 0.065 |
Summary of Unaudited Quarterl_3
Summary of Unaudited Quarterly Operating Results: Schedule of Quarterly Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |||||||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | |
Summary of Unaudited Quarterly Operating Results | ||||||||||||
Interest income | $ 67,949 | $ 59,657 | $ 52,698 | $ 46,673 | $ 47,948 | $ 49,640 | $ 50,452 | $ 50,633 | $ 52,619 | $ 53,599 | $ 54,011 | $ 57,474 |
Interest expense | 13,330 | 6,759 | 3,867 | 3,407 | 3,723 | 4,717 | 5,768 | 6,544 | 8,042 | 9,431 | 10,556 | 12,536 |
Provision (credit) for credit losses on loans | 1,000 | 2,000 | (3,000) | (3,000) | (1,000) | 300 | 1,500 | 4,500 | 6,000 | 3,871 | ||
Provision (credit) for unfunded commitments | (159) | 1,315 | 2,223 | (193) | 1,277 | 643 | (307) | (674) | ||||
Net realized gain (loss) on available-for-sale securities | (168) | 31 | 7 | 78 | ||||||||
Non-interest income | 7,661 | 7,984 | 9,319 | 9,176 | 9,198 | 9,798 | 9,585 | 9,736 | 9,956 | 9,466 | 8,261 | 7,367 |
Non-interest expense | 34,336 | 34,758 | 33,004 | 31,268 | 35,784 | 31,339 | 30,191 | 30,321 | 31,073 | 31,988 | 29,349 | 30,815 |
Provision for income taxes | 4,499 | 4,676 | 4,699 | 4,380 | 4,081 | 5,375 | 5,271 | 5,010 | 4,172 | 3,692 | 3,164 | 2,751 |
Net income available to common shareholders | $ 22,604 | $ 18,133 | $ 18,224 | $ 16,987 | $ 15,281 | $ 20,364 | $ 20,114 | $ 18,868 | $ 17,788 | $ 13,454 | $ 13,203 | $ 14,868 |
Earnings per common share - diluted | $ 1.84 | $ 1.46 | $ 1.44 | $ 1.30 | $ 1.14 | $ 1.49 | $ 1.46 | $ 1.36 | $ 1.28 | $ 0.96 | $ 0.93 | $ 1.04 |
Condensed Parent Company Stat_3
Condensed Parent Company Statements - Statements of Financial Condition (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Statements of Financial Condition | ||
Cash | $ 105,262 | $ 90,008 |
Prepaid expenses and other assets | 69,461 | 45,176 |
Total assets | 5,680,702 | 5,449,944 |
Subordinated debentures issued to capital trust | 74,281 | 73,984 |
Subordinated notes | 74,281 | 73,984 |
Additional paid-in capital | 42,445 | 38,314 |
Retained earnings | 543,875 | 545,548 |
Accumulated other comprehensive income (loss), net of income taxes of $(17,948) and $9,676 at December 31, 2022 and 2021, respectively | (53,355) | 32,759 |
Total liabilities and stockholders' equity | 5,680,702 | 5,449,944 |
Parent Company | ||
Statements of Financial Condition | ||
Cash | 29,097 | 48,372 |
Investment in subsidiary bank | 608,416 | 672,342 |
Deferred and accrued income taxes | 148 | 94 |
Prepaid expenses and other assets | 882 | 868 |
Total assets | 638,543 | 721,676 |
Accounts payable and accrued expenses | 5,401 | 5,166 |
Subordinated debentures issued to capital trust | 25,774 | 25,774 |
Subordinated notes | 74,281 | 73,984 |
Common Stock | 122 | 131 |
Additional paid-in capital | 42,445 | 38,314 |
Retained earnings | 543,875 | 545,548 |
Accumulated other comprehensive income (loss), net of income taxes of $(17,948) and $9,676 at December 31, 2022 and 2021, respectively | (53,355) | 32,759 |
Total liabilities and stockholders' equity | $ 638,543 | $ 721,676 |
Condensed Parent Company Stat_4
Condensed Parent Company Statements - Statements of Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statements of Income | |||
Interest expense | $ 27,363 | $ 20,752 | $ 40,565 |
Parent Company | |||
Statements of Income | |||
Dividends from subsidiary bank | 60,000 | 74,000 | 40,000 |
Other income | 5 | ||
Total income | 60,000 | 74,000 | 40,005 |
Operating expenses | 2,550 | 2,121 | 2,197 |
Interest expense | 5,298 | 7,613 | 7,459 |
Total expense | 7,848 | 9,734 | 9,656 |
Income before income tax and equity in undistributed earnings of subsidiaries | 52,152 | 64,266 | 30,349 |
Credit for income taxes | (1,608) | (1,850) | (1,800) |
Income before equity in earnings of subsidiaries | 53,760 | 66,116 | 32,149 |
Equity in undistributed earnings of subsidiaries | 22,188 | 8,511 | 27,164 |
Net income | $ 75,948 | $ 74,627 | $ 59,313 |
Condensed Parent Company Stat_5
Condensed Parent Company Statements - Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statements of Cash Flows | |||
Prepaid expenses and other assets | $ 24,248 | $ (3,257) | $ 17,163 |
Accounts payable and accrued expenses | 73,808 | 25,956 | |
Net cash provided by operating activities | 66,580 | 84,976 | 46,048 |
Net cash provided by investing activities | (801,280) | 190,713 | (131,346) |
Proceeds from issuance of subordinated notes | 0 | 0 | 73,513 |
Redemption of subordinated notes | 0 | (75,000) | 0 |
Net cash provided by (used in) financing activities | 185,953 | (122,151) | 428,872 |
Cash and Cash Equivalents, Beginning of Year | 717,267 | 563,729 | 220,155 |
Cash and Cash Equivalents, End of Year | 168,520 | 717,267 | 563,729 |
Parent Company | |||
Statements of Cash Flows | |||
Net income | 75,948 | 74,627 | 59,313 |
Equity in undistributed earnings of subsidiary | (22,188) | (8,511) | (27,164) |
Compensation expense for stock option grants | 1,437 | 1,225 | 1,153 |
Amortization of interest rate derivative and deferred costs on subordinated notes | 297 | 587 | 608 |
Prepaid expenses and other assets | (14) | 15 | (15) |
Accounts payable and accrued expenses | 69 | (1,661) | 31 |
Income taxes | (54) | 63 | (46) |
Net cash provided by operating activities | 55,495 | 66,345 | 33,880 |
Purchases of the Company's common stock | (61,847) | (39,123) | (22,104) |
Proceeds from issuance of subordinated notes | 73,513 | ||
Redemption of subordinated notes | (75,000) | ||
Dividends paid | (19,181) | (18,800) | (33,426) |
Stock options exercised | 6,258 | 3,700 | 661 |
Net cash provided by (used in) financing activities | (74,770) | (129,223) | 18,644 |
Increase (Decrease) in Cash | (19,275) | (62,878) | 52,524 |
Cash and Cash Equivalents, Beginning of Year | 48,372 | 111,250 | 58,726 |
Cash and Cash Equivalents, End of Year | 29,097 | 48,372 | 111,250 |
Interest paid | $ 5,115 | $ 9,103 | $ 7,349 |
Condensed Parent Company Stat_6
Condensed Parent Company Statements - Statements of Comprehensive Income - (Details) - Parent Company - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statements of Comprehensive Income | |||
Net Income | $ 75,948 | $ 74,627 | $ 59,313 |
Comprehensive income (loss) of subsidiaries | (86,114) | (20,392) | 20,905 |
Comprehensive Income | $ (10,166) | $ 54,235 | $ 80,218 |