Hawthorn Bancshares (HWBK) 10-Q 7 Nov 19 2019 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2019	Nov. 07, 2019
Document And Entity Information Abstract
Entity Registrant Name	HAWTHORN BANCSHARES, INC.
Entity Central Index Key	0000893847
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		6,276,236
Entity Current Reporting Status	Yes
Document Type	10-Q
Document Period End Date	Sep. 30, 2019
Amendment Flag	false
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
ASSETS
Cash and due from banks	$ 22,856	$ 23,687
Federal funds sold and other interest-bearing deposits	21,559	18,396
Cash and cash equivalents	44,415	42,083
Certificates of deposit in other banks	11,601	12,247
Available-for-sale debt securities, at fair value	181,270	218,205
Other investments	6,210	5,675
Total investment securities	187,480	223,880
Loans	1,151,518	1,146,627
Allowances for loan losses	(12,178)	(11,652)
Net loans	1,139,340	1,134,975
Premises and equipment - net	35,754	34,894
Mortgage servicing rights	2,575	2,931
Other real estate owned - net	12,878	13,691
Accrued interest receivable	6,215	6,162
Cash surrender value - life insurance	2,385	2,542
Other assets	6,695	8,277
Total assets	1,449,338	1,481,682
Deposits
Non-interest bearing demand	284,452	262,857
Savings, interest checking and money market	550,350	614,040
Time deposits $250,000 and over	94,970	104,900
Other time deposits	207,635	216,671
Total deposits	1,137,407	1,198,468
Federal funds purchased and securities sold under agreements to repurchase	27,191	24,647
Federal Home Loan Bank advances and other borrowings	106,980	95,153
Subordinated notes	49,486	49,486
Operating lease liabilities	2,285
Accrued interest payable	1,020	1,035
Other liabilities	12,155	13,479
Total liabilities	1,336,524	1,382,268
Stockholders' equity:
Common stock, $1 par value, authorized 15,000,000 shares; issued 6,519,874 and 6,278,481 shares, respectively	6,520	6,279
Surplus	55,727	50,173
Retained earnings	58,275	54,105
Accumulated other comprehensive loss, net of tax	(2,664)	(6,099)
Treasury stock; 243,638 shares, at cost	(5,044)	(5,044)
Total stockholders' equity	112,814	99,414
Total liabilities and stockholders' equity	$ 1,449,338	$ 1,481,682

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - $ / shares	Sep. 30, 2019	Dec. 31, 2018
Consolidated Balance Sheets
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	15,000,000	15,000,000
Common stock, shares issued	6,519,874	6,278,481
Treasury stock, shares	243,638	243,638

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
INTEREST INCOME
Interest and fees on loans	$ 14,806	$ 13,252	$ 43,662	$ 38,329
Interest on investment securities:
Taxable	831	1,089	2,857	3,141
Nontaxable	119	146	408	451
Federal funds sold, other interest-bearing deposits, and certificates of deposit in other banks	103	205	897	500
Dividends on other investments	66	59	199	162
Total interest income	15,925	14,751	48,023	42,583
Interest on deposits:
Savings, interest checking and money market	1,047	1,468	4,217	3,899
Time deposit accounts $250,000 and over	475	391	1,761	825
Time deposits	801	520	2,268	1,566
Total interest expense on deposits	2,323	2,379	8,246	6,290
Interest on federal funds purchased and securities sold under agreements to repurchase	34	166	110	526
Interest on Federal Home Loan Bank advances	619	314	1,699	1,042
Interest on subordinated notes	588	584	1,821	1,635
Total interest expense on borrowings	1,241	1,064	3,630	3,203
Total interest expense	3,564	3,443	11,876	9,493
Net interest income	12,361	11,308	36,147	33,090
Provision for loan losses	450	250	850	1,000
Net interest income after provision for loan losses	11,911	11,058	35,297	32,090
NON-INTEREST INCOME
Gain on sale of mortgage loans, net	215	205	499	592
Other	55	50	157	113
Total non-interest income	2,424	2,364	6,637	6,970
Investment securities (loss) gain, net	(40)	50	(40)	256
Gain on branch sale, net	109		2,183	0
NON-INTEREST EXPENSE
Salaries and employee benefits	5,366	5,543	16,220	17,413
Occupancy expense, net	909	749	2,348	2,162
Furniture and equipment expense	671	785	2,166	2,104
Processing, network, and bank card expense	893	841	2,867	2,589
Legal, examination, and professional fees	316	289	948	913
Advertising and promotion	343	297	884	840
Postage, printing, and supplies	181	256	650	749
Other	911	1,168	3,066	3,368
Total non-interest expense	9,590	9,928	29,149	30,138
Income before income taxes	4,814	3,544	14,928	9,178
Income tax expense	954	446	2,882	1,083
Net income	$ 3,860	$ 3,098	$ 12,046	$ 8,095
Basic earnings per share (in dollars per share)	$ 0.62	$ 0.49	$ 1.92	$ 1.29
Diluted earnings per share (in dollars per share)	$ 0.62	$ 0.49	$ 1.92	$ 1.29
Service charges and other fees
NON-INTEREST INCOME
Income from fees	$ 953	$ 942	$ 2,701	$ 2,760
Bank card income and fees
NON-INTEREST INCOME
Income from fees	794	699	2,282	2,064
Trust department income
NON-INTEREST INCOME
Income from fees	371	276	960	867
Real estate servicing fees, net
NON-INTEREST INCOME
Income from fees	$ 36	$ 192	$ 38	$ 574

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Consolidated Statements of Comprehensive Income
Net income	$ 3,860	$ 3,098	$ 12,046	$ 8,095
Investment securities available-for-sale:
Unrealized gain (loss) on investment securities available-for-sale, net of tax	280	(936)	3,357	(3,093)
Adjustment for gain on sale of investment securities, net of tax	32	0	32	0
Defined benefit pension plans:
Amortization of prior service cost included in net periodic pension cost, net of tax	15	44	46	129
Total other comprehensive income (loss)	327	(892)	3,435	(2,964)
Total comprehensive income	$ 4,187	$ 2,206	$ 15,481	$ 5,131

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Common Stock	Surplus	Retained Earnings	Accumulated Other Comprehensive Loss	Treasury Stock	Total
Balance at Dec. 31, 2017	$ 6,047	$ 45,442	$ 50,595	$ (5,662)	$ (5,051)	$ 91,371
Increase (Decrease) in Stockholders' Equity
Net income	0	0	8,095	0	0	8,095
Other comprehensive income (loss)	0	0	0	(2,964)	0	(2,964)
Issuance of stock under equity compensation plan	0	(51)	0	0	186	135
Purchase of treasury stock	0	0	0	0	(179)	(179)
Stock dividend	232	4,782	(5,014)	0	0	0
Cash dividends declared, common stock	0	0	(1,586)	0	0	(1,586)
Balance at Sep. 30, 2018	6,279	50,173	52,090	(8,626)	(5,044)	94,872
Balance at Jun. 30, 2018	6,047	50,456	49,594	(7,734)	(5,230)	93,133
Increase (Decrease) in Stockholders' Equity
Net income	0	0	3,098	0	0	3,098
Other comprehensive income (loss)	0	0	0	(892)	0	(892)
Issuance of stock under equity compensation plan	0	(51)	0	0	186	135
Stock dividend	232	(232)	0	0	0	0
Cash dividends declared, common stock	0	0	(602)	0	0	(602)
Balance at Sep. 30, 2018	6,279	50,173	52,090	(8,626)	(5,044)	94,872
Balance at Dec. 31, 2018	6,279	50,173	54,105	(6,099)	(5,044)	99,414
Increase (Decrease) in Stockholders' Equity
Net income	0	0	12,046	0	0	12,046
Other comprehensive income (loss)	0	0	0	3,435	0	3,435
Stock dividend	241	5,554	(5,795)	0	0	0
Cash dividends declared, common stock	0	0	(2,081)	0	0	(2,081)
Balance at Sep. 30, 2019	6,520	55,727	58,275	(2,664)	(5,044)	112,814
Balance at Jun. 30, 2019	6,279	55,968	55,168	(2,991)	(5,044)	109,380
Increase (Decrease) in Stockholders' Equity
Net income	0	0	3,860	0	0	3,860
Other comprehensive income (loss)	0	0	0	327	0	327
Stock dividend	241	(241)	0	0	0	0
Cash dividends declared, common stock	0	0	(753)	0	0	(753)
Balance at Sep. 30, 2019	$ 6,520	$ 55,727	$ 58,275	$ (2,664)	$ (5,044)	$ 112,814

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Cash flows from operating activities:
Net income	$ 12,046	$ 8,095
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan losses	850	1,000
Depreciation expense	1,505	1,321
Net amortization of investment securities, premiums, and discounts	1,023	1,121
Change in fair value of mortgage servicing rights	543	40
Investment securities (loss) gain, net	40	(256)
Loss on sales and dispositions of premises and equipment	53	3
Gain on sales and dispositions of other real estate	(102)	0
Gain on branch sale, net	(2,183)	0
Provision for other real estate owned	49	26
Operating lease payment	(140)	0
Increase in accrued interest receivable	(53)	(357)
Increase in cash surrender value - life insurance	(65)	(51)
Decrease in other assets	878	849
(Decrease) increase in accrued interest payable	(15)	436
Decrease in other liabilities	(1,466)	(1,038)
Origination of mortgage loans for sale	(29,443)	(29,197)
Proceeds from the sale of mortgage loans	28,275	30,049
Gain on sale of mortgage loans, net	(499)	(592)
Other, net	(187)	(199)
Net cash provided by operating activities	11,109	11,250
Cash flows from investing activities:
Purchase of certificates of deposit in other banks	(988)	(8,783)
Proceeds from maturities of certificates of deposit in other banks	1,634	0
Net increase in loans	(3,959)	(48,675)
Purchase of available-for-sale debt securities	(20,423)	(102,953)
Proceeds from maturities of available-for-sale debt securities	29,460	25,782
Proceeds from calls of available-for-sale debt securities	9,620	1,685
Proceeds from sales of available-for-sale debt securities	21,503	77,168
Purchases of FHLB stock	(6,522)	(2,367)
Proceeds from sales of FHLB stock	5,988	3,903
Purchases of premises and equipment	(1,903)	(1,374)
Proceeds from sales of premises and equipment	6	13
Proceeds from Bank owned life insurance policy	222	0
Payment for branch sale, net	(6,700)	0
Proceeds from sales of other real estate and repossessed assets	1,277	372
Net cash provided by (used in) investing activities	29,215	(55,229)
Cash flows from financing activities:
Net increase in demand deposits	27,285	11,996
Net (decrease) increase in interest-bearing transaction accounts	(60,433)	24,748
Net (decrease) increase in time deposits	(17,284)	20,178
Net increase in federal funds purchased and securities sold under agreements to repurchase	2,544	5,100
Repayment of FHLB advances and other borrowings	(166,647)	(173,619)
FHLB advances	178,474	130,950
Issuance of stock under equity compensation plan	0	135
Purchase of treasury stock	0	(179)
Cash dividends paid - common stock	(1,931)	(1,390)
Net cash (used in) provided by financing activities	(37,992)	17,919
Net increase (decrease) in cash and cash equivalents	2,332	(26,060)
Cash and cash equivalents, beginning of year	42,083	62,878
Cash and cash equivalents, end of year	44,415	36,818
Cash paid during the year for:
Interest	11,891	9,058
Income taxes	2,280	50
Noncash investing and financing activities:
Other real estate and repossessed assets acquired in settlement of loans	411	589
Net deposits and fixed assets transferred to other assets related to the Branson branch sale	(8,885)	0
Right of use assets obtained in exchange for new operating lease liabilities	2,424	0
Stock dividends	$ 5,795	$ 5,014

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2019
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	(1) Summary of Significant Accounting Policies Hawthorn Bancshares, Inc. (the Company) through its subsidiary, Hawthorn Bank (the Bank), provides a broad range of banking services to individual and corporate customers located within the Missouri communities in and surrounding Jefferson City, Columbia, Clinton, Warsaw, Springfield, and the greater Kansas City metropolitan area. The Company is subject to competition from other financial and nonfinancial institutions providing financial products. Additionally, the Company and its subsidiaries are subject to the regulations of certain regulatory agencies and undergo periodic examinations by those regulatory agencies. The accompanying unaudited consolidated financial statements of the Company have been prepared in conformity with U.S. generally accepted accounting principles (U.S. GAAP) for interim financial information and with the instructions to Form 10‑Q, and Rule 10‑01 of Regulation S-X. Accordingly, the unaudited consolidated financial statements do not include all of the information and disclosures required by U.S. GAAP for complete financial statements and should be read in conjunction with the consolidated financial statements and related notes included in the Company’s Annual Report on Form 10‑K for the year ended December 31, 2018. The preparation of the consolidated financial statements includes all adjustments that, in the opinion of management, are necessary in order to make those statements not misleading. Management is required to make estimates and assumptions, including the determination of the allowance for loan losses, real estate acquired in connection with foreclosure or in satisfaction of loans, and fair values of investment securities available-for-sale that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company’s management has evaluated and did not identify any subsequent events or transactions requiring recognition or disclosure in the consolidated financial statements other than mentioned below. Stock Dividend On July 1, 2019, the Company paid a special stock dividend of four percent to shareholders of record at the close of business on June 15, 2019. For all periods presented, share information, including basic and diluted earnings per share, has been adjusted retroactively to reflect this change. Summary of Recent Transactions and Events On February 8, 2019, Hawthorn Bank, a wholly-owned subsidiary of the Company, completed the sale of its branch located in Branson, Missouri with total deposits of approximately $10.6 million to Branson Bank in Branson, Missouri. The transaction excludes loans assigned to the branch. The sale resulted in a pre-tax gain of approximately $2.2 million, or $1.7 million after tax . The following represents significant new accounting principles adopted in 2019: Leases On January 1, 2019, the Company adopted ASU No. 2016-02, Leases (Topic 842) which requires that lessees and lessors recognize lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. The ASU primarily affects lessee accounting, which requires the lessee to recognize a right-of-use asset (ROU) and a liability to make lease payments for those leases classified as operating leases. For leases with a term of 12 months or less, an election by class of underlying asset not to recognize lease assets and lease liabilities is permitted. The ASU also provides additional guidance as to the definition of a lease, identification of lease components, and sale and leaseback transactions. The Company's operating leases primarily relate to office space and bank branches. In January 2018, the FASB issued ASU 2018-01, which allows entities the option to apply the provisions of the new lease guidance at the effective date without adjusting the comparative periods presented. In July 2018, the FASB issued ASU 2018-10, which provides narrow-scope improvements to the lease standard and ASU 2018-11, which allows entities to choose an additional transition method, under which an entity initially applies the new lease standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. Under this transitional method, the entity shall recognize and measure the leases that exist at the adoption date and the prior comparative periods are not adjusted. The Company adopted this ASU as of January 1, 2019 using the transitional method. In addition, the Company utilized the practical expedients that allowed it to retain the classifications of existing leases, not re-assess if existing leases have initial direct costs, and hindsight when determining the lease term and assessment of impairment. The adoption of ASU 2016-02 and related transition guidance resulted in the recording of right-of-use assets and lease liabilities on the consolidated balance sheets of $2.3 million and $2.3 million, respectively; however, it did not have a material impact on the Company's other consolidated financial statements. See Note 7 - Leases for additional information. Derivatives and Hedging The FASB issued guidance within ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities (Topic 815) in August 2017. The amendments in ASU 2017-12 to Topic 815, Derivatives and Hedging, are intended to more closely align hedge accounting with companies' risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. The guidance also amends the presentation and disclosure requirements and changes how companies assess effectiveness. Under the new guidance, public companies will have until the end of the first quarter in which a hedge is designated to perform an initial assessment of a hedge's effectiveness. After initial qualification, the new guidance permits a qualitative effectiveness assessment for certain hedges instead of a quantitative test if the company can reasonably support an expectation of high effectiveness throughout the term of the hedge. Additional disclosures include cumulative basis adjustments for fair value hedges and the effect of hedging on individual income statement line items. The amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The ASU did not have a significant effect on the Company's Consolidated Financial Statements.

Loans and Allowance for Loan Lo

Loans and Allowance for Loan Losses	9 Months Ended
	Sep. 30, 2019
Loans and Allowances for Loan Losses
Loans and Allowance for Loan Losses	(2) Loans and Allowance for Loan Losses Loans A summary of loans, by major class within the Company’s loan portfolio, at September 30, 2019 and December 31, 2018 is as follows: September 30, December 31, (in thousands) 2019 2018 Commercial, financial, and agricultural $ 193,267 $ 207,720 Real estate construction - residential 23,782 28,610 Real estate construction - commercial 124,389 106,784 Real estate mortgage - residential 248,435 241,517 Real estate mortgage - commercial 530,010 529,536 Installment and other consumer 31,635 32,460 Total loans $ 1,151,518 $ 1,146,627 The Bank grants real estate, commercial, installment, and other consumer loans to customers located within the Missouri communities surrounding Jefferson City, Columbia, Clinton, Warsaw, Springfield, and the greater Kansas City metropolitan area. As such, the Bank is susceptible to changes in the economic environment in these communities. The Bank does not have a concentration of credit in any one economic sector. Installment and other consumer loans consist primarily of the financing of automotive vehicles. At September 30, 2019, loans of $501.0 million were pledged to the Federal Home Loan Bank as collateral for borrowings and letters of credit. Allowance for Loan Losses The following table illustrates the changes in the allowance for loan losses by portfolio segment: Three Months Ended September 30, 2019 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 2,783 $ 69 $ 704 $ 1,772 $ 6,109 $ 307 $ 139 $ 11,883 Additions: Provision for loan losses 155 3 97 252 (15) 62 (104) 450 Deductions: Loans charged off 61 — — 86 6 60 — 213 Less recoveries on loans (12) (12) — (8) (7) (19) — (58) Net loan charge-offs (recoveries) 49 (12) — 78 (1) 41 — 155 Balance at end of period $ 2,889 $ 84 $ 801 $ 1,946 $ 6,095 $ 328 $ 35 $ 12,178 Nine Months Ended September 30, 2019 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 3,237 $ 140 $ 757 $ 2,071 $ 4,914 $ 334 $ 199 $ 11,652 Additions: Provision for loan losses (232) (81) 44 30 1,193 60 (164) 850 Deductions: Loans charged off 255 — — 266 21 151 — 693 Less recoveries on loans (139) (25) — (111) (9) (85) — (369) Net loan charge-offs (recoveries) 116 (25) — 155 12 66 — 324 Balance at end of period $ 2,889 $ 84 $ 801 $ 1,946 $ 6,095 $ 328 $ 35 $ 12,178 Three Months Ended September 30, 2018 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 3,943 $ 201 $ 905 $ 2,109 $ 3,630 $ 413 $ 11 $ 11,212 Additions: Provision for loan losses (420) 26 (159) 255 444 39 65 250 Deductions: Loans charged off 75 — — 32 5 74 — 186 Less recoveries on loans (38) (13) — (9) (2) (20) — (82) Net loan charge-offs (recoveries) 37 (13) — 23 3 54 — 104 Balance at end of period $ 3,486 $ 240 $ 746 $ 2,341 $ 4,071 $ 398 $ 76 $ 11,358 Nine Months Ended September 30, 2018 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 3,325 $ 170 $ 807 $ 1,689 $ 4,437 345 $ 79 $ 10,852 Additions: Provision for loan losses 478 80 (31) 672 (366) 170 (3) 1,000 Deductions: Loans charged off 378 48 30 64 34 181 — 735 Less recoveries on loans (61) (38) — (44) (34) (64) — (241) Net loan charge-offs (recoveries) 317 10 30 20 — 117 — 494 Balance at end of period $ 3,486 $ 240 $ 746 $ 2,341 $ 4,071 $ 398 $ 76 $ 11,358 Loans, or portions of loans, are charged off to the extent deemed uncollectible or a loss is confirmed. Loan charge-offs reduce the allowance for loan losses, and recoveries of loans previously charged off are added back to the allowance. If management determines that it is probable that all amounts due on a loan will not be collected under the original terms of the loan agreement, the loan is considered to be impaired. These loans are evaluated individually for impairment, and in conjunction with current economic conditions and loss experience, specific reserves are estimated as further discussed below. Loans not individually evaluated are aggregated by risk characteristics and reserves are recorded using a consistent methodology that considers historical loan loss experience by loan type, delinquencies, current economic conditions, loan risk ratings and industry concentration. Beginning with the first quarter 2019, management adjusted the look-back period to begin with loss history in the first quarter 2012 and continue to include this starting point going forward. Management determined that with the current economic recovery continuing to set records for its length, the look-back period needed to be expanded to account for this extended economic cycle. This ever increasing look-back period will then be adjusted once a loss producing downturn is recognized by allowing the look-back period to shift forward by eliminating the earliest loss period and replenishing it with losses from the most recent period. Prior to 2019, the Company utilized a five-year look-back period, which was considered a representative historical loss period. The look-back period is consistently evaluated for relevance given the current facts and circumstances . The following table illustrates the allowance for loan losses and recorded investment by portfolio segment: Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, and Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total September 30, 2019 Allowance for loan losses: Individually evaluated for impairment $ 361 $ — $ — $ 296 $ 34 $ 17 $ — $ 708 Collectively evaluated for impairment 2,528 84 801 1,650 6,061 311 35 11,470 Total $ 2,889 $ 84 $ 801 $ 1,946 $ 6,095 $ 328 $ 35 $ 12,178 Loans outstanding: Individually evaluated for impairment $ 1,578 $ — $ 145 $ 3,902 $ 1,469 $ 161 $ — $ 7,255 Collectively evaluated for impairment 191,689 23,782 124,244 244,533 528,541 31,474 — 1,144,263 Total $ 193,267 $ 23,782 $ 124,389 $ 248,435 $ 530,010 $ 31,635 $ — $ 1,151,518 December 31, 2018 Allowance for loan losses: Individually evaluated for impairment $ 551 $ — $ — $ 579 $ 37 $ 27 $ — $ 1,194 Collectively evaluated for impairment 2,686 140 757 1,492 4,877 307 199 10,458 Total $ 3,237 $ 140 $ 757 $ 2,071 $ 4,914 $ 334 $ 199 $ 11,652 Loans outstanding: Individually evaluated for impairment $ 2,428 $ — $ 153 $ 4,793 $ 850 $ 254 $ — $ 8,478 Collectively evaluated for impairment 205,292 28,610 106,631 236,724 528,686 32,206 — 1,138,149 Total $ 207,720 $ 28,610 $ 106,784 $ 241,517 $ 529,536 $ 32,460 $ — $ 1,146,627 Impaired Loans Loans evaluated under ASC 310‑10‑35 include loans which are individually evaluated for impairment. All other loans are collectively evaluated for impairment under ASC 450‑20. Impaired loans individually evaluated for impairment totaled $7.3 million and $8.5 million at September 30, 2019 and December 31, 2018, respectively, and are comprised of loans on non-accrual status and loans which have been classified as troubled debt restructurings (TDRs). The net carrying value of impaired loans is based on the fair values of collateral obtained through independent appraisals or internal evaluations, or by discounting the total expected future cash flows. At September 30, 2019, $2.9 million of impaired loans were evaluated based on the fair value less estimated selling costs of the loans' collateral compared to $3.8 million at December 31, 2018. Once the impairment amount is calculated, a specific reserve allocation is recorded. At September 30, 2019, $708,000 of the Company’s allowance for loan losses was allocated to impaired loans totaling $7.3 million compared to $1.2 million of the Company’s allowance for loan losses allocated to impaired loans totaling approximately $8.5 million at December 31, 2018. Management determined that $1.6 million, or 23%, of total impaired loans required no reserve allocation at September 30, 2019 compared to $2.1 million, or 25%, at December 31, 2018, primarily due to adequate collateral values , acceptable payment history and adequate cash flow ability. The categories of impaired loans at September 30, 2019 and December 31, 2018 are as follows: September 30, December 31, (in thousands) 2019 2018 Non-accrual and non-performing TDRs $ 4,623 $ 5,414 Performing TDRs 2,632 3,064 Total impaired loans $ 7,255 $ 8,478 The following tables provide additional information about impaired loans at September 30, 2019 and December 31, 2018, respectively, segregated between loans for which an allowance has been provided and loans for which no allowance has been provided. Unpaid Recorded Principal Specific (in thousands) Investment Balance Reserves September 30, 2019 With no related allowance recorded: Commercial, financial and agricultural $ 496 $ 837 $ — Real estate - construction commercial 145 177 — Real estate - residential 606 684 — Real estate - commercial 377 394 Installment and other consumer 13 13 — Total $ 1,637 $ 2,105 $ — With an allowance recorded: Commercial, financial and agricultural $ 1,082 $ 1,163 $ 361 Real estate - residential 3,296 3,635 296 Real estate - commercial 1,092 1,219 34 Installment and other consumer 148 176 17 Total $ 5,618 $ 6,193 $ 708 Total impaired loans $ 7,255 $ 8,298 $ 708 Unpaid Recorded Principal Specific (in thousands) Investment Balance Reserves December 31, 2018 With no related allowance recorded: Commercial, financial and agricultural $ 1,264 $ 1,550 $ — Real estate - construction commercial 153 180 — Real estate - residential 561 602 — Real estate - commercial 115 119 — Total $ 2,093 $ 2,451 $ — With an allowance recorded: Commercial, financial and agricultural $ 1,164 $ 1,236 $ 551 Real estate - residential 4,232 4,458 579 Real estate - commercial 735 1,093 37 Installment and other consumer 254 280 27 Total $ 6,385 $ 7,067 $ 1,194 Total impaired loans $ 8,478 $ 9,518 $ 1,194 The following table presents by class, information related to the average recorded investment and interest income recognized on impaired loans during the periods indicated. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Interest Interest Interest Interest Average Recognized Average Recognized Average Recognized Average Recognized Recorded For the Recorded For the Recorded For the Recorded For the (in thousands) Investment Period Ended Investment Period Ended Investment Period Ended Investment Period Ended With no related allowance recorded: Commercial, financial and agricultural $ 851 $ — $ 1,375 $ — $ 1,036 $ — $ 1,334 $ 1 Real estate - construction commercial 146 — 161 — 149 — 82 — Real estate - residential 1,301 — 1,037 3 651 — 929 9 Real estate - commercial 380 — 120 3 393 — 30 22 Installment and other consumer 4 — 91 — 3 — 34 — Total $ 2,682 $ — $ 2,784 $ 6 $ 2,232 $ — $ 2,409 $ 32 With an allowance recorded: Commercial, financial and agricultural $ 1,086 $ 9 $ 1,423 $ 8 $ 1,095 $ 30 $ 1,507 $ 23 Real estate - construction residential — — — — — — 15 — Real estate - construction commercial — — — — — — 24 — Real estate - residential 2,818 21 4,076 25 3,881 68 4,211 71 Real estate - commercial 1,112 9 1,443 13 788 25 1,649 24 Installment and other consumer 188 1 197 — 221 2 186 1 Total $ 5,204 $ 40 $ 7,139 $ 46 $ 5,985 $ 125 $ 7,592 $ 119 Total impaired loans $ 7,886 $ 40 $ 9,923 $ 52 $ 8,217 $ 125 $ 10,001 $ 151 The recorded investment varies from the unpaid principal balance primarily due to partial charge-offs taken resulting from current appraisals received. The amount recognized as interest income on impaired loans continuing to accrue interest, primarily related to troubled debt restructurings, was $40,000 and $125,000 for the three and nine months ended September 30, 2019, respectively, compared to $52,000 and $151,000 for the three and nine months ended September 30, 2018, respectively. The average recorded investment in impaired loans is calculated on a monthly basis during the periods reported. Delinquent and Non-Accrual Loans The delinquency status of loans is determined based on the contractual terms of the notes. Borrowers are generally classified as delinquent once payments become 30 days or more past due. The Company’s policy is to discontinue the accrual of interest income on any loan when, in the opinion of management, the ultimate collectability of interest or principal is no longer probable. In general, loans are placed on non-accrual when they become 90 days or more past due. However, management considers many factors before placing a loan on non-accrual, including the delinquency status of the loan, the overall financial condition of the borrower, the progress of management’s collection efforts and the value of the underlying collateral. Subsequent interest payments received on non-accrual loans are applied to principal if any doubt exists as to the collectability of such principal; otherwise, such receipts are recorded as interest income on a cash basis. Non-accrual loans are returned to accrual status when, in the opinion of management, the financial condition of the borrower indicates that the timely collectability of interest and principal is probable and the borrower demonstrates the ability to pay under the terms of the note through a sustained period of repayment performance, which is generally six months. The following table provides aging information for the Company’s past due and non-accrual loans at September 30, 2019 and December 31, 2018. Current or 90 Days Less Than Past Due 30 Days 30 - 89 Days And Still (in thousands) Past Due Past Due Accruing Non-Accrual Total September 30, 2019 Commercial, Financial, and Agricultural $ 192,142 $ 98 $ — $ 1,027 $ 193,267 Real Estate Construction - Residential 23,782 — — — 23,782 Real Estate Construction - Commercial 124,177 67 — 145 124,389 Real Estate Mortgage - Residential 245,379 705 193 2,158 248,435 Real Estate Mortgage - Commercial 528,539 360 — 1,111 530,010 Installment and Other Consumer 31,402 106 4 123 31,635 Total $ 1,145,421 $ 1,336 $ 197 $ 4,564 $ 1,151,518 December 31, 2018 Commercial, Financial, and Agricultural $ 205,597 $ 266 $ — $ 1,857 $ 207,720 Real Estate Construction - Residential 28,404 206 — — 28,610 Real Estate Construction - Commercial 106,531 100 — 153 106,784 Real Estate Mortgage - Residential 235,734 2,907 156 2,720 241,517 Real Estate Mortgage - Commercial 527,968 1,094 — 474 529,536 Installment and Other Consumer 32,002 242 6 210 32,460 Total $ 1,136,236 $ 4,815 $ 162 $ 5,414 $ 1,146,627 Credit Quality The Company categorizes loans into risk categories based upon an internal rating system reflecting management’s risk assessment. Loans are placed on watch status when one or more weaknesses are identified that may result in the borrower being unable to meet repayment terms or the Company’s credit position could deteriorate at some future date. Loans classified as substandard are inadequately protected by the current sound worth and paying capacity of the obligor or by the collateral pledged, if any. Loans so classified may have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. Such loans are characterized by the distinct possibility that the Company may sustain some loss if the deficiencies are not corrected. A loan is classified as a troubled debt restructuring ( TDR) when a borrower is experiencing financial difficulties that lead to the restructuring of a loan, and the Company grants concessions to the borrower in the restructuring that it would not otherwise consider. Loans classified as TDRs that are accruing interest are classified as performing TDRs. Loans classified as TDRs, that are not accruing interest are classified as nonperforming TDRs and are included with all other nonaccrual loans for presentation purposes. It is the Company’s policy to discontinue the accrual of interest income on loans when management believes that the collection of interest or principal is doubtful. The following table presents the risk categories by class at September 30, 2019 and December 31, 2018. Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and other (in thousands) Agricultural Residential Commercial Residential Commercial Consumer Total At September 30, 2019 Watch $ 13,083 $ 679 $ 7,172 $ 14,453 $ 36,393 $ — $ 71,780 Substandard 1,257 — — 1,336 685 3 3,281 Performing TDRs 551 — — 1,685 358 38 2,632 Non-accrual and non-performing TDRs 1,027 — 145 2,217 1,111 123 4,623 Total $ 15,918 $ 679 $ 7,317 $ 19,691 $ 38,547 $ 164 $ 82,316 At December 31, 2018 Watch $ 8,871 $ 588 $ 4,063 $ 12,790 $ 36,408 $ 8 $ 62,728 Substandard 53 — — 1,411 702 3 2,169 Performing TDRs 570 — — 2,073 377 44 3,064 Non-accrual and non-performing TDRs 1,857 — 153 2,720 474 210 5,414 Total $ 11,351 $ 588 $ 4,216 $ 18,994 $ 37,961 $ 265 $ 73,375 Troubled Debt Restructurings At September 30, 2019, loans classified as TDRs totaled $4.0 million, of which $1.4 million were classified as non-performing TDRs and $2.6 million were classified as performing TDRs. At December 31, 2018, loans classified as TDRs totaled $5.0 million, of which $2.0 million were classified as non-performing TDRs and $3.0 million were classified as performing TDRs. Both performing and nonperforming TDRs are considered impaired loans. When an individual loan is determined to be a TDR, the amount of impairment is based upon the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the underlying collateral less applicable selling costs. Accordingly, specific reserves of $471,000 and $543,000 related to TDRs were allocated to the allowance for loan losses at September 30, 2019 and December 31, 2018, respectively. The following table summarizes loans that were modified as TDRs during the periods indicated. Three Months Ended September 30, 2019 2018 Recorded Investment (1) Recorded Investment (1) Number of Pre- Post- Number of Pre- Post- (in thousands) Contracts Modification Modification Contracts Modification Modification Troubled Debt Restructurings Commercial, financial and agricultural — $ — $ — 2 $ 353 $ 353 Installment and other consumer — — — 1 112 53 Total — $ — $ — 3 $ 465 $ 406 Nine Months Ended September 30, 2019 2018 Recorded Investment (1) Recorded Investment (1) Number of Pre- Post- Number of Pre- Post- (in thousands) Contracts Modification Modification Contracts Modification Modification Troubled Debt Restructurings Commercial, financial and agricultural 2 $ 80 $ 76 2 $ 353 $ 353 Real estate mortgage - residential — — — 1 75 74 Installment and other consumer — — 　 — 5 160 3 Total 2 $ 80 $ 76 8 $ 588 $ 430 (1) The amounts reported post-modification are inclusive of all partial pay-downs and charge-offs, and no portion of the debt was forgiven. Loans modified as a TDR that were fully paid down, charged-off or foreclosed upon during the period ended are not reported. The Company’s portfolio of loans classified as TDRs include concessions for the borrower given financial condition such as interest rates below the current market rate, deferring principal payments, and extending maturity dates. There were no loans and two loans meeting the TDR criteria that were modified during the three and nine months ended September 30, 2019, compared to three and eight loans during the three and nine months ended September 30, 2018. The Company considers a TDR to be in default when it is 90 days or more past due under the modified terms, a charge-off occurs, or it is the process of foreclosure. There was one loan and no loans modified as a TDR that defaulted during any of the three and nine months ended September 30, 2019 and 2018, respectively, and within twelve months of their modification date. See Lending and Credit Management section for further information.

Other Real Estate and Repossess

Other Real Estate and Repossessed Assets Acquired in Settlement of Loans	9 Months Ended
	Sep. 30, 2019
Other Real Estate and Repossessed Assets Acquired in Settlement of Loans
Other Real Estate and Repossessed Assets Acquired in Settlement of Loans	(3) Other Real Estate Acquired in Settlement of Loans September 30, December 31, (in thousands) 2019 2018 Commercial $ 1,155 $ 1,168 Real estate construction - residential — 179 Real estate construction - commercial 11,553 12,101 Real estate mortgage - residential 286 336 Real estate mortgage - commercial 2,871 2,909 Total $ 15,865 $ 16,693 Less valuation allowance for other real estate owned (2,987) (3,002) Total other real estate owned $ 12,878 $ 13,691 Changes in the net carrying amount of other real estate owned were as follows for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Balance at beginning of period $ 16,066 $ 16,453 $ 16,693 $ 16,598 Additions 68 207 411 589 Proceeds from sales (352) (68) (1,277) (372) Charge-offs against the valuation allowance for other real estate owned, net — (20) (64) (245) Net gain (loss) on sales 83 (2) 102 — Total other real estate owned $ 15,865 $ 16,570 $ 15,865 $ 16,570 Less valuation allowance for other real estate owned (2,987) (3,002) (2,987) (3,002) Balance at end of period $ 12,878 $ 13,568 $ 12,878 $ 13,568 At September 30, 2019, $252,000 of consumer mortgage loans secured by residential real estate properties were in the process of foreclosure compared to $200,000 of consumer mortgage loans at December 31, 2018. Activity in the valuation allowance for other real estate owned was as follows for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Balance, beginning of period $ 2,956 $ 3,022 $ 3,002 $ 3,221 Provision for other real estate owned 31 — 49 26 Charge-offs — (20) (64) (245) Balance, end of period $ 2,987 $ 3,002 $ 2,987 $ 3,002

Investment Securities

Investment Securities	9 Months Ended
	Sep. 30, 2019
Investment Securities
Investment Securities	(4) Investment Securities Available for sale securities The amortized cost and fair value of debt securities classified as available-for-sale at September 30, 2019 and December 31, 2018 were as follows: Total Amortized Gross Unrealized Fair ( in thousands) Cost Gains Losses Value September 30, 2019 U.S. Treasury $ 985 $ 10 $ — $ 995 U.S. government and federal agency obligations 8,495 — (30) 8,465 Government sponsored enterprises 22,786 50 (38) 22,798 Obligations of states and political subdivisions 29,341 144 (61) 29,424 Mortgage-backed securities 115,261 542 (569) 115,234 Other debt securities (a) 3,000 51 — 3,051 Bank issued trust preferred securities (a) 1,486 — (183) 1,303 Total available-for-sale securities $ 181,354 $ 797 $ (881) $ 181,270 December 31, 2018 U.S. Treasury $ 1,984 $ — $ (32) $ 1,952 U.S. government and federal agency obligations 10,235 — (269) 9,966 Government sponsored enterprises 43,784 23 (472) 43,335 Obligations of states and political subdivisions 40,859 28 (501) 40,386 Mortgage-backed securities 121,230 72 (3,110) 118,192 Other debt securities (a) 3,000 — — 3,000 Bank issued trust preferred securities (a) 1,486 — (112) 1,374 Total available-for-sale securities $ 222,578 $ 123 $ (4,496) $ 218,205 (a) Certain hybrid instruments possessing characteristics typically associated with debt obligations. The Company’s investment securities are classified as available for sale. Agency bonds and notes, Small Business Administration guaranteed loan certificates (SBA), residential and commercial agency mortgage-backed securities, and agency collateralized mortgage obligations (CMO) include securities issued by the Government National Mortgage Association (GNMA), a U.S. government agency, and the Federal National Mortgage Association (FNMA), the Federal Home Loan Mortgage Corporation (FHLMC), and the Federal Home Loan Bank (FHLB), which are U.S. government-sponsored enterprises. Debt securities with carrying values aggregating approximately $117.9 million and $153.0 million at September 30, 2019 and December 31, 2018, respectively, were pledged to secure public funds, securities sold under agreements to repurchase, and for other purposes as required or permitted by law. The amortized cost and fair value of debt securities classified as available-for-sale at September 30, 2019, by contractual maturity are shown below. Expected maturities may differ from contractual maturities because borrowers have the right to call or prepay obligations with or without prepayment penalties. Amortized Fair ( in thousands) Cost Value Due in one year or less $ 8,962 $ 8,951 Due after one year through five years 36,227 36,256 Due after five years through ten years 10,910 10,926 Due after ten years 9,994 9,903 Total 66,093 66,036 Mortgage-backed securities 115,261 115,234 Total available-for-sale securities $ 181,354 $ 181,270 Other securities Other investment securities include equity securities with readily determinable fair values and other investment securities that do not have readily determinable fair values. Investments in Federal Home Loan Bank (FHLB) stock, and Midwest Independent Bank (MIB) bankers bank stock, that do not have readily determinable fair values, are required for membership in those organizations. (in thousands) September 30, 2019 December 31, 2018 Other securities: FHLB stock $ 6,046 $ 5,512 MIB stock 151 151 Equity securities with readily determinable fair values 13 12 Total other investment securities $ 6,210 $ 5,675 Gross unrealized losses on debt securities and the fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at September 30, 2019 and December 31, 2018 were as follows: Less than 12 months 12 months or more Total Total Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) Value Losses Value Losses Value Losses At September 30, 2019 U.S. Treasury $ — $ — $ — $ — $ — $ — U.S. government and federal agency obligations 6,310 (25) 1,913 (5) 8,223 (30) Government sponsored enterprises 4,539 (6) 8,466 (32) 13,005 (38) Obligations of states and political subdivisions 9,098 (45) 2,891 (16) 11,989 (61) Mortgage-backed securities 8,624 (24) 46,968 (545) 55,592 (569) Other debt securities — — — — — — Bank issued trust preferred securities — — 1,303 (183) 1,303 (183) Total $ 28,571 $ (100) $ 61,541 $ (781) $ 90,112 $ (881) (in thousands) At December 31, 2018 U.S. Treasury $ — $ — $ 1,952 $ (32) $ 1,952 $ (32) U.S. government and federal agency obligations — — 9,966 (269) 9,966 (269) Government sponsored enterprises 1,997 (3) 33,346 (469) 35,343 (472) Obligations of states and political subdivisions 5,851 (16) 28,832 (485) 34,683 (501) Mortgage-backed securities 10,085 (61) 99,321 (3,049) 109,406 (3,110) Bank issued trust preferred securities — — 1,374 (112) 1,374 (112) Total $ 17,933 $ (80) $ 174,791 $ (4,416) $ 192,724 $ (4,496) The total available for sale portfolio consisted of approximately 314 securities at September 30, 2019. The portfolio included 144 securities having an aggregate fair value of $90.1 million that were in a loss position at September 30, 2019. Securities identified as temporarily impaired which had been in a loss position for 12 months or longer totaled $61.5 million at fair value at September 30, 2019. The $881,000 aggregate unrealized loss included in accumulated other comprehensive loss at September 30, 2019 was caused by interest rate fluctuations. The total available for sale portfolio consisted of approximately 366 securities at December 31, 2018. The portfolio included 317 securities having an aggregate fair value of $192.7 million that were in a loss position at December 31, 2018. Securities identified as temporarily impaired which had been in a loss position for 12 months or longer totaled $174.8 million at fair value at December 31, 2018. The $4.5 million aggregate unrealized loss included in accumulated other comprehensive loss at December 31, 2018 was caused by interest rate fluctuations. Because the decline in fair value is attributable to changes in interest rates and not credit quality, these investments were not considered other-than-temporarily impaired at September 30, 2019 and December 31, 2018, respectively. In the absence of changes in credit quality of these investments, the fair value is expected to recover on all debt securities as they approach their maturity date or re-pricing date, or if market yields for such investments decline. In addition, the Company does not have the intent to sell these investments over the period of recovery, and it is not more likely than not that the Company will be required to sell such investment securities. The table presents the components of investment securities gains and losses, which have been recognized in earnings: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Investment securities (losses) gains, net Available for sale securities: Gains realized on sales $ 6 $ 47 $ 6 $ 253 Losses realized on sales (46) — (46) — Other-than-temporary impairment recognized — — — — Other investment securities: Fair value adjustments, net — 3 — 3 Investment securities (losses) gains, net $ (40) $ 50 $ (40) $ 256 During the three and nine months ended September 30, 2019, the Company received $21.5 million from the proceeds from the sale of available for sale debt securities. During the three and nine months ended September 30, 2018, the Company received $25.4 million and $77.2 million, respectively, from proceeds from a series of short-term sales of U.S. Treasury securities purchased with repurchase agreements, and recognized gains of $47,000 and $253,000, respectively , in order to generate capital gains to offset capital losses that were to expire during 2018 and 2019.

Intangible Assets

Intangible Assets	9 Months Ended
	Sep. 30, 2019
Intangible Assets
Intangible Assets	(5) Intangible Assets Mortgage Servicing Rights At September 30, 2019, the Company was servicing approximately $270.8 million of loans sold to the secondary market compared to $279.9 million at December 31, 2018, and $282.9 million at September 30, 2018. Mortgage loan servicing fees, reported in real estate servicing fees, net, earned on loans sold were $205,000 and $581,000 for the three and nine months ended September 30, 2019, respectively, compared to $201,000 and $614,000 for the three and nine months ended September 30, 2018, respectively. The table below presents changes in mortgage servicing rights (MSRs) for the periods indicated. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 2,657 $ 2,813 $ 2,931 $ 2,713 Originated mortgage servicing rights 88 66 187 198 Changes in fair value: Due to changes in model inputs and assumptions (1) (77) 70 (318) 203 Other changes in fair value (2) (93) (78) (225) (243) Total changes in fair value (170) (8) (543) (40) Balance at end of period $ 2,575 $ 2,871 $ 2,575 $ 2,871 (1) The change in fair value resulting from changes in valuation inputs or assumptions, reported in real estate servicing fees, net, used in the valuation model reflects the change in discount rates and prepayment speed assumptions primarily due to changes in interest rates. (2) Other changes in fair value, reported in real estate servicing fees, net, reflect changes due to customer payments and passage of time. The following key data and assumptions were used in estimating the fair value of the Company’s MSRs as of September 30, 2019 and 2018, respectively: Nine Months Ended September 30, 2019 2018 Weighted average constant prepayment rate 13.27 % 9.36 % Weighted average note rate 3.95 % 3.92 % Weighted average discount rate 8.75 % 10.36 % Weighted average expected life (in years) 4.8 6.1

Federal funds purchased and sec

Federal funds purchased and securities sold under agreements to repurchase	9 Months Ended
	Sep. 30, 2019
Federal funds purchased and securities sold under agreements to repurchase
Federal funds purchased and securities sold under agreements to repurchase	(6) Federal funds purchased and securities sold under agreements to repurchase September 30, December 31, (in thousands) 2019 2018 Federal funds purchased $ — $ Repurchase agreements Total $ $ The Company offers a sweep account program whereby amounts in excess of an established limit are “swept” from the customer’s demand deposit account on a daily basis into retail repurchase agreements pursuant to individual repurchase agreements between the Company and its customers . Repurchase agreements are agreements to sell securities subject to an obligation to repurchase the same or similar securities. They are accounted for as collateralized financing transactions, not as sales and purchases of the securities portfolio. The securities collateral pledged for the repurchase agreements with customers is maintained by a designated third party custodian . The collateral amounts pledged to repurchase agreements by remaining maturity in the table below are limited to the outstanding balances of the related asset or liability; thus amounts of excess collateral are not shown. Repurchase Agreements Remaining Contractual Maturity of the Agreements Overnight Less Greater and than than (in thousands) continuous 90 days 90 days Total At September 30, 2019 U.S. Treasury $ 756 $ — $ — $ 756 Government sponsored enterprises 9,364 — — 9,364 Asset-backed securities 17,071 — — 17,071 Total $ 27,191 $ — $ — $ 27,191 At December 31, 2018 U.S. Treasury $ 1,464 $ — $ — $ 1,464 Government sponsored enterprises 12,976 — — 12,976 Asset-backed securities 2,207 — — 2,207 Total $ 16,647 $ — $ — $ 16,647

Leases

Leases	9 Months Ended
	Sep. 30, 2019
Leases
Leases	(7) Leases The Company's leases primarily consist of office space and bank branches with remaining lease terms of generally 1 to 10 years. As of September 30, 2019, operating ROU assets and liabilities were $2.3 million and $2.3 million, respectively. As of September 30, 2019, the weighted-average remaining lease term on these operating leases is approximately 8.7 years and the weighted-average discount rate used to measure the lease liabilities is approximately 4.0%. Operating leases in which the Company is the lessee are recorded as operating lease right-of-use assets and operating lease liabilities. Currently, the Company does not have any finance leases. The ROU assets are included in premises and equipment, net on the consolidated balance sheets. Operating lease right-of-use assets represent the Company's right to use an underlying asset during the lease term and operating lease liabilities represent the Company's obligation to make lease payments arising from the lease. Right-of-use assets and operating lease liabilities are recognized at lease commencement based on the present value of the remaining lease payments using a discount rate that represents the Company's incremental borrowing rate at the lease commencement date. Operating lease cost, which is comprised of amortization of the right-of-use asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term, and is recorded in net occupancy expense in the consolidated statements of income. The operating lease cost for the three and nine months ended September 30, 2019 was $86,000 and $202,000, respectively. At adoption of ASU 2016-02 on January 1, 2019, lease and non-lease components of new lease agreements are accounted for separately. Lease components include fixed payments including rent, real estate taxes and insurance costs and non-lease components include common-area maintenance costs. Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term. Operating lease expense for these leases was $20,000 and $71,000 for the three and nine months ended September 30, 2019, respectively, compared to $41,000 and $127,000 for the three and nine months ended September 30, 2018, respectively. The table below summarizes the maturity of remaining operating lease liabilities: Operating Lease payments due in: Lease (in thousands) 2019 (excluding nine months ended September 30, 2019) $ 83 2020 334 2021 317 2022 310 2023 312 Thereafter 1,345 Total lease payments 2,701 Less imputed interest (416) Total lease liabilities, as reported $ 2,285

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2019
Income Taxes
Income taxes	(8) Income Taxes Income taxes as a percentage of earnings before income taxes as reported in the consolidated financial statements were 19.8% and 19.3% for the three and nine months ended September 30, 2019, respectively, compared to 12.6% and 11.8% for the three and nine months ended September 30, 2018, respectively. The change in the effective tax rate for both the three and nine months ended September 30, 2019 over the three and nine months ended September 30, 2018, was primarily due to the final impacts of the Tax Cuts and Jobs Act which decreased the 2018 tax rate. In addition, the 2019 tax rate increased due to additional taxable income, which included a $2.2 million pre-tax gain from the sale of the Branson branch. Without the impact of these items, the year-to-date 2018 and 2019 tax rates would have been approximately 17.0% and 18.8%, respectively. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income of the appropriate character during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, and tax planning initiatives in making this assessment. In management's opinion, the Company will more likely than not realize the benefits of its deferred tax assets and, therefore, has not established a valuation allowance against its deferred tax assets as of September 30, 2019. Management arrived at this conclusion based upon the level of historical taxable income and projections for future taxable income of the appropriate character over the periods in which the deferred tax assets are deductible. The Company follows ASC Topic 740, Income Taxes, which addresses the accounting for uncertain tax positions. For each of the three and nine months ended September 30, 2019 and 2018, respectively, the Company did not have any uncertain tax provisions, and did not record any related tax liabilities.

Stockholders' Equity

Stockholders' Equity	9 Months Ended
	Sep. 30, 2019
Stockholders' Equity
Stockholders' Equity	(9) Stockholders’ Equity Accumulated Other Comprehensive Loss The following details the change in the components of the Company’s accumulated other comprehensive loss for the nine months ended September 30, 2019 and 2018: Nine Months Ended September 30, 2019 Accumulated Unrecognized Net Other Unrealized Pension and Comprehensive Gain (Loss) Postretirement (Loss) (in thousands) on Securities (1) Costs (2) Income Balance at beginning of period $ (3,455) $ (2,644) $ (6,099) Other comprehensive income, before reclassifications 4,250 58 4,308 Amounts reclassified from accumulated other comprehensive (loss) income 40 — 40 Current period other comprehensive income, before tax 4,290 58 4,348 Income tax expense (901) (12) (913) Current period other comprehensive income, net of tax 3,389 46 3,435 Balance at end of period $ (66) $ (2,598) $ (2,664) Nine Months Ended September 30, 2018 Unrecognized Net Accumulated Unrealized Pension and Other Gain (Loss) Postretirement Comprehensive (in thousands) on Securities (1) Costs (2) Loss Balance at beginning of period $ (2,500) $ (3,162) $ (5,662) Other comprehensive (loss) income, before reclassifications (3,915) 164 (3,751) Amounts reclassified from accumulated other comprehensive (loss) income — — — Current period other comprehensive (loss) income, before tax (3,915) 164 (3,751) Income tax benefit (expense) 822 (35) 787 Current period other comprehensive (loss) income, net of tax (3,093) 129 (2,964) Balance at end of period $ (5,593) $ (3,033) $ (8,626) (1) The pre-tax amounts reclassified from accumulated other comprehensive loss are included in investment securities (loss) gain, net in the consolidated statements of income. (2) The pre-tax amounts reclassified from accumulated other comprehensive loss are included in the computation of net periodic pension cost.

Employee Benefit Plans

Employee Benefit Plans	9 Months Ended
	Sep. 30, 2019
Employee Benefit Plans
Employee Benefit Plans	(10) Employee Benefit Plans Employee Benefits Employee benefits charged to operating expenses are summarized in the table below for the periods indicated. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Payroll taxes $ 256 $ 261 $ 871 $ 913 Medical plans 432 490 1,359 1,650 401(k) match and profit sharing 349 261 929 684 Periodic pension cost 358 470 1,073 1,280 Other 15 12 40 37 Total employee benefits $ 1,410 $ 1,494 $ 4,272 $ 4,564 The Company’s profit-sharing plan includes a matching 401(k) portion, in which the Company matches the first 3% of eligible employee contributions. The Company makes annual contributions in an amount up to 6% of income before income taxes and before contributions to the profit-sharing and pension plans for all participants, limited to the maximum amount deductible for federal income tax purposes, for each of the periods shown. In addition, employees were able to make additional tax-deferred contributions. Other Plans On November 7, 2018, the Board of Directors of the Company adopted a supplemental executive retirement plan (SERP) which became effective on January 1, 2018. The SERP provides select employees who satisfy certain eligibility requirements with certain benefits upon retirement, termination of employment or death. As of September 30, 2019, the accrued liability was $560,000 and the expense for the three and nine months ended September 30, 2019 was $80,000 and $240,000, respectively, and is recognized over the required service period. After the plan was adopted in November 2018, $320,000 was accrued and recognized over the required service period. Pension The Company provides a noncontributory defined benefit pension plan for all full-time employees. Beginning January 1, 2018 and for all retrospective periods presented, the Company adopted the guidance under ASU 2017‑07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost . Under the new guidance, only the service cost component of the net periodic benefit cost is reported in the same income statement line item as salaries and benefits, and the remaining components are reported as other non-interest expense. An employer is required to recognize the funded status of a defined benefit postretirement plan as an asset or liability in its balance sheet and to recognize changes in that funded status in the year in which the changes occur through comprehensive income. Under the Company’s funding policy for the defined benefit pension plan, contributions are made to a trust as necessary to provide for current service and for any unfunded accrued actuarial liabilities over a reasonable period. To the extent that these requirements are fully covered by assets in the trust, a contribution might not be made in a particular year. The Company made a pension contribution of $1.6 million on April 17, 2019. Effective July 1, 2017, the Company amended the pension plan to effectuate a “soft freeze” such that no individual hired (or rehired in the case of a former employee) by the Company after September 30, 2017, whether or not such individual is or was a vested member in the plan, will be eligible to be an active member and be entitled to accrue any benefits under the plan. Components of Net Pension Cost and Other Amounts Recognized in Accumulated Other Comprehensive Income The following items are components of net pension cost for the periods indicated: Pension Benefits (in thousands) 2019 2018 Service cost - benefits earned during the year $ 1,431 $ 1,707 Interest costs on projected benefit obligations (a) 1,168 1,037 Expected return on plan assets (a) (1,467) (1,327) Expected administrative expenses (a) 122 93 Amortization of prior service cost (a) 79 79 Amortization of unrecognized net loss (a) — 140 Net periodic pension cost $ 1,333 $ 1,729 Net periodic pension cost for the three months ended September 30, (actual) $ 358 $ 470 Net periodic pension cost for the nine months ended September 30, (actual) $ 1,073 $ 1,280 (a) The components of net periodic pension cost other than the service cost component are included in other non-interest expense. Net periodic pension benefit costs include interest costs based on an assumed discount rate, the expected return on plan assets based on actuarially derived market-related values, and the amortization of net actuarial losses. Net periodic postretirement benefit costs include service costs, interest costs based on an assumed discount rate, and the amortization of prior service credits and net actuarial gains. Differences between expected and actual results in each year are included in the net actuarial gain or loss amount, which is recognized in other comprehensive income. The net actuarial gain or loss in excess of a 10% corridor is amortized in net periodic benefit cost over the average remaining service period of active participants in the Plans. The prior service credit is amortized over the average remaining service period to full eligibility for participating employees expected to receive benefits.

Earnings per Share

Earnings per Share	9 Months Ended
	Sep. 30, 2019
Earnings Per Share
Earnings per Share	(11) Earnings per Share Stock Dividend On July 1, 2019, the Company paid a special stock dividend of 4% to common shareholders of record at the close of business on June 15, 2019. For all periods presented, share information, including basic and diluted earnings per share, has been adjusted retroactively to reflect this change. Basic earnings per share is computed by dividing income available to shareholders by the weighted average number of shares outstanding during the year. Diluted earnings per share gives effect to all dilutive potential shares that were outstanding during the year. Presented below is a summary of the components used to calculate basic and diluted earnings per common share, which have been restated for all stock dividends: Three Months Ended September 30, Nine Months Ended September 30, (dollars in thousands, except per share data) 2019 2018 2019 2018 Basic earnings per share: Net income available to shareholders $ 3,860 $ 3,098 $ 12,046 $ 8,095 Average shares outstanding 6,276,236 6,264,200 6,276,236 6,265,290 Basic earnings per share $ 0.62 $ 0.49 $ 1.92 $ 1.29 Diluted earnings per share: Net income available to shareholders $ 3,860 $ 3,098 $ 12,046 $ 8,095 Average shares outstanding 6,276,236 6,264,200 6,276,236 6,265,290 Effect of dilutive stock options — 6,617 — 6,740 Average shares outstanding including dilutive stock options 6,276,236 6,270,817 6,276,236 6,272,030 Diluted earnings per share $ 0.62 0.49 $ 1.92 1.29 Under the treasury stock method, outstanding stock options are dilutive when the average market price of the Company’s common stock, when combined with the effect of any unamortized compensation expense, exceeds the option price during the period, except when the Company has a loss from continuing operations available to shareholders. In addition, proceeds from the assumed exercise of dilutive options along with the related tax benefit are assumed to be used to repurchase common shares at the average market price of such stock during the period. There were no outstanding stock options for any of the three and nine months ended September 30, 2019 and 2018, respectively, that were omitted from the computation of diluted earnings per share as a result of being considered anti-dilutive. On September 18, 2019, the Company's Board of Directors authorized the purchase of up to $5.0 million market value of the Company's common stock. Management was given discretion to determine the number and pricing of the shares to be purchased, as well as, the timing of any such purchases. During the three months ended September 30, 2019, no shares of the Company's common stock were purchased by or on behalf of the Company or affiliated purchasers.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2019
Fair Value Measurements
Fair Value Measurements	(12) Fair Value Measurements Fair value represents the amount expected to be received to sell an asset or paid to transfer a liability in its principal or most advantageous market in an orderly transaction between market participants at the measurement date. Depending on the nature of the asset or liability, the Company uses various valuation methodologies and assumptions to estimate fair value. The measurement of fair value under US GAAP uses a hierarchy intended to maximize the use of observable inputs and minimize the use of unobservable inputs. This hierarchy uses three levels of inputs to measure the fair value of assets and liabilities as follows. During the nine months ended September 30, 2019 and the year ended December 31, 2018, respectively, there were no transfers into or out of Levels 1‑3. The fair value hierarchy is as follows: Level 1 – Inputs are unadjusted quoted prices for identical assets or liabilities in active markets. A quoted price in an active market provides the most reliable evidence of fair value and is used to measure fair value whenever available. A contractually binding sales price also provides reliable evidence of fair value. Level 2 – Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets and liabilities in active markets, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 – Inputs are unobservable inputs for the asset or liability and significant to the fair value. These may be internally developed using the Company’s best information and assumptions that a market participant would consider. In accordance with fair value accounting guidance, the Company measures, records, and reports various types of assets and liabilities at fair value on either a recurring or non-recurring basis in the Consolidated Financial Statements. Nonfinancial assets measured at fair value on a nonrecurring basis would include foreclosed real estate, long-lived assets, and core deposit intangible assets, which are reviewed when circumstances or other events indicate that impairment may have occurred. Valuation Methods for Assets and Liabilities Measured at Fair Value on a Recurring Basis Following is a description of the Company’s valuation methodologies used for assets and liabilities recorded at fair value on a recurring basis: Available-for-Sale Securities The fair value measurements of the Company’s investment securities are determined by a third party pricing service which considers observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond’s terms and conditions, among other things. The fair value measurements are subject to independent verification to another pricing source by management each quarter for reasonableness. Equity securities with readily determinable fair values are recorded at fair value, with changes in fair value reflected in earnings. The Company uses level 1 inputs to value equity securities that are traded in active markets. Equity securities that do not have readily determinable fair values are carried at cost and are periodically assessed for impairment. Equity securities that are not actively traded are classified in level 2. Mortgage Servicing Rights The fair value of mortgage servicing rights is based on the discounted value of estimated future cash flows utilizing contractual cash flows, servicing rate, constant prepayment rate, servicing cost, and discount rate factors. Accordingly, the fair value is estimated based on a valuation model that calculates the present value of estimated future net servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds, market discount rates, cost to service, float earnings rates, and other ancillary income, including late fees. The valuation models estimate the present value of estimated future net servicing income. The Company classifies its servicing rights as Level 3. Fair Value Measurements Quoted Prices in Active Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (in thousands) Fair Value (Level 1) (Level 2) (Level 3) September 30, 2019 Assets: U.S. Treasury $ 995 $ 995 — $ — U.S. government and federal agency obligations 8,465 — 8,465 — Government sponsored enterprises 22,798 — 22,798 — Obligations of states and political subdivisions 29,424 — 29,424 — Mortgage-backed securities 115,234 — 115,234 — Other debt securities 3,051 — 3,051 — Bank-issued trust preferred securities 1,303 — 1,303 — Equity securities 13 13 — — Mortgage servicing rights 2,575 — — 2,575 Total $ 183,858 $ 1,008 $ 180,275 $ 2,575 December 31, 2018 Assets: U.S. Treasury $ 1,952 $ 1,952 — $ — U.S. government and federal agency obligations 9,966 — 9,966 — Government sponsored enterprises 43,335 — 43,335 — Obligations of states and political subdivisions 40,386 — 40,386 — Mortgage-backed securities 118,192 — 118,192 — Other debt securities 3,000 — 3,000 — Bank-issued trust preferred securities 1,374 — 1,374 — Equity securities 12 12 — — Mortgage servicing rights 2,931 — — 2,931 Total $ 221,148 $ 1,964 $ 216,253 $ 2,931 The changes in Level 3 assets and liabilities measured at fair value on a recurring basis are summarized as follows: Fair Value Measurements Using Fair Value Measurements Using Significant Unobservable Inputs Significant Unobservable Inputs (Level 3) (Level 3) Mortgage Servicing Rights Mortgage Servicing Rights Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 2,657 $ 2,813 $ 2,931 $ 2,713 Total (losses) or gains (realized/unrealized): Included in earnings (170) (8) (543) (40) Included in other comprehensive income — — — — Purchases — — — — Sales — — — — Issues 88 66 187 198 Settlements — — — — Balance at end of period $ 2,575 $ 2,871 $ 2,575 $ 2,871 Valuation methods for Assets and Liabilities measured at fair value on a nonrecurring basis Following is a description of the Company’s valuation methodologies used for assets and liabilities recorded at fair value on a nonrecurring basis: Collateral dependent impaired loans While the overall loan portfolio is not carried at fair value, the Company periodically records nonrecurring adjustments to the carrying value of loans based on fair value measurements for partial charge-offs of the uncollectible portions of those loans. Nonrecurring adjustments also include certain impairment amounts for collateral dependent loans when establishing the allowance for loan losses. Such amounts are generally based on the fair value of the underlying collateral supporting the loan. In determining the value of real estate collateral, the Company relies on external and internal appraisals of property values depending on the size and complexity of the real estate collateral. The Company maintains staff that is trained to perform in-house evaluations and also review third party appraisal reports for reasonableness. In the case of non-real estate collateral, reliance is placed on a variety of sources, including external estimates of value and judgments based on the experience and expertise of internal specialists. Values of all loan collateral are regularly reviewed by senior loan committee. Because many of these inputs are not observable, the measurements are classified as Level 3. As of September, 2019, the Company identified $2.9 million in collateral dependent impaired loans that had specific allowances for losses aggregating $398,000. Related to these loans, there were $77,000 and $204,000 in charge-offs recorded during the three and nine months ended September 30, 2019, respectively. As of September 30, 2018, the Company identified $4.2 million in collateral dependent impaired loans that had specific allowances for losses aggregating $891,000. Related to these loans, there were $53,000 and $303,000 in charge-offs recorded during the three and nine months ended September 30, 2018, respectively. Other Real Estate and Foreclosed Assets Other real estate owned (OREO) and foreclosed assets consisted of loan collateral that has been repossessed through foreclosure. This collateral is comprised of commercial and residential real estate and other non-real estate property, including autos, manufactured homes, and construction equipment. Subsequent to foreclosure, these assets initially are carried at fair value of the collateral less estimated selling costs. Fair value, when recorded, is generally based upon appraisals by approved, independent state certified appraisers. Like impaired loans, appraisals on OREO may be discounted based on the Company’s historical knowledge, changes in market conditions from the time of appraisal or other information available. During the holding period, valuations are updated periodically, and the assets may be written down to reflect a new cost basis. Because many of these inputs are not observable, the measurements are classified as Level 3. Fair Value Measurements Using Quoted Prices in Active Three Months Nine Months Markets for Other Significant Ended Ended Identical Observable Unobservable September 30, September 30, Total Assets Inputs Inputs Total Gains Total Gains (in thousands) Fair Value (Level 1) (Level 2) (Level 3) (Losses)* (Losses)* September 30, 2019 Assets: Collateral dependent impaired loans: Commercial, financial, & agricultural $ 529 $ — $ — $ 529 $ (22) $ (132) Real estate construction - commercial 145 — — 145 — — Real estate mortgage - residential 933 — — 933 (45) (45) Real estate mortgage - commercial 860 — — 860 (6) (15) Installment and other consumer 13 — — 13 (4) (12) Total $ 2,480 $ — $ — $ 2,480 $ (77) $ (204) Other real estate and repossessed assets $ 12,878 $ — $ — $ 12,878 $ 10 $ (166) September 30, 2018 Assets: Collateral dependent impaired loans: Commercial, financial, & agricultural $ 1,549 $ — $ — $ 1,549 $ (21) $ (187) Real estate construction - commercial 158 — — 158 — (27) Real estate mortgage - residential 1,156 — — 1,156 (32) (44) Real estate mortgage - commercial 399 — — 399 — (20) Installment and other consumer — — — — — (25) Total $ 3,262 $ — $ — $ 3,262 $ (53) $ (303) Other real estate and repossessed assets $ 13,373 $ — $ — $ 13,373 $ (3) $ (29) *

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2019
Fair Value of Financial Instruments
Fair Value of Financial Instruments	(13) Fair Value of Financial Instruments The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate such value: Loans Fair values are estimated for portfolios with similar financial characteristics. Loans are segregated by type, such as commercial, real estate, and consumer. Each loan category is further segmented into fixed and variable interest rate categories. The fair value of loans, or exit price, is estimated by using the future value of discounted cash flows using comparable market rates for similar types of loan products and adjusted for market factors. The discount rates used are estimated using comparable market rates for similar types of loan products adjusted to be commensurate with the credit risk, overhead costs, and optionality of such instruments. Investment Securities A detailed description of the fair value measurement of the debt instruments in the available-for-sale sections of the investment security portfolio is provided in the Fair Value Measurement section above. A schedule of investment securities by category and maturity is provided in the notes on Investment Securities . Other investment securities Other investment securities include equity securities with readily determinable fair values and other investment securities that do not have readily determinable fair values. Investments in Federal Home Loan Bank (FHLB) stock, and Midwest Independent Bank (MIB) bankers bank stock, that do not have readily determinable fair values, are required for membership in those organizations. Equity securities that are not actively traded are classified in level 2. Equity securities with readily determinable fair values are recorded at fair value, with changes in fair value reflected in earnings. Equity securities that do not have readily determinable fair values are carried at cost and are periodically assessed for impairment. The Company uses level 1 inputs to value equity securities that are traded in active markets. Federal Funds Sold, Cash, and Due from Banks The carrying amounts of short-term federal funds sold, interest earning deposits with banks, and cash and due from banks approximate fair value. Federal funds sold classified as short-term generally mature in 90 days or less. Certificates of Deposit in other banks Certificates of deposit are other investments made by the Company with other financial institutions that are carried at cost which is equal to fair value. Cash Surrender Value - Life Insurance The fair value of Bank owned life insurance (BOLI) approximates the carrying amount. Upon liquidation of these investments, the Company would receive the cash surrender value which equals the carrying amount. Accrued Interest Receivable and Payable For accrued interest receivable and payable, the carrying amount is a reasonable estimate of fair value because of the short maturity for these financial instruments. Deposits The fair value of deposits with no stated maturity, such as noninterest-bearing demand, NOW accounts, savings, and money market, is equal to the amount payable on demand. The fair value of time deposits is based on the discounted value of contractual cash flows. The discount rate is estimated using the rates currently offered for deposits of similar remaining maturities. Federal funds purchased and Securities Sold under Agreements to Repurchase For Federal funds purchased and securities sold under agreements to repurchase, the carrying amount is a reasonable estimate of fair value, as such instruments reprice in a short time period. Subordinated Notes and Other Borrowings The fair value of subordinated notes and other borrowings is based on the discounted value of contractual cash-flows. The discount rate is estimated using the rates currently offered for other borrowed money of similar remaining maturities. A summary of the carrying amounts and fair values of the Company’s financial instruments at September 30, 2019 and December 31, 2018 is as follows: September 30, 2019 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant September 30, 2019 Identical Observable Unobservable Carrying Fair Assets Inputs Inputs (in thousands) amount value (Level 1) (Level 2) (Level 3) Assets: Cash and due from banks $ 22,856 $ 22,856 $ 22,856 $ — $ — Federal funds sold and overnight interest-bearing deposits 21,559 21,559 21,559 — — Certificates of deposit in other banks 11,601 11,601 11,601 — — Available for sale securities 181,270 181,270 995 180,275 — Other investment securities 6,210 6,210 13 6,197 — Loans, net 1,139,340 1,132,835 — — 1,132,835 Mortgage servicing rights 2,575 2,575 — — 2,575 Cash surrender value - life insurance 2,385 2,385 — 2,385 — Accrued interest receivable 6,215 6,215 6,215 — — $ 1,394,011 $ 1,387,506 $ 63,239 $ 188,857 $ 1,135,410 Liabilities: Deposits: Non-interest bearing demand $ 284,452 $ 284,452 $ 284,452 $ — $ — Savings, interest checking and money market 550,350 550,350 550,350 — — Time deposits 302,605 303,092 — — 303,092 Federal funds purchased and securities sold under agreements to repurchase 27,191 27,191 27,191 — — Federal Home Loan Bank advances and other borrowings 106,980 93,751 — 93,751 — Subordinated notes 49,486 43,393 — 43,393 — Operating lease liabilities 2,285 2,285 2,285 Accrued interest payable 1,020 1,020 1,020 — — $ 1,324,369 $ 1,305,534 $ 863,013 $ 139,429 $ 303,092 December 31, 2018 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant December 31, 2018 Identical Observable Unobservable Carrying Fair Assets Inputs Inputs (in thousands) amount value (Level 1) (Level 2) (Level 3) Assets: Cash and due from banks $ 23,687 $ 23,687 $ 23,687 $ — $ — Federal funds sold and overnight interest-bearing deposits 18,396 18,396 18,396 — — Certificates of deposit in other banks 12,247 12,247 12,247 — — Available-for-sale securities 218,205 218,205 1,952 216,253 — Other investment securities 5,675 5,675 12 5,663 — Loans, net 1,134,975 1,115,003 — — 1,115,003 Mortgage servicing rights 2,931 2,931 — — 2,931 Cash surrender value - life insurance 2,542 2,542 — 2,542 — Accrued interest receivable 6,162 6,162 6,162 — — $ 1,424,820 $ 1,404,848 $ 62,456 $ 224,458 $ 1,117,934 Liabilities: Deposits: Non-interest bearing demand $ 262,857 $ 262,857 $ 262,857 $ — $ — Savings, interest checking and money market 614,040 614,040 614,040 — — Time deposits 321,571 318,949 — — 318,949 Federal funds purchased and securities sold under agreements to repurchase 24,647 24,647 24,647 — — Federal Home Loan Bank advances and other borrowings 95,153 94,326 — 94,326 — Subordinated notes 49,486 45,749 — 45,749 — Accrued interest payable 1,035 1,035 1,035 — — $ 1,368,789 $ 1,361,603 $ 902,579 $ 140,075 $ 318,949 Off-Balance Sheet Financial Instruments The fair value of commitments to extend credit and standby letters of credit is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements, the likelihood of the counterparties drawing on such financial instruments, and the present creditworthiness of such counterparties. The Company believes such commitments have been made on terms that are competitive in the markets in which it operates. Limitations The fair value estimates provided are made at a point in time based on market information and information about the financial instruments. Because no market exists for a portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the fair value estimates.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2019
Commitments and Contingencies
Commitments and Contingencies	(14) Commitments and Contingencies The Company issues financial instruments with off-balance-sheet risk in the normal course of business of meeting the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. These instruments may involve, to varying degrees, elements of credit and interest rate risk in excess of the amounts recognized in the consolidated balance sheets. The Company’s extent of involvement and maximum potential exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit is represented by the contractual amount of these instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for financial instruments included on its consolidated balance sheets. At September 30, 2019, no amounts have been accrued for any estimated losses for these financial instruments. The contractual amount of off-balance-sheet financial instruments were as follows as of the dates indicated: September 30, December 31, (in thousands) 2019 2018 Commitments to extend credit $ 246,058 $ 267,314 Commitments to originate residential first and second mortgage loans 9,582 1,759 Standby letters of credit 70,250 82,895 Total 325,890 351,968 Commitments 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 certain of the commitments and letters of credit are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the customer. Collateral held varies, but may include accounts receivable, inventory, furniture and equipment, and real estate. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. These standby letters of credit are primarily issued to support contractual obligations of the Company’s customers. The approximate remaining term of standby letters of credit range from one month to five years at September 30, 2019. Pending Litigation The Company and its subsidiaries are defendants in various legal actions incidental to the Company’s past and current business activities. Based on the Company’s analysis, and considering the inherent uncertainties associated with litigation, management does not believe that it is reasonably possible that these legal actions will materially adversely affect the Company’s consolidated financial condition or results of operations in the near term. The Company records a loss accrual for all legal matters for which it deems a loss is probable and can be reasonably estimated. Some legal matters, which are at early stages in the legal process, have not yet progressed to the point where a loss is deemed probable or an amount can be estimated.

Revenue Recognition

Revenue Recognition	9 Months Ended
	Sep. 30, 2019
Revenue Recognition
Revenue Recognition	(15) Revenue Recognition On January 1, 2018, the Company adopted ASU No. 2014‑09, Revenue from Contracts with Customers (Topic 606) and all subsequent ASUs that modified Topic 606. Topic 606 does not apply to revenue associated with financial instruments, including revenue from loans and securities. In addition, certain noninterest income streams such as fees associated with mortgage servicing rights, financial guarantees, derivatives, and certain credit card fees are not in the scope of the new guidance. Topic 606 is applicable to noninterest revenue streams such as trust department revenue, service charges and fees, debit card income, ATM surcharge income, and sales of other real estate owned. However, the recognition of these revenue streams did not change current business practices or result in any changes to the Company’s consolidated financial statements. Descriptions of our revenue-generating activities within the scope of this guidance, which are presented in our income statement as components of noninterest income are as follows: · Service charges on deposit accounts - represents fees generated from a variety of deposit products and services provided to customers under a day-to-day contract. These fees are recognized on a daily or monthly basis. · Bank card income and fees – represents fees, exchange, and other service charge revenue earned from merchant, debit and credit cards that are recognized when the services are rendered or upon completion. These fees are recognized on a daily or monthly basis. · Gain on sale of other real estate - represents income recognized at the time of control of a property is transferred to the buyer.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2019
Summary of Significant Accounting Policies
Stock Dividend	Stock Dividend On July 1, 2019, the Company paid a special stock dividend of four percent to shareholders of record at the close of business on June 15, 2019. For all periods presented, share information, including basic and diluted earnings per share, has been adjusted retroactively to reflect this change.
Summary of Recent Transactions and Events	Summary of Recent Transactions and Events On February 8, 2019, Hawthorn Bank, a wholly-owned subsidiary of the Company, completed the sale of its branch located in Branson, Missouri with total deposits of approximately $10.6 million to Branson Bank in Branson, Missouri. The transaction excludes loans assigned to the branch. The sale resulted in a pre-tax gain of approximately $2.2 million, or $1.7 million after tax .
New accounting principles adopted	The following represents significant new accounting principles adopted in 2019: Leases On January 1, 2019, the Company adopted ASU No. 2016-02, Leases (Topic 842) which requires that lessees and lessors recognize lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. The ASU primarily affects lessee accounting, which requires the lessee to recognize a right-of-use asset (ROU) and a liability to make lease payments for those leases classified as operating leases. For leases with a term of 12 months or less, an election by class of underlying asset not to recognize lease assets and lease liabilities is permitted. The ASU also provides additional guidance as to the definition of a lease, identification of lease components, and sale and leaseback transactions. The Company's operating leases primarily relate to office space and bank branches. In January 2018, the FASB issued ASU 2018-01, which allows entities the option to apply the provisions of the new lease guidance at the effective date without adjusting the comparative periods presented. In July 2018, the FASB issued ASU 2018-10, which provides narrow-scope improvements to the lease standard and ASU 2018-11, which allows entities to choose an additional transition method, under which an entity initially applies the new lease standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. Under this transitional method, the entity shall recognize and measure the leases that exist at the adoption date and the prior comparative periods are not adjusted. The Company adopted this ASU as of January 1, 2019 using the transitional method. In addition, the Company utilized the practical expedients that allowed it to retain the classifications of existing leases, not re-assess if existing leases have initial direct costs, and hindsight when determining the lease term and assessment of impairment. The adoption of ASU 2016-02 and related transition guidance resulted in the recording of right-of-use assets and lease liabilities on the consolidated balance sheets of $2.3 million and $2.3 million, respectively; however, it did not have a material impact on the Company's other consolidated financial statements. See Note 7 - Leases for additional information. Derivatives and Hedging The FASB issued guidance within ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities (Topic 815) in August 2017. The amendments in ASU 2017-12 to Topic 815, Derivatives and Hedging, are intended to more closely align hedge accounting with companies' risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. The guidance also amends the presentation and disclosure requirements and changes how companies assess effectiveness. Under the new guidance, public companies will have until the end of the first quarter in which a hedge is designated to perform an initial assessment of a hedge's effectiveness. After initial qualification, the new guidance permits a qualitative effectiveness assessment for certain hedges instead of a quantitative test if the company can reasonably support an expectation of high effectiveness throughout the term of the hedge. Additional disclosures include cumulative basis adjustments for fair value hedges and the effect of hedging on individual income statement line items. The amendments in this Update are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The ASU did not have a significant effect on the Company's Consolidated Financial Statements.

Loans and Allowance for Loan _2

Loans and Allowance for Loan Losses (Tables)	9 Months Ended
	Sep. 30, 2019
Loans and Allowances for Loan Losses
Schedule of summary of loans, by major class within the Company's loan portfolio	September 30, December 31, (in thousands) 2019 2018 Commercial, financial, and agricultural $ 193,267 $ 207,720 Real estate construction - residential 23,782 28,610 Real estate construction - commercial 124,389 106,784 Real estate mortgage - residential 248,435 241,517 Real estate mortgage - commercial 530,010 529,536 Installment and other consumer 31,635 32,460 Total loans $ 1,151,518 $ 1,146,627
Schedule of summary of the allowance for loan losses	Three Months Ended September 30, 2019 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 2,783 $ 69 $ 704 $ 1,772 $ 6,109 $ 307 $ 139 $ 11,883 Additions: Provision for loan losses 155 3 97 252 (15) 62 (104) 450 Deductions: Loans charged off 61 — — 86 6 60 — 213 Less recoveries on loans (12) (12) — (8) (7) (19) — (58) Net loan charge-offs (recoveries) 49 (12) — 78 (1) 41 — 155 Balance at end of period $ 2,889 $ 84 $ 801 $ 1,946 $ 6,095 $ 328 $ 35 $ 12,178 Nine Months Ended September 30, 2019 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 3,237 $ 140 $ 757 $ 2,071 $ 4,914 $ 334 $ 199 $ 11,652 Additions: Provision for loan losses (232) (81) 44 30 1,193 60 (164) 850 Deductions: Loans charged off 255 — — 266 21 151 — 693 Less recoveries on loans (139) (25) — (111) (9) (85) — (369) Net loan charge-offs (recoveries) 116 (25) — 155 12 66 — 324 Balance at end of period $ 2,889 $ 84 $ 801 $ 1,946 $ 6,095 $ 328 $ 35 $ 12,178 Three Months Ended September 30, 2018 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 3,943 $ 201 $ 905 $ 2,109 $ 3,630 $ 413 $ 11 $ 11,212 Additions: Provision for loan losses (420) 26 (159) 255 444 39 65 250 Deductions: Loans charged off 75 — — 32 5 74 — 186 Less recoveries on loans (38) (13) — (9) (2) (20) — (82) Net loan charge-offs (recoveries) 37 (13) — 23 3 54 — 104 Balance at end of period $ 3,486 $ 240 $ 746 $ 2,341 $ 4,071 $ 398 $ 76 $ 11,358 Nine Months Ended September 30, 2018 Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total Balance at beginning of period $ 3,325 $ 170 $ 807 $ 1,689 $ 4,437 345 $ 79 $ 10,852 Additions: Provision for loan losses 478 80 (31) 672 (366) 170 (3) 1,000 Deductions: Loans charged off 378 48 30 64 34 181 — 735 Less recoveries on loans (61) (38) — (44) (34) (64) — (241) Net loan charge-offs (recoveries) 317 10 30 20 — 117 — 494 Balance at end of period $ 3,486 $ 240 $ 746 $ 2,341 $ 4,071 $ 398 $ 76 $ 11,358
Schedule of allowance for loan losses and recorded investment by portfolio segment	Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, and Construction - Construction - Mortgage - Mortgage - and Other Un- (in thousands) Agricultural Residential Commercial Residential Commercial Consumer allocated Total September 30, 2019 Allowance for loan losses: Individually evaluated for impairment $ 361 $ — $ — $ 296 $ 34 $ 17 $ — $ 708 Collectively evaluated for impairment 2,528 84 801 1,650 6,061 311 35 11,470 Total $ 2,889 $ 84 $ 801 $ 1,946 $ 6,095 $ 328 $ 35 $ 12,178 Loans outstanding: Individually evaluated for impairment $ 1,578 $ — $ 145 $ 3,902 $ 1,469 $ 161 $ — $ 7,255 Collectively evaluated for impairment 191,689 23,782 124,244 244,533 528,541 31,474 — 1,144,263 Total $ 193,267 $ 23,782 $ 124,389 $ 248,435 $ 530,010 $ 31,635 $ — $ 1,151,518 December 31, 2018 Allowance for loan losses: Individually evaluated for impairment $ 551 $ — $ — $ 579 $ 37 $ 27 $ — $ 1,194 Collectively evaluated for impairment 2,686 140 757 1,492 4,877 307 199 10,458 Total $ 3,237 $ 140 $ 757 $ 2,071 $ 4,914 $ 334 $ 199 $ 11,652 Loans outstanding: Individually evaluated for impairment $ 2,428 $ — $ 153 $ 4,793 $ 850 $ 254 $ — $ 8,478 Collectively evaluated for impairment 205,292 28,610 106,631 236,724 528,686 32,206 — 1,138,149 Total $ 207,720 $ 28,610 $ 106,784 $ 241,517 $ 529,536 $ 32,460 $ — $ 1,146,627
Schedule of impaired loans	September 30, December 31, (in thousands) 2019 2018 Non-accrual and non-performing TDRs $ 4,623 $ 5,414 Performing TDRs 2,632 3,064 Total impaired loans $ 7,255 $ 8,478 The following tables provide additional information about impaired loans at September 30, 2019 and December 31, 2018, respectively, segregated between loans for which an allowance has been provided and loans for which no allowance has been provided. Unpaid Recorded Principal Specific (in thousands) Investment Balance Reserves September 30, 2019 With no related allowance recorded: Commercial, financial and agricultural $ 496 $ 837 $ — Real estate - construction commercial 145 177 — Real estate - residential 606 684 — Real estate - commercial 377 394 Installment and other consumer 13 13 — Total $ 1,637 $ 2,105 $ — With an allowance recorded: Commercial, financial and agricultural $ 1,082 $ 1,163 $ 361 Real estate - residential 3,296 3,635 296 Real estate - commercial 1,092 1,219 34 Installment and other consumer 148 176 17 Total $ 5,618 $ 6,193 $ 708 Total impaired loans $ 7,255 $ 8,298 $ 708 Unpaid Recorded Principal Specific (in thousands) Investment Balance Reserves December 31, 2018 With no related allowance recorded: Commercial, financial and agricultural $ 1,264 $ 1,550 $ — Real estate - construction commercial 153 180 — Real estate - residential 561 602 — Real estate - commercial 115 119 — Total $ 2,093 $ 2,451 $ — With an allowance recorded: Commercial, financial and agricultural $ 1,164 $ 1,236 $ 551 Real estate - residential 4,232 4,458 579 Real estate - commercial 735 1,093 37 Installment and other consumer 254 280 27 Total $ 6,385 $ 7,067 $ 1,194 Total impaired loans $ 8,478 $ 9,518 $ 1,194 The following table presents by class, information related to the average recorded investment and interest income recognized on impaired loans during the periods indicated. Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Interest Interest Interest Interest Average Recognized Average Recognized Average Recognized Average Recognized Recorded For the Recorded For the Recorded For the Recorded For the (in thousands) Investment Period Ended Investment Period Ended Investment Period Ended Investment Period Ended With no related allowance recorded: Commercial, financial and agricultural $ 851 $ — $ 1,375 $ — $ 1,036 $ — $ 1,334 $ 1 Real estate - construction commercial 146 — 161 — 149 — 82 — Real estate - residential 1,301 — 1,037 3 651 — 929 9 Real estate - commercial 380 — 120 3 393 — 30 22 Installment and other consumer 4 — 91 — 3 — 34 — Total $ 2,682 $ — $ 2,784 $ 6 $ 2,232 $ — $ 2,409 $ 32 With an allowance recorded: Commercial, financial and agricultural $ 1,086 $ 9 $ 1,423 $ 8 $ 1,095 $ 30 $ 1,507 $ 23 Real estate - construction residential — — — — — — 15 — Real estate - construction commercial — — — — — — 24 — Real estate - residential 2,818 21 4,076 25 3,881 68 4,211 71 Real estate - commercial 1,112 9 1,443 13 788 25 1,649 24 Installment and other consumer 188 1 197 — 221 2 186 1 Total $ 5,204 $ 40 $ 7,139 $ 46 $ 5,985 $ 125 $ 7,592 $ 119 Total impaired loans $ 7,886 $ 40 $ 9,923 $ 52 $ 8,217 $ 125 $ 10,001 $ 151
Schedule of aging information for the Company's past due and non-accrual loans	Current or 90 Days Less Than Past Due 30 Days 30 - 89 Days And Still (in thousands) Past Due Past Due Accruing Non-Accrual Total September 30, 2019 Commercial, Financial, and Agricultural $ 192,142 $ 98 $ — $ 1,027 $ 193,267 Real Estate Construction - Residential 23,782 — — — 23,782 Real Estate Construction - Commercial 124,177 67 — 145 124,389 Real Estate Mortgage - Residential 245,379 705 193 2,158 248,435 Real Estate Mortgage - Commercial 528,539 360 — 1,111 530,010 Installment and Other Consumer 31,402 106 4 123 31,635 Total $ 1,145,421 $ 1,336 $ 197 $ 4,564 $ 1,151,518 December 31, 2018 Commercial, Financial, and Agricultural $ 205,597 $ 266 $ — $ 1,857 $ 207,720 Real Estate Construction - Residential 28,404 206 — — 28,610 Real Estate Construction - Commercial 106,531 100 — 153 106,784 Real Estate Mortgage - Residential 235,734 2,907 156 2,720 241,517 Real Estate Mortgage - Commercial 527,968 1,094 — 474 529,536 Installment and Other Consumer 32,002 242 6 210 32,460 Total $ 1,136,236 $ 4,815 $ 162 $ 5,414 $ 1,146,627
Schedule of risk categories by class	Commercial, Real Estate Real Estate Real Estate Real Estate Installment Financial, & Construction - Construction - Mortgage - Mortgage - and other (in thousands) Agricultural Residential Commercial Residential Commercial Consumer Total At September 30, 2019 Watch $ 13,083 $ 679 $ 7,172 $ 14,453 $ 36,393 $ — $ 71,780 Substandard 1,257 — — 1,336 685 3 3,281 Performing TDRs 551 — — 1,685 358 38 2,632 Non-accrual and non-performing TDRs 1,027 — 145 2,217 1,111 123 4,623 Total $ 15,918 $ 679 $ 7,317 $ 19,691 $ 38,547 $ 164 $ 82,316 At December 31, 2018 Watch $ 8,871 $ 588 $ 4,063 $ 12,790 $ 36,408 $ 8 $ 62,728 Substandard 53 — — 1,411 702 3 2,169 Performing TDRs 570 — — 2,073 377 44 3,064 Non-accrual and non-performing TDRs 1,857 — 153 2,720 474 210 5,414 Total $ 11,351 $ 588 $ 4,216 $ 18,994 $ 37,961 $ 265 $ 73,375
Schedule of summary of loans that were modified as TDRs	Three Months Ended September 30, 2019 2018 Recorded Investment (1) Recorded Investment (1) Number of Pre- Post- Number of Pre- Post- (in thousands) Contracts Modification Modification Contracts Modification Modification Troubled Debt Restructurings Commercial, financial and agricultural — $ — $ — 2 $ 353 $ 353 Installment and other consumer — — — 1 112 53 Total — $ — $ — 3 $ 465 $ 406 Nine Months Ended September 30, 2019 2018 Recorded Investment (1) Recorded Investment (1) Number of Pre- Post- Number of Pre- Post- (in thousands) Contracts Modification Modification Contracts Modification Modification Troubled Debt Restructurings Commercial, financial and agricultural 2 $ 80 $ 76 2 $ 353 $ 353 Real estate mortgage - residential — — — 1 75 74 Installment and other consumer — — 　 — 5 160 3 Total 2 $ 80 $ 76 8 $ 588 $ 430 (1) The amounts reported post-modification are inclusive of all partial pay-downs and charge-offs, and no portion of the debt was forgiven. Loans modified as a TDR that were fully paid down, charged-off or foreclosed upon during the period ended are not reported.

Other Real Estate and Reposse_2

Other Real Estate and Repossessed Assets Acquired in Settlement of Loans (Tables)	9 Months Ended
	Sep. 30, 2019
Other Real Estate and Repossessed Assets Acquired in Settlement of Loans
Schedule of summary of real estate and other assets acquired in settlement of loans	September 30, December 31, (in thousands) 2019 2018 Commercial $ 1,155 $ 1,168 Real estate construction - residential — 179 Real estate construction - commercial 11,553 12,101 Real estate mortgage - residential 286 336 Real estate mortgage - commercial 2,871 2,909 Total $ 15,865 $ 16,693 Less valuation allowance for other real estate owned (2,987) (3,002) Total other real estate owned $ 12,878 $ 13,691
Schedule of changes in the net carrying amount of other real estate owned and repossessed assets	Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Balance at beginning of period $ 16,066 $ 16,453 $ 16,693 $ 16,598 Additions 68 207 411 589 Proceeds from sales (352) (68) (1,277) (372) Charge-offs against the valuation allowance for other real estate owned, net — (20) (64) (245) Net gain (loss) on sales 83 (2) 102 — Total other real estate owned $ 15,865 $ 16,570 $ 15,865 $ 16,570 Less valuation allowance for other real estate owned (2,987) (3,002) (2,987) (3,002) Balance at end of period $ 12,878 $ 13,568 $ 12,878 $ 13,568
Schedule of summary of activity in valuation allowance for other real estate owned	Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Balance, beginning of period $ 2,956 $ 3,022 $ 3,002 $ 3,221 Provision for other real estate owned 31 — 49 26 Charge-offs — (20) (64) (245) Balance, end of period $ 2,987 $ 3,002 $ 2,987 $ 3,002

Investment Securities (Tables)

Investment Securities (Tables)	9 Months Ended
	Sep. 30, 2019
Investment Securities
Schedule of amortized cost and fair value of debt securities available-for-sale	Total Amortized Gross Unrealized Fair ( in thousands) Cost Gains Losses Value September 30, 2019 U.S. Treasury $ 985 $ 10 $ — $ 995 U.S. government and federal agency obligations 8,495 — (30) 8,465 Government sponsored enterprises 22,786 50 (38) 22,798 Obligations of states and political subdivisions 29,341 144 (61) 29,424 Mortgage-backed securities 115,261 542 (569) 115,234 Other debt securities (a) 3,000 51 — 3,051 Bank issued trust preferred securities (a) 1,486 — (183) 1,303 Total available-for-sale securities $ 181,354 $ 797 $ (881) $ 181,270 December 31, 2018 U.S. Treasury $ 1,984 $ — $ (32) $ 1,952 U.S. government and federal agency obligations 10,235 — (269) 9,966 Government sponsored enterprises 43,784 23 (472) 43,335 Obligations of states and political subdivisions 40,859 28 (501) 40,386 Mortgage-backed securities 121,230 72 (3,110) 118,192 Other debt securities (a) 3,000 — — 3,000 Bank issued trust preferred securities (a) 1,486 — (112) 1,374 Total available-for-sale securities $ 222,578 $ 123 $ (4,496) $ 218,205 (a) Certain hybrid instruments possessing characteristics typically associated with debt obligations.
Schedule of amortized cost and fair value of debt securities classified as available-for-sale by contractual maturity	Amortized Fair ( in thousands) Cost Value Due in one year or less $ 8,962 $ 8,951 Due after one year through five years 36,227 36,256 Due after five years through ten years 10,910 10,926 Due after ten years 9,994 9,903 Total 66,093 66,036 Mortgage-backed securities 115,261 115,234 Total available-for-sale securities $ 181,354 $ 181,270
Schedule of Other securities	(in thousands) September 30, 2019 December 31, 2018 Other securities: FHLB stock $ 6,046 $ 5,512 MIB stock 151 151 Equity securities with readily determinable fair values 13 12 Total other investment securities $ 6,210 $ 5,675
Schedule of gross unrealized losses on debt securities and fair value of related securities aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position	Less than 12 months 12 months or more Total Total Fair Unrealized Fair Unrealized Fair Unrealized (in thousands) Value Losses Value Losses Value Losses At September 30, 2019 U.S. Treasury $ — $ — $ — $ — $ — $ — U.S. government and federal agency obligations 6,310 (25) 1,913 (5) 8,223 (30) Government sponsored enterprises 4,539 (6) 8,466 (32) 13,005 (38) Obligations of states and political subdivisions 9,098 (45) 2,891 (16) 11,989 (61) Mortgage-backed securities 8,624 (24) 46,968 (545) 55,592 (569) Other debt securities — — — — — — Bank issued trust preferred securities — — 1,303 (183) 1,303 (183) Total $ 28,571 $ (100) $ 61,541 $ (781) $ 90,112 $ (881) (in thousands) At December 31, 2018 U.S. Treasury $ — $ — $ 1,952 $ (32) $ 1,952 $ (32) U.S. government and federal agency obligations — — 9,966 (269) 9,966 (269) Government sponsored enterprises 1,997 (3) 33,346 (469) 35,343 (472) Obligations of states and political subdivisions 5,851 (16) 28,832 (485) 34,683 (501) Mortgage-backed securities 10,085 (61) 99,321 (3,049) 109,406 (3,110) Bank issued trust preferred securities — — 1,374 (112) 1,374 (112) Total $ 17,933 $ (80) $ 174,791 $ (4,416) $ 192,724 $ (4,496)
Schedule of components of investment securities gains and losses	Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Investment securities (losses) gains, net Available for sale securities: Gains realized on sales $ 6 $ 47 $ 6 $ 253 Losses realized on sales (46) — (46) — Other-than-temporary impairment recognized — — — — Other investment securities: Fair value adjustments, net — 3 — 3 Investment securities (losses) gains, net $ (40) $ 50 $ (40) $ 256

Intangible Assets (Tables)

Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2019
Intangible Assets
Schedule of changes in mortgage servicing rights (MSRs)	Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 2,657 $ 2,813 $ 2,931 $ 2,713 Originated mortgage servicing rights 88 66 187 198 Changes in fair value: Due to changes in model inputs and assumptions (1) (77) 70 (318) 203 Other changes in fair value (2) (93) (78) (225) (243) Total changes in fair value (170) (8) (543) (40) Balance at end of period $ 2,575 $ 2,871 $ 2,575 $ 2,871 (1) The change in fair value resulting from changes in valuation inputs or assumptions, reported in real estate servicing fees, net, used in the valuation model reflects the change in discount rates and prepayment speed assumptions primarily due to changes in interest rates. (2) Other changes in fair value, reported in real estate servicing fees, net, reflect changes due to customer payments and passage of time.
Schedule of key data and assumptions used in estimating the fair value of the Company's MSRs	Nine Months Ended September 30, 2019 2018 Weighted average constant prepayment rate 13.27 % 9.36 % Weighted average note rate 3.95 % 3.92 % Weighted average discount rate 8.75 % 10.36 % Weighted average expected life (in years) 4.8 6.1

Federal funds purchased and s_2

Federal funds purchased and securities sold under agreements to repurchase (Tables)	9 Months Ended
	Sep. 30, 2019
Federal funds purchased and securities sold under agreements to repurchase
Schedule of federal funds purchased and securities sold under agreements to repurchase	September 30, December 31, (in thousands) 2019 2018 Federal funds purchased $ — $ Repurchase agreements Total $ $
Schedule of repurchase agreements by remaining maturity of the agreements	Repurchase Agreements Remaining Contractual Maturity of the Agreements Overnight Less Greater and than than (in thousands) continuous 90 days 90 days Total At September 30, 2019 U.S. Treasury $ 756 $ — $ — $ 756 Government sponsored enterprises 9,364 — — 9,364 Asset-backed securities 17,071 — — 17,071 Total $ 27,191 $ — $ — $ 27,191 At December 31, 2018 U.S. Treasury $ 1,464 $ — $ — $ 1,464 Government sponsored enterprises 12,976 — — 12,976 Asset-backed securities 2,207 — — 2,207 Total $ 16,647 $ — $ — $ 16,647

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2019
Leases
Schedule of maturity of remaining operating leases liabilities	Operating Lease payments due in: Lease (in thousands) 2019 (excluding nine months ended September 30, 2019) $ 83 2020 334 2021 317 2022 310 2023 312 Thereafter 1,345 Total lease payments 2,701 Less imputed interest (416) Total lease liabilities, as reported $ 2,285

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2019
Stockholders' Equity
Schedule of the change in the components of the accumulated other comprehensive loss	The following details the change in the components of the Company’s accumulated other comprehensive loss for the nine months ended September 30, 2019 and 2018: Nine Months Ended September 30, 2019 Accumulated Unrecognized Net Other Unrealized Pension and Comprehensive Gain (Loss) Postretirement (Loss) (in thousands) on Securities (1) Costs (2) Income Balance at beginning of period $ (3,455) $ (2,644) $ (6,099) Other comprehensive income, before reclassifications 4,250 58 4,308 Amounts reclassified from accumulated other comprehensive (loss) income 40 — 40 Current period other comprehensive income, before tax 4,290 58 4,348 Income tax expense (901) (12) (913) Current period other comprehensive income, net of tax 3,389 46 3,435 Balance at end of period $ (66) $ (2,598) $ (2,664) Nine Months Ended September 30, 2018 Unrecognized Net Accumulated Unrealized Pension and Other Gain (Loss) Postretirement Comprehensive (in thousands) on Securities (1) Costs (2) Loss Balance at beginning of period $ (2,500) $ (3,162) $ (5,662) Other comprehensive (loss) income, before reclassifications (3,915) 164 (3,751) Amounts reclassified from accumulated other comprehensive (loss) income — — — Current period other comprehensive (loss) income, before tax (3,915) 164 (3,751) Income tax benefit (expense) 822 (35) 787 Current period other comprehensive (loss) income, net of tax (3,093) 129 (2,964) Balance at end of period $ (5,593) $ (3,033) $ (8,626) (1) The pre-tax amounts reclassified from accumulated other comprehensive loss are included in investment securities (loss) gain, net in the consolidated statements of income. (2) The pre-tax amounts reclassified from accumulated other comprehensive loss are included in the computation of net periodic pension cost.

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	9 Months Ended
	Sep. 30, 2019
Employee Benefit Plans
Schedule of employee benefits charged to operating expenses	Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Payroll taxes $ 256 $ 261 $ 871 $ 913 Medical plans 432 490 1,359 1,650 401(k) match and profit sharing 349 261 929 684 Periodic pension cost 358 470 1,073 1,280 Other 15 12 40 37 Total employee benefits $ 1,410 $ 1,494 $ 4,272 $ 4,564
Schedule of components of net pension cost	Pension Benefits (in thousands) 2019 2018 Service cost - benefits earned during the year $ 1,431 $ 1,707 Interest costs on projected benefit obligations (a) 1,168 1,037 Expected return on plan assets (a) (1,467) (1,327) Expected administrative expenses (a) 122 93 Amortization of prior service cost (a) 79 79 Amortization of unrecognized net loss (a) — 140 Net periodic pension cost $ 1,333 $ 1,729 Net periodic pension cost for the three months ended September 30, (actual) $ 358 $ 470 Net periodic pension cost for the nine months ended September 30, (actual) $ 1,073 $ 1,280 (a) The components of net periodic pension cost other than the service cost component are included in other non-interest expense.

Earnings per Share (Tables)

Earnings per Share (Tables)	9 Months Ended
	Sep. 30, 2019
Earnings Per Share
Schedule of calculations of basic and diluted earnings per common share	Three Months Ended September 30, Nine Months Ended September 30, (dollars in thousands, except per share data) 2019 2018 2019 2018 Basic earnings per share: Net income available to shareholders $ 3,860 $ 3,098 $ 12,046 $ 8,095 Average shares outstanding 6,276,236 6,264,200 6,276,236 6,265,290 Basic earnings per share $ 0.62 $ 0.49 $ 1.92 $ 1.29 Diluted earnings per share: Net income available to shareholders $ 3,860 $ 3,098 $ 12,046 $ 8,095 Average shares outstanding 6,276,236 6,264,200 6,276,236 6,265,290 Effect of dilutive stock options — 6,617 — 6,740 Average shares outstanding including dilutive stock options 6,276,236 6,270,817 6,276,236 6,272,030 Diluted earnings per share $ 0.62 0.49 $ 1.92 1.29

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2019
Fair Value Measurements
Schedule of mortgage servicing rights	Fair Value Measurements Quoted Prices in Active Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (in thousands) Fair Value (Level 1) (Level 2) (Level 3) September 30, 2019 Assets: U.S. Treasury $ 995 $ 995 — $ — U.S. government and federal agency obligations 8,465 — 8,465 — Government sponsored enterprises 22,798 — 22,798 — Obligations of states and political subdivisions 29,424 — 29,424 — Mortgage-backed securities 115,234 — 115,234 — Other debt securities 3,051 — 3,051 — Bank-issued trust preferred securities 1,303 — 1,303 — Equity securities 13 13 — — Mortgage servicing rights 2,575 — — 2,575 Total $ 183,858 $ 1,008 $ 180,275 $ 2,575 December 31, 2018 Assets: U.S. Treasury $ 1,952 $ 1,952 — $ — U.S. government and federal agency obligations 9,966 — 9,966 — Government sponsored enterprises 43,335 — 43,335 — Obligations of states and political subdivisions 40,386 — 40,386 — Mortgage-backed securities 118,192 — 118,192 — Other debt securities 3,000 — 3,000 — Bank-issued trust preferred securities 1,374 — 1,374 — Equity securities 12 12 — — Mortgage servicing rights 2,931 — — 2,931 Total $ 221,148 $ 1,964 $ 216,253 $ 2,931
Schedule of summary of changes in Level 3 assets and liabilities measured at fair value on a recurring basis	Fair Value Measurements Using Fair Value Measurements Using Significant Unobservable Inputs Significant Unobservable Inputs (Level 3) (Level 3) Mortgage Servicing Rights Mortgage Servicing Rights Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 2,657 $ 2,813 $ 2,931 $ 2,713 Total (losses) or gains (realized/unrealized): Included in earnings (170) (8) (543) (40) Included in other comprehensive income — — — — Purchases — — — — Sales — — — — Issues 88 66 187 198 Settlements — — — — Balance at end of period $ 2,575 $ 2,871 $ 2,575 $ 2,871
Schedule of valuation methods for instruments measured at fair value on a nonrecurring basis	Fair Value Measurements Using Quoted Prices in Active Three Months Nine Months Markets for Other Significant Ended Ended Identical Observable Unobservable September 30, September 30, Total Assets Inputs Inputs Total Gains Total Gains (in thousands) Fair Value (Level 1) (Level 2) (Level 3) (Losses)* (Losses)* September 30, 2019 Assets: Collateral dependent impaired loans: Commercial, financial, & agricultural $ 529 $ — $ — $ 529 $ (22) $ (132) Real estate construction - commercial 145 — — 145 — — Real estate mortgage - residential 933 — — 933 (45) (45) Real estate mortgage - commercial 860 — — 860 (6) (15) Installment and other consumer 13 — — 13 (4) (12) Total $ 2,480 $ — $ — $ 2,480 $ (77) $ (204) Other real estate and repossessed assets $ 12,878 $ — $ — $ 12,878 $ 10 $ (166) September 30, 2018 Assets: Collateral dependent impaired loans: Commercial, financial, & agricultural $ 1,549 $ — $ — $ 1,549 $ (21) $ (187) Real estate construction - commercial 158 — — 158 — (27) Real estate mortgage - residential 1,156 — — 1,156 (32) (44) Real estate mortgage - commercial 399 — — 399 — (20) Installment and other consumer — — — — — (25) Total $ 3,262 $ — $ — $ 3,262 $ (53) $ (303) Other real estate and repossessed assets $ 13,373 $ — $ — $ 13,373 $ (3) $ (29) *

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2019
Fair Value of Financial Instruments
Schedule of summary of the carrying amounts and fair values of financial instruments	September 30, 2019 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant September 30, 2019 Identical Observable Unobservable Carrying Fair Assets Inputs Inputs (in thousands) amount value (Level 1) (Level 2) (Level 3) Assets: Cash and due from banks $ 22,856 $ 22,856 $ 22,856 $ — $ — Federal funds sold and overnight interest-bearing deposits 21,559 21,559 21,559 — — Certificates of deposit in other banks 11,601 11,601 11,601 — — Available for sale securities 181,270 181,270 995 180,275 — Other investment securities 6,210 6,210 13 6,197 — Loans, net 1,139,340 1,132,835 — — 1,132,835 Mortgage servicing rights 2,575 2,575 — — 2,575 Cash surrender value - life insurance 2,385 2,385 — 2,385 — Accrued interest receivable 6,215 6,215 6,215 — — $ 1,394,011 $ 1,387,506 $ 63,239 $ 188,857 $ 1,135,410 Liabilities: Deposits: Non-interest bearing demand $ 284,452 $ 284,452 $ 284,452 $ — $ — Savings, interest checking and money market 550,350 550,350 550,350 — — Time deposits 302,605 303,092 — — 303,092 Federal funds purchased and securities sold under agreements to repurchase 27,191 27,191 27,191 — — Federal Home Loan Bank advances and other borrowings 106,980 93,751 — 93,751 — Subordinated notes 49,486 43,393 — 43,393 — Operating lease liabilities 2,285 2,285 2,285 Accrued interest payable 1,020 1,020 1,020 — — $ 1,324,369 $ 1,305,534 $ 863,013 $ 139,429 $ 303,092 December 31, 2018 Fair Value Measurements Quoted Prices in Active Net Markets for Other Significant December 31, 2018 Identical Observable Unobservable Carrying Fair Assets Inputs Inputs (in thousands) amount value (Level 1) (Level 2) (Level 3) Assets: Cash and due from banks $ 23,687 $ 23,687 $ 23,687 $ — $ — Federal funds sold and overnight interest-bearing deposits 18,396 18,396 18,396 — — Certificates of deposit in other banks 12,247 12,247 12,247 — — Available-for-sale securities 218,205 218,205 1,952 216,253 — Other investment securities 5,675 5,675 12 5,663 — Loans, net 1,134,975 1,115,003 — — 1,115,003 Mortgage servicing rights 2,931 2,931 — — 2,931 Cash surrender value - life insurance 2,542 2,542 — 2,542 — Accrued interest receivable 6,162 6,162 6,162 — — $ 1,424,820 $ 1,404,848 $ 62,456 $ 224,458 $ 1,117,934 Liabilities: Deposits: Non-interest bearing demand $ 262,857 $ 262,857 $ 262,857 $ — $ — Savings, interest checking and money market 614,040 614,040 614,040 — — Time deposits 321,571 318,949 — — 318,949 Federal funds purchased and securities sold under agreements to repurchase 24,647 24,647 24,647 — — Federal Home Loan Bank advances and other borrowings 95,153 94,326 — 94,326 — Subordinated notes 49,486 45,749 — 45,749 — Accrued interest payable 1,035 1,035 1,035 — — $ 1,368,789 $ 1,361,603 $ 902,579 $ 140,075 $ 318,949

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2019
Commitments and Contingencies
Schedule of contractual amount of off-balance-sheet financial instruments	September 30, December 31, (in thousands) 2019 2018 Commitments to extend credit $ 246,058 $ 267,314 Commitments to originate residential first and second mortgage loans 9,582 1,759 Standby letters of credit 70,250 82,895 Total 325,890 351,968

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Other (Details)	Jul. 01, 2019
Summary of Significant Accounting Policies
Dividends Payable, Date to be Paid	Jul. 1, 2019
Special stock dividend, rate percent	4.00%
Special stock dividend, record date	Jun. 15, 2019

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Recent Transactions (Details) - USD ($) $ in Millions	Feb. 08, 2019	Sep. 30, 2019
Summary Of Significant Accounting Policies
Pre-tax gain on sale of branch		$ 2.2
Hawthorn Bank | Branch Located in Branson, Missouri
Summary Of Significant Accounting Policies
Deposit Assets	$ 10.6
Pre-tax gain on sale of branch	2.2
Gain on sale of branch, net of tax	$ 1.7

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - New Accounting Principles (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jan. 01, 2019
New Accounting Principles
Right-of-use assets	$ 2,300
Operating lease liabilities	$ 2,285
Accounting Standards Update 2016-02 | Adjustment
New Accounting Principles
Right-of-use assets		$ 2,300
Operating lease liabilities		$ 2,300

Loans and Allowance for Loan _3

Loans and Allowance for Loan Losses - Summary of Loans by Major Class (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Loans and Allowance for Loan Losses
Total loans	$ 1,151,518	$ 1,146,627
Commercial, financial, and agricultural
Loans and Allowance for Loan Losses
Total loans	193,267	207,720
Residential real estate | Construction
Loans and Allowance for Loan Losses
Total loans	23,782	28,610
Residential real estate | Mortgages
Loans and Allowance for Loan Losses
Total loans	248,435	241,517
Commercial real estate | Construction
Loans and Allowance for Loan Losses
Total loans	124,389	106,784
Commercial real estate | Mortgages
Loans and Allowance for Loan Losses
Total loans	530,010	529,536
Installment and other consumer
Loans and Allowance for Loan Losses
Total loans	$ 31,635	$ 32,460

Loans and Allowance for Loan _4

Loans and Allowance for Loan Losses - Loans Pledged (Details) $ in Millions	Sep. 30, 2019USD ($)
Loans and Allowances for Loan Losses
Amount of loans pledged as collateral to the Federal Home Loan Bank	$ 501

Loans and Allowance for Loan _5

Loans and Allowance for Loan Losses - Allowance for Loan Losses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Summary of the allowance for loan losses
Balance at beginning of period	$ 11,883	$ 11,212	$ 11,652	$ 10,852
Additions:
Provision for loan losses	450	250	850	1,000
Deductions:
Loans charged off	213	186	693	735
Less recoveries on loans	(58)	(82)	(369)	(241)
Net loan charge-offs (recoveries)	155	104	324	494
Balance at end of period	12,178	11,358	12,178	11,358
Commercial, financial, and agricultural
Summary of the allowance for loan losses
Balance at beginning of period	2,783	3,943	3,237	3,325
Additions:
Provision for loan losses	155	(420)	(232)	478
Deductions:
Loans charged off	61	75	255	378
Less recoveries on loans	(12)	(38)	(139)	(61)
Net loan charge-offs (recoveries)	49	37	116	317
Balance at end of period	2,889	3,486	2,889	3,486
Residential real estate | Construction
Summary of the allowance for loan losses
Balance at beginning of period	69	201	140	170
Additions:
Provision for loan losses	3	26	(81)	80
Deductions:
Loans charged off	0	0		48
Less recoveries on loans	(12)	(13)	(25)	(38)
Net loan charge-offs (recoveries)	(12)	(13)	(25)	10
Balance at end of period	84	240	84	240
Residential real estate | Mortgages
Summary of the allowance for loan losses
Balance at beginning of period	1,772	2,109	2,071	1,689
Additions:
Provision for loan losses	252	255	30	672
Deductions:
Loans charged off	86	32	266	64
Less recoveries on loans	(8)	(9)	(111)	(44)
Net loan charge-offs (recoveries)	78	23	155	20
Balance at end of period	1,946	2,341	1,946	2,341
Commercial real estate | Construction
Summary of the allowance for loan losses
Balance at beginning of period	704	905	757	807
Additions:
Provision for loan losses	97	(159)	44	(31)
Deductions:
Loans charged off	0	0		30
Less recoveries on loans	0	0
Net loan charge-offs (recoveries)	0	0		30
Balance at end of period	801	746	801	746
Commercial real estate | Mortgages
Summary of the allowance for loan losses
Balance at beginning of period	6,109	3,630	4,914	4,437
Additions:
Provision for loan losses	(15)	444	1,193	(366)
Deductions:
Loans charged off	6	5	21	34
Less recoveries on loans	(7)	(2)	(9)	(34)
Net loan charge-offs (recoveries)	(1)	3	12
Balance at end of period	6,095	4,071	6,095	4,071
Installment and other consumer
Summary of the allowance for loan losses
Balance at beginning of period	307	413	334	345
Additions:
Provision for loan losses	62	39	60	170
Deductions:
Loans charged off	60	74	151	181
Less recoveries on loans	(19)	(20)	(85)	(64)
Net loan charge-offs (recoveries)	41	54	66	117
Balance at end of period	328	398	328	398
Unallocated
Summary of the allowance for loan losses
Balance at beginning of period	139	11	199	79
Additions:
Provision for loan losses	(104)	65	(164)	(3)
Deductions:
Loans charged off	0	0
Less recoveries on loans	0	0
Net loan charge-offs (recoveries)	0	0
Balance at end of period	$ 35	$ 76	$ 35	$ 76

Loans and Allowance for Loan _6

Loans and Allowance for Loan Losses - Impairment Methodology (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Dec. 31, 2017
Allowance for loan losses:
Individually evaluated for impairment	$ 708		$ 1,194
Collectively evaluated for impairment	11,470		10,458
Total	12,178	$ 11,883	11,652	$ 11,358	$ 11,212	$ 10,852
Loans outstanding:
Individually evaluated for impairment	7,255		8,478
Collectively evaluated for impairment	1,144,263		1,138,149
Total	1,151,518		1,146,627
Commercial, financial, and agricultural
Allowance for loan losses:
Individually evaluated for impairment	361		551
Collectively evaluated for impairment	2,528		2,686
Total	2,889	2,783	3,237	3,486	3,943	3,325
Loans outstanding:
Individually evaluated for impairment	1,578		2,428
Collectively evaluated for impairment	191,689		205,292
Total	193,267		207,720
Residential real estate | Construction
Allowance for loan losses:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	84		140
Total	84	69	140	240	201	170
Loans outstanding:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	23,782		28,610
Total	23,782		28,610
Residential real estate | Mortgages
Allowance for loan losses:
Individually evaluated for impairment	296		579
Collectively evaluated for impairment	1,650		1,492
Total	1,946	1,772	2,071	2,341	2,109	1,689
Loans outstanding:
Individually evaluated for impairment	3,902		4,793
Collectively evaluated for impairment	244,533		236,724
Total	248,435		241,517
Commercial real estate | Construction
Allowance for loan losses:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	801		757
Total	801	704	757	746	905	807
Loans outstanding:
Individually evaluated for impairment	145		153
Collectively evaluated for impairment	124,244		106,631
Total	124,389		106,784
Commercial real estate | Mortgages
Allowance for loan losses:
Individually evaluated for impairment	34		37
Collectively evaluated for impairment	6,061		4,877
Total	6,095	6,109	4,914	4,071	3,630	4,437
Loans outstanding:
Individually evaluated for impairment	1,469		850
Collectively evaluated for impairment	528,541		528,686
Total	530,010		529,536
Installment and other consumer
Allowance for loan losses:
Individually evaluated for impairment	17		27
Collectively evaluated for impairment	311		307
Total	328	307	334	398	413	345
Loans outstanding:
Individually evaluated for impairment	161		254
Collectively evaluated for impairment	31,474		32,206
Total	31,635		32,460
Unallocated
Allowance for loan losses:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	35		199
Total	35	$ 139	199	$ 76	$ 11	$ 79
Loans outstanding:
Individually evaluated for impairment	0		0
Collectively evaluated for impairment	0		0
Total	$ 0		$ 0

Loans and Allowance for Loan _7

Loans and Allowance for Loan Losses - Impaired Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Loans and Allowances for Loan Losses
Impaired loans individually evaluated for impairment	$ 7,255	$ 8,478
Impaired loans were evaluated based on the fair value of the loan's collateral	2,900	3,800
Specific allowance related to impaired loans	708	1,194
Impaired loans with no reserve allocation	$ 1,637	$ 2,093
Impaired loans required no reserve allocation, percentage	23.00%	25.00%

Loans and Allowance for Loan _8

Loans and Allowance for Loan Losses - Categories of Impaired Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Categories of impaired loans
Non-accrual and non-performing TDRs	$ 4,623	$ 5,414
Performing TDRs	2,632	3,064
Total impaired loans	$ 7,255	$ 8,478

Loans and Allowance for Loan _9

Loans and Allowance for Loan Losses - Additional information about Impaired Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Impaired loans
Recorded Investment, With no related allowance recorded	$ 1,637	$ 2,093
Unpaid Principal Balance, With no related allowance recorded	2,105	2,451
Recorded Investment, With an allowance recorded	5,618	6,385
Unpaid Principal Balance, With an allowance recorded	6,193	7,067
Specific Reserves, With an allowance recorded	708	1,194
Total impaired loans, Recorded Investment	7,255	8,478
Total impaired loans, Unpaid Principal Balance	8,298	9,518
Commercial, financial, and agricultural
Impaired loans
Recorded Investment, With no related allowance recorded	496	1,264
Unpaid Principal Balance, With no related allowance recorded	837	1,550
Recorded Investment, With an allowance recorded	1,082	1,164
Unpaid Principal Balance, With an allowance recorded	1,163	1,236
Specific Reserves, With an allowance recorded	361	551
Residential real estate
Impaired loans
Recorded Investment, With no related allowance recorded	606	561
Unpaid Principal Balance, With no related allowance recorded	684	602
Recorded Investment, With an allowance recorded	3,296	4,232
Unpaid Principal Balance, With an allowance recorded	3,635	4,458
Specific Reserves, With an allowance recorded	296	579
Commercial real estate
Impaired loans
Recorded Investment, With no related allowance recorded	377	115
Unpaid Principal Balance, With no related allowance recorded	394	119
Recorded Investment, With an allowance recorded	1,092	735
Unpaid Principal Balance, With an allowance recorded	1,219	1,093
Specific Reserves, With an allowance recorded	34	37
Commercial real estate | Construction
Impaired loans
Recorded Investment, With no related allowance recorded	145	153
Unpaid Principal Balance, With no related allowance recorded	177	180
Installment and other consumer
Impaired loans
Recorded Investment, With no related allowance recorded	13
Unpaid Principal Balance, With no related allowance recorded	13
Recorded Investment, With an allowance recorded	148	254
Unpaid Principal Balance, With an allowance recorded	176	280
Specific Reserves, With an allowance recorded	$ 17	$ 27

Loans and Allowance for Loan_10

Loans and Allowance for Loan Losses - Average Recorded Investment and Interest Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
With no related allowance recorded:
With no related allowance recorded, Average Recorded Investment	$ 2,682	$ 2,784	$ 2,232	$ 2,409
With no related allowance recorded, Interest Recognized For The Period Ended	0	6		32
With an allowance recorded:
With an allowance recorded, Average Recorded Investment	5,204	7,139	5,985	7,592
With an allowance recorded, Interest Recognized For The Period Ended	40	46	125	119
Total average recorded investment	7,886	9,923	8,217	10,001
Total interest income recognized For the Period Ended	40	52	125	151
Commercial, financial, and agricultural
With no related allowance recorded:
With no related allowance recorded, Average Recorded Investment	851	1,375	1,036	1,334
With no related allowance recorded, Interest Recognized For The Period Ended	0	0		1
With an allowance recorded:
With an allowance recorded, Average Recorded Investment	1,086	1,423	1,095	1,507
With an allowance recorded, Interest Recognized For The Period Ended	9	8	30	23
Residential real estate
With no related allowance recorded:
With no related allowance recorded, Average Recorded Investment	1,301	1,037	651	929
With no related allowance recorded, Interest Recognized For The Period Ended	0	3		9
With an allowance recorded:
With an allowance recorded, Average Recorded Investment	2,818	4,076	3,881	4,211
With an allowance recorded, Interest Recognized For The Period Ended	21	25	68	71
Residential real estate | Construction
With an allowance recorded:
With an allowance recorded, Average Recorded Investment	0	0	0	15
With an allowance recorded, Interest Recognized For The Period Ended	0	0	0	0
Commercial real estate
With no related allowance recorded:
With no related allowance recorded, Average Recorded Investment	380	120	393	30
With no related allowance recorded, Interest Recognized For The Period Ended	0	3		22
With an allowance recorded:
With an allowance recorded, Average Recorded Investment	1,112	1,443	788	1,649
With an allowance recorded, Interest Recognized For The Period Ended	9	13	25	24
Commercial real estate | Construction
With no related allowance recorded:
With no related allowance recorded, Average Recorded Investment	146	161	149	82
With no related allowance recorded, Interest Recognized For The Period Ended	0	0	0	0
With an allowance recorded:
With an allowance recorded, Average Recorded Investment		0		24
With an allowance recorded, Interest Recognized For The Period Ended	0	0
Installment and other consumer
With no related allowance recorded:
With no related allowance recorded, Average Recorded Investment	4	91	3	34
With no related allowance recorded, Interest Recognized For The Period Ended	0	0	0	0
With an allowance recorded:
With an allowance recorded, Average Recorded Investment	188	197	221	186
With an allowance recorded, Interest Recognized For The Period Ended	$ 1	$ 0	$ 2	$ 1

Loans and Allowance for Loan_11

Loans and Allowance for Loan Losses - Past Due and Non-accrual Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	$ 197	$ 162
Non-Accrual	4,564	5,414
Loans	1,151,518	1,146,627
Current or Less Than 30 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	1,145,421	1,136,236
30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	1,336	4,815
Commercial, financial, and agricultural
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	0
Non-Accrual	1,027	1,857
Loans	193,267	207,720
Commercial, financial, and agricultural | Current or Less Than 30 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	192,142	205,597
Commercial, financial, and agricultural | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	98	266
Residential real estate | Construction
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	0
Non-Accrual	0	0
Loans	23,782	28,610
Residential real estate | Construction | Current or Less Than 30 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	23,782	28,404
Residential real estate | Construction | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	0	206
Residential real estate | Mortgages
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	193	156
Non-Accrual	2,158	2,720
Loans	248,435	241,517
Residential real estate | Mortgages | Current or Less Than 30 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	245,379	235,734
Residential real estate | Mortgages | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	705	2,907
Commercial real estate | Construction
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	0
Non-Accrual	145	153
Loans	124,389	106,784
Commercial real estate | Construction | Current or Less Than 30 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	124,177	106,531
Commercial real estate | Construction | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	67	100
Commercial real estate | Mortgages
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	0	0
Non-Accrual	1,111	474
Loans	530,010	529,536
Commercial real estate | Mortgages | Current or Less Than 30 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	528,539	527,968
Commercial real estate | Mortgages | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	360	1,094
Installment and other consumer
Aging information for the Company's past due and non-accrual loans
90 Days Past Due And Still Accruing	4	6
Non-Accrual	123	210
Loans	31,635	32,460
Installment and other consumer | Current or Less Than 30 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	31,402	32,002
Installment and other consumer | 30 - 89 Days Past Due
Aging information for the Company's past due and non-accrual loans
Financing receivable, recorded investment, past due	$ 106	$ 242

Loans and Allowance for Loan_12

Loans and Allowance for Loan Losses - Credit Quality (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	$ 1,151,518	$ 1,146,627
Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	71,780	62,728
Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	3,281	2,169
Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	2,632	3,064
Non-accrual and non-performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	4,623	5,414
Total
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	82,316	73,375
Commercial, financial, and agricultural
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	193,267	207,720
Commercial, financial, and agricultural | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	13,083	8,871
Commercial, financial, and agricultural | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,257	53
Commercial, financial, and agricultural | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	551	570
Commercial, financial, and agricultural | Non-accrual and non-performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,027	1,857
Commercial, financial, and agricultural | Total
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	15,918	11,351
Residential real estate | Construction
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	23,782	28,610
Residential real estate | Construction | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	679	588
Residential real estate | Construction | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Residential real estate | Construction | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Residential real estate | Construction | Non-accrual and non-performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Residential real estate | Construction | Total
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	679	588
Residential real estate | Mortgages
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	248,435	241,517
Residential real estate | Mortgages | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	14,453	12,790
Residential real estate | Mortgages | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,336	1,411
Residential real estate | Mortgages | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,685	2,073
Residential real estate | Mortgages | Non-accrual and non-performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	2,217	2,720
Residential real estate | Mortgages | Total
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	19,691	18,994
Commercial real estate | Construction
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	124,389	106,784
Commercial real estate | Construction | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	7,172	4,063
Commercial real estate | Construction | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Commercial real estate | Construction | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	0
Commercial real estate | Construction | Non-accrual and non-performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	145	153
Commercial real estate | Construction | Total
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	7,317	4,216
Commercial real estate | Mortgages
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	530,010	529,536
Commercial real estate | Mortgages | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	36,393	36,408
Commercial real estate | Mortgages | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	685	702
Commercial real estate | Mortgages | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	358	377
Commercial real estate | Mortgages | Non-accrual and non-performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	1,111	474
Commercial real estate | Mortgages | Total
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	38,547	37,961
Installment and other consumer
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	31,635	32,460
Installment and other consumer | Watch
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	0	8
Installment and other consumer | Substandard
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	3	3
Installment and other consumer | Performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	38	44
Installment and other consumer | Non-accrual and non-performing TDRs
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	123	210
Installment and other consumer | Total
Credit quality of the loan portfolio using internal rating system reflecting management's risk assessment
Financing receivable	$ 164	$ 265

Loans and Allowance for Loan_13

Loans and Allowance for Loan Losses - Troubled Debt Restructurings (Details)		3 Months Ended		9 Months Ended
		Sep. 30, 2019USD ($)contract	Sep. 30, 2018USD ($)contract	Sep. 30, 2019USD ($)contract		Sep. 30, 2018USD ($)contract		Dec. 31, 2018USD ($)
Troubled Debt Restructurings
Troubled debt restructurings		$ 4,000,000		$ 4,000,000				$ 5,000,000
Amount of specific reserves related to TDRs which were allocated to the allowance for loan losses		$ 471,000		$ 471,000				543,000
Number of contracts called for default and charged off | contract		1	0	1		0
Number of Contracts | contract			3	2	[1]	8	[1]
Pre- Modification			$ 465,000	$ 80,000	[1]	$ 588,000	[1]
Post- Modification			$ 406,000	$ 76,000	[1]	$ 430,000	[1]
Commercial, financial, and agricultural
Troubled Debt Restructurings
Number of Contracts | contract			2	2	[1]	2	[1]
Pre- Modification			$ 353,000	$ 80,000	[1]	$ 353,000	[1]
Post- Modification			$ 353,000	76,000	[1]	$ 353,000	[1]
Residential real estate | Mortgages
Troubled Debt Restructurings
Number of Contracts | contract	[1]					1
Pre- Modification	[1]					$ 75,000
Post- Modification	[1]					$ 74,000
Installment and other consumer
Troubled Debt Restructurings
Number of Contracts | contract			1			5	[1]
Pre- Modification			$ 112,000			$ 160,000	[1]
Post- Modification			$ 53,000			$ 3,000	[1]
Performing TDRs
Troubled Debt Restructurings
Troubled debt restructurings		$ 2,600,000		2,600,000				3,000,000
Non-accrual and non-performing TDRs
Troubled Debt Restructurings
Troubled debt restructurings		$ 1,400,000		$ 1,400,000				$ 2,000,000
[1]	The amounts reported post-modification are inclusive of all partial pay-downs and charge-offs, and no portion of the debt was forgiven. Loans modified as a TDR that were fully paid down, charged-off or foreclosed upon during the period ended are not reported.

Other Real Estate and Reposse_3

Other Real Estate and Repossessed Assets Acquired in Settlement of Loans - Summary (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Dec. 31, 2017
Summary of real estate and other assets acquired in settlement of loans
Total	$ 15,865	$ 16,066	$ 16,693	$ 16,570	$ 16,453	$ 16,598
Less valuation allowance for other real estate owned	(2,987)	$ (2,956)	(3,002)	(3,002)	$ (3,022)	$ (3,221)
Total other real estate and repossessed assets	12,878		13,691	$ 13,568
Commercial
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	1,155		1,168
Residential real estate | Construction
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	0		179
Residential real estate | Mortgages
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	286		336
Commercial real estate | Construction
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	11,553		12,101
Commercial real estate | Mortgages
Summary of real estate and other assets acquired in settlement of loans
Real estate acquired through foreclosure	$ 2,871		$ 2,909

Other Real Estate and Reposse_4

Other Real Estate and Repossessed Assets Acquired in Settlement of Loans - Changes in Net Carrying Amount (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Schedule of real estate acquired in settlement of loans
Balance at beginning of period	$ 16,066	$ 16,453	$ 16,693	$ 16,598
Additions	68	207	411	589
Proceeds from sales	(352)	(68)	(1,277)	(372)
Charge-offs against the valuation allowance for other real estate owned, net	0	(20)	(64)	(245)
Net gain (loss) on sales	83	(2)	102	0
Total other real estate and repossessed assets	15,865	16,570	15,865	16,570
Less valuation allowance for other real estate owned	(2,987)	(3,002)	(2,987)	(3,002)
Balance at end of period	$ 12,878	$ 13,568	$ 12,878	$ 13,568	$ 13,691

Other Real Estate and Reposse_5

Other Real Estate and Repossessed Assets Acquired in Settlement of Loans - Foreclosure (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Other Real Estate and Repossessed Assets Acquired in Settlement of Loans
Consumer mortgage loans in process of foreclosure	$ 252,000	$ 200,000

Other Real Estate and Reposse_6

Other Real Estate and Repossessed Assets Acquired in Settlement of Loans - Valuation Allowance (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Summary of activity in valuation allowance for other real estate owned in settlement of loans
Balance, beginning of period	$ 2,956	$ 3,022	$ 3,002	$ 3,221
Provision for other real estate owned	31	0	49	26
Charge-offs	0	(20)	(64)	(245)
Balance, end of period	$ 2,987	$ 3,002	$ 2,987	$ 3,002

Investment Securities - Amortiz

Investment Securities - Amortized Costs, Gains and Losses, Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	$ 181,354	$ 222,578
Gross Unrealized Gains	797	123
Gross Unrealized Losses	(881)	(4,496)
Fair value	181,270	218,205
U.S. Treasury
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	985	1,984
Gross Unrealized Gains	10	0
Gross Unrealized Losses	0	(32)
Fair value	995	1,952
U.S. government and federal agency obligations
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	8,495	10,235
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(30)	(269)
Fair value	8,465	9,966
Government sponsored enterprises
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	22,786	43,784
Gross Unrealized Gains	50	23
Gross Unrealized Losses	(38)	(472)
Fair value	22,798	43,335
Obligations of states and political subdivisions
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	29,341	40,859
Gross Unrealized Gains	144	28
Gross Unrealized Losses	(61)	(501)
Fair value	29,424	40,386
Mortgage-backed securities
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	115,261	121,230
Gross Unrealized Gains	542	72
Gross Unrealized Losses	(569)	(3,110)
Fair value	115,234	118,192
Other debt securities
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	3,000	3,000
Gross Unrealized Gains	51	0
Gross Unrealized Losses	0	0
Fair value	3,051	3,000
Bank issued trust preferred securities
Amortized cost and fair value of debt securities available-for-sale
Total Amortized Cost	1,486	1,486
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(183)	(112)
Fair value	$ 1,303	$ 1,374

Investment Securities - Securit

Investment Securities - Securities Pledged (Details) - USD ($) $ in Millions	Sep. 30, 2019	Dec. 31, 2018
Investment Securities
Debt securities with carrying values, pledged	$ 117.9	$ 153

Investment Securities - Amort_2

Investment Securities - Amortized Cost and Fair Value by Contractual Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Amortized Cost
Due in one year or less	$ 8,962
Due after one year through five years	36,227
Due after five years through ten years	10,910
Due after ten years	9,994
Total	66,093
Mortgage-backed securities	115,261
Total available-for-sale securities	181,354	$ 222,578
Fair Value
Due in one year or less	8,951
Due after one year through five years	36,256
Due after five years through ten years	10,926
Due after ten years	9,903
Total	66,036
Mortgage-backed securities	115,234
Total available-for-sale securities	$ 181,270	$ 218,205

Investment Securities - Other S

Investment Securities - Other Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Investment Securities
FHLB stock	$ 6,046	$ 5,512
MIB stock	151	151
Equity securities with readily determinable fair values	13	12
Total other investment securities	$ 6,210	$ 5,675

Investment Securities - Unreali

Investment Securities - Unrealized Losses (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Fair Value
Less than 12 months	$ 28,571	$ 17,933
12 months or more	61,541	174,791
Total	90,112	192,724
Unrealized Losses
Less than 12 months	(100)	(80)
12 months or more	(781)	(4,416)
Total	(881)	(4,496)
U.S. Treasury
Fair Value
Less than 12 months	0	0
12 months or more	0	1,952
Total	0	1,952
Unrealized Losses
Less than 12 months	0	0
12 months or more	0	(32)
Total	0	(32)
U.S. government and federal agency obligations
Fair Value
Less than 12 months	6,310	0
12 months or more	1,913	9,966
Total	8,223	9,966
Unrealized Losses
Less than 12 months	(25)	0
12 months or more	(5)	(269)
Total	(30)	(269)
Government sponsored enterprises
Fair Value
Less than 12 months	4,539	1,997
12 months or more	8,466	33,346
Total	13,005	35,343
Unrealized Losses
Less than 12 months	(6)	(3)
12 months or more	(32)	(469)
Total	(38)	(472)
Obligations of states and political subdivisions
Fair Value
Less than 12 months	9,098	5,851
12 months or more	2,891	28,832
Total	11,989	34,683
Unrealized Losses
Less than 12 months	(45)	(16)
12 months or more	(16)	(485)
Total	(61)	(501)
Mortgage-backed securities
Fair Value
Less than 12 months	8,624	10,085
12 months or more	46,968	99,321
Total	55,592	109,406
Unrealized Losses
Less than 12 months	(24)	(61)
12 months or more	(545)	(3,049)
Total	(569)	(3,110)
Other debt securities
Fair Value
Less than 12 months	0
12 months or more	0
Total	0
Unrealized Losses
Less than 12 months	0
12 months or more	0
Total	0
Bank issued trust preferred securities
Fair Value
Less than 12 months	0	0
12 months or more	1,303	1,374
Total	1,303	1,374
Unrealized Losses
Less than 12 months	0	0
12 months or more	(183)	(112)
Total	$ (183)	$ (112)

Investment Securities - Other (

Investment Securities - Other (Details) $ in Thousands	Sep. 30, 2019USD ($)security	Dec. 31, 2018USD ($)security
Investment Securities
Number of securities consisted in portfolio | security	314	366
Number of securities in loss position | security	144
Number of Positions for unrealized losses | security		317
Aggregate fair value of securities in loss position | $	$ 90,112	$ 192,724
Loss position for 12 months or longer | $	61,541	174,791
Aggregate unrealized loss included in accumulated other comprehensive income (loss) | $	$ 881	$ 4,496

Investment Securities - Compone

Investment Securities - Components of Investment Securities Gains and Losses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Available for sale securities:
Gains realized on sales	$ 6	$ 47	$ 6	$ 253
Losses realized on sales	(46)	0	(46)
Other-than-temporary impairment recognized	0	0
Other investment securities:
Fair value adjustments, net	0	3		3
Investment securities (losses) gains, net	(40)	50	(40)	256
Proceeds from sale of U S treasury securities	$ 21,500	$ 25,400	$ 21,503	$ 77,168

Intangible Assets - Mortgage Se

Intangible Assets - Mortgage Servicing Rights (Details) - Mortgage servicing rights (MSRs) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Mortgage Servicing Rights
Mortgage loans serviced for others	$ 270,800,000	$ 282,900,000	$ 270,800,000	$ 282,900,000	$ 279,900,000
Mortgage loan servicing fees reported as non-interest income	$ 205,000	$ 201,000	$ 581,000	$ 614,000

Intangible Assets - Changes in

Intangible Assets - Changes in Mortgage Servicing Rights (Details) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Changes in mortgage servicing rights
Balance at beginning of period				$ 2,931
Changes in fair value:
Balance at end of period		$ 2,575		2,575
Mortgage servicing rights (MSRs)
Changes in mortgage servicing rights
Balance at beginning of period		2,657	$ 2,813	2,931	$ 2,713
Originated mortgage servicing rights		88	66	187	198
Changes in fair value:
Due to changes in model inputs and assumptions	[1]	(77)	70	(318)	203
Other changes in fair value	[2]	(93)	(78)	(225)	(243)
Total changes in fair value		(170)	(8)	(543)	(40)
Balance at end of period		$ 2,575	$ 2,871	$ 2,575	$ 2,871
[1]	The change in fair value resulting from changes in valuation inputs or assumptions, reported in real estate servicing fees, net, used in the valuation model reflects the change in discount rates and prepayment speed assumptions primarily due to changes in interest rates.
[2]	Other changes in fair value, reported in real estate servicing fees, net, reflect changes due to customer payments and passage of time.

Intangible Assets - FV Assumpti

Intangible Assets - FV Assumptions (Details) - Mortgage servicing rights (MSRs)	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Assumptions used in estimating the fair value of mortgage service rights
Weighted average constant prepayment rate	13.27%	9.36%
Weighted average note rate	3.95%	3.92%
Weighted average discount rate	8.75%	10.36%
Weighted average expected life (in years)	4 years 9 months 18 days	6 years 1 month 6 days

Federal funds purchased and s_3

Federal funds purchased and securities sold under agreements to repurchase - Summary (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Federal funds purchased and securities sold under agreements to repurchase
Federal funds purchased	$ 0	$ 8,000
Repurchase agreements	27,191	16,647
Total	$ 27,191	$ 24,647

Federal funds purchased and s_4

Federal funds purchased and securities sold under agreements to repurchase - Repurchase Agreements - Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	$ 27,191	$ 16,647
U.S. Treasury
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	756	1,464
Government sponsored enterprises
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	9,364	12,976
Asset-backed securities
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	17,071	2,207
Overnight and continuous
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	27,191	16,647
Overnight and continuous | U.S. Treasury
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	756	1,464
Overnight and continuous | Government sponsored enterprises
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	9,364	12,976
Overnight and continuous | Asset-backed securities
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	17,071	2,207
Less than 90 days
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	0	0
Less than 90 days | U.S. Treasury
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	0	0
Less than 90 days | Government sponsored enterprises
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	0	0
Less than 90 days | Asset-backed securities
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	0	0
Greater than 90 days
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	0	0
Greater than 90 days | U.S. Treasury
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	0	0
Greater than 90 days | Government sponsored enterprises
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	0	0
Greater than 90 days | Asset-backed securities
Federal funds purchased and securities sold under agreements to repurchase
Repurchase agreements	$ 0	$ 0

Leases - Other (Details)

Leases - Other (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Leases
Operating ROU assets	$ 2,300,000		$ 2,300,000
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Property, Plant and Equipment, Net		Property, Plant and Equipment, Net
Operating lease liabilities	$ 2,285,000		$ 2,285,000
Weighted-average remaining lease term (in years)	8 years 8 months 12 days		8 years 8 months 12 days
Weighted-average discount rate (as a percent)	4.00%		4.00%
Operating lease cost	$ 86,000		$ 202,000
Short-term operating lease expense	$ 20,000	$ 41,000		$ 127,000
Short-term operating lease expense			$ 71,000
Minimum
Leases
Remaining lease terms (in years)			1 year
Maximum
Leases
Remaining lease terms (in years)			10 years

Leases - Maturities of remainin

Leases - Maturities of remaining operating lease liabilities (Details) $ in Thousands	Sep. 30, 2019USD ($)
Maturity of remaining operating lease liabilities:
2019 (excluding nine months ending September 30, 2019)	$ 83
2020	334
2021	317
2022	310
2023	312
Thereafter	1,345
Total lease payments	2,701
Less imputed interest	(416)
Total lease liabilities, as reported	$ 2,285

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Income Taxes
Federal corporate income tax rate (as a percent)	19.80%	12.60%	19.30%	11.80%
Pre-tax gain on sale of branch			$ 2.2
Income tax rate without impact of Tax Cuts and Jobs Act (as a percent)			18.80%		17.00%

Stockholders' Equity (Details)

Stockholders' Equity (Details) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period				$ (6,099)
Total other comprehensive income (loss)		$ 327	$ (892)	3,435	$ (2,964)
Balance at end of period		(2,664)		(2,664)
Unrealized Gain (Loss) on Securities
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period	[1]			(3,455)	(2,500)
Other comprehensive (loss) income, before reclassifications	[1]			4,250	(3,915)
Amounts reclassified from accumulated other comprehensive (loss) income	[1]			40	0
Other comprehensive (loss) income, before tax	[1]			4,290	(3,915)
Income tax expense (benefit)	[1]			(901)	822
Total other comprehensive income (loss)	[1]			3,389	(3,093)
Balance at end of period	[1]	(66)	(5,593)	(66)	(5,593)
Unrecognized Net Pension and Postretirement Costs
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period	[2]			(2,644)	(3,162)
Other comprehensive (loss) income, before reclassifications	[2]			58	164
Amounts reclassified from accumulated other comprehensive (loss) income	[2]				0
Other comprehensive (loss) income, before tax	[2]			58	164
Income tax expense (benefit)	[2]			(12)	(35)
Total other comprehensive income (loss)	[2]			46	129
Balance at end of period	[2]	(2,598)	(3,033)	(2,598)	(3,033)
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period				(6,099)	(5,662)
Other comprehensive (loss) income, before reclassifications				4,308	(3,751)
Amounts reclassified from accumulated other comprehensive (loss) income				40	0
Other comprehensive (loss) income, before tax				4,348	(3,751)
Income tax expense (benefit)				(913)	787
Total other comprehensive income (loss)		327	(892)	3,435	(2,964)
Balance at end of period		$ (2,664)	$ (8,626)	$ (2,664)	$ (8,626)
[1]	The pre-tax amounts reclassified from accumulated other comprehensive loss are included in investment securities (loss) gain, net in the consolidated statements of income.
[2]	The pre-tax amounts reclassified from accumulated other comprehensive loss are included in the computation of net periodic pension cost

Employee Benefit Plans - Expens

Employee Benefit Plans - Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Summary of employee benefits charged to operating expenses
Payroll taxes	$ 256	$ 261	$ 871	$ 913
Medical plans	432	490	1,359	1,650
401k match and profit sharing	349	261	929	684
Periodic pension cost	358	470	1,073	1,280
Other	15	12	40	37
Total employee benefits	$ 1,410	$ 1,494	$ 4,272	$ 4,564

Employee Benefit Plans (Details

Employee Benefit Plans (Details) - USD ($)	3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Sep. 30, 2019	Dec. 31, 2018
Supplemental Executive Retirement Plan
Defined Benefit Plan Disclosure
Accrued liability	$ 560,000	$ 560,000	$ 320,000
Accrued expense	$ 80,000	$ 240,000	$ 320,000
Pension Benefits
Defined Benefit Plan Disclosure
Percentage of employer match		3.00%
Defined benefit plan contributions by employer percent		6.00%
Contribution to defined benefit plan		$ 1,600,000

Employee Benefit Plans - Net Pe

Employee Benefit Plans - Net Pension Cost (Details) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Components of net pension cost
Net periodic pension cost for the three and nine months ended September 30, (actual)		$ 358	$ 470	$ 1,073	$ 1,280
Pension Benefits
Components of net pension cost
Service cost - benefits earned during the year				1,431	1,707
Interest costs on projected benefit obligations	[1]			1,168	1,037
Expected return on plan assets	[1]			(1,467)	(1,327)
Expected administrative expenses	[1]			122	93
Amortization of prior service cost	[1]			79	79
Amortization of unrecognized net loss	[1]			0	140
Net periodic pension cost				1,333	1,729
Net periodic pension cost for the three and nine months ended September 30, (actual)		$ 358	$ 470	$ 1,073	$ 1,280
[1]	The components of net periodic pension cost other than the service cost component are included in other non-interest expense.

Earnings per Share - Stock Divi

Earnings per Share - Stock Dividend (Details)	Jul. 01, 2019
Earnings Per Share
Dividends Payable, Date to be Paid	Jul. 1, 2019
Special stock dividend, rate percent	4.00%
Special stock dividend, record date	Jun. 15, 2019

Earnings per Share - Components

Earnings per Share - Components (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Basic earnings per share:
Net income available to shareholders	$ 3,860	$ 3,098	$ 12,046	$ 8,095
Average shares outstanding	6,276,236	6,264,200	6,276,236	6,265,290
Basic earnings per share (in dollars per share)	$ 0.62	$ 0.49	$ 1.92	$ 1.29
Diluted earnings per share:
Net income available to shareholders	$ 3,860	$ 3,098	$ 12,046	$ 8,095
Average shares outstanding	6,276,236	6,264,200	6,276,236	6,265,290
Effect of dilutive stock options	0	6,617	0	6,740
Average shares outstanding including dilutive stock options	6,276,236	6,270,817	6,276,236	6,272,030
Diluted earnings per share (in dollars per share)	$ 0.62	$ 0.49	$ 1.92	$ 1.29

Earnings per Share - Anti-dilut

Earnings per Share - Anti-dilutive (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Option shares
Summary of anti-dilutive shares
Anti-dilutive shares	0	0	0	0

Earnings per Share - Repurchase

Earnings per Share - Repurchase Program (Details) $ in Millions	Sep. 18, 2019USD ($)
Repurchase Program
Earnings Per Share
Value of shares authorized for repurchase	$ 5

Fair Value Measurements - Mortg

Fair Value Measurements - Mortgage Servicing Rights - Summary (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Assets:
Available for sale debt securities, fair value	$ 181,270	$ 218,205
Mortgage servicing rights, fair value	2,575	2,931
Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Available for sale debt securities, fair value	995	1,952
Mortgage servicing rights, fair value	0	0
Assets, Total	63,239	62,456
Other Observable Inputs (Level 2)
Assets:
Available for sale debt securities, fair value	180,275	216,253
Mortgage servicing rights, fair value	0	0
Assets, Total	188,857	224,458
Significant Unobservable Inputs (Level 3)
Assets:
Available for sale debt securities, fair value	0	0
Mortgage servicing rights, fair value	2,575	2,931
Assets, Total	1,135,410	1,117,934
Recurring
Assets:
Assets, Total	183,858	221,148
Recurring | U.S. Treasury
Assets:
Available for sale debt securities, fair value	995	1,952
Recurring | U.S. government and federal agency obligations
Assets:
Available for sale debt securities, fair value	8,465	9,966
Recurring | Government sponsored enterprises
Assets:
Available for sale debt securities, fair value	22,798	43,335
Recurring | Obligations of states and political subdivisions
Assets:
Available for sale debt securities, fair value	29,424	40,386
Recurring | Mortgage-backed securities
Assets:
Available for sale debt securities, fair value	115,234	118,192
Recurring | Other debt securities
Assets:
Available for sale debt securities, fair value	3,051	3,000
Recurring | Bank issued trust preferred securities
Assets:
Available for sale debt securities, fair value	1,303	1,374
Recurring | Equity securities
Assets:
Available for sale debt securities, fair value	13	12
Recurring | Mortgage servicing rights (MSRs)
Assets:
Mortgage servicing rights, fair value	2,575	2,931
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Assets, Total	1,008	1,964
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasury
Assets:
Available for sale debt securities, fair value	995	1,952
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government and federal agency obligations
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government sponsored enterprises
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of states and political subdivisions
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other debt securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Bank issued trust preferred securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity securities
Assets:
Available for sale debt securities, fair value	13	12
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage servicing rights (MSRs)
Assets:
Mortgage servicing rights, fair value	0	0
Recurring | Other Observable Inputs (Level 2)
Assets:
Assets, Total	180,275	216,253
Recurring | Other Observable Inputs (Level 2) | U.S. Treasury
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Other Observable Inputs (Level 2) | U.S. government and federal agency obligations
Assets:
Available for sale debt securities, fair value	8,465	9,966
Recurring | Other Observable Inputs (Level 2) | Government sponsored enterprises
Assets:
Available for sale debt securities, fair value	22,798	43,335
Recurring | Other Observable Inputs (Level 2) | Obligations of states and political subdivisions
Assets:
Available for sale debt securities, fair value	29,424	40,386
Recurring | Other Observable Inputs (Level 2) | Mortgage-backed securities
Assets:
Available for sale debt securities, fair value	115,234	118,192
Recurring | Other Observable Inputs (Level 2) | Other debt securities
Assets:
Available for sale debt securities, fair value	3,051	3,000
Recurring | Other Observable Inputs (Level 2) | Bank issued trust preferred securities
Assets:
Available for sale debt securities, fair value	1,303	1,374
Recurring | Other Observable Inputs (Level 2) | Equity securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Other Observable Inputs (Level 2) | Mortgage servicing rights (MSRs)
Assets:
Mortgage servicing rights, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3)
Assets:
Assets, Total	2,575	2,931
Recurring | Significant Unobservable Inputs (Level 3) | U.S. Treasury
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | U.S. government and federal agency obligations
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | Government sponsored enterprises
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | Obligations of states and political subdivisions
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage-backed securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | Other debt securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | Bank issued trust preferred securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | Equity securities
Assets:
Available for sale debt securities, fair value	0	0
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage servicing rights (MSRs)
Assets:
Mortgage servicing rights, fair value	$ 2,575	$ 2,931

Fair Value Measurements - Mor_2

Fair Value Measurements - Mortgage Servicing Rights - Level 3 (Details) - Recurring - Significant Unobservable Inputs (Level 3) - Mortgage servicing rights (MSRs) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Fair value of assets
Balance at beginning of period	$ 2,657	$ 2,813	$ 2,931	$ 2,713
Total (losses) or gains (realized/unrealized): Included in earnings	(170)	(8)	(543)	(40)
Total (losses) or gains (realized/unrealized): Included in other comprehensive income	0	0	0	0
Purchases	0	0	0	0
Sales	0	0	0	0
Issues	88	66	187	198
Settlements	0	0	0	0
Balance at end of period	$ 2,575	$ 2,871	$ 2,575	$ 2,871

Fair Value Measurements - Mor_3

Fair Value Measurements - Mortgage Servicing Rights - Other (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Fair Value Measurements
Impaired loans with a specific allowance	$ 5,618,000		$ 5,618,000		$ 6,385,000
Specific allowance related to impaired loans	708,000		708,000		$ 1,194,000
Collateral dependent impaired loans
Fair Value Measurements
Impaired loans with a specific allowance	2,900,000	$ 4,200,000	2,900,000	$ 4,200,000
Specific allowance related to impaired loans	398,000	891,000	398,000	891,000
Impaired financing receivable charge offs	$ 77,000	$ 53,000	$ 204,000	$ 303,000

Fair Value Measurements - Other

Fair Value Measurements - Other Real Estate Owned and Repossessed Assets (Details) - Nonrecurring - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Total Fair Value
Fair Value Measurements
Impaired loans	$ 2,480	$ 3,262	$ 2,480	$ 3,262
Other real estate and repossessed assets	12,878	13,373	12,878	13,373
Total Fair Value | Commercial, financial, and agricultural
Fair Value Measurements
Impaired loans	529	1,549	529	1,549
Total Fair Value | Commercial real estate | Construction
Fair Value Measurements
Impaired loans	145	158	145	158
Total Fair Value | Commercial real estate | Mortgages
Fair Value Measurements
Impaired loans	860	399	860	399
Total Fair Value | Residential real estate | Mortgages
Fair Value Measurements
Impaired loans	933	1,156	933	1,156
Total Fair Value | Installment and other consumer
Fair Value Measurements
Impaired loans	13	0	13	0
Total Gains (Losses)
Fair Value Measurements
Gains (losses) on impaired loans	(77)	(53)	(204)	(303)
Gains (losses) on other real estate owned and repossessed assets	10	(3)	(166)	(29)
Total Gains (Losses) | Commercial, financial, and agricultural
Fair Value Measurements
Gains (losses) on impaired loans	(22)	(21)	(132)	(187)
Total Gains (Losses) | Commercial real estate | Construction
Fair Value Measurements
Gains (losses) on impaired loans	0	0	0	(27)
Total Gains (Losses) | Commercial real estate | Mortgages
Fair Value Measurements
Gains (losses) on impaired loans	(6)	0	(15)	(20)
Total Gains (Losses) | Residential real estate | Mortgages
Fair Value Measurements
Gains (losses) on impaired loans	(45)	(32)	(45)	(44)
Total Gains (Losses) | Installment and other consumer
Fair Value Measurements
Gains (losses) on impaired loans	(4)	0	(12)	(25)
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value Measurements
Impaired loans	0	0	0	0
Other real estate and repossessed assets	0	0	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial, financial, and agricultural
Fair Value Measurements
Impaired loans	0	0	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial real estate | Construction
Fair Value Measurements
Impaired loans	0	0	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial real estate | Mortgages
Fair Value Measurements
Impaired loans	0	0	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Residential real estate | Mortgages
Fair Value Measurements
Impaired loans	0	0	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Installment and other consumer
Fair Value Measurements
Impaired loans	0	0	0	0
Other Observable Inputs (Level 2)
Fair Value Measurements
Impaired loans	0	0	0	0
Other real estate and repossessed assets	0	0	0	0
Other Observable Inputs (Level 2) | Commercial, financial, and agricultural
Fair Value Measurements
Impaired loans	0	0	0	0
Other Observable Inputs (Level 2) | Commercial real estate | Construction
Fair Value Measurements
Impaired loans	0	0	0	0
Other Observable Inputs (Level 2) | Commercial real estate | Mortgages
Fair Value Measurements
Impaired loans	0	0	0	0
Other Observable Inputs (Level 2) | Residential real estate | Mortgages
Fair Value Measurements
Impaired loans	0	0	0	0
Other Observable Inputs (Level 2) | Installment and other consumer
Fair Value Measurements
Impaired loans	0	0	0	0
Significant Unobservable Inputs (Level 3)
Fair Value Measurements
Impaired loans	2,480	3,262	2,480	3,262
Other real estate and repossessed assets	12,878	13,373	12,878	13,373
Significant Unobservable Inputs (Level 3) | Commercial, financial, and agricultural
Fair Value Measurements
Impaired loans	529	1,549	529	1,549
Significant Unobservable Inputs (Level 3) | Commercial real estate | Construction
Fair Value Measurements
Impaired loans	145	158	145	158
Significant Unobservable Inputs (Level 3) | Commercial real estate | Mortgages
Fair Value Measurements
Impaired loans	860	399	860	399
Significant Unobservable Inputs (Level 3) | Residential real estate | Mortgages
Fair Value Measurements
Impaired loans	933	1,156	933	1,156
Significant Unobservable Inputs (Level 3) | Installment and other consumer
Fair Value Measurements
Impaired loans	$ 13	$ 0	$ 13	$ 0

Fair Value of Financial Instr_3

Fair Value of Financial Instruments - Summary (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Assets:
Cash and due from banks	$ 22,856	$ 23,687
Federal funds sold and overnight interest-bearing deposits	21,559	18,396
Certificates of deposit in other banks	11,601	12,247
Available for sale securities	181,270	218,205
Mortgage servicing rights	2,575	2,931
Accrued interest receivable	6,215	6,162
Deposits:
Non-interest bearing demand	284,452	262,857
Savings, interest checking and money market	550,350	614,040
Operating lease liabilities	2,285
Accrued interest payable	1,020	1,035
Carrying Amount
Assets:
Cash and due from banks	22,856	23,687
Federal funds sold and overnight interest-bearing deposits	21,559	18,396
Certificates of deposit in other banks	11,601	12,247
Available for sale securities	181,270	218,205
Other investment securities	6,210	5,675
Loans, net	1,139,340	1,134,975
Mortgage servicing rights	2,575	2,931
Cash surrender value - life insurance	2,385	2,542
Accrued interest receivable	6,215	6,162
Assets, Total	1,394,011	1,424,820
Deposits:
Non-interest bearing demand	284,452	262,857
Savings, interest checking and money market	550,350	614,040
Time deposits	302,605	321,571
Federal funds purchased and securities sold under agreements to repurchase	27,191	24,647
Operating lease liabilities	2,285
Federal Home Loan Bank advances and other borrowings	106,980	95,153
Subordinated notes	49,486	49,486
Accrued interest payable	1,020	1,035
Liabilities, Total	1,324,369	1,368,789
Total Fair Value
Assets:
Cash and due from banks	22,856	23,687
Federal funds sold and overnight interest-bearing deposits	21,559	18,396
Certificates of deposit in other banks	11,601	12,247
Available for sale securities	181,270	218,205
Other investment securities	6,210	5,675
Loans, net	1,132,835	1,115,003
Mortgage servicing rights	2,575	2,931
Cash surrender value - life insurance	2,385	2,542
Accrued interest receivable	6,215	6,162
Assets, Total	1,387,506	1,404,848
Deposits:
Non-interest bearing demand	284,452	262,857
Savings, interest checking and money market	550,350	614,040
Time deposits	303,092	318,949
Federal funds purchased and securities sold under agreements to repurchase	27,191	24,647
Operating lease liabilities	2,285
Federal Home Loan Bank advances and other borrowings	93,751	94,326
Subordinated notes	43,393	45,749
Accrued interest payable	1,020	1,035
Liabilities, Total	1,305,534	1,361,603
Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Cash and due from banks	22,856	23,687
Federal funds sold and overnight interest-bearing deposits	21,559	18,396
Certificates of deposit in other banks	11,601	12,247
Available for sale securities	995	1,952
Other investment securities	13	12
Loans, net	0	0
Mortgage servicing rights	0	0
Cash surrender value - life insurance	0	0
Accrued interest receivable	6,215	6,162
Assets, Total	63,239	62,456
Deposits:
Non-interest bearing demand	284,452	262,857
Savings, interest checking and money market	550,350	614,040
Time deposits	0	0
Federal funds purchased and securities sold under agreements to repurchase	27,191	24,647
Operating lease liabilities	0
Federal Home Loan Bank advances and other borrowings	0	0
Subordinated notes	0	0
Accrued interest payable	1,020	1,035
Liabilities, Total	863,013	902,579
Other Observable Inputs (Level 2)
Assets:
Cash and due from banks	0	0
Federal funds sold and overnight interest-bearing deposits	0	0
Certificates of deposit in other banks	0	0
Available for sale securities	180,275	216,253
Other investment securities	6,197	5,663
Loans, net	0	0
Mortgage servicing rights	0	0
Cash surrender value - life insurance	2,385	2,542
Accrued interest receivable	0	0
Assets, Total	188,857	224,458
Deposits:
Non-interest bearing demand	0	0
Savings, interest checking and money market	0	0
Time deposits	0	0
Federal funds purchased and securities sold under agreements to repurchase	0	0
Operating lease liabilities	2,285
Federal Home Loan Bank advances and other borrowings	93,751	94,326
Subordinated notes	43,393	45,749
Accrued interest payable	0	0
Liabilities, Total	139,429	140,075
Significant Unobservable Inputs (Level 3)
Assets:
Cash and due from banks	0	0
Federal funds sold and overnight interest-bearing deposits	0	0
Certificates of deposit in other banks	0	0
Available for sale securities	0	0
Other investment securities	0	0
Loans, net	1,132,835	1,115,003
Mortgage servicing rights	2,575	2,931
Cash surrender value - life insurance	0	0
Accrued interest receivable	0	0
Assets, Total	1,135,410	1,117,934
Deposits:
Non-interest bearing demand	0	0
Savings, interest checking and money market	0	0
Time deposits	303,092	318,949
Federal funds purchased and securities sold under agreements to repurchase	0	0
Operating lease liabilities	0
Federal Home Loan Bank advances and other borrowings	0	0
Subordinated notes	0	0
Accrued interest payable	0	0
Liabilities, Total	$ 303,092	$ 318,949

Commitments and Contingencies -

Commitments and Contingencies - Contractual Amounts (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Contractual amount of off-balance-sheet financial instruments
Total contractual amount of off-balance-sheet financial instruments	$ 325,890	$ 351,968
Commitments to extend credit
Contractual amount of off-balance-sheet financial instruments
Total contractual amount of off-balance-sheet financial instruments	246,058	267,314
Commitments to originate residential first and second mortgage loans
Contractual amount of off-balance-sheet financial instruments
Total contractual amount of off-balance-sheet financial instruments	9,582	1,759
Standby letters of credit
Contractual amount of off-balance-sheet financial instruments
Total contractual amount of off-balance-sheet financial instruments	$ 70,250	$ 82,895

Commitments and Contingencies_2

Commitments and Contingencies - Other (Details)	9 Months Ended
	Sep. 30, 2019
Minimum
Commitments and Contingencies
Remaining term of conditional commitment	1 month
Maximum
Commitments and Contingencies
Remaining term of conditional commitment	5 years