Loans and Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2014 |
Loans and Leases Receivable Disclosure [Abstract] | |
Loans and Allowance for Loan Losses | | -2 | Loans and Allowance for Loan Losses | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Loans |
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A summary of loans, by major class within the Company’s loan portfolio, at December 31, 2014 and 2013 is as follows: |
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(in thousands) | | 2014 | | | 2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Commercial, financial, and agricultural | | $ | 154,834 | | | $ | 141,845 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate construction - residential | | | 18,103 | | | | 21,008 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate construction - commercial | | | 48,822 | | | | 55,076 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate mortgage - residential | | | 247,117 | | | | 225,630 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate mortgage - commercial | | | 372,321 | | | | 375,686 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Installment and other consumer | | | 20,016 | | | | 20,302 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Total loans | | $ | 861,213 | | | $ | 839,547 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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The Bank grants real estate, commercial, installment, and other consumer loans to customers located within the communities surrounding Jefferson City, Columbia, Clinton, Warsaw, Springfield, Branson and Lee’s Summit, Missouri. 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 vehicles. At December 31, 2014, loans with a carrying value of $411.8 million, or $405.5 million fair value, were pledged to the Federal Home Loan Bank as collateral for borrowings and letters of credit. |
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The following is a summary of loans to directors and executive officers or to entities in which such individuals had a beneficial interest of the Company, are summarized as follows: |
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(in thousands) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Balance at December 31, 2013 | | $ | 4,837 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
New loans | | | 478 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Amounts collected | | | (375 | ) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Balance at December 31, 2014 | | $ | 4,940 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Such loans were made in the normal course of business on substantially the same terms, including interest rates and collateral requirements, as those prevailing at the same time for comparable transactions with other persons, and did not involve more than the normal risk of collectability or present unfavorable features. |
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Allowance for loan losses |
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The following is a summary of the allowance for loan losses for the years ended December 31, 2014, 2013, and 2012: |
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(in thousands) | ​ | ​ | Commercial, | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Installment | ​ | ​ | Un- | ​ | ​ | Total | ​ | | | | | | | | |
Financial, & | Construction - | Construction - | Mortgage - | Mortgage - | Loans to | allocated | | | | | | | | |
Agricultural | Residential | Commercial | Residential | Commercial | Individuals | | | | | | | | | |
Balance at December 31, 2011 | ​ | ​ | ​ | $ |     1,804 | ​ | ​ | ​ | ​ | $ |        1,188 | ​ | ​ | ​ | ​ | $ |        1,562 | ​ | ​ | ​ | ​ | $ |     3,251 | ​ | ​ | ​ | ​ | $ |     5,734 | ​ | ​ | ​ | ​ | $ |       267 | ​ | ​ | ​ | ​ | $ |        3 | ​ | ​ | ​ | ​ | $ |  13,809 | ​ | ​ | | | | | | | | |
Additions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Provision for loan losses | ​ | ​ | ​ | ​ | 1,732 | ​ | ​ | ​ | ​ | ​ | -523 | ​ | ​ | ​ | ​ | ​ | 126 | ​ | ​ | ​ | ​ | ​ | 955 | ​ | ​ | ​ | ​ | ​ | 6,318 | ​ | ​ | ​ | ​ | ​ | 293 | ​ | ​ | ​ | ​ | ​ | -1 | ​ | ​ | ​ | ​ | ​ | 8,900 | ​ | ​ | | | | | | | | |
Deductions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Loans charged off | ​ | ​ | ​ | ​ | 1,760 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 977 | ​ | ​ | ​ | ​ | ​ | 5,466 | ​ | ​ | ​ | ​ | ​ | 586 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 8,789 | ​ | ​ | | | | | | | | |
Less recoveries on loans | ​ | ​ | ​ | ​ | -161 | ​ | ​ | ​ | ​ | ​ | -67 | ​ | ​ | ​ | ​ | ​ | -23 | ​ | ​ | ​ | ​ | ​ | -158 | ​ | ​ | ​ | ​ | ​ | -248 | ​ | ​ | ​ | ​ | ​ | -265 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -922 | ​ | ​ | | | | | | | | |
Net loans charged off | ​ | ​ | ​ | ​ | 1,599 | ​ | ​ | ​ | ​ | ​ | -67 | ​ | ​ | ​ | ​ | ​ | -23 | ​ | ​ | ​ | ​ | ​ | 819 | ​ | ​ | ​ | ​ | ​ | 5,218 | ​ | ​ | ​ | ​ | ​ | 321 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 7,867 | ​ | ​ | | | | | | | | |
Balance at December 31, 2012 | ​ | ​ | ​ | $ | 1,937 | ​ | ​ | ​ | ​ | $ | 732 | ​ | ​ | ​ | ​ | $ | 1,711 | ​ | ​ | ​ | ​ | $ | 3,387 | ​ | ​ | ​ | ​ | $ | 6,834 | ​ | ​ | ​ | ​ | $ | 239 | ​ | ​ | ​ | ​ | $ | 2 | ​ | ​ | ​ | ​ | $ | 14,842 | ​ | ​ | | | | | | | | |
Additions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Provision for loan losses | ​ | ​ | ​ | ​ | 992 | ​ | ​ | ​ | ​ | ​ | 318 | ​ | ​ | ​ | ​ | ​ | -452 | ​ | ​ | ​ | ​ | ​ | 273 | ​ | ​ | ​ | ​ | ​ | 622 | ​ | ​ | ​ | ​ | ​ | 272 | ​ | ​ | ​ | ​ | ​ | 5 | ​ | ​ | ​ | ​ | ​ | 2,030 | ​ | ​ | | | | | | | | |
Deductions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Loans charged off | ​ | ​ | ​ | ​ | 895 | ​ | ​ | ​ | ​ | ​ | 119 | ​ | ​ | ​ | ​ | ​ | 633 | ​ | ​ | ​ | ​ | ​ | 812 | ​ | ​ | ​ | ​ | ​ | 1,301 | ​ | ​ | ​ | ​ | ​ | 420 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 4,180 | ​ | ​ | | | | | | | | |
Less recoveries on loans | ​ | ​ | ​ | ​ | -340 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -5 | ​ | ​ | ​ | ​ | ​ | -111 | ​ | ​ | ​ | ​ | ​ | -368 | ​ | ​ | ​ | ​ | ​ | -203 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -1,027 | ​ | ​ | | | | | | | | |
Net loans charged off | ​ | ​ | ​ | ​ | 555 | ​ | ​ | ​ | ​ | ​ | 119 | ​ | ​ | ​ | ​ | ​ | 628 | ​ | ​ | ​ | ​ | ​ | 701 | ​ | ​ | ​ | ​ | ​ | 933 | ​ | ​ | ​ | ​ | ​ | 217 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 3,153 | ​ | ​ | | | | | | | | |
Balance at December 31, 2013 | ​ | ​ | ​ | $ | 2,374 | ​ | ​ | ​ | ​ | $ | 931 | ​ | ​ | ​ | ​ | $ | 631 | ​ | ​ | ​ | ​ | $ | 2,959 | ​ | ​ | ​ | ​ | $ | 6,523 | ​ | ​ | ​ | ​ | $ | 294 | ​ | ​ | ​ | ​ | $ | 7 | ​ | ​ | ​ | ​ | $ | 13,719 | ​ | ​ | | | | | | | | |
Additions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Provision for loan losses | ​ | ​ | ​ | ​ | 371 | ​ | ​ | ​ | ​ | ​ | -592 | ​ | ​ | ​ | ​ | ​ | 326 | ​ | ​ | ​ | ​ | ​ | -226 | ​ | ​ | ​ | ​ | ​ | -107 | ​ | ​ | ​ | ​ | ​ | 195 | ​ | ​ | ​ | ​ | ​ | 33 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | | | | | | | | |
Deductions: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Loans charged off | ​ | ​ | ​ | ​ | 1,285 | ​ | ​ | ​ | ​ | ​ | 349 | ​ | ​ | ​ | ​ | ​ | 491 | ​ | ​ | ​ | ​ | ​ | 408 | ​ | ​ | ​ | ​ | ​ | 2,890 | ​ | ​ | ​ | ​ | ​ | 405 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 5,828 | ​ | ​ | | | | | | | | |
Less recoveries on loans | ​ | ​ | ​ | ​ | -319 | ​ | ​ | ​ | ​ | ​ | -181 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -202 | ​ | ​ | ​ | ​ | ​ | -320 | ​ | ​ | ​ | ​ | ​ | -186 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | -1,208 | ​ | ​ | | | | | | | | |
Net loans charged off | ​ | ​ | ​ | ​ | 966 | ​ | ​ | ​ | ​ | ​ | 168 | ​ | ​ | ​ | ​ | ​ | 491 | ​ | ​ | ​ | ​ | ​ | 206 | ​ | ​ | ​ | ​ | ​ | 2,570 | ​ | ​ | ​ | ​ | ​ | 219 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 4,620 | ​ | ​ | | | | | | | | |
Balance at December 31, 2014 | ​ | ​ | ​ | $ | 1,779 | ​ | ​ | ​ | ​ | $ | 171 | ​ | ​ | ​ | ​ | $ | 466 | ​ | ​ | ​ | ​ | $ | 2,527 | ​ | ​ | ​ | ​ | $ | 3,846 | ​ | ​ | ​ | ​ | $ | 270 | ​ | ​ | ​ | ​ | $ | 40 | ​ | ​ | ​ | ​ | $ | 9,099 | ​ | ​ | | | | | | | | |
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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. |
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The following table provides the balance in the allowance for loan losses at December 31, 2014 and 2013, and the related loan balance by impairment methodology. |
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(in thousands) | ​ | ​ | Commercial, | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Real Estate | ​ | ​ | Installment | ​ | ​ | Un- | ​ | ​ | Total | ​ | | | | | | | | |
Financial, and | Construction - | Construction - | Mortgage - | Mortgage - | Loans to | allocated | | | | | | | | |
Agricultural | Residential | Commercial | Residential | Commercial | Individuals | | | | | | | | | |
December 31, 2014 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Allowance for loan losses: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Individually evaluated for impairment | ​ | ​ | ​ | $ | 134 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 1,343 | ​ | ​ | ​ | ​ | $ | 246 | ​ | ​ | ​ | ​ | $ | 26 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 1,749 | ​ | ​ | | | | | | | | |
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 1,645 | ​ | ​ | ​ | ​ | ​ | 171 | ​ | ​ | ​ | ​ | ​ | 466 | ​ | ​ | ​ | ​ | ​ | 1,184 | ​ | ​ | ​ | ​ | ​ | 3,600 | ​ | ​ | ​ | ​ | ​ | 244 | ​ | ​ | ​ | ​ | ​ | 40 | ​ | ​ | ​ | ​ | ​ | 7,350 | ​ | ​ | | | | | | | | |
Total | ​ | ​ | ​ | $ | 1,779 | ​ | ​ | ​ | ​ | $ | 171 | ​ | ​ | ​ | ​ | $ | 466 | ​ | ​ | ​ | ​ | $ | 2,527 | ​ | ​ | ​ | ​ | $ | 3,846 | ​ | ​ | ​ | ​ | $ | 270 | ​ | ​ | ​ | ​ | $ | 40 | ​ | ​ | ​ | ​ | $ | 9,099 | ​ | ​ | | | | | | | | |
Loans outstanding: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Individually evaluated for impairment | ​ | ​ | ​ | $ | 7,541 | ​ | ​ | ​ | ​ | $ | 1,750 | ​ | ​ | ​ | ​ | $ | 2,096 | ​ | ​ | ​ | ​ | $ | 7,878 | ​ | ​ | ​ | ​ | $ | 16,464 | ​ | ​ | ​ | ​ | $ | 234 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 35,963 | ​ | ​ | | | | | | | | |
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 147,293 | ​ | ​ | ​ | ​ | ​ | 16,353 | ​ | ​ | ​ | ​ | ​ | 46,726 | ​ | ​ | ​ | ​ | ​ | 239,239 | ​ | ​ | ​ | ​ | ​ | 355,857 | ​ | ​ | ​ | ​ | ​ | 19,782 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 825,250 | ​ | ​ | | | | | | | | |
Total | ​ | ​ | ​ | $ |    154,834 | ​ | ​ | ​ | ​ | $ |     18,103 | ​ | ​ | ​ | ​ | $ |     48,822 | ​ | ​ | ​ | ​ | $ |  247,117 | ​ | ​ | ​ | ​ | $ |  372,321 | ​ | ​ | ​ | ​ | $ |  20,016 | ​ | ​ | ​ | ​ | $ |        0 | ​ | ​ | ​ | ​ | $ |  861,213 | ​ | ​ | | | | | | | | |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
December 31, 2013 | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Allowance for loan losses: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Individually evaluated for impairment | ​ | ​ | ​ | $ | 721 | ​ | ​ | ​ | ​ | $ | 392 | ​ | ​ | ​ | ​ | $ | 304 | ​ | ​ | ​ | ​ | $ | 1,374 | ​ | ​ | ​ | ​ | $ | 1,989 | ​ | ​ | ​ | ​ | $ | 16 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 4,796 | ​ | ​ | | | | | | | | |
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 1,653 | ​ | ​ | ​ | ​ | ​ | 539 | ​ | ​ | ​ | ​ | ​ | 327 | ​ | ​ | ​ | ​ | ​ | 1,585 | ​ | ​ | ​ | ​ | ​ | 4,534 | ​ | ​ | ​ | ​ | ​ | 278 | ​ | ​ | ​ | ​ | ​ | 7 | ​ | ​ | ​ | ​ | ​ | 8,923 | ​ | ​ | | | | | | | | |
Total | ​ | ​ | ​ | $ | 2,374 | ​ | ​ | ​ | ​ | $ | 931 | ​ | ​ | ​ | ​ | $ | 631 | ​ | ​ | ​ | ​ | $ | 2,959 | ​ | ​ | ​ | ​ | $ | 6,523 | ​ | ​ | ​ | ​ | $ | 294 | ​ | ​ | ​ | ​ | $ | 7 | ​ | ​ | ​ | ​ | $ | 13,719 | ​ | ​ | | | | | | | | |
Loans outstanding: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | | | | | | | | |
Individually evaluated for impairment | ​ | ​ | ​ | $ | 4,015 | ​ | ​ | ​ | ​ | $ | 2,204 | ​ | ​ | ​ | ​ | $ | 6,615 | ​ | ​ | ​ | ​ | $ | 6,517 | ​ | ​ | ​ | ​ | $ | 15,422 | ​ | ​ | ​ | ​ | $ | 43 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 34,816 | ​ | ​ | | | | | | | | |
Collectively evaluated for impairment | ​ | ​ | ​ | ​ | 137,830 | ​ | ​ | ​ | ​ | ​ | 18,804 | ​ | ​ | ​ | ​ | ​ | 48,461 | ​ | ​ | ​ | ​ | ​ | 219,113 | ​ | ​ | ​ | ​ | ​ | 360,264 | ​ | ​ | ​ | ​ | ​ | 20,259 | ​ | ​ | ​ | ​ | ​ | 0 | ​ | ​ | ​ | ​ | ​ | 804,731 | ​ | ​ | | | | | | | | |
Total | ​ | ​ | ​ | $ | 141,845 | ​ | ​ | ​ | ​ | $ | 21,008 | ​ | ​ | ​ | ​ | $ | 55,076 | ​ | ​ | ​ | ​ | $ | 225,630 | ​ | ​ | ​ | ​ | $ | 375,686 | ​ | ​ | ​ | ​ | $ | 20,302 | ​ | ​ | ​ | ​ | $ | 0 | ​ | ​ | ​ | ​ | $ | 839,547 | ​ | ​ | | | | | | | | |
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Impaired loans |
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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 totaled $36.0 million and $35.1 million at December 31, 2014 and 2013, respectively, and are comprised of loans on non-accrual status and loans, which have been classified as troubled debt restructurings. Total impaired loans of $36.0 million at December 31, 2014 were individually evaluated for impairment compared to $35.1 million at December 31, 2013. The $35.1 million of total impaired loans individually evaluated for impairment as December 31, 2013, includes $34.8 million of impaired loans individually evaluated for impairment and $259,000 of non-accrual consumer loans that were collectively evaluated for impairment. Beginning in 2014, consumer non-accrual loans were included in the individually evaluated impairment calculations. |
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The net carrying value of impaired loans is generally based on the fair values of collateral obtained through independent appraisals or internal evaluations, or by discounting the total expected future cash flows. At December 31, 2014 and 2013, $15.6 million and $21.8 million, respectively, of impaired loans were evaluated based on the fair value less estimated selling costs of the loan’s collateral. Once the impairment amount is calculated, a specific reserve allocation is recorded. At December 31, 2014, $1.7 million of the Company’s allowance for loan losses was allocated to impaired loans totaling $36.0 million compared to $4.8 million of the Company's allowance for loan losses allocated to impaired loans totaling approximately $35.1 million at December 31, 2013. Management determined that $28.5 million, or 79%, of total impaired loans required no reserve allocation at December 31, 2014 compared to $18.8 million, or 54%, at December 31, 2013 primarily due to adequate collateral values, acceptable payment history and adequate cash flow ability. |
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The categories of impaired loans at December 31, 2014 and 2013 are as follows: |
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(in thousands) | | 2014 | | | 2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Non-accrual loans | | $ | 18,243 | | | $ | 23,680 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Troubled debt restructurings continuing to accrue interest | | | 17,720 | | | | 11,395 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total impaired loans | | $ | 35,963 | | | $ | 35,075 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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The following tables provide additional information about impaired loans at December 31, 2014 and 2013, respectively, segregated between loans for which an allowance has been provided and loans for which no allowance has been provided. |
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| | | | | Unpaid | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Recorded | | | Principal | | | Specific | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(in thousands) | | Investment | | | Balance | | | Reserves | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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31-Dec-14 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With no related allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, financial and agricultural | | $ | 6,021 | | | $ | 6,232 | | | $ | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction residential | | | 1,750 | | | | 2,259 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction commercial | | | 2,096 | | | | 2,319 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - residential | | | 3,213 | | | | 3,270 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 15,409 | | | | 18,950 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | 36 | | | | 36 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 28,525 | | | $ | 33,066 | | | $ | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With an allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, financial and agricultural | | $ | 1,520 | | | $ | 1,528 | | | $ | 134 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction residential | | | 0 | | | | 0 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction commercial | | | 0 | | | | 0 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - residential | | | 4,665 | | | | 3,546 | | | | 1,343 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 1,055 | | | | 1,171 | | | | 246 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | 198 | | | | 237 | | | | 26 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 7,438 | | | $ | 6,482 | | | $ | 1,749 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total impaired loans | | $ | 35,963 | | | $ | 39,548 | | | $ | 1,749 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
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|
| | | | | Unpaid | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Recorded | | | Principal | | | Specific | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(in thousands) | | Investment | | | Balance | | | Reserves | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
31-Dec-13 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With no related allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, financial and agricultural | | $ | 2,467 | | | $ | 2,593 | | | $ | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction residential | | | 44 | | | | 80 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction commercial | | | 6,101 | | | | 7,148 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - residential | | | 2,121 | | | | 2,654 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 7,817 | | | | 8,056 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | 259 | | | | 282 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 18,809 | | | $ | 20,813 | | | $ | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With an allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, financial and agricultural | | $ | 1,548 | | | $ | 1,607 | | | $ | 721 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction residential | | | 2,160 | | | | 2,331 | | | | 392 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction commercial | | | 514 | | | | 514 | | | | 304 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - residential | | | 4,396 | | | | 4,570 | | | | 1,374 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 7,605 | | | | 7,925 | | | | 1,989 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | 43 | | | | 45 | | | | 16 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 16,266 | | | $ | 16,992 | | | $ | 4,796 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total impaired loans | | $ | 35,075 | | | $ | 37,805 | | | $ | 4,796 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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The following table presents by class, information related to the average recorded investment and interest income recognized on impaired loans for the years ended December 31, 2014 and 2013: |
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|
|
| | 2014 | | | 2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | Interest | | | | | | Interest | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Average | | | Recognized | | | Average | | | Recognized | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Recorded | | | For the | | | Recorded | | | For the | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(in thousands) | | Investment | | | Period Ended | | | Investment | | | Period Ended | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With no related allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, financial and agricultural | | $ | 3,141 | | | $ | 94 | | | $ | 2,693 | | | $ | 108 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction residential | | | 610 | | | | 2 | | | | 80 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction commercial | | | 5,950 | | | | 0 | | | | 7,437 | | | | 6 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - residential | | | 3,517 | | | | 46 | | | | 2,612 | | | | 51 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 13,703 | | | | 400 | | | | 8,461 | | | | 170 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | 11 | | | | 0 | | | | 290 | | | | 3 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 26,932 | | | $ | 542 | | | $ | 21,573 | | | $ | 338 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With an allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, financial and agricultural | | $ | 1,773 | | | $ | 19 | | | $ | 1,677 | | | $ | 29 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction residential | | | 1,697 | | | | 0 | | | | 2,409 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction commercial | | | 42 | | | | 0 | | | | 514 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - residential | | | 5,118 | | | | 129 | | | | 4,596 | | | | 24 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 3,810 | | | | 11 | | | | 8,157 | | | | 113 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Consumer | | | 312 | | | | 0 | | | | 45 | | | | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 12,752 | | | $ | 159 | | | $ | 17,398 | | | $ | 166 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total impaired loans | | $ | 39,684 | | | $ | 701 | | | $ | 38,971 | | | $ | 504 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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|
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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 $542,000 and $338,000, for the years ended December 31, 2014 and 2013, respectively. The average recorded investment in impaired loans is calculated on a monthly basis during the years reported. Contractual interest lost on loans in non-accrual status was $1.1 million and $1.2 million, for the years ended December 31, 2014 and 2013, respectively. |
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Delinquent and Non-Accrual Loans |
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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. |
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The following table provides aging information for the Company’s past due and non-accrual loans at December 31, 2014 and 2013. |
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| | 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 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
31-Dec-14 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, Financial, and Agricultural | | $ | 149,366 | | | $ | 189 | | | $ | 0 | | | $ | 5,279 | | | $ | 154,834 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Construction - Residential | | | 16,352 | | | | 0 | | | | 0 | | | | 1,751 | | | | 18,103 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Construction - Commercial | | | 46,670 | | | | 0 | | | | 56 | | | | 2,096 | | | | 48,822 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Mortgage - Residential | | | 239,469 | | | | 3,229 | | | | 0 | | | | 4,419 | | | | 247,117 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Mortgage - Commercial | | | 366,653 | | | | 1,203 | | | | 0 | | | | 4,465 | | | | 372,321 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Installment and Other Consumer | | | 19,551 | | | | 230 | | | | 2 | | | | 233 | | | | 20,016 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 838,061 | | | $ | 4,851 | | | $ | 58 | | | $ | 18,243 | | | $ | 861,213 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
31-Dec-13 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, Financial, and Agricultural | | $ | 139,219 | | | $ | 942 | | | $ | 0 | | | $ | 1,684 | | | $ | 141,845 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Construction - Residential | | | 18,738 | | | | 66 | | | | 0 | | | | 2,204 | | | | 21,008 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Construction - Commercial | | | 48,230 | | | | 595 | | | | 0 | | | | 6,251 | | | | 55,076 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Mortgage - Residential | | | 217,268 | | | | 4,068 | | | | 129 | | | | 4,165 | | | | 225,630 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real Estate Mortgage - Commercial | | | 365,787 | | | | 725 | | | | 100 | | | | 9,074 | | | | 375,686 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Installment and Other Consumer | | | 19,695 | | | | 291 | | | | 14 | | | | 302 | | | | 20,302 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 808,937 | | | $ | 6,687 | | | $ | 243 | | | $ | 23,680 | | | $ | 839,547 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Credit Quality |
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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 that may result in the deterioration of the repayment exits or the Company’s credit position 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. 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. Loans are placed on non-accrual status when (1) deterioration in the financial condition of the borrower exists for which payment of full principal and interest is not expected, or (2) payment of principal or interest has been in default for a period of 90 days or more and the asset is not both well secured and in the process of collection. Subsequent interest payments received on such 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. |
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The following table presents the risk categories by class at December 31, 2014 and 2013. |
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(in thousands) | | Commercial, | | | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Installment | | | Total | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Financial, & | Construction - | Construction - | Mortgage - | Mortgage - | and other | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Agricultural | Residential | Commercial | Residential | Commercial | Consumer | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
At December 31, 2014 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Watch | | $ | 13,651 | | | $ | 1,103 | | | $ | 4,757 | | | $ | 27,172 | | | $ | 18,191 | | | $ | 199 | | | $ | 65,073 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Substandard | | | 3,188 | | | | 90 | | | | 1,211 | | | | 6,583 | | | | 16,101 | | | | 139 | | | | 27,312 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Non-accrual | | | 5,279 | | | | 1,751 | | | | 2,096 | | | | 4,419 | | | | 4,465 | | | | 233 | | | | 18,243 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 22,118 | | | $ | 2,944 | | | $ | 8,064 | | | $ | 38,174 | | | $ | 38,757 | | | $ | 571 | | | $ | 110,628 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
At December 31, 2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Watch | | $ | 15,016 | | | $ | 2,007 | | | $ | 6,111 | | | $ | 26,331 | | | $ | 23,662 | | | $ | 388 | | | $ | 73,515 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Substandard | | | 7,553 | | | | 92 | | | | 1,403 | | | | 8,579 | | | | 14,510 | | | | 281 | | | | 32,418 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Non-accrual | | | 1,684 | | | | 2,204 | | | | 6,251 | | | | 4,165 | | | | 9,074 | | | | 302 | | | | 23,680 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | $ | 24,253 | | | $ | 4,303 | | | $ | 13,765 | | | $ | 39,075 | | | $ | 47,246 | | | $ | 971 | | | $ | 129,613 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Troubled Debt Restructurings |
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At December 31, 2014, loans classified as troubled debt restructurings (TDRs) totaled $19.3 million, of which $1.6 million were on non-accrual status and $17.7 million were on accrual status. At December 31, 2013, loans classified as troubled debt restructurings (TDRs) totaled $21.5 million, of which $10.1 million were on non-accrual status and $11.4 million were on accrual status. 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 $1.0 million and $2.2 million related to TDRs were allocated to the allowance for loan losses at December 31, 2014 and 2013, respectively. |
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The following table summarizes loans that were modified as TDRs during the years ended December 31, 2014 and 2013. |
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| | 2014 | | | 2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Recorded Investment (1) | | | Recorded Investment (1) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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(in thousands) | | Number of | | | Pre- | | | Post- | | | Number of | | | Pre- | | | Post- | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Contracts | Modification | Modification | Contracts | Modification | Modification | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Troubled Debt Restructurings | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Commercial, financial and agricultural | | | 3 | | | $ | 244 | | | $ | 208 | | | | 0 | | | $ | 0 | | | $ | 0 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate mortgage - residential | | | 1 | | | | 1,256 | | | | 1,170 | | | | 3 | | | | 2,156 | | | | 1,992 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate mortgage - commercial | | | 0 | | | | 0 | | | | 0 | | | | 1 | | | | 1,282 | | | | 1,282 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | | 4 | | | $ | 1,500 | | | $ | 1,378 | | | | 4 | | | $ | 3,438 | | | $ | 3,274 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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(1)Â 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. |
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The Company’s portfolio of loans classified as TDRs include concessions such as interest rates below the current market rate, deferring principal payments, and extending maturity dates. Once a loan becomes a TDR, it will continue to be reported as a TDR until it is ultimately repaid in full, charged-off, or the collateral for the loan is foreclosed and sold. The Company considers a loan in TDR status in default when the borrower’s payment according to the modified terms is at least 90 days past due or has defaulted due to expiration of the loan’s maturity date. Four loans were modified in each of the years ending December 31, 2014 and 2013 meeting the TDR criteria. There were two loans modified as a TDR that defaulted during the year December 31, 2014, and within twelve months of their modification date compared to no loans during the year ended December 31, 2013. |