The First Bancshares, Inc. (FBMS) 10-K 16 Mar 20 2019 FY Annual report Financial data

Document And Entity Information

Document And Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2019	Mar. 06, 2020	Jun. 30, 2019
Document And Entity Information
Document Type	10-K
Document Period End Date	Dec. 31, 2019
Entity Registrant Name	FIRST BANCSHARES INC /MS/
Entity Central Index Key	0000947559
Trading Symbol	FBMS
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		18,851,955
Entity Public Float			$ 492,335,524
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Entity Well-known Seasoned Issuer	No
Document Fiscal Period Focus	FY
Amendment Flag	false
Entity Voluntary Filers	No

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
ASSETS
Cash and due from banks	$ 89,736	$ 71,356
Interest-bearing deposits with banks	79,128	87,751
Total cash and cash equivalents	168,864	159,107
Held-to-maturity securities (fair value of $0 in 2019 and $7,028 in 2018)	0	6,000
Debt securities available-for-sale securities	765,087	492,224
Other securities	26,690	16,704
Total securities	791,777	514,928
Loans held for sale	10,810	4,838
Loans, net of allowance for loan losses of $13,908 in 2019 and $10,065 in 2018	2,586,450	2,050,357
Interest receivable	14,802	10,778
Premises and equipment	104,980	74,783
Cash surrender value of life insurance	59,572	50,796
Goodwill	158,572	89,750
Other real estate owned	7,299	10,869
Other assets	38,737	37,780
Total assets	3,941,863	3,003,986
Deposits:
Noninterest-bearing	723,208	570,148
Interest-bearing	2,353,325	1,887,311
Total deposits	3,076,533	2,457,459
Interest payable	2,508	1,519
Borrowed funds	214,319	85,500
Subordinated debentures	80,678	80,521
Other liabilities	24,167	15,733
Total liabilities	3,398,205	2,640,732
Stockholders' Equity:
Common stock, par value $1 per share: 40,000,000 shares authorized; 18,996,948 shares issued in 2019, 40,000,000 shares authorized and 14,857,092 shares issued in 2018, respectively	18,997	14,857
Additional paid-in capital	409,805	278,659
Retained earnings	110,460	71,998
Accumulated other comprehensive income (loss)	10,089	(1,796)
Treasury stock, at cost (194,682 shares - 2019; 26,494 shares - 2018)	(5,693)	(464)
Total stockholders' equity	543,658	363,254
Total liabilities and stockholders' equity	$ 3,941,863	$ 3,003,986

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
CONSOLIDATED BALANCE SHEETS
Held-to-maturity Securities, Fair Value	$ 0	$ 7,028
Allowance for loan losses	$ (13,908)	$ (10,065)
Common stock, par value	$ 1	$ 1
Common stock, shares authorized	40,000,000	40,000,000
Common stock, shares issued	18,996,948	14,857,092
Treasury stock, shares	194,682	26,494

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
INTEREST INCOME:
Interest and fees on loans	$ 128,858	$ 86,822	$ 56,826
Interest and dividends on securities:
Taxable interest and dividends	14,244	9,020	6,341
Tax exempt interest	3,566	2,939	2,350
Interest on federal funds sold	7	206	390
Interest on deposits in banks	1,854	991	162
Total interest income	148,529	99,978	66,069
INTEREST EXPENSE:
Interest on deposits	19,763	10,785	5,261
Interest on borrowed funds	6,960	4,306	1,648
Total interest expense	26,723	15,091	6,909
Net interest income	121,806	84,887	59,160
Provision for loan losses	3,738	2,120	506
Net interest income after provision for loan losses	118,068	82,767	58,654
NON-INTEREST INCOME:
Interchange fees	8,024	5,247	3,758
Secondary market mortgage income	5,988	4,048	4,502
Bank owned life insurance income	1,414	937	739
Gain (loss) on sale of premises	13	(137)	(22)
Securities gains (losses)	122	334	(16)
Gain (loss) on sale of other real estate	(144)	60	(199)
Financial assistance and bank enterprise awards	947	2,098	0
Other	1,698	1,186	1,376
Total non-interest income	26,947	20,561	14,363
NON-INTEREST EXPENSE
Salaries	41,065	33,640	25,828
Employee benefits	6,610	4,662	4,720
Occupancy	8,775	6,818	4,828
Furniture and equipment	1,838	1,575	1,225
Supplies and printing	890	846	640
Professional and consulting fees	6,449	5,381	6,757
Marketing and public relations	859	508	406
FDIC and OCC assessments	632	1,382	1,252
ATM expense	2,821	3,241	1,188
Bank communications	1,367	2,014	1,296
Data processing	1,285	6,931	1,039
Other	15,978	9,313	6,267
Total non-interest expense	88,569	76,311	55,446
Income before income taxes	56,446	27,017	17,571
Income taxes	12,701	5,792	6,955
Net income available to common stockholders	$ 43,745	$ 21,225	$ 10,616
Earnings per share:
Basic	$ 2.57	$ 1.63	$ 1.12
Diluted	$ 2.55	$ 1.62	$ 1.11
Service charges on deposit accounts
NON-INTEREST INCOME:
Other income	$ 7,838	$ 5,792	$ 3,601
Other service charges and fees
NON-INTEREST INCOME:
Other income	$ 1,047	$ 996	$ 624

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net income	$ 43,745	$ 21,225	$ 10,616
Unrealized gains/losses on securities:
Unrealized holding (loss)/gain arising during the period on available-for-sale securities	16,084	(1,484)	1,160
Reclassification adjustment for losses (gains) included net income	(122)	(334)	16
Unrealized holding (loss)/gain arising during the period on available-for-sale securities	15,962	(1,818)	1,176
Income tax benefit (expense)	(4,077)	460	(460)
Other comprehensive income (loss)	11,885	(1,358)	716
Comprehensive Income	$ 55,630	$ 19,867	$ 11,332

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)	Common Stock	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Treasury Stock	Total
Beginning Balance at Dec. 31, 2016	$ 9,018,000	$ 102,574,000	$ 44,477,000	$ (1,078,000)	$ (464,000)	$ 154,527,000
Beginning Balance (in shares) at Dec. 31, 2016	9,017,891				(26,494)
Net income	$ 0	0	10,616,000	0	$ 0	10,616,000
Other comprehensive income	0	0	0	716,000	0	716,000
Accumulated other comprehensive income due to statutory tax change	0	0	76,000	(76,000)	0	0
Cash dividend declared	0	0	(1,448,000)	0	0	(1,448,000)
Issuance of common shares	$ 2,013,000	56,350,000	0	0	0	58,363,000
Issuance of common shares (in shares)	2,012,500
Issuance of shares for GCCB acquisition	$ 90,000	2,159,000	0	0	0	2,249,000
Issuance of shares for GCCB acquisition (in shares)	89,591
Issuance of restricted stock grant	$ 84,000	(84,000)	0	0	0	0
Issuance of restricted stock grants (in shares)	84,286
Costs associated with capital raise	$ 0	(3,092,000)	0	0	0	(3,092,000)
Compensation cost on restricted stock	0	867,000	0	0	0	867,000
Repurchase of restricted stock for payment of taxes	$ (12,000)	(318,000)	0	0	0	(330,000)
Repurchase of restricted stock for payment of taxes (in shares)	(11,867)
Ending Balance at Dec. 31, 2017	$ 11,193,000	158,456,000	53,721,000	(438,000)	$ (464,000)	222,468,000
Ending Balance (in shares) at Dec. 31, 2017	11,192,401				(26,494)
Net income	$ 0	0	21,225,000	0	$ 0	21,225,000
Other comprehensive income	0	0	0	(1,358,000)	0	(1,358,000)
Cash dividend declared	0	0	(2,600,000)	0	0	(2,600,000)
Issuance of shares for Southwest acquisition	$ 1,134,000	34,871,000	0	0	0	36,005,000
Issuance of shares for Southwest acquisition (in shares)	1,134,010
Issuance of shares for Sunshine acquisition	$ 726,000	22,702,000	0	0	0	23,428,000
Issuance of shares for Sunshine acquisition (in shares)	726,461
Issuance of shares for FMB acquisition	$ 1,763,000	61,777,000	0	0	$ 0	63,540,000
Issuance of shares for FMB acquisition (in shares)	1,763,042				0
Issuance of restricted stock grant	$ 61,000	(61,000)	0	0	$ 0	0
Issuance of restricted stock grants (in shares)	60,984
Restricted stock grants Forfeited	$ (19,000)	19,000	0	0	$ 0	0
Restricted stock grants Forfeited (in shares)	(19,236)				0
Costs associated with capital raise	$ 0	(237,000)	0	0	$ 0	(237,000)
Compensation cost on restricted stock	0	1,154,000	0	0	0	1,154,000
ASU 2016-01 Implementation	0	0	(348,000)	0	0	(348,000)
Repurchase of restricted stock for payment of taxes	$ (1,000)	(22,000)	0	0	$ 0	(23,000)
Repurchase of restricted stock for payment of taxes (in shares)	(570)				0
Ending Balance at Dec. 31, 2018	$ 14,857,000	278,659,000	71,998,000	(1,796,000)	$ (464,000)	363,254,000
Ending Balance (in shares) at Dec. 31, 2018	14,857,092				(26,494)
Net income	$ 0	0	43,745,000	0	$ 0	43,745,000
Common stock repurchased	0	0	0	0	$ (5,229,000)	(5,229,000)
Common stock repurchased (in shares)					(168,188)
Other comprehensive income	0	0	0	11,885,000	$ 0	11,885,000
Cash dividend declared	0	0	(5,283,000)	0	0	(5,283,000)
Issuance of shares for FPB acquisition	$ 2,378,000	75,842,000	0	0	$ 0	78,220,000
Issuance of shares for FPB acquisition (in shares)	2,377,501				0
Issuance of shares for FFB acquisition	$ 1,683,000	53,785,000	0	0	$ 0	55,468,000
Issuance of shares for FFB acquisition (in shares)	1,682,889				0
Issuance of restricted stock grant	$ 89,000	(89,000)	0	0	$ 0	0
Issuance of restricted stock grants (in shares)	89,315				0
Restricted stock grants Forfeited	$ (8,000)	8,000	0	0	$ 0	0
Restricted stock grants Forfeited (in shares)	(7,931)				0
Compensation cost on restricted stock	$ 0	1,661,000	0	0	$ 0	1,661,000
Repurchase of restricted stock for payment of taxes	$ (2,000)	(61,000)	0	0	$ 0	(63,000)
Repurchase of restricted stock for payment of taxes (in shares)	(1,918)				0
Ending Balance at Dec. 31, 2019	$ 18,997,000	$ 409,805,000	$ 110,460,000	$ 10,089,000	$ (5,693,000)	$ 543,658,000
Ending Balance (in shares) at Dec. 31, 2019	18,996,948				(194,682,000)

CONSOLIDATED STATEMENTS OF CH_2

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
Dividends on common stock, per Share	$ 0.08	$ 0.08	$ 0.08	$ 0.07	$ 0.05	$ 0.05	$ 0.05	$ 0.05	$ 0.0375	$ 0.0375	$ 0.0375	$ 0.0375	$ 0.31	$ 0.20	$ 0.15

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 43,745	$ 21,225	$ 10,616
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	5,314	4,300	2,902
FHLB Stock dividends	(171)	(97)	(54)
Provision for loan losses	3,738	2,120	506
Deferred income taxes	912	2,523	6,446
Restricted stock expense	1,661	1,154	866
Increase in cash value of life insurance	(1,414)	(937)	(739)
Amortization and accretion, net, related to acquisitions	(1,791)	(680)	1,737
Loss/(Gain) on sale of land/bank premises/equipment	(13)	137	22
Securities (gain)/losses	(122)	(334)	16
Loss on sale/writedown of other real estate	680	342	892
Payments on operating leases	(898)	0	0
Residential loans originated and held for sale	(186,132)	(137,287)	(162,491)
Proceeds from sale of residential loans held for sale	180,120	137,293	163,661
Changes in:
Interest receivable	(1,203)	(671)	(715)
Other assets	1,157	2,401	1,838
Interest payable	914	144	30
Other liabilities	(1,797)	(133)	(3,935)
Net cash provided by operating activities	44,700	31,500	21,598
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of available-for-sale securities	(180,502)	(66,350)	(89,196)
Purchases of other securities	(11,085)	(8,644)	(2,891)
Proceeds from maturities and calls of available-for-sale securities	109,189	61,587	57,996
Proceeds from sales of securities available-for-sale	32,976	40,289	7,731
Proceeds from redemption of other securities	2,712	5,714	682
Increase in loans	(44,102)	(81,193)	(121,437)
Net additions to premises and equipment	(7,892)	(4,057)	(4,675)
Purchase of bank-owned life insurance	0	0	(469)
Proceeds from sale of other real estate owned	5,097	1,396	6,946
Proceeds from the sale of other assets	65	0	0
Cash received in excess of cash paid for acquisition	30,860	42,450	3,910
Net cash used in investing activities	(62,682)	(8,808)	(141,403)
CASH FLOWS FROM FINANCING ACTIVITIES:
(Decrease)/Increase in deposits	(67,821)	46,224	75,916
Proceeds from borrowed funds	364,715	105,000	198,800
Repayment of borrowed funds	(258,673)	(168,680)	(173,633)
Dividends paid on common stock	(5,190)	(2,557)	(1,416)
Net proceeds from issuance of stock	0	(237)	55,271
Cash paid to repurchase common stock	(5,229)	0	0
Repurchase of restricted stock for payment of taxes	(63)	(23)	(330)
Repayment of repurchase agreement	0	0	(5,000)
Issuance of subordinated debt, net	0	64,766	0
Net cash provided by financing activities	27,739	44,493	149,608
Net increase in cash and cash equivalents	9,757	67,185	29,803
Cash and cash equivalents at beginning of year	159,107	91,922	62,119
Cash and cash equivalents at end of year	168,864	159,107	91,922
Supplemental disclosures:
Interest	20,673	10,982	7,054
Income taxes, net of refunds	11,102	2,120	354
Non-cash activities:
Transfers of loans to other real estate	1,706	1,528	1,000
Stock Issued During Period, Value, Acquisitions			2,249
Dividends on restricted stock grants	93	43	33
Right-of-use assets obtained in exchange for operating lease liabilities	6,717	0	0
Restricted stock grants
Non-cash activities:
Issuance of restricted stock grants	89	61	84
Gulf Coast Community Bank
Non-cash activities:
Stock Issued During Period, Value, Acquisitions	0	0	2,249
Southwest acquisition
Non-cash activities:
Stock Issued During Period, Value, Acquisitions	0	36,005	0
Sunshine acquisition
Non-cash activities:
Stock Issued During Period, Value, Acquisitions	0	23,428	0
FMB Banking Corporation
Non-cash activities:
Stock Issued During Period, Value, Acquisitions	0	63,540	0
FPB acquisition
Non-cash activities:
Stock Issued During Period, Value, Acquisitions	78,220	0	0
FFB acquisition
Non-cash activities:
Stock Issued During Period, Value, Acquisitions	$ 55,468	$ 0	$ 0

NATURE OF BUSINESS

NATURE OF BUSINESS	12 Months Ended
	Dec. 31, 2019
NATURE OF BUSINESS
NATURE OF BUSINESS	NOTE A - NATURE OF BUSINESS The First Bancshares, Inc. (the “Company”) is a bank holding company whose business is primarily conducted by its wholly-owned subsidiary, The First, A National Banking Association (the “Bank”). The Bank provides a full range of banking services in its primary market area of Mississippi, Louisiana, Alabama, Florida and Georgia. The Company is regulated by the Federal Reserve Bank. Its subsidiary bank is subject to the regulation of the Office of the Comptroller of the Currency (OCC). The principal products produced and services rendered by the Company and are as follows: Commercial Banking – The Company provides a full range of commercial banking services to corporations and other business customers. Loans are provided for a variety of general corporate purposes, including financing for commercial and industrial projects, income producing commercial real estate, owner-occupied real estate and construction and land development. The Company also provides deposit services, including checking, savings and money market accounts and certificate of deposit as well as treasury management services. Consumer Banking – The Company provides mortgage banking services to consumers, including checking, savings and money market accounts as well as certificate of deposit and individual retirement accounts. In addition, the Company provides consumers with installment and real estate loans and lines of credit. Mortgage Banking – The Company provides residential mortgage banking services, including construction financing, for conventional and government insured home loans to be sold in the secondary market.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2019
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company and the Bank follow accounting principles generally accepted in the United States of America including, where applicable, general practices within the banking industry. 1. Principles of Consolidation The consolidated financial statements include the accounts of the Company and the Bank. All significant intercompany accounts and transactions have been eliminated. 2. Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, acquisition accounting, intangible assets, and deferred tax assets. 3. Cash and Due From Banks Included in cash and due from banks are legal reserve requirements which must be maintained on an average basis in the form of cash and balances due from the Federal Reserve. The reserve balance varies depending upon the types and amounts of deposits. At December 31, 2019, the required reserve balance on deposit with the Federal Reserve Bank was approximately $75.6 million. 4. Securities Investments in securities are accounted for as follows: Available-for-Sale Securities Securities classified as available-for-sale are those securities that are intended to be held for an indefinite period of time, but not necessarily to maturity. Any decision to sell a security classified as available-for-sale would be based on various factors, including movements in interest rates, liquidity needs, security risk assessments, changes in the mix of assets and liabilities and other similar factors. These securities are carried at their estimated fair value, and the net unrealized gain or loss is reported net of tax, as component of accumulated other comprehensive income (loss) in stockholders’ equity, until realized. Premiums and discounts are recognized in interest income using the interest method. Gains and losses on the sale of available-for-sale securities are determined using the adjusted cost of the specific security sold. Securities to be Held-to-Maturity Securities classified as held-to-maturity are those securities for which there is a positive intent and ability to hold to maturity. These securities are carried at cost adjusted for amortization of premiums and accretion of discounts, computed by the interest method. Trading Account Securities Trading account securities are those securities which are held for the purpose of selling them at a profit. There were no trading account securities on hand at December 31, 2019 and 2018. Equity Securities Equity securities are carried at fair value, with changes in fair value reported in net income. Equity securities without readily determinable fair values are carried at cost, minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment. There were no equity securities on hand at December 31, 2019 and 2018. Other Securities Other securities are carried at cost and are restricted in marketability. Other securities consist of investments in the Federal Home Loan Bank (FHLB), Federal Reserve Bank and First National Bankers’ Bankshares, Inc. Management reviews for impairment based on the ultimate recoverability of the cost basis. Shares of Federal Home Loan Bank (FHLB), Federal Reserve Bank and First National Bankers’ Bankshares, Inc. common stock are equity securities that do not have a readily determinable fair value because their ownership is restricted and lacks marketability. The common stock is carried at cost and evaluated for impairment. The Company’s investment in member bank stock is included in other securities in the accompanying consolidated balance sheets. Management reviews for impairment based on the ultimate recoverability of the cost basis. No other-than-temporary impairment was noted for the years ended December 31, 2019, 2018 and 2017. Interest Income Interest income includes amortization of purchase premium or discount. Premiums and discounts on securities are amortized on the level-yield method without anticipating prepayments, except for mortgage backed securities where prepayments are anticipated. Gains and losses on sales are recorded on the trade date and determined using the specific identification method. On January 1, 2018, the Company adopted the new accounting standard for Financial Instruments, which requires investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with the changes in fair value recognized in net income. The adoption of this guidance in 2018 resulted in a $348 thousand decrease to retained earnings. Other-than-Temporary Impairment (“OTTI”) Management evaluates investment securities for other-than-temporary impairment on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the income statement and 2) other-than-temporary impairment (OTTI) related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings. 5. Loans held for sale The Bank originates fixed rate single family, residential first mortgage loans on a presold basis. The Bank issues a rate lock commitment to a customer and concurrently “locks in” with a secondary market investor under a best efforts delivery mechanism. Such loans are sold without the mortgage servicing rights being retained by the Bank. The terms of the loan are dictated by the secondary investors and are transferred within several weeks of the Bank initially funding the loan. The Bank recognizes certain origination fees and service release fees upon the sale, which are included in other income on loans in the consolidated statements of income. Between the initial funding of the loans by the Bank and the subsequent purchase by the investor, the Bank carries the loans held for sale at the lower of cost or fair value in the aggregate as determined by the outstanding commitments from investors. 6. Loans Loans are carried at the principal amount outstanding, net of the allowance for loan losses. Interest income on loans is recognized based on the principal balance outstanding and the stated rate of the loan. Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment of the related loan yield using the interest method. A loan is considered impaired, in accordance with the impairment accounting guidance of Accounting Standards Codification (ASC) Section 310‑10‑35, Receivables, Subsequent Measurement , when, based upon current events and information, it is probable that the scheduled payments of principal and interest will not be collected in accordance with the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral values, and the probability of collecting scheduled payments of principal and interest when due. Generally, impairment is measured on a loan by loan basis using the fair value of the supporting collateral. Loans are generally placed on a non-accrual status, and the accrual of interest on such loan is discontinued, when principal or interest is past due ninety days or when specifically determined to be impaired unless the loan is well-secured and in the process of collection. When a loan is placed on non-accrual status, interest accrued but not received is generally reversed against interest income. If collectability is in doubt, cash receipts on non-accrual loans are used to reduce principal rather than recorded in interest income. Past due status is determined based upon contractual terms. Loans are returned to accrual status when the obligation is brought current or has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt. 7. Allowance for Loan Losses The allowance for loan losses is a valuation allowance reserved for probable incurred credit losses. A charge is taken against the allowance for loan losses when management believes the collectibility of the loan principal is confirmed to be unlikely. Subsequent recoveries, if any, are credited back to the allowance. Management evaluates the adequacy of the allowance for loan losses on a regular basis. These evaluations are based upon a periodic review of the historical loan loss experience, the nature and value of the loan portfolio, underlying collateral values, internal and independent loan reviews, and prevailing economic conditions. In addition, the OCC, as a part of the regulatory examination process, reviews the loan portfolio and the allowance for loan losses and may require changes in the allowance based upon information available at the time of the examination. The allowance consists of two components, a reserve for general pool (or formula pool) loans that are collectively evaluated for impairment, and a reserve for loans individually evaluated for impairment based on expected loan specific losses. These components represent an estimation performed pursuant to either ASC Topic 450, Contingencies , or ASC Subtopic 310‑10, Receivables . Loans individually evaluated for specific impairment are loans where management has determined that all amounts due according to the contractual terms of the loan agreement are unable to be collected. Loans that are considered to be troubled debt restructurings (TDRs) are individually evaluated for specific impairment as well. Factors considered in determining impairment include the present value of estimated future cash flows when there is a possibility of collecting principal and interest payments as scheduled, or by using the fair value less liquidation costs of collateral if it is expected that this is the only future possibility of repayment. The general pool (or formula pool) loan impairment is calculated using the Bank’s actual loan loss history segregated by portfolio segment grouping together loans with similar risk characteristics. The four major segments or “bands” are Commercial Real Estate, Commercial Non-Real Estate, Consumer Real Estate, and Consumer Non-Real Estate. These loss factors are also supplemented with other qualitative and economic factors including but not limited to current local and national economic conditions, changes in lending policies/management/staff, changes in credit concentrations, as well as trends in the volume and size of loans. The Bank also has acquired loan portfolios accounted for under the acquisition method of accounting. Within these portfolios are purchased credit impaired loans accounted for under ASC Topic 310‑30. Impairment may be determined specifically at an individual loan level, or estimated on various pools of loans having common risk characteristics. 8. Purchased Credit Impaired Loans (“PCI”) The Company purchases individual loans and groups of loans, some of which have shown evidence of credit deterioration since origination. These purchased credit impaired loans are recorded at the amount paid, such that there is no carryover of the seller’s allowance for loan losses. After acquisition, losses are recognized by an increase in the allowance for loan losses. Such purchased credit impaired loans are accounted for individually or aggregated into pools of loans based on common risk characteristics such as credit score, loan type, and date of origination. The Company estimates the amount and timing of expected cash flows for each loan or pool, and the expected cash flows in excess of amount paid is recorded as interest income over the remaining life of the loan or pool (accretable yield). The excess of the loan’s or pool’s contractual principal and interest over expected cash flows is not recorded (nonaccretable difference). Over the life of the loan or pool, expected cash flows continue to be estimated. If the present value of expected cash flows is less than the carrying amount, a loss is recorded as a provision for loan losses. If the present value of expected cash flows is greater than the carrying amount, it is recognized as part of future interest income. 9. Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation. The depreciation policy is to provide for depreciation over the estimated useful lives of the assets using the straight-line method. Repairs and maintenance expenditures are charged to operating expenses; major expenditures for renewals and betterments are capitalized and depreciated over their estimated useful lives. Upon retirement, sale, or other disposition of property and equipment, the cost and accumulated depreciation are eliminated from the accounts, and any gains or losses are included in operations. Building and related components are depreciated using the straight-line method with useful lives ranging from 10 to 39 years. Furniture, fixtures and equipment are depreciated using the straight-line (or accelerated) method with useful lives ranging from 3 to 10 years. 10. Other Real Estate Owned Other real estate owned consists of properties acquired through foreclosure and, as held for sale property, are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through completion of a deed in lieu of foreclosure or through similar legal agreement. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operation costs after acquisition are expensed. Any write-down to fair value required at the time of foreclosure is charged to the allowance for loan losses. Subsequent gains or losses on other real estate are reported in other operating income or expenses. At December 31, 2019 and 2018, other real estate owned totaled $7.3 million and $10.9 million, respectively. 11. Goodwill and Other Intangible Assets The change in goodwill during the year is as follows ($ in thousands): 2019 2018 2017 Beginning of year $ 89,750 $ 19,960 $ 13,776 Acquired goodwill 68,822 69,790 6,184 End of year $ 158,572 $ 89,750 $ 19,960 The Company performed the required annual impairment tests of goodwill and other intangibles as of December 1, 2019. The Company’s annual impairment test did not indicate impairment as of the testing date, and subsequent to that date, management is not aware of any events or changes in circumstances since the impairment test that would indicate that goodwill or other intangibles might be impaired. All goodwill is related to the Commercial/Retail Bank segment of the Company. The Company’s acquisition method recognized intangible assets, which are subject to amortization, and included in other assets in the accompanying consolidated balance sheets, are core deposit intangibles, amortized on a straight-line basis, over a 10 year average life. The definite-lived intangible assets had the following carrying values at December 31, 2019 and 2018: 2019 Gross Net Carrying Accumulated Carrying ($ in thousands) Amount Amortization Amount Core deposit intangibles $ 38,095 $ (7,802) $ 30,293 2018 Gross Net Carrying Accumulated Carrying Amount Amortization Amount Core deposit intangibles $ 27,752 $ (4,586) $ 23,166 The related amortization expense of business combination related intangible assets is as follows: ($ in thousands) Amount Aggregate amortization expense for the year ended December 31: 2017 $ 664 2018 1,656 2019 3,216 Amount Estimated amortization expense for the year ending December 31: 2020 $ 3,751 2021 3,681 2022 3,511 2023 3,466 2024 3,436 Thereafter 12,448 $ 30,293 12. Other Assets and Cash Surrender Value The Company invests in bank owned life insurance (BOLI). BOLI involves the purchase of life insurance by the Company on a chosen group of employees. The Company is the owner of the policies and, accordingly, the cash surrender value of the policies is reported as an asset, and increases in cash surrender values are reported as income. 13. Other Liabilities Financing costs related to the issuance of junior subordinated debentures are being amortized over the life of the instruments and are included in other liabilities. 14. Restricted Stock The Company accounts for stock based compensation in accordance with ASC Topic 718, Compensation - Stock Compensation . Compensation cost is recognized for all restricted stock granted based on the weighted average fair value stock price at the grant date. 15. Income Taxes The Company and its subsidiary file consolidated income tax returns. The subsidiary provides for income taxes on a separate return basis and remits to the Company amounts determined to be payable. Income taxes are provided for the tax effects of the transactions reported in the financial statements and consist of taxes currently payable plus deferred taxes related primarily to differences between the bases of assets and liabilities as measured by income tax laws and their bases as reported in the financial statements. The deferred tax assets and liabilities represent the future tax consequences of those differences, which will either be taxable or deductible when the assets and liabilities are recovered or settled. ASC Topic 740, Income Taxes, provides guidance on financial statement recognition and measurement of tax positions taken, or expected to be taken, in tax returns. ASC Topic 740 requires an evaluation of tax positions to determine if the tax positions will more likely than not be sustainable upon examination by the appropriate taxing authority. The Company, at December 31, 2019 and 2018, had no uncertain tax positions that qualify for either recognition or disclosure in the financial statements. 16. Advertising Costs Advertising costs are expensed in the period in which they are incurred. Advertising expense for the years ended December 31, 2019, 2018 and 2017, was $648 thousand, $382 thousand, and $336 thousand, respectively. 17. Statements of Cash Flows For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks, interest-bearing deposits with banks and federal funds sold. Generally, federal funds are sold for a one to seven day period. 18. Off-Balance Sheet Financial Instruments In the ordinary course of business, the subsidiary bank enters into off-balance sheet financial instruments consisting of commitments to extend credit, credit card lines and standby letters of credit. Such financial instruments are recorded in the financial statements when they are exercised. 19. Earnings Available to Common Stockholders Per share amounts are presented in accordance with ASC Topic 260, Earnings Per Share. Under ASC Topic 260, two per share amounts are considered and presented, if applicable. Basic per share data is calculated based on the weighted-average number of common shares outstanding during the reporting period. Diluted per share data includes any dilution from securities that may be converted into common stock, such as outstanding restricted stock. There were no anti-dilutive common stock equivalents excluded in the calculations. The following tables disclose the reconciliation of the numerators and denominators of the basic and diluted computations available to common stockholders ($ in thousands, except per share amount): For the Year Ended December 31, 2019 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 43,745 17,050,095 $ 2.57 Effect of dilutive shares: Restricted Stock — 133,990 $ 43,745 17,184,085 $ 2.55 For the Year Ended December 31, 2018 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 21,225 12,985,733 $ 1.63 Effect of dilutive shares: Restricted Stock — 108,192 $ 21,225 13,093,925 $ 1.62 For the Year Ended December 31, 2017 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 10,616 9,484,460 $ 1.12 Effect of dilutive shares: Restricted Stock — 76,800 $ 10,616 9,561,260 $ 1.11 The diluted per share amounts were computed by applying the treasury stock method. 20. Mergers and Acquisitions Business combinations are accounted for under ASC 805, “ Business Combinations ”, using the acquisition method of accounting. The acquisition method of accounting requires an acquirer to recognize the assets acquired and the liabilities assumed at the acquisition date measured at their fair values as of that date. To determine the fair values, the Company relies on third party valuations, such as appraisals, or internal valuations based on discounted cash flow analyses or other valuation techniques. Under the acquisition method of accounting, the Company identifies the acquirer and the closing date and applies applicable recognition principles and conditions. Acquisition-related costs are costs the Company incurs to effect a business combination. Those costs include advisory, legal, accounting, valuation, and other professional or consulting fees. Some other examples of costs to the Company include systems conversion, integration planning consultants and advertising costs. The Company accounts for acquisition-related costs as expenses in the periods in which the costs are incurred and the services are received, with one exception. The costs to issue debt or equity securities is recognized in accordance with other applicable GAAP. These acquisition-related costs have been and will be included within the Consolidated Statements of Income classified within the non-interest expense caption. 21. Investment in Limited Partnership The Company invested $4.4 million in a limited partnership that provides low-income housing. The Company is not the general partner and does not have controlling ownership. The carrying value of the Company’s investment in the limited partnership was $3.0 million at December 31, 2019 and $3.4 million at December 31, 2018, net of amortization, using the proportional method and is reported in other assets on the Consolidated Balance Sheets. The Company’s maximum exposure to loss is limited to the carrying value of its investment. The Company received $481 thousand in low-income housing tax credits during 2019, 2018 and 2017. 22. Reclassifications Certain reclassifications have been made to the 2018 and 2017 financial statements to conform with the classifications used in 2019. These reclassifications did not impact the Company’s consolidated financial condition or results of operations. 23. Accounting Standards Adoption of New Accounting Standards On January 1, 2019, the Company adopted ASU No. 2016-02 “Leases (Topic 842)” and subsequent amendments thereto, which requires the Company to recognize most leases on the balance sheet. We adopted the standard under the cumulative effect transition method as of the date of adoption and elected to apply several of the available practical expedients, including: · Carryover of historical lease determination and lease classification conclusions · Carryover of historical initial direct cost balances for existing leases · Accounting for lease and non-lease components in contracts in which the Company is a lessee as a single lease component Adoption of the leasing standard resulted in the recognition of operating right-of-use assets of $1.8 million, and operating lease liabilities of $1.8 million as of January 1, 2019. These amounts were determined based on the present value of remaining minimum lease payments, discounted using the Company’s incremental borrowing rate as of the date of adoption. There was no material impact to the timing of expense or income recognition in the Company’s Consolidated Income Statements. Prior periods were not restated and continue to be presented under legacy GAAP. Disclosures about the Company’s leasing activities are presented in Note I – Lease Obligations. In December 2019, the Company early adopted the amendments in ASU 2019-04 – Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825 Financial Instruments. These amendments clarifies and improves areas of guidance related to the recently issued standards on credit losses, hedging, and recognition and measurement. An entity may reclassify a debt security from held-to-maturity to available-for-sale if it is an eligible hedged item under the last-layer method. Any unrealized gain or loss at the transfer date would be recorded in accumulated other comprehensive income. The Company reclassified $6.3 million in securities with an unrealized holdings gain of $1.2 million from the held-to-maturity portfolio to the available-for-sale portfolio. New Accounting Standards That Have Not Yet Been Adopted In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. ASU 2019-12 removes specific exceptions to the general principles in Topic 740. This update simplifies the accounting for income taxes by eliminating certain exceptions to the guidance in ASC 740 related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition for deferred tax liabilities for outside basis differences. The ASU also improves financial statement preparers’ application for income tax-related guidance, simplifies GAAP for franchise taxes and enacted changes in tax laws or rates, and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. ASU 2019-12 will be effective on January 1, 2021 and is not expected to have a material impact on the Company’s Consolidated Financial Statements. In March 2019, the FASB issued ASU No. 2019-01, Leases: Codification Improvements. ASU 2019-01 provides clarification to increase transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and disclosing essential information about leasing transactions. This ASU (1) allows the fair value of the underlying asset reported by lessors that are not manufacturers or dealers to continue to be its cost and not fair value as measured under the fair value definition, (2) allows for the payments received from sales-type and direct financing leases to continue to be presented as results from investing activities in the statement of cash flows, and (3) clarifies that entities do not have to disclose the effect of the lease standard on adoption year interim amounts. ASU 2019-01 was effective on January 1, 2020 and will not have a material impact on the Company’s Consolidated Financial Statements. In August 2018, the FASB issued ASU No. 2018‑13, Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018‑11 eliminates, adds and modifies certain disclosure requirements for fair value measurements. Among the changes, entities will no longer be required to disclose the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, but will be required to disclose the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. ASU 2018‑13 is effective for interim and annual reporting periods beginning after December 15, 2019; early adoption is permitted. Entities are also allowed to elect for early adoption the eliminated or modified disclosure requirements and delay adoption of the new disclosure requirements until their effective date. The revised disclosure requirements will not have a material impact on the Company’s Consolidated Financial Statements. In August 2018, the FASB issued ASU No. 2018-15, “Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract.” These amendments align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by these amendments. The guidance is effective for public business entities for annual periods, including interim periods within those annual periods, beginning after December 15, 2019. Early adoption is permitted. ASU 2018-15 will not have a material impact on the Company’s Consolidated Financial Statements. In January 2017, the FASB issued ASU No. 2017-04, “Simplifying the Test for Goodwill Impairment.” ASU 2017-04 removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Under the amended guidance, a goodwill impairment charge will now be recognized for the amount by which the carrying value of a reporting unit exceeds its fair value, not to exceed the carrying amount of goodwill. This guidance is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted for any impairment tests performed after January 1, 2017. The impact will be determined in the future as goodwill impairment tests are conducted. In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). The FASB issued new guidance (Topic 326) to replace the incurred loss model for loans and other financial assets with an expected loss model, which is referred to as the current expected credit loss (CECL) model. The CECL model is applicable to the measurement of credit losses on financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) and net investments in certain leases recognized by a lessor. In addition, the amendments in Topic 326 require credit losses on available-for-sale debt securities to be presented as a valuation allowance rather than as a direct write-down. The standard will be effective for fiscal years beginning after December 15, 2019, including interim periods in those fiscal years. For calendar year-end SEC filers, it is effective for March 31, 2020 interim financial statements. For debt securities with other-than-temporary impairment (OTTI), the guidance will be applied prospectively. Existing purchased credit impaired (PCI) assets will be grandfathered and classified as purchased credit deteriorated (PCD) assets at the date of adoption. The assets will be grossed up for the allowance for expected credit losses for all PCD assets at the date of adoption and will continue to recog

BUSINESS COMBINATIONS

BUSINESS COMBINATIONS	12 Months Ended
	Dec. 31, 2019
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS	NOTE C – BUSINESS COMBINATIONS The Company accounts for its business combinations using the acquisition method. Acquisition accounting requires the total purchase price to be allocated to the estimated fair values of assets acquired and liabilities assumed, including certain intangible assets that must be recognized. Typically, this allocation results in the purchase price exceeding the fair value of net assets acquired, which is recorded as goodwill. Core deposit intangibles are a measure of the value of checking, money market and savings deposits acquired in business combinations accounted for under the acquisition method. Core deposit intangibles and other identified intangibles with finite useful lives are amortized using the straight-line method over their estimated useful lives of up to ten years. Loans that the Company acquires in connection with acquisitions are recorded at fair value with no carryover of the related allowance for credit losses. Fair value of the loans involves estimating the amount and timing of principal and interest cash flows expected to be collected on the loans and discounting those cash flows at a market rate of interest. The excess or deficit of cash flows expected at acquisition over the estimated fair value is referred to as the accretable discount or amortizable premium and is recognized into interest income over the remaining life of the loan. Acquisitions First Florida Bancorp, Inc. On November 1, 2019, the Company completed its acquisition of First Florida Bancorp, Inc. (“FFB”), and immediately thereafter merged its wholly-owned subsidiary, First Florida Bank with and into The First. The Company paid a total consideration of $89.5 million in stock to the FFB shareholders as consideration in the merger, which included 1,682,889 shares of Company common stock and approximately $34.1 million in cash. In connection with the acquisition, the Company recorded approximately $40.0 million of goodwill and $3.7 million of core deposit intangible. Goodwill is not deductible for income taxes. The core deposit intangible will be amortized to expense over 10 years. The Company acquired the $248.9 million loan portfolio at an estimated fair value discount of $1.7 million. The discount represents expected credit losses, adjusted for market interest rates and liquidity adjustments. Expenses associated with the acquisition were $2.4 million for the twelve month period ended December 31, 2019. These costs included system conversion and integrating operations charges and legal and consulting expenses, which have been expensed as incurred. The assets acquired and liabilities assumed and consideration paid in the acquisition of FFB were recorded at their estimated fair values based on management’s best estimates using information available at the date of the acquisition and are subject to adjustment for up to one year after the closing date of the acquisition. While the fair values are not expected to be materially different from the estimates, accounting guidance provides that an acquirer must recognize adjustments to provisional amounts that are identified during the measurement period, which runs through November 1, 2020, in the measurement period in which the adjustment amounts are determined. The acquirer must record in the financial statements, the effect on earnings of changes in depreciation, amortization or other income effects, if any, as a result of changes to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The items most susceptible to adjustment are the credit fair value adjustments on loans, core deposit intangible and the deferred income tax assets resulting from the acquisition. The following table summarizes the provisional fair values of the assets acquired and liabilities assumed on November 1, 2019 ($ in thousands): Purchase price: Cash and stock $ 89,520 Total purchase price 89,520 Identifiable assets: Cash and due from banks 50,169 Investments 122,084 Loans 247,263 Core deposit intangible 3,745 Personal and real property 4,991 Other assets 2,283 Total assets 430,535 Continued: Liabilities and equity: Deposits 373,908 Borrowed funds 5,527 Other liabilities 1,619 Total liabilities 381,054 Net assets acquired 49,481 Goodwill resulting from acquisition $ 40,039 The outstanding principal balance and the carrying amount of these loans included in the consolidated balance sheets at December 31, 2019, are as follows ($ in thousands): Outstanding principal balance $ 245,190 Carrying amount 243,601 PCI loans are discussed more fully under “Part II – Item 8. Financial Statements and Supplementary Data – Note E – “Loans” of this report. FPB Financial Corp. On March 2, 2019, the Company completed its acquisition of FPB Financial Corp., (“FPB”), and immediately thereafter merged its wholly-owned subsidiary, Florida Parishes Bank with and into The First. The Company paid a total consideration of $78.2 million in stock to the FPB shareholders as consideration in the merger, which included 2,377,501 shares of Company common stock and $5 thousand in cash. In connection with the acquisition, the Company recorded approximately $28.8 million of goodwill and $6.6 million of core deposit intangible. Goodwill is not deductible for income taxes. The core deposit intangible will be amortized to expense over 10 years. The Company acquired the $247.8 million loan portfolio at an estimated fair value discount of $3.1 million. The discount represents expected credit losses, adjusted for market interest rates and liquidity adjustments. Expenses associated with the acquisition were $2.3 million for the twelve months period ended December 31, 2019. These costs included system conversion and integrating operations charges and legal and consulting expenses, which have been expensed as incurred. The assets acquired and liabilities assumed and consideration paid in the acquisition of FPB were recorded at their estimated fair values based on management’s best estimates using information available at the date of the acquisition and are subject to adjustment for up to one year after the closing date of the acquisition. While the fair values are not expected to be materially different from the estimates, accounting guidance provides that an acquirer must recognize adjustments to provisional amounts that are identified during the measurement period, which runs through March 2, 2020, in the measurement period in which the adjustment amounts are determined. The acquirer must record in the financial statements, the effect on earnings of changes in depreciation, amortization or other income effects, if any, as a result of changes to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The items most susceptible to adjustment are the credit fair value adjustments on loans, core deposit intangible and the deferred income tax assets resulting from the acquisition. The following table summarizes the provisional fair values of the assets acquired and liabilities assumed on March 2, 2019 ($ in thousands): Purchase price: Cash and stock $ 78,225 Total purchase price 78,225 Continued: Identifiable assets: Cash and due from banks 14,748 Investments 93,604 Loans 244,665 Bank owned life insurance 7,312 Core deposit intangible 6,597 Personal and real property 17,358 Other assets 1,152 Total assets 385,436 Liabilities and equity: Deposits 312,453 Borrowed funds 17,250 Other liabilities 6,291 Total liabilities 335,994 Net assets acquired 49,442 Goodwill resulting from acquisition $ 28,783 The outstanding principal balance and the carrying amount of these loans included in the consolidated balance sheets at December 31, 2019, are as follows ($ in thousands): Outstanding principal balance $ 192,126 Carrying amount 190,034 PCI loans are discussed more fully under “Part II – Item 8. Financial Statements and Supplementary Data – Note E – “Loans” of this report. FMB Financial Corp. On November 1, 2018, the Company completed its acquisition of FMB Banking Corporation (“FMB), and immediately thereafter merged its wholly-owned subsidiary, Farmers & Merchants Bank, with and into The First. The Company paid a total consideration of $79.5 million to the former FMB shareholders including 1,763,042 shares of the Company’s common stock and $16.0 million in cash. In Connection with the acquisition, the Company recorded $36.4 million of goodwill and $10.2 million of core deposit intangible. Goodwill is not deductible for income taxes. The core deposit intangible will be amortized to expense over 10 years. The Company acquired FMB’s $325.5 million loan portfolio at an estimated fair value discount of $7.6 million. The discount represents expected credit losses, adjusted for market interest rates and liquidity adjustments. Expenses associated with the acquisition were $600 thousand and $4.2 million for the twelve month period ended December 31, 2019 and 2018, respectively. These costs included system conversion and integrating operations charges, as well as legal and consulting expenses, which have been expensed as incurred. The following table summarizes the finalized fair values of the assets acquired and liabilities assumed on November 1, 2018: Measurement As Initially Period ($ in thousands) Reported Adjustments As Adjusted Identifiable assets: Cash and due from banks $ 28,556 $ — $ 28,556 Investments 97,331 — 97,331 Loans 317,909 — 317,909 Bank owned life insurance 13,639 — 13,639 Core deposit intangible 10,203 — 10,203 Personal and real property 15,204 (254) 14,950 Other assets 2,902 152 3,054 Total assets 485,744 (102) 485,642 Liabilities and equity: Deposits 431,276 — 431,276 Borrowed funds 5,369 — 5,369 Other liabilities 5,894 — 5,894 Total liabilities 442,539 — 442,539 Net assets acquired 43,205 (102) 43,103 Consideration paid 79,547 — 79,547 Goodwill resulting from acquisition $ 36,342 $ (102) $ 36,444 Valuation adjustments have been made to personal and real property and other assets since initially reported. The outstanding principal balance and the carrying amount of these loans included in the consolidated balance sheet at December 31, 2019, are as follows ($ in thousands): Outstanding principal balance $ 222,464 Carrying amount 217,539 PCI loans are discussed more fully under “Part II – Item 8. Financial Statements and Supplementary Data – Note E – “Loans” of this report. Sunshine Financial, Inc. On April 1, 2018, the Company completed its acquisition of Sunshine Financial, Inc. (“Sunshine”), and immediately thereafter merged its wholly-owned subsidiary, Sunshine Community Bank, with and into The First. The Company paid a total consideration of $30.5 million to the former Sunshine shareholders including 726,461 shares of the Company’s common stock and $7.0 million in cash. In connection with the acquisition, the Company recorded $9.5 million of goodwill and $4.1 million of core deposit intangible. Goodwill is not deductible for income tax purposes. The core deposit intangible will be amortized to expense over 10 years. The Company acquired Sunshine’s $173.1 million loan portfolio at an estimated fair value discount of $4.5 million. The discount represents expected credit losses, adjusted for market interest rates and liquidity adjustments. Expenses associated with the acquisition were $253 thousand and $4.2 million for the twelve month period ended December 31, 2019 and 2018, respectively. These costs included system conversion and integrating operations charges, as well as legal and consulting expenses, which have been expensed as incurred. Southwest Banc Shares, Inc. On March 1, 2018, the Company completed its acquisition of Southwest Banc Shares, Inc. (“Southwest”), and immediately thereafter merged its wholly-owned subsidiary, First Community Bank, with and into The First. The Company paid a total consideration of $60.0 million to the former Southwest shareholders including 1,134,010 shares of the Company’s common stock and $24.0 million in cash. In connection with the acquisition, the Company recorded $23.9 million of goodwill and $5.8 million of core deposit intangible. Goodwill is not deductible for income tax purposes. The core deposit intangible will be amortized to expense over 10 years. The Company acquired Southwest’s $274.7 million loan portfolio at an estimated fair value discount of $3.5 million. The discount represents expected credit losses, adjusted for market interest rates and liquidity adjustments. Expenses associated with the acquisition were $519 thousand the twelve month period ended December 31, 2019. These costs included system conversion and integrating operations charges, as well as legal and consulting expenses, which have been expensed as incurred. Supplemental Pro Forma Information The following table presents certain supplemental pro forma information, for illustrative purposes only, for the years December 31, 2019 and 2018 as if the Southwest Banc Shares, Sunshine Financial, FMB, FPB and FFB acquisitions had occurred on January 1, 2018. The pro forma financial information is not necessarily indicative of the results of operations had the acquisitions been effective as of this date. Pro Forma for the Year Ended December 31, 2019 2018 ($ in thousands) (unaudited) (unaudited) Net interest income $ 137,655 $ 138,422 Non-interest income 30,699 29,434 Total revenue 168,354 167,856 Income before income taxes 77,936 55,069 Supplemental pro-forma earnings were adjusted to exclude acquisition costs incurred. Non-credit impaired loans acquired in the acquisitions were accounted for in accordance with ASC 310-20, Receivables-Nonrefundable Fees and Other Costs. Purchased credit impaired loans acquired in the Southwest, FMB, FPB and FFB acquisitions were accounted for in accordance with ASC 310-30 Accounting for Purchased Loans with Deteriorated Credit Quality. PCI loans are discussed more fully under “Part II – Item 8. Financial Statements and Supplementary Data – Note E – “Loans” of this report.

SECURITIES

SECURITIES	12 Months Ended
	Dec. 31, 2019
SECURITIES
SECURITIES	NOTE D – SECURITIES The following table summarizes the amortized cost and fair value of securities available-for-sale and securities held-to-maturity at December 31, 2019 and 2018 and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses: December 31, 2019 Gross Gross Amortized Unrealized Unrealized Fair ($ in thousands) Cost Gains Losses Value Available-for-sale securities: U.S Treasury $ 4,967 $ — $ 73 $ 4,894 Obligations of U.S. government agencies and sponsored entities 76,699 1,475 224 77,950 Tax-exempt and taxable obligations of states and municipal subdivisions 253,527 5,602 147 258,982 Mortgage-backed securities – residential 263,229 4,726 107 267,848 Mortgage-backed securities – commercial 125,292 2,398 223 127,467 Corporate obligations 27,877 218 149 27,946 Total available-for-sale $ 751,591 $ 14,419 $ 923 $ 765,087 December 31, 2018 Gross Gross Amortized Unrealized Unrealized Fair ($ in thousands) Cost Gains Losses Value Available-for-sale securities: Obligations of U.S. government agencies and sponsored entities $ 47,212 $ 405 $ 275 $ 47,342 Tax-exempt and taxable obligations of states and municipal subdivisions 150,215 1,070 1,221 150,064 Mortgage-backed securities – residential 250,132 727 3,407 247,452 Mortgage-backed securities – commercial 39,613 444 39 40,018 Corporate obligations 7,518 15 185 7,348 Total available-for-sale $ 494,690 $ 2,661 $ 5,127 $ 492,224 Held-to-maturity securities: Taxable obligations of states and municipal subdivisions $ 6,000 $ 1,028 $ — $ 7,028 Total held-to-maturity $ 6,000 $ 1,028 $ — $ 7,028 The amortized cost and fair value of debt securities are shown by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. ($ in thousands) December 31, 2019 Amortized Fair Available-for-Sale Cost Value Within one year $ 30,141 $ 30,303 One to five years 80,119 81,372 Five to ten years 143,811 148,085 Beyond ten years 108,999 110,012 Mortgage-backed securities: residential 263,229 267,848 Mortgage-backed securities: commercial 125,292 127,467 Total $ 751,591 $ 765,087 The proceeds from sales and calls of securities and the associated gains and losses are listed below: ($ in thousands) 2019 2018 2017 Gross gains $ 147 $ 880 $ 5 Gross losses 25 546 21 Realized net gain (loss) $ 122 $ 334 $ (16) Securities with a carrying value of $447.0 million and $411.9 million at December 31, 2019 and 2018, respectively, were pledged to secure public deposits, repurchase agreements, and for other purposes as required or permitted by law. The following table summarizes available-for-sale securities with unrealized and unrecognized losses at December 31, 2019 and December 31, 2018, aggregated by major security type and length of time in a continuous unrealized or unrecognized loss position: 2019 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized ($ in thousands) Value Losses Value Losses Value Losses U.S. Treasury $ — $ — $ 4,894 $ 73 $ 4,894 $ 73 Obligations of U.S. government agencies and sponsored entities — — 22,987 224 22,987 224 Tax-exempt and taxable obligations of states and municipal subdivisions — — 28,235 147 28,235 147 Mortgage-backed securities: residential — — 29,930 107 29,930 107 Mortgage-backed securities: commercial 9,306 16 19,130 207 28,436 223 Corporate obligations 500 — 10,572 149 11,072 149 Total available-for-sale $ 9,806 $ 16 $ 115,748 $ 907 $ 125,554 $ 923 2018 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses Obligations of U.S. government agencies and sponsored entities $ 11,034 $ 52 $ 7,838 $ 223 $ 18,872 $ 275 Tax-exempt and taxable obligations of states and municipal subdivisions 38,200 311 42,102 910 80,302 1,221 Mortgage-backed securities 93,294 843 101,005 2,603 194,299 3,446 Corporate obligations 1,962 40 4,969 145 6,931 185 Total available-for-sale $ 144,490 $ 1,246 $ 155,914 $ 3,881 $ 300,404 $ 5,127 At December 31, 2019 and December 31, 2018, the Company’s security portfolio consisted of 156 and 427 securities, respectively, that were in an unrealized loss position. The Company reviews its investment portfolio quarterly for indications of other-than-temporary impairment (“OTTI”), with attention given to securities in a continuous loss position of at least ten percent for over twelve months. Management believes that none of the losses on available-for-sale securities noted above constitute an OTTI and does not have the intent to sell these securities and it is likely that it will not be required to sell the securities before their anticipated recovery. The noted losses are considered temporary due to market fluctuations in available interest rates. Management considers the issuers of the securities to be financially sound, the corporate bonds are investment grade, and the collectability of all contractual principal and interest payments is reasonably expected. No OTTI losses were recognized at December 31, 2019 and 2018. On January 1, 2018, the Company adopted the new accounting standard for Financial Instruments, which requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with the changes in fair value recognized in net income. The adoption of this guidance in 2018 resulted in a $348 thousand decrease to retained earnings.

LOANS

LOANS	12 Months Ended
	Dec. 31, 2019
LOANS
LOANS	NOTE E – LOANS The Company uses four different categories to classify loans in its portfolio based on the underlying collateral securing each loan. The loans grouped together in each category have been determined to share similar risk characteristics with respect to credit quality. Those four categories are commercial, financial and agriculture, commercial real estate, consumer real estate, installment and other; Commercial, financial and agriculture – Commercial, financial and agriculture loans include loans to business entities issued for commercial, industrial, or other business purposes. This type of commercial loan shares a similar risk characteristic in that unlike commercial real estate loans, repayment is largely dependent on cash flow generated from the operation of the business. Commercial real estate – Commercial real estate loans are grouped as such because repayment is mainly dependent upon either the sale of the real estate, operation of the business occupying the real estate, or refinance of the debt obligation. This includes both owner occupied and non-owner occupied CRE secured loans, because they share similar risk characteristics related to these variables. Consumer real estate – Consumer real estate loans consist primarily of loans secured by 1-4 family residential properties and/or residential lots. This includes loans for the purpose of constructing improvements on the residential property, as well as home equity lines of credit. Installment and other – Installment and other loans are all loans issued to individuals that are not for any purpose related to operation of a business, and not secured by real estate. Repayment on these loans is mostly dependent on personal income, which may be impacted by general economic conditions. The following table shows the composition of the loan portfolio by category: December 31, 2019 December 31, 2018 Percent Percent of of ($ in thousands) Amount Total Amount Total Mortgage loans held for sale $ 10,810 0.4 % $ 4,838 0.3 % Commercial, financial and agricultural 332,600 12.7 % 301,182 14.6 % Real Estate: Mortgage-commercial 1,028,012 39.4 % 776,880 37.6 % Mortgage-residential 814,282 31.2 % 617,804 29.9 % Construction 359,195 13.8 % 298,718 14.5 % Lease financing receivable 3,095 0.1 % 2,891 0.1 % Obligations of states and subdivisions 20,716 0.8 % 16,941 0.8 % Installment and other 42,458 1.6 % 46,006 2.2 % Total loans 2,611,168 100 % 2,065,260 100 % Allowance for loan losses (13,908) (10,065) Net loans $ 2,597,260 $ 2,055,195 Loans held for sale consist of mortgage loans originated by the Bank and sold into the secondary market. Commitments from investors to purchase the loans are obtained upon origination. Activity in the allowance for loan losses for December 31, 2019, 2018 and 2017 was as follows: ($ in thousands) 2019 2018 2017 Balance at beginning of period $ 10,065 $ 8,288 $ 7,510 Prior period reclassification – Mortgage Reserve Funding — (181) — Beginning balance of allowance restated 10,065 8,107 7,510 Loans charged-off: Commercial, financial and agriculture (141) (265) (62) Commercial real estate (54) (222) (110) Consumer real estate (163) (7) (152) Installment and other (306) (87) (81) Total (664) (581) (405) Recoveries on loans previously charged-off: Commercial, financial and agriculture 85 44 50 Commercial real estate 142 44 279 Consumer real estate 240 183 243 Installment and other 302 148 105 Total 769 419 677 Net (Charge-offs) Recoveries 105 (162) 272 Provision for Loan Losses 3,738 2,120 506 Balance at end of period $ 13,908 $ 10,065 $ 8,288 The following tables represent how the allowance for loan losses is allocated to a particular loan type as well as the percentage of the category to total loans at December 31, 2019 and 2018. Allocation of the Allowance for Loan Losses December 31, 2019 ($ in thousands) % of loans in each category Amount to total loans Commercial, financial and agriculture $ 3,043 13.1 % Commercial real estate 8,836 65.5 % Consumer real estate 1,694 19.8 % Installment and other 296 1.6 % Unallocated 39 — Total $ 13,908 100 % December 31, 2018 % of loans in each category Amount to total loans Commercial, financial and agriculture $ 2,060 14.8 % Commercial real estate 6,258 64.6 % Consumer real estate 1,743 18.9 % Installment and other 201 1.7 % Unallocated (197) — Total $ 10,065 100 % The following tables provide the ending balances in the Company's loans (excluding mortgage loans held for sale) and allowance for loan losses, broken down by portfolio segment as of December 31, 2019 and 2018. The tables also provide additional detail as to the amount of our loans and allowance that correspond to individual versus collective impairment evaluation. The impairment evaluation corresponds to the Company's systematic methodology for estimating its Allowance for Loan Losses ($ in thousands). Commercial, Installment December 31, 2019 Financial and Commercial Consumer and Agriculture Real Estate Real Estate Other Unallocated Total Loans Individually evaluated $ 2,493 $ 25,984 $ 1,181 $ 281 $ — $ 29,939 Collectively evaluated 339,003 1,773,934 398,471 41,112 — 2,552,520 PCI Loans 191 10,471 7,204 33 — 17,899 Total $ 341,687 $ 1,810,389 $ 406,856 $ 41,426 $ — $ 2,600,358 Allowance for Loan Losses Individually evaluated $ 1,182 $ 3,021 $ 141 $ 80 $ — $ 4,424 Collectively evaluated 1,861 5,815 1,553 216 39 9,484 Total $ 3,043 $ 8,836 $ 1,694 $ 296 $ 39 $ 13,908 Commercial, Installment December 31, 2018 Financial and Commercial Consumer and Agriculture Real Estate Real Estate Other Unallocated Total Loans Individually evaluated $ 1,657 $ 10,932 $ 804 $ 66 $ — $ 13,459 Collectively evaluated 302,329 1,309,322 383,368 34,292 — 2,029,311 PCI Loans 197 11,626 5,777 52 — 17,652 Total $ 304,183 $ 1,331,880 $ 389,949 $ 34,410 $ — $ 2,060,422 Allowance for Loan Losses Individually evaluated $ 329 $ 758 $ 66 $ 26 $ — $ 1,179 Collectively evaluated 1,731 5,500 1,677 175 (197) 8,886 Total $ 2,060 $ 6,258 $ 1,743 $ 201 $ (197) $ 10,065 For those PCI loans disclosed above, no impairment has been provided through the allowance for loan losses. The following tables provide additional detail of impaired loans broken out according to class as of December 31, 2019, 2018 and 2017. The tables do not include PCI loans. The recorded investment included in the following table represents customer balances net of any partial charge-offs recognized on the loans, net of any deferred fees and costs. Recorded investment excludes any insignificant amount of accrued interest receivable on loans 90‑days or more past due and still accruing. The unpaid balance represents the recorded balance prior to any partial charge-offs. Average Interest Recorded Income December 31, 2019 Recorded Unpaid Related Investment Recognized ($ in thousands) Investment Balance Allowance YTD YTD Impaired loans with no related allowance: Commercial, financial and agriculture $ 59 $ 62 $ — $ 294 $ 7 Commercial real estate 13,556 13,671 — 10,473 591 Consumer real estate 542 594 — 2,173 — Consumer installment 21 21 — 23 — Total $ 14,178 $ 14,348 $ — $ 12,963 $ 598 Impaired loans with a related allowance: Commercial, financial and agriculture $ 2,434 $ 2,434 $ 1,182 $ 2,039 $ 13 Commercial real estate 12,428 12,563 3,021 10,026 49 Consumer real estate 639 657 141 560 3 Consumer installment 260 260 80 164 2 Total $ 15,761 $ 15,914 $ 4,424 $ 12,789 $ 67 Total Impaired Loans: Commercial, financial and agriculture $ 2,493 $ 2,496 $ 1,182 $ 2,333 $ 20 Commercial real estate 25,984 26,234 3,021 20,499 640 Consumer real estate 1,181 1,251 141 2,733 3 Consumer installment 281 281 80 187 2 Total Impaired Loans $ 29,939 $ 30,262 $ 4,424 $ 25,752 $ 665 Average Interest Recorded Income December 31, 2018 Recorded Unpaid Related Investment Recognized ($ in thousands) Investment Balance Allowance YTD YTD Impaired loans with no related allowance: Commercial, financial and agriculture $ 709 $ 709 $ — $ 379 $ 27 Commercial real estate 6,441 8,170 — 7,685 427 Consumer real estate 445 760 — 4,522 69 Consumer installment — — — 82 3 Total $ 7,595 $ 9,639 $ — $ 12,668 $ 526 Impaired loans with a related allowance: Commercial, financial and agriculture $ 960 $ 960 $ 329 $ 968 $ 3 Commercial real estate 4,512 4,512 758 2,868 176 Consumer real estate 366 366 66 555 16 Consumer installment 26 26 26 24 — Total $ 5,846 $ 5,864 $ 1,179 $ 4,415 $ 195 Commercial, financial and agriculture $ 1,669 $ 1,669 $ 329 $ 1,347 $ 30 Commercial real estate 10,953 12,682 758 10,553 603 Consumer real estate 811 1,126 66 5,077 85 Consumer installment 26 26 26 106 3 Total Impaired Loans $ 13,459 $ 15,503 $ 1,179 $ 17,083 $ 721 Average Interest Recorded Income December 31, 2017 Recorded Unpaid Related Investment Recognized ($ in thousands) Investment Balance Allowance YTD YTD Impaired loans with no related allowance: Commercial, financial and agriculture $ 270 $ 270 $ — $ 90 $ 1 Commercial real estate 4,080 4,176 — 3,502 101 Consumer real estate 2,180 2,424 — 1,897 83 Consumer installment 29 29 — 17 — Total $ 6,559 $ 6,899 $ — $ 5,506 $ 185 Impaired loans with a related allowance: Commercial, financial and agriculture $ 850 $ 850 $ 267 $ 262 $ 14 Commercial real estate 2,638 2,638 234 2,756 112 Average Interest Recorded Income Recorded Unpaid Related Investment Recognized Continued: Investment Balance Allowance YTD YTD Consumer real estate 504 504 137 493 15 Consumer installment 23 23 23 24 — Total $ 4,015 $ 4,015 $ 661 $ 3,535 $ 141 Total Impaired Loans: Commercial, financial and agriculture $ 1,120 $ 1,120 $ 267 $ 352 $ 15 Commercial real estate 6,718 6,814 234 6,258 213 Consumer real estate 2,684 2,928 137 2,390 98 Consumer installment 52 52 23 41 — Total Impaired Loans $ 10,574 $ 10,914 $ 661 $ 9,041 $ 326 The cash basis interest earned in the chart above is materially the same as the interest recognized during impairment for the years ended December 31, 2019, 2018 and 2017. The gross interest income that would have been recorded in the period that ended if the nonaccrual loans had been current in accordance with their original terms and had been outstanding throughout the period or since origination, if held for part of the twelve months for the years ended December 31, 2019, 2018 and 2017, was $348 thousand, $782 thousand and $342 thousand, respectively. The Company had no loan commitments to borrowers in nonaccrual status at December 31, 2019 and 2018. We acquired loans with deteriorated credit quality in 2014, 2017, 2018 and 2019. These loans were recorded at estimated fair value at the acquisition date with no carryover of the related allowance for loan losses. The acquired loans were segregated as of the acquisition date between those considered to be performing (acquired non-impaired loans) and those with evidence of credit deterioration (purchased credit impaired loans). Acquired loans are considered to be impaired if it is probable, based on current available information, that the Company will be unable to collect all cash flows as expected. If expected cash flows cannot reasonably be estimated as to what will be collected, there will not be any interest income recognized on these loans. The following presents information regarding the contractually required payments receivable, cash flows expected to be collected and the estimated fair value of PCI loans acquired in the acquisitions from 2018 and 2019. ($ in thousands) Southwest Sunshine FMB FPB FFB Total Contractually required payments at acquisition $ 925 $ 4,194 $ 9,939 $ 4,715 $ 947 $ 20,720 Cash flows expected to be collected at acquisition 706 3,894 8,604 4,295 955 18,454 Fair value of loans at acquisition 657 3,837 7,978 3,916 809 17,197 Total outstanding purchased credit impaired loans were $14.6 million and the related purchase accounting discount was $3.3 million as of December 31, 2019, and $13.8 million and $3.8 million as of December 31, 2018, respectively. The outstanding balance of these loans is the undiscounted sum of all amounts, including amounts deemed principal, interest, fees, penalties, and other under the loans, owed at the reporting date, whether or not currently due and whether or not any such amounts have been charged off. Changes in the carrying amount and accretable yield for purchased credit impaired loans were as follows for the year ended December 31, 2019 and 2018 ($ in thousands): 2019 2018 Accretable Carrying Amount Accretable Carrying Amount Yield of Loans Yield of Loans Balance at beginning of period $ 3,835 $ 13,817 $ 836 $ 1,185 Reclassification from prior years — — 859 3,229 Additions, including transfers from non-accretable 525 5,250 2,487 12,290 Accretion (943) 943 (337) 337 Payments received, net — (5,528) — (3,214) Charge-off — — (10) (10) Balance at end of period $ 3,417 $ 14,482 $ 3,835 $ 13,817 The following tables provide details of troubled debt restructurings (TDRs) during the twelve months ended December 31, 2019, 2018 and 2017 ($ in thousands, except for number of loans). Outstanding Outstanding Recorded Recorded Interest Investment Investment Number of Income December 31, 2019 Pre-Modification Post-Modification Loans Recognized Commercial, financial and agriculture $ 979 $ 1,023 7 $ 19 Commercial real estate 15,953 16,122 14 137 Residential real estate 551 553 3 12 Consumer installment 10 11 2 — Total $ 17,493 $ 17,709 26 $ 168 Outstanding Outstanding Recorded Recorded Interest Investment Investment Income December 31, 2018 Pre-Modification Post-Modification Number of Loans Recognized Commercial, financial and agriculture $ 681 $ 663 2 $ 23 Commercial real estate 3,536 3,532 3 80 Residential real estate — — — — Consumer installment — — — — Total $ 4,217 $ 4,195 5 $ 103 Outstanding Outstanding Recorded Recorded Interest Investment Investment Number of Income December 31, 2017 Pre-Modification Post-Modification Loans Recognized Commercial, financial and agriculture $ — $ — — $ — Commercial real estate 526 494 4 17 Residential real estate 66 64 1 4 Consumer installment — — — — Total $ 592 $ 558 5 $ 21 The TDRs presented above increased the allowance for loan losses and resulted in no charge-offs for the years ended December 31, 2019, 2018 and 2017. The balance of TDRs at December 31, 2019, 2018 and 2017, was $32.0 million, $14.3 million and $6.9 million, respectively. As of December 31, 2019, the Company had no additional amount committed on any loan classified as a TDR. During the twelve month periods ended December 31, 2019, 2018 and 2017, the terms of 26, 5 and 5 loans, respectively, were modified as TDRs. The modifications included one of the following or a combination of the following: maturity date extensions, interest only payments, amortizations were extended beyond what would be available on similar type loans, and payment waiver. No interest rate concessions were given on these nor were any of these loans written down. The following tables represents the Company’s TDRs for the year ended December 31, 2019, 2018 and 2017: Past Due 90 December 31, 2019 Current Past Due days and still ($ in thousands) Loans 30‑89 accruing Nonaccrual Total Commercial, financial and agriculture $ 583 $ 64 $ — $ 1,062 $ 1,709 Commercial real estate 4,299 809 109 19,991 25,208 Consumer real estate 1,905 112 58 2,940 5,015 Consumer installment 37 — — — 37 Total $ 6,824 $ 985 $ 167 $ 23,993 $ 31,969 Allowance for loan losses $ 128 $ — $ — $ 1,997 $ 2,125 Past Due 90 December 31, 2018 Current Past Due days and still ($ in thousands) Loans 30‑89 accruing Nonaccrual Total Commercial, financial and agriculture $ 13 $ 646 $ — $ 18 $ 676 Commercial real estate 4,827 — — 5,425 10,252 Consumer real estate 442 86 — 2,801 3,329 Consumer installment 25 — — 13 38 Total $ 5,307 $ 732 $ — $ 8,257 $ 14,295 Allowance for loan losses $ 80 $ 13 $ — $ 110 $ 203 Past Due 90 December 31, 2017 Current Past Due days and still ($ in thousands) Loans 30‑89 accruing Nonaccrual Total Commercial, financial and agriculture $ — $ — $ — $ — $ — Commercial real estate 3,702 92 — 1,024 4,818 Consumer real estate 1,013 89 — 987 2,089 Consumer installment — — 5 18 23 Total $ 4,715 $ 181 $ 5 $ 2,029 $ 6,930 Allowance for loan losses $ 100 $ 22 $ 5 $ 27 $ 154 The following table presents loans by modified as troubled debt restructurings for which there was a payment default within twelve months following the modification during the year ending December 2019, 2018 and 2017 ($ in thousands, except for number of loans). 2019 2018 2017 Troubled Debt Restructurings Number of Recorded Number of Recorded Number of Recorded That Subsequently Defaulted: Loans Investment Loans Investment Loans Investment Commercial, financial and agriculture 10 $ 458 2 $ 663 0 $ — Commercial real estate 4 15,423 2 3,419 2 302 Total 14 $ 15,881 4 $ 4,082 2 $ 302 The following tables summarize by class our loans classified as past due in excess of 30 days or more in addition to those loans classified as nonaccrual including PCI loans: December 31, 2019 Past Due 90 Total Past Due Days or Past Due, 30 to 89 More and Still NonAccrual Total ($ in thousands) Days Accruing NonAccrual PCI and PCI Loans Commercial, financial and agriculture $ $ $ $ $ $ Commercial real estate 2,447 1,046 22,441 3,844 29,778 1,387,207 Consumer real estate 4,569 1,608 1,902 8,148 16,227 814,282 Consumer installment 226 — 260 6 492 42,458 Lease financing receivable — — — — — 3,095 Obligations of states and subdivisions — — — — — 20,716 Total $ 7,757 $ 2,715 $ 26,740 $ 12,095 $ 49,307 $ 2,600,358 December 31, 2018 Past Due 90 Total Past Due Days or More Past Due, 30 to 89 and NonAccrual Total ($ in thousands) Days Still Accruing NonAccrual PCI and PCI Loans Commercial, financial and agriculture $ 1,650 $ — $ 1,024 $ 184 $ 2,858 $ 301,182 Commercial real estate 5,137 570 9,187 5,406 20,300 1,075,598 Consumer real estate 5,529 650 1,411 7,781 15,371 617,804 Consumer installment 506 45 46 34 631 46,006 Lease financing receivable — — — — — 2,891 Obligations of states and subdivisions — — — — — 16,941 Total $ 12,822 $ 1,265 $ 11,668 $ 13,405 $ 39,160 $ 2,060,422 The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt, such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company uses the following definitions for risk ratings, which are consistent with the definitions used in supervisory guidance: Pass : Loans classified as pass are deemed to possess average to superior credit quality, requiring no more than normal attention. Special Mention : Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date. Substandard : Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Doubtful : Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. As of December 31, 2019 and 2018, and based on the most recent analysis performed, the risk category of loans by class of loans (excluding mortgage loans held for sale) was as follows: Commercial, December 31, 2019 Financial and Commercial Consumer Consumer ($ in thousands) Agriculture Real Estate Real Estate Installment Total Pass $ 327,205 $ 1,645,496 $ 499,426 $ 41,008 $ 2,513,135 Special Mention 3,493 8,876 1,194 21 13,584 Substandard 10,972 50,554 13,244 397 75,167 Doubtful 16 77 — — 93 Subtotal $ 341,686 $ 1,705,003 $ 513,864 $ 41,426 $ 2,601,979 Less: Unearned Discount — 1,621 — — 1,621 Loans, net of unearned discount $ 341,686 $ 1,703,382 $ 513,864 $ 41,426 $ 2,600,358 Commercial, December 31, 2018 Financial and Commercial Consumer Consumer ($ in thousands) Agriculture Real Estate Real Estate Installment Total Pass $ 300,685 $ 1,286,151 $ 377,028 $ 34,127 $ 1,997,991 Special Mention 842 12,401 1,962 13 15,218 Substandard 2,640 33,856 10,959 270 47,725 Doubtful 16 85 — — 101 Subtotal $ 304,183 $ 1,332,493 $ 389,949 $ 34,410 $ 2,061,035 Less: Unearned Discount — 613 — — 613 Loans, net of unearned discount $ 304,183 $ 1,331,880 $ 389,949 $ 34,410 $ 2,060,422

PREMISES AND EQUIPMENT

PREMISES AND EQUIPMENT	12 Months Ended
	Dec. 31, 2019
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT	NOTE F - PREMISES AND EQUIPMENT Premises and equipment owned and utilized in the operations of the Company are stated at cost, less accumulated depreciation and amortization as follows: ($ in thousands) 2019 2018 Premises: Land $ 30,094 $ 26,305 Buildings and improvements 63,346 48,998 Equipment 22,394 19,005 Construction in progress 6,258 666 122,092 94,974 Less accumulated depreciation and amortization 23,634 20,191 $ 98,458 $ 74,783 The amounts charged to operating expense for depreciation were $3.8 million, $2.6 million and $2.0 million in 2019, 2018 and 2017, respectively.

DEPOSITS

DEPOSITS	12 Months Ended
	Dec. 31, 2019
DEPOSITS
DEPOSITS	NOTE G - DEPOSITS Time deposits that meet or exceed the FDIC Insurance limit of $250,000 at December 31, 2019 and 2018, were $187.8 million and $110.9 million, respectively. At December 31, 2019, the scheduled maturities of time deposits included in interest-bearing deposits were as follows ($ in thousands): Year Amount 2020 $ 496,211 2021 99,567 2022 30,914 2023 15,071 2024 13,905 Thereafter 6,050 $ 661,718

BORROWED FUNDS

BORROWED FUNDS	12 Months Ended
	Dec. 31, 2019
BORROWED FUNDS
BORROWED FUNDS	NOTE H - BORROWED FUNDS At December 31, 2019 and 2018, borrowed funds consisted of the following: ($ in thousands) 2019 2018 Fed Funds Purchased $ 2,715 $ — FHLB advances 206,250 85,500 First Horizon Bank 5,354 — $ 214,319 $ 85,500 Advances from the FHLB have maturity dates ranging from January 2020 through December 2020. Interest is payable monthly at rates ranging from 1.50% to 3.76%. Advances due to the FHLB are collateralized by a blanket lien on first mortgage loans in the amount of the outstanding borrowings, FHLB capital stock, and amounts on deposit with the FHLB. Advances due to the FHLB are collateralized by $2.302 billion in loans. Based on this collateral and holdings of FHLB stock, the Company is eligible to borrow up to a total of $1.2 billion at December 31, 2019. As part of the FFB acquisition, the Company assumed two loans in the amount of $3.5 million and $2.0 million with First Horizon Bank. Principal and interest is payable quarterly at rates ranging from 3.80% - 4.10%. Future annual principal repayment requirements on the borrowings at December 31, 2019, were as follows ($ in thousands): Year Amount 2020 $ 209,672 2021 735 2022 764 2023 795 2024 826 Thereafter 1,527 $ 214,319

LEASE OBLIGATIONS

LEASE OBLIGATIONS	12 Months Ended
	Dec. 31, 2019
LEASE OBLIGATIONS
LEASE OBLIGATIONS	NOTE I – LEASE OBLIGATIONS The Company enters into leases in the normal course of business primarily for financial centers, back office operations locations and business development offices. The Company’s leases have remaining terms ranging from 1 to 8 years. The Company does not currently have any significant finance leases in which we are the lessee. The Company includes lease extension and termination options in the lease term if, after considering relevant economic factors, it is reasonably certain the Company will exercise the option. In addition, the Company has elected to account for any non-lease components in its real estate leases as part of the associated lease component. The Company has also elected not to recognize leases with original lease terms of 12 months or less (short-term leases) on the Company’s balance sheet. Leases are classified as operating or finance leases at the lease commencement date. Operating leases in which we are the lessee are recorded as operating lease right-of-use assets and operating lease liabilities, which are included in premises and equipment and other liabilities, respectively, on our consolidated balance sheets. Lease expense for operating leases and short-term leases is recognized on a straight-line basis over the lease term, and is recorded in net occupancy and equipment expense in the consolidated statements of income and other comprehensive income. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized at the lease commencement date and based on the estimated present value of lease payments over the lease term. The Company uses its incremental borrowing rate at lease commencement to calculate the present value of lease payments when the rate implicit in a lease is not known. The Company’s incremental borrowing rate is based on the FHLB amortizing advance rate, adjusted for the lease term and other factors. As of December 31, 2019, operating lease right-of-use assets and liabilities were $6.5 million and $6.5 million, respectively. The components of total lease cost were as follows for the period ending: ($ in thousands) December 31, 2019 Operating lease costs $ 898 Cash paid for amounts included in the measurement of lease liability Operating cash flows from operating leases $ 898 Future lease payments for operating leases with initial terms of one year or more as of December 31, 2019 are as follows: ($ in thousands) 2020 $ 1,643 2021 1,527 2022 1,359 2023 844 2024 631 Thereafter 981 Total lease payments $ 6,985 Less: Interest (467) Present value of lease liabilities $ 6,518 The table below summarizes other information related to our operating leases: Weighted-average remaining lease term 5.0 years Weighted-average discount rate 2.5 % As a result of the adoption of ASC 842, The Company did not restate the prior period audited consolidated financial statements and all prior period amounts and disclosures are presented under ASC 840. At December 31, 2018, minimum future lease payments were as follows ($ in thousands): Operating Capital Leases Leases 2019 $ 784 $ 275 2020 463 191 2021 347 175 2022 256 — 2023 229 — Thereafter 197 — Total minimum lease payments $ 2,276 $ 641 Less: Amount representing interest (25) Present value of minimum lease payments $ 616

REGULATORY MATTERS

REGULATORY MATTERS	12 Months Ended
	Dec. 31, 2019
REGULATORY MATTERS
REGULATORY MATTERS	NOTE J - REGULATORY MATTERS The Company and its subsidiary bank are subject to regulatory capital requirements administered by federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and its subsidiary bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgment by regulators about components, risk weightings, and other related factors. To ensure capital adequacy, quantitative measures have been established by regulators, and these require the Company and its subsidiary bank to maintain minimum amounts and ratios (set forth in the table below) of total and Tier 1 capital (as defined) to risk-weighted assets (as defined), Tier 1 capital to adjusted total assets (leverage) and common equity Tier 1. Management believes, as of December 31, 2019, that the Company met all capital adequacy requirements to which they are subject. Under Basel III requirements, a financial institution is considered to be well-capitalized if it has a total risk-based capital ratio of 10% or more, has a Tier 1 risk-based capital ratio of 8% or more, has a common equity Tier 1 of 6.5%, and has a Tier 1 leverage capital ratio of 5% or more. The actual capital amounts and ratios, excluding unrealized losses, at December 31, 2019 and 2018 are presented in the following table. No amount was deducted from capital for interest-rate risk exposure. Company Subsidiary December 31, 2019 (Consolidated) The First ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 446,571 15.8 % $ 439,538 15.6 % Common equity Tier 1 352,481 12.5 % 425,630 15.1 % Tier 1 risk-based 367,727 13.0 % 425,630 15.1 % Tier 1 leverage 367,727 10.3 % 425,630 11.8 % December 31, 2018 ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 348,295 15.6 % $ 339,376 15.2 % Common equity Tier 1 258,206 11.5 % 329,311 14.8 % Tier 1 risk-based 273,398 12.2 % 329,311 14.8 % Tier 1 leverage 273,398 10.2 % 329,311 12.2 % The minimum amounts of capital and ratios, not including Accumulated Other Comprehensive Income, as established by banking regulators at December 31, 2019, and 2018, were as follows: Company Subsidiary December 31, 2019 (Consolidated) The First ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 225,932 8.0 % $ 225,413 8.0 % Common equity Tier 1 127,087 4.5 % 126,795 4.5 % Tier 1 risk-based 169,449 6.0 % 169,060 6.0 % Tier 1 leverage 143,460 4.0 % 143,940 4.0 % December 31, 2018 ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 179,177 8.0 % $ 178,578 8.0 % Common equity Tier 1 100,787 4.5 % 100,450 4.5 % Tier 1 risk-based 134,383 6.0 % 133,934 6.0 % Tier 1 leverage 107,739 4.0 % 107,593 4.0 % The principal sources of funds to the Company to pay dividends are the dividends received from The First, A National Banking Association, Hattiesburg, Mississippi. Consequently, dividends are dependent upon The First’s earnings, capital needs, regulatory policies, as well as statutory and regulatory limitations. Federal Reserve regulations limit dividends, stock repurchases and discretionary bonuses to executive officers if the Company's regulatory capital is below the level of regulatory minimums plus the applicable capital conservation buffer. Federal and state banking laws and regulations restrict the amount of dividends and loans a bank may make to its parent company. Approval by the Company’s regulators is required if the total of all dividends declared in any calendar year exceed the total of its net income for that year combined with its retained net income of the preceding two years. In 2019, the Company had available $22.7 million to pay dividends. In December 2018, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC approved a final rule to address changes to the credit loss accounting under GAAP, including banking organizations implementation of CECL. The final rule provides banking organizations the option to phase in over a three year period the day one adverse effects on regulatory capital that may result from the adoption of the new accounting standard. Based on the Company’s assessment of the CECL accounting standard and the impact of adoption on the consolidated financial statements and regulatory capital calculations, the Company is planning to adopt the capital transition relief over the permissible three year period.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2019
INCOME TAXES
INCOME TAXES	NOTE K - INCOME TAXES The components of income tax expense are as follows ($ in thousands): Years Ended December 31, 2019 2018 2017 Current: Federal $ 9,477 $ 2,435 $ 408 State 2,312 834 101 Deferred (In 2017, includes $2,081 due to 912 2,523 6,446 Tax Cut and Jobs Act) $ 12,701 $ 5,792 $ 6,955 The Company's income tax expense differs from the amounts computed by applying the federal income tax statutory rates to income before income taxes. A reconciliation of the differences is as follows (in thousands): Years Ended December 31, 2019 2018 2017 Amount % Amount % Amount % Income taxes at statutory rate $ 11,854 % $ 5,674 21 % $ 6,150 35 % Tax-exempt income (1,176) (2) % (867) (3) % (1,155) (6) % Nondeductible expenses 348 % 403 1 % 234 1 % State income tax, net of federal tax effect 1,969 % 1,058 4 % 66 — Tax credits, net (334) (1) % (334) (1) % (331) (2) % Deferred tax adjustment due to Tax Cuts and Job Act — — — — 2,081 12 % Other, net 40 — % (142) (1) % (90) — $ 12,701 % $ 5,792 21 % $ 6,955 40 % On December 22, 2017, the Tax Cuts and Jobs Act was enacted which permanently reduced the U.S. corporate income tax rate from a maximum of 35% to a flat 21% rate, effective January 1, 2018. As a result of the reduction in the U.S corporate income tax rate, the Company reevaluated its ending net deferred tax asset as of December 31, 2017 and recognized a tax expense of approximately $2.1 million. The components of deferred income taxes included in the consolidated financial statements were as follows ($ in thousands): December 31, 2019 2018 Deferred tax assets: Allowance for loan losses $ 3,430 $ 2,547 Net operating loss carryover 2,830 2,831 Non-accrual loan interest 895 601 Other real estate 506 494 Unrealized loss on available-for-sale securities — 611 Deferred Compensation 1,190 1,235 Loan Purchase Accounting 3,467 3,505 Right-of-use asset 1,650 — Other 2,146 776 16,114 12,600 Deferred tax liabilities: Unrealized gain on available-for-sale securities (3,417) — Securities (81) (149) Premises and equipment (5,002) (3,056) Core deposit intangible (6,864) (4,959) Goodwill (1,631) (1,356) Right-of-use liability (1,650) — Other (331) (254) (18,976) (9,774) Net deferred tax asset/(liability), included in other assets/(liabilities) $ (2,862) $ 2,826 With the acquisition of Baldwin in 2013, Bay in 2014, Gulf Coast in 2017, Sunshine 2018, and FPB in 2019, the Company assumed federal tax net operating loss carryovers. $11.7 million of net operating losses are available to the Company and begin to expire in 2026. The Company expects to fully utilize the net operating losses. The Company follows the guidance of ASC Topic 740, Income Taxes, which prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC Topic 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. As of December 31, 2019, the Company had no uncertain tax positions that it believes should be recognized in the financial statements. The tax years still subject to examination by taxing authorities are years subsequent to 2015.

EMPLOYEE BENEFITS

EMPLOYEE BENEFITS	12 Months Ended
	Dec. 31, 2019
EMPLOYEE BENEFITS
EMPLOYEE BENEFITS	NOTE L - EMPLOYEE BENEFITS The Company and the Bank provide a deferred compensation arrangement (401(k) plan) whereby employees contribute a percentage of their compensation. For employee contributions of six percent or less, the Company and its subsidiary bank provide a 50% matching contribution. Contributions totaled $771 thousand in 2019, $628 thousand in 2018 and $513 thousand in 2017. The Company sponsors an Employee Stock Ownership Plan (ESOP) for employees who have completed one year of service for the Company and attained age 21. Employees become fully vested after five years of service. Contributions to the plan are at the discretion of the Board of Directors. At December 31, 2019, the ESOP held 5,728 shares valued at $203 thousand of Company common stock and had no debt obligation. All shares held by the plan were considered outstanding for net income per share purposes. Total ESOP expense was $11 thousand for 2019, $4 thousand for 2018 and $4 thousand for 2017. In 2014, the Company established a Supplemental Executive Retirement Plan (“SERP”) for three active key executives. During 2016, the Company established a SERP for eight additional active key executives. Pursuant to the SERP, these officers are entitled to receive 180 equal monthly payments commencing at the later of obtaining age 65 or separation from service. The costs of such benefits, assuming a retirement date at age 65, will be accrued by the Company at such retirement date. The Company accrued to expense $257 thousand for 2019 and $259 thousand for 2018 and $242 thousand for 2017 for future benefits payable under the SERP. The SERP is an unfunded plan and is considered a general contractual obligation of the Company. Upon the acquisition of Iberville Bank, Southwest and FMB, the Bank assumed deferred compensation agreements with directors and employees. At December 31, 2019, the total liability of the deferred compensation agreements was $1.1 million, $1.1 million, and $3.1million, respectively. Deferred compensation expense totaled $24 thousand, $80 thousand, and $136 thousand, respectively for 2019.

STOCK PLANS

STOCK PLANS	12 Months Ended
	Dec. 31, 2019
STOCK PLANS
STOCK PLANS	NOTE M - STOCK PLANS In 2007, the Company adopted the 2007 Stock Incentive Plan. The 2007 Plan provided for the issuance of up to 315,000 shares of Company Common Stock, $1.00 par value per share. In 2015, the Company adopted an amendment to the 2007 Stock Incentive Plan which provided for the issuance of an additional 300,000 shares of Company Common Stock, $1.00 par value per share, for a total of 615,000 shares. Shares issued under the 2007 Plan may consist in whole or in part of authorized but unissued shares or treasury shares. Total shares issuable under the plan are 120,578 at year-end 2019, and 89,315 and 60,984 shares were issued in 2019 and 2018, respectively. A summary of changes in the Company’s nonvested shares for the year follows: Weighted- Average Grant-Date Nonvested shares Shares Fair Value Nonvested at January 1, 2019 255,055 $ 22.94 Granted 89,315 Vested (7,300) Forfeited (7,931) Nonvested at December 31, 2019 329,139 $ 25.61 As of December 31, 2019, there was $4.8 million of total unrecognized compensation cost related to nonvested shares granted under the Plan. The costs is expected to be recognized over the remaining term of the vesting period (approximately 5 years). The total fair value of shares vested during the years ended December 31, 2019, 2018 and 2017 was $240 thousand, $90 thousand, and $1.8 million. Compensation cost in the amount of $1.7 million was recognized for the year ended December 31, 2019, $1.2 million was recognized for the year ended December 31, 2018 and $867 thousand for the year ended December 31, 2017. Shares of restricted stock granted to employees under this stock plan are subject to restrictions as to the vesting period. The restricted stock award becomes 100% vested on the earliest of 1) the vesting period provided the Grantee has not incurred a termination of employment prior to that date, 2) the Grantee’s retirement, or 3) the Grantee’s death. During this period, the holder is entitled to full voting rights and dividends. The dividends are held by the Company and only paid if and when the grants are vested. The 2007 Plan also contains a double trigger change-in-control provision pursuant to which unvested shares of stock granted through the plan will be accelerated upon a change in control if the executive is terminated without cause as a result of the transaction (as long as the shares granted remain part of the Company or are transferred into the shares of the new company).

SUBORDINATED DEBT

SUBORDINATED DEBT	12 Months Ended
	Dec. 31, 2019
SUBORDINATED DEBT
SUBORDINATED DEBT	NOTE N - SUBORDINATED DEBT Debentures On June 30, 2006, the Company issued $4,124,000 of floating rate junior subordinated deferrable interest debentures to The First Bancshares Statutory Trust 2 in which the Company owns all of the common equity. The debentures are the sole asset of Trust 1. The Trust issued $4,000,000 of Trust Preferred Securities to investors. The Company’s obligations under the debentures and related documents, taken together, constitute a full and unconditional guarantee by the Company of the Trust’s obligations under the preferred securities. The preferred securities were redeemable by the Company at its option. The preferred securities must be redeemed upon maturity of the debentures in 2036. Interest on the preferred securities is the three month London Interbank Offer Rate (LIBOR) plus 1.65% and is payable quarterly. The terms of the subordinated debentures are identical to those of the preferred securities. On July 27, 2007, the Company issued $6,186,000 of floating rate junior subordinated deferrable interest debentures to The First Bancshares Statutory Trust 3 in which the Company owns all of the common equity. The debentures are the sole asset of Trust 3. The Trust issued $6,000,000 of Trust Preferred Securities to investors. The Company’s obligations under the debentures and related documents, taken together, constitute a full and unconditional guarantee by the Company of the Trust’s obligations under the preferred securities. The preferred securities are redeemable by the Company at its option. The preferred securities must be redeemed upon maturity of the debentures in 2037. Interest on the preferred securities is the three month LIBOR plus 1.40% and is payable quarterly. The terms of the subordinated debentures are identical to those of the preferred securities. In 2018, the Company acquired FMB’s Capital Trust 1, which consisted of $6.1 million of floating rate junior subordinated deferrable interest debentures in which the Company owns all of the common equity. The debentures are the sole asset of Trust 1. The Trust issued $6,000,000 of Trust Preferred Securities to investors. The Company’s obligations under the debentures and related documents, taken together, constitute a full and unconditional guarantee by the Company of the Trust’s obligations under the preferred securities. The preferred securities are redeemable by the Company at its option. The preferred securities must be redeemed upon maturity of the debentures in 2033. Interest on the preferred securities is the three month LIBOR plus 2.85% and is payable quarterly. The terms of the subordinated debentures are identical to those of the preferred securities. In accordance with the provisions of ASC Topic 810, Consolidation, the trusts are not included in the consolidated financial statements. Notes On April 30, 2018, The Company entered into two Subordinated Note Purchase Agreements pursuant to which the Company sold and issued $24.0 million in aggregate principal amount of 5.875% fixed-to-floating rate subordinated notes due 2028 and $42.0 million in aggregate principal amount of 6.40% fixed-to-floating rate subordinated notes due 2033 (collectively, the “Notes”). The Notes are not convertible into or exchangeable for any other securities or assets of the Company or any of its subsidiaries. The Notes are not subject to redemption at the option of the holder. Principal and interest on the Notes are subject to acceleration only in limited circumstances. The Notes are unsecured, subordinated obligations of the Company and rank junior in right to payment to the Company’s current and future senior indebtedness, and each Note is pari passu in right to payment with respect to the other Notes.

TREASURY STOCK

TREASURY STOCK	12 Months Ended
	Dec. 31, 2019
TREASURY STOCK
TREASURY STOCK	NOTE O - TREASURY STOCK Shares held in treasury totaled 194,682 at December 31, 2019 and 26,494 at December 31, 2018, and 2017. On March 28, 2019, the Company announced that its Board of Directors authorized a share repurchase program to purchase up to an aggregate of $20 million of the Company’s common stock (the “March 2019 program”). This share repurchase program has an expiration date of December 31, 2019. Under the March 2019 program, the Company may repurchase shares of its common stock periodically in a manner determined by the Company’s management. The actual means and timing of purchase, target number of shares and maximum price or range of prices under the program will be determined by management at its discretion and will depend on a number of factors, including the market price of the Company’s common stock, general market and economic conditions, and applicable legal and regulatory requirements. The Company repurchased 168,188 shares under the March 2019 program during 2019.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2019
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE P - RELATED PARTY TRANSACTIONS In the normal course of business, the Bank makes loans to its directors and executive officers and to companies in which they have a significant ownership interest. Such loans amounted to approximately $23.7 million and $20.6 million at December 31, 2019 and 2018, respectively. The activity in loans to current directors, executive officers, and their affiliates during the year ended December 31, 2019, is summarized as follows: ($ in thousands) Loans outstanding at beginning of year $ 20,593 New loans 6,603 Repayments (3,499) Loans outstanding at end of year $ 23,697 Deposits from principal officers, directors, and their affiliates at year-end 2019 and 2018 were $6.2 million and $6.1 million.

COMMITMENTS, CONTINGENCIES, AND

COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK	12 Months Ended
	Dec. 31, 2019
COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK
COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK	NOTE Q - COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK In the normal course of business, there are outstanding various commitments and contingent liabilities, such as guaranties, commitments to extend credit, etc., which are not reflected in the accompanying financial statements. Commitments to extend credit and letters of credit include some exposure to credit loss in the event of nonperformance of the customer. 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. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. The credit policies and procedures for such commitments are the same as those used for lending activities. Because these instruments have fixed maturity dates and because a number expire without being drawn upon, they generally do not present any significant liquidity risk. No significant losses on commitments were incurred during the two years ended December 31, 2019, nor are any significant losses as a result of these transactions anticipated. The contractual amounts of financial instruments with off-balance-sheet risk at year-end were as follows: 2019 2018 ($ in thousands) Fixed Rate Variable Rate Fixed Rate Variable Rate Commitments to make loans $ 42,774 $ 5,676 $ 32,624 $ 36,780 Unused lines of credit 137,966 208,728 115,524 131,741 Standby letters of credit 3,648 8,475 2,357 8,367 Commitments to make loans are generally made for periods of 90 days or less. The fixed rate loan commitments have interest rates ranging from 0.5% to 18.0% and maturities ranging from 1 year to 30 years. The Company currently has 73 full service banking and financial service offices, one motor bank facility and four loan production offices across Mississippi, Alabama, Florida, Georgia and Louisiana. Management closely monitors its credit concentrations and attempts to diversify the portfolio within its primary market area. As of December 31, 2019, management does not consider there to be any significant credit concentrations within the loan portfolio. Although the Bank’s loan portfolio, as well as existing commitments, reflects the diversity of its primary market area, a substantial portion of a borrower's ability to repay a loan is dependent upon the economic stability of the area. In the normal course of business, the Company and its subsidiary are subject to pending and threatened legal actions. Although the Company is not able to predict the outcome of such actions, after reviewing pending and threatened actions with counsel, management believes that based on the information currently available the outcome of such actions, individually or in the aggregate, will not have a material adverse effect on the Company’s consolidated financial statements.

FAIR VALUES OF ASSETS AND LIABI

FAIR VALUES OF ASSETS AND LIABILITIES	12 Months Ended
	Dec. 31, 2019
FAIR VALUES OF ASSETS AND LIABILITIES
FAIR VALUES OF ASSETS AND LIABILITIES	NOTE R - FAIR VALUES OF ASSETS AND LIABILITIES The Company follows the guidance of ASC Topic 820, Fair Value Measurements and Disclosures, that establishes a framework for measuring fair value and expands disclosures about fair value measurements. The guidance defines the fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. It also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. In accordance with the guidance, the Company groups its financial assets and financial liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. These levels are: Level 1: Valuations for assets and liabilities traded in active exchange markets, such as the New York Stock Exchange. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2: Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third party pricing services for identical or comparable assets or liabilities which use observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets and liabilities. Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis and recognized in the accompanying consolidated balance sheets. Securities The fair value of available-for-sale securities is determined by various valuation methodologies. Where quoted market prices are available in an active market, securities are classified within Level 1. If quoted market prices are not available, then fair values are estimated by using pricing models or quoted prices of securities with similar characteristics. Level 2 securities include obligations of U.S. government corporations and agencies, obligations of states and political subdivisions, mortgage-backed securities and collateralized mortgage obligations. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy. For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using the discounted cash flow or other market indicators (Level 3). The following table presents the Company’s securities that are measured at fair value on a recurring basis and the level within the hierarchy in which the fair value measurements fell as of December 31, 2019 and 2018 ($ in thousands): December 31, 2019 Fair Value Measurements ($ in thousands) Quoted Prices in Significant Active Markets Other Significant For Observable Unobservable Identical Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Available-for-sale U.S Treasury $ 4,894 $ 4,894 $ — $ — Obligations of U.S. government agencies and sponsored entities 77,950 — 77,950 $ — Municipal securities 258,982 — 248,637 10,345 Mortgage-backed securities 395,315 — 395,315 — Corporate obligations 27,946 — 27,538 408 Total available for sale $ 765,087 $ 4,894 $ 749,440 $ 10,753 December 31, 2018 Fair Value Measurements ($ in thousands) Quoted Prices in Significant Active Markets Other Significant For Observable Unobservable Identical Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Available-for-sale Obligations of U.S. government agencies and sponsored entities $ 47,342 $ — $ 47,342 $ — Municipal securities 150,064 — 142,490 7,574 Mortgage-backed securities 287,470 — 287,470 — Corporate obligations 7,348 — 6,474 874 Total available for sale $ 492,224 $ — $ 483,776 $ 8,448 The following is a reconciliation of activity for assets measured at fair value based on significant unobservable (Level 3) information. Bank-Issued Trust Preferred Securities ($ in thousands) 2019 2018 Balance, January 1 $ 874 $ 2,569 Unrealized loss included in comprehensive income (466) (1,695) Balance at December 31, 2019 and 2018 $ 408 $ 874 Municipal Securities ($ in thousands) 2019 2018 Balance, January 1 $ 7,574 $ 4,818 Unrealized gain included in comprehensive income 2,771 2,756 Balance at December 31, 2019 and 2018 $ 10,345 $ 7,574 The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a recurring basis at December 31, 2019 and 2018. The following tables present quantitative information about recurring Level 3 fair value measurements ($ in thousands): Trust Preferred Significant Unobservable Securities Fair Value Valuation Technique Inputs Range of Inputs December 31, 2019 $ 408 Discounted cash flow Discount rate 2.73% - 4.15% December 31, 2018 $ 874 Discounted cash flow Discount rate 3.71% - 5.03% Significant Unobservable Municipal Securities Fair Value Valuation Technique Inputs Range of Inputs December 31, 2019 $ 10,345 Discounted cash flow Discount rate 1.50% - 4.40% December 31, 2018 $ 7,574 Discounted cash flow Discount rate 2.00% - 3.50% Following is a description of the valuation methodologies used for assets and liabilities measured at fair value on a non-recurring basis and recognized in the accompanying balance sheets, as well as the general classification of such assets and liabilities pursuant to the valuation hierarchy. Impaired Loans Loans for which it is probable that the Company will not collect all principal and interest due according to contractual terms are measured for impairment. If the impaired loan is identified as collateral dependent, then the fair value method of measuring the amount of impairment is utilized. This method requires obtaining a current independent appraisal of the collateral. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income date available for similar loans and collateral underlying such loans. Such adjustments, if any, result in a Level 3 classification of the inputs for determining fair value. The Company adjust the appraisal 10 percent. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s expertise and knowledge of the client and client’s business, resulting in a Level 3 fair value classification. Impaired loans are evaluated on a quarterly basis for additional impairment. Other Real Estate Owned Other real estate owned consists of properties obtained through foreclosure. The adjustment at the time of foreclosure is recorded through the allowance for loan losses. Fair value of other real estate owned is based on current independent appraisals of the collateral less costs to sell when acquired, establishing a new costs basis. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals, which are updated no less frequently than annually. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach with data from comparable properties. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments, if any, result in a Level 3 classification of the inputs for determining fair value. In the determination of fair value subsequent to foreclosure, Management also considers other factors or recent developments, such as changes in market conditions from the time of valuation and anticipated sales values considering plans for disposition, which could result in an adjustment to lower the collateral value estimates indicated in the appraisals. The Company adjust the appraisal 10 percent. Periodic revaluations are classified as Level 3 in the fair value hierarchy since assumptions are used that may not be observable in the market. Due to the subjective nature of establishing the fair value when the asset is acquired, the actual fair value of the other real estate owned or foreclosed asset could differ from the original estimate. If it is determined the fair value declines subsequent to foreclosure, a valuation allowance is recorded through other income. Operating costs associated with the assets after acquisition are also recorded as non-interest expense. Gains and losses on the disposition of other real estate owned and foreclosed assets are netted and recorded in other income. Other real estate measured at fair value on a non-recurring basis at December 31, 2019, amounted to $7.3 million. Other real estate owned is classified within Level 3 of the fair value hierarchy. The following table presents the fair value measurement of assets and liabilities measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements were reported at December 31, 2019 and 2018. Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Significant For Observable Unobservable Identical Assets Inputs Inputs ($ in thousands) Fair Value (Level 1) (Level 2) (Level 3) December 31, 2019 Impaired loans $ 11,337 $ — $ — $ 11,337 Other real estate owned 7,299 — — 7,299 December 31, 2018 Impaired loans $ 11,571 $ — $ — $ 11,571 Other real estate owned 10,869 — — 10,869 The following methods and assumptions were used to estimate the fair value of each class of financial instrument for which it is practicable to estimate that value: Cash and Cash Equivalents – For such short-term instruments, the carrying amount is a reasonable estimate of fair value. Investment in securities available-for-sale and held-to-maturity – The fair value measurement for securities available-for-sale was discussed earlier. The same measurement approach was used for securities held-to-maturity and other securities. Loans – The fair value of loans was estimated by discounting the expected future cash flows using the current interest rates at which similar loans would be made for the same remaining maturities, in accordance with the exit price notion as defined by FASB ASC 820, Fair Value Measurement ("ASC 820"). Expected future cash flows were projected based on contractual cash flows, adjusted for estimated prepayments and as a result of the adoption of ASU 2016‑01, which also included credit risk and other market factors to calculate the exit price fair value in accordance with ASC 820. Bank-owned Life Insurance – The fair value of bank-owned life insurance approximates the carrying amount, because upon liquidation of these investments, the Company would receive the cash surrender value which equals the carrying amount. Accrued Interest Receivable – The carrying amount of accrued interest receivable approximates fair value and is classified as level 2 for accrued interest receivable related to investments securities and Level 3 for accrued interest receivable related to loans. Deposits – The fair values of demand deposits are, as required by ASC Topic 825, equal to the carrying value of such deposits. Demand deposits include non-interest-bearing demand deposits, savings accounts, NOW accounts, and money market demand accounts. The fair value of variable rate term deposits, those repricing within six months or less, approximates the carrying value of these deposits. Discounted cash flows have been used to value fixed rate term deposits and variable rate term deposits repricing after six months. The discount rate used is based on interest rates currently being offered on comparable deposits as to amount and term. Short-Term Borrowings – The carrying value of any federal funds purchased and other short-term borrowings approximates their fair values. FHLB and Other Borrowings – The fair value of the fixed rate borrowings are estimated using discounted cash flows, based on current incremental borrowing rates for similar types of borrowing arrangements. The carrying amount of any variable rate borrowing approximates its fair value. Subordinated Debentures – Fair values are determined based on the current market value of like instruments of a similar maturity and structure. Accrued Interest Payable – The carrying amount of accrued interest payable approximates fair value resulting in a Level 2 classification. Off-Balance Sheet Instruments – Fair values of off-balance sheet financial instruments are based on fees charged to enter into similar agreements. However, commitments to extend credit do not represent a significant value until such commitments are funded or closed. Management has determined that these instruments do not have a distinguishable fair value and no fair value has been assigned. Fair Value Measurements Significant Significant Quoted Other Observable Unobservable December 31, 2019 Carrying Estimated Prices Inputs Inputs ($ in thousands) Amount Fair Value (Level 1) (Level 2) (Level 3) Financial Instruments: Assets: Cash and cash equivalents $ 168,864 $ 168,864 $ 168,864 $ — $ — Securities available-for-sale 765,087 765,087 4,894 749,440 10,753 Loans, net 2,597,260 2,560,668 — — 2,560,668 Accrued interest receivable 14,802 14,802 — 4,246 10,556 Liabilities: Non-interest-bearing deposits $ 723,208 $ 723,208 $ — $ 723,208 $ — Interest-bearing deposits 2,353,325 2,339,537 — 2,339,537 — Subordinated debentures 80,678 80,330 — — 80,330 FHLB and other borrowings 214,319 214,319 — 214,319 — Accrued interest payable 2,508 2,508 — 2,508 — Fair Value Measurements Significant Significant Quoted Other Observable Unobservable December 31, 2018 Carrying Estimated Prices Inputs Inputs ($ in thousands) Amount Fair Value (Level 1) (Level 2) (Level 3) Financial Instruments: Assets: Cash and cash equivalents $ 159,107 $ 159,107 $ 159,107 $ — $ — Securities available-for-sale 492,224 492,224 — 483,776 8,448 Securities held-to-maturity 6,000 7,028 — 7,028 — Loans, net 2,055,195 2,020,782 — — 2,020,782 Accrued interest receivable 10,778 10,778 — 2,673 8,105 Liabilities: Non-interest-bearing deposits $ 570,148 $ 570,148 $ — $ 570,148 $ — Interest-bearing deposits 1,887,311 1,855,637 — 1,855,637 — Subordinated debentures 80,521 76,986 — — 76,986 FHLB and other borrowings 85,500 85,500 — 85,500 — Accrued interest payable 1,519 1,519 — 1,519 —

REVENUE FROM CONTRACTS WITH CUS

REVENUE FROM CONTRACTS WITH CUSTOMERS	12 Months Ended
	Dec. 31, 2019
REVENUE FROM CONTRACTS WITH CUSTOMERS
REVENUE FROM CONTRACTS WITH CUSTOMERS	NOTE S - REVENUE FROM CONTRACTS WITH CUSTOMERS On January 1, 2018, the Company adopted ASU No. 2014‑09, Revenue from Contracts with Customers. ASU 2014‑09 implements a common revenue standard that clarifies the principles for recognizing revenue. The core principle of ASU 2014‑09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve that core principle, an entity should apply the following steps: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract; (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company concluded that there was no change to the timing and pattern of revenue recognition for its current revenue streams or the presentation of revenue as gross versus net. No adjustment to retained earnings was required on the adoption date. Because there was no change to the timing and pattern of revenue recognition, there were no material changes to the Company’s processes and internal controls. All of the Company’s revenue from contracts with customers within the scope of ASC 606 is recognized within non-interest income. The guidance does not apply to revenue associated with financial instruments, including loans and investment securities that are accounted for under other GAAP, which comprise a significant portion of our revenue stream. A description of the Company’s revenue streams accounted for under ASC 606 is as follows: Service Charges on Deposit Accounts : The Company earns fees from deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed at the point in the time the Company fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Company satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance. Interchange Income : The Company earns interchange fees from debit and credit card holder transaction conducted through various payment networks. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided by the cardholder. Gains/Losses on Sales of OREO : The Company records a gain or loss from the sale of OREO when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances the sale of OREO to the buyer, the Company assesses whether the buyer is committed to perform their obligations under the contract and whether the collectability of the transaction prices is probable. Once these criteria are met, the OREO asset is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. In determining the gain or loss on the sale, the Company adjusts the transaction price and related gain (loss) on sale if a significant financing component is present. All of the Company’s revenue from contracts with customers in the scope of ASC 606 is recognized within non-interest income. The following table presents the Company’s sources of non-interest income for December 31, 2019 and 2018. Items outside the scope of ASC 606 are noted as such. Year Ended December 31, 2019 Commercial/ Mortgage Revenue by Operating Segments Retail Banking Holding ($ in thousands) Bank Division Company Total Non-interest income Service charges on deposits Overdraft fees $ 4,277 $ 1 $ — $ 4,278 Other 3,558 2 — 3,560 Interchange income 8,024 — — 8,024 Investment brokerage fees 83 — — 83 Net gains (losses) on OREO (144) — — (144) Net gains (losses) on sales of securities (a) 122 — — 122 Other 3,977 5,985 1,062 11,024 Total non-interest income $ 19,897 $ 5,988 $ 1,062 $ 26,947 Year Ended December 31, 2018 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Non-interest income Service charges on deposits Overdraft fees $ 3,306 $ 2 $ — $ 3,308 Other 2,483 2 — 2,485 Interchange income 5,247 — — 5,247 Investment brokerage fees 43 — — 43 Net (losses) gains on OREO 60 — — 60 Net gains on sale of loans (a) 33 — — 33 Net gains (losses) on sales of securities (a) 334 — — 334 Other 3,142 4,044 1,865 9,051 Total non-interest income $ 14,648 $ 4,048 $ 1,865 $ 20,561 (a) Not within scope of ASC 606

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2019
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE T – SUBSEQUENT EVENTS Subsequent events have been evaluated by management through the date the financial statements were issued.

PARENT COMPANY FINANCIAL INFORM

PARENT COMPANY FINANCIAL INFORMATION	12 Months Ended
	Dec. 31, 2019
PARENT COMPANY FINANCIAL INFORMATION
PARENT COMPANY FINANCIAL INFORMATION	NOTE U - PARENT COMPANY FINANCIAL INFORMATION The balance sheets, statements of income and cash flows for The First Bancshares, Inc. (parent company only) follow. Condensed Balance Sheets December 31, ($ in thousands) 2019 2018 Assets: Cash and cash equivalents $ 5,941 $ 3,081 Investment in subsidiary bank 616,807 434,352 Investments in statutory trusts 496 496 Bank owned life insurance 4,200 4,087 Other 2,292 2,927 $ 629,736 $ 444,943 Liabilities and Stockholders’ Equity: Subordinated debentures $ 80,678 $ 80,521 Advances from First Horizon Bank 5,354 — Other 46 1,168 Stockholders’ equity 543,658 363,254 $ 629,736 $ 444,943 Condensed Statements of Income Years Ended December 31, ($ in thousands) 2019 2018 2017 Income: Interest and dividends $ 26 $ 11 $ 8 Dividend income 50,390 13,889 3,675 Other 1,062 1,865 51 51,478 15,765 3,734 Expenses: Interest on borrowed funds 4,918 3,454 860 Legal and professional 3,401 3,833 1,097 Other 2,418 1,755 1,349 10,737 9,042 3,306 Income before income taxes and equity in undistributed income of subsidiary 40,741 6,723 428 Income tax benefit 2,291 1,496 1,222 Income before equity in undistributed income of Subsidiary 43,032 8,219 1,650 Equity in undistributed income of subsidiary 713 13,006 8,966 Net income $ 43,745 $ 21,225 $ 10,616 Condensed Statements of Cash Flows Years Ended December 31, ($ in thousands) 2019 2018 2017 Cash flows from operating activities: Net income $ 43,745 $ 21,225 $ 10,616 Adjustments to reconcile net income to net cash used in operating activities: Equity in undistributed income of Subsidiary (713) (13,006) (8,966) Restricted stock expense 1,661 1,154 867 Gain on disposition of CVR — — (51) Other, net 1,185 1,364 (625) Net cash provided by operating activities 45,878 10,737 1,841 Cash flows from investing activities: Investment in subsidiary bank — (27,000) (35,000) Net outlays for acquisitions (32,363) (47,041) — Net cash used in investing activities (32,363) (74,041) (35,000) Cash flows from financing activities: Dividends paid on common stock (5,190) (2,557) (1,416) Repurchase of restricted stock for payment of taxes (63) (23) (329) Common stock repurchased (5,229) — — Net proceeds from issuance of 2,012,500 shares — (237) 55,271 Proceeds (repayment) of borrowed funds (173) (16,000) — Issuance of subordinated debt — 64,766 — Net cash provided by (used in) financing Activities (10,655) 45,949 53,526 Net increase (decrease) in cash and cash equivalents 2,860 (17,355) 20,367 Cash and cash equivalents at beginning of year 3,081 20,436 69 Cash and cash equivalents at end of year $ 5,941 $ 3,081 $ 20,436

OPERATING SEGMENTS

OPERATING SEGMENTS	12 Months Ended
	Dec. 31, 2019
OPERATING SEGMENTS
OPERATING SEGMENTS	NOTE V - OPERATING SEGMENTS The Company is considered to have three principal business segments in 2019, 2018, and 2017, the Commercial/Retail Bank, the Mortgage Banking Division, and the Holding Company. Year Ended December 31, 2019 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Interest income $ 147,500 $ 1,003 $ 26 $ 148,529 Interest expense 21,388 417 4,918 26,723 Net interest income (loss) 126,112 586 (4,892) 121,806 Provision (credit) for loan losses 3,781 (43) — 3,738 Net interest income (loss) after provision for loan losses 122,331 629 (4,892) 118,068 Non-interest income 19,897 5,988 1,062 26,947 Non-interest expense 78,440 4,310 5,819 88,569 Income (loss) before income taxes 63,914 2,181 (9,649) 56,446 Income tax (benefit) expense 14,595 490 (2,384) 12,701 Net income (loss) $ 49,319 $ 1,691 $ (7,265) $ 43,745 Total Assets $ 3,902,703 $ 26,231 $ 12,929 $ 3,941,863 Net Loans 2,584,385 12,875 — 2,597,260 Year Ended December 31, 2018 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Interest income $ 98,758 $ 1,209 $ 11 $ 99,978 Interest expense 11,113 524 3,454 15,091 Net interest income (loss) 87,645 685 (3,443) 84,887 Provision (credit) for loan losses 2,259 (139) — 2,120 Net interest income (loss) after provision for loan losses 85,386 824 (3,443) 82,767 Non-interest income 14,648 4,048 1,865 20,561 Non-interest expense 66,875 3,848 5,588 76,311 Income (loss) before income taxes 33,159 1,024 (7,166) 27,017 Income tax (benefit) expense 7,034 254 (1,496) 5,792 Net income (loss) $ 26,125 $ 770 $ (5,670) $ 21,225 Total Assets $ 2,969,560 $ 23,865 $ 10,592 $ 3,003,986 Net Loans 2,038,395 16,799 — 2,055,195 Year Ended December 31, 2017 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Interest income $ 65,118 $ 943 $ 8 $ 66,069 Interest expense 6,048 1 860 6,909 Net interest income (loss) 59,070 942 (852) 59,160 Provision (credit) for loan losses 475 31 — 506 Net interest income (loss) after provision for loan losses 58,595 911 (852) 58,654 Non-interest income 9,807 4,505 51 14,363 Non-interest expense 49,143 3,857 2,446 55,446 Income (loss) before income taxes 19,259 1,559 (3,247) 17,571 Income tax (benefit) expense 7,740 437 (1,222) 6,955 Net income (loss) $ 11,519 $ 1,122 $ (2,025) $ 10,616 Total Assets $ 1,758,778 $ 32,234 $ 22,226 $ 1,813,238 Net Loans 1,196,365 25,443 — 1,221,808

SUMMARY OF QUARTERLY RESULTS OF

SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED)	12 Months Ended
	Dec. 31, 2019
SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED)
SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED)	NOTE W - SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED) ($ in thousands, except per share amounts) March 31 June 30 Sept. 30 Dec. 31 2019 Total interest income $ 33,273 $ 37,571 $ 37,241 $ 40,444 Total interest expense 6,142 6,799 6,782 7,000 Net interest income $ 27,131 $ 30,772 $ 30,459 $ 33,444 Provision for loan losses 1,123 791 974 850 Net interest income after provision for loan losses 26,008 29,981 29,485 32,594 Total non-interest income 5,554 6,716 7,103 7,574 Total non-interest expense 21,893 20,891 20,825 24,960 Income tax expense 2,034 3,823 3,491 3,353 Net income available to common stockholders $ 7,635 $ 11,983 $ 12,272 $ 11,855 Per common share: Net income, basic $ 0.48 $ 0.69 $ 0.71 $ 0.64 Net income, diluted 0.63 0.70 0.74 0.72 Cash dividends declared 0.07 0.08 0.08 0.08 2018 Total interest income $ 18,758 $ 25,037 $ 25,628 $ 30,555 Total interest expense 2,379 3,468 3,959 5,285 Net interest income $ 16,379 $ 21,569 $ 21,669 $ 25,270 Provision for loan losses 277 857 412 574 Net interest income after provision for loan losses 16,102 20,712 21,257 24,696 Total non-interest income 3,459 5,632 5,074 6,396 Total non-interest expense 14,596 19,680 19,786 22,249 Income tax expense 1,008 1,419 1,383 1,982 Net income available to common stockholders $ 3,957 $ 5,245 $ 5,162 $ 6,861 Per common share: Net income, basic $ 0.34 $ 0.40 $ 0.39 $ 0.48 Net income, diluted 0.34 0.40 0.39 0.48 Cash dividends declared 0.05 0.05 0.05 0.05 2017 Total interest income $ 15,753 $ 16,464 $ 16,708 $ 17,143 Total interest expense 1,585 1,629 1,773 1,922 Net interest income 14,168 14,835 14,935 15,221 Provision for loan losses 46 248 90 122 Net interest income after provision for loan losses 14,122 14,587 14,845 15,099 Total non-interest income 3,391 3,757 3,658 3,556 Total non-interest expense 16,095 15,070 11,888 12,390 Income tax expense 296 908 1,901 3,851 Net income available to common stockholders $ 1,122 $ 2,366 $ 4,714 $ 2,414 Per common share: Net income, basic $ 0.12 $ 0.26 $ 0.52 $ 0.23 Net income, diluted 0.12 0.26 0.51 0.23 Cash dividends declared 0.0375 0.0375 0.0375 0.0375

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2019
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation	1. Principles of Consolidation The consolidated financial statements include the accounts of the Company and the Bank. All significant intercompany accounts and transactions have been eliminated.
Estimates	2. Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, acquisition accounting, intangible assets, and deferred tax assets.
Cash and Due From Banks	3. Cash and Due From Banks Included in cash and due from banks are legal reserve requirements which must be maintained on an average basis in the form of cash and balances due from the Federal Reserve. The reserve balance varies depending upon the types and amounts of deposits. At December 31, 2019, the required reserve balance on deposit with the Federal Reserve Bank was approximately $75.6 million.
Securities	4. Securities Investments in securities are accounted for as follows: Available-for-Sale Securities Securities classified as available-for-sale are those securities that are intended to be held for an indefinite period of time, but not necessarily to maturity. Any decision to sell a security classified as available-for-sale would be based on various factors, including movements in interest rates, liquidity needs, security risk assessments, changes in the mix of assets and liabilities and other similar factors. These securities are carried at their estimated fair value, and the net unrealized gain or loss is reported net of tax, as component of accumulated other comprehensive income (loss) in stockholders’ equity, until realized. Premiums and discounts are recognized in interest income using the interest method. Gains and losses on the sale of available-for-sale securities are determined using the adjusted cost of the specific security sold. Securities to be Held-to-Maturity Securities classified as held-to-maturity are those securities for which there is a positive intent and ability to hold to maturity. These securities are carried at cost adjusted for amortization of premiums and accretion of discounts, computed by the interest method. Trading Account Securities Trading account securities are those securities which are held for the purpose of selling them at a profit. There were no trading account securities on hand at December 31, 2019 and 2018. Equity Securities Equity securities are carried at fair value, with changes in fair value reported in net income. Equity securities without readily determinable fair values are carried at cost, minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment. There were no equity securities on hand at December 31, 2019 and 2018. Other Securities Other securities are carried at cost and are restricted in marketability. Other securities consist of investments in the Federal Home Loan Bank (FHLB), Federal Reserve Bank and First National Bankers’ Bankshares, Inc. Management reviews for impairment based on the ultimate recoverability of the cost basis. Shares of Federal Home Loan Bank (FHLB), Federal Reserve Bank and First National Bankers’ Bankshares, Inc. common stock are equity securities that do not have a readily determinable fair value because their ownership is restricted and lacks marketability. The common stock is carried at cost and evaluated for impairment. The Company’s investment in member bank stock is included in other securities in the accompanying consolidated balance sheets. Management reviews for impairment based on the ultimate recoverability of the cost basis. No other-than-temporary impairment was noted for the years ended December 31, 2019, 2018 and 2017. Interest Income Interest income includes amortization of purchase premium or discount. Premiums and discounts on securities are amortized on the level-yield method without anticipating prepayments, except for mortgage backed securities where prepayments are anticipated. Gains and losses on sales are recorded on the trade date and determined using the specific identification method. On January 1, 2018, the Company adopted the new accounting standard for Financial Instruments, which requires investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with the changes in fair value recognized in net income. The adoption of this guidance in 2018 resulted in a $348 thousand decrease to retained earnings. Other-than-Temporary Impairment (“OTTI”) Management evaluates investment securities for other-than-temporary impairment on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss, and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the income statement and 2) other-than-temporary impairment (OTTI) related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. For equity securities, the entire amount of impairment is recognized through earnings.
Loans held for sale	5. Loans held for sale The Bank originates fixed rate single family, residential first mortgage loans on a presold basis. The Bank issues a rate lock commitment to a customer and concurrently “locks in” with a secondary market investor under a best efforts delivery mechanism. Such loans are sold without the mortgage servicing rights being retained by the Bank. The terms of the loan are dictated by the secondary investors and are transferred within several weeks of the Bank initially funding the loan. The Bank recognizes certain origination fees and service release fees upon the sale, which are included in other income on loans in the consolidated statements of income. Between the initial funding of the loans by the Bank and the subsequent purchase by the investor, the Bank carries the loans held for sale at the lower of cost or fair value in the aggregate as determined by the outstanding commitments from investors.
Loans	6. Loans Loans are carried at the principal amount outstanding, net of the allowance for loan losses. Interest income on loans is recognized based on the principal balance outstanding and the stated rate of the loan. Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment of the related loan yield using the interest method. A loan is considered impaired, in accordance with the impairment accounting guidance of Accounting Standards Codification (ASC) Section 310‑10‑35, Receivables, Subsequent Measurement , when, based upon current events and information, it is probable that the scheduled payments of principal and interest will not be collected in accordance with the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral values, and the probability of collecting scheduled payments of principal and interest when due. Generally, impairment is measured on a loan by loan basis using the fair value of the supporting collateral. Loans are generally placed on a non-accrual status, and the accrual of interest on such loan is discontinued, when principal or interest is past due ninety days or when specifically determined to be impaired unless the loan is well-secured and in the process of collection. When a loan is placed on non-accrual status, interest accrued but not received is generally reversed against interest income. If collectability is in doubt, cash receipts on non-accrual loans are used to reduce principal rather than recorded in interest income. Past due status is determined based upon contractual terms. Loans are returned to accrual status when the obligation is brought current or has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectability of the total contractual principal and interest is no longer in doubt.
Allowance for Loan Losses	7. Allowance for Loan Losses The allowance for loan losses is a valuation allowance reserved for probable incurred credit losses. A charge is taken against the allowance for loan losses when management believes the collectibility of the loan principal is confirmed to be unlikely. Subsequent recoveries, if any, are credited back to the allowance. Management evaluates the adequacy of the allowance for loan losses on a regular basis. These evaluations are based upon a periodic review of the historical loan loss experience, the nature and value of the loan portfolio, underlying collateral values, internal and independent loan reviews, and prevailing economic conditions. In addition, the OCC, as a part of the regulatory examination process, reviews the loan portfolio and the allowance for loan losses and may require changes in the allowance based upon information available at the time of the examination. The allowance consists of two components, a reserve for general pool (or formula pool) loans that are collectively evaluated for impairment, and a reserve for loans individually evaluated for impairment based on expected loan specific losses. These components represent an estimation performed pursuant to either ASC Topic 450, Contingencies , or ASC Subtopic 310‑10, Receivables . Loans individually evaluated for specific impairment are loans where management has determined that all amounts due according to the contractual terms of the loan agreement are unable to be collected. Loans that are considered to be troubled debt restructurings (TDRs) are individually evaluated for specific impairment as well. Factors considered in determining impairment include the present value of estimated future cash flows when there is a possibility of collecting principal and interest payments as scheduled, or by using the fair value less liquidation costs of collateral if it is expected that this is the only future possibility of repayment. The general pool (or formula pool) loan impairment is calculated using the Bank’s actual loan loss history segregated by portfolio segment grouping together loans with similar risk characteristics. The four major segments or “bands” are Commercial Real Estate, Commercial Non-Real Estate, Consumer Real Estate, and Consumer Non-Real Estate. These loss factors are also supplemented with other qualitative and economic factors including but not limited to current local and national economic conditions, changes in lending policies/management/staff, changes in credit concentrations, as well as trends in the volume and size of loans. The Bank also has acquired loan portfolios accounted for under the acquisition method of accounting. Within these portfolios are purchased credit impaired loans accounted for under ASC Topic 310‑30. Impairment may be determined specifically at an individual loan level, or estimated on various pools of loans having common risk characteristics.
Purchased Credit Impaired Loans ("PCI")	8. Purchased Credit Impaired Loans (“PCI”) The Company purchases individual loans and groups of loans, some of which have shown evidence of credit deterioration since origination. These purchased credit impaired loans are recorded at the amount paid, such that there is no carryover of the seller’s allowance for loan losses. After acquisition, losses are recognized by an increase in the allowance for loan losses. Such purchased credit impaired loans are accounted for individually or aggregated into pools of loans based on common risk characteristics such as credit score, loan type, and date of origination. The Company estimates the amount and timing of expected cash flows for each loan or pool, and the expected cash flows in excess of amount paid is recorded as interest income over the remaining life of the loan or pool (accretable yield). The excess of the loan’s or pool’s contractual principal and interest over expected cash flows is not recorded (nonaccretable difference). Over the life of the loan or pool, expected cash flows continue to be estimated. If the present value of expected cash flows is less than the carrying amount, a loss is recorded as a provision for loan losses. If the present value of expected cash flows is greater than the carrying amount, it is recognized as part of future interest income.
Premises and Equipment	9. Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation. The depreciation policy is to provide for depreciation over the estimated useful lives of the assets using the straight-line method. Repairs and maintenance expenditures are charged to operating expenses; major expenditures for renewals and betterments are capitalized and depreciated over their estimated useful lives. Upon retirement, sale, or other disposition of property and equipment, the cost and accumulated depreciation are eliminated from the accounts, and any gains or losses are included in operations. Building and related components are depreciated using the straight-line method with useful lives ranging from 10 to 39 years. Furniture, fixtures and equipment are depreciated using the straight-line (or accelerated) method with useful lives ranging from 3 to 10 years.
Other Real Estate Owned	10. Other Real Estate Owned Other real estate owned consists of properties acquired through foreclosure and, as held for sale property, are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through completion of a deed in lieu of foreclosure or through similar legal agreement. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. If fair value declines subsequent to foreclosure, a valuation allowance is recorded through expense. Operation costs after acquisition are expensed. Any write-down to fair value required at the time of foreclosure is charged to the allowance for loan losses. Subsequent gains or losses on other real estate are reported in other operating income or expenses. At December 31, 2019 and 2018, other real estate owned totaled $7.3 million and $10.9 million, respectively.
Goodwill and Other Intangible Assets	11. Goodwill and Other Intangible Assets The change in goodwill during the year is as follows ($ in thousands): 2019 2018 2017 Beginning of year $ 89,750 $ 19,960 $ 13,776 Acquired goodwill 68,822 69,790 6,184 End of year $ 158,572 $ 89,750 $ 19,960 The Company performed the required annual impairment tests of goodwill and other intangibles as of December 1, 2019. The Company’s annual impairment test did not indicate impairment as of the testing date, and subsequent to that date, management is not aware of any events or changes in circumstances since the impairment test that would indicate that goodwill or other intangibles might be impaired. All goodwill is related to the Commercial/Retail Bank segment of the Company. The Company’s acquisition method recognized intangible assets, which are subject to amortization, and included in other assets in the accompanying consolidated balance sheets, are core deposit intangibles, amortized on a straight-line basis, over a 10 year average life. The definite-lived intangible assets had the following carrying values at December 31, 2019 and 2018: 2019 Gross Net Carrying Accumulated Carrying ($ in thousands) Amount Amortization Amount Core deposit intangibles $ 38,095 $ (7,802) $ 30,293 2018 Gross Net Carrying Accumulated Carrying Amount Amortization Amount Core deposit intangibles $ 27,752 $ (4,586) $ 23,166 The related amortization expense of business combination related intangible assets is as follows: ($ in thousands) Amount Aggregate amortization expense for the year ended December 31: 2017 $ 664 2018 1,656 2019 3,216 Amount Estimated amortization expense for the year ending December 31: 2020 $ 3,751 2021 3,681 2022 3,511 2023 3,466 2024 3,436 Thereafter 12,448 $ 30,293
Other Assets and Cash Surrender Value	12. Other Assets and Cash Surrender Value The Company invests in bank owned life insurance (BOLI). BOLI involves the purchase of life insurance by the Company on a chosen group of employees. The Company is the owner of the policies and, accordingly, the cash surrender value of the policies is reported as an asset, and increases in cash surrender values are reported as income.
Other Liabilities	13. Other Liabilities Financing costs related to the issuance of junior subordinated debentures are being amortized over the life of the instruments and are included in other liabilities.
Restricted Stock	14. Restricted Stock The Company accounts for stock based compensation in accordance with ASC Topic 718, Compensation - Stock Compensation . Compensation cost is recognized for all restricted stock granted based on the weighted average fair value stock price at the grant date.
Income Taxes	15. Income Taxes The Company and its subsidiary file consolidated income tax returns. The subsidiary provides for income taxes on a separate return basis and remits to the Company amounts determined to be payable. Income taxes are provided for the tax effects of the transactions reported in the financial statements and consist of taxes currently payable plus deferred taxes related primarily to differences between the bases of assets and liabilities as measured by income tax laws and their bases as reported in the financial statements. The deferred tax assets and liabilities represent the future tax consequences of those differences, which will either be taxable or deductible when the assets and liabilities are recovered or settled. ASC Topic 740, Income Taxes, provides guidance on financial statement recognition and measurement of tax positions taken, or expected to be taken, in tax returns. ASC Topic 740 requires an evaluation of tax positions to determine if the tax positions will more likely than not be sustainable upon examination by the appropriate taxing authority. The Company, at December 31, 2019 and 2018, had no uncertain tax positions that qualify for either recognition or disclosure in the financial statements.
Advertising Costs	16. Advertising Costs Advertising costs are expensed in the period in which they are incurred. Advertising expense for the years ended December 31, 2019, 2018 and 2017, was $648 thousand, $382 thousand, and $336 thousand, respectively.
Statements of Cash Flows	17. Statements of Cash Flows For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks, interest-bearing deposits with banks and federal funds sold. Generally, federal funds are sold for a one to seven day period.
Off-Balance Sheet Financial Instruments	18. Off-Balance Sheet Financial Instruments In the ordinary course of business, the subsidiary bank enters into off-balance sheet financial instruments consisting of commitments to extend credit, credit card lines and standby letters of credit. Such financial instruments are recorded in the financial statements when they are exercised.
Earnings Available to Common Stockholders	19. Earnings Available to Common Stockholders Per share amounts are presented in accordance with ASC Topic 260, Earnings Per Share. Under ASC Topic 260, two per share amounts are considered and presented, if applicable. Basic per share data is calculated based on the weighted-average number of common shares outstanding during the reporting period. Diluted per share data includes any dilution from securities that may be converted into common stock, such as outstanding restricted stock. There were no anti-dilutive common stock equivalents excluded in the calculations. The following tables disclose the reconciliation of the numerators and denominators of the basic and diluted computations available to common stockholders ($ in thousands, except per share amount): For the Year Ended December 31, 2019 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 43,745 17,050,095 $ 2.57 Effect of dilutive shares: Restricted Stock — 133,990 $ 43,745 17,184,085 $ 2.55 For the Year Ended December 31, 2018 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 21,225 12,985,733 $ 1.63 Effect of dilutive shares: Restricted Stock — 108,192 $ 21,225 13,093,925 $ 1.62 For the Year Ended December 31, 2017 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 10,616 9,484,460 $ 1.12 Effect of dilutive shares: Restricted Stock — 76,800 $ 10,616 9,561,260 $ 1.11 The diluted per share amounts were computed by applying the treasury stock method.
Mergers and Acquisitions	20. Mergers and Acquisitions Business combinations are accounted for under ASC 805, “ Business Combinations ”, using the acquisition method of accounting. The acquisition method of accounting requires an acquirer to recognize the assets acquired and the liabilities assumed at the acquisition date measured at their fair values as of that date. To determine the fair values, the Company relies on third party valuations, such as appraisals, or internal valuations based on discounted cash flow analyses or other valuation techniques. Under the acquisition method of accounting, the Company identifies the acquirer and the closing date and applies applicable recognition principles and conditions. Acquisition-related costs are costs the Company incurs to effect a business combination. Those costs include advisory, legal, accounting, valuation, and other professional or consulting fees. Some other examples of costs to the Company include systems conversion, integration planning consultants and advertising costs. The Company accounts for acquisition-related costs as expenses in the periods in which the costs are incurred and the services are received, with one exception. The costs to issue debt or equity securities is recognized in accordance with other applicable GAAP. These acquisition-related costs have been and will be included within the Consolidated Statements of Income classified within the non-interest expense caption.
Investment in Limited Partnership	21. Investment in Limited Partnership The Company invested $4.4 million in a limited partnership that provides low-income housing. The Company is not the general partner and does not have controlling ownership. The carrying value of the Company’s investment in the limited partnership was $3.0 million at December 31, 2019 and $3.4 million at December 31, 2018, net of amortization, using the proportional method and is reported in other assets on the Consolidated Balance Sheets. The Company’s maximum exposure to loss is limited to the carrying value of its investment. The Company received $481 thousand in low-income housing tax credits during 2019, 2018 and 2017.
Reclassifications	22. Reclassifications Certain reclassifications have been made to the 2018 and 2017 financial statements to conform with the classifications used in 2019. These reclassifications did not impact the Company’s consolidated financial condition or results of operations.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2019
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Schedule of change in goodwill	The change in goodwill during the year is as follows ($ in thousands): 2019 2018 2017 Beginning of year $ 89,750 $ 19,960 $ 13,776 Acquired goodwill 68,822 69,790 6,184 End of year $ 158,572 $ 89,750 $ 19,960
Schedule of Condensed Balance Sheets	The definite-lived intangible assets had the following carrying values at December 31, 2019 and 2018: 2019 Gross Net Carrying Accumulated Carrying ($ in thousands) Amount Amortization Amount Core deposit intangibles $ 38,095 $ (7,802) $ 30,293 2018 Gross Net Carrying Accumulated Carrying Amount Amortization Amount Core deposit intangibles $ 27,752 $ (4,586) $ 23,166
Amortization Expense of Purchase Accounting Intangible Assets	The related amortization expense of business combination related intangible assets is as follows: ($ in thousands) Amount Aggregate amortization expense for the year ended December 31: 2017 $ 664 2018 1,656 2019 3,216 Amount Estimated amortization expense for the year ending December 31: 2020 $ 3,751 2021 3,681 2022 3,511 2023 3,466 2024 3,436 Thereafter 12,448 $ 30,293
Reconciliation of Numerators and Denominators of Basic and Diluted Computations Applicable to Common Stockholders	For the Year Ended December 31, 2019 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 43,745 17,050,095 $ 2.57 Effect of dilutive shares: Restricted Stock — 133,990 $ 43,745 17,184,085 $ 2.55 For the Year Ended December 31, 2018 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 21,225 12,985,733 $ 1.63 Effect of dilutive shares: Restricted Stock — 108,192 $ 21,225 13,093,925 $ 1.62 For the Year Ended December 31, 2017 Net Weighted Average Income Shares Per Share (Numerator) (Denominator) Amount Basic per common Share $ 10,616 9,484,460 $ 1.12 Effect of dilutive shares: Restricted Stock — 76,800 $ 10,616 9,561,260 $ 1.11

BUSINESS COMBINATIONS (Tables)

BUSINESS COMBINATIONS (Tables)	12 Months Ended
	Dec. 31, 2019
Business Acquisition, Pro Forma Information	The following table presents certain supplemental pro forma information, for illustrative purposes only, for the years December 31, 2019 and 2018 as if the Southwest Banc Shares, Sunshine Financial, FMB, FPB and FFB acquisitions had occurred on January 1, 2018. The pro forma financial information is not necessarily indicative of the results of operations had the acquisitions been effective as of this date. Pro Forma for the Year Ended December 31, 2019 2018 ($ in thousands) (unaudited) (unaudited) Net interest income $ 137,655 $ 138,422 Non-interest income 30,699 29,434 Total revenue 168,354 167,856 Income before income taxes 77,936 55,069
First Florida Bancorp, Inc [Member]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	Purchase price: Cash and stock $ 89,520 Total purchase price 89,520 Identifiable assets: Cash and due from banks 50,169 Investments 122,084 Loans 247,263 Core deposit intangible 3,745 Personal and real property 4,991 Other assets 2,283 Total assets 430,535 Continued: Liabilities and equity: Deposits 373,908 Borrowed funds 5,527 Other liabilities 1,619 Total liabilities 381,054 Net assets acquired 49,481 Goodwill resulting from acquisition $ 40,039
Business Combination, Separately Recognized Transactions	Outstanding principal balance $ 245,190 Carrying amount 243,601
FPB
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	Purchase price: Cash and stock $ 78,225 Total purchase price 78,225 Continued: Identifiable assets: Cash and due from banks 14,748 Investments 93,604 Loans 244,665 Bank owned life insurance 7,312 Core deposit intangible 6,597 Personal and real property 17,358 Other assets 1,152 Total assets 385,436 Liabilities and equity: Deposits 312,453 Borrowed funds 17,250 Other liabilities 6,291 Total liabilities 335,994 Net assets acquired 49,442 Goodwill resulting from acquisition $ 28,783
Business Combination, Separately Recognized Transactions	Outstanding principal balance $ 192,126 Carrying amount 190,034
FMB
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table summarizes the finalized fair values of the assets acquired and liabilities assumed on November 1, 2018: Measurement As Initially Period ($ in thousands) Reported Adjustments As Adjusted Identifiable assets: Cash and due from banks $ 28,556 $ — $ 28,556 Investments 97,331 — 97,331 Loans 317,909 — 317,909 Bank owned life insurance 13,639 — 13,639 Core deposit intangible 10,203 — 10,203 Personal and real property 15,204 (254) 14,950 Other assets 2,902 152 3,054 Total assets 485,744 (102) 485,642 Liabilities and equity: Deposits 431,276 — 431,276 Borrowed funds 5,369 — 5,369 Other liabilities 5,894 — 5,894 Total liabilities 442,539 — 442,539 Net assets acquired 43,205 (102) 43,103 Consideration paid 79,547 — 79,547 Goodwill resulting from acquisition $ 36,342 $ (102) $ 36,444
Business Combination, Separately Recognized Transactions	Outstanding principal balance $ 222,464 Carrying amount 217,539

SECURITIES (Tables)

SECURITIES (Tables)	12 Months Ended
	Dec. 31, 2019
SECURITIES
Schedule of amortized cost and fair value of available-for-sale securities and held-to-maturity securities	The following table summarizes the amortized cost and fair value of securities available-for-sale and securities held-to-maturity at December 31, 2019 and 2018 and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses: December 31, 2019 Gross Gross Amortized Unrealized Unrealized Fair ($ in thousands) Cost Gains Losses Value Available-for-sale securities: U.S Treasury $ 4,967 $ — $ 73 $ 4,894 Obligations of U.S. government agencies and sponsored entities 76,699 1,475 224 77,950 Tax-exempt and taxable obligations of states and municipal subdivisions 253,527 5,602 147 258,982 Mortgage-backed securities – residential 263,229 4,726 107 267,848 Mortgage-backed securities – commercial 125,292 2,398 223 127,467 Corporate obligations 27,877 218 149 27,946 Total available-for-sale $ 751,591 $ 14,419 $ 923 $ 765,087 December 31, 2018 Gross Gross Amortized Unrealized Unrealized Fair ($ in thousands) Cost Gains Losses Value Available-for-sale securities: Obligations of U.S. government agencies and sponsored entities $ 47,212 $ 405 $ 275 $ 47,342 Tax-exempt and taxable obligations of states and municipal subdivisions 150,215 1,070 1,221 150,064 Mortgage-backed securities – residential 250,132 727 3,407 247,452 Mortgage-backed securities – commercial 39,613 444 39 40,018 Corporate obligations 7,518 15 185 7,348 Total available-for-sale $ 494,690 $ 2,661 $ 5,127 $ 492,224 Held-to-maturity securities: Taxable obligations of states and municipal subdivisions $ 6,000 $ 1,028 $ — $ 7,028 Total held-to-maturity $ 6,000 $ 1,028 $ — $ 7,028
Schedule of fair value of debt securities	The amortized cost and fair value of debt securities are shown by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. ($ in thousands) December 31, 2019 Amortized Fair Available-for-Sale Cost Value Within one year $ 30,141 $ 30,303 One to five years 80,119 81,372 Five to ten years 143,811 148,085 Beyond ten years 108,999 110,012 Mortgage-backed securities: residential 263,229 267,848 Mortgage-backed securities: commercial 125,292 127,467 Total $ 751,591 $ 765,087
Schedule of sales and calls of securities	The proceeds from sales and calls of securities and the associated gains and losses are listed below: ($ in thousands) 2019 2018 2017 Gross gains $ 147 $ 880 $ 5 Gross losses 25 546 21 Realized net gain (loss) $ 122 $ 334 $ (16)
Schedule of securities classified as available-for-sale with unrealized losses	The following table summarizes available-for-sale securities with unrealized and unrecognized losses at December 31, 2019 and December 31, 2018, aggregated by major security type and length of time in a continuous unrealized or unrecognized loss position: 2019 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized ($ in thousands) Value Losses Value Losses Value Losses U.S. Treasury $ — $ — $ 4,894 $ 73 $ 4,894 $ 73 Obligations of U.S. government agencies and sponsored entities — — 22,987 224 22,987 224 Tax-exempt and taxable obligations of states and municipal subdivisions — — 28,235 147 28,235 147 Mortgage-backed securities: residential — — 29,930 107 29,930 107 Mortgage-backed securities: commercial 9,306 16 19,130 207 28,436 223 Corporate obligations 500 — 10,572 149 11,072 149 Total available-for-sale $ 9,806 $ 16 $ 115,748 $ 907 $ 125,554 $ 923 2018 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses Obligations of U.S. government agencies and sponsored entities $ 11,034 $ 52 $ 7,838 $ 223 $ 18,872 $ 275 Tax-exempt and taxable obligations of states and municipal subdivisions 38,200 311 42,102 910 80,302 1,221 Mortgage-backed securities 93,294 843 101,005 2,603 194,299 3,446 Corporate obligations 1,962 40 4,969 145 6,931 185 Total available-for-sale $ 144,490 $ 1,246 $ 155,914 $ 3,881 $ 300,404 $ 5,127

LOANS (Tables)

LOANS (Tables)	12 Months Ended
	Dec. 31, 2019
LOANS
Schedule of composition of loan portfolio	The following table shows the composition of the loan portfolio by category: December 31, 2019 December 31, 2018 Percent Percent of of ($ in thousands) Amount Total Amount Total Mortgage loans held for sale $ 10,810 0.4 % $ 4,838 0.3 % Commercial, financial and agricultural 332,600 12.7 % 301,182 14.6 % Real Estate: Mortgage-commercial 1,028,012 39.4 % 776,880 37.6 % Mortgage-residential 814,282 31.2 % 617,804 29.9 % Construction 359,195 13.8 % 298,718 14.5 % Lease financing receivable 3,095 0.1 % 2,891 0.1 % Obligations of states and subdivisions 20,716 0.8 % 16,941 0.8 % Installment and other 42,458 1.6 % 46,006 2.2 % Total loans 2,611,168 100 % 2,065,260 100 % Allowance for loan losses (13,908) (10,065) Net loans $ 2,597,260 $ 2,055,195
Schedule of allowance for loan and losses	Activity in the allowance for loan losses for December 31, 2019, 2018 and 2017 was as follows: ($ in thousands) 2019 2018 2017 Balance at beginning of period $ 10,065 $ 8,288 $ 7,510 Prior period reclassification – Mortgage Reserve Funding — (181) — Beginning balance of allowance restated 10,065 8,107 7,510 Loans charged-off: Commercial, financial and agriculture (141) (265) (62) Commercial real estate (54) (222) (110) Consumer real estate (163) (7) (152) Installment and other (306) (87) (81) Total (664) (581) (405) Recoveries on loans previously charged-off: Commercial, financial and agriculture 85 44 50 Commercial real estate 142 44 279 Consumer real estate 240 183 243 Installment and other 302 148 105 Total 769 419 677 Net (Charge-offs) Recoveries 105 (162) 272 Provision for Loan Losses 3,738 2,120 506 Balance at end of period $ 13,908 $ 10,065 $ 8,288
Schedule of allowance for loan losses and loan percentage	The following tables represent how the allowance for loan losses is allocated to a particular loan type as well as the percentage of the category to total loans at December 31, 2019 and 2018. Allocation of the Allowance for Loan Losses December 31, 2019 ($ in thousands) % of loans in each category Amount to total loans Commercial, financial and agriculture $ 3,043 13.1 % Commercial real estate 8,836 65.5 % Consumer real estate 1,694 19.8 % Installment and other 296 1.6 % Unallocated 39 — Total $ 13,908 100 % December 31, 2018 % of loans in each category Amount to total loans Commercial, financial and agriculture $ 2,060 14.8 % Commercial real estate 6,258 64.6 % Consumer real estate 1,743 18.9 % Installment and other 201 1.7 % Unallocated (197) — Total $ 10,065 100 %
Schedule of loans and allowance for loan losses	The impairment evaluation corresponds to the Company's systematic methodology for estimating its Allowance for Loan Losses ($ in thousands). Commercial, Installment December 31, 2019 Financial and Commercial Consumer and Agriculture Real Estate Real Estate Other Unallocated Total Loans Individually evaluated $ 2,493 $ 25,984 $ 1,181 $ 281 $ — $ 29,939 Collectively evaluated 339,003 1,773,934 398,471 41,112 — 2,552,520 PCI Loans 191 10,471 7,204 33 — 17,899 Total $ 341,687 $ 1,810,389 $ 406,856 $ 41,426 $ — $ 2,600,358 Allowance for Loan Losses Individually evaluated $ 1,182 $ 3,021 $ 141 $ 80 $ — $ 4,424 Collectively evaluated 1,861 5,815 1,553 216 39 9,484 Total $ 3,043 $ 8,836 $ 1,694 $ 296 $ 39 $ 13,908 Commercial, Installment December 31, 2018 Financial and Commercial Consumer and Agriculture Real Estate Real Estate Other Unallocated Total Loans Individually evaluated $ 1,657 $ 10,932 $ 804 $ 66 $ — $ 13,459 Collectively evaluated 302,329 1,309,322 383,368 34,292 — 2,029,311 PCI Loans 197 11,626 5,777 52 — 17,652 Total $ 304,183 $ 1,331,880 $ 389,949 $ 34,410 $ — $ 2,060,422 Allowance for Loan Losses Individually evaluated $ 329 $ 758 $ 66 $ 26 $ — $ 1,179 Collectively evaluated 1,731 5,500 1,677 175 (197) 8,886 Total $ 2,060 $ 6,258 $ 1,743 $ 201 $ (197) $ 10,065
Schedule of impaired loans	The unpaid balance represents the recorded balance prior to any partial charge-offs. Average Interest Recorded Income December 31, 2019 Recorded Unpaid Related Investment Recognized ($ in thousands) Investment Balance Allowance YTD YTD Impaired loans with no related allowance: Commercial, financial and agriculture $ 59 $ 62 $ — $ 294 $ 7 Commercial real estate 13,556 13,671 — 10,473 591 Consumer real estate 542 594 — 2,173 — Consumer installment 21 21 — 23 — Total $ 14,178 $ 14,348 $ — $ 12,963 $ 598 Impaired loans with a related allowance: Commercial, financial and agriculture $ 2,434 $ 2,434 $ 1,182 $ 2,039 $ 13 Commercial real estate 12,428 12,563 3,021 10,026 49 Consumer real estate 639 657 141 560 3 Consumer installment 260 260 80 164 2 Total $ 15,761 $ 15,914 $ 4,424 $ 12,789 $ 67 Total Impaired Loans: Commercial, financial and agriculture $ 2,493 $ 2,496 $ 1,182 $ 2,333 $ 20 Commercial real estate 25,984 26,234 3,021 20,499 640 Consumer real estate 1,181 1,251 141 2,733 3 Consumer installment 281 281 80 187 2 Total Impaired Loans $ 29,939 $ 30,262 $ 4,424 $ 25,752 $ 665 Average Interest Recorded Income December 31, 2018 Recorded Unpaid Related Investment Recognized ($ in thousands) Investment Balance Allowance YTD YTD Impaired loans with no related allowance: Commercial, financial and agriculture $ 709 $ 709 $ — $ 379 $ 27 Commercial real estate 6,441 8,170 — 7,685 427 Consumer real estate 445 760 — 4,522 69 Consumer installment — — — 82 3 Total $ 7,595 $ 9,639 $ — $ 12,668 $ 526 Impaired loans with a related allowance: Commercial, financial and agriculture $ 960 $ 960 $ 329 $ 968 $ 3 Commercial real estate 4,512 4,512 758 2,868 176 Consumer real estate 366 366 66 555 16 Consumer installment 26 26 26 24 — Total $ 5,846 $ 5,864 $ 1,179 $ 4,415 $ 195 Commercial, financial and agriculture $ 1,669 $ 1,669 $ 329 $ 1,347 $ 30 Commercial real estate 10,953 12,682 758 10,553 603 Consumer real estate 811 1,126 66 5,077 85 Consumer installment 26 26 26 106 3 Total Impaired Loans $ 13,459 $ 15,503 $ 1,179 $ 17,083 $ 721 Average Interest Recorded Income December 31, 2017 Recorded Unpaid Related Investment Recognized ($ in thousands) Investment Balance Allowance YTD YTD Impaired loans with no related allowance: Commercial, financial and agriculture $ 270 $ 270 $ — $ 90 $ 1 Commercial real estate 4,080 4,176 — 3,502 101 Consumer real estate 2,180 2,424 — 1,897 83 Consumer installment 29 29 — 17 — Total $ 6,559 $ 6,899 $ — $ 5,506 $ 185 Impaired loans with a related allowance: Commercial, financial and agriculture $ 850 $ 850 $ 267 $ 262 $ 14 Commercial real estate 2,638 2,638 234 2,756 112 Average Interest Recorded Income Recorded Unpaid Related Investment Recognized Continued: Investment Balance Allowance YTD YTD Consumer real estate 504 504 137 493 15 Consumer installment 23 23 23 24 — Total $ 4,015 $ 4,015 $ 661 $ 3,535 $ 141 Total Impaired Loans: Commercial, financial and agriculture $ 1,120 $ 1,120 $ 267 $ 352 $ 15 Commercial real estate 6,718 6,814 234 6,258 213 Consumer real estate 2,684 2,928 137 2,390 98 Consumer installment 52 52 23 41 — Total Impaired Loans $ 10,574 $ 10,914 $ 661 $ 9,041 $ 326
Schedule of Payments receivable	($ in thousands) Southwest Sunshine FMB FPB FFB Total Contractually required payments at acquisition $ 925 $ 4,194 $ 9,939 $ 4,715 $ 947 $ 20,720 Cash flows expected to be collected at acquisition 706 3,894 8,604 4,295 955 18,454 Fair value of loans at acquisition 657 3,837 7,978 3,916 809 17,197
Schedule of credit impaired loans	Changes in the carrying amount and accretable yield for purchased credit impaired loans were as follows for the year ended December 31, 2019 and 2018 ($ in thousands): 2019 2018 Accretable Carrying Amount Accretable Carrying Amount Yield of Loans Yield of Loans Balance at beginning of period $ 3,835 $ 13,817 $ 836 $ 1,185 Reclassification from prior years — — 859 3,229 Additions, including transfers from non-accretable 525 5,250 2,487 12,290 Accretion (943) 943 (337) 337 Payments received, net — (5,528) — (3,214) Charge-off — — (10) (10) Balance at end of period $ 3,417 $ 14,482 $ 3,835 $ 13,817
Schedule of troubled debt restructurings	The following tables provide details of troubled debt restructurings (TDRs) during the twelve months ended December 31, 2019, 2018 and 2017 ($ in thousands, except for number of loans). Outstanding Outstanding Recorded Recorded Interest Investment Investment Number of Income December 31, 2019 Pre-Modification Post-Modification Loans Recognized Commercial, financial and agriculture $ 979 $ 1,023 7 $ 19 Commercial real estate 15,953 16,122 14 137 Residential real estate 551 553 3 12 Consumer installment 10 11 2 — Total $ 17,493 $ 17,709 26 $ 168 Outstanding Outstanding Recorded Recorded Interest Investment Investment Income December 31, 2018 Pre-Modification Post-Modification Number of Loans Recognized Commercial, financial and agriculture $ 681 $ 663 2 $ 23 Commercial real estate 3,536 3,532 3 80 Residential real estate — — — — Consumer installment — — — — Total $ 4,217 $ 4,195 5 $ 103 Outstanding Outstanding Recorded Recorded Interest Investment Investment Number of Income December 31, 2017 Pre-Modification Post-Modification Loans Recognized Commercial, financial and agriculture $ — $ — — $ — Commercial real estate 526 494 4 17 Residential real estate 66 64 1 4 Consumer installment — — — — Total $ 592 $ 558 5 $ 21
Schedule of Companys tdr	The following tables represents the Company’s TDRs for the year ended December 31, 2019, 2018 and 2017: Past Due 90 December 31, 2019 Current Past Due days and still ($ in thousands) Loans 30‑89 accruing Nonaccrual Total Commercial, financial and agriculture $ 583 $ 64 $ — $ 1,062 $ 1,709 Commercial real estate 4,299 809 109 19,991 25,208 Consumer real estate 1,905 112 58 2,940 5,015 Consumer installment 37 — — — 37 Total $ 6,824 $ 985 $ 167 $ 23,993 $ 31,969 Allowance for loan losses $ 128 $ — $ — $ 1,997 $ 2,125 Past Due 90 December 31, 2018 Current Past Due days and still ($ in thousands) Loans 30‑89 accruing Nonaccrual Total Commercial, financial and agriculture $ 13 $ 646 $ — $ 18 $ 676 Commercial real estate 4,827 — — 5,425 10,252 Consumer real estate 442 86 — 2,801 3,329 Consumer installment 25 — — 13 38 Total $ 5,307 $ 732 $ — $ 8,257 $ 14,295 Allowance for loan losses $ 80 $ 13 $ — $ 110 $ 203 Past Due 90 December 31, 2017 Current Past Due days and still ($ in thousands) Loans 30‑89 accruing Nonaccrual Total Commercial, financial and agriculture $ — $ — $ — $ — $ — Commercial real estate 3,702 92 — 1,024 4,818 Consumer real estate 1,013 89 — 987 2,089 Consumer installment — — 5 18 23 Total $ 4,715 $ 181 $ 5 $ 2,029 $ 6,930 Allowance for loan losses $ 100 $ 22 $ 5 $ 27 $ 154 The following table presents loans by modified as troubled debt restructurings for which there was a payment default within twelve months following the modification during the year ending December 2019, 2018 and 2017 ($ in thousands, except for number of loans). 2019 2018 2017 Troubled Debt Restructurings Number of Recorded Number of Recorded Number of Recorded That Subsequently Defaulted: Loans Investment Loans Investment Loans Investment Commercial, financial and agriculture 10 $ 458 2 $ 663 0 $ — Commercial real estate 4 15,423 2 3,419 2 302 Total 14 $ 15,881 4 $ 4,082 2 $ 302 The following tables summarize by class our loans classified as past due in excess of 30 days or more in addition to those loans classified as nonaccrual including PCI loans: December 31, 2019 Past Due 90 Total Past Due Days or Past Due, 30 to 89 More and Still NonAccrual Total ($ in thousands) Days Accruing NonAccrual PCI and PCI Loans Commercial, financial and agriculture $ $ $ $ $ $ Commercial real estate 2,447 1,046 22,441 3,844 29,778 1,387,207 Consumer real estate 4,569 1,608 1,902 8,148 16,227 814,282 Consumer installment 226 — 260 6 492 42,458 Lease financing receivable — — — — — 3,095 Obligations of states and subdivisions — — — — — 20,716 Total $ 7,757 $ 2,715 $ 26,740 $ 12,095 $ 49,307 $ 2,600,358 December 31, 2018 Past Due 90 Total Past Due Days or More Past Due, 30 to 89 and NonAccrual Total ($ in thousands) Days Still Accruing NonAccrual PCI and PCI Loans Commercial, financial and agriculture $ 1,650 $ — $ 1,024 $ 184 $ 2,858 $ 301,182 Commercial real estate 5,137 570 9,187 5,406 20,300 1,075,598 Consumer real estate 5,529 650 1,411 7,781 15,371 617,804 Consumer installment 506 45 46 34 631 46,006 Lease financing receivable — — — — — 2,891 Obligations of states and subdivisions — — — — — 16,941 Total $ 12,822 $ 1,265 $ 11,668 $ 13,405 $ 39,160 $ 2,060,422
Schedule of risk category of loans by class of loans	As of December 31, 2019 and 2018, and based on the most recent analysis performed, the risk category of loans by class of loans (excluding mortgage loans held for sale) was as follows: Commercial, December 31, 2019 Financial and Commercial Consumer Consumer ($ in thousands) Agriculture Real Estate Real Estate Installment Total Pass $ 327,205 $ 1,645,496 $ 499,426 $ 41,008 $ 2,513,135 Special Mention 3,493 8,876 1,194 21 13,584 Substandard 10,972 50,554 13,244 397 75,167 Doubtful 16 77 — — 93 Subtotal $ 341,686 $ 1,705,003 $ 513,864 $ 41,426 $ 2,601,979 Less: Unearned Discount — 1,621 — — 1,621 Loans, net of unearned discount $ 341,686 $ 1,703,382 $ 513,864 $ 41,426 $ 2,600,358 Commercial, December 31, 2018 Financial and Commercial Consumer Consumer ($ in thousands) Agriculture Real Estate Real Estate Installment Total Pass $ 300,685 $ 1,286,151 $ 377,028 $ 34,127 $ 1,997,991 Special Mention 842 12,401 1,962 13 15,218 Substandard 2,640 33,856 10,959 270 47,725 Doubtful 16 85 — — 101 Subtotal $ 304,183 $ 1,332,493 $ 389,949 $ 34,410 $ 2,061,035 Less: Unearned Discount — 613 — — 613 Loans, net of unearned discount $ 304,183 $ 1,331,880 $ 389,949 $ 34,410 $ 2,060,422

PREMISES AND EQUIPMENT (Tables)

PREMISES AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2019
PREMISES AND EQUIPMENT
Schedule of Property, Plant and Equipment	Premises and equipment owned and utilized in the operations of the Company are stated at cost, less accumulated depreciation and amortization as follows: ($ in thousands) 2019 2018 Premises: Land $ 30,094 $ 26,305 Buildings and improvements 63,346 48,998 Equipment 22,394 19,005 Construction in progress 6,258 666 122,092 94,974 Less accumulated depreciation and amortization 23,634 20,191 $ 98,458 $ 74,783

DEPOSITS (Tables)

DEPOSITS (Tables)	12 Months Ended
	Dec. 31, 2019
DEPOSITS
Schedule Of Maturities Of Time Deposits	At December 31, 2019, the scheduled maturities of time deposits included in interest-bearing deposits were as follows ($ in thousands): Year Amount 2020 $ 496,211 2021 99,567 2022 30,914 2023 15,071 2024 13,905 Thereafter 6,050 $ 661,718

BORROWED FUNDS (Tables)

BORROWED FUNDS (Tables)	12 Months Ended
	Dec. 31, 2019
BORROWED FUNDS
Schedule of Debt	At December 31, 2019 and 2018, borrowed funds consisted of the following: ($ in thousands) 2019 2018 Fed Funds Purchased $ 2,715 $ — FHLB advances 206,250 85,500 First Horizon Bank 5,354 — $ 214,319 $ 85,500
Future Annual Principal Repayments Of Federal Home Loan Bank Advances	Future annual principal repayment requirements on the borrowings at December 31, 2019, were as follows ($ in thousands): Year Amount 2020 $ 209,672 2021 735 2022 764 2023 795 2024 826 Thereafter 1,527 $ 214,319

LEASE OBLIGATIONS (Tables)

LEASE OBLIGATIONS (Tables)	12 Months Ended
	Dec. 31, 2019
LEASE OBLIGATIONS
Schedule of lease costs	The components of total lease cost were as follows for the period ending: ($ in thousands) December 31, 2019 Operating lease costs $ 898 Cash paid for amounts included in the measurement of lease liability Operating cash flows from operating leases $ 898
Schedule of information related to leases	The table below summarizes other information related to our operating leases: Weighted-average remaining lease term 5.0 years Weighted-average discount rate 2.5 %
Schedule of maturity of remaining of lease liabilities	Future lease payments for operating leases with initial terms of one year or more as of December 31, 2019 are as follows: ($ in thousands) 2020 $ 1,643 2021 1,527 2022 1,359 2023 844 2024 631 Thereafter 981 Total lease payments $ 6,985 Less: Interest (467) Present value of lease liabilities $ 6,518
Schedule of minimum future lease payments	At December 31, 2018, minimum future lease payments were as follows ($ in thousands): Operating Capital Leases Leases 2019 $ 784 $ 275 2020 463 191 2021 347 175 2022 256 — 2023 229 — Thereafter 197 — Total minimum lease payments $ 2,276 $ 641 Less: Amount representing interest (25) Present value of minimum lease payments $ 616

REGULATORY MATTERS (Tables)

REGULATORY MATTERS (Tables)	12 Months Ended
	Dec. 31, 2019
REGULATORY MATTERS
Schedule Of Capital Required To Be Well Capitalized Under Banking Regulations	Company Subsidiary December 31, 2019 (Consolidated) The First ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 446,571 15.8 % $ 439,538 15.6 % Common equity Tier 1 352,481 12.5 % 425,630 15.1 % Tier 1 risk-based 367,727 13.0 % 425,630 15.1 % Tier 1 leverage 367,727 10.3 % 425,630 11.8 % December 31, 2018 ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 348,295 15.6 % $ 339,376 15.2 % Common equity Tier 1 258,206 11.5 % 329,311 14.8 % Tier 1 risk-based 273,398 12.2 % 329,311 14.8 % Tier 1 leverage 273,398 10.2 % 329,311 12.2 %
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations	The minimum amounts of capital and ratios, not including Accumulated Other Comprehensive Income, as established by banking regulators at December 31, 2019, and 2018, were as follows: Company Subsidiary December 31, 2019 (Consolidated) The First ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 225,932 8.0 % $ 225,413 8.0 % Common equity Tier 1 127,087 4.5 % 126,795 4.5 % Tier 1 risk-based 169,449 6.0 % 169,060 6.0 % Tier 1 leverage 143,460 4.0 % 143,940 4.0 % December 31, 2018 ($ in thousands) Amount Ratio Amount Ratio Total risk-based $ 179,177 8.0 % $ 178,578 8.0 % Common equity Tier 1 100,787 4.5 % 100,450 4.5 % Tier 1 risk-based 134,383 6.0 % 133,934 6.0 % Tier 1 leverage 107,739 4.0 % 107,593 4.0 %

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2019
INCOME TAXES
Schedule of components of income tax expense (benefit)	The components of income tax expense are as follows ($ in thousands): Years Ended December 31, 2019 2018 2017 Current: Federal $ 9,477 $ 2,435 $ 408 State 2,312 834 101 Deferred (In 2017, includes $2,081 due to 912 2,523 6,446 Tax Cut and Jobs Act) $ 12,701 $ 5,792 $ 6,955
Schedule of effective income tax rate reconciliation	The Company's income tax expense differs from the amounts computed by applying the federal income tax statutory rates to income before income taxes. A reconciliation of the differences is as follows (in thousands): Years Ended December 31, 2019 2018 2017 Amount % Amount % Amount % Income taxes at statutory rate $ 11,854 % $ 5,674 21 % $ 6,150 35 % Tax-exempt income (1,176) (2) % (867) (3) % (1,155) (6) % Nondeductible expenses 348 % 403 1 % 234 1 % State income tax, net of federal tax effect 1,969 % 1,058 4 % 66 — Tax credits, net (334) (1) % (334) (1) % (331) (2) % Deferred tax adjustment due to Tax Cuts and Job Act — — — — 2,081 12 % Other, net 40 — % (142) (1) % (90) — $ 12,701 % $ 5,792 21 % $ 6,955 40 %
Schedule of deferred tax assets and liabilities	The components of deferred income taxes included in the consolidated financial statements were as follows ($ in thousands): December 31, 2019 2018 Deferred tax assets: Allowance for loan losses $ 3,430 $ 2,547 Net operating loss carryover 2,830 2,831 Non-accrual loan interest 895 601 Other real estate 506 494 Unrealized loss on available-for-sale securities — 611 Deferred Compensation 1,190 1,235 Loan Purchase Accounting 3,467 3,505 Right-of-use asset 1,650 — Other 2,146 776 16,114 12,600 Deferred tax liabilities: Unrealized gain on available-for-sale securities (3,417) — Securities (81) (149) Premises and equipment (5,002) (3,056) Core deposit intangible (6,864) (4,959) Goodwill (1,631) (1,356) Right-of-use liability (1,650) — Other (331) (254) (18,976) (9,774) Net deferred tax asset/(liability), included in other assets/(liabilities) $ (2,862) $ 2,826

STOCK PLANS (Tables)

STOCK PLANS (Tables)	12 Months Ended
	Dec. 31, 2019
STOCK PLANS
Schedule of nonvested share activity	A summary of changes in the Company’s nonvested shares for the year follows: Weighted- Average Grant-Date Nonvested shares Shares Fair Value Nonvested at January 1, 2019 255,055 $ 22.94 Granted 89,315 Vested (7,300) Forfeited (7,931) Nonvested at December 31, 2019 329,139 $ 25.61

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	12 Months Ended
	Dec. 31, 2019
RELATED PARTY TRANSACTIONS
Schedule of related party transactions	The activity in loans to current directors, executive officers, and their affiliates during the year ended December 31, 2019, is summarized as follows: ($ in thousands) Loans outstanding at beginning of year $ 20,593 New loans 6,603 Repayments (3,499) Loans outstanding at end of year $ 23,697

COMMITMENTS, CONTINGENCIES, A_2

COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK (Tables)	12 Months Ended
	Dec. 31, 2019
COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK
Schedule of financial instruments with off balancesheet risk	The contractual amounts of financial instruments with off-balance-sheet risk at year-end were as follows: 2019 2018 ($ in thousands) Fixed Rate Variable Rate Fixed Rate Variable Rate Commitments to make loans $ 42,774 $ 5,676 $ 32,624 $ 36,780 Unused lines of credit 137,966 208,728 115,524 131,741 Standby letters of credit 3,648 8,475 2,357 8,367

FAIR VALUES OF ASSETS AND LIA_2

FAIR VALUES OF ASSETS AND LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2019
FAIR VALUES OF ASSETS AND LIABILITIES
Schedule of assets measured at fair value on a recurring basis	The following table presents the Company’s securities that are measured at fair value on a recurring basis and the level within the hierarchy in which the fair value measurements fell as of December 31, 2019 and 2018 ($ in thousands): December 31, 2019 Fair Value Measurements ($ in thousands) Quoted Prices in Significant Active Markets Other Significant For Observable Unobservable Identical Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Available-for-sale U.S Treasury $ 4,894 $ 4,894 $ — $ — Obligations of U.S. government agencies and sponsored entities 77,950 — 77,950 $ — Municipal securities 258,982 — 248,637 10,345 Mortgage-backed securities 395,315 — 395,315 — Corporate obligations 27,946 — 27,538 408 Total available for sale $ 765,087 $ 4,894 $ 749,440 $ 10,753 December 31, 2018 Fair Value Measurements ($ in thousands) Quoted Prices in Significant Active Markets Other Significant For Observable Unobservable Identical Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Available-for-sale Obligations of U.S. government agencies and sponsored entities $ 47,342 $ — $ 47,342 $ — Municipal securities 150,064 — 142,490 7,574 Mortgage-backed securities 287,470 — 287,470 — Corporate obligations 7,348 — 6,474 874 Total available for sale $ 492,224 $ — $ 483,776 $ 8,448
Schedule of reconciliation of activity for assets measured at fair value	The following is a reconciliation of activity for assets measured at fair value based on significant unobservable (Level 3) information. Bank-Issued Trust Preferred Securities ($ in thousands) 2019 2018 Balance, January 1 $ 874 $ 2,569 Unrealized loss included in comprehensive income (466) (1,695) Balance at December 31, 2019 and 2018 $ 408 $ 874 Municipal Securities ($ in thousands) 2019 2018 Balance, January 1 $ 7,574 $ 4,818 Unrealized gain included in comprehensive income 2,771 2,756 Balance at December 31, 2019 and 2018 $ 10,345 $ 7,574
Schedule of quantitative information about recurring Level 3 fair value measurements	The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a recurring basis at December 31, 2019 and 2018. The following tables present quantitative information about recurring Level 3 fair value measurements ($ in thousands): Trust Preferred Significant Unobservable Securities Fair Value Valuation Technique Inputs Range of Inputs December 31, 2019 $ 408 Discounted cash flow Discount rate 2.73% - 4.15% December 31, 2018 $ 874 Discounted cash flow Discount rate 3.71% - 5.03% Significant Unobservable Municipal Securities Fair Value Valuation Technique Inputs Range of Inputs December 31, 2019 $ 10,345 Discounted cash flow Discount rate 1.50% - 4.40% December 31, 2018 $ 7,574 Discounted cash flow Discount rate 2.00% - 3.50%
Schedule of fair value measurement of assets measured at fair value on a non-recurring basis and the level within the fair value hierarchy	Fair Value Measurements Using Quoted Prices in Significant Active Markets Other Significant For Observable Unobservable Identical Assets Inputs Inputs ($ in thousands) Fair Value (Level 1) (Level 2) (Level 3) December 31, 2019 Impaired loans $ 11,337 $ — $ — $ 11,337 Other real estate owned 7,299 — — 7,299 December 31, 2018 Impaired loans $ 11,571 $ — $ — $ 11,571 Other real estate owned 10,869 — — 10,869
Schedule of estimated fair values	Fair Value Measurements Significant Significant Quoted Other Observable Unobservable December 31, 2019 Carrying Estimated Prices Inputs Inputs ($ in thousands) Amount Fair Value (Level 1) (Level 2) (Level 3) Financial Instruments: Assets: Cash and cash equivalents $ 168,864 $ 168,864 $ 168,864 $ — $ — Securities available-for-sale 765,087 765,087 4,894 749,440 10,753 Loans, net 2,597,260 2,560,668 — — 2,560,668 Accrued interest receivable 14,802 14,802 — 4,246 10,556 Liabilities: Non-interest-bearing deposits $ 723,208 $ 723,208 $ — $ 723,208 $ — Interest-bearing deposits 2,353,325 2,339,537 — 2,339,537 — Subordinated debentures 80,678 80,330 — — 80,330 FHLB and other borrowings 214,319 214,319 — 214,319 — Accrued interest payable 2,508 2,508 — 2,508 — Fair Value Measurements Significant Significant Quoted Other Observable Unobservable December 31, 2018 Carrying Estimated Prices Inputs Inputs ($ in thousands) Amount Fair Value (Level 1) (Level 2) (Level 3) Financial Instruments: Assets: Cash and cash equivalents $ 159,107 $ 159,107 $ 159,107 $ — $ — Securities available-for-sale 492,224 492,224 — 483,776 8,448 Securities held-to-maturity 6,000 7,028 — 7,028 — Loans, net 2,055,195 2,020,782 — — 2,020,782 Accrued interest receivable 10,778 10,778 — 2,673 8,105 Liabilities: Non-interest-bearing deposits $ 570,148 $ 570,148 $ — $ 570,148 $ — Interest-bearing deposits 1,887,311 1,855,637 — 1,855,637 — Subordinated debentures 80,521 76,986 — — 76,986 FHLB and other borrowings 85,500 85,500 — 85,500 — Accrued interest payable 1,519 1,519 — 1,519 —

REVENUE FROM CONTRACTS WITH C_2

REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables)	12 Months Ended
	Dec. 31, 2019
REVENUE FROM CONTRACTS WITH CUSTOMERS
Schedule of revenue from contract with customer by non-interest income	All of the Company’s revenue from contracts with customers in the scope of ASC 606 is recognized within non-interest income. The following table presents the Company’s sources of non-interest income for December 31, 2019 and 2018. Items outside the scope of ASC 606 are noted as such. Year Ended December 31, 2019 Commercial/ Mortgage Revenue by Operating Segments Retail Banking Holding ($ in thousands) Bank Division Company Total Non-interest income Service charges on deposits Overdraft fees $ 4,277 $ 1 $ — $ 4,278 Other 3,558 2 — 3,560 Interchange income 8,024 — — 8,024 Investment brokerage fees 83 — — 83 Net gains (losses) on OREO (144) — — (144) Net gains (losses) on sales of securities (a) 122 — — 122 Other 3,977 5,985 1,062 11,024 Total non-interest income $ 19,897 $ 5,988 $ 1,062 $ 26,947 Year Ended December 31, 2018 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Non-interest income Service charges on deposits Overdraft fees $ 3,306 $ 2 $ — $ 3,308 Other 2,483 2 — 2,485 Interchange income 5,247 — — 5,247 Investment brokerage fees 43 — — 43 Net (losses) gains on OREO 60 — — 60 Net gains on sale of loans (a) 33 — — 33 Net gains (losses) on sales of securities (a) 334 — — 334 Other 3,142 4,044 1,865 9,051 Total non-interest income $ 14,648 $ 4,048 $ 1,865 $ 20,561 (a) Not within scope of ASC 606

PARENT COMPANY FINANCIAL INFO_2

PARENT COMPANY FINANCIAL INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2019
PARENT COMPANY FINANCIAL INFORMATION
Schedule of condensed balance sheets	Condensed Balance Sheets December 31, ($ in thousands) 2019 2018 Assets: Cash and cash equivalents $ 5,941 $ 3,081 Investment in subsidiary bank 616,807 434,352 Investments in statutory trusts 496 496 Bank owned life insurance 4,200 4,087 Other 2,292 2,927 $ 629,736 $ 444,943 Liabilities and Stockholders’ Equity: Subordinated debentures $ 80,678 $ 80,521 Advances from First Horizon Bank 5,354 — Other 46 1,168 Stockholders’ equity 543,658 363,254 $ 629,736 $ 444,943
Schedule of condensed income statement	Condensed Statements of Income Years Ended December 31, ($ in thousands) 2019 2018 2017 Income: Interest and dividends $ 26 $ 11 $ 8 Dividend income 50,390 13,889 3,675 Other 1,062 1,865 51 51,478 15,765 3,734 Expenses: Interest on borrowed funds 4,918 3,454 860 Legal and professional 3,401 3,833 1,097 Other 2,418 1,755 1,349 10,737 9,042 3,306 Income before income taxes and equity in undistributed income of subsidiary 40,741 6,723 428 Income tax benefit 2,291 1,496 1,222 Income before equity in undistributed income of Subsidiary 43,032 8,219 1,650 Equity in undistributed income of subsidiary 713 13,006 8,966 Net income $ 43,745 $ 21,225 $ 10,616
Schedule of condensed cash flow statement	Condensed Statements of Cash Flows Years Ended December 31, ($ in thousands) 2019 2018 2017 Cash flows from operating activities: Net income $ 43,745 $ 21,225 $ 10,616 Adjustments to reconcile net income to net cash used in operating activities: Equity in undistributed income of Subsidiary (713) (13,006) (8,966) Restricted stock expense 1,661 1,154 867 Gain on disposition of CVR — — (51) Other, net 1,185 1,364 (625) Net cash provided by operating activities 45,878 10,737 1,841 Cash flows from investing activities: Investment in subsidiary bank — (27,000) (35,000) Net outlays for acquisitions (32,363) (47,041) — Net cash used in investing activities (32,363) (74,041) (35,000) Cash flows from financing activities: Dividends paid on common stock (5,190) (2,557) (1,416) Repurchase of restricted stock for payment of taxes (63) (23) (329) Common stock repurchased (5,229) — — Net proceeds from issuance of 2,012,500 shares — (237) 55,271 Proceeds (repayment) of borrowed funds (173) (16,000) — Issuance of subordinated debt — 64,766 — Net cash provided by (used in) financing Activities (10,655) 45,949 53,526 Net increase (decrease) in cash and cash equivalents 2,860 (17,355) 20,367 Cash and cash equivalents at beginning of year 3,081 20,436 69 Cash and cash equivalents at end of year $ 5,941 $ 3,081 $ 20,436

OPERATING SEGMENTS (Tables)

OPERATING SEGMENTS (Tables)	12 Months Ended
	Dec. 31, 2019
OPERATING SEGMENTS
Schedule of segment reporting information, by segment	The Company is considered to have three principal business segments in 2019, 2018, and 2017, the Commercial/Retail Bank, the Mortgage Banking Division, and the Holding Company. Year Ended December 31, 2019 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Interest income $ 147,500 $ 1,003 $ 26 $ 148,529 Interest expense 21,388 417 4,918 26,723 Net interest income (loss) 126,112 586 (4,892) 121,806 Provision (credit) for loan losses 3,781 (43) — 3,738 Net interest income (loss) after provision for loan losses 122,331 629 (4,892) 118,068 Non-interest income 19,897 5,988 1,062 26,947 Non-interest expense 78,440 4,310 5,819 88,569 Income (loss) before income taxes 63,914 2,181 (9,649) 56,446 Income tax (benefit) expense 14,595 490 (2,384) 12,701 Net income (loss) $ 49,319 $ 1,691 $ (7,265) $ 43,745 Total Assets $ 3,902,703 $ 26,231 $ 12,929 $ 3,941,863 Net Loans 2,584,385 12,875 — 2,597,260 Year Ended December 31, 2018 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Interest income $ 98,758 $ 1,209 $ 11 $ 99,978 Interest expense 11,113 524 3,454 15,091 Net interest income (loss) 87,645 685 (3,443) 84,887 Provision (credit) for loan losses 2,259 (139) — 2,120 Net interest income (loss) after provision for loan losses 85,386 824 (3,443) 82,767 Non-interest income 14,648 4,048 1,865 20,561 Non-interest expense 66,875 3,848 5,588 76,311 Income (loss) before income taxes 33,159 1,024 (7,166) 27,017 Income tax (benefit) expense 7,034 254 (1,496) 5,792 Net income (loss) $ 26,125 $ 770 $ (5,670) $ 21,225 Total Assets $ 2,969,560 $ 23,865 $ 10,592 $ 3,003,986 Net Loans 2,038,395 16,799 — 2,055,195 Year Ended December 31, 2017 Commercial/ Mortgage Retail Banking Holding ($ in thousands) Bank Division Company Total Interest income $ 65,118 $ 943 $ 8 $ 66,069 Interest expense 6,048 1 860 6,909 Net interest income (loss) 59,070 942 (852) 59,160 Provision (credit) for loan losses 475 31 — 506 Net interest income (loss) after provision for loan losses 58,595 911 (852) 58,654 Non-interest income 9,807 4,505 51 14,363 Non-interest expense 49,143 3,857 2,446 55,446 Income (loss) before income taxes 19,259 1,559 (3,247) 17,571 Income tax (benefit) expense 7,740 437 (1,222) 6,955 Net income (loss) $ 11,519 $ 1,122 $ (2,025) $ 10,616 Total Assets $ 1,758,778 $ 32,234 $ 22,226 $ 1,813,238 Net Loans 1,196,365 25,443 — 1,221,808

SUMMARY OF QUARTERLY RESULTS _2

SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED) (Tables)	12 Months Ended
	Dec. 31, 2019
SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED)
Schedule of quarterly financial information	($ in thousands, except per share amounts) March 31 June 30 Sept. 30 Dec. 31 2019 Total interest income $ 33,273 $ 37,571 $ 37,241 $ 40,444 Total interest expense 6,142 6,799 6,782 7,000 Net interest income $ 27,131 $ 30,772 $ 30,459 $ 33,444 Provision for loan losses 1,123 791 974 850 Net interest income after provision for loan losses 26,008 29,981 29,485 32,594 Total non-interest income 5,554 6,716 7,103 7,574 Total non-interest expense 21,893 20,891 20,825 24,960 Income tax expense 2,034 3,823 3,491 3,353 Net income available to common stockholders $ 7,635 $ 11,983 $ 12,272 $ 11,855 Per common share: Net income, basic $ 0.48 $ 0.69 $ 0.71 $ 0.64 Net income, diluted 0.63 0.70 0.74 0.72 Cash dividends declared 0.07 0.08 0.08 0.08 2018 Total interest income $ 18,758 $ 25,037 $ 25,628 $ 30,555 Total interest expense 2,379 3,468 3,959 5,285 Net interest income $ 16,379 $ 21,569 $ 21,669 $ 25,270 Provision for loan losses 277 857 412 574 Net interest income after provision for loan losses 16,102 20,712 21,257 24,696 Total non-interest income 3,459 5,632 5,074 6,396 Total non-interest expense 14,596 19,680 19,786 22,249 Income tax expense 1,008 1,419 1,383 1,982 Net income available to common stockholders $ 3,957 $ 5,245 $ 5,162 $ 6,861 Per common share: Net income, basic $ 0.34 $ 0.40 $ 0.39 $ 0.48 Net income, diluted 0.34 0.40 0.39 0.48 Cash dividends declared 0.05 0.05 0.05 0.05 2017 Total interest income $ 15,753 $ 16,464 $ 16,708 $ 17,143 Total interest expense 1,585 1,629 1,773 1,922 Net interest income 14,168 14,835 14,935 15,221 Provision for loan losses 46 248 90 122 Net interest income after provision for loan losses 14,122 14,587 14,845 15,099 Total non-interest income 3,391 3,757 3,658 3,556 Total non-interest expense 16,095 15,070 11,888 12,390 Income tax expense 296 908 1,901 3,851 Net income available to common stockholders $ 1,122 $ 2,366 $ 4,714 $ 2,414 Per common share: Net income, basic $ 0.12 $ 0.26 $ 0.52 $ 0.23 Net income, diluted 0.12 0.26 0.51 0.23 Cash dividends declared 0.0375 0.0375 0.0375 0.0375

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Summary Of Significant Accounting Policies [Line Items]
Federal reserve bank required reserve	$ 75,600
Other real estate owned	$ 7,299	$ 10,869
Useful life of intangible assets	10 years
Advertising expense	$ 648	382	$ 336
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification		348
Payments to Acquire Limited Partnership Interests	$ 4,400
Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of Total Loans	0.68%
Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
Percentage of Total Loans	1.39%
Building [Member] | Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
Property, Plant and Equipment, Useful Life	10 years
Building [Member] | Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
Property, Plant and Equipment, Useful Life	39 years
Furniture and Fixtures [Member] | Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
Property, Plant and Equipment, Useful Life	3 years
Furniture and Fixtures [Member] | Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
Property, Plant and Equipment, Useful Life	10 years
Limited Partner [Member]
Summary Of Significant Accounting Policies [Line Items]
Real Estate Investments	$ 3,000	$ 3,400
Affordable Housing Tax Credits And Other Tax Benefits	$ 481

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Change during the year (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Beginning of year	$ 89,750	$ 19,960	$ 13,776
Acquired goodwill	68,822	69,790	6,184
End of year	$ 158,572	$ 89,750	$ 19,960

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Definite-Lived Intangible Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount, Core deposits	$ 30,293
Core Deposits [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount, Core deposits	38,095	$ 27,752
Accumulated Amortization, Core deposits	(7,802)	(4,586)
Net Carrying Amount, Core deposits	$ 30,293	$ 23,166

SUMMARY OF SIGNIFICANT ACCOUN_7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Related Amortization Expense of Purchase Accounting Intangible Assets (Details) $ in Thousands	Dec. 31, 2019USD ($)
Aggregate amortization expense for the year ended December 31:
2017	$ 664
2018	1,656
2019	3,216
Estimated amortization expense for the year ending December 31:
2020	3,751
2021	3,681
2022	3,511
2023	3,466
2024	3,436
Thereafter	12,448
Net Carrying Amount, Core deposits	$ 30,293

SUMMARY OF SIGNIFICANT ACCOUN_8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Earnings Available to Common Stockholders (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Net income available to common stock holders, basic earnings per share	$ 11,855	$ 12,272	$ 11,983	$ 7,635	$ 6,861	$ 5,162	$ 5,245	$ 3,957	$ 2,414	$ 4,714	$ 2,366	$ 1,122	$ 43,745	$ 21,225	$ 10,616
Net income available to common stock holders, diluted earnings per share													$ 43,745	$ 21,225	$ 10,616
Effect of dilutive shares:
Weighted average number of shares outstanding, basic earnings per share													17,050,095	12,985,733	9,484,460
Restricted stock grants													133,990	108,192	76,800
Weighted average number of shares outstanding, diluted earnings per share													17,184,085	13,093,925	9,561,260
Basic earnings per share	$ 0.64	$ 0.71	$ 0.69	$ 0.48	$ 0.48	$ 0.39	$ 0.40	$ 0.34	$ 0.23	$ 0.52	$ 0.26	$ 0.12	$ 2.57	$ 1.63	$ 1.12
Net income, diluted	$ 0.72	$ 0.74	$ 0.70	$ 0.63	$ 0.48	$ 0.39	$ 0.40	$ 0.34	$ 0.23	$ 0.51	$ 0.26	$ 0.12	$ 2.55	$ 1.62	$ 1.11

BUSINESS COMBINATIONS - Summary

BUSINESS COMBINATIONS - Summary of Acquired Identifiable Assets and Liabilities for FPB financial corp (Details) - USD ($) $ in Thousands	Nov. 01, 2019	Mar. 02, 2019	Nov. 01, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Liabilities and equity:
Goodwill resulting from acquisition				$ 158,572	$ 89,750	$ 19,960	$ 13,776
FPB
Purchase price:
Cash and stock		$ 78,225
Total purchase price		78,225
Identifiable assets:
Cash and due from banks		14,748
Investments		93,604
Loans		244,665
Bank owned life insurance		7,312
Core deposit intangible		6,597
Personal and real property		17,358
Other assets		1,152
Total assets		385,436
Liabilities and equity:
Deposits		312,453
Borrowed funds		17,250
Other liabilities		6,291
Total liabilities		335,994
Net assets acquired		49,442
Consideration paid		5,000
Goodwill resulting from acquisition		$ 28,783
FMB
Identifiable assets:
Cash and due from banks			$ 28,556
Investments			97,331
Loans			317,909
Bank owned life insurance			13,639
Core deposit intangible			10,203
Personal and real property			14,950
Other assets			3,054
Total assets			485,642
Liabilities and equity:
Deposits			431,276
Borrowed funds			5,369
Other liabilities			5,894
Total liabilities			442,539
Net assets acquired			43,103
Consideration paid			79,547
Goodwill resulting from acquisition			36,444
FMB | Reported Value Measurement [Member]
Identifiable assets:
Cash and due from banks			28,556
Investments			97,331
Loans			317,909
Bank owned life insurance			13,639
Core deposit intangible			10,203
Personal and real property			15,204
Other assets			2,902
Total assets			485,744
Liabilities and equity:
Deposits			431,276
Borrowed funds			5,369
Other liabilities			5,894
Total liabilities			442,539
Net assets acquired			43,205
Consideration paid			79,547
Goodwill resulting from acquisition			36,342
FMB | Changes Measurement [Member]
Identifiable assets:
Cash and due from banks			0
Investments			0
Loans			0
Bank owned life insurance			0
Core deposit intangible			0
Personal and real property			(254)
Other assets			152
Total assets			(102)
Liabilities and equity:
Deposits			0
Borrowed funds			0
Other liabilities			0
Total liabilities			0
Net assets acquired			(102)
Consideration paid			0
Goodwill resulting from acquisition			$ (102)
First Florida Bancorp, Inc [Member]
Purchase price:
Cash and stock	$ 89,520
Total purchase price	89,520
Identifiable assets:
Cash and due from banks	50,169
Investments	122,084
Loans	247,263
Core deposit intangible	3,745
Personal and real property	4,991
Other assets	2,283
Total assets	430,535
Liabilities and equity:
Deposits	373,908
Borrowed funds	5,527
Other liabilities	1,619
Total liabilities	381,054
Net assets acquired	49,481
Consideration paid	34,100
Goodwill resulting from acquisition	$ 40,039

BUSINESS COMBINATIONS - Outstan

BUSINESS COMBINATIONS - Outstanding Principal Balance and Carrying Amount of Loans for First Florida Bancorp, Inc (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Outstanding principal balance	$ 14,600	$ 13,800
Carrying amount	14,482	$ 13,817	$ 1,185
First Florida Bancorp, Inc [Member]
Outstanding principal balance	245,190
Carrying amount	$ 243,601

BUSINESS COMBINATIONS - Outst_2

BUSINESS COMBINATIONS - Outstanding Principal Balance and Carrying Amount of Loans for FPB (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Outstanding principal balance	$ 14,600	$ 13,800
Carrying amount	14,482	$ 13,817	$ 1,185
FPB
Outstanding principal balance	192,126
Carrying amount	$ 190,034

BUSINESS COMBINATIONS - Outst_3

BUSINESS COMBINATIONS - Outstanding Principal Balance and Carrying Amount of Loans for FMB (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Outstanding principal balance	$ 14,600	$ 13,800
Carrying amount	14,482	$ 13,817	$ 1,185
FMB
Outstanding principal balance	222,464
Carrying amount	$ 217,539

BUSINESS COMBINATIONS - Unaudit

BUSINESS COMBINATIONS - Unaudited Supplemental Pro Forma Information for Southwest Banc Shares, Inc. (Details) - Southwest - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Business Acquisition [Line Items]
Total revenue	$ 168,354	$ 167,856
Income before income taxes	77,936	55,069
Net interest income [Member]
Business Acquisition [Line Items]
Total revenue	137,655	138,422
Non Interest Income [Member]
Business Acquisition [Line Items]
Total revenue	$ 30,699	$ 29,434

BUSINESS COMBINATIONS - Additio

BUSINESS COMBINATIONS - Additional Information (Details) - USD ($) $ in Thousands	Nov. 01, 2019	Mar. 02, 2019	Nov. 01, 2018	Apr. 01, 2018	Mar. 01, 2018	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
BUSINESS COMBINATIONS
Goodwill, Acquired During Period						$ 68,822	$ 69,790	$ 6,184
Business Acquisition Purchase Price Allocation Loans Receivable			$ 325,500				274,700
Business Combination Recognized Assets Acquired and Liabilities Assumed, Discount on Loans Acquired			7,600				3,500
FPB
BUSINESS COMBINATIONS
Payments to Acquire Businesses, Gross		$ 5,000
Goodwill, Acquired During Period		28,800
Business Acquisition Purchase Price Allocation Loans Receivable		247,800
Business Combination Recognized Assets Acquired and Liabilities Assumed, Discount on Loans Acquired		3,100
Business Combination, Acquisition Related Costs						2,300
Business Combination, Consideration Transferred		$ 78,225
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares		2,377,501
FPB | Core Deposits [Member]
BUSINESS COMBINATIONS
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life		10 years
Finite-lived Intangible Assets Acquired		$ 6,600
FMB
BUSINESS COMBINATIONS
Payments to Acquire Businesses, Gross			79,547
Escrow Deposit			16,000
Goodwill, Acquired During Period			$ 36,400
Business Combination, Acquisition Related Costs						600	4,200
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares			1,763,042
FMB | Reported Value Measurement [Member]
BUSINESS COMBINATIONS
Payments to Acquire Businesses, Gross			$ 79,547
FMB | Changes Measurement [Member]
BUSINESS COMBINATIONS
Payments to Acquire Businesses, Gross			$ 0
FMB | Core Deposits [Member]
BUSINESS COMBINATIONS
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life			10 years
Finite-lived Intangible Assets Acquired			$ 10,200
Sunshine
BUSINESS COMBINATIONS
Payments to Acquire Businesses, Gross				$ 30,500
Escrow Deposit				7,000
Goodwill, Acquired During Period				9,500
Business Acquisition Purchase Price Allocation Loans Receivable				173,100
Business Combination Recognized Assets Acquired and Liabilities Assumed, Discount on Loans Acquired				$ 4,500
Business Combination, Acquisition Related Costs						253	$ 4,200
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares				726,461
Sunshine | Core Deposits [Member]
BUSINESS COMBINATIONS
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life				10 years
Finite-lived Intangible Assets Acquired				$ 4,100
Southwest
BUSINESS COMBINATIONS
Escrow Deposit					$ 24,000
Goodwill, Acquired During Period					23,900
Business Combination, Acquisition Related Costs						$ 519
Business Combination, Consideration Transferred					$ 60,000
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares					1,134,010
Southwest | Core Deposits [Member]
BUSINESS COMBINATIONS
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life					10 years
Finite-lived Intangible Assets Acquired					$ 5,800
First Florida Bancorp, Inc [Member]
BUSINESS COMBINATIONS
Payments to Acquire Businesses, Gross	$ 34,100
Goodwill, Acquired During Period	40,000
Business Acquisition Purchase Price Allocation Loans Receivable	248,900
Business Combination Recognized Assets Acquired and Liabilities Assumed, Discount on Loans Acquired	1,700
Business Combination, Acquisition Related Costs	2,400
Business Combination, Consideration Transferred	$ 89,520
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares	1,682,889
First Florida Bancorp, Inc [Member] | Core Deposits [Member]
BUSINESS COMBINATIONS
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	10 years
Finite-lived Intangible Assets Acquired	$ 3,700

SECURITIES - Additional Informa

SECURITIES - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
SECURITIES
Securities pledged to public deposits	$ 447,000	$ 411,900
Debt Securities, Available-for-sale, Realized Gain	147	880	$ 5
Debt Securities, Available-for-sale, Realized Loss	25	546	21
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification		348
Debt Securities, Available-for-sale, Realized Gain (Loss)	$ 122	$ 334	$ (16)

SECURITIES - Summary of Amortiz

SECURITIES - Summary of Amortized Cost and Fair Value of Available-For-Sale Securities and Held-To-Maturity Securities (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2019
Schedule of Trading Securities and Other Trading Assets [Line Items]
Available-for-sale Securities, Amortized Cost	$ 494,690	$ 751,591
Available-for-sale Securities, Gross Unrealized Gains	2,661	14,419
Available-for-sale Securities, Gross Unrealized Losses	5,127	923
Available-for-sale securities, Fair Value	492,224	765,087
Held-to-maturity Securities, Amortized Cost	6,000
Held-to-maturity Securities, Gross Unrealized Gains	1,028
Held-to-maturity Securities, Gross Unrealized Losses	0
Held-to-Maturity, Fair Value	7,028	0
U.S Treasury
Schedule of Trading Securities and Other Trading Assets [Line Items]
Available-for-sale Securities, Amortized Cost		4,967
Available-for-sale Securities, Gross Unrealized Losses		73
Available-for-sale securities, Fair Value		4,894
Obligations of U.S. government agencies and sponsored entities
Schedule of Trading Securities and Other Trading Assets [Line Items]
Available-for-sale Securities, Amortized Cost	47,212	76,699
Available-for-sale Securities, Gross Unrealized Gains	405	1,475
Available-for-sale Securities, Gross Unrealized Losses	275	224
Available-for-sale securities, Fair Value	47,342	77,950
Tax-exempt and taxable obligations of states and municipal subdivisions
Schedule of Trading Securities and Other Trading Assets [Line Items]
Available-for-sale Securities, Amortized Cost	150,215	253,527
Available-for-sale Securities, Gross Unrealized Gains	1,070	5,602
Available-for-sale Securities, Gross Unrealized Losses	1,221	147
Available-for-sale securities, Fair Value	150,064	258,982
Held-to-maturity Securities, Amortized Cost	6,000
Held-to-maturity Securities, Gross Unrealized Gains	1,028
Held-to-maturity Securities, Gross Unrealized Losses	0
Held-to-Maturity, Fair Value	7,028
Mortgage-backed securities - residential
Schedule of Trading Securities and Other Trading Assets [Line Items]
Available-for-sale Securities, Amortized Cost	250,132	263,229
Available-for-sale Securities, Gross Unrealized Gains	727	4,726
Available-for-sale Securities, Gross Unrealized Losses	3,407	107
Available-for-sale securities, Fair Value	247,452	267,848
Mortgage-backed securities - commercial
Schedule of Trading Securities and Other Trading Assets [Line Items]
Available-for-sale Securities, Amortized Cost	39,613	125,292
Available-for-sale Securities, Gross Unrealized Gains	444	2,398
Available-for-sale Securities, Gross Unrealized Losses	39	223
Available-for-sale securities, Fair Value	40,018	127,467
Corporate obligations
Schedule of Trading Securities and Other Trading Assets [Line Items]
Available-for-sale Securities, Amortized Cost	7,518	27,877
Available-for-sale Securities, Gross Unrealized Gains	15	218
Available-for-sale Securities, Gross Unrealized Losses	185	149
Available-for-sale securities, Fair Value	$ 7,348	$ 27,946

SECURITIES - Amortized Cost And

SECURITIES - Amortized Cost And Fair Value Of Debt Securities (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Available-for-Sale, Amortized Cost
Within one year	$ 30,141
One to five years	80,119
Five to ten years	143,811
Beyond ten years	108,999
Mortgage-backed securities: residential	263,229
Mortgage-backed securities: commercial	125,292
Total	751,591	$ 494,690
Available-for-sale, Fair Value
Within one year	30,303
One to five years	81,372
Five to ten years	148,085
Beyond ten years	110,012
Mortgage-backed securities: residential	267,848
Mortgage-backed securities: commercial	127,467
Total	$ 765,087	$ 492,224

SECURITIES - Sales and Calls of

SECURITIES - Sales and Calls of Securities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
SECURITIES
Gross gains	$ 147	$ 880	$ 5
Gross losses	25	546	21
Realized net gain (loss)	$ 122	$ 334	$ (16)

SECURITIES - Summary of Availab

SECURITIES - Summary of Available For Sale Securities With Unrealized And Unrecognized Losses (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair value, Losses less than 12 Months	$ 9,806	$ 144,490
Fair Value, Losses 12 Months or More	115,748	155,914
Fair Value, Total	125,554	300,404
Unrealized Losses, Losses less than 12 Months	16	1,246
Unrealized Losses, Losses 12 Months or More	907	3,881
Unrealized Losses, Total	923	5,127
U.S Treasury
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair Value, Losses 12 Months or More	4,894
Fair Value, Total	4,894
Unrealized Losses, Losses 12 Months or More	73
Unrealized Losses, Total	73
Obligations of U.S. government agencies and sponsored entities
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair value, Losses less than 12 Months		11,034
Fair Value, Losses 12 Months or More	22,987	7,838
Fair Value, Total	22,987	18,872
Unrealized Losses, Losses less than 12 Months		52
Unrealized Losses, Losses 12 Months or More	224	223
Unrealized Losses, Total	224	275
Tax-exempt and taxable obligations of states and municipal subdivisions
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair value, Losses less than 12 Months		38,200
Fair Value, Losses 12 Months or More	28,235	42,102
Fair Value, Total	28,235	80,302
Unrealized Losses, Losses less than 12 Months		311
Unrealized Losses, Losses 12 Months or More	147	910
Unrealized Losses, Total	147	1,221
Mortgage-backed securities - residential
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair Value, Losses 12 Months or More	29,930
Fair Value, Total	29,930
Unrealized Losses, Losses 12 Months or More	107
Unrealized Losses, Total	107
Mortgage-backed securities - commercial
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair value, Losses less than 12 Months	9,306
Fair Value, Losses 12 Months or More	19,130
Fair Value, Total	28,436
Unrealized Losses, Losses less than 12 Months	16
Unrealized Losses, Losses 12 Months or More	207
Unrealized Losses, Total	223
Mortgage-backed securities
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair value, Losses less than 12 Months		93,294
Fair Value, Losses 12 Months or More		101,005
Fair Value, Total		194,299
Unrealized Losses, Losses less than 12 Months		843
Unrealized Losses, Losses 12 Months or More		2,603
Unrealized Losses, Total		3,446
Corporate obligations
Schedule of Trading Securities and Other Trading Assets [Line Items]
Fair value, Losses less than 12 Months	500	1,962
Fair Value, Losses 12 Months or More	10,572	4,969
Fair Value, Total	11,072	6,931
Unrealized Losses, Losses less than 12 Months		40
Unrealized Losses, Losses 12 Months or More	149	145
Unrealized Losses, Total	$ 149	$ 185

LOANS - Additional Information

LOANS - Additional Information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)loan	Dec. 31, 2018USD ($)loan	Dec. 31, 2017USD ($)loan	Dec. 31, 2016USD ($)
Financing Receivable, Recorded Investment [Line Items]
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Outstanding Balance	$ 14,600	$ 13,800
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Accretable Yield	3,300	13,800	$ 3,800
Loans and Leases Receivable, Allowance	13,908	10,065	8,288	$ 7,510
Financing Receivable, Modifications, Recorded Investment	$ 32,000	$ 14,300	$ 6,900
Number of troubled debt restructuring modifications | loan	26	5	5
Lease financing receivable
Financing Receivable, Recorded Investment [Line Items]
Interest income not recorded due to loans in non-accrual status	$ 348	$ 782	$ 342

LOANS - Composition of Loan Por

LOANS - Composition of Loan Portfolio (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 2,600,358	$ 2,060,422
Loan portfolio Percentage of Total	100.00%	100.00%
Total loans	$ 2,611,168	$ 2,065,260
Allowance for loan losses	(13,908)	(10,065)	$ (8,288)	$ (7,510)
Net loans	2,597,260	2,055,195	$ 1,221,808
Lease financing receivable
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 3,095	$ 2,891
Loan portfolio Percentage of Total	0.10%	0.10%
Obligations of states and subdivisions
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 20,716	$ 16,941
Loan portfolio Percentage of Total	0.80%	0.80%
Mortgage loans held for sale
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 10,810	$ 4,838
Loan portfolio Percentage of Total	0.40%	0.30%
Commercial, financial and agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 332,600	$ 301,182
Loan portfolio Percentage of Total	12.70%	14.60%
Real Estate Mortgage-commercial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 1,028,012	$ 776,880
Loan portfolio Percentage of Total	39.40%	37.60%
Real Estate Mortgage-residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 814,282	$ 617,804
Loan portfolio Percentage of Total	31.20%	29.90%
Construction
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 359,195	$ 298,718
Loan portfolio Percentage of Total	13.80%	14.50%
Installment and other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan portfolio Amount	$ 42,458	$ 46,006
Loan portfolio Percentage of Total	1.60%	2.20%

LOANS - Activity in Allowance f

LOANS - Activity in Allowance for Loan Losses (Details) - USD ($) $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Allowance for loan losses:
Balance at beginning of period				$ 10,065				$ 8,288				$ 7,510	$ 10,065	$ 8,288	$ 7,510
Beginning balance of allowance restated	$ 10,065				$ 8,107				$ 7,510				10,065	8,107	7,510
Loans charged-off:													664	581	405
Recoveries on loans previously charged-off:													769	419	677
Net (Charge-offs) Recoveries													105	(162)	272
Provision for loan losses	850	$ 974	$ 791	$ 1,123	574	$ 412	$ 857	$ 277	122	$ 90	$ 248	$ 46	3,738	2,120	506
Balance at end of period	13,908				10,065				8,288				13,908	10,065	8,288
Mortgage Reserve Funding
Allowance for loan losses:
Prior period reclassification - Mortgage Reserve	$ 0				$ (181)				$ 0				0	(181)	0
Commercial financial and agriculture
Allowance for loan losses:
Loans charged-off:													141	265	62
Recoveries on loans previously charged-off:													85	44	50
Real Estate Mortgage-commercial
Allowance for loan losses:
Loans charged-off:													54	222	110
Recoveries on loans previously charged-off:													142	44	279
Consumer real estate
Allowance for loan losses:
Loans charged-off:													163	7	152
Recoveries on loans previously charged-off:													240	183	243
Installment and other
Allowance for loan losses:
Loans charged-off:													306	87	81
Recoveries on loans previously charged-off:													$ 302	$ 148	$ 105

LOANS - Allocation of Allowance

LOANS - Allocation of Allowance for Loan Losses (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance for loan losses	$ 13,908	$ 10,065	$ 8,288	$ 7,510
Allowance for loan losses, percentage of total	100.00%	100.00%
Commercial, Financial and Agriculture
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance for loan losses	$ 3,043	$ 2,060
Allowance for loan losses, percentage of total	13.10%	14.80%
Real Estate Mortgage-commercial
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance for loan losses	$ 8,836	$ 6,258
Allowance for loan losses, percentage of total	65.50%	64.60%
Consumer real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance for loan losses	$ 1,694	$ 1,743
Allowance for loan losses, percentage of total	19.80%	18.90%
Installment and other
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance for loan losses	$ 296	$ 201
Allowance for loan losses, percentage of total	1.60%	1.70%
Unallocated
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance for loan losses	$ 39	$ (197)
Allowance for loan losses, percentage of total	0.00%	0.00%

LOANS - Loans and Allowance for

LOANS - Loans and Allowance for Loan Losses, Broken Down by Portfolio Segment (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Loans
Individually evaluated	$ 29,939	$ 13,459
Collectively evaluated	2,552,520	2,029,311
PCI Loans	17,899	17,652
Total	2,600,358	2,060,422
Allowance for Loan Losses
Individually evaluated	4,424	1,179
Collectively evaluated	9,484	8,886
Total	13,908	10,065	$ 8,288	$ 7,510
Commercial financial and agriculture
Loans
Individually evaluated	2,493	1,657
Collectively evaluated	339,003	302,329
PCI Loans	191	197
Total	341,687	304,183
Allowance for Loan Losses
Individually evaluated	1,182	329
Collectively evaluated	1,861	1,731
Total	3,043	2,060
Real Estate Mortgage-commercial
Loans
Individually evaluated	25,984	10,932
Collectively evaluated	1,773,934	1,309,322
PCI Loans	10,471	11,626
Total	1,810,389	1,331,880
Allowance for Loan Losses
Individually evaluated	3,021	758
Collectively evaluated	5,815	5,500
Total	8,836	6,258
Consumer real estate
Loans
Individually evaluated	1,181	804
Collectively evaluated	398,471	383,368
PCI Loans	7,204	5,777
Total	406,856	389,949
Allowance for Loan Losses
Individually evaluated	141	66
Collectively evaluated	1,553	1,677
Total	1,694	1,743
Installment and other
Loans
Individually evaluated	281	66
Collectively evaluated	41,112	34,292
PCI Loans	33	52
Total	41,426	34,410
Allowance for Loan Losses
Individually evaluated	80	26
Collectively evaluated	216	175
Total	296	201
Unallocated
Allowance for Loan Losses
Collectively evaluated	39	(197)
Total	$ 39	$ (197)

LOANS - Additional Detail of Im

LOANS - Additional Detail of Impaired Loans Broken Out According to Class (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2019	Dec. 31, 2017
Financing Receivable, Impaired [Line Items]
Impaired loans with no a related allowance, Recorded Investment	$ 7,595	$ 14,178	$ 6,559
Impaired loans with no related allowance, Unpaid Balance	9,639	14,348	6,899
Impaired loans with no Related Allowance	0	0	0
Impaired loans with no related allowance, Average Recorded Investment YTD	12,668	12,963	5,506
Impaired loans with no related allowance, Interest Income Recognized YTD	526	598	185
Impaired loans with a related allowance, Recorded Investment	5,846	15,761	4,015
Impaired loans with a related allowance, Unpaid Balance	5,864	15,914	4,015
Impaired loans with a Related Allowance	1,179	4,424	661
Impaired loans with a related allowance, Average Recorded Investment YTD	4,415	12,789	3,535
Impaired loans with a related allowance, Interest Income Recognized YTD	195	67	141
Recorded Investment	13,459	29,939	10,574
Unpaid Balance	15,503	30,262	10,914
Related Allowance	1,179	4,424	661
Average Recorded Investment YTD	17,083	25,752	9,041
Interest Income Recognized YTD	721	665	326
Commercial financial and agriculture
Financing Receivable, Impaired [Line Items]
Impaired loans with no a related allowance, Recorded Investment	709	59	270
Impaired loans with no related allowance, Unpaid Balance	709	62	270
Impaired loans with no Related Allowance	0	0	0
Impaired loans with no related allowance, Average Recorded Investment YTD	379	294	90
Impaired loans with no related allowance, Interest Income Recognized YTD	27	7	1
Impaired loans with a related allowance, Recorded Investment	960	2,434	850
Impaired loans with a related allowance, Unpaid Balance	960	2,434	850
Impaired loans with a Related Allowance	329	1,182	267
Impaired loans with a related allowance, Average Recorded Investment YTD	968	2,039	262
Impaired loans with a related allowance, Interest Income Recognized YTD	3	13	14
Recorded Investment	1,669	2,493	1,120
Unpaid Balance	1,669	2,496	1,120
Related Allowance	329	1,182	267
Average Recorded Investment YTD	1,347	2,333	352
Interest Income Recognized YTD	30	20	15
Real Estate Mortgage-commercial
Financing Receivable, Impaired [Line Items]
Impaired loans with no a related allowance, Recorded Investment	6,441	13,556	4,080
Impaired loans with no related allowance, Unpaid Balance	8,170	13,671	4,176
Impaired loans with no Related Allowance	0	0	0
Impaired loans with no related allowance, Average Recorded Investment YTD	7,685	10,473	3,502
Impaired loans with no related allowance, Interest Income Recognized YTD	427	591	101
Impaired loans with a related allowance, Recorded Investment	4,512	12,428	2,638
Impaired loans with a related allowance, Unpaid Balance	4,512	12,563	2,638
Impaired loans with a Related Allowance	758	3,021	234
Impaired loans with a related allowance, Average Recorded Investment YTD	2,868	10,026	2,756
Impaired loans with a related allowance, Interest Income Recognized YTD	176	49	112
Recorded Investment	10,953	25,984	6,718
Unpaid Balance	12,682	26,234	6,814
Related Allowance	758	3,021	234
Average Recorded Investment YTD	10,553	20,499	6,258
Interest Income Recognized YTD	603	640	213
Consumer real estate
Financing Receivable, Impaired [Line Items]
Impaired loans with no a related allowance, Recorded Investment	445	542	2,180
Impaired loans with no related allowance, Unpaid Balance	760	594	2,424
Impaired loans with no Related Allowance	0	0	0
Impaired loans with no related allowance, Average Recorded Investment YTD	4,522	2,173	1,897
Impaired loans with no related allowance, Interest Income Recognized YTD	69	0	83
Impaired loans with a related allowance, Recorded Investment	366	639	504
Impaired loans with a related allowance, Unpaid Balance	366	657	504
Impaired loans with a Related Allowance	66	141	137
Impaired loans with a related allowance, Average Recorded Investment YTD	555	560	493
Impaired loans with a related allowance, Interest Income Recognized YTD	16	3	15
Recorded Investment	811	1,181	2,684
Unpaid Balance	1,126	1,251	2,928
Related Allowance	66	141	137
Average Recorded Investment YTD	5,077	2,733	2,390
Interest Income Recognized YTD	85	3	98
Consumer installment
Financing Receivable, Impaired [Line Items]
Impaired loans with no a related allowance, Recorded Investment	0	21	29
Impaired loans with no related allowance, Unpaid Balance	0	21	29
Impaired loans with no Related Allowance	0	0	0
Impaired loans with no related allowance, Average Recorded Investment YTD	82	23	17
Impaired loans with no related allowance, Interest Income Recognized YTD	3	0	0
Impaired loans with a related allowance, Recorded Investment	26	260	23
Impaired loans with a related allowance, Unpaid Balance	26	260	23
Impaired loans with a Related Allowance	26	80	23
Impaired loans with a related allowance, Average Recorded Investment YTD	24	164	24
Impaired loans with a related allowance, Interest Income Recognized YTD	0	2	0
Recorded Investment	26	281	52
Unpaid Balance	26	281	52
Related Allowance	26	80	23
Average Recorded Investment YTD	106	187	41
Interest Income Recognized YTD	$ 3	$ 2	$ 0

LOANS - Information Regarding C

LOANS - Information Regarding Contractually Payments Receivable, Cash Flows (Details) $ in Thousands	Dec. 31, 2019USD ($)
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement [Line Items]
Contractually required payments at acquisition	$ 20,720
Cash flows expected to be collected at acquisition	18,454
Fair value of loans at acquisition	17,197
Southwest
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement [Line Items]
Contractually required payments at acquisition	925
Cash flows expected to be collected at acquisition	706
Fair value of loans at acquisition	657
Sunshine
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement [Line Items]
Contractually required payments at acquisition	4,194
Cash flows expected to be collected at acquisition	3,894
Fair value of loans at acquisition	3,837
FMB
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement [Line Items]
Contractually required payments at acquisition	9,939
Cash flows expected to be collected at acquisition	8,604
Fair value of loans at acquisition	7,978
FPB
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement [Line Items]
Contractually required payments at acquisition	4,715
Cash flows expected to be collected at acquisition	4,295
Fair value of loans at acquisition	3,916
FFB
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement [Line Items]
Contractually required payments at acquisition	947
Cash flows expected to be collected at acquisition	955
Fair value of loans at acquisition	$ 809

LOANS - Changes in the carrying

LOANS - Changes in the carrying amount and accretable yield for purchased credit impaired loans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
LOANS
Balance at beginning of period, Accretable Yield	$ 3,835	$ 836
Reclassification, Accretable Yield		859
Additions, including transfers from non-accretable, Accretable Yield	525	2,487
Accretion, Accretable Yield	(943)	(337)
Payments received, net, Accretable Yield	0
Charge-off, Accretable Yield		(10)
Balance at end of period, Accretable Yield	3,417	3,835
Balance at beginning of period, Carrying Amount of Loans	13,817	1,185
Additions, including transfers from non-accretable, Carrying Amount of Loans	5,250	12,290
Reclassification, Carrying Amount of Loans		3,229
Accretion, Carrying Amount of Loans	(943)	337
Payments received, net, Carrying Amount of Loans	(5,528)	(3,214)
Charge-off, Carrying Amount of Loans		(10)
Balance at end of period, Carrying Amount of Loans	$ 14,482	$ 13,817

LOANS - Detail of Troubled Debt

LOANS - Detail of Troubled Debt Restructurings (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)loan	Dec. 31, 2018USD ($)loan	Dec. 31, 2017USD ($)loan
Financing Receivable, Modifications [Line Items]
Outstanding Recorded Investment Pre-Modification	$ 17,493	$ 4,217	$ 592
Outstanding Recorded Investment Post-Modification	$ 17,709	$ 4,195	$ 558
Number of Loans	26	5	5
Interest Income Recognized	$ 168	$ 103	$ 21
Commercial financial and agriculture
Financing Receivable, Modifications [Line Items]
Outstanding Recorded Investment Pre-Modification	979	681	0
Outstanding Recorded Investment Post-Modification	$ 1,023	$ 663	$ 0
Number of Loans | loan	7	2	0
Interest Income Recognized	$ 19	$ 23	$ 0
Real Estate Mortgage-commercial
Financing Receivable, Modifications [Line Items]
Outstanding Recorded Investment Pre-Modification	15,953	3,536	526
Outstanding Recorded Investment Post-Modification	$ 16,122	$ 3,532	$ 494
Number of Loans | loan	14	3	4
Interest Income Recognized	$ 137	$ 80	$ 17
Residential real estate
Financing Receivable, Modifications [Line Items]
Outstanding Recorded Investment Pre-Modification	551	0	66
Outstanding Recorded Investment Post-Modification	$ 553	$ 0	$ 64
Number of Loans | loan	3	0	1
Interest Income Recognized	$ 12	$ 0	$ 4
Consumer installment
Financing Receivable, Modifications [Line Items]
Outstanding Recorded Investment Pre-Modification	10	0	0
Outstanding Recorded Investment Post-Modification	$ 11	$ 0	$ 0
Number of Loans | loan	2	0	0
Interest Income Recognized	$ 0	$ 0	$ 0

LOANS - Modifications of Loans

LOANS - Modifications of Loans Performing (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total	$ 2,600,358	$ 2,060,422
TDRs [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current Loans	6,824	5,307	$ 4,715
Past Due 30-89	985	732	181
Past Due 90 days and still accruing	167	0	5
Non-Accrual	23,993	8,257	2,029
Total	31,969	14,295	6,930
Allowance for loan losses, Current Loans	128	80	100
Allowance for loan losses, Past Due 30-89	0	13	22
Allowance for loan losses, Past Due 90 days and still accruing	0	0	5
Allowance for loan losses, Non-Accrual	1,997	110	27
Allowance for loan losses, Total	2,125	203	154
Commercial financial and agriculture | TDRs [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current Loans	583	13	0
Past Due 30-89	64	646	0
Past Due 90 days and still accruing	0	0	0
Non-Accrual	1,062	18	0
Total	1,709	676	0
Real Estate Mortgage-commercial | TDRs [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current Loans	4,299	4,827	3,702
Past Due 30-89	809	0	92
Past Due 90 days and still accruing	109	0	0
Non-Accrual	19,991	5,425	1,024
Total	25,208	10,252	4,818
Consumer real estate | TDRs [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current Loans	1,905	442	1,013
Past Due 30-89	112	86	89
Past Due 90 days and still accruing	58	0	0
Non-Accrual	2,940	2,801	987
Total	5,015	3,329	2,089
Consumer installment | TDRs [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current Loans	37	25	0
Past Due 30-89	0	0	0
Past Due 90 days and still accruing	0	0	5
Non-Accrual	0	13	18
Total	$ 37	$ 38	$ 23

LOANS - Summary of loans by mod

LOANS - Summary of loans by modified as troubled debt restructurings of payment default (Details) - Trouble debt restructuring $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)loan	Dec. 31, 2018USD ($)loan	Dec. 31, 2017USD ($)loan
Financing Receivable, Recorded Investment, Past Due [Line Items]
Number of Loans | loan	14	4	2
Recorded Investment | $	$ 15,881	$ 4,082	$ 302
Commercial financial and agriculture
Financing Receivable, Recorded Investment, Past Due [Line Items]
Number of Loans | loan	10	2	0
Recorded Investment | $	$ 458	$ 663
Consumer real estate
Financing Receivable, Recorded Investment, Past Due [Line Items]
Number of Loans | loan	4	2	2
Recorded Investment | $	$ 15,423	$ 3,419	$ 302

LOANS - Summary of Loans Classi

LOANS - Summary of Loans Classified as Past Due in Excess of Thirty Days or More and Loans Classified as Non-Accrual (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans	$ 2,600,358	$ 2,060,422
Lease financing receivable
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans	3,095	2,891
Obligations of states and subdivisions
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans	20,716	16,941
Total Portfolio [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Past Due 30 to 89 Days	7,757	12,822
Past Due 90 Days Or More and Still Accruing	2,715	1,265
Non- Accrual	26,740	11,668
PCI	12,095	13,405
Total Past Due and Non- Accrual and PCI	49,307	39,160
Total Loans	2,600,358	2,060,422
Total Portfolio [Member] | Lease financing receivable
Financing Receivable, Recorded Investment, Past Due [Line Items]
Past Due 30 to 89 Days	0	0
Past Due 90 Days Or More and Still Accruing	0	0
Non- Accrual	0	0
Total Past Due and Non- Accrual and PCI	0	0
Total Loans	3,095	2,891
Total Portfolio [Member] | Obligations of states and subdivisions
Financing Receivable, Recorded Investment, Past Due [Line Items]
Past Due 30 to 89 Days	0	0
Past Due 90 Days Or More and Still Accruing	0	0
Non- Accrual	0	0
Total Past Due and Non- Accrual and PCI	0	0
Total Loans	20,716	16,941
Commercial financial and agriculture | Total Portfolio [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Past Due 30 to 89 Days	515	1,650
Past Due 90 Days Or More and Still Accruing	61	0
Non- Accrual	2,137	1,024
PCI	97	184
Total Past Due and Non- Accrual and PCI	2,810	2,858
Total Loans	332,600	301,182
Real Estate Mortgage-commercial
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans	1,028,012	776,880
Real Estate Mortgage-commercial | Total Portfolio [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Past Due 30 to 89 Days	2,447	5,137
Past Due 90 Days Or More and Still Accruing	1,046	570
Non- Accrual	22,441	9,187
PCI	3,844	5,406
Total Past Due and Non- Accrual and PCI	29,778	20,300
Total Loans	1,387,207	1,075,598
Consumer real estate | Total Portfolio [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Past Due 30 to 89 Days	4,569	5,529
Past Due 90 Days Or More and Still Accruing	1,608	650
Non- Accrual	1,902	1,411
PCI	8,148	7,781
Total Past Due and Non- Accrual and PCI	16,227	15,371
Total Loans	814,282	617,804
Consumer installment | Total Portfolio [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Past Due 30 to 89 Days	226	506
Past Due 90 Days Or More and Still Accruing	0	45
Non- Accrual	260	46
PCI	6	34
Total Past Due and Non- Accrual and PCI	492	631
Total Loans	$ 42,458	$ 46,006

LOANS - Risk Category of Loans

LOANS - Risk Category of Loans by Class of Loans (Excluding Mortgage Loans Held for Sale) (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	$ 2,601,979	$ 2,061,035
Less: Unearned discount	1,621	613
Loans, net of unearned discount	2,600,358	2,060,422
Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	2,513,135	1,997,991
Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	13,584	15,218
Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	75,167	47,725
Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	93	101
Commercial financial and agriculture
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	341,686	304,183
Loans, net of unearned discount	341,686	304,183
Commercial financial and agriculture | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	327,205	300,685
Commercial financial and agriculture | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	3,493	842
Commercial financial and agriculture | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	10,972	2,640
Commercial financial and agriculture | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	16	16
Real Estate Mortgage-commercial
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	1,705,003	1,332,493
Less: Unearned discount	1,621	613
Loans, net of unearned discount	1,703,382	1,331,880
Real Estate Mortgage-commercial | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	1,645,496	1,286,151
Real Estate Mortgage-commercial | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	8,876	12,401
Real Estate Mortgage-commercial | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	50,554	33,856
Real Estate Mortgage-commercial | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	77	85
Consumer real estate
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	513,864	389,949
Less: Unearned discount	0	0
Loans, net of unearned discount	513,864	389,949
Consumer real estate | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	499,426	377,028
Consumer real estate | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	1,194	1,962
Consumer real estate | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	13,244	10,959
Consumer real estate | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	0	0
Consumer installment
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	41,426	34,410
Less: Unearned discount	0
Loans, net of unearned discount	41,426	34,410
Consumer installment | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	41,008	34,127
Consumer installment | Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	21	13
Consumer installment | Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	397	$ 270
Consumer installment | Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and leases receivable, gross	$ 0

PREMISES AND EQUIPMENT - Additi

PREMISES AND EQUIPMENT - Additional Information (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
PREMISES AND EQUIPMENT
Depreciation	$ 3.8	$ 2.6	$ 2

PREMISES AND EQUIPMENT (Details

PREMISES AND EQUIPMENT (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Premises:
Property, Plant and Equipment, Gross	$ 122,092	$ 94,974
Less accumulated depreciation and amortization	23,634	20,191
Property, Plant and Equipment, Net	98,458	74,783
Land [Member]
Premises:
Property, Plant and Equipment, Gross	30,094	26,305
Building Improvements [Member]
Premises:
Property, Plant and Equipment, Gross	63,346	48,998
Equipment [Member]
Premises:
Property, Plant and Equipment, Gross	22,394	19,005
Construction in Progress [Member]
Premises:
Property, Plant and Equipment, Gross	$ 6,258	$ 666

DEPOSITS - Additional Informati

DEPOSITS - Additional Information (Details) - USD ($) $ in Millions	Dec. 31, 2019	Dec. 31, 2018
Summary of Deposits [Abstract]
Time deposits, $250,000 or more	$ 187.8	$ 110.9

DEPOSITS (Details)

DEPOSITS (Details) $ in Thousands	Dec. 31, 2019USD ($)
Scheduled Maturities Of Time Deposits [Abstract]
2020	$ 496,211
2021	99,567
2022	30,914
2023	15,071
2024	13,905
Thereafter	6,050
Time Deposits	$ 661,718

BORROWED FUNDS (Details)

BORROWED FUNDS (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
BORROWED FUNDS
Fed Funds Purchased	$ 2,715	$ 0
FHLB advances	206,250	85,500
First Horizon Bank	5,354	0
Total	$ 214,319	$ 85,500

BORROWED FUNDS - Future Annual

BORROWED FUNDS - Future Annual Principal Repayment Requirements On Borrowings (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
BORROWED FUNDS
2020	$ 209,672
2021	735
2022	764
2023	795
2024	826
Thereafter	1,527
Total	$ 214,319	$ 85,500

BORROWED FUNDS - Additional Inf

BORROWED FUNDS - Additional Information (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Borrowed Funds [Line Items]
Federal Home Loan Bank, Advances, General Debt Obligations, Amount of Available, Unused Funds	$ 1,200,000
Fair Value of Securities Received as Collateral that Can be Resold or Repledged	2,302,000
Debt and Capital Lease Obligations	$ 214,319	$ 85,500
Maximum [Member]
Borrowed Funds [Line Items]
Interest rate, range from	3.76%
Minimum [Member]
Borrowed Funds [Line Items]
Interest rate, range from	1.50%
First Florida Bancorp, Inc [Member]
Borrowed Funds [Line Items]
Debt and Capital Lease Obligations	$ 3,500
First Florida Bancorp, Inc [Member] | Maximum [Member]
Borrowed Funds [Line Items]
Interest rate, range from	4.10%
First Florida Bancorp, Inc [Member] | Minimum [Member]
Borrowed Funds [Line Items]
Interest rate, range from	3.80%
First Tennessee Bank [Member]
Borrowed Funds [Line Items]
Debt and Capital Lease Obligations	$ 2,000

LEASE OBLIGATIONS - Lease costs

LEASE OBLIGATIONS - Lease costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
LEASE OBLIGATIONS
Operating lease costs	$ 898
Cash paid for amounts included in the measurement of lease liability Operating cash flows from operating leases
Payments on operating leases	$ 898	$ 0	$ 0

LEASE OBLIGATIONS - Maturity of

LEASE OBLIGATIONS - Maturity of remaining lease liabilities (Details) $ in Thousands	Dec. 31, 2019USD ($)
LEASE OBLIGATIONS
2020	$ 1,643
2021	1,527
2022	1,359
2023	844
2024	631
Thereafter	981
Total lease payments	6,985
Less: Interest	(467)
Present value of lease liabilities	$ 6,518

LEASE OBLIGATIONS - Information

LEASE OBLIGATIONS - Information related to operating leases (Details)	Dec. 31, 2019
LEASE OBLIGATIONS
Weighted-average remaining lease term - operating leases	5 years
Weighted-average discount rate - operating leases	2.50%

LEASE OBLIGATIONS - Minimum fut

LEASE OBLIGATIONS - Minimum future lease payments (Details) $ in Thousands	Dec. 31, 2019USD ($)
LEASE OBLIGATIONS
2019	$ 784
2020	463
2021	347
2022	256
2023	229
2024 and thereafter	197
Total minimum lease payments	2,276
Capital Leases
2019	275
2020	191
2021	175
2022	0
2023	0
Thereafter	0
Total Minimum Lease Payments	641
Less: Amount representing interest	(25)
Present value of minimum lease payments	$ 616

LEASE OBLIGATIONS (Details)

LEASE OBLIGATIONS (Details) $ in Thousands	Dec. 31, 2019USD ($)
Leases
Operating lease ROU assets	$ 6,500
Operating lease liabilities	$ 6,518
Operating Lease, Liability, Statement of Financial Position [Extensible List]	Other Liabilities
Minimum [Member]
Leases
Remaining lease term	1 year
Maximum [Member]
Leases
Remaining lease term	8 years

REGULATORY MATTERS - Actual Cap

REGULATORY MATTERS - Actual Capital Amounts and Ratios (Detail) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Parent Company [Member]
Common equity Tier 1 (Ratio)
Total risk-based	$ 446,571	$ 348,295
Common equity Tier 1	352,481	258,206
Tier I risk-based	367,727	273,398
Tier I leverage	$ 367,727	$ 273,398
Total risk-based, Ratio	15.80%	15.60%
Common equity Tier 1, Ratio	12.50%	11.50%
Tier I risk-based, Ratio	13.00%	12.20%
Tier I leverage, Ratio	10.30%	10.20%
Subsidiaries [Member]
Common equity Tier 1 (Ratio)
Total risk-based	$ 439,538	$ 339,376
Common equity Tier 1	425,630	329,311
Tier I risk-based	425,630	329,311
Tier I leverage	$ 425,630	$ 329,311
Total risk-based, Ratio	15.60%	15.20%
Common equity Tier 1, Ratio	15.10%	14.80%
Tier I risk-based, Ratio	15.10%	14.80%
Tier I leverage, Ratio	11.80%	12.20%

REGULATORY MATTERS - Minimum Am

REGULATORY MATTERS - Minimum Amounts Of Capital and Ratios (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
Tier I risk-based, Ratio	6.50%
Parent Company [Member]
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
Total risk-based	$ 225,932	$ 179,177
Common equity Tier 1	127,087	100,787
Tier I risk-based	169,449	134,383
Tier I leverage	$ 143,460	$ 107,739
Total risk-based, Ratio	8.00%	8.00%
Common equity Tier 1, Ratio	4.50%	4.50%
Tier I risk-based, Ratio	6.00%	6.00%
Tier I leverage, Ratio	4.00%	4.00%
Subsidiaries [Member]
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
Total risk-based	$ 225,413	$ 178,578
Common equity Tier 1	126,795	100,450
Tier I risk-based	169,060	133,934
Tier I leverage	$ 143,940	$ 107,593
Total risk-based, Ratio	8.00%	8.00%
Common equity Tier 1, Ratio	4.50%	4.50%
Tier I risk-based, Ratio	6.00%	6.00%
Tier I leverage, Ratio	4.00%	4.00%

REGULATORY MATTERS - Additional

REGULATORY MATTERS - Additional Information (Details) $ in Millions	Dec. 31, 2019USD ($)
Regulatory Capital Requirements Under Banking Regulations [Line Items]
Tier One Risk Based Capital to Risk Weighted Assets	6.50%
Dividends Payable	$ 22.7
Minimum [Member]
Regulatory Capital Requirements Under Banking Regulations [Line Items]
Tier One Risk Based Capital to Risk Weighted Assets	10.00%
Tier I risk-based capital ratio	8.00%
Tier I leverage capital ratio	5.00%

INCOME TAXES - Components of In

INCOME TAXES - Components of Income Tax Expense (Details) - USD ($) $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Current:
Federal													$ 9,477	$ 2,435	$ 408
State													2,312	834	101
Deferred (In 2017, includes $2,081 due to Tax Cut and Jobs Act)													912	2,523	6,446
Income Tax Expense (Benefit)	$ 3,353	$ 3,491	$ 3,823	$ 2,034	$ 1,982	$ 1,383	$ 1,419	$ 1,008	$ 3,851	$ 1,901	$ 908	$ 296	$ 12,701	$ 5,792	$ 6,955

INCOME TAXES - Reconciliation o

INCOME TAXES - Reconciliation of Federal Income Tax Statutory Rates (Details) - USD ($) $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
INCOME TAXES
Income taxes at statutory rate													$ 11,854	$ 5,674	$ 6,150
Tax-exempt income													(1,176)	(867)	(1,155)
Nondeductible expenses													348	403	234
State income tax, net of federal tax effect													1,969	1,058	66
Tax credits, net													(334)	(334)	(331)
Deferred tax adjustment due to Tax Cuts and Job Act													0	0	2,081
Other, net													40	(142)	(90)
Income Tax Expense (Benefit)	$ 3,353	$ 3,491	$ 3,823	$ 2,034	$ 1,982	$ 1,383	$ 1,419	$ 1,008	$ 3,851	$ 1,901	$ 908	$ 296	$ 12,701	$ 5,792	$ 6,955
Income taxes at statutory rate, Percent													21.00%	21.00%	35.00%
Tax-exempt income, Percent													(2.00%)	(3.00%)	(6.00%)
Nondeductible expenses, Percent													1.00%	1.00%	1.00%
State income tax, net of federal tax effect, Percent													4.00%	4.00%	0.00%
Tax credits, Percent													(1.00%)	(1.00%)	(2.00%)
Deferred tax adjustment due to Tax Cuts and Job Act, Percent													0.00%	0.00%	12.00%
Other, net, Percent													(0.00%)	(1.00%)	(0.00%)
Effective Income Tax Rate Reconciliation, Percent													23.00%	21.00%	40.00%

INCOME TAXES - Components of De

INCOME TAXES - Components of Deferred Income Taxes Included in Consolidated Financial Statements (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Deferred tax assets:
Allowance for loan losses	$ 3,430	$ 2,547
Net operating loss carryover	2,830	2,831
Non-accrual loan interest	895	601
Other real estate	506	494
Unrealized loss on available-for-sale securities	0	611
Deferred Compensation	1,190	1,235
Loan Purchase Accounting	3,467	3,505
Right-of-use-asset	1,650	0
Other	2,146	776
Deferred Tax Assets, Gross, Total	16,114	12,600
Deferred tax liabilities:
Unrealized gain on available-for-sale securities	(3,417)	0
Securities	(81)	(149)
Premises and equipment	(5,002)	(3,056)
Core deposit intangible	(6,864)	(4,959)
Goodwill	(1,631)	(1,356)
Right-of-use liability	(1,650)	0
Other	(331)	(254)
Deferred Tax Liabilities, Gross	(18,976)	(9,774)
Net deferred tax asset/(liability), included in other assets/(liabilities)	$ (2,862)
Net deferred tax asset/(liability), included in other assets/(liabilities)		$ 2,826

INCOME TAXES - Additional Infor

INCOME TAXES - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Component of Income Tax Expenses [Line Items]
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	21.00%	21.00%	35.00%
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount			$ 2,100
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability	$ 0	$ 0	$ 2,081
Operating Loss Carryforwards	$ 11,700
Scenario, Plan [Member]
Component of Income Tax Expenses [Line Items]
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	21.00%

EMPLOYEE BENEFITS (Details)

EMPLOYEE BENEFITS (Details) - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Employee Benefits [Line Items]
Defined contribution plan, employer matching contribution, percent	50.00%
Employee stockownership plan ESOP deferred shares	5,728
Deferred compensation arrangement with individual, employer contribution	$ 771	$ 628	$ 513
Employee Stock Ownership Plan (ESOP), compensation expense	11	4	4
Accrued Employee Benefits	257	$ 259	$ 242
Employee Stock Ownership Plan (ESOP), Deferred Shares, Fair Value	203
Iberville Bank Member [Member]
Employee Benefits [Line Items]
Deferred Compensation Share-based Arrangements, Liability, Current and Noncurrent	1,100
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense	24
Southwest
Employee Benefits [Line Items]
Deferred Compensation Share-based Arrangements, Liability, Current and Noncurrent	1,100
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense	80
FMB Banking Corporation
Employee Benefits [Line Items]
Deferred Compensation Share-based Arrangements, Liability, Current and Noncurrent	3,100
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense	$ 136

STOCK PLANS (Details)

STOCK PLANS (Details)	12 Months Ended
	Dec. 31, 2019$ / sharesshares
STOCK PLANS
Nonvested, Shares	255,055
Granted	89,315
Vested	(7,300)
Forfeited	(7,931)
Nonvested, Shares	329,139
Nonvested, Weighted-Average Grant-Date Fair Value | $ / shares	$ 22.94
Nonvested, Weighted-Average Grant-Date Fair Value | $ / shares	$ 25.61

STOCK PLANS - Additional Inform

STOCK PLANS - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Compensation Related Costs Share Based Payments [Line Items]
Common stock, par value	$ 1	$ 1
Restricted stock expense	$ 1,661	$ 1,154	$ 866
Restricted stock award vested percent	100.00%
Vesting period for recognition of compensation costs	5 years
Two Thousand Seven Stock Incentive Plan [Member]
Compensation Related Costs Share Based Payments [Line Items]
Issuance of common stock	315,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	120,578
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 4,800
Common Stock
Compensation Related Costs Share Based Payments [Line Items]
Stock Issued During Period, Shares, Share-based Compensation, Gross	89,315	60,984
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value	$ 240	$ 90	$ 1,800
Two Thousand Seven Plan [Member]
Compensation Related Costs Share Based Payments [Line Items]
Issuance of common stock	300,000
Common stock, par value	$ 1
Two Thousand Seven Plan Amendment [Member]
Compensation Related Costs Share Based Payments [Line Items]
Issuance of common stock	615,000
Common stock, par value	$ 1

SUBORDINATED DEBT (Details)

SUBORDINATED DEBT (Details) - USD ($)	1 Months Ended			12 Months Ended
	Apr. 30, 2018	Jul. 27, 2007	Jun. 30, 2006	Dec. 31, 2018
Subordinated Debenture [Line Items]
Trust Preferred Securities to investors		$ 6,000,000	$ 4,000,000	$ 6,000,000
Debentures, Maturity date		2037	2036	2033
London Interbank Offer Rate		1.40%	1.65%	2.85%
Junior Subordinated Debt
Subordinated Debenture [Line Items]
Junior subordinated deferrable interest debentures		$ 6,186,000	$ 4,124,000	$ 6,100,000
Subordinated Debt One [Member]
Subordinated Debenture [Line Items]
Debt Instrument, Face Amount	$ 24,000,000
Debt Instrument, Interest Rate, Effective Percentage	6.40%
Debt Instrument Maturity Year	2028
Subordinated Debt Two [Member]
Subordinated Debenture [Line Items]
Debt Instrument, Face Amount	$ 42,000,000
Debt Instrument, Interest Rate, Effective Percentage	5.875%
Debt Instrument Maturity Year	2033

TREASURY STOCK - Additional Inf

TREASURY STOCK - Additional Information (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2019	Mar. 28, 2019	Dec. 31, 2018	Dec. 31, 2017
Equity, Class of Treasury Stock [Line Items]
Treasury stock, shares	194,682		26,494	26,494
March 2019 program
Equity, Class of Treasury Stock [Line Items]
Share authorized to repurchase		$ 20
Shares repurchased	168,188

RELATED PARTY TRANSACTIONS - Ad

RELATED PARTY TRANSACTIONS - Additional Information (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
RELATED PARTY TRANSACTIONS
Loans and Leases Receivable, Related Parties	$ 23,697	$ 20,593
Related Party Deposit Liabilities	$ 6,200	$ 6,100

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2019USD ($)
RELATED PARTY TRANSACTIONS
Loans outstanding at beginning of year	$ 20,593
New loans	6,603
Repayments	(3,499)
Loans outstanding at end of year	$ 23,697

COMMITMENTS, CONTINGENCIES, A_3

COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK - Additional Information (Details)	12 Months Ended
	Dec. 31, 2019
Commitments And Contingencies [Line Items]
Loan commitments	90 days
Maximum [Member]
Commitments And Contingencies [Line Items]
Fixed Rate Loan Commitments Interest Rate	18.00%
Fixed Rate Loan Commitments Maturity Period	30 years
Minimum [Member]
Commitments And Contingencies [Line Items]
Fixed Rate Loan Commitments Interest Rate	0.50%
Fixed Rate Loan Commitments Maturity Period	1 year

COMMITMENTS, CONTINGENCIES, A_4

COMMITMENTS, CONTINGENCIES, AND CONCENTRATIONS OF CREDIT RISK (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Commitments to make loans [Member]
Fixed Rates	$ 42,774	$ 32,624
Variable Rates	5,676	36,780
Unused lines of credit [Member]
Fixed Rates	137,966	115,524
Variable Rates	208,728	131,741
Standby letters of credit [Member]
Fixed Rates	3,648	2,357
Variable Rates	$ 8,475	$ 8,367

FAIR VALUES OF ASSETS AND LIA_3

FAIR VALUES OF ASSETS AND LIABILITIES - Fair Value of Assets Measured on Recurring Basis (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	$ 765,087	$ 492,224
Estimate of Fair Value Measurement [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	765,087	492,224
Corporate obligations
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	27,946	7,348
Obligations of U.S. government agencies and sponsored entities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	77,950	47,342
Tax-exempt and taxable obligations of states and municipal subdivisions
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	258,982	150,064
U.S Treasury
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	4,894
Obligations of U. S. Government Agencies
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	77,950	47,342
Municipal securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	258,982	150,064
Mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	395,315	287,470
Corporate obligations
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	27,946	7,348
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	4,894	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S Treasury
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	4,894
Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of U. S. Government Agencies
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate obligations
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0	0
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	749,440	483,776
Significant Other Observable Inputs (Level 2) | U.S Treasury
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0
Significant Other Observable Inputs (Level 2) | Obligations of U. S. Government Agencies
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	77,950	47,342
Significant Other Observable Inputs (Level 2) | Municipal securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	248,637	142,490
Significant Other Observable Inputs (Level 2) | Mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	395,315	287,470
Significant Other Observable Inputs (Level 2) | Corporate obligations
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	27,538	6,474
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	10,753	8,448
Significant Unobservable Inputs (Level 3) | U.S Treasury
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0
Significant Unobservable Inputs (Level 3) | Obligations of U. S. Government Agencies
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0	0
Significant Unobservable Inputs (Level 3) | Municipal securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	10,345	7,574
Significant Unobservable Inputs (Level 3) | Mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	0	0
Significant Unobservable Inputs (Level 3) | Corporate obligations
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Securities available-for-sale, at fair value	$ 408	$ 874

FAIR VALUES OF ASSETS AND LIA_4

FAIR VALUES OF ASSETS AND LIABILITIES - Reconciliation of Activity for Assets Measured at Fair Value based on Significant Unobservable (Non-market) Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Bank-Issued Trust Preferred Securities
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Balance, January 1	$ 874	$ 2,569
Unrealized gain (loss) included in comprehensive income	(466)	(1,695)
Balance at December 31, 2019 and 2018	408	874
Municipal securities
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Balance, January 1	7,574	4,818
Unrealized gain (loss) included in comprehensive income	2,771	2,756
Balance at December 31, 2019 and 2018	$ 10,345	$ 7,574

FAIR VALUES OF ASSETS AND LIA_5

FAIR VALUES OF ASSETS AND LIABILITIES - Quantitative Information About Recurring Level 3 Fair Value Measurements (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Municipal securities
Quantitative Information About Recurring Fair Value Measurements [Line Items]
Fair Value	$ 10,345	$ 7,574
Valuation Technique	Discounted cash flow	Discounted cash flow
Significant Unobservable Inputs	Discount rate	Discount rate
Range of Inputs, Minimum	1.50%	2.00%
Range of Inputs, Maximum	4.40%	3.50%
Trust Preferred Securities [Member]
Quantitative Information About Recurring Fair Value Measurements [Line Items]
Fair Value	$ 408	$ 874
Valuation Technique	Discounted cash flow	Discounted cash flow
Significant Unobservable Inputs	Discount rate	Discount rate
Range of Inputs, Minimum	2.73%	3.71%
Range of Inputs, Maximum	4.15%	5.03%

FAIR VALUES OF ASSETS AND LIA_6

FAIR VALUES OF ASSETS AND LIABILITIES - Fair Value of Assets Measured on Nonrecurring Basis (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018
Impaired loans
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	$ 11,337	$ 11,571
Other real estate owned
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	7,299	10,869
Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	7,300
Quoted Prices in Active Markets for Identical Assets (Level 1) | Impaired loans
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) | Other real estate owned
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	0	0
Significant Other Observable Inputs (Level 2) | Impaired loans
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	0	0
Significant Other Observable Inputs (Level 2) | Other real estate owned
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	0	0
Significant Unobservable Inputs (Level 3) | Impaired loans
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	11,337	11,571
Significant Unobservable Inputs (Level 3) | Other real estate owned
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Assets measured at fair value on a nonrecurring basis	$ 7,299	$ 10,869

FAIR VALUES OF ASSETS AND LIA_7

FAIR VALUES OF ASSETS AND LIABILITIES - Fair Values of off-Balance Sheet Financial Instruments (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Assets:
Cash and cash equivalents	$ 168,864	$ 159,107	$ 91,922	$ 62,119
Securities available-for- sale	765,087	492,224
Securities held- to-maturity	0	6,000
Loans, net	2,597,260	2,055,195	$ 1,221,808
Accrued interest receivable	14,802	10,778
Liabilities:
Noninterest- bearing deposits	723,208	570,148
Interest-bearing deposits	2,353,325	1,887,311
Subordinated debentures	80,678	80,521
FHLB and other borrowings	214,319	85,500
FHLB and other borrowings	214,319	85,500
Accrued interest payable	2,508	1,519
Estimate of Fair Value Measurement [Member]
Assets:
Cash and cash equivalents	168,864	159,107
Securities available-for- sale	765,087	492,224
Securities held- to-maturity		7,028
Loans, net	2,560,668	2,020,782
Accrued interest receivable	14,802	10,778
Liabilities:
Noninterest- bearing deposits	723,208	570,148
Interest-bearing deposits	2,339,537	1,855,637
Subordinated debentures	80,330	76,986
FHLB and other borrowings	214,319	85,500
Accrued interest payable	2,508	1,519
Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Cash and cash equivalents	168,864	159,107
Securities available-for- sale	4,894	0
Securities held- to-maturity		0
Loans, net	0	0
Accrued interest receivable	0	0
Liabilities:
Noninterest- bearing deposits	0	0
Interest-bearing deposits	0	0
Subordinated debentures	0	0
FHLB and other borrowings	0	0
Accrued interest payable	0	0
Significant Other Observable Inputs (Level 2)
Assets:
Cash and cash equivalents	0	0
Securities available-for- sale	749,440	483,776
Securities held- to-maturity		7,028
Loans, net	0	0
Accrued interest receivable	4,246	2,673
Liabilities:
Noninterest- bearing deposits	723,208	570,148
Interest-bearing deposits	2,339,537	1,855,637
Subordinated debentures	0	0
FHLB and other borrowings	214,319	85,500
Accrued interest payable	2,508	1,519
Significant Unobservable Inputs (Level 3)
Assets:
Cash and cash equivalents	0	0
Securities available-for- sale	10,753	8,448
Securities held- to-maturity		0
Loans, net	2,560,668	2,020,782
Accrued interest receivable	10,556	8,105
Liabilities:
Noninterest- bearing deposits	0	0
Interest-bearing deposits	0	0
Subordinated debentures	80,330	76,986
FHLB and other borrowings	0	0
Accrued interest payable	$ 0	$ 0

REVENUE FROM CONTRACTS WITH C_3

REVENUE FROM CONTRACTS WITH CUSTOMERS (Details) - USD ($) $ in Thousands		3 Months Ended												12 Months Ended
		Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Non-interest income
Service charges on deposits overdraft fees														$ 4,278	$ 3,308
Service charges on deposits other														3,560	2,485
Interchange income														8,024	5,247	$ 3,758
Investment brokerage fees														83	43
Net gains (losses) on OREO														(144)	60	(199)
Net gains on sale of loans	[1]														33
Net gains (losses) on sales of securities														122	334	(16)
Other														11,024	9,051
Total non-interest income		$ 7,574	$ 7,103	$ 6,716	$ 5,554	$ 6,396	$ 5,074	$ 5,632	$ 3,459	$ 3,556	$ 3,658	$ 3,757	$ 3,391	26,947	20,561	14,363
Commercial/Retail Bank [Member]
Non-interest income
Service charges on deposits overdraft fees														4,277	3,306
Service charges on deposits other														3,558	2,483
Interchange income														8,024	5,247
Investment brokerage fees														83	43
Net gains (losses) on OREO														(144)	60
Net gains on sale of loans	[1]														33
Net gains (losses) on sales of securities														122	334
Other														3,977	3,142
Total non-interest income														19,897	14,648	9,807
Mortgage Banking Division [Member]
Non-interest income
Service charges on deposits overdraft fees														1	2
Service charges on deposits other														2	2
Interchange income														0	0
Investment brokerage fees														0	0
Net gains (losses) on OREO														0	0
Net gains on sale of loans	[1]														0
Net gains (losses) on sales of securities														0	0
Other														5,985	4,044
Total non-interest income														5,988	4,048	4,505
Holding Company [Member]
Non-interest income
Service charges on deposits overdraft fees														0	0
Service charges on deposits other														0	0
Interchange income														0	0
Investment brokerage fees														0	0
Net gains (losses) on OREO														0	0
Net gains on sale of loans	[1]														0
Net gains (losses) on sales of securities														0	0
Other														1,062	1,865
Total non-interest income														$ 1,062	$ 1,865	$ 51
[1]	Not within scope of ASC 606

PARENT COMPANY FINANCIAL INFO_3

PARENT COMPANY FINANCIAL INFORMATION - Condensed Balance Sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Assets:
Cash and cash equivalents	$ 89,736	$ 71,356
Other	38,737	37,780
Total assets	3,941,863	3,003,986	$ 1,813,238
Liabilities and Stockholders' Equity:
Subordinated debentures	80,678	80,521
Advances from First Horizon Bank	5,354	0
Other	24,167	15,733
Liabilities and Equity, Total	3,941,863	3,003,986
Parent Company [Member]
Assets:
Cash and cash equivalents	5,941	3,081
Investment in subsidiary bank	616,807	434,352
Investments in statutory trusts	496	496
Bank owned life insurance	4,200	4,087
Other	2,292	2,927
Total assets	629,736	444,943
Liabilities and Stockholders' Equity:
Subordinated debentures	80,678	80,521
Advances from First Horizon Bank	5,354	0
Other	46	1,168
Stockholders' equity	543,658	363,254
Liabilities and Equity, Total	$ 629,736	$ 444,943

PARENT COMPANY FINANCIAL INFO_4

PARENT COMPANY FINANCIAL INFORMATION - Condensed Statements of Income (Details) - USD ($) $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Income:
Total interest income	$ 40,444	$ 37,241	$ 37,571	$ 33,273	$ 30,555	$ 25,628	$ 25,037	$ 18,758	$ 17,143	$ 16,708	$ 16,464	$ 15,753	$ 148,529	$ 99,978	$ 66,069
Expenses:
Interest on borrowed funds													6,960	4,306	1,648
Income before income taxes and equity in undistributed income of subsidiary													56,446	27,017	17,571
Income tax benefit	$ 3,353	$ 3,491	$ 3,823	$ 2,034	$ 1,982	$ 1,383	$ 1,419	$ 1,008	$ 3,851	$ 1,901	$ 908	$ 296	12,701	5,792	6,955
Net income													43,745	21,225	10,616
Parent Company [Member]
Income:
Interest and dividends													26	11	8
Dividend income													50,390	13,889	3,675
Other													1,062	1,865	51
Total interest income													51,478	15,765	3,734
Expenses:
Interest on borrowed funds													4,918	3,454	860
Legal and professional													3,401	3,833	1,097
Other													2,418	1,755	1,349
Operating Expenses, Total													10,737	9,042	3,306
Income before income taxes and equity in undistributed income of subsidiary													40,741	6,723	428
Income tax benefit													2,291	1,496	1,222
Income before equity in undistributed income of Subsidiary													43,032	8,219	1,650
Equity in undistributed income of subsidiary													713	13,006	8,966
Net income													$ 43,745	$ 21,225	$ 10,616

PARENT COMPANY FINANCIAL INFO_5

PARENT COMPANY FINANCIAL INFORMATION - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Cash flows from operating activities:
Net income	$ 43,745	$ 21,225	$ 10,616
Adjustments to reconcile net income to net cash used in operating activities:
Restricted stock expense	1,661	1,154	866
Net cash provided by operating activities	44,700	31,500	21,598
Cash flows from investing activities:
Net cash used in investing activities	(62,682)	(8,808)	(141,403)
Cash flows from financing activities:
Dividends paid on common stock	(5,190)	(2,557)	(1,416)
Common stock repurchased	(5,229)	0	0
Net proceeds from issuance of stock	0	(237)	55,271
Net cash provided by financing activities	27,739	44,493	149,608
Parent Company [Member]
Cash flows from operating activities:
Net income	43,745	21,225	10,616
Adjustments to reconcile net income to net cash used in operating activities:
Equity in undistributed income of Subsidiary	(713)	(13,006)	(8,966)
Restricted stock expense	1,661	1,154	867
Gain on disposition of CVR	0	0	(51)
Other, net	1,185	1,364	(625)
Net cash provided by operating activities	45,878	10,737	1,841
Cash flows from investing activities:
Investment in subsidiary bank	0	(27,000)	(35,000)
Net outlays for acquisitions	(32,363)	(47,041)	0
Net cash used in investing activities	(32,363)	(74,041)	(35,000)
Cash flows from financing activities:
Dividends paid on common stock	(5,190)	(2,557)	(1,416)
Repurchase of restricted stock for payment of taxes	(63)	(23)	(329)
Common stock repurchased	(5,229)	0	0
Net proceeds from issuance of stock	0	(237)	55,271
Proceeds (repayment) of borrowed funds	(173)	(16,000)	0
Issuance of subordinated debt	0	64,766	0
Net cash provided by financing activities	(10,655)	45,949	53,526
Net increase (decrease) in cash and cash equivalents	2,860	(17,355)	20,367
Cash and cash equivalents at beginning of year	3,081	20,436	69
Cash and cash equivalents at end of year	$ 5,941	$ 3,081	$ 20,436

OPERATING SEGMENTS (Details)

OPERATING SEGMENTS (Details) - USD ($) $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Segment Reporting Information [Line Items]
Interest income	$ 40,444	$ 37,241	$ 37,571	$ 33,273	$ 30,555	$ 25,628	$ 25,037	$ 18,758	$ 17,143	$ 16,708	$ 16,464	$ 15,753	$ 148,529	$ 99,978	$ 66,069
Interest expense	7,000	6,782	6,799	6,142	5,285	3,959	3,468	2,379	1,922	1,773	1,629	1,585	26,723	15,091	6,909
Net interest income (loss)	33,444	30,459	30,772	27,131	25,270	21,669	21,569	16,379	15,221	14,935	14,835	14,168	121,806	84,887	59,160
Provision (credit) for loan losses	850	974	791	1,123	574	412	857	277	122	90	248	46	3,738	2,120	506
Net interest income (loss) after provision for loan losses	32,594	29,485	29,981	26,008	24,696	21,257	20,712	16,102	15,099	14,845	14,587	14,122	118,068	82,767	58,654
Non-interest income	7,574	7,103	6,716	5,554	6,396	5,074	5,632	3,459	3,556	3,658	3,757	3,391	26,947	20,561	14,363
Non-interest expense	24,960	20,825	20,891	21,893	22,249	19,786	19,680	14,596	12,390	11,888	15,070	16,095	88,569	76,311	55,446
Income (loss) before income taxes													56,446	27,017	17,571
Income tax (benefit) expense	3,353	$ 3,491	$ 3,823	$ 2,034	1,982	$ 1,383	$ 1,419	$ 1,008	3,851	$ 1,901	$ 908	$ 296	12,701	5,792	6,955
Net income (loss)													43,745	21,225	10,616
Total Assets	3,941,863				3,003,986				1,813,238				3,941,863	3,003,986	1,813,238
Net loans	2,597,260				2,055,195				1,221,808				2,597,260	2,055,195	1,221,808
Commercial/Retail Bank [Member]
Segment Reporting Information [Line Items]
Interest income													147,500	98,758	65,118
Interest expense													21,388	11,113	6,048
Net interest income (loss)													126,112	87,645	59,070
Provision (credit) for loan losses													3,781	2,259	475
Net interest income (loss) after provision for loan losses													122,331	85,386	58,595
Non-interest income													19,897	14,648	9,807
Non-interest expense													78,440	66,875	49,143
Income (loss) before income taxes													63,914	33,159	19,259
Income tax (benefit) expense													14,595	7,034	7,740
Net income (loss)													49,319	26,125	11,519
Total Assets	3,902,703				2,969,560				1,758,778				3,902,703	2,969,560	1,758,778
Net loans	2,584,385				2,038,395				1,196,365				2,584,385	2,038,395	1,196,365
Mortgage Banking Division [Member]
Segment Reporting Information [Line Items]
Interest income													1,003	1,209	943
Interest expense													417	524	1
Net interest income (loss)													586	685	942
Provision (credit) for loan losses													(43)	(139)	31
Net interest income (loss) after provision for loan losses													629	824	911
Non-interest income													5,988	4,048	4,505
Non-interest expense													4,310	3,848	3,857
Income (loss) before income taxes													2,181	1,024	1,559
Income tax (benefit) expense													490	254	437
Net income (loss)													1,691	770	1,122
Total Assets	26,231				23,865				32,234				26,231	23,865	32,234
Net loans	12,875				16,799				25,443				12,875	16,799	25,443
Holding Company [Member]
Segment Reporting Information [Line Items]
Interest income													26	11	8
Interest expense													4,918	3,454	860
Net interest income (loss)													(4,892)	(3,443)	(852)
Provision (credit) for loan losses													0	0	0
Net interest income (loss) after provision for loan losses													(4,892)	(3,443)	(852)
Non-interest income													1,062	1,865	51
Non-interest expense													5,819	5,588	2,446
Income (loss) before income taxes													(9,649)	(7,166)	(3,247)
Income tax (benefit) expense													(2,384)	(1,496)	(1,222)
Net income (loss)													(7,265)	(5,670)	(2,025)
Total Assets	12,929				10,592				22,226				12,929	10,592	22,226
Net loans	$ 0				$ 0				$ 0				$ 0	$ 0	$ 0

SUMMARY OF QUARTERLY RESULTS _3

SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended												12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
SUMMARY OF QUARTERLY RESULTS OF OPERATIONS AND PER SHARE AMOUNTS (UNAUDITED)
Total interest income	$ 40,444	$ 37,241	$ 37,571	$ 33,273	$ 30,555	$ 25,628	$ 25,037	$ 18,758	$ 17,143	$ 16,708	$ 16,464	$ 15,753	$ 148,529	$ 99,978	$ 66,069
Total interest expense	7,000	6,782	6,799	6,142	5,285	3,959	3,468	2,379	1,922	1,773	1,629	1,585	26,723	15,091	6,909
Net interest income	33,444	30,459	30,772	27,131	25,270	21,669	21,569	16,379	15,221	14,935	14,835	14,168	121,806	84,887	59,160
Provision for loan losses	850	974	791	1,123	574	412	857	277	122	90	248	46	3,738	2,120	506
Net interest income after provision for loan losses	32,594	29,485	29,981	26,008	24,696	21,257	20,712	16,102	15,099	14,845	14,587	14,122	118,068	82,767	58,654
Total non-interest income	7,574	7,103	6,716	5,554	6,396	5,074	5,632	3,459	3,556	3,658	3,757	3,391	26,947	20,561	14,363
Total non-interest expense	24,960	20,825	20,891	21,893	22,249	19,786	19,680	14,596	12,390	11,888	15,070	16,095	88,569	76,311	55,446
Income tax expense	3,353	3,491	3,823	2,034	1,982	1,383	1,419	1,008	3,851	1,901	908	296	12,701	5,792	6,955
Net income available to common stockholders	$ 11,855	$ 12,272	$ 11,983	$ 7,635	$ 6,861	$ 5,162	$ 5,245	$ 3,957	$ 2,414	$ 4,714	$ 2,366	$ 1,122	$ 43,745	$ 21,225	$ 10,616
Per common share:
Net income, basic	$ 0.64	$ 0.71	$ 0.69	$ 0.48	$ 0.48	$ 0.39	$ 0.40	$ 0.34	$ 0.23	$ 0.52	$ 0.26	$ 0.12	$ 2.57	$ 1.63	$ 1.12
Net income, diluted	0.72	0.74	0.70	0.63	0.48	0.39	0.40	0.34	0.23	0.51	0.26	0.12	2.55	1.62	1.11
Cash dividends declared	$ 0.08	$ 0.08	$ 0.08	$ 0.07	$ 0.05	$ 0.05	$ 0.05	$ 0.05	$ 0.0375	$ 0.0375	$ 0.0375	$ 0.0375	$ 0.31	$ 0.20	$ 0.15