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Fair Value Disclosures (Tables)
12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Assets and Liabilities Measured at Fair Value on Recurring Basis
The following table presents the assets and liabilities measured at fair value on a recurring basis at December 31, 2023 and 2022, classified using the fair value hierarchy:
 At December 31, 2023
(Dollars in thousands)Level 1Level 2Level 3Assets/
Liabilities at
Fair Value
Assets:
Available-for-sale securities:
State and political subdivisions$ $2,301 $ $2,301 
Residential mortgage-backed securities 264,552  264,552 
Collateralized mortgage obligations 2,001  2,001 
Corporate bonds 82,699  82,699 
Total available-for-sale securities 351,553  351,553 
Equity securities:
Equity securities - financial services industry764   764 
Money market mutual funds2,529   2,529 
Total equity securities3,293   3,293 
Loans held for sale 11,637  11,637 
Interest rate locks with customers* 717  717 
Total assets$3,293 $363,907 $ $367,200 
Liabilities:
Contingent consideration liability$ $ $1,224 $1,224 
Interest rate swaps* 5,779  5,779 
Credit derivatives*  186 186 
Forward loan sale commitments* 427  427 
Total liabilities$ $6,206 $1,410 $7,616 
*Such financial instruments are recorded at fair value as further described in Note 18, "Derivative Instruments and Hedging Activities."
The $186 thousand of credit derivatives liability represents the Credit Valuation Adjustment ("CVA"), which is obtained from real-time financial market data, of 133 interest rate swaps with a current notional amount of $862.8 million. The December 31, 2023 CVA is calculated using a 40% loss given default rate on the most recent investment grade credit curve.

The contingent consideration liability resulting from the Sheaffer acquisition was calculated using a discount rate of 8.3% on the acquisition date. During the year ended December 31, 2023, the Corporation paid $635 thousand in contingent consideration related to this acquisition. The contingent consideration liability was $1.2 million at December 31, 2023. The remaining potential cash payments that could result from the contingent consideration arrangement for the Sheaffer acquisition range from $0 to a maximum of $1.3 million through the period ending November 30, 2024.
 At December 31, 2022
(Dollars in thousands)Level 1Level 2Level 3Assets/
Liabilities at
Fair Value
Assets:
Available-for-sale securities:
State and political subdivisions$— $2,285 $— $2,285 
Residential mortgage-backed securities— 263,388 — 263,388 
Collateralized mortgage obligations— 2,322 — 2,322 
Corporate bonds— 82,261 — 82,261 
Total available-for-sale securities— 350,256 — 350,256 
Equity securities:
Equity securities - financial services industry780 — — 780 
Money market mutual funds1,799 — — 1,799 
Total equity securities2,579 — — 2,579 
Loans held for sale— 5,037 — 5,037 
Interest rate locks with customers*— 119 — 119 
Forward loan sale commitments*— 29 — 29 
Total assets$2,579 $355,441 $— $358,020 
Liabilities:
Contingent consideration liability$— $— $1,765 $1,765 
Interest rate swaps*— 8,647 — 8,647 
Credit derivatives*— — 360 360 
Total liabilities$— $8,647 $2,125 $10,772 
*Such financial instruments are recorded at fair value as further described in Note 18, "Derivative Instruments and Hedging Activities."
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
The following table includes a rollforward of loans and credit derivatives for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the years ended December 31, 2023 and 2022.
 For the Year Ended December 31, 2023
(Dollars in thousands)Balance at December 31, 2022AdditionsPayments receivedIncrease in valueBalance at December 31, 2023
Credit derivatives(360)(988) 1,162 (186)
Net total $(360)$(988)$ $1,162 $(186)
 For the Year Ended December 31, 2022
(Dollars in thousands)Balance at
December 31,
2021
AdditionsPayments receivedIncrease in valueBalance at December 31, 2022
Loans48 — (48)— — 
Credit derivatives(381)(2,850)— 2,871 (360)
Net total $(333)$(2,850)$(48)$2,871 $(360)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The following table includes a rollforward of loans and credit derivatives for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the years ended December 31, 2023 and 2022.
 For the Year Ended December 31, 2023
(Dollars in thousands)Balance at December 31, 2022AdditionsPayments receivedIncrease in valueBalance at December 31, 2023
Credit derivatives(360)(988) 1,162 (186)
Net total $(360)$(988)$ $1,162 $(186)
 For the Year Ended December 31, 2022
(Dollars in thousands)Balance at
December 31,
2021
AdditionsPayments receivedIncrease in valueBalance at December 31, 2022
Loans48 — (48)— — 
Credit derivatives(381)(2,850)— 2,871 (360)
Net total $(333)$(2,850)$(48)$2,871 $(360)
Contingent Consideration Liability Change in Amount
The following table presents the change in the balance of the contingent consideration liability related to acquisitions for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the years ended December 31, 2023 and 2022:
 For the Year Ended December 31, 2023
(Dollars in thousands)Balance at December 31, 2022Contingent
Consideration
from New
Acquisition
Payment of
Contingent
Consideration
Adjustment
of Contingent
Consideration
Balance at December 31, 2023
Paul I. Sheaffer Insurance Agency$1,765 $ $635 $94 $1,224 
Total contingent consideration liability$1,765 $ $635 $94 $1,224 
 For the Year Ended December 31, 2022
(Dollars in thousands)Balance at
December 31,
2021
Contingent
Consideration
from New
Acquisition
Payment of
Contingent
Consideration
Adjustment
of Contingent
Consideration
Balance at December 31, 2022
Paul I. Sheaffer Insurance Agency1,629 — — 136 1,765 
Total contingent consideration liability$1,629 $— $— $136 $1,765 
Assets Measured at Fair Value on Non-Recurring Basis
The Corporation may be required to periodically measure certain assets and liabilities at fair value on a non-recurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower of cost or market accounting or changes in the value of loans held for investment analyzed on an individual basis. The following table represents assets measured at fair value on a non-recurring basis at December 31, 2023 and 2022:
 At December 31, 2023
(Dollars in thousands)Level 1Level 2Level 3Assets at
Fair Value
Individually analyzed loans held for investment$ $ $18,960 $18,960 
Other real estate owned  19,032 19,032 
Total$ $ $37,992 $37,992 
 At December 31, 2022
(Dollars in thousands)Level 1Level 2Level 3Assets at
Fair Value
Individually analyzed loans held for investment$— $— $10,586 $10,586 
Other real estate owned— — 19,258 19,258 
Total$— $— $29,844 $29,844 
Assets, Liabilities and Off-Balance Sheet Items Not Measured at Fair Value
The following table presents assets and liabilities not measured at fair value on a recurring or non-recurring basis in the Corporation's consolidated balance sheet but for which the fair value is required to be disclosed at December 31, 2023 and 2022. The disclosed fair values are classified using the fair value hierarchy.
 At December 31, 2023
(Dollars in thousands)Level 1Level 2Level 3Fair
Value
Carrying
Amount
Assets:
Cash and short-term interest-earning assets$249,799 $ $ $249,799 $249,799 
Held-to-maturity securities 128,277  128,277 145,777 
Federal Home Loan Bank, Federal Reserve Bank and other stockN/AN/AN/AN/A40,499 
Net loans and leases held for investment  6,290,455 6,290,455 6,462,867 
Servicing rights  17,724 17,724 8,982 
Total assets$249,799 $128,277 $6,308,179 $6,686,255 $6,907,924 
Liabilities:
Deposits:
Demand and savings deposits, non-maturity$5,221,989 $ $ $5,221,989 $5,221,989 
Time deposits 1,153,775  1,153,775 1,153,792 
Total deposits5,221,989 1,153,775  6,375,764 6,375,781 
Short-term borrowings6,306   6,306 6,306 
Long-term debt 310,817  310,817 310,000 
Subordinated notes 140,500  140,500 148,761 
Total liabilities$5,228,295 $1,605,092 $ $6,833,387 $6,840,848 
 At December 31, 2022
(Dollars in thousands)Level 1Level 2Level 3Fair
Value
Carrying
Amount
Assets:
Cash and short-term interest-earning assets$152,799 $— $— $152,799 $152,799 
Held-to-maturity securities— 134,068 — 134,068 154,727 
Federal Home Loan Bank, Federal Reserve Bank and other stockN/AN/AN/AN/A33,841 
Net loans and leases held for investment— — 5,912,050 5,912,050 6,033,640 
Servicing rights— — 16,826 16,826 8,572 
Total assets$152,799 $134,068 $5,928,876 $6,215,743 $6,383,579 
Liabilities:
Deposits:
Demand and savings deposits, non-maturity$5,394,442 $— $— $5,394,442 $5,394,442 
Time deposits— 503,576 — 503,576 519,084 
Total deposits5,394,442 503,576 — 5,898,018 5,913,526 
Short-term borrowings— 197,141 — 197,141 197,141 
Long-term debt— 91,926 — 91,926 95,000 
Subordinated notes— 147,250 — 147,250 148,260 
Total liabilities$5,394,442 $939,893 $— $6,334,335 $6,353,927