Loans (Tables)

12 Months Ended

Dec. 31, 2023

Collateral-dependent nonperforming loans by class of loan is presented as of the dates indicated:


	December 31, 2023
	Type of Collateral
($ in thousands)	Commercial Real Estate		Residential Real Estate		Blanket Lien		Other
Commercial and industrial	$	527	$	1,864	$	344	$	3,445
Real estate:
Commercial - investor owned	19,467		—		—		—
Commercial - owner occupied	5,904		1,638		1,831		—
Construction and land development	528		741		—		—
Residential	—		959		—		—
Total	$	26,426	$	5,202	$	2,175	$	3,445


	December 31, 2022
	Type of Collateral
($ in thousands)	Commercial Real Estate		Residential Real Estate		Blanket Lien
Commercial and industrial	$	—	$	—	$	1,047
Real estate:
Commercial - investor owned	2,238		785		—
Commercial - owner occupied	1,177		—		—
Construction and land development	—		1,192		—
Residential	—		73		—
Total	$	3,415	$	2,050	$	1,047

Summary of Recorded Investment by for Portfolio Loans Restructured

The following table shows the recorded investment at the end of the reporting period for loans modified to borrowers experiencing financial difficulty, disaggregated by loan class and type of concession granted:


	Term Extension
	Twelve months ended
($ in thousands)	December 31, 2023		Percent of Total Loan Class
Commercial and industrial	$	39,437	0.84	%
Real estate:
Commercial - investor owned	9,411		0.38	%
Commercial - owner occupied	94		—	%
Construction and land development	1,137		0.15	%
Residential	7,601		2.04	%
Other	4		—	%
Total	$	57,684

The following table summarizes the financial impacts of loan modifications made to borrowers experiencing financial difficulty and outstanding at the end of the year:


			Weighted Average Term Extension (in months)
			Twelve months ended
			December 31, 2023
Commercial and industrial			5
Real estate:
Commercial - investor owned			4
Commercial - owner occupied			3
Construction and land development			7
Residential			3
Other			48

The following table shows the aging of the recorded investment in modified loans by class:


	December 31, 2023
($ in thousands)	Current		30-89 Days Past Due		90 or More Days Past Due		Total
Commercial and industrial	$	39,187	$	250	$	—	$	39,437
Real estate:
Commercial - investor owned	9,411		—		—		9,411
Commercial - owner occupied	—		94		—		94
Construction and land development	1,137		—		—		1,137
Residential	7,527		74		—		7,601
Other	—		4		—		4
Total	$	57,262	$	422	$	—	$	57,684

Summary of Recorded Investment by Risk Category of Portfolio Loans by Portfolio Class and Category

ross charge-offs by loan class and year of origination is presented in the following table:


	December 31, 2023
	Term Loans by Origination Year
($ in thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Converted to Term Loans		Revolving Loans		Total
Commercial and industrial	$	600	$	2,999	$	1,940	$	2,539	$	—	$	—	$	12,533	$	15,178	$	35,789
Real estate:
Commercial - investor owned	—		—		170		—		4,692		7		—		—		4,869

Construction and land development	—		—		—		—		—		9		—		—		9
Residential	—		—		—		—		—		480		176		—		656
Other	—		3		459		—		—		319		12		—		793
Total charge-offs by origination year	$	600	$	3,002	$	2,569	$	2,539	$	4,692	$	815	$	12,721	$	15,178	$	42,116
Total gross charge-offs by performing status																	1,099
Total gross charge-offs																	$	43,215

Non-Covered Loans

Non-covered Loans [Line Items]

Summary of Portfolio Loans by Category

The following table presents a summary of loans by category:


($ in thousands)	December 31, 2023		December 31, 2022
Commercial and industrial	$	4,674,056	$	3,859,964
Real estate loans:
Commercial - investor owned	2,452,402		2,357,820
Commercial - owner occupied	2,344,117		2,270,551
Construction and land development	760,122		611,565
Residential	371,995		395,537
Total real estate loans	5,928,636		5,635,473
Other	285,653		248,990
Loans, before unearned loan fees	10,888,345		9,744,427
Unearned loan fees, net	(4,227)		(7,289)
Loans, including unearned loan fees	$	10,884,118	$	9,737,138

Summary of Allowance for Loan Losses and the Recorded Investment in Portfolio Loans by Class and Category Based on Impairment Method

A summary of the activity, by loan category, in the allowance for credit losses on loans for 2021, 2022, and 2023 is as follows:


($ in thousands)	Commercial and industrial		CRE - investor owned		CRE - owner occupied		Construction and land development		Residential real estate		Other		Total
Balance at December 31, 2021
Allowance for credit losses on loans:
Balance, beginning of year	$	58,812	$	32,062	$	17,012	$	21,413	$	4,585	$	2,787	$	136,671
Provision (benefit) for credit losses	14,361		568		(550)		(7,365)		3,900		2,079		12,993
Initial allowance on acquired PCD loans	1,077		3,651		1,504		37		—		737		7,006
Charge-offs	(12,113)		(2,487)		(602)		(3)		(1,521)		(459)		(17,185)
Recoveries	1,688		2,083		196		454		963		172		5,556
Balance, end of year	$	63,825	$	35,877	$	17,560	$	14,536	$	7,927	$	5,316	$	145,041

Balance at December 31, 2022
Allowance for credit losses on loans:
Balance, beginning of year	$	63,825	$	35,877	$	17,560	$	14,536	$	7,927	$	5,316	$	145,041
Provision (benefit) for credit losses	(6,121)		46		4,867		(3,145)		540		(397)		(4,210)

Charge-offs	(6,082)		(478)		(395)		—		(2,068)		(370)		(9,393)
Recoveries	2,213		746		720		53		1,529		233		5,494
Balance, end of year	$	53,835	$	36,191	$	22,752	$	11,444	$	7,928	$	4,782	$	136,932

Balance at December 31, 2023
Allowance for credit losses on loans:
Balance, beginning of year	$	53,835	$	36,191	$	22,752	$	11,444	$	7,928	$	4,782	$	136,932
Provision (benefit) for credit losses	38,308		(335)		523		(1,300)		(2,109)		796		35,883

Charge-offs	(36,302)		(4,869)		—		(9)		(656)		(1,379)		(43,215)
Recoveries	3,045		293		130		63		979		661		5,171
Balance, end of year	$	58,886	$	31,280	$	23,405	$	10,198	$	6,142	$	4,860	$	134,771

Schedule of Recorded Investment in Impaired Portfolio Loans by Category

The following tables present the recorded investment in nonperforming loans by category, excluding government guaranteed balances:


	December 31, 2023
($ in thousands)	Non-accrual		Restructured, accruing		Loans over 90 days past due and still accruing interest		Total nonperforming loans		Nonaccrual loans with no allowance
Commercial and industrial	$	7,641	$	—	$	115	$	7,756	$	6,179
Real estate:
Commercial - investor owned	20,404		—		—		20,404		19,466
Commercial - owner occupied	12,972		—		363		13,335		9,010
Construction and land development	1,205		—		64		1,269		464
Residential	959		—		—		959		959
Other	—		—		5		5		—
Total	$	43,181	$	—	$	547	$	43,728	$	36,078


	December 31, 2022
($ in thousands)	Non-accrual		Restructured, accruing		Loans over 90 days past due and still accruing interest		Total nonperforming loans		Nonaccrual loans with no allowance
Commercial and industrial	$	4,373	$	—	$	70	$	4,443	$	1,047
Real estate:
Commercial - investor owned	3,023		—		—		3,023		—
Commercial - owner occupied	1,177		—		—		1,177		—
Construction and land development	1,192		—		—		1,192		1,192
Residential	—		73		—		73		—
Other	1		—		72		73		—
Total	$	9,766	$	73	$	142	$	9,981	$	2,239

Summary of Aging of Recorded Investment in Past Due Portfolio Loans by Portfolio Class and Category

The aging of the recorded investment in past due loans by class and category is presented as of the dates indicated.


	December 31, 2023
($ in thousands)	30-89 Days Past Due		90 or More Days Past Due		Total Past Due		Current		Total
Commercial and industrial	$	3,445	$	9,037	$	12,482	$	4,661,574	$	4,674,056
Real estate:
Commercial - investor owned	1,905		18,395		20,300		2,432,102		2,452,402
Commercial - owner occupied	8,409		14,142		22,551		2,321,566		2,344,117
Construction and land development	770		1,908		2,678		757,444		760,122
Residential	1,620		959		2,579		369,416		371,995
Other	82		4		86		285,567		285,653
Loans, before unearned loan fees	16,231		44,445		60,676		10,827,669		10,888,345
Unearned loan fees, net									(4,227)
Total									$	10,884,118


	December 31, 2022
($ in thousands)	30-89 Days Past Due		90 or More Days Past Due		Total Past Due		Current		Total
Commercial and industrial	$	555	$	2,373	$	2,928	$	3,857,036	$	3,859,964
Real estate:
Commercial - investor owned	—		1,135		1,135		2,356,685		2,357,820
Commercial - owner occupied	8,628		164		8,792		2,261,759		2,270,551
Construction and land development	9		1,192		1,201		610,364		611,565
Residential	1,227		—		1,227		394,310		395,537
Other	18		72		90		248,900		248,990
Loans, before unearned loan fees	10,437		4,936		15,373		9,729,054		9,744,427
Unearned loan fees, net									(7,289)
Total									$	9,737,138

Summary of Recorded Investment by Risk Category of Portfolio Loans by Portfolio Class and Category

The recorded investment by risk category of the loans by class and year of origination is presented in the following tables as of the dates indicated:


	December 31, 2023
	Term Loans by Origination Year
($ in thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Converted to Term Loans		Revolving Loans		Total
Commercial and industrial
Pass (1-6)	$	1,567,738	$	1,052,462	$	345,292	$	194,972	$	123,425	$	71,205	$	12,163	$	1,108,233	$	4,475,490
Special Mention (7)	52,523		6,845		8,597		544		453		242		272		19,590		89,066
Classified (8-9)	12,824		19,306		1,833		812		339		363		508		45,830		81,815
Total Commercial and industrial	$	1,633,085	$	1,078,613	$	355,722	$	196,328	$	124,217	$	71,810	$	12,943	$	1,173,653	$	4,646,371

Commercial real estate-investor owned
Pass (1-6)	$	495,131	$	544,223	$	492,974	$	323,175	$	165,343	$	236,914	$	5,222	$	51,413	$	2,314,395
Special Mention (7)	3,626		22,725		51,851		1,657		164		5,526		—		—		85,549
Classified (8-9)	9,411		1,034		43		15,838		2,831		4,919		48		—		34,124
Total Commercial real estate-investor owned	$	508,168	$	567,982	$	544,868	$	340,670	$	168,338	$	247,359	$	5,270	$	51,413	$	2,434,068

Commercial real estate-owner occupied
Pass (1-6)	$	407,901	$	486,701	$	489,589	$	301,399	$	183,872	$	313,474	$	5,083	$	30,036	$	2,218,055
Special Mention (7)	13,739		2,521		4,652		10,492		5,439		15,833		—		1,493		54,169
Classified (8-9)	3,389		3,413		2,247		3,181		8,878		24,857		5,056		—		51,021
Total Commercial real estate-owner occupied	$	425,029	$	492,635	$	496,488	$	315,072	$	198,189	$	354,164	$	10,139	$	31,529	$	2,323,245

Construction real estate
Pass (1-6)	$	292,689	$	325,010	$	96,426	$	30,956	$	1,413	$	3,408	$	10	$	3,700	$	753,612
Special Mention (7)	42		2,958		1,046		210		123		114		—		—		4,493
Classified (8-9)	1,137		704		—		—		13		466		—		—		2,320
Total Construction real estate	$	293,868	$	328,672	$	97,472	$	31,166	$	1,549	$	3,988	$	10	$	3,700	$	760,425

Residential real estate
Pass (1-6)	$	59,259	$	41,956	$	51,436	$	30,713	$	17,793	$	77,327	$	1,464	$	78,351	$	358,299
Special Mention (7)	322		—		—		—		75		1,801		—		614		2,812
Classified (8-9)	127		1,073		69		—		30		1,492		74		7,500		10,365
Total residential real estate	$	59,708	$	43,029	$	51,505	$	30,713	$	17,898	$	80,620	$	1,538	$	86,465	$	371,476

Other
Pass (1-6)	$	10,071	$	55,923	$	67,766	$	53,569	$	9,382	$	19,657	$	7	$	28,464	$	244,839
Special Mention (7)	—		—		14,472		—		—		—		—		11,645		26,117
Classified (8-9)	—		—		—		—		—		8		—		—		8
Total Other	$	10,071	$	55,923	$	82,238	$	53,569	$	9,382	$	19,665	$	7	$	40,109	$	270,964

Total loans classified by risk category	$	2,929,929	$	2,566,854	$	1,628,293	$	967,518	$	519,573	$	777,606	$	29,907	$	1,386,869	$	10,806,549
Total loans classified by performing status																	77,569
Total loans																	$	10,884,118


	December 31, 2022
	Term Loans by Origination Year
($ in thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Converted to Term Loans		Revolving Loans		Total
Commercial and industrial
Pass (1-6)	$	1,403,381	$	635,275	$	332,740	$	172,127	$	62,729	$	66,152	$	8,388	$	964,592	$	3,645,384
Special Mention (7)	37,048		10,836		13,858		423		7,995		4,102		—		72,944		147,206
Classified (8-9)	16,176		4,457		1,627		24		166		183		—		21,349		43,982
Total Commercial and industrial	$	1,456,605	$	650,568	$	348,225	$	172,574	$	70,890	$	70,437	$	8,388	$	1,058,885	$	3,836,572

Commercial real estate-investor owned
Pass (1-6)	$	667,107	$	584,644	$	392,402	$	240,033	$	115,530	$	202,661	$	1,457	$	53,051	$	2,256,885
Special Mention (7)	18,844		5,751		23,502		11,605		—		13,063		—		—		72,765
Classified (8-9)	1,823		—		465		953		193		6,092		49		—		9,575
Total Commercial real estate-investor owned	$	687,774	$	590,395	$	416,369	$	252,591	$	115,723	$	221,816	$	1,506	$	53,051	$	2,339,225

Commercial real estate-owner occupied
Pass (1-6)	$	539,610	$	555,690	$	362,150	$	232,335	$	123,095	$	270,613	$	—	$	57,308	$	2,140,801
Special Mention (7)	11,164		3,801		16,856		4,455		13,043		9,009		—		800		59,128
Classified (8-9)	—		1,572		3,483		8,910		15,873		11,387		—		—		41,225
Total Commercial real estate-owner occupied	$	550,774	$	561,063	$	382,489	$	245,700	$	152,011	$	291,009	$	—	$	58,108	$	2,241,154

Construction real estate
Pass (1-6)	$	290,146	$	232,998	$	53,129	$	2,909	$	2,061	$	8,480	$	—	$	1,769	$	591,492
Special Mention (7)	17,331		—		681		146		111		106		—		—		18,375
Classified (8-9)	1,192		—		—		14		471		21		—		—		1,698
Total Construction real estate	$	308,669	$	232,998	$	53,810	$	3,069	$	2,643	$	8,607	$	—	$	1,769	$	611,565

Residential real estate
Pass (1-6)	$	63,317	$	60,910	$	48,796	$	20,943	$	11,259	$	88,795	$	579	$	96,304	$	390,903
Special Mention (7)	331		—		—		79		352		781		—		—		1,543
Classified (8-9)	121		73		—		53		1,102		994		—		5		2,348
Total residential real estate	$	63,769	$	60,983	$	48,796	$	21,075	$	12,713	$	90,570	$	579	$	96,309	$	394,794

Other
Pass (1-6)	$	38,753	$	88,613	$	56,252	$	10,556	$	20,508	$	10,796	$	—	$	9,536	$	235,014
Special Mention (7)	—		—		—		—		—		—		—		—		—
Classified (8-9)	—		—		—		4		3		11		3		4		25
Total Other	$	38,753	$	88,613	$	56,252	$	10,560	$	20,511	$	10,807	$	3	$	9,540	$	235,039

Total loans classified by risk category	$	3,106,344	$	2,184,620	$	1,305,941	$	705,569	$	374,491	$	693,246	$	10,476	$	1,277,662	$	9,658,349
Total loans classified by performing status																	78,789
Total loans																	$	9,737,138

In the tables above, loan originations in 2023 and 2022 with a classification of “special mention” or “classified” primarily represent renewals or modifications initially underwritten and originated in prior years. For certain loans the Company evaluates credit quality based on the aging status. The following tables present the recorded investment in loans based on payment activity as of the dates indicated:


	December 31, 2023
($ in thousands)	Performing		Non Performing		Total
Commercial and industrial	$	26,076	$	112	$	26,188
Real estate:
Commercial - investor owned	17,885		—		17,885
Commercial - owner occupied	28,373		—		28,373

Residential	712		—		712
Other	4,406		5		4,411
Total	$	77,452	$	117	$	77,569


	December 31, 2022
($ in thousands)	Performing		Non Performing		Total
Commercial and industrial	$	23,240	$	70	$	23,310
Real estate:
Commercial - investor owned	18,595		—		18,595
Commercial - owner occupied	29,397		—		29,397

Residential	743		—		743
Other	6,672		72		6,744
Total	$	78,647	$	142	$	78,789