Loans and Allowance for Loan Losses (Tables)

3 Months Ended

Mar. 31, 2013

Loans and Allowance for Loan Losses [Abstract]

Components of loan portfolio disaggregated by class of loan and percentage change in total loans

	March 31, 2013					December 31, 2012					Percent Increase (Decrease)
	Balance		%			Balance		%
Commercial:
Commercial and industrial	$	272,890,000		26.7	%	$	285,322,000		27.4	%		(4.4	%)
Vacant land, land development, and residential construction		45,174,000		4.4			48,099,000		4.6			(6.1	)
Real estate – owner occupied		253,089,000		24.7			259,277,000		24.9			(2.4	)
Real estate – non-owner occupied		327,776,000		32.1			324,886,000		31.2			0.9
Real estate – multi-family and residential rental		50,035,000		4.9			50,922,000		4.9			(1.7	)
Total commercial		948,964,000		92.8			968,506,000		93.0			(2.0	)
Retail:
Home equity and other		38,257,000		3.7			38,917,000		3.7			(1.7	)
1-4 family mortgages		35,735,000		3.5			33,766,000		3.3			5.8
Total retail		73,992,000		7.2			72,683,000		7.0			1.8
Total loans	$	1,022,956,000		100.0	%	$	1,041,189,000		100.0	%		(1.8	%)

Nonperforming loans

	March 31, 2013		December 31, 2012
Loans past due 90 days or more still accruing interest	$	0	$	0
Nonaccrual loans		12,395,000		18,970,000
Total nonperforming loans	$	12,395,000	$	18,970,000

Recorded principal balance of nonaccrual loans, including troubled debt restructurings

	March 31, 2013		December 31, 2012
Commercial:
Commercial and industrial	$	1,802,000	$	1,677,000
Vacant land, land development, and residential construction		1,444,000		2,194,000
Real estate – owner occupied		1,256,000		2,087,000
Real estate – non-owner occupied		4,905,000		9,010,000
Real estate – multi-family and residential rental		1,085,000		2,021,000
Total commercial		10,492,000		16,989,000
Retail:
Home equity and other		838,000		889,000
1-4 family mortgages		1,065,000		1,092,000
Total retail		1,903,000		1,981,000
Total nonaccrual loans	$	12,395,000	$	18,970,000

Age analysis of past due loans

	30 – 59 Days Past Due		60 – 89 Days Past Due		Greater Than 89 Days Past Due		Total Past Due		Current		Total Loans		Recorded Balance > 89 Days and Accruing
Commercial:
Commercial and industrial	$	0	$	0	$	771,000	$	771,000	$	272,119,000	$	272,890,000	$	0
Vacant land, land development, and residential construction		0		0		1,140,000		1,140,000		44,034,000		45,174,000		0
Real estate – owner occupied		92,000		51,000		749,000		892,000		252,197,000		253,089,000		0
Real estate – non-owner occupied		0		1,860,000		632,000		2,492,000		325,284,000		327,776,000		0
Real estate – multi-family and residential rental		290,000		0		196,000		486,000		49,549,000		50,035,000		0
Total commercial		382,000		1,911,000		3,488,000		5,781,000		943,183,000		948,964,000		0
Retail:
Home equity and other		17,000		0		13,000		30,000		38,227,000		38,257,000		0
1-4 family mortgages		0		0		436,000		436,000		35,299,000		35,735,000		0
Total retail		17,000		0		449,000		466,000		73,526,000		73,992,000		0
Total past due loans	$	399,000	$	1,911,000	$	3,937,000	$	6,247,000	$	1,016,709,000	$	1,022,956,000	$	0

	30 – 59 Days Past Due		60 – 89 Days Past Due		Greater Than 89 Days Past Due		Total Past Due		Current		Total Loans		Recorded Balance > 89 Days and Accruing
Commercial:
Commercial and industrial	$	80,000	$	0	$	871,000	$	951,000	$	284,371,000	$	285,322,000	$	0
Vacant land, land development, and residential construction		289,000		0		614,000		903,000		47,196,000		48,099,000		0
Real estate – owner occupied		199,000		0		1,337,000		1,536,000		257,741,000		259,277,000		0
Real estate – non-owner occupied		303,000		0		1,123,000		1,426,000		323,460,000		324,886,000		0
Real estate – multi-family and residential rental		0		0		613,000		613,000		50,309,000		50,922,000		0
Total commercial		871,000		0		4,558,000		5,429,000		963,077,000		968,506,000		0
Retail:
Home equity and other		1,000		0		13,000		14,000		38,903,000		38,917,000		0
1-4 family mortgages		47,000		190,000		437,000		674,000		33,092,000		33,766,000		0
Total retail		48,000		190,000		450,000		688,000		71,995,000		72,683,000		0
Total past due loans	$	919,000	$	190,000	$	5,008,000	$	6,117,000	$	1,035,072,000	$	1,041,189,000	$	0

Impaired loans

	Unpaid Contractual Principal Balance		Recorded Principal Balance		Related Allowance		Year-To-Date Average Recorded Principal Balance
With no related allowance recorded:
Commercial:
Commercial and industrial	$	2,972,000	$	1,556,000			$	1,587,000
Vacant land, land development and residential construction		2,342,000		1,378,000				1,389,000
Real estate – owner occupied		2,314,000		1,349,000				1,453,000
Real estate – non-owner occupied		7,440,000		4,717,000				5,105,000
Real estate – multi-family and residential rental		1,729,000		684,000				549,000
Total commercial		16,797,000		9,684,000				10,083,000
Retail:
Home equity and other		580,000		480,000				481,000
1-4 family mortgages		1,630,000		767,000				778,000
Total retail		2,210,000		1,247,000				1,259,000
Total with no related allowance recorded	$	19,007,000	$	10,931,000			$	11,342,000
With an allowance recorded:
Commercial:
Commercial and industrial	$	2,616,000	$	2,506,000	$	1,407,000			$	2,216,000
Vacant land, land development and residential construction		1,958,000		1,480,000		726,000				1,849,000
Real estate – owner occupied		3,417,000		2,953,000		1,162,000				3,289,000
Real estate – non-owner occupied		30,428,000		30,322,000		10,411,000				31,643,000
Real estate – multi-family and residential rental		2,761,000		2,691,000		910,000				3,307,000
Total commercial		41,180,000		39,952,000		14,616,000				42,304,000
Retail:
Home equity and other		369,000		346,000		155,000				370,000
1-4 family mortgages		559,000		471,000		122,000				473,000
Total retail		928,000		817,000		277,000				843,000
Total with an allowance recorded	$	42,108,000	$	40,769,000	$	14,893,000			$	43,147,000
Total impaired loans:
Commercial	$	57,977,000	$	49,636,000	$	14,616,000			$	52,387,000
Retail		3,138,000		2,064,000		277,000				2,102,000
Total impaired loans	$	61,115,000	$	51,700,000	$	14,893,000			$	54,489,000

	Unpaid Contractual Principal Balance		Recorded Principal Balance		Related Allowance		Year-To-Date Average Recorded Principal Balance
With no related allowance recorded:
Commercial:
Commercial and industrial	$	1,926,000	$	1,617,000			$	3,140,000
Vacant land, land development and residential construction		2,356,000		1,401,000				1,848,000
Real estate – owner occupied		2,368,000		1,557,000				3,139,000
Real estate – non-owner occupied		9,984,000		5,492,000				6,578,000
Real estate – multi-family and residential rental		1,188,000		413,000				756,000
Total commercial		17,822,000		10,480,000				15,461,000
Retail:
Home equity and other		580,000		483,000				579,000
1-4 family mortgages		1,636,000		789,000				730,000
Total retail		2,216,000		1,272,000				1,309,000
Total with no related allowance recorded	$	20,038,000	$	11,752,000			$	16,770,000
With an allowance recorded:
Commercial:
Commercial and industrial	$	3,221,000	$	1,926,000	$	924,000			$	3,110,000
Vacant land, land development and residential construction		2,333,000		2,219,000		1,367,000				3,267,000
Real estate – owner occupied		4,307,000		3,626,000		1,388,000				4,913,000
Real estate – non-owner occupied		33,818,000		32,964,000		11,773,000				25,061,000
Real estate – multi-family and residential rental		4,471,000		3,923,000		1,408,000				7,429,000
Total commercial		48,150,000		44,658,000		16,860,000				43,780,000
Retail:
Home equity and other		423,000		394,000		204,000				286,000
1-4 family mortgages		555,000		475,000		125,000				482,000
Total retail		978,000		869,000		329,000				768,000
Total with an allowance recorded	$	49,128,000	$	45,527,000	$	17,189,000			$	44,548,000
Total impaired loans:
Commercial	$	65,972,000	$	55,138,000	$	16,860,000			$	59,241,000
Retail		3,194,000		2,141,000		329,000				2,077,000
Total impaired loans	$	69,166,000	$	57,279,000	$	17,189,000			$	61,318,000

Loans by credit quality indicators

	Commercial and Industrial		Commercial Vacant Land, Land Development, and Residential Construction		Commercial Real Estate - Owner Occupied		Commercial Real Estate - Non-Owner Occupied		Commercial Real Estate - Multi-Family and Residential Rental
Internal credit risk grade groupings:
Grades 1 – 4	$	190,314,000	$	8,065,000	$	148,122,000	$	166,374,000	$	23,568,000
Grades 5 – 7		79,038,000		33,858,000		100,606,000		124,228,000		22,613,000
Grades 8 – 9		3,538,000		3,251,000		4,361,000		37,174,000		3,854,000
Total commercial	$	272,890,000	$	45,174,000	$	253,089,000	$	327,776,000	$	50,035,000

Retail credit exposure – credit risk profiled by collateral type:

	Retail Home Equity and Other		Retail 1-4 Family Mortgages
Total retail	$	38,257,000	$	35,735,000

	Commercial and Industrial		Commercial Vacant Land, Land Development, and Residential Construction		Commercial Real Estate - Owner Occupied		Commercial Real Estate - Non-Owner Occupied		Commercial Real Estate - Multi-Family and Residential Rental
Internal credit risk grade groupings:
Grades 1 – 4	$	180,314,000	$	6,526,000	$	150,467,000	$	154,127,000	$	24,015,000
Grades 5 – 7		101,832,000		37,697,000		102,988,000		128,041,000		22,082,000
Grades 8 – 9		3,176,000		3,876,000		5,822,000		42,718,000		4,825,000
Total commercial	$	285,322,000	$	48,099,000	$	259,277,000	$	324,886,000	$	50,922,000

Retail credit exposure – credit risk profiled by collateral type:

	Retail Home Equity and Other		Retail 1-4 Family Mortgages
Total retail	$	38,917,000	$	33,766,000

Activity in allowance for loan losses and the recorded investments in loans

	Commercial Loans			Retail Loans			Unallocated			Total
Allowance for loan losses:
Beginning balance	$	26,043,000		$	2,645,000		$	(11,000	)	$	28,677,000
Provision for loan losses		(1,164,000	)		(363,000	)		27,000			(1,500,000	)
Charge-offs		(2,412,000	)		(3,000	)		0			(2,415,000	)
Recoveries		1,250,000			23,000			0			1,273,000
Ending balance	$	23,717,000		$	2,302,000		$	16,000		$	26,035,000
Ending balance: individually evaluated for impairment	$	14,616,000		$	277,000		$	0		$	14,893,000
Ending balance: collectively evaluated for impairment	$	9,101,000		$	2,025,000		$	16,000		$	11,142,000
Total loans:
Ending balance	$	948,964,000		$	73,992,000					$	1,022,956,000
Ending balance: individually evaluated for impairment	$	49,636,000		$	2,064,000					$	51,700,000
Ending balance: collectively evaluated for impairment	$	899,328,000		$	71,928,000					$	971,256,000

	Commercial Loans			Retail Loans			Unallocated		Total
Allowance for loan losses:
Beginning balance	$	33,431,000		$	3,019,000		$	82,000	$	36,532,000
Provision for loan losses		(99,000	)		94,000			5,000		0
Charge-offs		(7,464,000	)		(112,000	)		0		(7,576,000	)
Recoveries		1,940,000			47,000			0		1,987,000
Ending balance	$	27,808,000		$	3,048,000		$	87,000	$	30,943,000
Ending balance: individually evaluated for impairment	$	14,611,000		$	412,000		$	0	$	15,023,000
Ending balance: collectively evaluated for impairment	$	13,197,000		$	2,636,000		$	87,000	$	15,920,000
Total loans:
Ending balance	$	976,452,000		$	75,222,000				$	1,051,674,000
Ending balance: individually evaluated for impairment	$	61,320,000		$	2,178,000				$	63,498,000
Ending balance: collectively evaluated for impairment	$	915,132,000		$	73,044,000				$	988,176,000

Loans modified as troubled debt restructurings

	Number of Contracts		Pre- Modification Recorded Principal Balance		Post- Modification Recorded Principal Balance
Commercial:
Commercial and industrial		1	$	875,000	$	875,000
Vacant land, land development and residential construction		0		0		0
Real estate – owner occupied		0		0		0
Real estate – non-owner occupied		2		2,068,000		2,068,000
Real estate – multi-family and residential rental		0		0		0
Total commercial		3		2,943,000		2,943,000
Retail:
Home equity and other		0		0		0
1-4 family mortgages		0		0		0
Total retail		0		0		0
Total		3	$	2,943,000	$	2,943,000

	Number of Contracts		Pre- Modification Recorded Principal Balance		Post- Modification Recorded Principal Balance
Commercial:
Commercial and industrial		3	$	583,000	$	580,000
Vacant land, land development and residential construction		0		0		0
Real estate – owner occupied		3		1,046,000		1,045,000
Real estate – non-owner occupied		1		4,391,000		4,391,000
Real estate – multi-family and residential rental		0		0		0
Total commercial		7		6,020,000		6,016,000
Retail:
Home equity and other		0		0		0
1-4 family mortgages		0		0		0
Total retail		0		0		0
Total		7	$	6,020,000	$	6,016,000

Loans, modified as troubled debt restructurings within the previous twelve months, that became over 30 days past due

	Number of Contracts		Recorded Principal Balance
Commercial:
Commercial and industrial		0	$	0
Vacant land, land development and residential construction		0		0
Real estate – owner occupied		1		44,000
Real estate – non-owner occupied		0		0
Real estate – multi-family and residential rental		0		0
Total commercial		1		44,000
Retail:
Home equity and other		0		0
1-4 family mortgages		0		0
Total retail		0		0
Total		1	$	44,000

	Number of Contracts		Recorded Principal Balance
Commercial:
Commercial and industrial		0	$	0
Vacant land, land development and residential construction		0		0
Real estate – owner occupied		0		0
Real estate – non-owner occupied		0		0
Real estate – multi-family and residential rental		0		0
Total commercial		0		0
Retail:
Home equity and other		0		0
1-4 family mortgages		0		0
Total retail		0		0
Total		0	$	0