Loans and Credit Quality (Tables)
|
9 Months Ended |
Sep. 30, 2016 |
|---|
| Loans [Abstract] |
|
| Loan Portfolio Segmented by Risk Class |
The following table presents total portfolio loans by portfolio segment and class of financing receivable, based on our asset quality rating ("AQR") criteria: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | (In Thousands) | Commercial |
| Real estate construction one-to-four family |
| Real estate construction other |
| Real estate term owner occupied |
| Real estate term non-owner occupied |
| Real estate term other |
| Consumer secured by 1st deeds of trust |
| Consumer other |
| Total | September 30, 2016 | |
| |
| |
| |
| |
| |
| |
| |
| | AQR Pass |
| $322,095 |
|
|
| $33,030 |
|
|
| $70,179 |
|
|
| $149,409 |
|
|
| $288,766 |
|
|
| $41,660 |
|
|
| $24,945 |
|
|
| $26,014 |
|
|
| $956,098 |
| AQR Special Mention | 766 |
|
| — |
|
| — |
|
| 693 |
|
| — |
|
| 204 |
|
| 135 |
|
| 6 |
|
| 1,804 |
| AQR Substandard | 19,771 |
|
| 3,972 |
|
| 1,912 |
|
| 16,839 |
|
| 209 |
|
| — |
|
| 877 |
|
| 2 |
|
| 43,582 |
| Subtotal |
| $342,632 |
|
|
| $37,002 |
|
|
| $72,091 |
|
|
| $166,941 |
|
|
| $288,975 |
|
|
| $41,864 |
|
|
| $25,957 |
|
|
| $26,022 |
|
|
| $1,001,484 |
| Less: Unearned origination fees, net of origination costs |
| |
| |
| (4,408 | ) | Total loans | |
| |
| |
| |
| |
| |
| |
| |
|
| $997,076 |
| December 31, 2015 | |
| |
| |
| |
| |
| |
| |
| |
| | AQR Pass |
| $313,689 |
|
|
| $44,488 |
|
|
| $74,931 |
|
|
| $112,248 |
|
|
| $313,710 |
|
|
| $37,938 |
|
|
| $26,015 |
|
|
| $28,882 |
|
|
| $951,901 |
| AQR Special Mention | 536 |
|
| — |
|
| — |
|
| — |
|
| — |
|
| 91 |
|
| 171 |
|
| 10 |
|
| 808 |
| AQR Substandard | 15,309 |
|
| — |
|
| — |
|
| 16,515 |
|
| 359 |
|
| — |
|
| 487 |
|
| 20 |
|
| 32,690 |
| Subtotal |
| $329,534 |
|
|
| $44,488 |
|
|
| $74,931 |
|
|
| $128,763 |
|
|
| $314,069 |
|
|
| $38,029 |
|
|
| $26,673 |
|
|
| $28,912 |
|
|
| $985,399 |
| Less: Unearned origination fees, net of origination costs |
| |
| |
| (4,612 | ) | Total loans | |
| |
| |
| |
| |
| |
| |
| |
|
| $980,787 |
|
|
| Nonaccrual Loans by Segment |
Nonaccrual loans at the periods indicated, by segment, are presented below: | | | | | | | | | (In Thousands) | September 30, 2016 |
| December 31, 2015 | Commercial |
| $4,384 |
|
|
| $3,013 |
| Real estate construction one-to-four family | 3,972 |
|
| — |
| Real estate construction other | 1,912 |
|
| — |
| Real estate term owner occupied | 32 |
|
| 38 |
| Real estate term non-owner occupied | 209 |
|
| 359 |
| Consumer secured by 1st deeds of trust | 376 |
|
| 256 |
| Consumer other | — |
|
| 20 |
| Total nonaccrual loans |
| $10,885 |
|
|
| $3,686 |
| Government guarantees on nonaccrual loans | (1,624 | ) |
| (1,561 | ) | Net nonaccrual loans |
| $9,261 |
|
|
| $2,125 |
|
|
| Past Due Loans and Nonaccrual Loans |
Past due loans and nonaccrual loans at the periods indicated are presented below by segment: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | (In Thousands) | 30-59 Days Past Due Still Accruing |
| 60-89 Days Past Due Still Accruing |
| Greater Than 90 Days Still Accruing |
| Total Past Due | | Nonaccrual |
| Current |
| Total | September 30, 2016 | |
| |
| |
| | | |
| |
| | Commercial |
| $332 |
| |
| $308 |
| |
| $— |
| |
| $640 |
| |
| $4,384 |
| |
| $337,608 |
| |
| $342,632 |
| Real estate construction one-to-four family | — |
| | — |
| | — |
| | — |
| | 3,972 |
| | 33,030 |
| | 37,002 |
| Real estate construction other | — |
| | — |
| | — |
| | — |
| | 1,912 |
| | 70,179 |
| | 72,091 |
| Real estate term owner occupied | — |
| | — |
| | — |
| | — |
| | 32 |
| | 166,909 |
| | 166,941 |
| Real estate term non-owner occupied | — |
| | — |
| | — |
| | — |
| | 209 |
| | 288,766 |
| | 288,975 |
| Real estate term other | 141 |
| | 299 |
| | — |
| | 440 |
| | — |
| | 41,424 |
| | 41,864 |
| Consumer secured by 1st deed of trust | 138 |
| | 10 |
| | — |
| | 148 |
| | 376 |
| | 25,433 |
| | 25,957 |
| Consumer other | 61 |
| | 1 |
| |
|
| | 62 |
| | — |
| | 25,960 |
| | 26,022 |
| Subtotal |
| $672 |
| |
| $618 |
| |
| $— |
| |
| $1,290 |
| |
| $10,885 |
| |
| $989,309 |
| |
| $1,001,484 |
| |
| |
| | |
| |
|
| (4,408 | ) | Total | |
|
| |
|
| |
|
| |
| | |
|
| |
|
|
| $997,076 |
| December 31, 2015 | |
| |
| |
| | | |
| |
| | Commercial |
| $242 |
| |
| $21 |
| |
| $— |
| |
| $263 |
| |
| $3,013 |
| |
| $326,258 |
| |
| $329,534 |
| Real estate construction one-to-four family | — |
| | — |
| | — |
| | — |
| | — |
| | 44,488 |
| | 44,488 |
| Real estate construction other | — |
| | — |
| | — |
| | — |
| | — |
| | 74,931 |
| | 74,931 |
| Real estate term owner occupied | — |
| | — |
| | — |
| | — |
| | 38 |
| | 128,725 |
| | 128,763 |
| Real estate term non-owner occupied | — |
| | — |
| | — |
| | — |
| | 359 |
| | 313,710 |
| | 314,069 |
| Real estate term other | 289 |
| | — |
| | — |
| | 289 |
| | — |
| | 37,740 |
| | 38,029 |
| Consumer secured by 1st deed of trust | 568 |
| | — |
| | — |
| | 568 |
| | 256 |
| | 25,849 |
| | 26,673 |
| Consumer other | 30 |
| | — |
| | — |
| | 30 |
| | 20 |
| | 28,862 |
| | 28,912 |
| Subtotal |
| $1,129 |
| |
| $21 |
| |
| $— |
| |
| $1,150 |
| |
| $3,686 |
| |
| $980,563 |
| |
| $985,399 |
| |
| |
| | |
| |
|
| (4,612 | ) | Total | |
|
| |
|
| |
|
| |
| | |
|
| |
|
|
| $980,787 |
|
|
| Impaired Loans |
The following table presents information about impaired loans by class as of the periods indicated: | | | | | | | | | | | | | (In Thousands) | Recorded Investment |
| Unpaid Principal Balance |
| Related Allowance | September 30, 2016 | |
| |
| | With no related allowance recorded | |
| |
| | Commercial - AQR special mention |
| $150 |
|
|
| $150 |
|
|
| $— |
| Commercial - AQR substandard | 19,623 |
|
| 20,303 |
|
| — |
| Real estate construction other - AQR substandard | 1,912 |
|
| 1,912 |
|
| — |
| Real estate term owner occupied- AQR pass | 254 |
|
| 254 |
|
| — |
| Real estate term owner occupied- AQR substandard | 16,765 |
|
| 16,765 |
|
| — |
| Real estate term non-owner occupied- AQR pass | 412 |
|
| 412 |
|
| — |
| Real estate term non-owner occupied- AQR substandard | 204 |
|
| 204 |
|
| — |
| Real estate term other - AQR pass | 644 |
|
| 644 |
|
| — |
| Consumer secured by 1st deeds of trust - AQR substandard | 829 |
|
| 852 |
|
| — |
| Subtotal |
| $40,793 |
|
|
| $41,496 |
|
|
| $— |
|
| | | | | | | | | | | | | With an allowance recorded | |
| |
| | Real estate construction one-to-four family - AQR substandard |
| $3,972 |
|
|
| $3,972 |
|
|
| $535 |
| Subtotal |
| $3,972 |
|
|
| $3,972 |
|
|
| $535 |
|
| | | | | | | | | | | | | Total | | | | | | Commercial - AQR special mention |
| $150 |
|
|
| $150 |
|
|
| $— |
| Commercial - AQR substandard | 19,623 |
|
| 20,303 |
|
| — |
| Real estate construction one-to-four family - AQR substandard | 3,972 |
|
| 3,972 |
|
| 535 |
| Real estate construction other - AQR substandard | 1,912 |
|
| 1,912 |
|
| — |
| Real estate term owner-occupied - AQR pass | 254 |
|
| 254 |
|
| — |
| Real estate term owner-occupied - AQR substandard | 16,765 |
|
| 16,765 |
|
| — |
| Real estate term non-owner occupied - AQR pass | 412 |
|
| 412 |
|
| — |
| Real estate term non-owner occupied - AQR substandard | 204 |
|
| 204 |
|
| — |
| Real estate term other - AQR pass | 644 |
|
| 644 |
|
| — |
| Consumer secured by 1st deeds of trust - AQR substandard | 829 |
|
| 852 |
|
| — |
| Total |
| $44,765 |
|
|
| $45,468 |
|
|
| $535 |
|
| | | | | | | | | | | | | (In Thousands) | Recorded Investment | | Unpaid Principal Balance | | Related Allowance | December 31, 2015 | |
| |
| | With no related allowance recorded | |
| |
| | Commercial - AQR special mention |
| $157 |
|
|
| $157 |
|
|
| $— |
| Commercial - AQR substandard | 14,030 |
|
| 14,443 |
|
| — |
| Real estate term owner occupied - AQR pass | 753 |
|
| 753 |
|
| — |
| Real estate term owner occupied - AQR substandard | 16,476 |
|
| 16,476 |
|
| — |
| Real estate term non-owner occupied - AQR pass | 473 |
| | 473 |
| | — |
| Real estate term non-owner occupied - AQR substandard | 352 |
|
| 352 |
|
| — |
| Real estate term other - AQR pass | 699 |
|
| 699 |
|
| — |
| Real estate term other - AQR special mention | 91 |
|
| 91 |
|
|
|
| Consumer secured by 1st deeds of trust - AQR pass | 76 |
|
| 76 |
|
| — |
| Consumer secured by 1st deeds of trust - AQR substandard | 472 |
|
| 472 |
|
| — |
| Subtotal |
| $33,579 |
|
|
| $33,992 |
|
|
| $— |
|
| | | | | | | | | | | | | With an allowance recorded | |
| |
| | Commercial - AQR substandard |
| $1,061 |
|
|
| $1,061 |
|
|
| $344 |
| Subtotal |
| $1,061 |
|
|
| $1,061 |
|
|
| $344 |
|
| | | | | | | | | | | | | Total | | | | | | Commercial - AQR special mention |
| $157 |
|
|
| $157 |
|
|
| $— |
| Commercial - AQR substandard | 15,091 |
|
| 15,504 |
|
| 344 |
| Real estate term owner occupied - AQR pass | 753 |
|
| 753 |
|
| — |
| Real estate term owner occupied - AQR substandard | 16,476 |
|
| 16,476 |
|
| — |
| Real estate term non-owner occupied - AQR pass | 473 |
| | 473 |
| | — |
| Real estate term non-owner occupied - AQR substandard | 352 |
|
| 352 |
|
| — |
| Real estate term other - AQR pass | 699 |
|
| 699 |
|
| — |
| Real estate term other - AQR special mention | 91 |
|
| 91 |
|
| — |
| Consumer secured by 1st deeds of trust - AQR pass | 76 |
|
| 76 |
|
| — |
| Consumer secured by 1st deeds of trust - AQR substandard | 472 |
|
| 472 |
|
| — |
| Total |
| $34,640 |
|
|
| $35,053 |
|
|
| $344 |
|
The unpaid principal balance included in the tables above represents the recorded investment at the dates indicated, plus amounts charged off for book purposes. The following tables summarize our average recorded investment and interest income recognized on impaired loans for the three and nine month periods ended September 30, 2016 and 2015, respectively: | | | | | | | | | | | | | | | | | Three Months Ended September 30, | 2016 |
| 2015 | (In Thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | With no related allowance recorded |
|
|
|
|
|
|
| Commercial - AQR special mention |
| $150 |
|
|
| $6 |
|
|
| $161 |
|
|
| $3 |
| Commercial - AQR substandard | 19,681 |
|
| 428 |
|
| 13,661 |
|
| 155 |
| Real estate construction other - AQR pass | — |
|
| — |
|
| 726 |
|
| 13 |
| Real estate construction other - AQR substandard | 1,912 |
|
| — |
|
| 5,678 |
|
| — |
| Real estate term owner occupied- AQR pass | 256 |
|
| 10 |
|
| 761 |
|
| 17 |
| Real estate term owner occupied- AQR substandard | 16,787 |
|
| 466 |
|
| 5,203 |
|
| 85 |
| Real estate term non-owner occupied- AQR pass | 434 |
|
| 36 |
|
| 516 |
|
| 19 |
| Real estate term non-owner occupied- AQR special mention | — |
|
| — |
|
| 101 |
|
| 10 |
| Real estate term non-owner occupied- AQR substandard | 210 |
|
| — |
|
| 269 |
|
| — |
| Real estate term other - AQR pass | 653 |
|
| 23 |
|
| — |
|
| — |
| Real estate term other - AQR special mention | — |
|
| — |
|
| 148 |
|
| 3 |
| Consumer secured by 1st deeds of trust - AQR special mention | — |
|
| — |
|
| 78 |
|
| 1 |
| Consumer secured by 1st deeds of trust - AQR substandard | 844 |
|
| 12 |
|
| 461 |
|
| 2 |
| Subtotal |
| $40,927 |
|
|
| $981 |
|
|
| $27,763 |
|
|
| $308 |
|
| | | | | | | | | | | | | | | | | With an allowance recorded |
|
|
|
|
|
|
| Commercial - AQR substandard |
| $— |
|
|
| $— |
|
|
| $944 |
|
|
| $— |
| Real estate construction one-to-four family - AQR substandard | 3,972 |
|
| — |
|
| — |
|
| — |
| Consumer other - AQR substandard | — |
|
| — |
|
| 40 |
|
| — |
| Subtotal |
| $3,972 |
|
|
| $— |
|
|
| $984 |
|
|
| $— |
|
| | | | | | | | | | | | | | | | | Total |
|
|
|
|
| |
| Commercial - AQR special mention |
| $150 |
|
|
| $6 |
|
|
| $161 |
| |
| $3 |
| Commercial - AQR substandard | 19,681 |
|
| 428 |
|
| 14,605 |
| | 155 |
| Real estate construction one-to-four family - AQR substandard | 3,972 |
|
| — |
|
| — |
| | — |
| Real estate construction other - AQR pass | — |
|
| — |
|
| 726 |
| | 13 |
| Real estate construction other - AQR substandard | 1,912 |
|
| — |
|
| 5,678 |
| | — |
| Real estate term owner-occupied - AQR pass | 256 |
|
| 10 |
|
| 761 |
| | 17 |
| Real estate term owner-occupied - AQR substandard | 16,787 |
|
| 466 |
|
| 5,203 |
| | 85 |
| Real estate term non-owner occupied - AQR pass | 434 |
|
| 36 |
|
| 516 |
| | 19 |
| Real estate term non-owner occupied - AQR special mention | — |
|
| — |
|
| 101 |
| | 10 |
| Real estate term non-owner occupied - AQR substandard | 210 |
|
| — |
|
| 269 |
| | — |
| Real estate term other - AQR pass | 653 |
|
| 23 |
|
| — |
| | — |
| Real estate term other - AQR special mention | — |
|
| — |
|
| 148 |
| | 3 |
| Consumer secured by 1st deeds of trust - AQR special mention | — |
|
| — |
|
| 78 |
| | 1 |
| Consumer secured by 1st deeds of trust - AQR substandard | 844 |
|
| 12 |
|
| 461 |
| | 2 |
| Consumer other - AQR substandard | — |
|
| — |
|
| 40 |
| | — |
| Total Impaired Loans |
| $44,899 |
|
|
| $981 |
|
|
| $28,747 |
| |
| $308 |
|
| | | | | | | | | | | | | | | | | Nine Months Ended September 30, | 2016 | | 2015 | (In Thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | With no related allowance recorded | | | | | | | | Commercial - AQR special mention |
| $153 |
| |
| $12 |
| |
| $165 |
| |
| $10 |
| Commercial - AQR substandard | 18,660 |
| | 801 |
| | 9,711 |
| | 225 |
| Real estate construction one-to-four family - AQR substandard | 1,319 |
| | — |
| | — |
| | — |
| Real estate construction other - AQR pass | — |
| | — |
| | 744 |
| | 72 |
| Real estate construction other - AQR substandard | 1,912 |
| | — |
| | 1,913 |
| | — |
| Real estate term owner occupied- AQR pass | 420 |
| | 29 |
| | 677 |
| | 46 |
| Real estate term owner occupied- AQR special mention | — |
| | — |
| | 90 |
| | 5 |
| Real estate term owner occupied- AQR substandard | 16,491 |
| | 934 |
| | 3,720 |
| | 113 |
| Real estate term non-owner occupied- AQR pass | 455 |
| | 73 |
| | 534 |
| | 57 |
| Real estate term non-owner occupied- AQR special mention | — |
| | — |
| | 1,444 |
| | 97 |
| Real estate term non-owner occupied- AQR substandard | 223 |
| | — |
| | 1,423 |
| | — |
| Real estate term other - AQR pass | 623 |
| | 47 |
| | — |
| | — |
| Real estate term other - AQR special mention | 58 |
| | 4 |
| | 50 |
| | 3 |
| Real estate term other - AQR substandard | — |
| | — |
| | 99 |
| | 7 |
| Consumer secured by 1st deeds of trust - AQR pass | 50 |
| | 2 |
| | 80 |
| | 3 |
| Consumer secured by 1st deeds of trust - AQR substandard | 600 |
| | 20 |
| | 526 |
| | 6 |
| Subtotal |
| $40,964 |
| |
| $1,922 |
| |
| $21,176 |
| |
| $644 |
|
| | | | | | | | | | | | | | | | | With an allowance recorded | | | | | | | | Commercial - AQR substandard |
| $197 |
| |
| $— |
| |
| $1,863 |
| |
| $— |
| Real estate construction one-to-four family - AQR substandard | 2,653 |
| | — |
| | — |
| | — |
| Real estate term other - AQR substandard | — |
| | — |
| | 93 |
| | — |
| Consumer secured by 1st deeds of trust - AQR substandard | 97 |
| | — |
| | — |
| | — |
| Consumer other - AQR substandard | — |
| | — |
| | 14 |
| | — |
| Subtotal |
| $2,947 |
| |
| $— |
| |
| $1,970 |
| |
| $— |
|
| | | | | | | | | | | | | | | | | Total | | | | | | | | Commercial - AQR special mention |
| $153 |
| |
| $12 |
| |
| $165 |
| |
| $10 |
| Commercial - AQR substandard | 18,857 |
| | 801 |
| | 11,574 |
| | 225 |
| Real estate construction one-to-four family - AQR substandard | 3,972 |
| | — |
| | — |
| | — |
| Real estate construction other - AQR pass | — |
| | — |
| | 744 |
| | 72 |
| Real estate construction other - AQR substandard | 1,912 |
| | — |
| | 1,913 |
| | — |
| Real estate term owner-occupied - AQR pass | 420 |
| | 29 |
| | 677 |
| | 46 |
| Real estate term owner-occupied - AQR special mention | — |
| | — |
| | 90 |
| | 5 |
| Real estate term owner-occupied - AQR substandard | 16,491 |
| | 934 |
| | 3,720 |
| | 113 |
| Real estate term non-owner occupied - AQR pass | 455 |
| | 73 |
| | 534 |
| | 57 |
| Real estate term non-owner occupied - AQR special mention | — |
| | — |
| | 1,444 |
| | 97 |
| Real estate term non-owner occupied - AQR substandard | 223 |
| | — |
| | 1,423 |
| | — |
| Real estate term other - AQR pass | 623 |
| | 47 |
| | — |
| | — |
| Real estate term other - AQR special mention | 58 |
| | 4 |
| | 50 |
| | 3 |
| Real estate term other - AQR substandard | — |
| | — |
| | 192 |
| | 7 |
| Consumer secured by 1st deeds of trust - AQR pass | 50 |
| | 2 |
| | 80 |
| | 3 |
| Consumer secured by 1st deeds of trust - AQR substandard | 697 |
| | 20 |
| | 526 |
| | 6 |
| Consumer other - AQR substandard | — |
| | — |
| | 14 |
| | — |
| Total Impaired Loans |
| $43,911 |
| |
| $1,922 |
| |
| $23,146 |
| |
| $644 |
|
|
| Restructured Loans |
The following table presents the breakout between newly restructured loans that occurred during the nine months ended September 30, 2016 and restructured loans that occurred prior to 2016 that are still included in portfolio loans: | | | | | | | | | | | | | | Accrual Status | | Nonaccrual Status | | Total Modifications | (In Thousands) | | | New Troubled Debt Restructurings | | | | | | Commercial - AQR substandard |
| $4,234 |
| |
| $— |
| |
| $4,234 |
| Subtotal |
| $4,234 |
| |
| $— |
| |
| $4,234 |
| Existing Troubled Debt Restructurings |
| $10,702 |
| |
| $1,319 |
| |
| $12,021 |
| Total |
| $14,936 |
| |
| $1,319 |
| |
| $16,255 |
|
|
| Newly Restructured Loans by Concession |
The following table presents newly restructured loans that occurred during the nine months ended September 30, 2016, by concession (terms modified): | | | | | | | | | | | | | | | | | | | | | | | | | | September 30, 2016 | | Number of Contracts | | Rate Modification | | Term Modification | | Payment Modification | | Combination Modification | | Total Modifications | (In Thousands) | | | | | | Pre-Modification Outstanding Recorded Investment: | | | | | | | | | | | | Commercial - AQR substandard | 1 | |
| $— |
| |
| $— |
| |
| $4,234 |
| |
| $— |
| |
| $4,234 |
| Total | 1 | |
| $— |
| |
| $— |
| |
| $4,234 |
| |
| $— |
| |
| $4,234 |
| Post-Modification Outstanding Recorded Investment: | | | | | | | | | | | | Commercial - AQR substandard | 1 | |
| $— |
| |
| $— |
| |
| $4,234 |
| |
| $— |
| |
| $4,234 |
| Total | 1 | |
| $— |
| |
| $— |
| |
| $4,234 |
| |
| $— |
| |
| $4,234 |
|
|