XML 34 R22.htm IDEA: XBRL DOCUMENT v3.5.0.2
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