Note 5 - Bank Premises and Equipment

12 Months Ended

Dec. 31, 2023

Notes to Financial Statements

Property, Plant and Equipment Disclosure [Text Block]

NOTE 5. BANK PREMISES AND EQUIPMENT

Bank premises and equipment consisted of the following as of the dates indicated (dollars in thousands).

	December 31,
	2023			2022
Land	$	10,206		$	11,490
Buildings and improvements		39,198			40,799
Furniture and equipment		10,317			13,569
Software		1,668			2,334
Construction-in-progress		158			575
Right-of-use asset		2,112			2,845
Less: Accumulated depreciation and amortization		(19,476	)		(22,025	)
Bank premises and equipment, net	$	44,183		$	49,587

Depreciation and amortization related to Bank premises and equipment charged to noninterest expense was approximately $3.0 million, $3.5 million and $4.0 million for the years ended December 31, 2023, 2022 and 2021, respectively.

During the year ended  December 31, 2023, the Company completed the sale of the Alice and Victoria, Texas locations. The Company also closed one branch and one stand-alone ATM in Louisiana and transferred the associated land and buildings, totaling $1.4 million, from “Bank premises and equipment, net” to “Other real estate owned, net” in the accompanying consolidated balance sheets. The Company also ceased operation of 13 additional ATMs during the third quarter of 2023. During the year ended  December 31, 2023, the Company recognized a loss of $1.3 million included in “Loss on sale or disposition of fixed assets, net” in the accompanying consolidated statements of income. During the year ended  December 31, 2022, the Company closed two branch locations and sold three tracts of land being held for future branch locations. The land and building associated with one of the closed branch locations, totaling $0.5 million, was reclassified from “Bank premises and equipment, net” to “Other real estate owned, net” in the accompanying consolidated balance sheets. During the year ended  December 31, 2022, the Company recognized a loss of $0.3 million included in “Loss on sale or disposition of fixed assets, net” in the accompanying consolidated statements of income.