ACQUISITION ACTIVITY

12 Months Ended

Dec. 31, 2015

Business Combinations [Abstract]

ACQUISITION ACTIVITY

NOTE 2. ACQUISITION ACTIVITY

The Company takes advantage of opportunities to acquire other banking franchises in order to pursue its strategy of increasing its market presence both within and outside of the Company’s current geographical footprint. Since 2006, the Company has completed two acquisitions that the Company believes have enhanced shareholder value and the Company’s market presence.

On May 1, 2013, the Bank acquired First Community Bank (“FCB”), which had two locations, one in Hammond, Louisiana, and one in Mandeville, Louisiana. In connection with the acquisition, the Company recorded approximately $77.5 million in loans, $86.5 million in deposits, a $0.5 million core deposit intangible, and other assets and liabilities of $13.9 million, net. The Bank acquired all of the outstanding common stock of FCB in a tax-free exchange which resulted in a bargain purchase gain of approximately $0.9 million, recorded in noninterest income for the year ended December 31, 2013. Included in the noninterest expense during 2013 are non-routine FCB acquisition expenses totaling approximately $0.3 million.

On October 1, 2011, the Bank acquired South Louisiana Business Bank (“SLBB”), a full service commercial bank headquartered in Prairieville, Louisiana. Both the purchased assets and liabilities assumed were recorded at fair value as of October 1, 2011. The Bank acquired all of the outstanding common stock of the former SLBB shareholders for a total consideration of approximately $14.7 million. Fair value of net assets assumed including identifiable intangible assets was approximately $12.0 million, and goodwill of approximately $2.7 million was recognized as a result of the acquisition.