XML 47 R32.htm IDEA: XBRL DOCUMENT v3.8.0.1
TRANSACTIONS WITH RELATED PARTIES
12 Months Ended
Dec. 31, 2017
Related Party Transactions [Abstract]  
TRANSACTIONS WITH RELATED PARTIES
TRANSACTIONS WITH RELATED PARTIES
The Bank has made, and expects in the future to continue to make in the ordinary course of business, loans to directors and executive officers of the Company, the Bank, and their affiliates. In management’s opinion, these loans were made in the ordinary course of business at normal credit terms, including interest rate and collateral requirements, and do not represent more than normal credit risk. See Note 4, Loans, for more information regarding lending transactions between the Company and these related parties.
During 2017 and 2016, certain executive officers and directors of the Company and the Bank, including companies with which they are affiliated, were deposit customers of the Bank. See Note 9, Deposits, regarding total deposits outstanding to these related parties.
The Company has transactions with related parties for which the Company believes the terms and conditions are comparable to terms that would have been available from a third party that was unaffiliated with the Company. The following describes transactions since January 1, 2015, in addition to the ordinary banking relationships described above, in which the Company has participated in which one or more of its directors, executive officers or other related persons had or will have a direct or indirect material interest.
The Company has engaged in a number of transactions with Joffrion Commercial Division, LLC, a commercial construction company owned and managed by Gordon H. Joffrion, one of the Company’s directors.
Joffrion Commercial Division, LLC was awarded the bid in the amount of $0.9 million for the construction of the new location for the Prairieville branch. The Company paid Joffrion Commercial Division, LLC $0.9 million related to the construction of the new branch location, which was completed in February 2015.
In August 2014, the Company selected Joffrion Commercial Division, LLC’s bid to construct a building in Gonzales, Louisiana, which was completed in 2015. The Company paid approximately $1.1 million for the construction of this branch.
In January 2016, the Company selected Joffrion Commercial Division, LLC’s bid in the amount of $0.6 million to renovate an existing branch location in Mandeville, Louisiana. The Company paid approximately $0.7 million for the branch renovation which was completed in May 2016.
In February 2016, the Company selected Joffrion Commercial Division, LLC’s bid in the amount of $0.7 million to renovate a building that was purchased in the Company’s New Orleans market as a potential branch location. The Company paid approximately $0.8 million for the building renovation which was completed in July 2016.
In August 2016, the Company selected Joffrion Commercial Division, LLC’s bid in the amount of $0.2 million for construction of a freestanding ATM on a tract of land in the Company’s Baton Rouge market. The Company paid approximately $0.2 million for the construction, which was completed in 2017.
In July 2017, the Company selected Joffrion Commercial Division, LLC’s bid in the amount of $0.5 million for the renovation of the second floor of the building used as the Company’s Operations Center, which the Company purchased in 2016. Construction began in the fourth quarter of 2017. As of December 31, 2017, the Company paid approximately $0.1 million for the renovation project, which is expected to be completed in 2018.