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Loans (Tables)
 6 Months Ended
Jun. 30, 2015
Receivables [Abstract]  
Schedule of Financing Receivables, Type
The major classifications of loan balances, excluding loans held for sale, were as follows:
(Dollars in thousands)
June 30,
2015
December 31, 2014
Originated loans:
 
 
Commercial real estate, construction
$
50,168

$
37,901

Commercial real estate, other
449,163

434,660

    Commercial real estate
499,331

472,561

Commercial and industrial
256,080

249,975

Residential real estate
263,129

254,169

Home equity lines of credit
67,384

62,463

Consumer
196,306

169,913

Deposit account overdrafts
3,263

2,933

Total originated loans
$
1,285,493

$
1,212,014

Acquired Loans:
 
 
Commercial real estate, construction
$
11,220

$
1,051

Commercial real estate, other
293,369

121,475

    Commercial real estate
304,589

122,526

Commercial and industrial
71,013

30,056

Residential real estate
302,639

225,274

Home equity lines of credit
36,607

18,232

Consumer
11,692

12,796

Deposit account overdrafts
—

—

Total acquired loans
$
726,540

$
408,884

Loans, net of deferred fees and costs
$
2,012,033

$
1,620,898
Schedule of Financing Receivables Acquired with Deteriorated Credit Quality
Peoples has acquired various loans through business combinations for which there was, at acquisition, evidence of deterioration of credit quality since origination, and for which it was probable that all contractually required payments would not be collected. The carrying amounts of these loans included in the loan balances above are summarized as follows:
(Dollars in thousands)
June 30,
2015
December 31,
2014
Commercial real estate, other
$
18,321

$
7,762

Commercial and industrial
3,538

1,041

Residential real estate
29,145

15,183

Consumer
272

306

Total outstanding balance
$
51,276

$
24,292

Net carrying amount
$
39,371

$
19,067
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities Accretable Yield
Changes in the accretable yield for the six months ended June 30, 2015 were as follows:
(Dollars in thousands)
Accretable Yield
Balance, December 31, 2014
$
3,172

Additions:
 
    Reclassification from nonaccretable to accretable
2,066

    NB&T Financial Group, Inc.
3,622

Accretion
(826
)
Balance, June 30, 2015
$
8,034
Nonaccrual and Past Due Loans
The recorded investments in loans on nonaccrual status and loans delinquent for 90 days or more and accruing were as follows:
 
Nonaccrual Loans
 
Loans 90+ Days Past Due and Accruing
(Dollars in thousands)
June 30,
2015
December 31,
2014
 
June 30,
2015
December 31,
2014
Originated loans:
 
 
 
 
 
Commercial real estate, construction
$
—

$
—

 
$
—

$
—

Commercial real estate, other
1,912

2,575

 
—

—

    Commercial real estate
1,912

2,575

 
—

—

Commercial and industrial
13,736

1,286

 
—

—

Residential real estate
3,266

3,049

 
101

818

Home equity lines of credit
418

341

 
—

20

Consumer
53

19

 
4

2

Total originated loans
$
19,385

$
7,270

 
$
105

$
840

Acquired loans:
 
 
 
 
 
Commercial real estate, construction
$
—

$
96

 
$
—

$
—

Commercial real estate, other
86

9

 
984

567

    Commercial real estate
86

105

 
984

567

Commercial and industrial
549

708

 
488

301

Residential real estate
764

304

 
1,550

1,083

Home equity lines of credit
39

19

 
17

—

Consumer
—

—

 
21

8

Total acquired loans
$
1,438

$
1,136

 
$
3,060

$
1,959

Total loans
$
20,823

$
8,406

 
$
3,165

$
2,799
Aging Of The Recorded Investment In Past Due Loans And Leases
The following table presents the aging of the recorded investment in past due loans:
 
Loans Past Due
 
Current
Loans
Total
Loans
(Dollars in thousands)
30 - 59 days
60 - 89 days
90 + Days
Total
 
June 30, 2015
 
 
 
 
 
 
 
Originated loans:
 
 
 
 
 
 
 
Commercial real estate, construction
$
928

$
—

$
—

$
928

 
$
49,240

$
50,168

Commercial real estate, other
8,863

123

822

9,808

 
439,355

449,163

    Commercial real estate
9,791

123

822

10,736

 
488,595

499,331

Commercial and industrial
4,273

10,000

54

14,327

 
241,753

256,080

Residential real estate
2,620

648

1,117

4,385

 
258,744

263,129

Home equity lines of credit
227

47

224

498

 
66,886

67,384

Consumer
847

220

38

1,105

 
195,201

196,306

Deposit account overdrafts
23

—

—

23

 
3,240

3,263

Total originated loans
$
17,781

$
11,038

$
2,255

$
31,074

 
$
1,254,419

$
1,285,493

Acquired loans:
 
 
 
 
 
 
 
Commercial real estate, construction
$
—

$
—

$
69

$
69

 
$
11,151

$
11,220

Commercial real estate, other
1,472

837

991

3,300

 
290,069

293,369

    Commercial real estate
1,472

837

1,060

3,369

 
301,220

304,589

Commercial and industrial
227

1,961

937

3,125

 
67,888

71,013

Residential real estate
1,584

1,258

1,930

4,772

 
297,867

302,639

Home equity lines of credit
99

23

38

160

 
36,447

36,607

Consumer
153

14

21

188

 
11,504

11,692

Deposit account overdrafts
—

—

—

—

 
—

—

Total acquired loans
$
3,535

$
4,093

$
3,986

$
11,614

 
$
714,926

$
726,540

Total loans
$
21,316

$
15,131

$
6,241

$
42,688

 
$
1,969,345

$
2,012,033

December 31, 2014
 
 
 
 
 
 
 
Originated loans:
 
 
 
 
 
 
 
Commercial real estate, construction
$
—

$
—

$
—

$
—

 
$
37,901

$
37,901

Commercial real estate, other
565

285

1,220

2,070

 
432,590

434,660

    Commercial real estate
565

285

1,220

2,070

 
470,491

472,561

Commercial and industrial
17

18

1,245

1,280

 
248,695

249,975

Residential real estate
4,502

1,062

1,902

7,466

 
246,703

254,169

Home equity lines of credit
344

425

129

898

 
61,565

62,463

Consumer
1,136

157

2

1,295

 
168,618

169,913

Deposit account overdrafts
65

—

—

65

 
2,868

2,933

Total originated loans
$
6,629

$
1,947

$
4,498

$
13,074

 
$
1,198,940

$
1,212,014

Acquired loans:
 
 
 
 
 
 
 
Commercial real estate, construction
$
—

$
—

$
96

$
96

 
$
955

$
1,051

Commercial real estate, other
1,067

143

567

1,777

 
119,698

121,475

    Commercial real estate
1,067

143

663

1,873

 
120,653

122,526

Commercial and industrial
46

6

815

867

 
29,189

30,056

Residential real estate
4,026

1,331

1,179

6,536

 
218,738

225,274

Home equity lines of credit
9

19

—

28

 
18,204

18,232

Consumer
245

27

8

280

 
12,516

12,796

Deposit account overdrafts
—

—

—

—

 
—

—

Total acquired loans
$
5,393

$
1,526

$
2,665

$
9,584

 
$
399,300

$
408,884

Total loans
$
12,022

$
3,473

$
7,163

$
22,658

 
$
1,598,240

$
1,620,898
Loans By Risk Category
The following table summarizes the risk category of Peoples' loan portfolio based upon the most recent analysis performed:
 
Pass Rated
(Grades 1 - 4)
Watch
(Grade 5)
Substandard
(Grade 6)
Doubtful (Grade 7)
Not
Rated
Total
Loans
(Dollars in thousands)
June 30, 2015
 
 
 
 
 
 
Originated loans:
 
 
 
 
 
 
Commercial real estate, construction
$
49,726

$
—

$
—

$
—

$
442

$
50,168

Commercial real estate, other
431,822

9,260

8,081

—

—

449,163

    Commercial real estate
481,548

9,260

8,081

—

442

499,331

Commercial and industrial
231,339

7,135

17,605

1

—

256,080

Residential real estate
21,036

1,107

13,694

119

227,173

263,129

Home equity lines of credit
754

—

759

—

65,871

67,384

Consumer
54

—

5

—

196,247

196,306

Deposit account overdrafts
—

—

—

—

3,263

3,263

Total originated loans
$
734,731

$
17,502

$
40,144

$
120

$
492,996

$
1,285,493

Acquired loans:
 
 
 
 
 
 
Commercial real estate, construction
$
11,161

$
—

$
—

$
—

$
59

$
11,220

Commercial real estate, other
246,105

18,239

17,458

118

11,449

293,369

    Commercial real estate
257,266

18,239

17,458

118

11,508

304,589

Commercial and industrial
58,855

3,812

5,210

342

2,794

71,013

Residential real estate
19,218

2,124

1,144

—

280,153

302,639

Home equity lines of credit
318

—

—

—

36,289

36,607

Consumer
316

—

1

—

11,375

11,692

Deposit account overdrafts
—

—

—

—

—

—

Total acquired loans
$
335,973

$
24,175

$
23,813

$
460

$
342,119

$
726,540

Total loans
$
1,070,704

$
41,677

$
63,957

$
580

$
835,115

$
2,012,033

December 31, 2014
 
 
 
 
 
 
Originated loans:
 
 
 
 
 
 
Commercial real estate, construction
$
37,637

$
—

$
—

$
—

$
264

$
37,901

Commercial real estate, other
405,224

12,316

17,120

—

—

434,660

    Commercial real estate
442,861

12,316

17,120

—

264

472,561

Commercial and industrial
239,168

8,122

2,684

1

—

249,975

Residential real estate
21,296

1,195

11,601

56

220,021

254,169

Home equity lines of credit
767

—

965

—

60,731

62,463

Consumer
60

1

8

—

169,844

169,913

Deposit account overdrafts
—

—

—

—

2,933

2,933

Total originated loans
$
704,152

$
21,634

$
32,378

$
57

$
453,793

$
1,212,014

Acquired loans:
 
 
 
 
 
 
Commercial real estate, construction
$
955

$
—

$
—

$
—

$
96

$
1,051

Commercial real estate, other
106,115

7,100

8,260

—

—

121,475

    Commercial real estate
107,070

7,100

8,260

—

96

122,526

Commercial and industrial
27,313

255

2,294

194

—

30,056

Residential real estate
13,458

833

1,540

—

209,443

225,274

Home equity lines of credit
98

—

—

—

18,134

18,232

Consumer
279

—

—

—

12,517

12,796

Deposit account overdrafts
—

—

—

—

—

—

Total acquired loans
$
148,218

$
8,188

$
12,094

$
194

$
240,190

$
408,884

Total loans
$
852,370

$
29,822

$
44,472

$
251

$
693,983

$
1,620,898
Schedule Of Impaired Loans
The following table summarizes loans classified as impaired:
 
Unpaid
Principal
Balance
Recorded Investment
Total
Recorded
Investment
 
Average
Recorded
Investment
Interest
Income
Recognized
 
With
Allowance
Without
Allowance
Related
Allowance
(Dollars in thousands)
June 30, 2015
 
 
 
 
 
 
 
Commercial real estate, construction
$
21,385

$
—

$
21,385

$
21,385

$
—

$
4,338

$
389

Commercial real estate, other
11,057

915

9,969

10,884

286

3,039

297

    Commercial real estate
32,442

$
915

$
31,354

$
32,269

$
286

$
7,377

$
686

Commercial and industrial
26,267

13,898

9,825

23,723

3,556

5,661

206

Residential real estate
9,252

50

8,399

8,449

6

4,471

182

Home equity lines of credit
313

—

310

310

—

190

6

Consumer
318

—

310

310

—

138

13

Total
$
68,592

$
14,863

$
50,198

$
65,061

$
3,848

$
17,837

$
1,093

December 31, 2014
 
 
 
 
 
 
 
Commercial real estate, construction
$
9,914

$
—

$
9,909

9,909

$
—

$
2,020

$
540

Commercial real estate, other
8,668

653

7,742

8,395

189

2,951

248

    Commercial real estate
18,582

$
653

$
17,651

$
18,304

$
189

$
4,971

$
788

Commercial and industrial
3,747

1,945

1,767

3,712

816

766

73

Residential real estate
6,889

53

6,372

6,425

9

3,543

272

Home equity lines of credit
500

—

498

498

—

298

18

Consumer
391

—

386

386

—

156

24

Total
$
30,109

$
2,651

$
26,674

$
29,325

$
1,014

$
9,734

$
1,175
Troubled Debt Restructurings on Financing Receivables
The following table summarizes the loans that were modified as a TDR during the three and six months ended June 30.
 
 
Three Months Ended
 
Six Months Ended
 
 
Recorded Investment (1)
 
Recorded Investment (1)
(Dollars in thousands)
Number of Contracts
Pre-Modification
Post-Modification
Remaining Recorded Investment
Number of Contracts
Pre-Modification
Post-Modification
Remaining Recorded Investment
June 30, 2015
 
 
 
 
 
 
 
Originated loans:
 
 
 
 
 
 
 
 
Commercial real estate, other
—

$
—

$
—

$
—

—

$
—

$
—

$
—

Residential real estate
2

184

184

184

2

184

184

184

Home equity lines of credit
4

92

92

91

9

308

309

306

Consumer
2

10

10

10

3

16

16

16

Acquired loans:
 
 
 
 
 
 
 
 
Commercial real estate, other
1

24

24

24

1

24

24

24

Home equity lines of credit
1

8

8

8

1

8

8

8

Residential real estate
2

35

35

35

2

35

35

35

June 30, 2014
 
 
 
 
 
 
 
Originated loans:
 
 
 
 
 
 
 
 
Commercial real estate, construction
1

$
96

$
96

$
96

1

$
96

$
96

$
96

Commercial real estate, other
—

—

—

—

1

511

511

497

Residential real estate
10

450

449

449

18

946

946

935

Home equity lines of credit
2

39

39

39

4

86

86

86

Consumer
18

76

76

76

20

97

97

96

(1) The amounts shown are inclusive of all partial paydowns and charge-offs. Loans modified in a TDR that were fully paid down, charged-off or foreclosed upon by period end are not reported.
Troubled Debt Restructurings during prior 12 months that subsequently defaulted
The following table presents those loans for the six months ended June 30 that were modified as a TDR during the last twelve months that subsequently defaulted (i.e., 90 days or more past due following a modification).
 
June 30, 2015
 
June 30, 2014
(Dollars in thousands)
Number of Contracts
Recorded Investment (1)
Impact on the Allowance for Loan Losses
 
Number of Contracts
Recorded Investment (1)
Impact on the Allowance for Loan Losses
Acquired loans:
 
 
 
 
 
 
 
Commercial and industry
2

$
196

—

 
—

$
—

$
—

Residential real estate
—

—

—

 
1

$
40

$
—

Total
2

196

—

 
1

$
40

$
—

(1) The amounts shown are inclusive of all partial paydowns and charge-offs. Loans modified in a TDR that were fully paid down, charged-off or foreclosed upon by period end are not reported.
Summary Of Activity In Allowance For Loan And Lease Losses
Changes in the allowance for loan losses in the periods ended June 30, were as follows:
(Dollars in thousands)
Commercial Real Estate
Commercial and Industrial
Residential Real Estate
Home Equity Lines of Credit
Consumer
Deposit Account Overdrafts
Total
Balance, January 1, 2015
$
9,825

$
4,036

$
1,627

$
694

$
1,587

$
112

$
17,881

Charge-offs
(44
)
(343
)
(282
)
(81
)
(482
)
(323
)
(1,555
)
Recoveries
137

93

161

80

332

93

896

Net recoveries (charge-offs)
93

(250
)
(121
)
(1
)
(150
)
(230
)
(659
)
(Recovery of) provision for loan losses
(2,733
)
3,408

(207
)
45

237

272

1,022

Balance, June 30, 2015
$
7,185

$
7,194

$
1,299

$
738

$
1,674

$
154

$
18,244

 
 
 
 
 
 
 
 
Period-end amount allocated to:
 
 
 
 
 
 
Loans individually evaluated for impairment
$
286

$
3,556

$
6

$
—

$
—

$
—

$
3,848

Loans collectively evaluated for impairment
6,899

3,638

1,293

738

1,674

154

14,396

Ending balance
$
7,185

$
7,194

$
1,299

$
738

$
1,674

$
154

$
18,244

 
 
 
 
 
 
 
 
Balance, January 1, 2014
$
13,215

$
2,174

$
881

$
343

$
316

$
136

$
17,065

Charge-offs
—

(49
)
(272
)
(45
)
(552
)
(201
)
(1,119
)
Recoveries
208

59

117

12

351

100

847

Net recoveries (charge-offs)
208

10

(155
)
(33
)
(201
)
(101
)
(272
)
(Recovery of) provision for loan losses
(3,156
)
1,035

1,092

346

1,183

91

591

Balance, June 30, 2014
$
10,267

$
3,219

$
1,818

$
656

$
1,298

$
126

$
17,384

 
 
 
 
 
 
 
 
Period-end amount allocated to:
 
 
 
 
 
 
Loans individually evaluated for impairment
$
158

$
9

$
—

$
—

$
—

$
—

$
167

Loans collectively evaluated for impairment
10,109

3,210

1,818

656

1,298

126

17,217

Ending balance
$
10,267

$
3,219

$
1,818

$
656

$
1,298

$
126

$
17,384