10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2021

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number:  001-13901

AMERIS BANCORP

(Exact name of registrant as specified in its charter)

Georgia	58-1456434
(State of incorporation)	(IRS Employer ID No.)

3490 Piedmont Rd N.E., Suite 1550
Atlanta	Georgia	30305
(Address of principal executive offices)

(404)	639-6500
(Registrant’s telephone number)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $1 per share	ABCB	Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ý    No   ¨

Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  ý    No   ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	ý	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐   No  ý

 There were 69,766,395 shares of Common Stock outstanding as of July 31, 2021.

AMERIS BANCORP

TABLE OF CONTENTS

		Page
PART I – FINANCIAL INFORMATION
Item 1.	Financial Statements.
	Consolidated Balance Sheets as of June 30, 2021 (unaudited) and December 31, 2020	1
	Consolidated Statements of Income and Comprehensive Income for the Three and Six-Month Periods Ended June 30, 2021 and 2020 (unaudited)	2
	Consolidated Statements of Shareholders’ Equity for the Three and Six-Month Periods Ended June 30, 2021 and 2020 (unaudited)	3
	Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2021 and 2020 (unaudited)	5
	Notes to Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations.	36
Item 3.	Quantitative and Qualitative Disclosures About Market Risk.	58
Item 4.	Controls and Procedures.	58
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings.	59
Item 1A.	Risk Factors.	59
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.	59
Item 3.	Defaults Upon Senior Securities.	59
Item 4.	Mine Safety Disclosures.	59
Item 5.	Other Information.	59
Item 6.	Exhibits.	60
Signatures		61

Item 1. Financial Statements.

AMERIS BANCORP AND SUBSIDIARIES

Consolidated Balance Sheets

(dollars in thousands, except per share data)

	June 30, 2021 (unaudited)		December 31, 2020
Assets
Cash and due from banks	$	259,729	$	203,349
Federal funds sold and interest-bearing deposits in banks	3,044,795		1,913,957
Cash and cash equivalents	3,304,524		2,117,306
Time deposits in other banks	—		249
Debt securities available-for-sale, at fair value, net of allowance for credit losses of $81 and $112	778,167		982,879
Debt securities held-to-maturity, at amortized cost, net of allowance for credit losses of $0 and $0 (fair value of $29,008 and $0)	29,055		—
Other investments	27,621		28,202
Loans held for sale (includes loans at fair value of $1,210,589 and $1,001,807)	1,210,589		1,167,659
Loans, net of unearned income	14,780,791		14,480,925
Allowance for credit losses	(175,070)		(199,422)
Loans, net	14,605,721		14,281,503
Other real estate owned, net	5,775		11,880
Premises and equipment, net	229,994		222,890
Goodwill	928,005		928,005
Other intangible assets, net	63,783		71,974
Cash value of bank owned life insurance	277,839		176,467
Deferred income taxes, net	9,081		33,314
Other assets	416,777		416,310
Total assets	$	21,886,931	$	20,438,638
Liabilities
Deposits:
Noninterest-bearing	$	6,983,761	$	6,151,070
Interest-bearing	11,274,236		10,806,753
Total deposits	18,257,997		16,957,823
Securities sold under agreements to repurchase	5,544		11,641
Other borrowings	425,303		425,155
Subordinated deferrable interest debentures	125,331		124,345
Other liabilities	235,752		272,586
Total liabilities	19,049,927		17,791,550
Commitments and Contingencies (Note 9)
Shareholders’ Equity
Preferred stock, stated value $1,000; 5,000,000 shares authorized; 0 shares issued and outstanding	—		—
Common stock, par value $1; 200,000,000 shares authorized; 72,007,871 and 71,753,705 shares issued	72,008		71,754
Capital surplus	1,920,566		1,913,285
Retained earnings	863,828		671,510
Accumulated other comprehensive income, net of tax	25,024		33,505
Treasury stock, at cost, 2,240,662 and 2,212,224 shares	(44,422)		(42,966)
Total shareholders’ equity	2,837,004		2,647,088
Total liabilities and shareholders’ equity	$	21,886,931	$	20,438,638

 See notes to unaudited consolidated financial statements.

1

AMERIS BANCORP AND SUBSIDIARIES

Consolidated Statements of Income and Comprehensive Income (unaudited)

(dollars and shares in thousands, except per share data)

	Three Months Ended June 30,				Six Months Ended June 30,
	2021		2020		2021		2020
Interest income
Interest and fees on loans	$	167,761	$	175,345	$	338,918	$	346,587
Interest on taxable securities	5,244		9,347		11,362		19,429
Interest on nontaxable securities	139		157		280		314
Interest on deposits in other banks and federal funds sold	607		169		1,141		1,456
Total interest income	173,751		185,018		351,701		367,786
Interest expense
Interest on deposits	5,775		14,273		12,573		38,375
Interest on other borrowings	6,124		6,931		12,299		17,652
Total interest expense	11,899		21,204		24,872		56,027
Net interest income	161,852		163,814		326,829		311,759
Provision for loan losses	(899)		68,449		(17,478)		105,496
Provision for unfunded commitments	1,299		19,712		(10,540)		23,712
Provision for other credit losses	(258)		—		(431)		—
Provision for credit losses	142		88,161		(28,449)		129,208
Net interest income after provision for credit losses	161,710		75,653		355,278		182,551
Noninterest income
Service charges on deposit accounts	11,007		9,922		21,836		21,766
Mortgage banking activity	70,231		104,925		168,717		140,258
Other service charges, commissions and fees	1,056		949		2,072		1,910
Net gain (loss) on securities	1		14		(11)		5
Other noninterest income	6,945		5,150		14,599		11,400
Total noninterest income	89,240		120,960		207,213		175,339
Noninterest expense
Salaries and employee benefits	85,505		95,168		181,490		171,114
Occupancy and equipment	10,812		13,807		22,593		25,835
Data processing and communications expenses	11,877		10,514		23,761		22,468
Credit resolution-related expenses	622		950		1,169		3,148
Advertising and marketing	1,946		1,455		3,377		3,813
Amortization of intangible assets	4,065		5,601		8,191		11,232
Merger and conversion charges	—		895		—		1,435
Other noninterest expenses	20,934		27,378		43,978		54,776
Total noninterest expense	135,761		155,768		284,559		293,821
Income before income tax expense	115,189		40,845		277,932		64,069
Income tax expense	26,862		8,609		64,643		12,511
Net income	88,327		32,236		213,289		51,558
Other comprehensive income (loss)
Net unrealized holding gains (losses) arising during period on investment securities available-for-sale, net of tax expense (benefit) of $(283), $(13), $(2,255) and $5,743	(1,066)		(49)		(8,481)		21,604
Net unrealized gains on cash flow hedge during the period, net of tax benefit of $0, $30, $0 and $4	—		111		—		14
Total other comprehensive income (loss)	(1,066)		62		(8,481)		21,618
Comprehensive income	$	87,261	$	32,298	$	204,808	$	73,176
Basic earnings per common share	$	1.27	$	0.47	$	3.07	$	0.74
Diluted earnings per common share	$	1.27	$	0.47	$	3.06	$	0.74
Weighted average common shares outstanding
Basic	69,497		69,192		69,448		69,235
Diluted	69,792		69,293		69,765		69,413

See notes to unaudited consolidated financial statements.

2

AMERIS BANCORP AND SUBSIDIARIES

Consolidated Statements of Shareholders’ Equity (unaudited)

(dollars in thousands)

	Three Months Ended June 30, 2021
	Common Stock			Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Income, Net of Tax		Treasury Stock			Total Shareholders' Equity
	Shares	Amount								Shares	Amount
Balance, March 31, 2021	71,954,088	$	71,954	$	1,917,990	$	785,984	$	26,090	2,240,662	$	(44,422)	$	2,757,596
Issuance of restricted shares	13,233	13		(13)		—		—		—	—		—
Forfeitures of restricted shares	(750)	(1)		(19)		—		—		—	—		(20)
Proceeds from exercise of stock options	41,300	42		1,167		—		—		—	—		1,209
Share-based compensation	—	—		1,441		—		—		—	—		1,441
Purchase of treasury shares	—	—		—		—		—		—	—		—
Net income	—	—		—		88,327		—		—	—		88,327
Dividends on common shares ($0.15 per share)	—	—		—		(10,483)		—		—	—		(10,483)
Other comprehensive loss during the period	—	—		—		—		(1,066)		—	—		(1,066)
Balance, June 30, 2021	72,007,871	$	72,008	$	1,920,566	$	863,828	$	25,024	2,240,662	$	(44,422)	$	2,837,004
	Six Months Ended June 30, 2021
	Common Stock			Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Income, Net of Tax		Treasury Stock			Total Shareholders' Equity
	Shares	Amount								Shares	Amount
Balance, December 31, 2020	71,753,705	$	71,754	$	1,913,285	$	671,510	$	33,505	2,212,224	$	(42,966)	$	2,647,088
Issuance of restricted shares	99,308	99		500		—		—		—	—		599
Forfeitures of restricted shares	(750)	(1)		(19)		—		—		—	—		(20)
Proceeds from exercise of stock options	155,608	156		4,055		—		—		—	—		4,211
Share-based compensation	—	—		2,745		—		—		—	—		2,745
Purchase of treasury shares	—	—		—		—		—		28,438	(1,456)		(1,456)
Net income	—	—		—		213,289		—		—	—		213,289
Dividends on common shares ($0.30 per share)	—	—		—		(20,971)		—		—	—		(20,971)
Other comprehensive loss during the period	—	—		—		—		(8,481)		—	—		(8,481)
Balance, June 30, 2021	72,007,871	$	72,008	$	1,920,566	$	863,828	$	25,024	2,240,662	$	(44,422)	$	2,837,004

3

	Three Months Ended June 30, 2020
	Common Stock			Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Income, Net of Tax		Treasury Stock			Total Shareholders' Equity
	Shares	Amount								Shares	Amount
Balance, March 31, 2020	71,651,986	$	71,652	$	1,908,721	$	460,153	$	39,551	2,210,712	$	(42,927)	$	2,437,150
Issuance of restricted shares	33,351	33		(33)		—		—		—	—		—
Forfeitures of restricted shares	(11,250)	(11)		(159)		—		—		—	—		(170)
Share-based compensation	—	—		1,310		—		—		—	—		1,310
Purchase of treasury shares	—	—		—		—		—		593	(17)		(17)
Net income	—	—		—		32,236		—		—	—		32,236
Dividends on common shares ($0.15 per share)	—	—		—		(10,441)		—		—	—		(10,441)
Other comprehensive income during the period	—	—		—		—		62		—	—		62
Balance, June 30, 2020	71,674,087	$	71,674	$	1,909,839	$	481,948	$	39,613	2,211,305	$	(42,944)	$	2,460,130
	Six Months Ended June 30, 2020
	Common Stock			Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Income, Net of Tax		Treasury Stock			Total Shareholders' Equity
	Shares	Amount								Shares	Amount
Balance, December 31, 2019	71,499,829	$	71,500	$	1,907,108	$	507,950	$	17,995	1,995,996	$	(34,971)	$	2,469,582
Issuance of restricted shares	151,976	152		137		—		—		—	—		289
Forfeitures of restricted shares	(11,250)	(11)		(159)		—		—		—	—		(170)
Proceeds from exercise of stock options	33,532	33		668		—		—		—	—		701
Share-based compensation	—	—		2,085		—		—		—	—		2,085
Purchase of treasury shares	—	—		—		—		—		215,309	(7,973)		(7,973)
Net income	—	—		—		51,558		—		—	—		51,558
Dividends on common shares ($0.30 per share)	—	—		—		(20,856)		—		—	—		(20,856)
Cumulative effect of change in accounting for credit losses	—	—		—		(56,704)		—		—	—		(56,704)
Other comprehensive income during the period	—	—		—		—		21,618		—	—		21,618
Balance, June 30, 2020	71,674,087	$	71,674	$	1,909,839	$	481,948	$	39,613	2,211,305	$	(42,944)	$	2,460,130

See notes to unaudited consolidated financial statements. 

4

AMERIS BANCORP AND SUBSIDIARIES

Consolidated Statements of Cash Flows (unaudited)

(dollars in thousands)

	Six Months Ended June 30,
	2021		2020
Operating Activities
Net income	$	213,289	$	51,558
Adjustments reconciling net income to net cash provided by (used in) operating activities:
Depreciation	8,226		7,923
Net losses on sale or disposal of premises and equipment	920		8
Net write-downs on other assets	149		1,090
Provision for credit losses	(28,449)		129,208
Net write-downs and (gains) losses on sale of other real estate owned	(558)		873
Share-based compensation expense	3,454		1,700
Amortization of intangible assets	8,191		11,232
Amortization of operating lease right of use assets	5,866		6,599
Provision for deferred taxes	26,488		(32,544)
Net amortization of investment securities available-for-sale	1,985		2,932
Net amortization of investment securities held-to-maturity	1		—
Net (gain) loss on securities	11		(5)
Accretion of discount on purchased loans, net	(10,589)		(16,138)
Net amortization on other borrowings	222		94
Amortization of subordinated deferrable interest debentures	986		970
Loan servicing asset impairment (recovery)	(11,388)		30,239
Originations of mortgage loans held for sale	(4,425,420)		(3,799,622)
Payments received on mortgage loans held for sale	24,477		34,849
Proceeds from sales of mortgage loans held for sale	4,198,098		3,724,287
Net gains on mortgage loans held for sale	(84,992)		(129,450)
Originations of SBA loans	(44,257)		(28,595)
Proceeds from sales of SBA loans	41,017		35,152
Net gains on sale of SBA loans	(3,453)		(2,614)
Increase in cash surrender value of bank owned life insurance	(2,078)		(1,876)
Gain on bank owned life insurance proceeds	(603)		(845)
Net gains on other loans held for sale	(457)		—
Changes in FDIC loss-share payable, net of cash payments	—		(562)
Change attributable to other operating activities	(13,363)		(52,715)
Net cash used in operating activities	(92,227)		(26,252)
Investing Activities, net of effects of business combinations
Proceeds from maturities of time deposits in other banks	249		—
Purchases of investment securities held-to-maturity	(29,056)		—
Proceeds from prepayments and maturities of securities available-for-sale	192,022		188,920
Net (increase) decrease in other investments	570		(9,529)
Net increase in loans	(219,110)		(1,591,894)
Purchases of premises and equipment	(17,196)		(9,267)
Proceeds from sale of premises and equipment	946		409
Proceeds from sales of other real estate owned	7,902		3,169
Payments paid to FDIC under loss-share agreements	—		(177)
Purchases of bank owned life insurance	(100,000)		—
Proceeds from bank owned life insurance	1,309		2,980
Payments received on other loans held for sale	9,136		—
Proceeds from sales of other loans held for sale	156,803		—
Net cash and cash equivalents received from acquisitions	—		(2,417)
Net cash provided by (used in) investing activities	3,575		(1,417,806)
			(Continued)

5

AMERIS BANCORP AND SUBSIDIARIES

Consolidated Statements of Cash Flows (unaudited)

(dollars in thousands)

	Six Months Ended June 30,
	2021		2020
Financing Activities, net of effects of business combinations
Net increase in deposits	$	1,300,174	$	1,564,859
Net decrease in securities sold under agreements to repurchase	(6,097)		(7,756)
Proceeds from other borrowings	—		4,745,000
Repayment of other borrowings	(74)		(4,725,167)
Repayment of subordinated deferrable interest debentures	—		(5,155)
Proceeds from exercise of stock options	4,211		701
Dividends paid - common stock	(20,888)		(20,841)
Purchase of treasury shares	(1,456)		(7,973)
Net cash provided by financing activities	1,275,870		1,543,668
Net increase in cash and cash equivalents	1,187,218		99,610
Cash and cash equivalents at beginning of period	2,117,306		621,849
Cash and cash equivalents at end of period	$	3,304,524	$	721,459
Supplemental Disclosures of Cash Flow Information
Cash paid during the period for:
Interest	$	25,985	$	60,725
Income taxes	30,924		7,934
Loans transferred to other real estate owned	1,239		8,165
Loans transferred from loans held for sale to loans held for investment	85,748		86,557
Loans provided for the sales of other real estate owned	1,052		299
Right-of-use assets obtained in exchange for new operating lease liabilities	2,932		8,844
Change in unrealized gain (loss) on securities available-for-sale, net of tax	(8,481)		21,603
Change in unrealized gain (loss) on cash flow hedge, net of tax	—		14
			(Concluded)

See notes to unaudited consolidated financial statements.

6

AMERIS BANCORP AND SUBSIDIARIES

Notes to Unaudited Consolidated Financial Statements

June 30, 2021

NOTE 1 – BASIS OF PRESENTATION AND ACCOUNTING POLICIES

Nature of Business

Ameris Bancorp (the “Company” or “Ameris”) is a financial holding company headquartered in Atlanta, Georgia. Ameris conducts substantially all of its operations through its wholly owned banking subsidiary, Ameris Bank (the “Bank”). At June 30, 2021, the Bank operated 165 branches in select markets in Georgia, Alabama, Florida, North Carolina and South Carolina. Our business model capitalizes on the efficiencies of a large financial services company, while still providing the community with the personalized banking service expected by our customers. We manage our Bank through a balance of decentralized management responsibilities and efficient centralized operating systems, products and loan underwriting standards. The Company’s Board of Directors and senior managers establish corporate policy, strategy and administrative policies. Within our established guidelines and policies, the banker closest to the customer responds to the differing needs and demands of his or her unique market.

Basis of Presentation

The accompanying unaudited consolidated financial statements for Ameris have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and Regulation S-X. Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statement presentation. The interim consolidated financial statements included herein are unaudited but reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for a fair presentation of the consolidated financial position and results of operations for the interim periods presented. All significant intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the period ended June 30, 2021 are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020.

In preparing the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

For purposes of reporting cash flows, cash and cash equivalents include cash on hand, cash items in process of collection, amounts due from banks, interest-bearing deposits in banks and federal funds sold. The Bank is required to maintain reserve balances in cash or on deposit with the Federal Reserve Bank of Atlanta. The required reserve rate was set to 0% effective March 26, 2020 and, accordingly, the Bank had no reserve requirement at June 30, 2021 and December 31, 2020.

Reclassifications

Certain reclassifications of prior year amounts have been made to conform with the current year presentations. The reclassifications had no effect on net income or shareholders' equity as previously reported.

Accounting Standards Adopted in 2021

ASU 2019-12 – Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes ("ASU 2019-12"). ASU 2019-12 simplifies the accounting for income taxes by removing certain technical exceptions. ASU 2019-12 also clarifies and amends the accounting for income taxes in certain areas including, among others: (i) franchise taxes that are partially based on income; (ii) whether step ups in the tax basis of goodwill should be considered part of the acquisition to which it related or recognized as a separate transaction; and (iii) requiring the effect of an enacted change in tax laws or rates to be reflected in the annual effective tax rate computation in the interim period that includes the enactment date. During the first quarter of 2021, the Company adopted this ASU and applied the amendments in this update on a modified retrospective basis for the provision related to franchise taxes and prospectively for all other amendments. The adoption did not have a material impact on the Company's consolidated financial statements.

7

Accounting Standards Pending Adoption

ASU No. 2021-01 – Reference Rate Reform (Topic 848): Scope ("ASU 2021-01"). ASU 2021-01 clarifies that certain optional expedients and exceptions in ASC 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. ASU 2021-01 also amends the expedients and exceptions in ASC 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. Because the guidance is intended to assist stakeholders during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. The Company is currently evaluating the impact of adopting ASU 2021-01 on the consolidated financial statements.

ASU No. 2020-04 – Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting ("ASU 2020-04"). ASU 2020-04 provides optional guidance, for a limited time, to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The amendments, which are elective, provide expedients and exceptions for applying GAAP to contract modifications and hedging relationships affected by reference rate reform if certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate that is expected to be discontinued due to reference rate reform. The optional expedients for contract modifications apply consistently for all contracts or transactions within the relevant Codification Topic, Subtopic, or Industry Subtopic that contains the guidance that otherwise would be required to be applied, while those for hedging relationships can be elected on an individual hedging relationship basis. Because the guidance is intended to assist stakeholders during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. The Company has established a working committee with representatives from relevant functional areas to inventory the contracts and accounts that are tied to LIBOR and develop a transition plan for the affected items. The Company is currently evaluating the impact of adopting ASU 2020-04 on the consolidated financial statements.

NOTE 2 – INVESTMENT SECURITIES

The amortized cost and estimated fair value of securities available-for-sale along with allowance for credit losses, gross unrealized gains and losses are summarized as follows:

(dollars in thousands) Securities available-for-sale	Amortized Cost		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
June 30, 2021
U.S. government sponsored agencies	$	12,120	$	—	$	207	$	—	$	12,327
State, county and municipal securities	58,016		—		2,820		—		60,836
Corporate debt securities	43,132		(81)		810		(249)		43,612
SBA pool securities	52,283		—		2,071		(73)		54,281
Mortgage-backed securities	581,021		—		26,100		(10)		607,111
Total debt securities available-for-sale	$	746,572	$	(81)	$	32,008	$	(332)	$	778,167
December 31, 2020
U.S. government sponsored agencies	$	17,161	$	—	$	343	$	—	$	17,504
State, county and municipal securities	63,286		—		3,492		—		66,778
Corporate debt securities	51,639		(112)		602		(233)		51,896
SBA pool securities	59,973		—		2,620		(96)		62,497
Mortgage-backed securities	748,521		—		35,797		(114)		784,204
Total debt securities available-for-sale	$	940,580	$	(112)	$	42,854	$	(443)	$	982,879

The amortized cost and estimated fair value of securities held-to-maturity along with gross unrealized gains and losses are summarized as follows:

(dollars in thousands) Securities held-to-maturity	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
June 30, 2021
Mortgage-backed securities	$	29,055	$	10	$	(57)	$	29,008
Total debt securities held-to-maturity	$	29,055	$	10	$	(57)	$	29,008

8

The amortized cost and estimated fair value of debt securities available-for-sale and held-to-maturity as of June 30, 2021, by contractual maturity are shown below. Maturities may differ from contractual maturities in mortgage-backed securities because the mortgages underlying these securities may be called or repaid without penalty. Therefore, these securities are not included in the maturity categories in the following maturity summary:

	Available-for-Sale				Held-to-Maturity
(dollars in thousands)	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Due in one year or less	$	21,699	$	21,889	$	—	$	—
Due from one year to five years	43,270		44,969		—		—
Due from five to ten years	58,019		60,100		—		—
Due after ten years	42,563		44,098		—		—
Mortgage-backed securities	581,021		607,111		29,055		29,008
	$	746,572	$	778,167	$	29,055	$	29,008

Securities with a carrying value of approximately $389.6 million and $438.7 million at June 30, 2021 and December 31, 2020, respectively, serve as collateral to secure public deposits, securities sold under agreements to repurchase and for other purposes required or permitted by law.

The following table shows the gross unrealized losses and estimated fair value of available-for-sale securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at June 30, 2021 and December 31, 2020:

	Less Than 12 Months				12 Months or More				Total
(dollars in thousands) Securities available-for-sale	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
June 30, 2021
Corporate debt securities	$	2,920	$	(249)	$	—	$	—	$	2,920	$	(249)
SBA pool securities	—		—		2,983		(73)		2,983		(73)
Mortgage-backed securities	3,214		(7)		424		(3)		3,638		(10)
Total debt securities available-for-sale	$	6,134	$	(256)	$	3,407	$	(76)	$	9,541	$	(332)
December 31, 2020
Corporate debt securities	$	10,159	$	(233)	$	—	$	—	$	10,159	$	(233)
SBA pool securities	—		—		3,948		(96)		3,948		(96)
Mortgage-backed securities	24,120		(114)		2		—		24,122		(114)
Total debt securities available-for-sale	$	34,279	$	(347)	$	3,950	$	(96)	$	38,229	$	(443)

As of June 30, 2021, the Company’s available-for-sale security portfolio consisted of 470 securities, 17 of which were in an unrealized loss position. At June 30, 2021, the Company held nine mortgage-backed securities that were in an unrealized loss position, all of which were issued by U.S. government-sponsored entities and agencies. At June 30, 2021, the Company held five U.S. Small Business Administration (“SBA”) pool securities and three corporate securities that were in an unrealized loss position.

The following table shows the gross unrealized losses and estimated fair value of held-to-maturity securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at June 30, 2021:

	Less Than 12 Months				12 Months or More				Total
(dollars in thousands) Securities held-to-maturity	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
June 30, 2021
Mortgage-backed securities	$	9,583	$	(57)	$	—	$	—	$	9,583	$	(57)
Total debt securities held-to-maturity	$	9,583	$	(57)	$	—	$	—	$	9,583	$	(57)

As of June 30, 2021, the Company’s held-to-maturity security portfolio consisted of four mortgage-backed securities, two of which were in an unrealized loss position.

9

During 2021 and 2020, the Company received timely and current interest and principal payments on all of the securities classified as corporate debt securities. The Company’s investments in subordinated debt include investments in regional and super-regional banks on which the Company prepares regular analysis through review of financial information and credit ratings. Investments in preferred securities are also concentrated in the preferred obligations of regional and super-regional banks through non-pooled investment structures. The Company did not have investments in “pooled” trust preferred securities at June 30, 2021 or December 31, 2020.

At June 30, 2021 and December 31, 2020, all of the Company’s mortgage-backed securities were obligations of government-sponsored agencies.

Management and the Company’s Asset and Liability Committee (the “ALCO Committee”) evaluate available-for-sale securities in an unrealized loss position on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation, to determine if credit-related impairment exists. Management first evaluates whether they intend to sell or more likely than not will be required to sell an impaired security before recovering its amortized cost basis. If either criteria is met, the entire amount of unrealized loss is recognized in earnings with a corresponding adjustment to the security's amortized cost basis. If either of the above criteria is not met, management evaluates whether the decline in fair value is attributable to credit or resulted from other factors. The Company does not intend to sell these available-for-sale investment securities at an unrealized loss position at June 30, 2021, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Based on the results of management's review, at June 30, 2021, management determined $81,000 was attributable to credit impairment and established the allowance for credit losses accordingly. The remaining $332,000 in unrealized loss was determined to be from factors other than credit.

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Allowance for credit losses	2021		2020		2021		2020
Beginning balance	$	101	$	—	$	112	$	—
Provision for expected credit losses	(20)		—		(31)		—
Ending balance	$	81	$	—	$	81	$	—

The Company's held-to-maturity securities have zero expected credit losses and no related allowance for credit losses has been established.

Total gain (loss) on securities reported on the consolidated statements of income and comprehensive income is comprised of the following for the three and six months ended June 30, 2021 and 2020:

	Three Months Ended June 30,				Six Months Ended June 30,
(dollars in thousands)	2021		2020		2021		2020
Unrealized holding gains (losses) on equity securities	$	1	$	14	$	(11)	$	5
Total gain (loss) on securities	$	1	$	14	$	(11)	$	5

NOTE 3 – LOANS AND ALLOWANCE FOR CREDIT LOSSES

Loans are stated at amortized cost. Balances within the major loans receivable categories are presented in the following table:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	1,406,421	$	1,627,477
Consumer installment	229,411		306,995
Indirect automobile	397,373		580,083
Mortgage warehouse	841,347		916,353
Municipal	647,578		659,403
Premium finance	780,328		687,841
Real estate – construction and development	1,527,883		1,606,710
Real estate – commercial and farmland	6,051,472		5,300,006
Real estate – residential	2,898,978		2,796,057
	$	14,780,791	$	14,480,925

10

Included in commercial, financial and agricultural loans at June 30, 2021 and December 31, 2020 above are $487.9 million and $827.4 million, respectively, related to the SBA's Paycheck Protection Program (“PPP”). Accrued interest receivable on loans is reported in other assets on the consolidated balance sheets totaling $62.3 million and $73.4 million at June 30, 2021 and December 31, 2020, respectively. The Company recorded an allowance for credit losses of $318,000 and $718,000 related to deferred interest on loans modified under its Disaster Relief Program at June 30, 2021 and December 31, 2020, respectively.

Nonaccrual and Past-Due Loans

A loan is placed on nonaccrual status when, in management’s judgment, the collection of the interest income appears doubtful. Interest receivable that has been accrued and is subsequently determined to have doubtful collectability is charged to interest income. Interest on loans that are classified as nonaccrual is subsequently applied to principal until the loans are returned to accrual status. The Company’s loan policy states that a nonaccrual loan may be returned to accrual status when (i) none of its principal and interest is due and unpaid, and the Company expects repayment of the remaining contractual principal and interest, or (ii) it otherwise becomes well secured and in the process of collection. Restoration to accrual status on any given loan must be supported by a well-documented credit evaluation of the borrower’s financial condition and the prospects for full repayment, approved by the Company’s Chief Credit Officer. Past-due loans are loans whose principal or interest is past due 30 days or more. In some cases, where borrowers are experiencing financial difficulties, loans may be restructured to provide terms significantly different from the original contractual terms.

The following table presents an analysis of loans accounted for on a nonaccrual basis:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	7,284	$	9,836
Consumer installment	503		709
Indirect automobile	1,393		2,831
Real estate – construction and development	1,746		5,407
Real estate – commercial and farmland	17,385		18,517
Real estate – residential	31,610		39,157
	$	59,921	$	76,457

There was no interest income recognized on nonaccrual loans during the six months ended June 30, 2021 and 2020.

The following table presents an analysis of nonaccrual loans with no related allowance for credit losses:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	966	$	764
Real estate – construction and development	66		416
Real estate – commercial and farmland	3,621		7,015
Real estate – residential	6,842		5,299
	$	11,495	$	13,494

11

The following table presents an analysis of past-due loans as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
June 30, 2021
Commercial, financial and agricultural	$	3,070	$	1,012	$	3,176	$	7,258	$	1,399,163	$	1,406,421	$	—
Consumer installment	1,575		1,027		869		3,471		225,940		229,411		556
Indirect automobile	699		345		895		1,939		395,434		397,373		—
Mortgage warehouse	—		—		—		—		841,347		841,347		—
Municipal	—		—		—		—		647,578		647,578		—
Premium finance	3,866		3,853		2,668		10,387		769,941		780,328		2,669
Real estate – construction and development	18,562		1,037		2,764		22,363		1,505,520		1,527,883		1,649
Real estate – commercial and farmland	1,160		618		6,412		8,190		6,043,282		6,051,472		—
Real estate – residential	10,093		4,608		27,883		42,584		2,856,394		2,898,978		—
Total	$	39,025	$	12,500	$	44,667	$	96,192	$	14,684,599	$	14,780,791	$	4,874
December 31, 2020
Commercial, financial and agricultural	$	4,576	$	2,018	$	5,652	$	12,246	$	1,615,231	$	1,627,477	$	—
Consumer installment	2,189		1,114		2,318		5,621		301,374		306,995		1,755
Indirect automobile	3,293		1,006		2,171		6,470		573,613		580,083		—
Mortgage warehouse	—		—		—		—		916,353		916,353		—
Municipal	—		—		—		—		659,403		659,403		—
Premium finance	7,188		3,895		6,571		17,654		670,187		687,841		6,571
Real estate – construction and development	13,348		723		5,150		19,221		1,587,489		1,606,710		—
Real estate – commercial and farmland	5,370		1,701		8,651		15,722		5,284,284		5,300,006		—
Real estate – residential	20,519		3,125		34,081		57,725		2,738,332		2,796,057		—
Total	$	56,483	$	13,582	$	64,594	$	134,659	$	14,346,266	$	14,480,925	$	8,326

Collateral-Dependent Loans

Collateral-dependent loans are loans where repayment is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty. If the Company determines that foreclosure is probable, these loans are written down to the lower of cost or fair value of the collateral less estimated costs to sell. When repayment is expected to be from the operation of the collateral, the allowance for credit losses is calculated as the amount by which the amortized cost basis of the financial asset exceeds the present value of expected cash flows from the operation of the collateral. The Company may, in the alternative, measure the allowance for credit loss as the amount by which the amortized cost basis of the financial asset exceeds the estimated fair value of the collateral.

12

The following table presents an analysis of individually evaluated collateral-dependent financial assets and related allowance for credit losses:

	June 30, 2021				December 31, 2020
(dollars in thousands)	Balance		Allowance for Credit Losses		Balance		Allowance for Credit Losses
Commercial, financial and agricultural	$	3,246	$	889	$	5,490	$	2,252
Premium finance	258		—		3,523		—
Real estate – construction and development	2,244		693		4,173		512
Real estate – commercial and farmland	83,000		18,494		100,180		21,001
Real estate – residential	10,928		1,070		9,716		891
	$	99,676	$	21,146	$	123,082	$	24,656

Credit Quality Indicators

The Company uses a nine category risk grading system to assign a risk grade to each loan in the portfolio. The following is a description of the general characteristics of the grades:

Grade 1 – Prime Credit – This grade represents loans to the Company’s most creditworthy borrowers or loans that are secured by cash or cash equivalents.

Grade 2 – Strong Credit – This grade includes loans that exhibit one or more characteristics better than that of a Good Credit. Generally, the debt service coverage and borrower’s liquidity is materially better than required by the Company’s loan policy.

Grade 3 – Good Credit – This grade is assigned to loans to borrowers who exhibit satisfactory credit histories, contain acceptable loan structures and demonstrate ability to repay.

Grade 4 – Satisfactory Credit – This grade includes loans which exhibit all the characteristics of a Good Credit, but warrant more than normal level of banker supervision due to (i) circumstances which elevate the risks of performance (such as start-up operations, untested management, heavy leverage and interim losses); (ii) adverse, extraordinary events that have affected, or could affect, the borrower’s cash flow, financial condition, ability to continue operating profitability or refinancing (such as death of principal, fire and divorce); (iii) loans that require more than the normal servicing requirements (such as any type of construction financing, acquisition and development loans, accounts receivable or inventory loans and floor plan loans); (iv) existing technical exceptions which raise some doubts about the Bank’s perfection in its collateral position or the continued financial capacity of the borrower; or (v) improvements in formerly criticized borrowers, which may warrant banker supervision.

Grade 5 – Fair Credit – This grade is assigned to loans that are currently performing and supported by adequate financial information that reflects repayment capacity but have one or more higher inherent risk characteristics.

Grade 6 – Other Assets Especially Mentioned – This grade includes loans that exhibit potential weaknesses that deserve management’s close attention. If left uncorrected, these weaknesses may result in deterioration of the repayment prospects for the asset or in the Company’s credit position at some future date.

Grade 7 – Substandard – This grade represents loans which are inadequately protected by the current credit worthiness and paying capacity of the borrower or of the collateral pledged, if any. These assets exhibit a well-defined weakness or are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. These weaknesses may be characterized by past due performance, operating losses or questionable collateral values.

Grade 8 – Doubtful – This grade includes loans which exhibit all of the characteristics of a substandard loan with the added provision that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable or improbable.

Grade 9 – Loss – This grade is assigned to loans which are considered uncollectible and of such little value that their continuance as active assets of the Bank is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing it off.

13

The following tables present the loan portfolio's amortized cost by class of financing receivable, risk grade and year of origination (in thousands) as of June 30, 2021 and December 31, 2020. Generally, current period renewals of credit are underwritten again at the point of renewal and considered current period originations for purposes of the tables below. The Company had an immaterial amount of revolving loans which converted to term loans and the amortized cost basis of those loans is included in the applicable origination year. There were no loans risk graded 9 at December 31, 2020.

As of June 30, 2021	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2021		2020		2019		2018		2017		Prior				Total
Commercial, Financial and Agricultural
Risk Grade:
1	$	376,496	$	140,359	$	2,340	$	918	$	219	$	4,915	$	125,123	$	650,370
2	228		446		8,778		453		766		879		3,789		15,339
3	101,165		63,440		41,678		12,311		15,782		8,307		51,509		294,192
4	62,535		67,264		53,086		67,882		26,090		29,502		88,234		394,593
5	181		3,946		3,882		3,713		5,470		4,130		6,821		28,143
6	—		6		461		406		507		4,742		497		6,619
7	375		658		3,940		2,602		3,712		5,096		782		17,165
Total commercial, financial and agricultural	$	540,980	$	276,119	$	114,165	$	88,285	$	52,546	$	57,571	$	276,755	$	1,406,421
Consumer Installment
Risk Grade:
1	$	3,954	$	4,203	$	2,252	$	1,119	$	393	$	13	$	3,099	$	15,033
2	—		—		—		24		1		55		36		116
3	11,379		9,354		3,932		1,488		497		1,595		2,943		31,188
4	10,160		71,425		41,168		32,182		12,267		10,878		3,130		181,210
5	—		32		75		8		21		160		—		296
6	—		—		5		8		—		141		6		160
7	10		217		345		166		66		536		66		1,406
9	—		—		—		—		—		—		2		2
Total consumer installment	$	25,503	$	85,231	$	47,777	$	34,995	$	13,245	$	13,378	$	9,282	$	229,411
Indirect Automobile
Risk Grade:
2	$	—	$	—	$	—	$	68	$	26	$	4,862	$	—	$	4,956
3	—		—		27,695		139,757		132,451		90,484		—		390,387
6	—		—		—		29		31		85		—		145
7	—		—		37		296		327		1,225		—		1,885
Total indirect automobile	$	—	$	—	$	27,732	$	140,150	$	132,835	$	96,656	$	—	$	397,373
Mortgage Warehouse
Risk Grade:
3	$	—	$	—	$	—	$	—	$	—	$	—	$	841,347	$	841,347
Total mortgage warehouse	$	—	$	—	$	—	$	—	$	—	$	—	$	841,347	$	841,347

14

As of June 30, 2021	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2021		2020		2019		2018		2017		Prior				Total
Municipal
Risk Grade:
1	$	36,781	$	93,621	$	13,555	$	7,227	$	138,378	$	192,462	$	—	$	482,024
2	1,842		72,018		—		—		—		12,968		—		86,828
3	—		60,812		650		—		5,453		2,989		—		69,904
4	—		6,140		—		—		—		2,682		—		8,822
Total municipal	$	38,623	$	232,591	$	14,205	$	7,227	$	143,831	$	211,101	$	—	$	647,578
Premium Finance
Risk Grade:
2	$	654,607	$	119,382	$	2,973	$	109	$	528	$	60	$	—	$	777,659
7	593		2,076		—		—		—		—		—		2,669
Total premium finance	$	655,200	$	121,458	$	2,973	$	109	$	528	$	60	$	—	$	780,328
Real Estate – Construction and Development
Risk Grade:
2	$	—	$	62	$	—	$	—	$	—	$	—	$	—	$	62
3	7,884		37,592		6,222		3,962		2,633		8,030		1,038		67,361
4	426,409		451,515		295,524		67,692		42,799		27,869		37,595		1,349,403
5	—		528		16,913		44,673		13,946		27,151		105		103,316
6	—		—		21		2,126		—		646		—		2,793
7	1,546		13		170		295		624		2,300		—		4,948
Total real estate – construction and development	$	435,839	$	489,710	$	318,850	$	118,748	$	60,002	$	65,996	$	38,738	$	1,527,883
Real Estate – Commercial and Farmland
Risk Grade:
1	$	—	$	—	$	—	$	146	$	—	$	—	$	—	$	146
2	56,737		7,332		354		448		2,058		12,776		—		79,705
3	566,934		853,282		410,581		171,064		169,835		485,822		43,381		2,700,899
4	227,946		424,926		580,795		432,688		241,782		631,786		31,889		2,571,812
5	1,679		17,197		112,473		72,218		133,334		149,037		4,053		489,991
6	462		—		10,369		14,008		29,841		28,571		884		84,135
7	2,184		6,791		36,428		16,648		6,430		56,298		5		124,784
Total real estate – commercial and farmland	$	855,942	$	1,309,528	$	1,151,000	$	707,220	$	583,280	$	1,364,290	$	80,212	$	6,051,472
Real Estate - Residential
Risk Grade:
1	$	—	$	—	$	—	$	—	$	—	$	15	$	—	$	15
2	—		36		378		—		96		36,139		1,150		37,799
3	611,704		681,564		352,543		157,688		115,923		390,335		186,520		2,496,277
4	16,340		12,494		16,410		12,529		8,699		49,078		35,969		151,519
5	532		19,488		43,677		22,071		13,844		54,793		2,787		157,192
6	618		417		933		870		399		3,556		107		6,900
7	408		4,042		12,503		11,053		4,215		14,001		3,054		49,276
Total real estate - residential	$	629,602	$	718,041	$	426,444	$	204,211	$	143,176	$	547,917	$	229,587	$	2,898,978

15

As of December 31, 2020	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2020		2019		2018		2017		2016		Prior				Total
Commercial, Financial and Agricultural
Risk Grade:
1	$	829,710	$	2,912	$	1,055	$	387	$	490	$	4,961	$	36,373	$	875,888
2	1,213		1,512		668		996		172		967		14,317		19,845
3	109,352		54,266		16,932		17,968		7,027		3,905		68,806		278,256
4	86,837		71,645		74,388		37,779		15,359		23,069		85,366		394,443
5	4,061		4,269		4,772		7,443		804		5,842		4,352		31,543
6	21		72		506		193		3,509		1,232		632		6,165
7	3,312		3,460		2,579		3,573		1,294		5,214		1,886		21,318
8	—		—		—		—		—		—		19		19
Total commercial, financial and agricultural	$	1,034,506	$	138,136	$	100,900	$	68,339	$	28,655	$	45,190	$	211,751	$	1,627,477
Consumer Installment
Risk Grade:
1	$	6,782	$	3,001	$	1,550	$	583	$	95	$	1	$	667	$	12,679
2	—		—		46		2		—		63		42		153
3	15,172		6,960		2,838		887		1,455		601		4,389		32,302
4	120,800		53,593		53,182		16,329		3,121		9,437		3,556		260,018
5	49		127		28		30		3		242		8		487
6	—		2		9		—		—		145		—		156
7	30		209		72		105		134		553		97		1,200
Total consumer installment	$	142,833	$	63,892	$	57,725	$	17,936	$	4,808	$	11,042	$	8,759	$	306,995
Indirect Automobile
Risk Grade:
2	$	—	$	—	$	81	$	31	$	5,356	$	3,054	$	—	$	8,522
3	—		35,432		187,656		188,302		103,570		52,781		—		567,741
6	—		—		57		70		62		85		—		274
7	—		163		519		561		1,078		1,225		—		3,546
Total indirect automobile	$	—	$	35,595	$	188,313	$	188,964	$	110,066	$	57,145	$	—	$	580,083
Mortgage Warehouse
Risk Grade:
3	$	—	$	—	$	—	$	—	$	—	$	—	$	916,353	$	916,353
Total mortgage warehouse	$	—	$	—	$	—	$	—	$	—	$	—	$	916,353	$	916,353
Municipal
Risk Grade:
1	$	91,692	$	12,685	$	8,944	$	143,741	$	124,929	$	97,923	$	—	$	479,914
2	73,000		—		—		—		9,410		—		—		82,410
3	39,990		713		—		5,453		7,204		5,489		—		58,849
4	31,394		—		—		—		—		6,836		—		38,230
Total municipal	$	236,076	$	13,398	$	8,944	$	149,194	$	141,543	$	110,248	$	—	$	659,403

16

As of December 31, 2020	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2020		2019		2018		2017		2016		Prior				Total
Premium Finance
Risk Grade:
2	$	661,614	$	18,236	$	515	$	746	$	121	$	38	$	—	$	681,270
7	5,811		760		—		—		—		—		—		6,571
Total premium finance	$	667,425	$	18,996	$	515	$	746	$	121	$	38	$	—	$	687,841
Real Estate – Construction and Development
Risk Grade:
3	$	59,325	$	7,035	$	6,870	$	8,046	$	3,415	$	6,916	$	1,293	$	92,900
4	605,254		445,496		205,444		50,181		14,672		26,915		68,574		1,416,536
5	1,614		26,720		9,612		13,261		17,712		10,127		107		79,153
6	685		1,036		3,646		1,302		—		4,564		—		11,233
7	15		2,858		566		271		42		3,136		—		6,888
Total real estate – construction and development	$	666,893	$	483,145	$	226,138	$	73,061	$	35,841	$	51,658	$	69,974	$	1,606,710
Real Estate – Commercial and Farmland
Risk Grade:
1	$	—	$	—	$	161	$	—	$	—	$	—	$	—	$	161
2	7,482		540		521		2,131		4,375		10,663		1,138		26,850
3	918,939		370,703		143,591		197,942		224,712		274,665		67,067		2,197,619
4	344,777		584,814		423,241		331,024		242,573		545,745		34,326		2,506,500
5	4,027		39,216		69,173		80,726		25,561		94,461		1,274		314,438
6	—		10,680		4,895		28,139		7,670		31,224		—		82,608
7	250		54,439		18,574		15,489		27,044		55,763		271		171,830
Total real estate – commercial and farmland	$	1,275,475	$	1,060,392	$	660,156	$	655,451	$	531,935	$	1,012,521	$	104,076	$	5,300,006
Real Estate - Residential
Risk Grade:
1	$	—	$	—	$	—	$	—	$	—	$	19	$	—	$	19
2	37		398		12		121		1,275		47,286		1,402		50,531
3	763,101		529,268		254,632		186,531		154,285		388,825		203,491		2,480,133
4	19,296		19,874		15,784		11,607		14,240		53,869		44,276		178,946
5	400		1,768		3,489		3,479		1,151		12,824		3,618		26,729
6	527		1,843		1,030		334		724		3,391		255		8,104
7	3,442		9,387		12,339		4,667		2,157		16,659		2,944		51,595
Total real estate - residential	$	786,803	$	562,538	$	287,286	$	206,739	$	173,832	$	522,873	$	255,986	$	2,796,057

Troubled Debt Restructurings

The restructuring of a loan is considered a “troubled debt restructuring” if both (i) the borrower is experiencing financial difficulties and (ii) the Company has granted a concession. Concessions may include interest rate reductions to below market interest rates, principal forgiveness, restructuring amortization schedules and other actions intended to minimize potential losses.

The Company’s policy requires a restructure request to be supported by a current, well-documented credit evaluation of the borrower’s financial condition and a collateral evaluation that is no older than six months from the date of the restructure. Key factors of that evaluation include the documentation of current, recurring cash flows, support provided by the guarantor(s) and the current valuation of the collateral. If the appraisal in the file is older than six months, an evaluation must be made as to the

17

continued reasonableness of the valuation. For certain income-producing properties, current rent rolls and/or other income information can be utilized to support the appraisal valuation, when coupled with documented cap rates within our markets and a physical inspection of the collateral to validate the current condition.

The Company’s policy states that in the event a loan has been identified as a troubled debt restructuring, it should be assigned a grade of substandard until such time the borrower has demonstrated the ability to service the loan payments based on the restructured terms – generally defined as six months of satisfactory payment history. Missed payments under the original loan terms are not considered under the new structure; however, subsequent missed payments are considered non-performance and are not considered toward the six month required term of satisfactory payment history.

In the normal course of business, the Company renews loans with a modification of the interest rate or terms that are not deemed to be troubled debt restructurings because the borrower is not experiencing financial difficulty. The Company modified loans in the first six months of 2021 and 2020 totaling $220.8 million and $139.6 million, respectively, under such parameters.

As of June 30, 2021 and December 31, 2020, the Company had a balance of $92.3 million and $85.0 million, respectively, in troubled debt restructurings. The Company has recorded $1.0 million and $1.2 million in previous charge-offs on such loans at June 30, 2021 and December 31, 2020, respectively. The Company’s balance in the allowance for credit losses allocated to such troubled debt restructurings was $14.2 million and $13.0 million at June 30, 2021 and December 31, 2020, respectively. At June 30, 2021, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

The following table presents the loans by class modified as troubled debt restructurings which occurred during the three and six months ended June 30, 2021 and 2020. These modifications did not have a material impact on the Company’s allowance for credit losses.

	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	2	$	165	1	$	731	6	$	591	1	$	731
Consumer installment	2	8		3	7		2	8		4	15
Real estate – construction and development	—	—		—	—		—	—		1	20
Real estate – commercial and farmland	3	8,653		—	—		5	16,312		1	16
Real estate – residential	2	472		5	839		12	1,457		76	10,496
Total	9	$	9,298	9	$	1,577	25	$	18,368	83	$	11,278

The following table presents the outstanding balance of troubled debt restructurings by class that defaulted (defined as 30 days past due) during the three and six months ended June 30, 2021 and 2020. These defaults did not have a material impact on the Company's allowance for credit losses.

	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	—	$	—	—	$	—	3	$	49	1	$	200
Consumer installment	—	—		3	4		4	5		3	4
Indirect automobile	7	27		—	—		22	112		—	—
Real estate – construction and development	—	—		—	—		1	1		2	285
Real estate – commercial and farmland	1	202		—	—		3	5,382		2	676
Real estate – residential	17	940		4	164		27	1,646		8	567
Total	25	$	1,169	7	$	168	60	$	7,195	16	$	1,732

18

The following table presents the amount of troubled debt restructurings by loan class classified separately as accrual and nonaccrual at June 30, 2021 and December 31, 2020:

June 30, 2021	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	12	$	1,038	10	$	805
Consumer installment	9	28		19	43
Indirect automobile	336	1,647		47	301
Real estate – construction and development	5	898		4	301
Real estate – commercial and farmland	28	46,025		11	7,103
Real estate – residential	238	31,570		31	2,515
Total	628	$	81,206	122	$	11,068

December 31, 2020	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	9	$	521	11	$	849
Consumer installment	10	32		20	56
Indirect automobile	437	2,277		51	461
Real estate – construction and development	4	506		5	707
Real estate – commercial and farmland	28	36,707		7	1,401
Real estate – residential	264	38,800		34	2,671
Total	752	$	78,843	128	$	6,145

COVID-19 Deferrals

In response to the COVID-19 pandemic, the Company offered affected borrowers payment relief under its Disaster Relief Program. These modifications primarily consisted of short-term payment deferrals or interest-only periods to assist customers. The Company has also provided payment modifications to certain borrowers in economically sensitive industries of various terms up to nine months. Modifications related to the COVID-19 pandemic and qualifying under the provisions of Section 4013 of the CARES Act are not deemed to be troubled debt restructurings. As of June 30, 2021, $127.7 million in loans remained in payment deferral related to COVID-19 pandemic Disaster Relief Program compared with $332.8 million at December 31, 2020.

The table below presents short-term deferrals related to the COVID-19 pandemic that were not considered TDRs.

	June 30, 2021				December 31, 2020
(dollars in thousands)	COVID-19 Deferrals		Deferrals as a % of total loans		COVID-19 Deferrals		Deferrals as a % of total loans
Commercial, financial and agricultural	$	2,539	0.2	%	$	12,471	0.8	%
Consumer installment	29		—	%	1,418		0.5	%
Indirect automobile	1,126		0.3	%	8,936		1.5	%
Real estate – construction and development	873		0.1	%	11,049		0.7	%
Real estate – commercial and farmland	63,827		1.1	%	179,183		3.4	%
Real estate – residential	59,331		2.0	%	119,722		4.3	%
	$	127,725	0.9	%	$	332,779	2.3	%

Allowance for Credit Losses on Loans

The allowance for credit losses represents an allowance for expected losses over the remaining contractual life of the assets. The contractual term does not consider extensions, renewals or modifications unless the Company reasonably expects to execute a troubled debt restructuring with a borrower. The Company segregates the loan portfolio by type of loan and utilizes this segregation in evaluating exposure to risks within the portfolio.

Loan losses are charged against the allowance when management believes the collection of a loan’s principal is unlikely. Subsequent recoveries are credited to the allowance. Consumer loans are charged off in accordance with the Federal Financial Institutions Examination Council’s (“FFIEC”) Uniform Retail Credit Classification and Account Management Policy.

19

Commercial loans are charged off when they are deemed uncollectible, which usually involves a triggering event within the collection effort. If the loan is collateral dependent, the loss is more easily identified and is charged off when it is identified, usually based upon receipt of an appraisal. However, when a loan has guarantor support, the Company may carry the estimated loss as a reserve against the loan while collection efforts with the guarantor are pursued. If, after collection efforts with the guarantor are complete, the deficiency is still considered uncollectible, the loss is charged off and any further collections are treated as recoveries. In all situations, when a loan is downgraded to an Asset Quality Rating of 9 (Loss per the regulatory guidance), the uncollectible portion is charged off.

The Company’s methodologies for estimating the allowance for credit losses consider available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable forecasts. The methodologies apply historical loss information, adjusted for asset-specific characteristics, economic conditions at the measurement date, and forecasts about future economic conditions expected to exist through the contractual lives of the financial assets that are reasonable and supportable, to the identified pools of loans with similar risk characteristics for which the historical loss experience was observed. The Company utilizes a one year reasonable and supportable forecast period. The Company’s methodologies revert back to historical loss information on a straight-line basis over four quarters when it can no longer develop reasonable and supportable forecasts.

During the six months ended June 30, 2021, the allowance for credit losses decreased primarily due to improvement in forecasted macroeconomic factors. The allowance for credit losses was determined at June 30, 2021 using a weighting of three economic forecasts from Moody's. The Moody's baseline economic forecast, which Moody's defines as having a 50% probability the economy will perform better than the baseline projection and the same probability it will perform worse was weighted at 50%, the stagflation scenario was weighted at 35% and the downside 75th percentile S-2 scenario was weighted at 15%. The current forecast reflects, among other things, improvements in forecast levels of unemployment, home prices and commercial real estate prices compared with the forecast at December 31, 2020.

20

The following tables detail activity and end of period balances in the allowance for credit losses by portfolio segment for the periods indicated. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

Three Months Ended June 30, 2021
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, March 31, 2021	$	8,291	$	8,790	$	1,272	$	3,521	$	790	$	4,100
Provision for loan losses	1,502		491		(423)		(156)		(13)		(833)
Loans charged off	(3,529)		(1,669)		(141)		—		—		(1,194)
Recoveries of loans previously charged off	625		212		372		—		—		2,466
Balance, June 30, 2021	$	6,889	$	7,824	$	1,080	$	3,365	$	777	$	4,539
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, March 31, 2021	$	22,858	$	91,211	$	37,737	$	178,570
Provision for loan losses	(3,757)		(3,031)		5,321		(899)
Loans charged off	(186)		(27)		(392)		(7,138)
Recoveries of loans previously charged off	84		185		593		4,537
Balance, June 30, 2021	$	18,999	$	88,338	$	43,259	$	175,070
Six Months Ended June 30, 2021
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, December 31, 2020	$	7,359	$	4,076	$	1,929	$	3,666	$	791	$	3,879
Provision for loan losses	4,077		6,297		(951)		(301)		(14)		(391)
Loans charged off	(5,899)		(3,117)		(970)		—		—		(2,537)
Recoveries of loans previously charged off	1,352		568		1,072		—		—		3,588
Balance, June 30, 2021	$	6,889	$	7,824	$	1,080	$	3,365	$	777	$	4,539
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, December 31, 2020	$	45,304	$	88,894	$	43,524	$	199,422
Provision for loan losses	(26,344)		640		(491)		(17,478)
Loans charged off	(212)		(1,422)		(555)		(14,712)
Recoveries of loans previously charged off	251		226		781		7,838
Balance, June 30, 2021	$	18,999	$	88,338	$	43,259	$	175,070

21

Three Months Ended June 30, 2020
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, March 31, 2020	$	8,110	$	15,446	$	3,464	$	1,102	$	522	$	11,508
Provision for loan losses	11		5,165		574		396		(15)		(2,083)
Loans charged off	(486)		(962)		(1,016)		—		—		(1,903)
Recoveries of loans previously charged off	303		436		359		—		—		676
Balance, June 30, 2020	$	7,938	$	20,085	$	3,381	$	1,498	$	507	$	8,198
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, March 31, 2020	$	25,319	$	51,754	$	32,299	$	149,524
Provision for loan losses	28,853		38,133		(2,585)		68,449
Loans charged off	(74)		(6,315)		(525)		(11,281)
Recoveries of loans previously charged off	168		21		138		2,101
Balance, June 30, 2020	$	54,266	$	83,593	$	29,327	$	208,793
Six Months Ended June 30, 2020
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, December 31, 2019	$	4,567	$	3,784	$	—	$	640	$	484	$	2,550
Adjustment to allowance for adoption of ASC 326	2,587		8,012		4,109		463		(92)		4,471
Provision for loan losses	3,091		9,636		816		395		115		2,551
Loans charged off	(2,972)		(2,104)		(2,247)		—		—		(2,734)
Recoveries of loans previously charged off	665		757		703		—		—		1,360
Balance, June 30, 2020	$	7,938	$	20,085	$	3,381	$	1,498	$	507	$	8,198
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, December 31, 2019	$	5,995	$	9,666	$	10,503	$	38,189
Adjustment to allowance for adoption of ASC 326	12,248		27,073		19,790		78,661
Provision for loan losses	35,587		53,991		(686)		105,496
Loans charged off	(74)		(7,243)		(625)		(17,999)
Recoveries of loans previously charged off	510		106		345		4,446
Balance, June 30, 2020	$	54,266	$	83,593	$	29,327	$	208,793

NOTE 4 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

The Company classifies the sales of securities under agreements to repurchase as short-term borrowings. The amounts received under these agreements are reflected as a liability in the Company’s consolidated balance sheets and the securities underlying these agreements are included in investment securities in the Company’s consolidated balance sheets. At June 30, 2021 and December 31, 2020, all securities sold under agreements to repurchase mature on a daily basis. The market value of the securities fluctuate on a daily basis due to market conditions. The Company monitors the market value of the securities underlying these agreements on a daily basis and is required to transfer additional securities if the market value of the securities fall below the repurchase agreement price. The Company maintains an unpledged securities portfolio that it believes is sufficient to protect against a decline in the market value of the securities sold under agreements to repurchase.

22

The following is a summary of the Company’s securities sold under agreements to repurchase at June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Securities sold under agreements to repurchase	$	5,544	$	11,641

At June 30, 2021 and December 31, 2020 the investment securities underlying these agreements were comprised of state, county and municipal securities and mortgage-backed securities.

NOTE 5 – OTHER BORROWINGS

Other borrowings consist of the following:

(dollars in thousands)	June 30, 2021		December 31, 2020
FHLB borrowings:
Fixed Rate Advance due March 3, 2025; fixed interest rate of 1.208%	$	15,000	$	15,000
Fixed Rate Advance due March 2, 2027; fixed interest rate of 1.445%	15,000		15,000
Fixed Rate Advance due March 4, 2030; fixed interest rate of 1.606%	15,000		15,000
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%	1,406		1,411
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%	973		977
Principal Reducing Advance due September 29, 2031; fixed interest rate of 3.095%	1,493		1,567
Subordinated notes payable:
Subordinated notes payable due March 15, 2027 net of unamortized debt issuance cost of $747 and $812, respectively; fixed interest rate of 5.75% through March 14, 2022; variable interest rate thereafter at three-month LIBOR plus 3.616%	74,253		74,188
Subordinated notes payable due December 15, 2029 net of unamortized debt issuance cost of $2,044 and $2,165, respectively; fixed interest rate of 4.25% through December 14, 2024; variable interest rate thereafter at three-month SOFR plus 2.94%	117,956		117,835
Subordinated notes payable due May 31, 2030 net of unaccreted purchase accounting fair value adjustment of $1,089 and $1,150, respectively; fixed interest rate of 5.875% through May 31, 2025; variable interest rate thereafter at three-month LIBOR plus 3.63%	76,089		76,150
Subordinated notes payable due October 1, 2030 net of unamortized debt issuance cost of $1,867 and $1,973, respectively; fixed interest rate of 3.875% through September 30, 2025; variable interest rate thereafter at three-month SOFR plus 3.753%	108,133		108,027
	$	425,303	$	425,155

The advances from the FHLB are collateralized by a blanket lien on all eligible first mortgage loans and other specific loans in addition to FHLB stock. At June 30, 2021, $3.35 billion was available for borrowing on lines with the FHLB.

As of June 30, 2021, the Bank maintained credit arrangements with various financial institutions to purchase federal funds up to $127.0 million.

The Bank also participates in the Federal Reserve discount window borrowings program. At June 30, 2021, the Bank had $3.24 billion of loans pledged at the Federal Reserve discount window and had $2.25 billion available for borrowing.

NOTE 6 – ACCUMULATED OTHER COMPREHENSIVE INCOME

Accumulated other comprehensive income for the Company consists of changes in net unrealized gains and losses on investment securities available-for-sale and interest rate swap derivatives. The reclassification for gains included in net income is recorded in net gain (loss) on securities in the consolidated statement of income and comprehensive income.

23

The following table presents a summary of the accumulated other comprehensive income balances as well as changes in each of the respective components, net of tax, for the periods indicated:

(dollars in thousands)	Unrealized Gain (Loss) on Derivatives		Unrealized Gain (Loss) on Securities		Accumulated Other Comprehensive Income
Three Months Ended June 30, 2021
Balance, March 31, 2021	$	—	$	26,090	$	26,090
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	—		(1,066)		(1,066)
Balance, June 30, 2021	$	—	$	25,024	$	25,024
Three Months Ended June 30, 2020
Balance, March 31, 2020	$	(244)	$	39,795	$	39,551
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	111		(49)		62
Balance, June 30, 2020	$	(133)	$	39,746	$	39,613
Six Months Ended June 30, 2021
Balance, December 31, 2020	$	—	$	33,505	$	33,505
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	—		(8,481)		(8,481)
Balance, June 30, 2021	$	—	$	25,024	$	25,024
Six Months Ended June 30, 2020
Balance, December 31, 2019	$	(147)	$	18,142	$	17,995
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	14		21,604		21,618
Balance, June 30, 2020	$	(133)	$	39,746	$	39,613

NOTE 7 – WEIGHTED AVERAGE SHARES OUTSTANDING

Earnings per share have been computed based on the following weighted average number of common shares outstanding:

	Three Months Ended June 30,		Six Months Ended June 30,
(share data in thousands)	2021	2020	2021	2020
Average common shares outstanding	69,497	69,192	69,448	69,235
Common share equivalents:
Stock options	64	9	74	33
Nonvested restricted share grants	151	75	153	130
Performance stock units	80	17	90	15
Average common shares outstanding, assuming dilution	69,792	69,293	69,765	69,413

For the three and six-month periods ended June 30, 2021, there were no outstanding options exerciseable for common shares with strike prices that would cause the underlying shares to be anti-dilutive. For the three and six-month periods ended June 30, 2020, there were outstanding 252,765 and 56,000 options exerciseable for common shares, respectively, with strike prices that would cause the underlying shares to be anti-dilutive.

NOTE 8 – FAIR VALUE MEASURES

The fair value of an asset or liability is the current amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various assets and liabilities. In cases where quoted market prices are not available, fair

24

value is based on discounted cash flows or other valuation techniques. These techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the asset or liability. The accounting standard for disclosures about the fair value measures excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company.

The Company's loans held for sale under the fair value option are comprised of the following:

(dollars in thousands)	June 30, 2021		December 31, 2020
Mortgage loans held for sale	$	1,200,139	$	998,050
SBA loans held for sale	10,450		3,757
Total loans held for sale	$	1,210,589	$	1,001,807

The Company has elected to record mortgage loans held for sale at fair value in order to eliminate the complexities and inherent difficulties of achieving hedge accounting and to better align reported results with the underlying economic changes in value of the loans and related hedge instruments. This election impacts the timing and recognition of origination fees and costs, as well as servicing value, which are now recognized in earnings at the time of origination. Interest income on mortgage loans held for sale is recorded on an accrual basis in the consolidated statements of income and comprehensive income under the heading interest income – interest and fees on loans. The servicing value is included in the fair value of the interest rate lock commitments (“IRLCs”) with borrowers. The mark to market adjustments related to mortgage loans held for sale and the associated economic hedges are captured in mortgage banking activities.

A net gain of $10.0 million and a net loss of $15.1 million resulting from fair value changes of these mortgage loans were recorded in income during the three and six months ended June 30, 2021, respectively. For the three and six months ended June 30, 2020, net gains of $26.1 million and $41.1 million, respectively, resulting from fair value changes of these mortgage loans were recorded in income. Net losses of $45.1 million and $17.6 million resulting from changes in the fair value of the related derivative financial instruments used to hedge exposure to the market-related risks associated with these mortgage loans were recorded in income during the three and six months ended June 30, 2021, respectively. For the three and six months ended June 30, 2020, net gains of $36.4 million and $33.8 million, respectively, resulting from changes in the fair value of the related derivative financial instruments were recorded in income. The change in fair value of both mortgage loans held for sale and the related derivative financial instruments are recorded in mortgage banking activity in the consolidated statements of income and comprehensive income. The Company’s valuation of mortgage loans held for sale incorporates an assumption for credit risk; however, given the short-term period that the Company holds these loans, valuation adjustments attributable to instrument-specific credit risk is nominal.

The following table summarizes the difference between the fair value and the principal balance for mortgage loans held for sale measured at fair value as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Aggregate fair value of mortgage loans held for sale	$	1,200,139	$	998,050
Aggregate unpaid principal balance of mortgage loans held for sale	1,164,671		947,460
Past-due loans of 90 days or more	361		—
Nonaccrual loans	361		—
Unpaid principal balance of nonaccrual loans	352		—

The following table summarizes the difference between the fair value and the principal balance for SBA loans held for sale measured at fair value as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Aggregate fair value of SBA loans held for sale	$	10,450	$	3,757
Aggregate unpaid principal balance of SBA loans held for sale	9,423		3,393
Past-due loans of 90 days or more	—		—
Nonaccrual loans	—		—

The Company utilizes fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Securities available-for-sale, loans held for sale and derivative financial instruments are recorded at fair

25

value on a recurring basis. From time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as collateral-dependent loans, loan servicing rights and OREO. Additionally, the Company is required to disclose, but not record, the fair value of other financial instruments.

The following table presents the fair value measurements of assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall as of June 30, 2021 and December 31, 2020:

	Recurring Basis Fair Value Measurements
	June 30, 2021
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
Financial assets:
Investment securities available-for-sale:
U.S. government sponsored agencies	$	12,327	$	—	$	12,327	$	—
State, county and municipal securities	60,836		—		60,836		—
Corporate debt securities	43,612		—		42,442		1,170
SBA pool securities	54,281		—		54,281		—
Mortgage-backed securities	607,111		—		607,111		—
Loans held for sale	1,210,589		—		1,210,589		—
Mortgage banking derivative instruments	20,314		—		20,314		—
Total recurring assets at fair value	$	2,009,070	$	—	$	2,007,900	$	1,170
Financial liabilities:
Mortgage banking derivative instruments	$	2,546	$	—	$	2,546	$	—
Total recurring liabilities at fair value	$	2,546	$	—	$	2,546	$	—

	Recurring Basis Fair Value Measurements
	December 31, 2020
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
Financial assets:
Investment securities available-for-sale:
U.S. government sponsored agencies	$	17,504	$	—	$	17,504	$	—
State, county and municipal securities	66,778		—		66,778		—
Corporate debt securities	51,896		—		50,726		1,170
SBA pool securities	62,497		—		62,497		—
Mortgage-backed securities	784,204		—		784,204		—
Loans held for sale	1,001,807		—		1,001,807		—
Mortgage banking derivative instruments	51,756		—		51,756		—
Total recurring assets at fair value	$	2,036,442	$	—	$	2,035,272	$	1,170
Financial liabilities:
Mortgage banking derivative instruments	$	16,415	$	—	$	16,415	$	—
Total recurring liabilities at fair value	$	16,415	$	—	$	16,415	$	—

26

The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy as of June 30, 2021 and December 31, 2020:

	Nonrecurring Basis Fair Value Measurements
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
June 30, 2021
Collateral-dependent loans	$	78,530	$	—	$	—	$	78,530
Other real estate owned	1,979		—		—		1,979
Mortgage servicing rights	191,675		—		—		191,675
Total nonrecurring assets at fair value	$	272,184	$	—	$	—	$	272,184
December 31, 2020
Collateral-dependent loans	$	98,426	$	—	$	—	$	98,426
Other real estate owned	4,964		—		—		4,964
Mortgage servicing rights	130,630		—		—		130,630
SBA servicing rights	5,839		—		5,839		—
Total nonrecurring assets at fair value	$	239,859	$	—	$	5,839	$	234,020

The inputs used to determine estimated fair value of collateral-dependent loans include market conditions, loan term, underlying collateral characteristics and discount rates. The inputs used to determine fair value of OREO include market conditions, estimated marketing period or holding period, underlying collateral characteristics and discount rates.

For the six months ended June 30, 2021 and the year ended December 31, 2020, there was not a change in the methods and significant assumptions used to estimate fair value.

The following table shows significant unobservable inputs used in the fair value measurement of Level 3 assets:

(dollars in thousands)	Fair Value		Valuation Technique	Unobservable Inputs	Range of Discounts	Weighted Average Discount
June 30, 2021
Recurring:
Investment securities available-for-sale	$	1,170	Discounted par values	Probability of default	13.6%	13.6%
				Loss given default	39%	39%
Nonrecurring:
Collateral-dependent loans	$	78,530	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	20% - 57%	44%
Other real estate owned	$	1,979	Third-party appraisals and sales contracts	Collateral discounts and estimated costs to sell	15% - 38%	23%
Mortgage servicing rights	$	191,675	Discounted cash flows	Discount rate	9% - 10%	9%
				Prepayment speed	13% - 42%	15%

27

December 31, 2020
Recurring:
Investment securities available-for-sale	$	1,170	Discounted par values	Probability of default	18.8%	18.8%
				Loss given default	40%	40%
Nonrecurring:
Collateral-dependent loans	$	98,426	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	20% - 90%	44%
Other real estate owned	$	4,964	Third-party appraisals and sales contracts	Collateral discounts and estimated costs to sell	15% - 59%	28%
Mortgage servicing rights	$	130,630	Discounted cash flows	Discount rate	9% - 12%	10%
				Prepayment speed	14% - 37%	19%

The carrying amount and estimated fair value of the Company’s financial instruments, not shown elsewhere in these financial statements, were as follows:

			Fair Value Measurements
			June 30, 2021
(dollars in thousands)	Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and due from banks	$	259,729	$	259,729	$	—	$	—	$	259,729
Federal funds sold and interest-bearing accounts	3,044,795		3,044,795		—		—		3,044,795
Time deposits in other banks	—		—		—		—		—
Investment securities held-to-maturity	29,055		—		29,008		—		29,008
Loans, net	14,527,191		—		—		14,407,763		14,407,763
Accrued interest receivable	64,906		—		2,919		61,987		64,906
Financial liabilities:
Deposits	18,257,997		—		18,262,653		—		18,262,653
Securities sold under agreements to repurchase	5,544		5,544		—		—		5,544
Other borrowings	425,303		—		430,674		—		430,674
Subordinated deferrable interest debentures	125,331		—		117,735		—		117,735
Accrued interest payable	4,375		—		4,375		—		4,375

			Fair Value Measurements
			December 31, 2020
(dollars in thousands)	Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and due from banks	$	203,349	$	203,349	$	—	$	—	$	203,349
Federal funds sold and interest-bearing accounts	1,913,957		1,913,957		—		—		1,913,957
Time deposits in other banks	249		—		249		—		249
Investment securities held-to-maturity	—		—		—		—		—
Loans, net	14,183,077		—		—		14,096,711		14,096,711
Accrued interest receivable	76,254		—		3,567		72,687		76,254
Financial liabilities:
Deposits	16,957,823		—		16,968,606		—		16,968,606
Securities sold under agreements to repurchase	11,641		11,641		—		—		11,641
Other borrowings	425,155		—		431,783		—		431,783
Subordinated deferrable interest debentures	124,345		—		116,280		—		116,280
Accrued interest payable	5,487		—		5,487		—		5,487

28

NOTE 9 – COMMITMENTS AND CONTINGENCIES

Loan Commitments

The Company is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. They involve, to varying degrees, elements of credit risk and interest rate risk in excess of the amount recognized in the Company’s balance sheets.

The Company’s exposure to credit loss is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. A summary of the Company’s commitments is as follows:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commitments to extend credit	$	3,550,269	$	2,826,719
Unused home equity lines of credit	262,576		259,015
Financial standby letters of credit	32,291		33,613
Mortgage interest rate lock commitments	674,525		1,199,939

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. These commitments, predominantly at variable interest rates, generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the customer.

Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Collateral is required in instances which the Company deems necessary. The Company has not been required to perform on any material financial standby letters of credit and the Company has not incurred any losses on financial standby letters of credit for the six months ended June 30, 2021 and the year ended December 31, 2020.

The Company maintains an allowance for credit losses on unfunded commitments which is recorded in other liabilities on the consolidated balance sheets. The following table presents activity in the allowance for unfunded commitments for the periods presented:

	Three Months Ended June 30,				Six Months Ended June 30,
(dollars in thousands)	2021		2020		2021		2020
Balance at beginning of period	$	21,015	$	17,791	$	32,854	$	1,077
Adjustment to reflect adoption of ASC 326	—		—		—		12,714
Addition due to acquisition	—		—		—		—
Provision for unfunded commitments	1,299		19,712		(10,540)		23,712
Balance at end of period	$	22,314	$	37,503	$	22,314	$	37,503

Other Commitments

As of June 30, 2021, letters of credit issued by the FHLB totaling $490.0 million were used to guarantee the Bank’s performance related to a portion of its public fund deposit balances.

Litigation and Regulatory Contingencies

From time to time, the Company and the Bank are subject to various legal proceedings, claims and disputes that arise in the ordinary course of business. The Company and the Bank are also subject to regulatory examinations, information gathering requests, inquiries and investigations in the ordinary course of business. Based on the Company’s current knowledge and advice of counsel, management presently does not believe that the liabilities arising from these legal matters will have a material adverse effect on the Company’s consolidated financial condition, results of operations or cash flows. However, it is possible

29

that the ultimate resolution of these legal matters could have a material adverse effect on the Company’s results of operations and financial condition for any particular period.

The Company’s management and its legal counsel periodically assess contingent liabilities, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur, and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company evaluates the perceived merits of any legal proceedings or unasserted claims, as well as the perceived merits of the amount of relief sought or expected to be sought therein. If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potentially material loss contingency is not probable, but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material, would be disclosed. Loss contingencies considered remote are generally not disclosed unless they involve guarantees, in which case the nature of the guarantee would be disclosed.

COVID-19

The COVID-19 pandemic has caused significant economic dislocation in the United States and an unprecedented slowdown in economic activity, as many state and local governments have intermittently ordered non-essential businesses to close and residents to shelter in place at home. As a result of the pandemic, commercial customers are experiencing varying levels of disruptions or restrictions on their business activity, and consumers are experiencing interrupted income or unemployment. We have outstanding loans to borrowers in certain industries that have been particularly susceptible to the effects of the pandemic, such as hotels, restaurants and other retail businesses. Given the ongoing and dynamic nature of the circumstances, it is difficult to predict the full impact of the COVID-19 pandemic on our business. The United States government has taken steps to attempt to mitigate some of the more severe anticipated economic effects of the coronavirus, including the passage of the CARES Act and subsequent legislation, but there can be no assurance that such steps will be effective or achieve their desired results in a timely fashion. The extent of such impact from the COVID-19 pandemic and related mitigation efforts will depend on future developments, which are highly uncertain, including, but not limited to, the duration of the pandemic and spread of the coronavirus, including a resurgence or additional waves or variants of the virus, the actions to contain the virus or treat its impact, including public acceptance of vaccines, and how quickly and to what extent normal economic and operating conditions can resume. This could cause a material, adverse effect on the Company’s business, financial condition and results of operations, including increases in loan delinquencies, problem assets and foreclosures; decreases in the value of collateral securing our loans; increases in our allowance for credit losses; and decreases in the value of our intangible assets.

NOTE 10 – SEGMENT REPORTING

The Company has the following five reportable segments: Banking Division, Retail Mortgage Division, Warehouse Lending Division, SBA Division and Premium Finance Division. The Banking Division derives its revenues from the delivery of full-service financial services, including commercial loans, consumer loans and deposit accounts. The Retail Mortgage Division derives its revenues from the origination, sales and servicing of one-to-four family residential mortgage loans. The Warehouse Lending Division derives its revenues from the origination and servicing of warehouse lines to other businesses that are secured by underlying one-to-four family residential mortgage loans. The SBA Division derives its revenues from the origination, sales and servicing of SBA loans. The Premium Finance Division derives its revenues from the origination and servicing of commercial insurance premium finance loans.

The Banking, Retail Mortgage, Warehouse Lending, SBA and Premium Finance Divisions are managed as separate business units because of the different products and services they provide. The Company evaluates performance and allocates resources based on profit or loss from operations. There are no material intersegment sales or transfers.

30

The following tables present selected financial information with respect to the Company’s reportable business segments for the three and six months ended June 30, 2021 and 2020:

	Three Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	109,260	$	34,085	$	8,988	$	14,050	$	7,368	$	173,751
Interest expense	(1,410)		11,552		268		1,168		321		11,899
Net interest income	110,670		22,533		8,720		12,882		7,047		161,852
Provision for credit losses	(3,949)		5,647		(155)		(607)		(794)		142
Noninterest income	16,171		69,055		1,333		2,677		4		89,240
Noninterest expense
Salaries and employee benefits	37,814		44,798		278		937		1,678		85,505
Occupancy and equipment	9,050		1,553		1		132		76		10,812
Data processing and communications expenses	10,280		1,435		68		—		94		11,877
Other expenses	18,763		7,638		30		284		852		27,567
Total noninterest expense	75,907		55,424		377		1,353		2,700		135,761
Income before income tax expense	54,883		30,517		9,831		14,813		5,145		115,189
Income tax expense	14,196		6,408		2,064		3,111		1,083		26,862
Net income	$	40,687	$	24,109	$	7,767	$	11,702	$	4,062	$	88,327
Total assets	$	15,561,628	$	3,917,275	$	779,234	$	748,234	$	880,560	$	21,886,931
Goodwill	863,507		—		—		—		64,498		928,005
Other intangible assets, net	50,418		—		—		—		13,365		63,783

	Three Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	128,653	$	34,714	$	5,285	$	8,757	$	7,609	$	185,018
Interest expense	8,323		10,412		259		1,723		487		21,204
Net interest income	120,330		24,302		5,026		7,034		7,122		163,814
Provision for credit losses	86,805		423		403		2,322		(1,792)		88,161
Noninterest income	14,468		104,195		727		1,570		—		120,960
Noninterest expense
Salaries and employee benefits	40,423		50,003		209		2,612		1,921		95,168
Occupancy and equipment	11,679		1,953		1		97		77		13,807
Data processing and communications expenses	8,919		1,406		55		15		119		10,514
Other expenses	27,997		6,949		88		359		886		36,279
Total noninterest expense	89,018		60,311		353		3,083		3,003		155,768
Income (loss) before income tax expense	(41,025)		67,763		4,997		3,199		5,911		40,845
Income tax expense (benefit)	(8,582)		14,231		1,049		671		1,240		8,609
Net income (loss)	$	(32,443)	$	53,532	$	3,948	$	2,528	$	4,671	$	32,236
Total assets	$	13,121,679	$	3,905,683	$	753,668	$	1,310,077	$	781,522	$	19,872,629
Goodwill	863,507		—		—		—		64,498		928,005
Other intangible assets, net	64,007		—		—		—		16,347		80,354

31

	Six Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	221,639	$	64,284	$	19,315	$	32,084	$	14,379	$	351,701
Interest expense	(1,847)		22,767		689		2,567		696		24,872
Net interest income	223,486		41,517		18,626		29,517		13,683		326,829
Provision for credit losses	(27,853)		1,094		(300)		(1,154)		(236)		(28,449)
Noninterest income	32,909		166,695		2,313		5,288		8		207,213
Noninterest expense
Salaries and employee benefits	80,537		94,636		608		2,319		3,390		181,490
Occupancy and equipment	19,170		3,029		2		238		154		22,593
Data processing and communications expenses	20,481		2,981		117		1		181		23,761
Other expenses	38,473		15,827		63		579		1,773		56,715
Total noninterest expense	158,661		116,473		790		3,137		5,498		284,559
Income before income tax expense	125,587		90,645		20,449		32,822		8,429		277,932
Income tax expense	32,652		19,035		4,294		6,893		1,769		64,643
Net income	$	92,935	$	71,610	$	16,155	$	25,929	$	6,660	$	213,289

	Six Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	260,954	$	68,125	$	10,135	$	12,485	$	16,087	$	367,786
Interest expense	22,249		26,067		1,807		3,270		2,634		56,027
Net interest income	238,705		42,058		8,328		9,215		13,453		311,759
Provision for credit losses	122,802		2,420		394		1,419		2,173		129,208
Noninterest income	32,241		138,564		1,687		2,847		—		175,339
Noninterest expense
Salaries and employee benefits	82,044		81,100		419		4,088		3,463		171,114
Occupancy and equipment	22,026		3,457		2		194		156		25,835
Data processing and communications expenses	19,716		2,392		96		28		236		22,468
Other expenses	58,642		12,824		122		874		1,942		74,404
Total noninterest expense	182,428		99,773		639		5,184		5,797		293,821
Income (loss) before income tax expense	(34,284)		78,429		8,982		5,459		5,483		64,069
Income tax expense (benefit)	(8,307)		16,639		1,886		1,146		1,147		12,511
Net income (loss)	$	(25,977)	$	61,790	$	7,096	$	4,313	$	4,336	$	51,558

NOTE 11 – LOAN SERVICING RIGHTS

The Company sells certain residential mortgage loans and SBA loans to third parties. All such transfers are accounted for as sales and the continuing involvement in the loans sold is limited to certain servicing responsibilities. The Company has also acquired portfolios of residential mortgage, SBA and indirect automobile loans serviced for others. Loan servicing rights are initially recorded at fair value and subsequently recorded at the lower of cost or fair value and are amortized over the remaining service life of the loans, with consideration given to prepayment assumptions. Loan servicing rights are recorded in other assets on the consolidated balance sheets.

The carrying value of the loan servicing rights assets is shown in the table below:

(dollars in thousands)	June 30, 2021		December 31, 2020
Loan Servicing Rights
Residential mortgage	$	191,675	$	130,630
SBA	6,123		5,839
Indirect automobile	—		73
Total loan servicing rights	$	197,798	$	136,542

32

Residential Mortgage Loans

The Company sells certain first-lien residential mortgage loans to third party investors, primarily Federal National Mortgage Association (“FNMA”), Government National Mortgage Association (“GNMA”), and Federal Home Loan Mortgage Corporation (“FHLMC”). The Company retains the related mortgage servicing rights (“MSRs”) and receives servicing fees on certain of these loans. The net gain on loan sales, MSRs amortization and recoveries/impairment, and ongoing servicing fees on the portfolio of loans serviced for others are recorded in the consolidated statements of income and comprehensive income as part of mortgage banking activity.

During the three- and six-months ended June 30, 2021, the Company recorded servicing fee income of $11.3 million and $21.5 million, respectively. During the three- and six-months ended June 30, 2020, the Company recorded servicing fee income of $6.9 million and $13.1 million, respectively. Servicing fee income includes servicing fees, late fees and ancillary fees earned for each period.

The table below is an analysis of the activity in the Company’s MSRs and valuation allowance:

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Residential mortgage servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	154,746	$	85,922	$	130,630	$	94,902
Additions	43,377		19,298		65,244		35,359
Amortization	(7,197)		(5,687)		(14,681)		(9,853)
Recoveries/(impairment)	749		(8,152)		10,482		(29,027)
Ending carrying value, net	$	191,675	$	91,381	$	191,675	$	91,381

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Residential mortgage servicing valuation allowance	2021		2020		2021		2020
Beginning balance	$	29,674	$	20,979	$	39,407	$	104
Additions	—		8,152		—		29,027
Recoveries	(749)		—		(10,482)		—
Ending balance	$	28,925	$	29,131	$	28,925	$	29,131

The key metrics and the sensitivity of the fair value to adverse changes in model inputs and/or assumptions are summarized below:

(dollars in thousands)	June 30, 2021			December 31, 2020
Residential mortgage servicing rights
Unpaid principal balance of loans serviced for others	$	15,486,442		$	13,764,529
Composition of residential loans serviced for others:
FHLMC	21.35		%	21.55		%
FNMA	61.30		%	61.75		%
GNMA	17.35		%	16.70		%
Total	100.00		%	100.00		%
Weighted average term (months)	340			340
Weighted average age (months)	19			20
Modeled prepayment speed	14.67		%	18.82		%
Decline in fair value due to a 10% adverse change	(8,237)			(7,154)
Decline in fair value due to a 20% adverse change	(15,818)			(13,664)
Weighted average discount rate	8.76		%	9.50		%
Decline in fair value due to a 10% adverse change	(6,866)			(4,304)
Decline in fair value due to a 20% adverse change	(13,193)			(8,321)

33

The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in model inputs and/or assumptions generally cannot be extrapolated because the relationship of the change in input or assumption to the change in fair value may not be linear. In addition, the effect of an adverse variation in a particular input or assumption on the value of the residential mortgage servicing rights is calculated without changing any other input or assumption. In reality, changes in one factor may magnify or counteract the effect of the change.

SBA Loans

All sales of SBA loans, consisting of the guaranteed portion, are executed on a servicing retained basis. These loans, which are partially guaranteed by the SBA, are generally secured by business property such as real estate, inventory, equipment and accounts receivable. The net gain on SBA loan sales, amortization and impairment/recoveries of servicing rights, and ongoing servicing fees are recorded in the consolidated statements of income and comprehensive income as part of other noninterest income.

During the three- and six-months ended June 30, 2021, the Company recorded servicing fee income of $980,000 and $2.0 million, respectively. During the three- and six-months ended June 30, 2020, the Company recorded servicing fee income of $1.0 million and $2.1 million, respectively. Servicing fee income includes servicing fees, late fees and ancillary fees earned for each period.

The table below is an analysis of the activity in the Company’s SBA loan servicing rights and valuation allowance:

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
SBA servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	6,445	$	5,394	$	5,839	$	7,886
Additions	241		100		471		475
Purchase accounting adjustment	—		—		—		(1,214)
Amortization	(563)		(416)		(1,092)		(779)
Recoveries/(impairment)	—		163		905		(1,127)
Ending carrying value, net	$	6,123	$	5,241	$	6,123	$	5,241

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
SBA servicing valuation allowance	2021		2020		2021		2020
Beginning balance	$	—	$	1,431	$	905	$	141
Additions	—		—		—		1,127
Recoveries	—		(163)		(905)		—
Ending balance	$	—	$	1,268	$	—	$	1,268

(dollars in thousands)	June 30, 2021			December 31, 2020
SBA servicing rights
Unpaid principal balance of loans serviced for others	$	431,185		$	351,325
Weighted average life (in years)	3.59			3.46
Modeled prepayment speed	18.37		%	19.14		%
Decline in fair value due to a 10% adverse change	(393)			(335)
Decline in fair value due to a 20% adverse change	(747)			(636)
Weighted average discount rate	7.77		%	9.55		%
Decline in fair value due to a 100 basis point adverse change	(187)			(151)
Decline in fair value due to a 200 basis point adverse change	(365)			(295)

The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in model inputs and/or assumptions generally cannot be extrapolated because the relationship of the change in input or assumption to the change in fair value may not be linear. In addition, the

34

effect of an adverse variation in a particular input or assumption on the value of the SBA servicing rights is calculated without changing any other input or assumption. In reality, changes in one factor may magnify or counteract the effect of the change.

Indirect Automobile Loans

The Company previously acquired a portfolio of indirect automobile loans serviced for others. These loans, or portions of loans, were sold on a servicing retained basis. Amortization and impairment/recoveries of servicing rights, and ongoing servicing fees are recorded in the consolidated statements of income and comprehensive income as part of other noninterest income. The Company is not actively originating or selling indirect automobile loans.

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Indirect automobile servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	29	$	204	$	73	$	247
Amortization	(29)		(42)		(73)		(85)
Ending carrying value, net	$	—	$	162	$	—	$	162

During the three- and six-months ended June 30, 2021, the Company recorded servicing fee income of $170,000 and $376,000, respectively. During the three- and six-months ended June 30, 2020, the Company recorded servicing fee income of $518,000 and $1.2 million, respectively. Servicing fee income includes servicing fees, late fees and ancillary fees earned for each period.

35

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Cautionary Note Regarding Forward-Looking Statements

Certain of the statements made in this report are “forward-looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates, intentions and future performance and involve known and unknown risks, uncertainties and other factors, many of which may be beyond our control and which may cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements.

All statements other than statements of historical fact are statements that could be forward-looking statements. You can identify these forward-looking statements through our use of words such as “may,” “will,” “anticipate,” “assume,” “should,” “indicate,” “would,” “believe,” “contemplate,” “expect,” “estimate,” “continue,” “plan,” “point to,” “project,” “predict,” “could,” “intend,” “target,” “potential” and other similar words and expressions of the future. These forward-looking statements may not be realized due to a variety of factors, including, without limitation, the following: general competitive, economic, unemployment, political and market conditions and fluctuations, including real estate market conditions, and the effects of such conditions and fluctuations on the creditworthiness of borrowers, collateral values, asset recovery values and the value of investment securities; movements in interest rates and their impacts on net interest margin; expectations on credit quality and performance; competitive pressures on product pricing and services; legislative and regulatory changes; changes in U.S. government monetary and fiscal policy; the impact of the COVID-19 pandemic on the general economy, our customers and the allowance for loan losses; the benefits that may be realized by our customers from government assistance programs and regulatory actions related to the COVID-19 pandemic; the potential impact of the phase-out of the London Interbank Offered Rate ("LIBOR") or other changes involving LIBOR; additional competition in our markets; changes in state and federal banking laws and regulations to which we are subject; financial market conditions and the results of financing efforts; changes in commodity prices and interest rates; the cost savings and any revenue synergies expected to result from acquisition transactions, which may not be fully realized within the expected timeframes if at all; the success and timing of other business strategies; our outlook and long-term goals for future growth; weather events, natural disasters, geopolitical events, acts of war or terrorism or other hostilities, public health crises and other catastrophic events beyond our control; and other factors discussed in our filings with the Securities and Exchange Commission (the “SEC”) under the Exchange Act.

All written or oral forward-looking statements that are made by or are attributable to us are expressly qualified in their entirety by this cautionary notice. Our forward-looking statements apply only as of the date of this report or the respective date of the document from which they are incorporated herein by reference. We have no obligation and do not undertake to update, revise or correct any of the forward-looking statements after the date of this report, or after the respective dates on which such statements otherwise are made, whether as a result of new information, future events or otherwise.

Overview

The following is management’s discussion and analysis of certain significant factors which have affected the financial condition and results of operations of the Company as reflected in the unaudited consolidated balance sheet as of June 30, 2021, as compared with December 31, 2020, and operating results for the three- and six-month periods ended June 30, 2021 and 2020. These comments should be read in conjunction with the Company’s unaudited consolidated financial statements and accompanying notes appearing elsewhere herein.

This discussion contains certain performance measures determined by methods other than in accordance with GAAP. Management of the Company uses these non-GAAP measures in its analysis of the Company’s performance. These measures are useful when evaluating the underlying performance and efficiency of the Company’s operations and balance sheet. The Company’s management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant gains and charges in the current period. The Company’s management believes that investors may use these non-GAAP financial measures to evaluate the Company’s financial performance without the impact of unusual items that may obscure trends in the Company’s underlying performance. These disclosures should not be viewed as a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Non-GAAP measures include adjusted net income and adjusted net income per diluted share. The Company calculates the regulatory capital ratios using current regulatory report instructions. The Company’s management uses these measures to assess the quality of capital and believes that investors may find them useful in their evaluation of the Company. These capital measures may or may not be necessarily comparable to similar capital measures that may be presented by other companies.

36

Critical Accounting Policies

There have been no significant changes to our critical accounting policies from those disclosed in our 2020 Annual Report on Form 10-K. The reader should refer to the notes to our consolidated financial statements in our 2020 Annual Report on Form 10-K for a full disclosure of all critical accounting policies.

Results of Operations for the Three Months Ended June 30, 2021 and 2020

Consolidated Earnings and Profitability

Ameris reported net income available to common shareholders of $88.3 million, or $1.27 per diluted share, for the quarter ended June 30, 2021, compared with $32.2 million, or $0.47 per diluted share, for the same period in 2020. The Company’s return on average assets and average shareholders’ equity were 1.64% and 12.66%, respectively, in the second quarter of 2021, compared with 0.67% and 5.23%, respectively, in the second quarter of 2020. During the second quarter of 2021, the Company recorded pre-tax servicing right recovery of $749,000 and pre-tax gains on the sale of premises of $236,000. During the second quarter of 2020, the Company incurred pre-tax merger and conversion charges of $895,000, pre-tax restructuring charges of $1.5 million, pre-tax servicing right impairment of $8.0 million, pre-tax gain on BOLI proceeds of $845,000, pre-tax expenses related to SEC and DOJ investigation of $1.3 million, pre-tax expenses related to the COVID-19 pandemic of $2.0 million and pre-tax losses on the sale of premises of $281,000. Excluding these adjustment items, the Company’s net income would have been $87.5 million, or $1.25 per diluted share, for the second quarter of 2021 and $42.4 million, or $0.61 per diluted share, for the second quarter of 2020.

Below is a reconciliation of adjusted net income to net income, as discussed above.

	Three Months Ended June 30,
(in thousands, except share and per share data)	2021		2020
Net income	$	88,327	$	32,236
Adjustment items:
Merger and conversion charges	—		895
Restructuring charge	—		1,463
Servicing right impairment (recovery)	(749)		7,989
Gain on BOLI proceeds	—		(845)
Expenses related to SEC and DOJ investigation	—		1,294
Natural disaster and pandemic expenses	—		2,043
(Gain) loss on the sale of premises	(236)		281
Tax effect of adjustment items (Note 1)	206		(2,933)
After tax adjustment items	(779)		10,187
Adjusted net income	$	87,548	$	42,423
Weighted average common shares outstanding - diluted	69,791,670		69,292,972
Net income per diluted share	$	1.27	$	0.47
Adjusted net income per diluted share	$	1.25	$	0.61
Note 1: Tax effect is calculated utilizing a 21% rate for taxable adjustments. Gain on BOLI proceeds is non-taxable and no tax effect is included.

37

Below is additional information regarding the retail banking activities, mortgage banking activities, warehouse lending activities, SBA activities and premium finance activities of the Company during the second quarter of 2021 and 2020, respectively:

	Three Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	109,260	$	34,085	$	8,988	$	14,050	$	7,368	$	173,751
Interest expense	(1,410)		11,552		268		1,168		321		11,899
Net interest income	110,670		22,533		8,720		12,882		7,047		161,852
Provision for credit losses	(3,949)		5,647		(155)		(607)		(794)		142
Noninterest income	16,171		69,055		1,333		2,677		4		89,240
Noninterest expense
Salaries and employee benefits	37,814		44,798		278		937		1,678		85,505
Occupancy and equipment	9,050		1,553		1		132		76		10,812
Data processing and communications expenses	10,280		1,435		68		—		94		11,877
Other expenses	18,763		7,638		30		284		852		27,567
Total noninterest expense	75,907		55,424		377		1,353		2,700		135,761
Income before income tax expense	54,883		30,517		9,831		14,813		5,145		115,189
Income tax expense	14,196		6,408		2,064		3,111		1,083		26,862
Net income	$	40,687	$	24,109	$	7,767	$	11,702	$	4,062	$	88,327

	Three Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium Finance Division		Total
Interest income	$	128,653	$	34,714	$	5,285	$	8,757	$	7,609	$	185,018
Interest expense	8,323		10,412		259		1,723		487		21,204
Net interest income	120,330		24,302		5,026		7,034		7,122		163,814
Provision for credit losses	86,805		423		403		2,322		(1,792)		88,161
Noninterest income	14,468		104,195		727		1,570		—		120,960
Noninterest expense
Salaries and employee benefits	40,423		50,003		209		2,612		1,921		95,168
Occupancy and equipment	11,679		1,953		1		97		77		13,807
Data processing and communications expenses	8,919		1,406		55		15		119		10,514
Other expenses	27,997		6,949		88		359		886		36,279
Total noninterest expense	89,018		60,311		353		3,083		3,003		155,768
Income (loss) before income tax expense	(41,025)		67,763		4,997		3,199		5,911		40,845
Income tax expense (benefit)	(8,582)		14,231		1,049		671		1,240		8,609
Net income (loss)	$	(32,443)	$	53,532	$	3,948	$	2,528	$	4,671	$	32,236

38

Net Interest Income and Margins

The following table sets forth the average balance, interest income or interest expense, and average interest rate for each category of interest-earning assets and interest-bearing liabilities, net interest spread, and net interest margin on average interest-earning assets for the three months ended June 30, 2021 and 2020. Federally tax-exempt income is presented on a taxable-equivalent basis assuming a 21% federal tax rate.

	Quarter Ended June 30,
	2021					2020
(dollars in thousands)	Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid	Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid
Assets
Interest-earning assets:
Federal funds sold, interest-bearing deposits in banks, and time deposits in other banks	$	2,481,336	$	607	0.10%	$	422,798	$	168	0.16%
Investment securities	857,079		5,420		2.54%	1,382,699		9,544		2.78%
Loans held for sale	1,705,167		11,773		2.77%	1,614,080		14,053		3.50%
Loans	14,549,104		157,112		4.33%	13,915,406		162,617		4.70%
Total interest-earning assets	19,592,686		174,912		3.58%	17,334,983		186,382		4.32%
Noninterest-earning assets	1,946,208					1,887,198
Total assets	$	21,538,894				$	19,222,181
Liabilities and Shareholders’ Equity
Interest-bearing liabilities:
Savings and interest-bearing demand deposits	$	9,063,721	$	2,846	0.13%	$	7,355,593	$	5,123	0.28%
Time deposits	2,006,265		2,929		0.59%	2,473,177		9,150		1.49%
Federal funds purchased and securities sold under agreements to repurchase	6,883		5		0.29%	12,452		25		0.81%
FHLB advances	48,910		193		1.58%	1,212,537		1,686		0.56%
Other borrowings	376,376		4,683		4.99%	269,300		3,487		5.21%
Subordinated deferrable interest debentures	125,068		1,243		3.99%	123,120		1,733		5.66%
Total interest-bearing liabilities	11,627,223		11,899		0.41%	11,446,179		21,204		0.75%
Demand deposits	6,874,471					5,061,578
Other liabilities	238,931					236,051
Shareholders’ equity	2,798,269					2,478,373
Total liabilities and shareholders’ equity	$	21,538,894				$	19,222,181
Interest rate spread					3.17%					3.57%
Net interest income			$	163,013				$	165,178
Net interest margin					3.34%					3.83%

On a tax-equivalent basis, net interest income for the second quarter of 2021 was $163.0 million, a decrease of $2.2 million, or 1.3%, compared with $165.2 million reported in the same quarter in 2020. The lower net interest income is a result of a shift in mix to lower yielding interest-bearing cash, partially offset by disciplined deposit repricing and a reduction in borrowing costs. Average interest earning assets increased $2.26 billion, or 13.0%, from $17.33 billion in the second quarter of 2020 to $19.59 billion for the second quarter of 2021. This growth in interest earning assets resulted primarily from organic growth in average loans and excess liquidity from deposit growth. The Company’s net interest margin during the second quarter of 2021 was 3.34%, down 49 basis points from 3.83% reported in the second quarter of 2020. Loan production in the lines of business (including retail mortgage, warehouse lending, SBA and premium finance) amounted to $6.4 billion during the second quarter of 2021, with weighted average yields of 3.36%, compared with $7.2 billion and 3.17%, respectively, during the second quarter of 2020. Loan production yields in the lines of business were negatively impacted three and 36 basis points during the second quarters of 2021 and 2020, respectively, by originations of PPP loans in our SBA division. Loan production in the banking division amounted to $911.3 million during the second quarter of 2021, with weighted average yields of 3.75%, compared with $472.1 million and 4.16%, respectively, during the second quarter of 2020.

Total interest income, on a tax-equivalent basis, decreased to $174.9 million during the second quarter of 2021, compared with $186.4 million in the same quarter of 2020.  Yields on earning assets decreased to 3.58% during the second quarter of 2021, compared with 4.32% reported in the second quarter of 2020. During the second quarter of 2021, loans comprised 83.0% of average earning assets, compared with 89.6% in the same quarter of 2020. Yields on loans decreased to 4.33% in the second

39

quarter of 2021, compared with 4.70% in the same period of 2020. Accretion income for the second quarter of 2021 was $4.5 million, compared with $9.6 million in the second quarter of 2020.

The yield on total interest-bearing liabilities decreased from 0.75% in the second quarter of 2020 to 0.41% in the second quarter of 2021. Total funding costs, inclusive of noninterest-bearing demand deposits, decreased to 0.26% in the second quarter of 2021, compared with 0.52% during the second quarter of 2020. Deposit costs decreased from 0.39% in the second quarter of 2020 to 0.13% in the second quarter of 2021. Non-deposit funding costs increased from 1.72% in the second quarter of 2020 to 4.41% in the second quarter of 2021. The increase in non-deposit funding costs was driven primarily by a shift in mix from short-term FHLB advances as excess liquidity reduced outstanding FHLB advances. Average balances of interest bearing deposits and their respective costs for the second quarter of 2021 and 2020 are shown below:

	Three Months Ended June 30, 2021			Three Months Ended June 30, 2020
(dollars in thousands)	Average Balance		Average Cost	Average Balance		Average Cost
NOW	$	3,314,334	0.10%	$	2,441,305	0.21%
MMDA	4,872,500		0.16%	4,221,906		0.36%
Savings	876,887		0.06%	692,382		0.05%
Retail CDs	2,005,265		0.58%	2,471,134		1.49%
Brokered CDs	1,000		3.21%	2,043		2.76%
Interest-bearing deposits	$	11,069,986	0.21%	$	9,828,770	0.58%

Provision for Credit Losses

The Company’s provision for credit losses during the second quarter of 2021 amounted to $142,000, compared with $88.2 million in the second quarter of 2020. This decrease was primarily attributable to an improved economic forecast in our CECL model, particularly levels of unemployment, home prices and gross domestic product. The provision for credit losses for the second quarter of 2021 was comprised of negative $899,000 related to loans, $1.3 million related to unfunded commitments and negative $258,000 related to other credit losses compared with $68.4 million related to loans and $19.7 million related to unfunded commitments for the second quarter of 2020. Non-performing assets as a percentage of total assets decreased from 0.48% at December 31, 2020 to 0.32% at June 30, 2021. The decrease in non-performing assets is primarily attributable to a decrease in nonaccruing loans as a result of collection activities and upgrades and continued success with OREO sales. Net charge-offs on loans during the second quarter of 2021 were approximately $2.6 million, or 0.07% of average loans on an annualized basis, compared with approximately $9.2 million, or 0.27%, in the second quarter of 2020. The Company’s total allowance for credit losses on loans at June 30, 2021 was $175.1 million, or 1.18% of total loans, compared with $199.4 million, or 1.38% of total loans, at December 31, 2020. This decrease is primarily attributable to the provision release noted above and for the year-to-date period amounting to negative $17.5 million.

Noninterest Income

Total noninterest income for the second quarter of 2021 was $89.2 million, a decrease of $31.7 million, or 26.2%, from the $121.0 million reported in the second quarter of 2020.  Income from mortgage-related activities was $70.2 million in the second quarter of 2021, a decrease of $34.7 million, or 33.1%, from $104.9 million in the second quarter of 2020. Total production in the second quarter of 2021 amounted to $2.39 billion, compared with $2.67 billion in the same quarter of 2020, while spread (gain on sale) decreased to 2.77% in the current quarter, compared with 3.53% in the same quarter of 2020. The retail mortgage open pipeline finished the second quarter of 2021 at $1.75 billion, compared with $2.33 billion at March 31, 2021 and $2.67 billion at the end of the second quarter of 2020. Service charges on deposit accounts increased $1.1 million, or 10.9%, to $11.0 million in the second quarter of 2021, compared with $9.9 million in the second quarter of 2020. This increase in service charges on deposit accounts is due primarily to an increase in volume, particularly in business accounts.

Other noninterest income increased $1.8 million, or 34.9%, to $6.9 million for the second quarter of 2021, compared with $5.2 million during the second quarter of 2020. The increase in other noninterest income was primarily attributable to an increase in gains on sales of SBA loans of $1.5 million, an increase in BOLI income of $450,000 and an increase in merchant fee income of $390,000, partially offset by a decrease of $845,000 in gain on BOLI proceeds.

Noninterest Expense

Total noninterest expense for the second quarter of 2021 decreased $20.0 million, or 12.8%, to $135.8 million, compared with $155.8 million in the same quarter 2020. Salaries and employee benefits decreased $9.7 million, or 10.2%, from $95.2 million

40

in the second quarter of 2020 to $85.5 million in the second quarter of 2021, due primarily to a decrease in variable compensation tied to mortgage production of $5.1 million, a decrease in severance of $1.1 million related to branch consolidations and efficiency initiatives and a decrease in PPP related incentives of $625,000. Occupancy and equipment expenses decreased $3.0 million, or 21.7%, to $10.8 million for the second quarter of 2021, compared with $13.8 million in the second quarter of 2020, due primarily to a reduction in leased locations related to previously announced efficiency initiatives and real estate taxes. Data processing and communications expenses increased $1.4 million, or 13.0%, to $11.9 million in the second quarter of 2021, compared with $10.5 million in the second quarter of 2020. Advertising and marketing expense was $1.9 million in the second quarter of 2021, compared with $1.5 million in the second quarter of 2020. Amortization of intangible assets decreased $1.5 million, or 27.4%, from $5.6 million in the second quarter of 2020 to $4.1 million in the second quarter of 2021. Core deposit intangibles are being amortized over an accelerated basis; therefore, the expense recorded will decline over the life of the asset. There were no merger and conversion charges in the second quarter of 2021, compared with $895,000 of such charges in the same quarter of 2020. Other noninterest expenses decreased $6.4 million, or 23.5%, from $27.4 million in the second quarter of 2020 to $20.9 million in the second quarter of 2021, due primarily to a decrease of $1.8 million in FDIC insurance, a decrease of $2.0 million in expenses related to the COVID-19 pandemic, and a decrease of $2.0 million in legal and professional fees. These decreases in other noninterest expenses were partially offset by increases in loan servicing expenses of $657,000 and variable expenses tied to production in our lines of business.

Income Taxes

Income tax expense is influenced by the statutory rate, the amount of taxable income, the amount of tax-exempt income and the amount of nondeductible expenses.  For the second quarter of 2021, the Company reported income tax expense of $26.9 million, compared with $8.6 million in the same period of 2020. The Company’s effective tax rate for the three months ending June 30, 2021 and 2020 was 23.3% and 21.1%, respectively. The increase in the effective tax rate is primarily a result of increased pre-tax book income compared with the same period in 2020.

41

Results of Operations for the Six Months Ended June 30, 2021 and 2020

Consolidated Earnings and Profitability

Ameris reported net income available to common shareholders of $213.3 million, or $3.06 per diluted share, for the six months ended June 30, 2021, compared with $51.6 million, or $0.74 per diluted share, for the same period in 2020. The Company’s return on average assets and average shareholders’ equity were 2.03% and 15.66%, respectively, in the six months ended June 30, 2021, compared with 0.56% and 4.17%, respectively, in the same period in 2020. During the first six months of 2021, the Company recorded pre-tax servicing right recovery of $11.4 million, pre-tax gain on BOLI proceeds of $603,000 and pre-tax gain on the sale of premises of $500,000. During the first six months of 2020, the Company incurred pre-tax merger and conversion charges of $1.4 million, pre-tax restructuring charges related to branch consolidations of $1.5 million, pre-tax servicing right impairment of $30.2 million, pre-tax gain on BOLI proceeds of $845,000, pre-tax expenses related to SEC and DOJ investigation of $2.7 million, pre-tax expenses related to the COVID-19 pandemic of $2.6 million and pre-tax loss on the sale of premises of $751,000. Excluding these adjustment items, the Company’s net income would have been $203.3 million, or $2.91 per diluted share, for the six months ended June 30, 2021 and $81.6 million, or $1.18 per diluted share, for the same period in 2020.

Below is a reconciliation of adjusted net income to net income, as discussed above.

	Six Months Ended June 30,
(in thousands, except share and per share data)	2021		2020
Net income available to common shareholders	$	213,289	$	51,558
Adjustment items:
Merger and conversion charges	—		1,435
Restructuring charge	—		1,463
Servicing right impairment (recovery)	(11,388)		30,154
Gain on BOLI proceeds	(603)		(845)
Expenses related to SEC and DOJ investigation	—		2,737
Natural disaster and pandemic charges	—		2,591
(Gain) loss on the sale of premises	(500)		751
Tax effect of adjustment items (Note 1)	2,496		(8,216)
After tax adjustment items	(9,995)		30,070
Adjusted net income	$	203,294	$	81,628
Weighted average common shares outstanding - diluted	69,764,923		69,413,027
Net income per diluted share	$	3.06	$	0.74
Adjusted net income per diluted share	$	2.91	$	1.18
Note 1: Tax effect is calculated utilizing a 21% rate for taxable adjustments. Gain on BOLI proceeds is non-taxable and no tax effect is included. A portion of the merger and conversion charges for the six months ended June 30, 2020 are nondeductible for tax purposes.

42

Below is additional information regarding the retail banking activities, mortgage banking activities, warehouse lending activities, SBA activities and premium finance activities of the Company during the six months ended June 30, 2021 and 2020, respectively:

	Six Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	221,639	$	64,284	$	19,315	$	32,084	$	14,379	$	351,701
Interest expense	(1,847)		22,767		689		2,567		696		24,872
Net interest income	223,486		41,517		18,626		29,517		13,683		326,829
Provision for loan losses	(27,853)		1,094		(300)		(1,154)		(236)		(28,449)
Noninterest income	32,909		166,695		2,313		5,288		8		207,213
Noninterest expense
Salaries and employee benefits	80,537		94,636		608		2,319		3,390		181,490
Occupancy and equipment	19,170		3,029		2		238		154		22,593
Data processing and communications expenses	20,481		2,981		117		1		181		23,761
Other expenses	38,473		15,827		63		579		1,773		56,715
Total noninterest expense	158,661		116,473		790		3,137		5,498		284,559
Income before income tax expense	125,587		90,645		20,449		32,822		8,429		277,932
Income tax expense	32,652		19,035		4,294		6,893		1,769		64,643
Net income	$	92,935	$	71,610	$	16,155	$	25,929	$	6,660	$	213,289

	Six Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium Finance Division		Total
Interest income	$	260,954	$	68,125	$	10,135	$	12,485	$	16,087	$	367,786
Interest expense	22,249		26,067		1,807		3,270		2,634		56,027
Net interest income	238,705		42,058		8,328		9,215		13,453		311,759
Provision for loan losses	122,802		2,420		394		1,419		2,173		129,208
Noninterest income	32,241		138,564		1,687		2,847		—		175,339
Noninterest expense
Salaries and employee benefits	82,044		81,100		419		4,088		3,463		171,114
Occupancy and equipment	22,026		3,457		2		194		156		25,835
Data processing and communications expenses	19,716		2,392		96		28		236		22,468
Other expenses	58,642		12,824		122		874		1,942		74,404
Total noninterest expense	182,428		99,773		639		5,184		5,797		293,821
Income (loss) before income tax expense	(34,284)		78,429		8,982		5,459		5,483		64,069
Income tax expense (benefit)	(8,307)		16,639		1,886		1,146		1,147		12,511
Net income (loss)	$	(25,977)	$	61,790	$	7,096	$	4,313	$	4,336	$	51,558

43

Net Interest Income and Margins

The following table sets forth the average balance, interest income or interest expense, and average yield/rate paid for each category of interest-earning assets and interest-bearing liabilities, net interest spread, and net interest margin on average interest-earning assets for the six months ended June 30, 2021 and 2020. Federally tax-exempt income is presented on a taxable-equivalent basis assuming a 21% federal tax rate.

	Six Months Ended June 30,
	2021					2020
(dollars in thousands)	Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid	Average Balance		Interest Income/ Expense		Average Yield/ Rate Paid
Assets
Interest-earning assets:
Federal funds sold, interest-bearing deposits  in banks, and time deposits in other banks	$	2,324,365	$	1,141	0.10%	$	434,843	$	1,455	0.67%
Investment securities	907,049		11,716		2.60%	1,419,580		19,825		2.81%
Loans held for sale	1,496,155		22,600		3.05%	1,600,606		27,690		3.48%
Loans	14,501,802		318,585		4.43%	13,308,960		321,253		4.85%
Total interest-earning assets	19,229,371		354,042		3.71%	16,763,989		370,223		4.44%
Noninterest-earning assets	1,915,380					1,885,757
Total assets	$	21,144,751				$	18,649,746
Liabilities and Shareholders’ Equity
Interest-bearing liabilities:
Savings and interest-bearing demand deposits	$	8,915,964	$	5,894	0.13%	$	7,145,803	$	17,855	0.50%
Time deposits	2,036,668		6,679		0.66%	2,579,288		20,520		1.60%
Federal funds purchased and securities sold under agreements to repurchase	8,077		12		0.30%	14,045		65		0.93%
FHLB advances	48,931		385		1.59%	1,239,920		6,795		1.10%
Other borrowings	376,318		9,321		4.99%	269,377		6,998		5.22%
Subordinated deferrable interest debentures	124,823		2,581		4.17%	125,426		3,794		6.08%
Total interest-bearing liabilities	11,510,781		24,872		0.44%	11,373,859		56,027		0.99%
Demand deposits	6,644,646					4,571,249
Other liabilities	242,402					218,498
Shareholders’ equity	2,746,922					2,486,140
Total liabilities and shareholders’ equity	$	21,144,751				$	18,649,746
Interest rate spread					3.27%					3.45%
Net interest income			$	329,170				$	314,196
Net interest margin					3.45%					3.77%

On a tax-equivalent basis, net interest income for the six months ended June 30, 2021 was $329.2 million, an increase of $15.0 million, or 4.8%, compared with $314.2 million reported in the same period of 2020. The higher net interest income is a result of disciplined deposit pricing and a reduction in borrowing costs, partially offset by a decline in the yield on earning assets. Average interest earning assets increased $2.47 billion, or 14.7%, from $16.76 billion in the first six months of 2020 to $19.23 billion for the first six months of 2021. This growth in interest earning assets resulted primarily from organic growth in average loans, including PPP loans, and excess liquidity from deposit growth. The Company’s net interest margin during the first six months of 2021 was 3.45%, down 32 basis points from 3.77% reported for the first six months of 2020. Loan production in the lines of business (including retail mortgage, warehouse lending, SBA and premium finance) amounted to $13.9 billion during the first six months of 2021, with weighted average yields of 3.25%, compared with $11.1 billion and 3.51%, respectively, during the first six months of 2020. Loan production yields in the lines of business were negatively impacted seven and 26 basis points during the first six months of 2021 and 2020, respectively, by originations of PPP loans in our SBA division. Loan production in the banking division amounted to $1.5 billion during the first six months of 2021 with weighted average yields of 3.77%, compared with $1.4 billion and 4.42%, respectively, during the first six months of 2020.

Total interest income, on a tax-equivalent basis, decreased to $354.0 million during the six months ended June 30, 2021, compared with $370.2 million in the same period of 2020. Yields on earning assets decreased to 3.71% during the first six months of 2021, compared with 4.44% reported in the same period of 2020. During the first six months of 2021, loans comprised 83.2% of average earning assets, compared with 88.9% in the same period of 2020. Yields on loans decreased to

44

4.43% during the six months ended June 30, 2021, compared with 4.85% in the same period of 2020. Accretion income for the first six months of 2021 was $10.6 million, compared with $16.1 million in the first six months of 2020.

The yield on total interest-bearing liabilities decreased from 0.99% during the six months ended June 30, 2020 to 0.44% in the same period of 2021. Total funding costs, inclusive of noninterest-bearing demand deposits, decreased to 0.28% in the first six months of 2021, compared with 0.71% during the same period of 2020. Deposit costs decreased from 0.54% in the first six months of 2020 to 0.14% in the same period of 2021. Non-deposit funding costs increased from 2.15% in the first six months of 2020 to 4.44% in the same period of 2021. The increase in non-deposit funding costs was driven primarily by a shift in mix from short-term FHLB advances as excess liquidity reduced outstanding FHLB advances. Average balances of interest bearing deposits and their respective costs for the six months ended June 30, 2021 and 2020 are shown below:

	Six Months Ended June 30, 2021			Six Months Ended June 30, 2020
(dollars in thousands)	Average Balance		Average Cost	Average Balance		Average Cost
NOW	$	3,248,655	0.11%	$	2,364,626	0.34%
MMDA	4,817,197		0.16%	4,113,275		0.66%
Savings	850,112		0.06%	667,902		0.09%
Retail CDs	2,035,668		0.66%	2,547,671		1.59%
Brokered CDs	1,000		2.82%	31,617		2.04%
Interest-bearing deposits	$	10,952,632	0.23%	$	9,725,091	0.79%

Provision for Credit Losses

The Company’s provision for credit losses during the six months ended June 30, 2021 amounted to negative $28.4 million, compared with $129.2 million in the six months ended June 30, 2020. This decrease was primarily attributable to an improved economic forecast in our CECL model, particularly levels of unemployment, home prices and gross domestic product. The construction and development segment was the largest contributor to the decrease in provision as a result of both a decline in funded balances and an improvement in qualitative factors compared with December 31, 2020. The improvement in qualitative factors is attributable to uncertainty in the forecast and loss drivers used in the December 31, 2020 provision estimate which Management determined were both properly addressed in the current estimate. The provision for credit losses for the first six months of 2021 was comprised of negative $17.5 million related to loans, negative $10.5 million related to unfunded commitments and negative $431,000 related to other credit losses compared with $105.5 million related to loans and $23.7 million related to unfunded commitments for the same period in 2020. Non-performing assets as a percentage of total assets decreased from 0.48% at December 31, 2020 to 0.32% at June 30, 2021. The decrease in non-performing assets is primarily attributable to a decrease in nonaccruing loans as a result of collection activities and upgrades and continued success with OREO sales. Net charge-offs on loans during the first six months of 2021 were $6.9 million, or 0.10% of average loans on an annualized basis, compared with approximately $13.6 million, or 0.20%, in the first six months of 2020. The Company’s total allowance for credit losses on loans at June 30, 2021 was $175.1 million, or 1.18% of total loans, compared with $199.4 million, or 1.38% of total loans, at December 31, 2020. This decrease is primarily attributable to the provision release noted above.

Noninterest Income

Total noninterest income for the six months ended June 30, 2021 was $207.2 million, an increase of $31.9 million, or 18.2%, from the $175.3 million reported for the six months ended June 30, 2020.  Income from mortgage-related activities increased $28.5 million, or 20.3%, from $140.3 million in the first six months of 2020 to $168.7 million in the same period of 2021. Total production in the first six months of 2021 amounted to $5.03 billion, compared with $4.03 billion in the same period of 2020, while spread (gain on sale) increased to 3.39% during the six months ended June 30, 2021, compared with 3.31% in the same period of 2020. The retail mortgage open pipeline was $1.75 billion at June 30, 2021, compared with $2.00 billion at December 31, 2020 and $2.67 billion at June 30, 2020. Mortgage-related activities was positively impacted during the first six months of 2021 by a recovery of previous mortgage servicing right impairment of $10.5 million, compared with an impairment of $29.0 million for the same period in 2020.

Other noninterest income increased $3.2 million, or 28.1%, to $14.6 million for the first six months of 2021, compared with $11.4 million during the same period of 2020. The increase in other noninterest income was primarily attributable to an increase in gains on sales of SBA loans of $839,000, an increase in merchant fee income of $572,000, an increase in trust income of $640,000 and a decrease in SBA servicing asset impairment of $2.0 million, partially offset by a decrease of $852,000 in indirect automobile servicing income.

45

Noninterest Expense

Total noninterest expenses for the six months ended June 30, 2021 decreased $9.3 million, or 3.2%, to $284.6 million, compared with $293.8 million in the same period of 2020. Salaries and employee benefits increased $10.4 million, or 6.1%, from $171.1 million in the first six months of 2020 to $181.5 million in the same period of 2021 due primarily to an increase in variable compensation tied to increased mortgage production of $11.7 million. Occupancy and equipment expenses decreased $3.2 million, or 12.5%, to $22.6 million for the first six months of 2021, compared with $25.8 million in the same period of 2020, due primarily to a reduction in leased locations related to previously announced efficiency initiatives. Data processing and communications expenses increased $1.3 million, or 5.8%, to $23.8 million in the first six months of 2021, from $22.5 million reported in the same period of 2020. Credit resolution-related expenses decreased $2.0 million, or 62.9%, from $3.1 million in the first six months of 2020 to $1.2 million in the same period of 2021. This decrease in credit resolution-related expenses primarily resulted from a reduction in write-downs on OREO properties and a gain on sale of OREO properties of $714,000. Advertising and marketing expense was $3.4 million in the first six months of 2021, compared with $3.8 million in the first six months of 2020. Amortization of intangible assets decreased $3.0 million, or 27.1%, from $11.2 million in the first six months of 2020 to $8.2 million in the first six months of 2021. Core deposit intangibles are being amortized over an accelerated basis; therefore, the expense recorded will decline over the life of the asset. There were no merger and conversion charges in the first six months of 2021, compared with $1.4 million in the same period in 2020. Other noninterest expenses decreased $10.8 million, or 19.7%, from $54.8 million in the first six months of 2020 to $44.0 million in the same period of 2021, due primarily to a decrease of $4.0 million in FDIC insurance, a decrease of $2.6 million in expenses related to the COVID-19 pandemic and a decrease of $4.4 million in legal and professional fees. These decreases in other noninterest expenses were partially offset by increases in loan servicing expenses of $2.7 million and variable expenses tied to production in our mortgage division.

Income Taxes

Income tax expense is influenced by the statutory rate, the amount of taxable income, the amount of tax-exempt income and the amount of nondeductible expenses. For the six months ended June 30, 2021, the Company reported income tax expense of $64.6 million, compared with $12.5 million in the same period of 2020. The Company’s effective tax rate for the six months ended June 30, 2021 and 2020 was 23.3% and 19.5%, respectively. The increase in the effective tax rate is primarily a result of increased pre-tax book income and the benefit recorded in the first quarter of 2020 for loss carrybacks allowed as a result of the CARES Act.

46

Financial Condition as of June 30, 2021

Securities

Debt securities classified as available-for-sale are recorded at fair value with unrealized holding gains and losses excluded from earnings and reported in accumulated other comprehensive income, net of the related deferred tax effect. Securities available-for-sale may be bought and sold in response to changes in market conditions including, but not limited to, fluctuations in interest rates, changes in securities' prepayment risk, increases in loan demand, general liquidity needs and to position the portfolio to take advantage of market conditions that create more economically attractive returns. Debt securities are classified as held-to-maturity based on management's positive intent and ability to hold such securities to maturity and are carried at amortized cost. Restricted equity securities are classified as other investment securities and are carried at cost and are periodically evaluated for impairment based on the ultimate recovery of par value or cost basis.

The amortization of premiums and accretion of discounts are recognized in interest income using methods approximating the interest method over the expected life of the securities. Realized gains and losses, determined on the basis of the cost of specific securities sold, are included in earnings on the trade date. 

Management and the Company’s Asset and Liability Committee (the “ALCO Committee”) evaluate available-for-sale securities in an unrealized loss position on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation, to determine if credit-related impairment exists. Management first evaluates whether they intend to sell or more likely than not will be required to sell an impaired security before recovering its amortized cost basis. If either criteria is met, the entire amount of unrealized loss is recognized in earnings with a corresponding adjustment to the security's amortized cost basis. If either of the above criteria is not met, management evaluates whether the decline in fair value is attributable to credit or resulted from other factors. If credit-related impairment exists, the Company recognizes an allowance for credit losses, limited to the amount by which the fair value is less than the amortized cost basis. Any impairment not recognized through an allowance for credit losses is recognized in other comprehensive income, net of tax, as a non credit-related impairment. The Company does not intend to sell these available-for-sale investment securities at an unrealized loss position at June 30, 2021, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Based on the results of management's review, at June 30, 2021, management determined that $81,000 was attributable to credit impairment and established the allowance for credit losses accordingly. The remaining $332,000 in unrealized loss was determined to be from factors other than credit.

The Company's held-to-maturity securities have zero expected credit losses and no related allowance for credit losses has been established.

The following table is a summary of our investment portfolio at the dates indicated:

	June 30, 2021				December 31, 2020
(dollars in thousands)	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Securities available-for-sale
U.S. government sponsored agencies	$	12,120	$	12,327	$	17,161	$	17,504
State, county and municipal securities	58,016		60,836		63,286		66,778
Corporate debt securities	43,132		43,612		51,639		51,896
SBA pool securities	52,283		54,281		59,973		62,497
Mortgage-backed securities	581,021		607,111		748,521		784,204
Total debt securities available-for-sale	$	746,572	$	778,167	$	940,580	$	982,879
Securities held-to-maturity
Mortgage-backed securities	$	29,055	$	29,008	$	—	$	—
Total debt securities held-to-maturity	$	29,055	$	29,008	$	—	$	—

47

The amounts of securities available-for-sale and held-to-maturity in each category as of June 30, 2021 are shown in the following table according to contractual maturity classifications: (i) one year or less; (ii) after one year through five years; (iii) after five years through ten years; and (iv) after ten years:

	U.S. Government Sponsored Agencies				State, County and Municipal Securities				Corporate Debt Securities
(dollars in thousands) Securities available-for-sale (1)	Amount		Yield  (2)		Amount		Yield (2)(3)		Amount		Yield  (2)
One year or less	$	10,147	1.92	%	$	11,242	3.38	%	$	500	3.03	%
After one year through five years	2,180		2.04		19,451		3.79		10,263		4.00
After five years through ten years	—		—		18,893		3.87		31,153		5.30
After ten years	—		—		11,250		3.88		1,696		4.24
	$	12,327	1.94	%	$	60,836	3.75	%	$	43,612	4.92	%
	SBA Pool Securities				Mortgage-Backed Securities
(dollars in thousands) Securities available-for-sale (1)	Amount		Yield  (2)		Amount		Yield  (2)
One year or less	$	—	—	%	$	3,567	2.11	%
After one year through five years	13,075		2.20		99,564		2.74
After five years through ten years	10,054		2.27		173,392		2.79
After ten years	31,152		2.47		330,588		2.31
	$	54,281	2.36	%	$	607,111	2.52	%
	Mortgage-Backed Securities
(dollars in thousands) Securities held-to-maturity (1)	Amount		Yield  (2)
One year or less	$	—	—	%
After one year through five years	—		—
After five years through ten years	16,018		1.62
After ten years	13,037		1.84
	$	29,055	1.72	%

(1)The amortized cost and fair value of debt securities are presented based on contractual maturities. Actual cash flows may differ from contractual maturities because borrowers may have the right to prepay obligations without prepayment penalties.

(2)Yields were computed using coupon interest, adding discount accretion or subtracting premium amortization, as appropriate, on a ratable basis over the life of each security. The weighted average yield for each maturity range was computed using the amortized cost of each security in that range.

(3)Yields on securities of state and political subdivisions are stated on a taxable-equivalent basis, using a tax rate of 21%.

Loans and Allowance for Credit Losses

At June 30, 2021, gross loans outstanding (including loans and loans held for sale) were $15.99 billion, up $342.8 million from $15.65 billion reported at December 31, 2020. Loans held for sale increased from $1.17 billion at December 31, 2020 to $1.21 billion at June 30, 2021 primarily in our mortgage division, partially offset by the sale of a consumer portfolio of $165.9 million. Loans increased $299.9 million, or 2.07%, from $14.48 billion at December 31, 2020 to $14.78 billion at June 30, 2021, driven primarily by organic growth net of PPP loan runoff.

The Company regularly monitors the composition of the loan portfolio to evaluate the adequacy of the allowance for credit losses ("ACL") on loans in light of the impact that changes in the economic environment may have on the loan portfolio. The Company focuses on the following loan categories: (1) commercial, financial and agricultural; (2) consumer installment; (3) indirect automobile; (4) mortgage warehouse; (5) municipal; (6) premium finance; (7) construction and development related real estate; (8) commercial and farmland real estate; and (9) residential real estate. The Company’s management has

48

strategically located its branches in select markets in Georgia, Alabama, Florida, North Carolina and South Carolina to take advantage of the growth in these areas.

The Company’s risk management processes include a loan review program designed to evaluate the credit risk in the loan portfolio and ensure credit grade accuracy. Through the loan review process, the Company conducts (1) a loan portfolio summary analysis, (2) charge-off and recovery analysis, (3) trends in accruing problem loan analysis, and (4) problem and past-due loan analysis. This analysis process serves as a tool to assist management in assessing the overall quality of the loan portfolio and the adequacy of the ACL. Loans classified as “substandard” are loans which are inadequately protected by the current sound worth and paying capacity of the borrower or of the collateral pledged. These assets exhibit a well-defined weakness or are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. These weaknesses may be characterized by past due performance, operating losses and/or questionable collateral values. Loans classified as “doubtful” are those loans that have characteristics similar to substandard loans but have an increased risk of loss. Loans classified as “loss” are those loans which are considered uncollectible and are in the process of being charged off.

The Company estimates the ACL on loans based on the underlying assets’ amortized cost basis, which is the amount at which the financing receivable is originated or acquired, adjusted for applicable accretion or amortization of premium, discount, and net deferred fees or costs, collection of cash, and charge-offs. In the event that collection of principal becomes uncertain, the Company has policies in place to reverse accrued interest in a timely manner. Therefore, the Company has made a policy election to exclude accrued interest from the measurement of ACL, except for loans modified under the Disaster Relief Program.

Expected credit losses are reflected in the ACL through a charge to credit loss expense. When the Company deems all or a portion of a financial asset to be uncollectible the appropriate amount is written off and the ACL is reduced by the same amount. The Company applies judgment to determine when a financial asset is deemed uncollectible; however, generally speaking, an asset will be considered uncollectible no later than when all efforts at collection have been exhausted. Subsequent recoveries, if any, are credited to the ACL when received.

The Company measures expected credit losses of financial assets on a collective (pool) basis, when the financial assets share similar risk characteristics. Depending on the nature of the pool of financial assets with similar risk characteristics, the Company currently uses the DCF method, the PD×LGD method or a qualitative approach.

The Company’s methodologies for estimating the ACL consider available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable forecasts. The methodologies apply historical loss information, adjusted for asset-specific characteristics, economic conditions at the measurement date, and forecasts about future economic conditions expected to exist through the contractual lives of the financial assets that are reasonable and supportable, to the identified pools of financial assets with similar risk characteristics for which the historical loss experience was observed. The Company’s methodologies revert back to historical loss information on a straight-line basis over four quarters when it can no longer develop reasonable and supportable forecasts.

At the end of the second quarter of 2021, the ACL on loans totaled $175.1 million, or 1.18% of loans, compared with $199.4 million, or 1.38% of loans, at December 31, 2020. Our nonaccrual loans decreased from $76.5 million at December 31, 2020 to $59.9 million at June 30, 2021. The decrease in nonaccrual loans is primarily attributable to collection activities and upgrades. For the first six months of 2021, our net charge off ratio as a percentage of average loans decreased to 0.10%, compared with 0.20% for the first six months of 2020. The total provision for credit losses for the first six months of 2021 was negative $28.4 million, decreasing from $129.2 million recorded for the first six months of 2020. Our ratio of total nonperforming assets to total assets decreased from 0.48% at December 31, 2020 to 0.32% at June 30, 2021.

49

The following table presents an analysis of the allowance for credit losses on loans, provision for credit losses on loans and net charge-offs as of and for the six months ended June 30, 2021 and 2020:

	Six Months Ended June 30,
(dollars in thousands)	2021		2020
Balance of allowance for credit losses on loans at beginning of period	$	199,422	$	38,189
Adjustment to allowance for adoption of ASC 326	—		78,661
Provision charged to operating expense	(17,478)		105,496
Charge-offs:
Commercial, financial and agricultural	5,899		2,972
Consumer installment	3,117		2,104
Indirect automobile	970		2,247
Premium finance	2,537		2,734
Real estate – construction and development	212		74
Real estate – commercial and farmland	1,422		7,243
Real estate – residential	555		625
Total charge-offs	14,712		17,999
Recoveries:
Commercial, financial and agricultural	1,352		665
Consumer installment	568		1,420
Indirect automobile	1,072		40
Premium finance	3,588		1,360
Real estate – construction and development	251		510
Real estate – commercial and farmland	226		106
Real estate – residential	781		345
Total recoveries	7,838		4,446
Net charge-offs	6,874		13,553
Balance of allowance for credit losses on loans at end of period	$	175,070	$	208,793

The following table presents an analysis of the allowance for credit losses on loans and net charge-offs for loans held for investment:

	As of and for the Six Months Ended
(dollars in thousands)	June 30, 2021			June 30, 2020
Allowance for credit losses on loans at end of period	$	175,070		$	208,793
Net charge-offs for the period	6,874			13,553
Loan balances:
End of period	14,780,791			14,503,157
Average for the period	14,501,802			13,308,960
Net charge-offs as a percentage of average loans (annualized)	0.10		%	0.20		%
Allowance for credit losses on loans as a percentage of end of period loans	1.18		%	1.44		%

50

Loans

Loans are stated at amortized cost. Balances within the major loans receivable categories are presented in the following table:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	1,406,421	$	1,627,477
Consumer installment	229,411		306,995
Indirect automobile	397,373		580,083
Mortgage warehouse	841,347		916,353
Municipal	647,578		659,403
Premium finance	780,328		687,841
Real estate – construction and development	1,527,883		1,606,710
Real estate – commercial and farmland	6,051,472		5,300,006
Real estate – residential	2,898,978		2,796,057
	$	14,780,791	$	14,480,925

Non-Performing Assets

Non-performing assets include nonaccrual loans, accruing loans contractually past due 90 days or more, repossessed personal property, and OREO. Loans are placed on nonaccrual status when management has concerns relating to the ability to collect the principal and interest and generally when such loans are 90 days or more past due. Management performs a detailed review and valuation assessment of non-performing loans over $250,000 on a quarterly basis. When a loan is placed on nonaccrual status, any interest previously accrued but not collected is reversed against current income.

Nonaccrual loans totaled $59.9 million at June 30, 2021, a decrease of $16.5 million, or 21.6%, from $76.5 million at December 31, 2020. Accruing loans delinquent 90 days or more totaled $4.9 million at June 30, 2021, a decrease of $3.5 million, or 41.5%, compared with $8.3 million at December 31, 2020. At June 30, 2021, OREO totaled $5.8 million, a decrease of $6.1 million, or 51.4%, compared with $11.9 million at December 31, 2020. Management regularly assesses the valuation of OREO through periodic reappraisal and through inquiries received in the marketing process.  At the end of the second quarter of 2021, total non-performing assets as a percent of total assets decreased to 0.32% compared with 0.48% at December 31, 2020.

Non-performing assets at June 30, 2021 and December 31, 2020 were as follows:

(dollars in thousands)	June 30, 2021		December 31, 2020
Nonaccrual loans	$	59,921	$	76,457
Accruing loans delinquent 90 days or more	4,874		8,326
Repossessed assets	226		544
Other real estate owned	5,775		11,880
Total non-performing assets	$	70,796	$	97,207

51

Troubled Debt Restructurings

The restructuring of a loan is considered a “troubled debt restructuring” if both (i) the borrower is experiencing financial difficulties and (ii) the Company has granted a concession.

As of June 30, 2021 and December 31, 2020, the Company had a balance of $92.3 million and $85.0 million, respectively, in troubled debt restructurings. These totals do not include COVID-19 loan modifications accounted for under Section 4013 of the CARES Act. Further information on these loans is set forth under the heading "COVID-19 Deferrals" below. The following table presents the amount of troubled debt restructurings by loan class classified separately as accrual and nonaccrual at June 30, 2021 and December 31, 2020:

June 30, 2021	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	12	$	1,038	10	$	805
Consumer installment	9	28		19	43
Indirect automobile	336	1,647		47	301
Real estate – construction and development	5	898		4	301
Real estate – commercial and farmland	28	46,025		11	7,103
Real estate – residential	238	31,570		31	2,515
Total	628	$	81,206	122	$	11,068

December 31, 2020	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	9	$	521	11	$	849
Consumer installment	10	32		20	56
Indirect automobile	437	2,277		51	461
Real estate – construction and development	4	506		5	707
Real estate – commercial and farmland	28	36,707		7	1,401
Real estate – residential	264	38,800		34	2,671
Total	752	$	78,843	128	$	6,145

The following table presents the amount of troubled debt restructurings by loan class classified separately as those currently paying under restructured terms and those that have defaulted (defined as 30 days past due) under restructured terms at June 30, 2021 and December 31, 2020:

June 30, 2021	Loans Currently Paying Under Restructured Terms			Loans that have Defaulted Under Restructured Terms
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	18	$	1,746	4	$	97
Consumer installment	13	33		15	38
Indirect automobile	321	1,613		62	335
Real estate – construction and development	8	1,184		1	15
Real estate – commercial and farmland	37	52,275		2	853
Real estate – residential	231	30,307		38	3,778
Total	628	$	87,158	122	$	5,116

52

December 31, 2020	Loans Currently Paying Under Restructured Terms			Loans that have Defaulted Under Restructured Terms
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	11	$	532	9	$	839
Consumer installment	12	33		18	55
Indirect automobile	411	2,138		77	600
Real estate – construction and development	5	507		4	706
Real estate – commercial and farmland	29	36,512		6	1,595
Real estate – residential	249	35,348		49	6,123
Total	717	$	75,070	163	$	9,918

The following table presents the amount of troubled debt restructurings by types of concessions made, classified separately as accrual and nonaccrual at June 30, 2021 and December 31, 2020:

June 30, 2021	Accruing Loans			Non-Accruing Loans
Type of Concession	#	Balance (in thousands)		#	Balance (in thousands)
Forgiveness of interest	1	$	72	—	$	—
Forbearance of interest	14	1,086		10	2,004
Forbearance of principal	453	63,098		63	7,733
Forbearance of principal, extended amortization	—	—		1	178
Rate reduction only	62	8,160		4	244
Rate reduction, maturity extension	—	—		1	3
Rate reduction, forbearance of interest	39	2,969		7	349
Rate reduction, forbearance of principal	19	2,537		28	164
Rate reduction, forgiveness of interest	40	3,284		8	393
Total	628	$	81,206	122	$	11,068

December 31, 2020	Accruing Loans			Non-Accruing Loans
Type of Concession	#	Balance (in thousands)		#	Balance (in thousands)
Forgiveness of interest	1	$	73	—	$	—
Forbearance of interest	19	2,255		7	1,044
Forbearance of principal	563	58,131		72	3,372
Forbearance of principal, extended amortization	—	—		1	204
Rate reduction only	66	8,893		4	525
Rate reduction, maturity extension	—	—		1	5
Rate reduction, forbearance of interest	41	3,472		9	389
Rate reduction, forbearance of principal	21	2,609		25	193
Rate reduction, forgiveness of interest	41	3,410		8	412
Rate reduction, forgiveness of principal	—	—		1	1
Total	752	$	78,843	128	$	6,145

53

The following table presents the amount of troubled debt restructurings by collateral types, classified separately as accrual and nonaccrual at June 30, 2021 and December 31, 2020:

June 30, 2021	Accruing Loans			Non-Accruing Loans
Collateral Type	#	Balance (in thousands)		#	Balance (in thousands)
Warehouse	4	$	233	2	$	289
Raw land	5	4,806		6	724
Hotel and motel	7	29,728		1	4,903
Office	6	1,245		—	—
Retail, including strip centers	10	8,562		3	856
1-4 family residential	242	31,930		33	2,991
Church	1	2,181		1	156
Automobile/equipment/CD	353	2,521		76	1,149
Total	628	$	81,206	122	$	11,068

December 31, 2020	Accruing Loans			Non-Accruing Loans
Collateral Type	#	Balance (in thousands)		#	Balance (in thousands)
Warehouse	4	$	248	2	$	305
Raw land	5	4,611		7	1,135
Hotel and motel	4	22,372		—	—
Office	6	1,281		—	—
Retail, including strip centers	13	8,627		—	—
1-4 family residential	266	38,913		35	3,170
Church	—	—		1	166
Automobile/equipment/CD	454	2,791		82	1,368
Unsecured	—	—		1	1
Total	752	$	78,843	128	$	6,145

COVID-19 Deferrals

In response to the COVID-19 pandemic, the Company offered affected borrowers payment relief under its Disaster Relief Program. These modifications primarily consisted of short-term payment deferrals or interest-only periods to assist customers. The Company has begun providing payment modifications to certain borrowers in economically sensitive industries of various terms up to nine months. Modifications related to the COVID-19 pandemic and qualifying under the provisions of Section 4013 of the CARES Act are not deemed to be troubled debt restructurings. As of June 30, 2021, $127.7 million in loans remained in payment deferral under the COVID-19 pandemic Disaster Relief Program compared with $332.8 million at December 31, 2020.

The table below presents short-term deferrals related to the COVID-19 pandemic that were not considered TDRs as of June 30, 2021 and December 31, 2020.

	June 30, 2021				December 31, 2020
(dollars in thousands	COVID-19 Deferrals		Deferrals as a % of total loans		COVID-19 Deferrals		Deferrals as a % of total loans
Commercial, financial and agricultural	$	2,539	0.2	%	$	12,471	0.8	%
Consumer installment	29		—	%	1,418		0.5	%
Indirect automobile	1,126		0.3	%	8,936		1.5	%
Real estate – construction and development	873		0.1	%	11,049		0.7	%
Real estate – commercial and farmland	63,827		1.1	%	179,183		3.4	%
Real estate – residential	59,331		2.0	%	119,722		4.3	%
	$	127,725	0.9	%	$	332,779	2.3	%

Commercial Lending Practices

The federal bank regulatory agencies previously issued interagency guidance on commercial real estate lending and prudent risk management practices. This guidance defines commercial real estate (“CRE”) loans as loans secured by raw land, land development and construction (including one-to-four family residential construction), multi-family property and non-farm nonresidential property where the primary or a significant source of repayment is derived from rental income associated with

54

the property, excluding owner-occupied properties (loans for which 50% or more of the source of repayment is derived from the ongoing operations and activities conducted by the party, or affiliate of the party, who owns the property) or the proceeds of the sale, refinancing or permanent financing of the property. Loans for owner-occupied CRE are generally excluded from the CRE guidance.

The CRE guidance is applicable when either:

(1)total loans for construction, land development, and other land, net of owner-occupied loans, represent 100% or more of a bank’s total risk-based capital; or

(2)total loans secured by multifamily and nonfarm nonresidential properties and loans for construction, land development, and other land, net of owner-occupied loans, represent 300% or more of a bank’s total risk-based capital.

Banks that are subject to the CRE guidance criteria are required to implement enhanced strategic planning, CRE underwriting policies, risk management and internal controls, portfolio stress testing, risk exposure limits, and other policies, including management compensation and incentives, to address the CRE risks. Higher allowances for loan losses and capital levels may also be appropriate.

As of June 30, 2021, the Company exhibited a concentration in the CRE loan category based on Federal Reserve Call codes. The primary risks of CRE lending are:

(1)within CRE loans, construction and development loans are somewhat dependent upon continued strength in demand for residential real estate, which is reliant on favorable real estate mortgage rates and changing population demographics;

(2)on average, CRE loan sizes are generally larger than non-CRE loan types; and

(3)certain construction and development loans may be less predictable and more difficult to evaluate and monitor.

The following table outlines CRE loan categories and CRE loans as a percentage of total loans as of June 30, 2021 and December 31, 2020. The loan categories and concentrations below are based on Federal Reserve Call codes:

	June 30, 2021			December 31, 2020
(dollars in thousands)	Balance		% of Total Loans	Balance		% of Total Loans
Construction and development loans	$	1,527,883	10%	$	1,606,710	11%
Multi-family loans	536,386		4%	347,951		2%
Nonfarm non-residential loans (excluding owner-occupied)	3,742,159		25%	3,260,389		23%
Total CRE Loans (excluding owner-occupied)	5,806,428		39%	5,215,050		36%
All other loan types	8,974,363		61%	9,265,875		64%
Total Loans	$	14,780,791	100%	$	14,480,925	100%

The following table outlines the percentage of construction and development loans and total CRE loans, net of owner-occupied loans, to the Bank’s total risk-based capital, and the Company’s internal concentration limits as of June 30, 2021 and December 31, 2020:

	Internal Limit	Actual
		June 30, 2021	December 31, 2020
Construction and development loans	100%	65%	74%
Total CRE loans (excluding owner-occupied)	300%	245%	241%

Short-Term Investments

The Company’s short-term investments are comprised of federal funds sold and interest-bearing deposits in banks. At June 30, 2021, the Company’s short-term investments were $3.04 billion, compared with $1.91 billion at December 31, 2020. At June 30, 2021, the Company had $20.0 million in federal funds sold and $3.02 billion was in interest-bearing deposit balances at correspondent banks and the Federal Reserve Bank of Atlanta.

55

Derivative Instruments and Hedging Activities

The Company has forward contracts and IRLCs to hedge changes in the value of the mortgage inventory due to changes in market interest rates. The fair value of these instruments amounted to an asset of $20.3 million and $51.8 million at June 30, 2021 and December 31, 2020, respectively, and a liability of $2.5 million and $16.4 million at June 30, 2021 and December 31, 2020, respectively.

Capital

Common Stock Repurchase Program

On September 19, 2019, the Company announced that its Board of Directors authorized the Company to repurchase up to $100.0 million of its outstanding common stock through October 31, 2020. On October 22, 2020, the Company announced that its Board of Directors approved the extension of the share repurchase program through October 31, 2021.  Repurchases of shares must be made in accordance with applicable securities laws and may be made from time to time in the open market or by negotiated transactions. The amount and timing of repurchases will be based on a variety of factors, including share acquisition price, regulatory limitations and other market and economic factors. The program does not require the Company to repurchase any specific number of shares. As of June 30, 2021, $14.3 million, or 358,664 shares of the Company's common stock, had been repurchased under the program.

Capital Management

Capital management consists of providing equity to support both current and anticipated future operations. The capital resources of the Company are monitored on a periodic basis by state and federal regulatory authorities.

Under the regulatory capital frameworks adopted by the Federal Reserve ("FRB") and the FDIC, the Company and the Bank must each maintain a common equity Tier 1 capital to total risk-weighted assets ratio of at least 4.5%, a Tier 1 capital to total risk-weighted assets ratio of at least 6%, a total capital to total risk-weighted assets ratio of at least 8% and a leverage ratio of Tier 1 capital to average total consolidated assets of at least 4%. The Company and the Bank are also required to maintain a capital conservation buffer of common equity Tier 1 capital of at least 2.5% of risk-weighted assets in addition to the minimum risk-based capital ratios in order to avoid certain restrictions on capital distributions and discretionary bonus payments.

In March 2020, the Office of the Comptroller of the Currency, the FRB and the FDIC issued an interim final rule that delays the estimated impact on regulatory capital stemming from the implementation of CECL. The interim final rule provides banking organizations that implement CECL in 2020 the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period. As a result, the Company and Bank elected the five-year transition relief allowed under the interim final rule effective March 31, 2020.

As of June 30, 2021, under the regulatory capital standards, the Bank was considered “well capitalized” under all capital measurements. The following table sets forth the regulatory capital ratios of for the Company and the Bank at June 30, 2021 and December 31, 2020:

	June 30, 2021	December 31, 2020
Tier 1 Leverage Ratio (tier 1 capital to average assets)
Consolidated	9.23%	8.99%
Ameris Bank	10.65%	10.39%
CET1 Ratio (common equity tier 1 capital to risk weighted assets)
Consolidated	11.61%	11.14%
Ameris Bank	13.38%	12.87%
Tier 1 Capital Ratio (tier 1 capital to risk weighted assets)
Consolidated	11.61%	11.14%
Ameris Bank	13.38%	12.87%
Total Capital Ratio (total capital to risk weighted assets)
Consolidated	15.31%	15.27%
Ameris Bank	14.46%	14.19%

56

Interest Rate Sensitivity and Liquidity

The Company’s primary market risk exposures are credit risk, interest rate risk, and to a lesser degree, liquidity risk. The Bank operates under an Asset Liability Management Policy approved by the Company’s Board of Directors and the ALCO Committee. The policy outlines limits on interest rate risk in terms of changes in net interest income and changes in the net market values of assets and liabilities over certain changes in interest rate environments. These measurements are made through a simulation model which projects the impact of changes in interest rates on the Bank’s assets and liabilities. The policy also outlines responsibility for monitoring interest rate risk, and the process for the approval, implementation and monitoring of interest rate risk strategies to achieve the Bank’s interest rate risk objectives.

The ALCO Committee is comprised of senior officers of Ameris. The ALCO Committee makes all strategic decisions with respect to the sources and uses of funds that may affect net interest income, including net interest spread and net interest margin. The objective of the ALCO Committee is to identify the interest rate, liquidity and market value risks of the Company’s balance sheet and use reasonable methods approved by the Company’s Board of Directors and executive management to minimize those identified risks.

The normal course of business activity exposes the Company to interest rate risk. Interest rate risk is managed within an overall asset and liability framework for the Company. The principal objectives of asset and liability management are to predict the sensitivity of net interest spreads to potential changes in interest rates, control risk and enhance profitability. Funding positions are kept within predetermined limits designed to properly manage risk and liquidity. The Company employs sensitivity analysis in the form of a net interest income simulation to help characterize the market risk arising from changes in interest rates. In addition, fluctuations in interest rates usually result in changes in the fair market value of the Company’s financial instruments, cash flows and net interest income. The Company’s interest rate risk position is managed by the ALCO Committee.

The Company uses a simulation modeling process to measure interest rate risk and evaluate potential strategies. Interest rate scenario models are prepared using software created and licensed from an outside vendor. The Company’s simulation includes all financial assets and liabilities. Simulation results quantify interest rate risk under various interest rate scenarios. Management then develops and implements appropriate strategies. The ALCO Committee has determined that an acceptable level of interest rate risk would be for net interest income to increase/decrease no more than 20% given a change in selected interest rates of 200 basis points over any 24-month period.

Liquidity management involves the matching of the cash flow requirements of customers, who may be either depositors desiring to withdraw funds or borrowers needing assurance that sufficient funds will be available to meet their credit needs, and the ability of Ameris to manage those requirements. The Company strives to maintain an adequate liquidity position by managing the balances and maturities of interest-earning assets and interest-bearing liabilities so that the balance it has in short-term assets at any given time will adequately cover any reasonably anticipated immediate need for funds. Additionally, the Bank maintains relationships with correspondent banks, which could provide funds on short notice, if needed. The Company has invested in FHLB stock for the purpose of establishing credit lines with the FHLB. The credit availability to the Bank is equal to 30% of the Bank’s total assets as reported on the most recent quarterly financial information submitted to the regulators subject to the pledging of sufficient collateral. At June 30, 2021 and December 31, 2020, the net carrying value of the Company’s other borrowings was $425.3 million and $425.2 million, respectively.

The following liquidity ratios compare certain assets and liabilities to total deposits or total assets:

	June 30, 2021	March 31, 2021	December 31, 2020	September 30, 2020	June 30, 2020
Investment securities available-for-sale to total deposits	4.26%	4.81%	5.80%	6.96%	7.95%
Loans (net of unearned income) to total deposits	80.96%	81.67%	85.39%	93.03%	93.03%
Interest-earning assets to total assets	90.79%	91.15%	90.88%	90.66%	90.51%
Interest-bearing deposits to total deposits	61.75%	61.93%	63.73%	63.21%	64.11%

The liquidity resources of the Company are monitored continuously by the ALCO Committee and on a periodic basis by state and federal regulatory authorities. As determined under guidelines established by these regulatory authorities, the Company’s and the Bank’s liquidity ratios at June 30, 2021 were considered satisfactory. The Company is aware of no events or trends likely to result in a material change in liquidity.

57

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

The Company is exposed only to U.S. dollar interest rate changes, and, accordingly, the Company manages exposure by considering the possible changes in the net interest margin. The Company does not have any trading instruments nor does it classify any portion of the investment portfolio as held for trading. The Company’s hedging activities are limited to cash flow hedges and are part of the Company’s program to manage interest rate sensitivity.

The Company also had forward contracts and IRLCs to hedge changes in the value of the mortgage inventory due to changes in market interest rates. The fair value of these instruments amounted to an asset of approximately $20.3 million and $51.8 million at June 30, 2021 and December 31, 2020, respectively, and a liability of $2.5 million and $16.4 million at June 30, 2021 and December 31, 2020, respectively.

The Company has no exposure to foreign currency exchange rate risk, commodity price risk and other market risks.

Interest rates play a major part in the net interest income of a financial institution. The sensitivity to rate changes is known as “interest rate risk.” The repricing of interest-earning assets and interest-bearing liabilities can influence the changes in net interest income. As part of the Company’s asset/liability management program, the timing of repriced assets and liabilities is referred to as “gap management.”

The Company uses simulation analysis to monitor changes in net interest income due to changes in market interest rates. The simulation of rising, declining and flat interest rate scenarios allows management to monitor and adjust interest rate sensitivity to minimize the impact of market interest rate swings. The analysis of the impact on net interest income over a 12-month and 24-month period is subjected to gradual and parallel shocks of 100, 200, 300 and 400 basis point increases and decreases in market rates and is monitored on a quarterly basis.

Additional information required by Item 305 of Regulation S-K is set forth under Part I, Item 2 of this report.

Item 4. Controls and Procedures.

The Company’s Chief Executive Officer and Chief Financial Officer have evaluated the Company’s disclosure controls and procedures (as such term is defined in Rules 13a-15(e) or 15d-15(e) promulgated under the Exchange Act) as of the end of the period covered by this report, as required by paragraph (b) of Rules 13a-15 or 15d-15 of the Exchange Act. Based on such evaluation, such officers have concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures were effective.

During the quarter ended June 30, 2021, there was no change in the Company’s internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Rules 13a-15 or 15d-15 of the Exchange Act that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

58

PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

Disclosure concerning legal proceedings can be found in Part I - "Financial Information, Item 1. Financial Statements, Notes to Unaudited Consolidated Financial Statements, Note 9 – Commitments and Contingencies" under the caption, "Litigation and Regulatory Contingencies," which is incorporated herein by reference.

Item 1A. Risk Factors.

There have been no material changes to the risk factors disclosed in Item 1A. of Part I of our Annual Report on Form 10-K for the year ended December 31, 2020.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

None.

Item 3. Defaults Upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

Not applicable.

Item 5. Other Information.

None.

59

Item 6. Exhibits.

Exhibit Number	Description
3.1	Articles of Incorporation of Ameris Bancorp, as amended (incorporated by reference to Exhibit 2.1 to Ameris Bancorp’s Regulation A Offering Statement on Form 1-A filed with the SEC on August 14, 1987).
3.2	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.7 to Ameris Bancorp’s Annual Report on Form 10-K filed with the SEC on March 26, 1999).
3.3	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.9 to Ameris Bancorp’s Annual Report on Form 10-K filed with the SEC on March 31, 2003).
3.4	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.1 to Ameris Bancorp’s Current Report on Form 8-K filed with the SEC on December 1, 2005).
3.5	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.1 to Ameris Bancorp’s Current Report on Form 8-K filed with the SEC on November 21, 2008).
3.6	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.1 to Ameris Bancorp’s Current Report on Form 8-K filed with the SEC on June 1, 2011).
3.7	Articles of Amendment to the Articles of Incorporation of Ameris Bancorp (incorporated by reference to Exhibit 3.7 to Ameris Bancorp's Quarterly Report on Form 10-Q filed with the SEC on August 10, 2020).
3.8	Bylaws of Ameris Bancorp, as amended and restated through June 11, 2020 (incorporated by reference to Exhibit 3.8 to Ameris Bancorp's Quarterly Report on Form 10-Q filed with the SEC on August 10, 2020).
10.1	Ameris Bancorp 2021 Omnibus Equity Incentive Plan (incorporated by reference to Exhibit B to Ameris Bancorp’s definitive Proxy Statement filed with the Commission on April 26, 2021)
10.2	Form of Restricted Share Award Agreement under the 2021 Omnibus Equity Incentive Plan
10.3	Form of Restricted Share Unit Award Agreement under the 2021 Omnibus Equity Incentive Plan
10.4	Form of Performance Unit Award Agreement under the 2021 Omnibus Equity Incentive Plan
31.1	Rule 13a-14(a)/15d-14(a) Certification by the Company’s Chief Executive Officer.
31.2	Rule 13a-14(a)/15d-14(a) Certification by the Company’s Chief Financial Officer.
32.1	Section 1350 Certification by the Company’s Chief Executive Officer.
32.2	Section 1350 Certification by the Company’s Chief Financial Officer.
101.INS	XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
101.SCH	Inline XBRL Taxonomy Extension Schema Document.
101.CAL	Inline XBRL Taxonomy Extension Calculation Linkbase Document.
101.DEF	Inline XBRL Taxonomy Extension Definition Linkbase Document.
101.LAB	Inline XBRL Taxonomy Extension Label Linkbase Document.
101.PRE	Inline XBRL Taxonomy Extension Presentation Linkbase Document.
104	Cover Page Interactive Data File - the cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

60

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

Dated: August 9, 2021	AMERIS BANCORP
	/s/ Nicole S. Stokes
	Nicole S. Stokes
	Chief Financial Officer (duly authorized signatory and principal accounting and financial officer)

61

EX-10.2

AMERIS BANCORP
RESTRICTED SHARE AWARD AGREEMENT
(Pursuant to the Ameris Bancorp 2021 Omnibus Equity Incentive Plan)

THIS RESTRICTED SHARE AWARD AGREEMENT (this “Agreement”) is made and entered into on _______ (the “Grant Date”), by and between Ameris Bancorp, a Georgia corporation (the “Company”), and _____________ (the “Participant”). Capitalized terms used but not defined in this Agreement shall have the meanings ascribed to such terms in the Ameris Bancorp 2021 Omnibus Equity Incentive Plan (the “Plan”).

Section 1.    Restricted Share Award. The Company hereby grants to the Participant, subject to the terms and conditions of the Plan and this Agreement, an Award of Restricted Shares for ___________ shares (the “Restricted Stock”) of the Company’s common stock, $1.00 par value per share (the “Common Stock”).

Section 2.     Vesting of Restricted Stock; Lapse of Restrictions. Except as otherwise set forth in this Agreement, the shares of Restricted Stock shall vest, and restrictions under the Plan and this Agreement with respect to the shares of Restricted Stock shall lapse, with respect to ___________ shares on [each of] ___________ ([each, a] [the] “Vesting Date”), provided that: (i) a Termination of Service with respect to the Participant does not occur prior to the [applicable] Vesting Date; and (ii) the Performance Goals (if any) set forth on Appendix A, attached hereto and incorporated herein by this reference, with respect to the [applicable] Vesting Date have been met. If the vesting schedule set forth in this Section 2 would result in the Participant vesting in a fractional share of Restricted Stock, then the number of shares in which the Participant becomes vested shall be rounded down to the nearest whole share of Restricted Stock.

Section 3.     Issuance of Restricted Stock. The shares of Restricted Stock may be evidenced by book-entry registration or the issuance of a stock certificate or certificates, which certificate or certificates shall be held by the Company or any custodian appointed by the Company for the account of the Participant subject to the terms and conditions of the Plan and this Agreement. Any such stock certificate or certificates shall be registered in the name of the Participant and shall bear an appropriate legend, as determined by the Committee, referring to the restrictions applicable to the shares of Restricted Stock under this Agreement and the Plan. If requested by the Company, the Participant agrees to execute a stock power, in favor of the Company, with respect to each stock certificate or evidence of book-entry registration representing the shares of Restricted Stock. When the Participant obtains a vested right to the shares of Restricted Stock, each stock certificate or evidence of book-entry registration representing the vested shares shall be delivered to the Participant, free of such legend.

Section 4.     Voting Rights and Dividends. [Prior to the [applicable] Vesting Date for the shares of Restricted Stock, the Participant shall receive any cash dividends with respect to the shares of Restricted Stock[, may vote the shares of Restricted Stock] and may participate in any distribution pursuant to a plan of dissolution or complete liquidation of the Company.] In the event of a dividend or distribution payable in stock or other property, or a reclassification, split up or similar event, prior to the [applicable] Vesting Date for the shares of Restricted Stock, the shares or other property issued or declared with respect to the shares of Restricted Stock shall be subject to the same terms and conditions relating to vesting as the shares to which they relate.

Section 5.    Termination/Change of Status.

5.1     Termination Other Than for Death, Disability or Retirement. If a Termination of Service occurs with respect to the Participant (other than a Termination of Service due to death, Disability or Retirement) prior to the [applicable] Vesting Date for the shares of Restricted Stock, then all shares of Restricted Stock which have not vested and for which the restrictions have not lapsed prior to such Termination of Service shall be immediately forfeited, and the Participant shall have no further rights with respect to such shares of Restricted Stock.

5.2    Termination for Death or Disability. If a Termination of Service occurs with respect to the Participant due to the Participant’s death or Disability prior to the [applicable] Vesting Date for the shares of Restricted Stock,then all such shares of Restricted Stock which have not vested and for which the restrictions have not lapsed prior to such Termination of Service shall automatically vest in full, and such restrictions shall automatically lapse and shall be of no further force or effect.

5.3    Termination for Retirement. If a Termination of Service occurs with respect to the Participant due to the Participant’s Retirementprior to the [applicable] Vesting Date for the shares of Restricted Stock, then, with the approval of the Committee or its designee (which may be withheld in its absolute discretion), the restrictions with respect to a pro rata portion of the shares of Restricted Stock that were scheduled to lapse on the next Vesting Date immediately following the date of such Retirement shall lapse and such shares shall be deemed vested in a pro rata amount equal to the quotient, expressed as a percentage (which shall not be greater than 100%), resulting from dividing: (i) the number of days that have lapsed from the most recent Vesting Date preceding the date of such Retirement (or, if there is no such Vesting Date, then the Grant Date); and (ii) [365]. In such event, the remaining portion of the shares of Restricted Stock which have not so vested, and for which the restrictions have not so lapsed, prior to the date of such Retirement shall be immediately forfeited, and the Participant shall have no further rights with respect to such shares of Restricted Stock.

Section 6.    No Transfer or Pledge of Restricted Stock. No shares of Restricted Stock may be sold, assigned, transferred, pledged, hypothecated or otherwise encumbered or disposed of prior to the applicable Vesting Date for such shares. Any attempt to do so shall be null, void and without effect.

Section 7.     Taxes.

7.1     Withholding Taxes. The Participant shall be required to pay to the Company, and the Company shall have the right to deduct from any compensation payable to the Participant, the amount of any required withholding taxes in respect of the shares of Restricted Stock and to take all such other action as the Committee deems necessary to satisfy all obligations for the payment of such withholding taxes. In the discretion of the Committee, the Participant may satisfy any federal, state or local tax withholding obligation by any of the following means, or by a combination of such means:

(a)Tendering a cash payment;

(b)Authorizing the Company to withhold shares of Common Stock otherwise issuable or deliverable under this Agreement (or to allow the return of shares of Common Stock) having a Fair Market Value equal to the amount required to be withheld; provided, however, that no shares of Common Stock shall be withheld with a value exceeding the maximum amount of tax required to be withheld by applicable law; or

2

(c)Delivering to the Company previously owned and unencumbered shares of Common Stock with a Fair Market Value equal to the amount required to be withheld.

7.2    Tax-Related Items. Notwithstanding any action the Company takes with respect to any or all income tax, social insurance, payroll tax or other tax-related withholding (“Tax-Related Items”), the ultimate liability for all Tax-Related Items is and remains the Participant’s responsibility, and the Company: (i) makes no representation or undertakings regarding the treatment of any Tax-Related Items in connection with the grant or vesting of the Restricted Stock or the subsequent sale of any shares of Common Stock; and (ii) does not commit to structure the Award evidenced by this Agreement to reduce or eliminate the Participant’s liability for Tax-Related Items.

7.3     Section 83(b). The Participant may make an election under Section 83(b) of the Code (a “Section 83(b) Election”) with respect to the Award evidenced by this Agreement. Any such election must be made within thirty (30) days after the Grant Date. If the Participant elects to make a Section 83(b) Election, then the Participant shall provide the Company with a copy of an executed version and satisfactory evidence of the filing of the executed Section 83(b) Election with the Internal Revenue Service. The Participant agrees to assume full responsibility for ensuring that the Section 83(b) Election is actually and timely filed with the Internal Revenue Service and for all tax consequences resulting from the Section 83(b) Election.

Section 8.     Change in Control. In the event a Change in Control occurs prior to the [applicable] Vesting Date for the shares of Restricted Stock and prior to the occurrence of a Termination of Service with respect to the Participant, then all such shares of Restricted Stock which have not vested and for which the restrictions have not lapsed prior to the Change in Control shall automatically vest in full, and such restrictions shall automatically lapse and shall be of no further force or effect.

Section 9.     No Right to Continued Service. If the Participant is an Employee, then this Agreement shall not be construed as giving the Participant the right to continued employment with the Employer, and the Employer may at any time dismiss the Participant from employment free from any liability or any claim under the Plan or this Agreement. If the Participant is a director of the Company (or any Subsidiary or Affiliate), then this Agreement shall not be construed as giving the Participant the right to be retained as such, and the Participant shall be subject to removal as a director in accordance with the provisions of the governing documents of the Company (or the applicable Subsidiary or Affiliate) free from any liability or any claim under the Plan or this Agreement.

Section 10.    Clawback Rights. The Participant acknowledges and agrees that the Award evidenced by this Agreement is subject to any compensation, clawback or recoupment policy that the Company may adopt from time to time that is applicable by its terms to the Participant, whether or not adopted before or after the Grant Date.

Section 11.     Governing Provisions. This Agreement is made under and subject to the provisions of the Plan, and all of the provisions of the Plan are also provisions of this Agreement. If there is a difference or conflict between the provisions of this Agreement and the provisions of the Plan, then the provisions of the Plan will govern.

Section 12. Participant Acceptance. By signing this Agreement, the Participant agrees to be bound by the terms and conditions of the Plan and this Agreement and accepts the Award evidenced by this Agreement as of the date of hereof. The Participant accepts as binding, conclusive and final all decisions and determinations of the Committee upon any questions arising under this Agreement or the

3

Plan. The Participant acknowledges delivery of the Plan and the Plan prospectus together with this Agreement.

Section 13.     Miscellaneous.

13.1.Entire Agreement. This Agreement and the Plan contain the entire understanding and agreement between the Company and the Participant concerning the Restricted Stock granted hereby, and supersede any prior or contemporaneous negotiations and understandings. The Company and the Participant have made no promises, agreements, conditions or understandings relating to the Restricted Stock, either orally or in writing, that are not included in this Agreement or the Plan.

13.2.Captions. The captions and section numbers appearing in this Agreement are inserted only as a matter of convenience. They do not define, limit, construe or describe the scope or intent of the provisions of this Agreement.

13.3.Counterparts; Electronic Signatures. This Agreement may be executed in counterparts, each of which when signed by the Company and the Participant will be deemed an original and all of which together will be deemed the same Agreement. Electronic signatures in the form of handwritten signatures on a facsimile transmittal and scanned and digitized images of a handwritten signature (e.g., scanned document in PDF format) shall have the same force and effect as original manual signatures.

13.4.Compliance With Laws and Regulations. The award of Restricted Stock pursuant to this Agreement shall be subject to all applicable federal and state laws, rules and regulations, and to such approvals by any governmental or regulatory agency as may be required.

13.5.Notice. Any notice to the Company provided for in this Agreement will be addressed to the Company in care of the Company’s Corporate Secretary at the Company’s corporate headquarters, and any notice to the Participant will be addressed to the Participant at the current address shown on the payroll records of the Company, or to such other address as the Participant may designate to the Company in writing. Any notice will be delivered by hand, sent by facsimile or enclosed in a properly sealed envelope addressed as stated above, registered and deposited, postage prepaid, in a post office regularly maintained by the United States Postal Service or with an overnight courier.

13.6.Waiver: Amendment. Subject to the terms of the Plan, the Committee may waive any conditions or rights under, amend any terms of or alter, suspend, discontinue, cancel or terminate, this Agreement; provided, however, that any such waiver, amendment, alteration, suspension, discontinuance, cancellation or termination that would materially and adversely affect the rights of the Participant shall not to that extent be effective without the consent of the Participant.

13.7.Successors and Assignment. Each and all of the provisions of this Agreement are binding upon and inure to the benefit of the Company and the Participant and their respective heirs, successors and assigns, as applicable. However, neither the Restricted Stock nor this Agreement may be assigned or transferred except as otherwise set forth in this Agreement or the Plan.

13.8.Governing Law. The validity, construction and effect of the Plan and this Agreement, and any rules and regulations relating thereto, shall be determined in accordance with the laws of the State of Georgia without giving effect to conflicts of laws principles.

[Signature page to follow.]

4

IN WITNESS WHEREOF, the Company and the Participant have executed this Agreement as of the Grant Date.

AMERIS BANCORP:

By:

Name:

Title:

PARTICIPANT:

By:

Name:

5

EXHIBIT A

Performance Goals

[To be determined at the time of grant.]

EX-10.3

AMERIS BANCORP
RESTRICTED SHARE UNIT AWARD AGREEMENT
(Pursuant to the Ameris Bancorp 2021 Omnibus Equity Incentive Plan)

THIS RESTRICTED SHARE UNIT AWARD AGREEMENT (the “Agreement”) is made and entered into on ___________ (the “Grant Date”), by and between Ameris Bancorp, a Georgia corporation (the “Company”), and ___________ (the “Participant”). Capitalized terms used but not defined in this Agreement shall have the meanings ascribed to such terms in the Ameris Bancorp 2021 Omnibus Equity Incentive Plan (the “Plan”).

Section 1.    Restricted Share Unit Award. The Company hereby grants to the Participant, subject to the terms and conditions of the Plan and this Agreement, an Award of Restricted Share Units consisting of _______ Restricted Share Units. Each Restricted Share Unit represents the right to receive one share of the Company’s common stock, $1.00 par value per share (the “Common Stock”), subject to the terms and conditions set forth in this Agreement and the Plan.

Section 2.     Vesting of Restricted Share Units; Lapse of Restrictions. Except as otherwise set forth in this Agreement, the Restricted Share Units shall vest, and restrictions under the Plan and this Agreement with respect to the Restricted Share Units shall lapse, with respect to ___________ Restricted Share Units on [each of] ___________ ([each, a] [the] “Vesting Date”), provided that a Termination of Service with respect to the Participant does not occur prior to the [applicable] Vesting Date.

Section 3.    Issuance of Common Stock. The Participant will receive a distribution with respect to the Restricted Share Units vested pursuant to this Agreement, if any, within sixty (60) days following the date the Restricted Share Units become vested in accordance with Section 2 (the “Payment Date”); provided, however, that such distribution will be made no later than March 15 of the fiscal year following the [applicable] Vesting Date. The distribution will be made with respect to the Restricted Share Units on the Payment Date in shares of Common Stock, with each Restricted Share Unit vested equivalent to one share of Common Stock. In no event will any fractional shares be issued, and the total number of shares of Common Stock to be issued pursuant to this Agreement will, to the extent necessary, be rounded down to the next whole share of Common Stock in order to avoid the issuance of a fractional share.

Section 4.     Dividends and Dividend Equivalents.

(a)Prior to the issuance, if any, of shares of Common Stock to the Participant with respect to vested Restricted Share Units pursuant to Section 3, the Participant will not have any rights of a shareholder of the Company on account of the Restricted Share Units.

(b)Notwithstanding the foregoing, if any dividend or other distribution, whether regular or extraordinary and whether payable in cash, securities or other property, is declared and paid on the outstanding Common Stock prior to the issuance of shares of Common Stock with respect to vested Restricted Share Units pursuant to Section 3 (i.e., those shares are not otherwise issued and outstanding for purposes of entitlement to the dividend or distribution), then an account will be established for the Participant on the books and records of the Company and credited with a dividend equivalent equal to the actual dividend or distribution which would have been paid on the Restricted Share Units had shares of Common Stock been issued with respect to such Restricted Share Units and been outstanding and entitled to that dividend or distribution. The dividend equivalents so credited will vest, if at all, at the same time as the Restricted Share Units to which they relate and will be distributed to the Participant (in the same form as the actual

dividend or distribution was paid to the holders of the Common Stock entitled to that dividend or distribution or in such other form as the Committee deems appropriate) concurrently with the issuance of shares of Common Stock with respect to the vested Restricted Share Units pursuant to Section 3.

Section 5.     Termination/Change of Status.

5.1.Termination Other Than for Death, Disability or Retirement. If a Termination of Service occurs with respect to the Participant (other than a Termination of Service due to death, Disability or Retirement) prior to the [applicable] Vesting Date for the Restricted Share Units, then all Restricted Share Units which have not vested and for which the restrictions have not lapsed prior to such Termination of Service shall be immediately forfeited, and the Participant shall have no further rights with respect to such Restricted Share Units or the related shares of Common Stock.

5.2.Termination for Death or Disability. If a Termination of Service occurs with respect to the Participant due to the Participant’s death or Disability prior to the [applicable] Vesting Date for the Restricted Share Units,then all such Restricted Share Units which have not vested and for which the restrictions have not lapsed prior to such Termination of Service shall automatically vest in full, and such restrictions shall automatically lapse and shall be of no further force or effect.

5.3.Termination for Retirement. If a Termination of Service occurs with respect to the Participant due to the Participant’s Retirement prior to the [applicable] Vesting Date for the Restricted Share Units, then, with the approval of the Committee or its designee (which may be withheld in its absolute discretion), the restrictions with respect to a pro rata portion of the Restricted Share Units that were scheduled to lapse on the next Vesting Date immediately following the date of such Retirement shall lapse and such units shall be deemed vested in a pro rata amount equal to the quotient, expressed as a percentage (which shall not be greater than 100%), resulting from dividing: (i) the number of days that have lapsed from the most recent Vesting Date preceding the date of such Retirement (or, if there is no such Vesting Date, then the Grant Date); and (ii) [365]. In such event, the remaining portion of the Restricted Share Units which have not so vested, and for which the restrictions have not so lapsed, prior to the date of such Retirement shall be immediately forfeited, and the Participant shall have no further rights with respect to such Restricted Share Units or the related shares of Common Stock.

Section 6.     No Transfer or Pledge of Restricted Share Units. The Restricted Share Units issued hereunder may not be assigned, transferred, pledged, hypothecated or otherwise encumbered or disposed of. Any attempt to do so shall be null, void and without effect.

Section 7.     Taxes.

7.1    Withholding Taxes. The Participant shall be required to pay to the Company, and the Company shall have the right to deduct from any compensation payable to the Participant, the amount of any required withholding taxes in respect of the Restricted Share Units and to take all such other action as the Committee deems necessary to satisfy all obligations for the payment of such withholding taxes. In the discretion of the Committee, the Participant may satisfy any federal, state or local tax withholding obligation by any of the following means, or by a combination of such means:

(a)Tendering a cash payment;

(b)Authorizing the Company to withhold shares of Common Stock from the shares of Common Stock otherwise issuable or deliverable to the Participant under this Agreement having

2

a Fair Market Value equal to the amount required to be withheld; provided, however, that no shares of Common Stock shall be withheld with a value exceeding the maximum amount of tax required to be withheld by applicable law; or

(c)Delivering to the Company previously owned and unencumbered shares of Common Stock with a Fair Market Value equal to the amount required to be withheld.

7.2    Tax-Related Items. Notwithstanding any action the Company takes with respect to any or all income tax, social insurance, payroll tax or other tax-related withholding (“Tax-Related Items”), the ultimate liability for all Tax-Related Items is and remains the Participant’s responsibility, and the Company: (i) makes no representation or undertakings regarding the treatment of any Tax-Related Items in connection with the grant, vesting or settlement of the Restricted Share Units or the subsequent sale of any shares of Common Stock; and (ii) does not commit to structure the Award evidenced by this Agreement to reduce or eliminate the Participant’s liability for Tax-Related Items.

Section 8.     Change in Control. In the event a Change in Control occurs prior to the [applicable] Vesting Date for the Restricted Share Units and prior to the occurrence of a Termination of Service with respect to the Participant, then all such Restricted Share Units which have not vested and for which the restrictions have not lapsed prior to the Change in Control shall automatically vest in full, and such restrictions shall automatically lapse and shall be of no further force or effect.

Section 9.     No Right to Continued Service. If the Participant is an Employee, then this Agreement shall not be construed as giving the Participant the right to continued employment with the Employer, and the Employer may at any time dismiss the Participant from employment free from any liability or any claim under the Plan or this Agreement. If the Participant is a director of the Company (or any Subsidiary or Affiliate), then this Agreement shall not be construed as giving the Participant the right to be retained as such, and the Participant shall be subject to removal as a director in accordance with the provisions of the governing documents of the Company (or the applicable Subsidiary or Affiliate) free from any liability or any claim under the Plan or this Agreement.

Section 10.     Clawback Rights. The Participant acknowledges and agrees that the Award evidenced by this Agreement is subject to any compensation, clawback or recoupment policy that the Company may adopt from time to time that is applicable by its terms to the Participant, whether or not adopted before or after the Grant Date.

Section 11.     Governing Provisions. This Agreement is made under and subject to the provisions of the Plan, and all of the provisions of the Plan are also provisions of this Agreement. If there is a difference or conflict between the provisions of this Agreement and the provisions of the Plan, then the provisions of the Plan will govern.

Section 12.     Participant Acceptance. By signing this Agreement, the Participant agrees to be bound by the terms and conditions of the Plan and this Agreement and accepts the Award evidenced by this Agreement as of the Grant Date. The Participant accepts as binding, conclusive and final all decisions and determinations of the Committee upon any questions arising under this Agreement or the Plan. The Participant acknowledges delivery of the Plan and the Plan prospectus together with this Agreement.

Section 13.     Miscellaneous.

3

13.1.Entire Agreement. This Agreement and the Plan contain the entire understanding and agreement between the Company and the Participant concerning the Restricted Share Units and the shares of Common Stock that may be issued pursuant to this Agreement, and supersede any prior or contemporaneous negotiations and understandings. The Company and the Participant have made no promises, agreements, conditions or understandings relating to the Restricted Share Units or the shares of Common Stock that may be issued pursuant to this Agreement, either orally or in writing, that are not included in this Agreement or the Plan.

13.2.Captions. The captions and section numbers appearing in this Agreement are inserted only as a matter of convenience. They do not define, limit, construe or describe the scope or intent of the provisions of this Agreement.

13.3.Counterparts; Electronic Signatures. This Agreement may be executed in counterparts, each of which when signed by the Company and the Participant will be deemed an original and all of which together will be deemed the same Agreement. Electronic signatures in the form of handwritten signatures on a facsimile transmittal and scanned and digitized images of a handwritten signature (e.g., scanned document in PDF format) shall have the same force and effect as original manual signatures.

13.4.Compliance With Laws and Regulations. The award of Restricted Share Units and the issuance of shares of Common Stock which may be issued pursuant to this Agreement shall be subject to all applicable federal and state laws, rules and regulations, and to such approvals by any governmental or regulatory agency as may be required.

13.5.Notice. Any notice to the Company provided for in this Agreement will be addressed to the Company in care of the Company’s Corporate Secretary at the Company’s corporate headquarters, and any notice to the Participant will be addressed to the Participant at the current address shown on the payroll records of the Company, or to such other address as the Participant may designate to the Company in writing. Any notice will be delivered by hand, sent by facsimile or enclosed in a properly sealed envelope addressed as stated above, registered and deposited, postage prepaid, in a post office regularly maintained by the United States Postal Service or with an overnight courier.

13.6.Waiver; Amendment. Subject to the terms of the Plan, the Committee may waive any conditions or rights under, amend any terms of or alter, suspend, discontinue, cancel or terminate, this Agreement; provided, however, that any such waiver, amendment, alteration, suspension, discontinuance, cancellation or termination that would materially and adversely affect the rights of the Participant shall not to that extent be effective without the consent of the Participant.

13.7.Successors and Assignment. Each and all of the provisions of this Agreement are binding upon and inure to the benefit of the Company and the Participant and their respective heirs, successors and assigns, as applicable. However, neither the Restricted Share Units nor this Agreement may be assigned or transferred except as otherwise set forth in this Agreement or the Plan.

13.8.Governing Law. The validity, construction and effect of the Plan and this Agreement, and any rules and regulations relating thereto, shall be determined in accordance with the laws of the State of Georgia without giving effect to conflicts of laws principles.

[Signature Page to Follow]

4

IN WITNESS WHEREOF, the Company and the Participant have executed this Agreement as of the Grant Date.

AMERIS BANCORP:

By:

Name:

Title:

PARTICIPANT:

By:

Name:

5

EX-10.4

AMERIS BANCORP
PERFORMANCE UNIT AWARD AGREEMENT
(Pursuant to the Ameris Bancorp 2021 Omnibus Equity Incentive Plan)

THIS PERFORMANCE UNIT AWARD AGREEMENT (the “Agreement”) is made and entered into on ___________ (the “Grant Date”), by and between Ameris Bancorp, a Georgia corporation (the “Company”), and ___________ (the “Participant”). Capitalized terms used but not defined in this Agreement shall have the meanings ascribed to such terms in the Ameris Bancorp 2021 Omnibus Equity Incentive Plan (the “Plan”).

Section 1.    Performance Unit Award.

(a)The Company hereby grants to the Participant, subject to the terms and conditions of the Plan and this Agreement, an Award of Performance Units consisting of a target number of _______ Performance Units that may become earned and vested based on the level of achievement of the Performance Goals set forth on Appendix A attached hereto and incorporated herein by this reference (“Appendix A”). The actual number of Performance Units earned and vested will be based on the actual performance level achieved with respect to the Performance Goals. Each Performance Unit will entitle the Participant to receive, at such time as is determined in accordance with the provisions of the Plan and this Agreement, one fully paid, nonassessable share of the Company’s common stock, $1.00 par value per share (the “Common Stock”).

(b)The target number of Performance Units set forth in this Agreement is equal to the target number of shares of Common Stock that the Participant will earn and become vested in for 100% achievement of the Performance Goals (the “Target Award”). The actual number of shares of Common Stock that the Participant will earn and become vested in with respect to the Performance Units, if any, may be greater or less than the Target Award and will be based on the performance level achieved by the Company with respect to the Performance Goals, as set forth on Appendix A. The Company’s performance level is measured based on the threshold, target and maximum performance levels set forth on Appendix A. If actual performance is between performance levels, then the number of Performance Units earned and vested will be interpolated on a straight line basis for pro-rata achievement of the Performance Goals, rounded up or down to the nearest whole number, provided that failure to achieve the threshold performance level with respect to a Performance Goal will result in no Performance Units being earned and vested with respect to that Performance Goal.

(c)The Committee may, at any time prior to the final determination of whether the Performance Goals have been attained, change the Performance Goals to equitably reflect the occurrence of any extraordinary event, any change in applicable accounting rules or principles, any change in the Company’s method of accounting, any change in applicable law, or any change due to any merger, consolidation, acquisition, reorganization, stock split, stock dividend, combination of shares or other change in the Company’s corporate structure, capitalization or shares, or any other change of a similar nature.

Section 2.     Vesting of Performance Units.

(a)Except as otherwise set forth in this Agreement, the Performance Units will become earned and vested based on the performance level achieved with respect to the Performance Goals, provided that a Termination of Service with respect to the Participant does

not occur prior to the last day (the “Vesting Date”) of the applicable performance period set forth on Appendix A (the “Performance Period”).

(b)The Committee will, as soon as practicable following the last day of the Performance Period, certify: (i) the extent, if any, to which, each of the Performance Goals has been achieved with respect to the Performance Period; and (ii) the number of shares of Common Stock, if any, which the Participant will be entitled to receive pursuant to this Agreement. Such certification will be final, conclusive and binding on the Participant and on all other persons to the maximum extent permitted by applicable law. If the Committee makes a final determination that the Performance Goals have not been achieved, then the Participant will have no further rights to receive shares of Common Stock under this Agreement.

Section 3.    Issuance of Common Stock. The Participant will receive a distribution with respect to the Performance Units earned and vested pursuant to this Agreement, if any, within sixty (60) days following the date the Performance Units become earned and vested in accordance with Section 2 (the “Payment Date”); provided, however, that such distribution will be made no later than March 15 of the fiscal year following the end of the Performance Period. The distribution will be made with respect to the Performance Units on the Payment Date in shares of Common Stock, with each Performance Unit earned and vested equivalent to one share of Common Stock. In no event will any fractional shares be issued, and the total number of shares of Common Stock to be issued pursuant to this Agreement will, to the extent necessary, be rounded down to the next whole share of Common Stock in order to avoid the issuance of a fractional share.

Section 4.     Dividends and Dividend Equivalents.

(a)Prior to the issuance, if any, of shares of Common Stock to the Participant with respect to earned and vested Performance Units pursuant to Section 3, the Participant will not have any rights of a shareholder of the Company on account of the Performance Units.

(b)Notwithstanding the foregoing, if any dividend or other distribution, whether regular or extraordinary and whether payable in cash, securities or other property, is declared and paid on the outstanding Common Stock prior to the issuance of shares of Common Stock with respect to earned and vested Performance Units pursuant to Section 3 (i.e., those shares are not otherwise issued and outstanding for purposes of entitlement to the dividend or distribution), then an account will be established for the Participant on the books and records of the Company and credited with a dividend equivalent equal to the actual dividend or distribution which would have been paid on the Performance Units had shares of Common Stock been issued with respect to such Performance Units and been outstanding and entitled to that dividend or distribution. The dividend equivalents so credited will vest, if at all, at the same time as the Performance Units to which they relate and will be distributed to the Participant (in the same form as the actual dividend or distribution was paid to the holders of the Common Stock entitled to that dividend or distribution or in such other form as the Committee deems appropriate) concurrently with the issuance of shares of Common Stock with respect to the earned and vested Performance Units pursuant to Section 3.

Section 5.     Termination/Change of Status.

5.1.Termination Other Than for Death, Disability or Retirement. If a Termination of Service occurs with respect to the Participant (other than a Termination of Service due to death, Disability

2

or Retirement) prior to the Vesting Date, then, irrespective of the level of achievement of the Performance Goals, the Participant will have no rights with respect to any portion of the Performance Units that have not become earned and vested as of the date of such Termination of Service, and the Participant will forfeit all rights to receive such Performance Units and the related shares of Common Stock.

5.2.Termination for Death or Disability. If a Termination of Service occurs with respect to the Participant due to the Participant’s death or Disability prior to the Vesting Date, then the Participant will earn and become vested in a pro-rata portion of the Performance Units, based on the actual performance results for the Performance Period, prorated for the portion of the Performance Period during which the Participant was employed by, or providing service to, the Employer.In such event, the remaining portion of the Performance Units which have not become so earned and vested shall be immediately forfeited, and the Participant shall have no further rights with respect to such Performance Units or the related shares of Common Stock.

5.3.Termination for Retirement. If a Termination of Service occurs with respect to the Participant due to the Participant’s Retirement prior to the Vesting Date, then, with the approval of the Committee or its designee (which may be withheld in its absolute discretion), the Participant will earn and become vested in a pro-rata portion of the Performance Units, based on the actual performance results for the Performance Period, prorated for the portion of the Performance Period during which the Participant was employed by, or providing service to, the Employer. In such event, the remaining portion of the Performance Units which have not become so earned and vested shall be immediately forfeited, and the Participant shall have no further rights with respect to such Performance Units or the related shares of Common Stock.

Section 6.     No Transfer or Pledge of Performance Units. The Performance Units issued hereunder may not be assigned, transferred, pledged, hypothecated or otherwise encumbered or disposed of. Any attempt to do so shall be null, void and without effect.

Section 7.     Taxes.

7.1    Withholding Taxes. The Participant shall be required to pay to the Company, and the Company shall have the right to deduct from any compensation payable to the Participant, the amount of any required withholding taxes in respect of the Performance Units and to take all such other action as the Committee deems necessary to satisfy all obligations for the payment of such withholding taxes. In the discretion of the Committee, the Participant may satisfy any federal, state or local tax withholding obligation by any of the following means, or by a combination of such means:

(a)Tendering a cash payment;

(b)Authorizing the Company to withhold shares of Common Stock from the shares of Common Stock otherwise issuable or deliverable to the Participant under this Agreement having a Fair Market Value equal to the amount required to be withheld; provided, however, that no shares of Common Stock shall be withheld with a value exceeding the maximum amount of tax required to be withheld by applicable law; or

(c)Delivering to the Company previously owned and unencumbered shares of Common Stock with a Fair Market Value equal to the amount required to be withheld.

7.2    Tax-Related Items. Notwithstanding any action the Company takes with respect to any or all income tax, social insurance, payroll tax or other tax-related withholding (“Tax-Related

3

Items”), the ultimate liability for all Tax-Related Items is and remains the Participant’s responsibility, and the Company: (i) makes no representation or undertakings regarding the treatment of any Tax-Related Items in connection with the grant, vesting or settlement of the Performance Units or the subsequent sale of any shares of Common Stock; and (ii) does not commit to structure the Award evidenced by this Agreement to reduce or eliminate the Participant’s liability for Tax-Related Items.

Section 8.     Change in Control. In the event a Change in Control occurs prior to the Vesting Date and prior to the occurrence of a Termination of Service with respect to the Participant, the Performance Period will end on the date of the Change in Control and the Performance Units will become earned and vested based on the greater of: (i) the Company’s actual performance level achieved with respect to the Performance Goals as of the date of the Change in Control; and (ii) the target performance level as to each Performance Goal, such that not less than 100% of the Target Award is earned and vested as of the date of the Change in Control. In such event, the remaining portion of the Performance Units which have not become so earned and vested shall be immediately forfeited, and the Participant shall have no further rights with respect to such Performance Units or the related shares of Common Stock.

Section 9.     No Right to Continued Employment. This Agreement shall not be construed as giving the Participant the right to be retained in the employ of the Employer, and the Employer may at any time dismiss the Participant from employment free from any liability or any claim under the Plan or this Agreement.

Section 10.     Clawback Rights. The Participant acknowledges and agrees that the Award evidenced by this Agreement is subject to any compensation, clawback or recoupment policy that the Company may adopt from time to time that is applicable by its terms to the Participant, whether or not adopted before or after the Grant Date.

Section 11.     Governing Provisions. This Agreement is made under and subject to the provisions of the Plan, and all of the provisions of the Plan are also provisions of this Agreement. If there is a difference or conflict between the provisions of this Agreement and the provisions of the Plan, then the provisions of the Plan will govern.

Section 12.     Participant Acceptance. By signing this Agreement, the Participant agrees to be bound by the terms and conditions of the Plan and this Agreement and accepts the Award evidenced by this Agreement as of the Grant Date. The Participant accepts as binding, conclusive and final all decisions and determinations of the Committee upon any questions arising under this Agreement or the Plan. The Participant acknowledges delivery of the Plan and the Plan prospectus together with this Agreement.

Section 13.     Miscellaneous.

13.1.Entire Agreement. This Agreement and the Plan contain the entire understanding and agreement between the Company and the Participant concerning the Performance Units and the related shares of Common Stock, and supersede any prior or contemporaneous negotiations and understandings. The Company and the Participant have made no promises, agreements, conditions or understandings relating to the Performance Units or the related shares of Common Stock, either orally or in writing, that are not included in this Agreement or the Plan.

13.2.Captions. The captions and section numbers appearing in this Agreement are inserted only as a matter of convenience. They do not define, limit, construe or describe the scope or intent of the provisions of this Agreement.

4

13.3.Counterparts; Electronic Signatures. This Agreement may be executed in counterparts, each of which when signed by the Company and the Participant will be deemed an original and all of which together will be deemed the same Agreement. Electronic signatures in the form of handwritten signatures on a facsimile transmittal and scanned and digitized images of a handwritten signature (e.g., scanned document in PDF format) shall have the same force and effect as original manual signatures.

13.4.Compliance With Laws and Regulations. The award of Performance Units and the issuance of shares of Common Stock which may be issued pursuant to this Agreement shall be subject to all applicable federal and state laws, rules and regulations, and to such approvals by any governmental or regulatory agency as may be required.

13.5.Notice. Any notice to the Company provided for in this Agreement will be addressed to the Company in care of the Company’s Corporate Secretary at the Company’s corporate headquarters, and any notice to the Participant will be addressed to the Participant at the current address shown on the payroll records of the Company, or to such other address as the Participant may designate to the Company in writing. Any notice will be delivered by hand, sent by facsimile or enclosed in a properly sealed envelope addressed as stated above, registered and deposited, postage prepaid, in a post office regularly maintained by the United States Postal Service or with an overnight courier.

13.6.Waiver; Amendment. Subject to the terms of the Plan, the Committee may waive any conditions or rights under, amend any terms of or alter, suspend, discontinue, cancel or terminate, this Agreement; provided, however, that any such waiver, amendment, alteration, suspension, discontinuance, cancellation or termination that would materially and adversely affect the rights of the Participant shall not to that extent be effective without the consent of the Participant.

13.7.Successors and Assignment. Each and all of the provisions of this Agreement are binding upon and inure to the benefit of the Company and the Participant and their respective heirs, successors and assigns, as applicable. However, neither the Performance Units nor this Agreement may be assigned or transferred except as otherwise set forth in this Agreement or the Plan.

13.8.Governing Law. The validity, construction and effect of the Plan and this Agreement, and any rules and regulations relating thereto, shall be determined in accordance with the laws of the State of Georgia without giving effect to conflicts of laws principles.

[Signature Page to Follow]

5

IN WITNESS WHEREOF, the Company and the Participant have executed this Agreement as of the Grant Date.

AMERIS BANCORP:

By:

Name:

Title:

PARTICIPANT:

By:

Name:

6

EXHIBIT A

Performance Goals and Performance Period

        [To be determined at the time of grant.]

EX-31.1

Exhibit 31.1

CERTIFICATION

I, H. Palmer Proctor, Jr., certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the period ended June 30, 2021, of Ameris Bancorp;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: August 9, 2021	/s/ H. Palmer Proctor, Jr.
	H. Palmer Proctor, Jr.
	Chief Executive Officer
	(principal executive officer)

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Nicole S. Stokes, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the period ended June 30, 2021, of Ameris Bancorp;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: August 9, 2021	/s/ Nicole S. Stokes
	Nicole S. Stokes, Chief Financial Officer
	(principal accounting and financial officer)

EX-32.1

Exhibit 32.1

SECTION 1350 CERTIFICATION

I, H. Palmer Proctor, Jr., Chief Executive Officer of Ameris Bancorp (the “Company”), do hereby certify, in accordance with 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

1. The Quarterly Report on Form 10-Q of the Company for the period ending June 30, 2021 (the “Periodic Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Periodic Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: August 9, 2021	/s/ H. Palmer Proctor, Jr.
	H. Palmer Proctor, Jr., Chief Executive Officer
	(principal executive officer)

EX-32.2

Exhibit 32.2

SECTION 1350 CERTIFICATION

I, Nicole S. Stokes, Executive Vice President and Chief Financial Officer of Ameris Bancorp (the “Company”), do hereby certify, in accordance with 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

1. The Quarterly Report on Form 10-Q of the Company for the period ending June 30, 2021 (the “Periodic Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Periodic Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: August 9, 2021	/s/ Nicole S. Stokes
	Nicole S. Stokes,
	Chief Financial Officer
	(principal accounting and financial officer)

XML

Cover - shares	6 Months Ended
	Jun. 30, 2021	Jul. 31, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2021
Document Transition Report	false
Entity File Number	001-13901
Entity Registrant Name	AMERIS BANCORP
Entity Incorporation, State or Country Code	GA
Entity Tax Identification Number	58-1456434
Entity Address, Address Line One	3490 Piedmont Rd N.E., Suite 1550
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30305
City Area Code	(404)
Local Phone Number	639-6500
Title of 12(b) Security	Common Stock, par value $1 per share
Trading Symbol	ABCB
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		69,766,395
Amendment Flag	false
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q2
Entity Central Index Key	0000351569
Current Fiscal Year End Date	--12-31

XML

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Assets
Cash and due from banks	$ 259,729	$ 203,349
Federal funds sold and interest-bearing deposits in banks	3,044,795	1,913,957
Cash and cash equivalents	3,304,524	2,117,306
Time deposits in other banks	0	249
Debt securities available-for-sale, at fair value, net of allowance for credit losses of $81 and $112	778,167	982,879
Debt securities held-to-maturity, at amortized cost, net of allowance for credit losses of $0 and $0 (fair value of $29,008 and $0)	29,055	0
Other investments	27,621	28,202
Loans held for sale (includes loans at fair value of $1,210,589 and $1,001,807)	1,210,589	1,167,659
Loans, net of unearned income	14,780,791	14,480,925
Allowance for credit losses	(175,070)	(199,422)
Loans, net	14,605,721	14,281,503
Other real estate owned, net	5,775	11,880
Premises and equipment, net	229,994	222,890
Goodwill	928,005	928,005
Other intangible assets, net	63,783	71,974
Cash value of bank owned life insurance	277,839	176,467
Deferred income taxes, net	9,081	33,314
Other assets	416,777	416,310
Total assets	21,886,931	20,438,638
Deposits:
Noninterest-bearing	6,983,761	6,151,070
Interest-bearing	11,274,236	10,806,753
Total deposits	18,257,997	16,957,823
Securities sold under agreements to repurchase	5,544	11,641
Other borrowings	425,303	425,155
Subordinated deferrable interest debentures	125,331	124,345
Other liabilities	235,752	272,586
Total liabilities	19,049,927	17,791,550
Commitments and Contingencies
Shareholders’ Equity
Preferred stock, stated value $1,000; 5,000,000 shares authorized; 0 shares issued and outstanding	0	0
Common stock, par value $1; 200,000,000 shares authorized; 72,007,871 and 71,753,705 shares issued	72,008	71,754
Capital surplus	1,920,566	1,913,285
Retained earnings	863,828	671,510
Accumulated other comprehensive income, net of tax	25,024	33,505
Treasury stock, at cost, 2,240,662 and 2,212,224 shares	(44,422)	(42,966)
Total shareholders’ equity	2,837,004	2,647,088
Total liabilities and shareholders’ equity	$ 21,886,931	$ 20,438,638

XML

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Available-for-sale, allowance for credit loss	$ 81	$ 112
Debt securities, held-to-maturity, allowance for credit loss	0	0
Investment securities held-to-maturity	29,008	0
Loans held for sale, fair value	$ 1,210,589	$ 1,001,807
Preferred stock, stated value (in dollars per share)	$ 1,000	$ 1,000
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares Issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	72,007,871	71,753,705
Treasury stock, shares (in shares)	2,240,662	2,212,224

XML

Consolidated Statements of Income and Comprehensive Income (unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Interest income
Interest and fees on loans	$ 167,761	$ 175,345	$ 338,918	$ 346,587
Interest on taxable securities	5,244	9,347	11,362	19,429
Interest on nontaxable securities	139	157	280	314
Interest on deposits in other banks and federal funds sold	607	169	1,141	1,456
Total interest income	173,751	185,018	351,701	367,786
Interest expense
Interest on deposits	5,775	14,273	12,573	38,375
Interest on other borrowings	6,124	6,931	12,299	17,652
Total interest expense	11,899	21,204	24,872	56,027
Net interest income	161,852	163,814	326,829	311,759
Provision for loan losses	(899)	68,449	(17,478)	105,496
Provision for unfunded commitments	1,299	19,712	(10,540)	23,712
Provision for other credit losses	(258)	0	(431)	0
Provision for credit losses	142	88,161	(28,449)	129,208
Net interest income after provision for credit losses	161,710	75,653	355,278	182,551
Noninterest income
Service charges on deposit accounts	11,007	9,922	21,836	21,766
Mortgage banking activity	70,231	104,925	168,717	140,258
Other service charges, commissions and fees	1,056	949	2,072	1,910
Net gain (loss) on securities	1	14	(11)	5
Other noninterest income	6,945	5,150	14,599	11,400
Total noninterest income	89,240	120,960	207,213	175,339
Noninterest expense
Salaries and employee benefits	85,505	95,168	181,490	171,114
Occupancy and equipment	10,812	13,807	22,593	25,835
Data processing and communications expenses	11,877	10,514	23,761	22,468
Credit resolution-related expenses	622	950	1,169	3,148
Advertising and marketing	1,946	1,455	3,377	3,813
Amortization of intangible assets	4,065	5,601	8,191	11,232
Merger and conversion charges	0	895	0	1,435
Other noninterest expenses	20,934	27,378	43,978	54,776
Total noninterest expense	135,761	155,768	284,559	293,821
Income (loss) before income tax expense	115,189	40,845	277,932	64,069
Income tax expense	26,862	8,609	64,643	12,511
Net income	88,327	32,236	213,289	51,558
Other comprehensive income (loss)
Net unrealized holding gains (losses) arising during period on investment securities available-for-sale, net of tax expense (benefit) of $(283), $(13), $(2,255) and $5,743	(1,066)	(49)	(8,481)	21,604
Net unrealized gains on cash flow hedge during the period, net of tax benefit of $0, $30, $0 and $4	0	111	0	14
Total other comprehensive income (loss)	(1,066)	62	(8,481)	21,618
Comprehensive income	$ 87,261	$ 32,298	$ 204,808	$ 73,176
Basic earnings per common share (in dollars per share)	$ 1.27	$ 0.47	$ 3.07	$ 0.74
Diluted earnings per common share (in dollars per share)	$ 1.27	$ 0.47	$ 3.06	$ 0.74
Weighted average common shares outstanding
Basic (in shares)	69,497	69,192	69,448	69,235
Diluted (in shares)	69,792	69,293	69,765	69,413

XML

Consolidated Statements of Income and Comprehensive Income (unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Income Statement [Abstract]
Tax expense (benefit) from unrealized holding gain (loss) on securities arising during period	$ (283)	$ (13)	$ (2,255)	$ 5,743
Tax expense (benefit) from unrealized gain (loss) on cash flow hedges arising during period	$ 0	$ 30	$ 0	$ 4

XML

Consolidated Statements of Shareholders’ Equity (unaudited) - USD ($) $ in Thousands	Total	Cumulative effect of change in accounting for credit losses	Common Stock	Capital Surplus	Retained Earnings	Retained Earnings Cumulative effect of change in accounting for credit losses	Accumulated Other Comprehensive Income, Net of Tax	Treasury Stock
Balance at beginning of period (in shares) at Dec. 31, 2019			71,499,829					1,995,996
Balance at beginning of period at Dec. 31, 2019	$ 2,469,582	$ (56,704)	$ 71,500	$ 1,907,108	$ 507,950	$ (56,704)	$ 17,995	$ (34,971)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of restricted shares (in shares)			151,976
Issuance of restricted shares	289		$ 152	137
Forfeitures of restricted shares (in shares)			(11,250)
Forfeitures of restricted shares	(170)		$ (11)	(159)
Proceeds from exercise of stock options (in shares)			33,532
Proceeds from exercise of stock options	701		$ 33	668
Share-based compensation	2,085			2,085
Purchase of treasury shares (in shares)								215,309
Purchase of treasury shares	(7,973)							$ (7,973)
Net income	51,558				51,558
Dividends on common stock shares	(20,856)				(20,856)
Other comprehensive income (loss) during the period	21,618						21,618
Balance at end of period (in shares) at Jun. 30, 2020			71,674,087					2,211,305
Balance at end of period at Jun. 30, 2020	2,460,130		$ 71,674	1,909,839	481,948		39,613	$ (42,944)
Balance at beginning of period (in shares) at Mar. 31, 2020			71,651,986					2,210,712
Balance at beginning of period at Mar. 31, 2020	2,437,150		$ 71,652	1,908,721	460,153		39,551	$ (42,927)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of restricted shares (in shares)			33,351
Issuance of restricted shares	0		$ 33	(33)
Forfeitures of restricted shares (in shares)			(11,250)
Forfeitures of restricted shares	(170)		$ (11)	(159)
Share-based compensation	1,310			1,310
Purchase of treasury shares (in shares)								593
Purchase of treasury shares	(17)							$ (17)
Net income	32,236				32,236
Dividends on common stock shares	(10,441)				(10,441)
Other comprehensive income (loss) during the period	62						62
Balance at end of period (in shares) at Jun. 30, 2020			71,674,087					2,211,305
Balance at end of period at Jun. 30, 2020	2,460,130		$ 71,674	1,909,839	481,948		39,613	$ (42,944)
Balance at beginning of period (in shares) at Dec. 31, 2020			71,753,705					2,212,224
Balance at beginning of period at Dec. 31, 2020	2,647,088		$ 71,754	1,913,285	671,510		33,505	$ (42,966)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of restricted shares (in shares)			99,308
Issuance of restricted shares	599		$ 99	500
Forfeitures of restricted shares (in shares)			(750)
Forfeitures of restricted shares	(20)		$ (1)	(19)
Proceeds from exercise of stock options (in shares)			155,608
Proceeds from exercise of stock options	4,211		$ 156	4,055
Share-based compensation	2,745			2,745
Purchase of treasury shares (in shares)								28,438
Purchase of treasury shares	(1,456)							$ (1,456)
Net income	213,289				213,289
Dividends on common stock shares	(20,971)				(20,971)
Other comprehensive income (loss) during the period	(8,481)						(8,481)
Balance at end of period (in shares) at Jun. 30, 2021			72,007,871					2,240,662
Balance at end of period at Jun. 30, 2021	2,837,004		$ 72,008	1,920,566	863,828		25,024	$ (44,422)
Balance at beginning of period (in shares) at Mar. 31, 2021			71,954,088					2,240,662
Balance at beginning of period at Mar. 31, 2021	2,757,596		$ 71,954	1,917,990	785,984		26,090	$ (44,422)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of restricted shares (in shares)			13,233
Issuance of restricted shares	0		$ 13	(13)
Forfeitures of restricted shares (in shares)			(750)
Forfeitures of restricted shares	(20)		$ (1)	(19)
Proceeds from exercise of stock options (in shares)			41,300
Proceeds from exercise of stock options	1,209		$ 42	1,167
Share-based compensation	1,441			1,441
Purchase of treasury shares	0
Net income	88,327				88,327
Dividends on common stock shares	(10,483)				(10,483)
Other comprehensive income (loss) during the period	(1,066)						(1,066)
Balance at end of period (in shares) at Jun. 30, 2021			72,007,871					2,240,662
Balance at end of period at Jun. 30, 2021	$ 2,837,004		$ 72,008	$ 1,920,566	$ 863,828		$ 25,024	$ (44,422)

XML

Consolidated Statements of Shareholders’ Equity (unaudited) (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Statement of Stockholders' Equity [Abstract]
Dividends on common share (in dollars per share)	$ 0.15	$ 0.15	$ 0.30	$ 0.30

XML

Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Operating Activities
Net income	$ 213,289	$ 51,558
Adjustments reconciling net income to net cash provided by (used in) operating activities:
Depreciation	8,226	7,923
Net losses on sale or disposal of premises and equipment	920	8
Net write-downs on other assets	149	1,090
Provision for credit losses	(28,449)	129,208
Net write-downs and (gains) losses on sale of other real estate owned	(558)	873
Share-based compensation expense	3,454	1,700
Amortization of intangible assets	8,191	11,232
Amortization of operating lease right of use assets	5,866	6,599
Provision for deferred taxes	26,488	(32,544)
Net amortization of investment securities available-for-sale	1,985	2,932
Net amortization of investment securities held-to-maturity	1	0
Net (gain) loss on securities	11	(5)
Accretion of discount on purchased loans, net	(10,589)	(16,138)
Net amortization on other borrowings	222	94
Amortization of subordinated deferrable interest debentures	986	970
Loan servicing asset impairment (recovery)	(11,388)	30,239
Originations of mortgage loans held for sale	(4,425,420)	(3,799,622)
Payments received on mortgage loans held for sale	24,477	34,849
Proceeds from sales of mortgage loans held for sale	4,198,098	3,724,287
Net gains on mortgage loans held for sale	(84,992)	(129,450)
Originations of SBA loans	(44,257)	(28,595)
Proceeds from sales of SBA loans	41,017	35,152
Net gains on sale of SBA loans	(3,453)	(2,614)
Increase in cash surrender value of bank owned life insurance	(2,078)	(1,876)
Gain on bank owned life insurance proceeds	(603)	(845)
Net gains on other loans held for sale	(457)	0
Changes in FDIC loss-share payable, net of cash payments	0	(562)
Change attributable to other operating activities	(13,363)	(52,715)
Net cash used in operating activities	(92,227)	(26,252)
Investing Activities, net of effects of business combinations
Proceeds from maturities of time deposits in other banks	249	0
Purchases of investment securities held-to-maturity	(29,056)	0
Proceeds from prepayments and maturities of securities available-for-sale	192,022	188,920
Net (increase) decrease in other investments	570	(9,529)
Net increase in loans	(219,110)	(1,591,894)
Purchases of premises and equipment	(17,196)	(9,267)
Proceeds from sale of premises and equipment	946	409
Proceeds from sales of other real estate owned	7,902	3,169
Payments paid to FDIC under loss-share agreements	0	(177)
Purchases of bank owned life insurance	(100,000)	0
Proceeds from bank owned life insurance	1,309	2,980
Payments received on other loans held for sale	9,136	0
Proceeds from sales of other loans held for sale	156,803	0
Net cash and cash equivalents received from acquisitions	0	(2,417)
Net cash provided by (used in) investing activities	3,575	(1,417,806)
Financing Activities, net of effects of business combinations
Net increase in deposits	1,300,174	1,564,859
Net decrease in securities sold under agreements to repurchase	(6,097)	(7,756)
Proceeds from other borrowings	0	4,745,000
Repayment of other borrowings	(74)	(4,725,167)
Repayment of subordinated deferrable interest debentures	0	(5,155)
Proceeds from exercise of stock options	4,211	701
Dividends paid - common stock	(20,888)	(20,841)
Purchase of treasury shares	(1,456)	(7,973)
Net cash provided by financing activities	1,275,870	1,543,668
Net increase in cash and cash equivalents	1,187,218	99,610
Cash and cash equivalents at beginning of period	2,117,306	621,849
Cash and cash equivalents at end of period	3,304,524	721,459
Cash paid during the period for:
Interest	25,985	60,725
Income taxes	30,924	7,934
Loans transferred to other real estate owned	1,239	8,165
Loans transferred from loans held for sale to loans held for investment	85,748	86,557
Loans provided for the sales of other real estate owned	1,052	299
Right-of-use assets obtained in exchange for new operating lease liabilities	2,932	8,844
Change in unrealized gain (loss) on securities available-for-sale, net of tax	(8,481)	21,603
Change in unrealized gain (loss) on cash flow hedge, net of tax	$ 0	$ 14

XML

BASIS OF PRESENTATION AND ACCOUNTING POLICIES

6 Months Ended

Jun. 30, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

BASIS OF PRESENTATION AND ACCOUNTING POLICIES

NOTE 1 – BASIS OF PRESENTATION AND ACCOUNTING POLICIES

Nature of Business

Ameris Bancorp (the “Company” or “Ameris”) is a financial holding company headquartered in Atlanta, Georgia. Ameris conducts substantially all of its operations through its wholly owned banking subsidiary, Ameris Bank (the “Bank”). At June 30, 2021, the Bank operated 165 branches in select markets in Georgia, Alabama, Florida, North Carolina and South Carolina. Our business model capitalizes on the efficiencies of a large financial services company, while still providing the community with the personalized banking service expected by our customers. We manage our Bank through a balance of decentralized management responsibilities and efficient centralized operating systems, products and loan underwriting standards. The Company’s Board of Directors and senior managers establish corporate policy, strategy and administrative policies. Within our established guidelines and policies, the banker closest to the customer responds to the differing needs and demands of his or her unique market.

Basis of Presentation

The accompanying unaudited consolidated financial statements for Ameris have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and Regulation S-X. Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statement presentation. The interim consolidated financial statements included herein are unaudited but reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for a fair presentation of the consolidated financial position and results of operations for the interim periods presented. All significant intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the period ended June 30, 2021 are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020.

In preparing the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

For purposes of reporting cash flows, cash and cash equivalents include cash on hand, cash items in process of collection, amounts due from banks, interest-bearing deposits in banks and federal funds sold. The Bank is required to maintain reserve balances in cash or on deposit with the Federal Reserve Bank of Atlanta. The required reserve rate was set to 0% effective March 26, 2020 and, accordingly, the Bank had no reserve requirement at June 30, 2021 and December 31, 2020.

Reclassifications

Certain reclassifications of prior year amounts have been made to conform with the current year presentations. The reclassifications had no effect on net income or shareholders' equity as previously reported.

Accounting Standards Adopted in 2021

ASU 2019-12 – Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes ("ASU 2019-12"). ASU 2019-12 simplifies the accounting for income taxes by removing certain technical exceptions. ASU 2019-12 also clarifies and amends the accounting for income taxes in certain areas including, among others: (i) franchise taxes that are partially based on income; (ii) whether step ups in the tax basis of goodwill should be considered part of the acquisition to which it related or recognized as a separate transaction; and (iii) requiring the effect of an enacted change in tax laws or rates to be reflected in the annual effective tax rate computation in the interim period that includes the enactment date. During the first quarter of 2021, the Company adopted this ASU and applied the amendments in this update on a modified retrospective basis for the provision related to franchise taxes and prospectively for all other amendments. The adoption did not have a material impact on the Company's consolidated financial statements.

Accounting Standards Pending Adoption

ASU No. 2021-01 – Reference Rate Reform (Topic 848): Scope ("ASU 2021-01"). ASU 2021-01 clarifies that certain optional expedients and exceptions in ASC 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. ASU 2021-01 also amends the expedients and exceptions in ASC 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. Because the guidance is intended to assist stakeholders during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. The Company is currently evaluating the impact of adopting ASU 2021-01 on the consolidated financial statements.

ASU No. 2020-04 – Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting ("ASU 2020-04"). ASU 2020-04 provides optional guidance, for a limited time, to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The amendments, which are elective, provide expedients and exceptions for applying GAAP to contract modifications and hedging relationships affected by reference rate reform if certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate that is expected to be discontinued due to reference rate reform. The optional expedients for contract modifications apply consistently for all contracts or transactions within the relevant Codification Topic, Subtopic, or Industry Subtopic that contains the guidance that otherwise would be required to be applied, while those for hedging relationships can be elected on an individual hedging relationship basis. Because the guidance is intended to assist stakeholders during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. The Company has established a working committee with representatives from relevant functional areas to inventory the contracts and accounts that are tied to LIBOR and develop a transition plan for the affected items. The Company is currently evaluating the impact of adopting ASU 2020-04 on the consolidated financial statements.

XML

INVESTMENT SECURITIES

6 Months Ended

Jun. 30, 2021

Investments, Debt and Equity Securities [Abstract]

INVESTMENT SECURITIES

NOTE 2 – INVESTMENT SECURITIES

The amortized cost and estimated fair value of securities available-for-sale along with allowance for credit losses, gross unrealized gains and losses are summarized as follows:

(dollars in thousands) Securities available-for-sale	Amortized Cost		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
June 30, 2021
U.S. government sponsored agencies	$	12,120	$	—	$	207	$	—	$	12,327
State, county and municipal securities	58,016		—		2,820		—		60,836
Corporate debt securities	43,132		(81)		810		(249)		43,612
SBA pool securities	52,283		—		2,071		(73)		54,281
Mortgage-backed securities	581,021		—		26,100		(10)		607,111
Total debt securities available-for-sale	$	746,572	$	(81)	$	32,008	$	(332)	$	778,167
December 31, 2020
U.S. government sponsored agencies	$	17,161	$	—	$	343	$	—	$	17,504
State, county and municipal securities	63,286		—		3,492		—		66,778
Corporate debt securities	51,639		(112)		602		(233)		51,896
SBA pool securities	59,973		—		2,620		(96)		62,497
Mortgage-backed securities	748,521		—		35,797		(114)		784,204
Total debt securities available-for-sale	$	940,580	$	(112)	$	42,854	$	(443)	$	982,879

The amortized cost and estimated fair value of securities held-to-maturity along with gross unrealized gains and losses are summarized as follows:

(dollars in thousands) Securities held-to-maturity	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
June 30, 2021
Mortgage-backed securities	$	29,055	$	10	$	(57)	$	29,008
Total debt securities held-to-maturity	$	29,055	$	10	$	(57)	$	29,008

The amortized cost and estimated fair value of debt securities available-for-sale and held-to-maturity as of June 30, 2021, by contractual maturity are shown below. Maturities may differ from contractual maturities in mortgage-backed securities because the mortgages underlying these securities may be called or repaid without penalty. Therefore, these securities are not included in the maturity categories in the following maturity summary:

	Available-for-Sale				Held-to-Maturity
(dollars in thousands)	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Due in one year or less	$	21,699	$	21,889	$	—	$	—
Due from one year to five years	43,270		44,969		—		—
Due from five to ten years	58,019		60,100		—		—
Due after ten years	42,563		44,098		—		—
Mortgage-backed securities	581,021		607,111		29,055		29,008
	$	746,572	$	778,167	$	29,055	$	29,008

Securities with a carrying value of approximately $389.6 million and $438.7 million at June 30, 2021 and December 31, 2020, respectively, serve as collateral to secure public deposits, securities sold under agreements to repurchase and for other purposes required or permitted by law.

The following table shows the gross unrealized losses and estimated fair value of available-for-sale securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at June 30, 2021 and December 31, 2020:

	Less Than 12 Months				12 Months or More				Total
(dollars in thousands) Securities available-for-sale	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
June 30, 2021
Corporate debt securities	$	2,920	$	(249)	$	—	$	—	$	2,920	$	(249)
SBA pool securities	—		—		2,983		(73)		2,983		(73)
Mortgage-backed securities	3,214		(7)		424		(3)		3,638		(10)
Total debt securities available-for-sale	$	6,134	$	(256)	$	3,407	$	(76)	$	9,541	$	(332)
December 31, 2020
Corporate debt securities	$	10,159	$	(233)	$	—	$	—	$	10,159	$	(233)
SBA pool securities	—		—		3,948		(96)		3,948		(96)
Mortgage-backed securities	24,120		(114)		2		—		24,122		(114)
Total debt securities available-for-sale	$	34,279	$	(347)	$	3,950	$	(96)	$	38,229	$	(443)

As of June 30, 2021, the Company’s available-for-sale security portfolio consisted of 470 securities, 17 of which were in an unrealized loss position. At June 30, 2021, the Company held nine mortgage-backed securities that were in an unrealized loss position, all of which were issued by U.S. government-sponsored entities and agencies. At June 30, 2021, the Company held five U.S. Small Business Administration (“SBA”) pool securities and three corporate securities that were in an unrealized loss position.

The following table shows the gross unrealized losses and estimated fair value of held-to-maturity securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at June 30, 2021:

	Less Than 12 Months				12 Months or More				Total
(dollars in thousands) Securities held-to-maturity	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
June 30, 2021
Mortgage-backed securities	$	9,583	$	(57)	$	—	$	—	$	9,583	$	(57)
Total debt securities held-to-maturity	$	9,583	$	(57)	$	—	$	—	$	9,583	$	(57)

As of June 30, 2021, the Company’s held-to-maturity security portfolio consisted of four mortgage-backed securities, two of which were in an unrealized loss position.

During 2021 and 2020, the Company received timely and current interest and principal payments on all of the securities classified as corporate debt securities. The Company’s investments in subordinated debt include investments in regional and super-regional banks on which the Company prepares regular analysis through review of financial information and credit ratings. Investments in preferred securities are also concentrated in the preferred obligations of regional and super-regional banks through non-pooled investment structures. The Company did not have investments in “pooled” trust preferred securities at June 30, 2021 or December 31, 2020.

At June 30, 2021 and December 31, 2020, all of the Company’s mortgage-backed securities were obligations of government-sponsored agencies.

Management and the Company’s Asset and Liability Committee (the “ALCO Committee”) evaluate available-for-sale securities in an unrealized loss position on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation, to determine if credit-related impairment exists. Management first evaluates whether they intend to sell or more likely than not will be required to sell an impaired security before recovering its amortized cost basis. If either criteria is met, the entire amount of unrealized loss is recognized in earnings with a corresponding adjustment to the security's amortized cost basis. If either of the above criteria is not met, management evaluates whether the decline in fair value is attributable to credit or resulted from other factors. The Company does not intend to sell these available-for-sale investment securities at an unrealized loss position at June 30, 2021, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Based on the results of management's review, at June 30, 2021, management determined $81,000 was attributable to credit impairment and established the allowance for credit losses accordingly. The remaining $332,000 in unrealized loss was determined to be from factors other than credit.

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Allowance for credit losses	2021		2020		2021		2020
Beginning balance	$	101	$	—	$	112	$	—
Provision for expected credit losses	(20)		—		(31)		—
Ending balance	$	81	$	—	$	81	$	—

The Company's held-to-maturity securities have zero expected credit losses and no related allowance for credit losses has been established.

Total gain (loss) on securities reported on the consolidated statements of income and comprehensive income is comprised of the following for the three and six months ended June 30, 2021 and 2020:

	Three Months Ended June 30,				Six Months Ended June 30,
(dollars in thousands)	2021		2020		2021		2020
Unrealized holding gains (losses) on equity securities	$	1	$	14	$	(11)	$	5
Total gain (loss) on securities	$	1	$	14	$	(11)	$	5

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES

6 Months Ended

Jun. 30, 2021

Receivables [Abstract]

LOANS AND ALLOWANCE FOR CREDIT LOSSES

NOTE 3 – LOANS AND ALLOWANCE FOR CREDIT LOSSES

Loans are stated at amortized cost. Balances within the major loans receivable categories are presented in the following table:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	1,406,421	$	1,627,477
Consumer installment	229,411		306,995
Indirect automobile	397,373		580,083
Mortgage warehouse	841,347		916,353
Municipal	647,578		659,403
Premium finance	780,328		687,841
Real estate – construction and development	1,527,883		1,606,710
Real estate – commercial and farmland	6,051,472		5,300,006
Real estate – residential	2,898,978		2,796,057
	$	14,780,791	$	14,480,925

Included in commercial, financial and agricultural loans at June 30, 2021 and December 31, 2020 above are $487.9 million and $827.4 million, respectively, related to the SBA's Paycheck Protection Program (“PPP”). Accrued interest receivable on loans is reported in other assets on the consolidated balance sheets totaling $62.3 million and $73.4 million at June 30, 2021 and December 31, 2020, respectively. The Company recorded an allowance for credit losses of $318,000 and $718,000 related to deferred interest on loans modified under its Disaster Relief Program at June 30, 2021 and December 31, 2020, respectively.

Nonaccrual and Past-Due Loans

A loan is placed on nonaccrual status when, in management’s judgment, the collection of the interest income appears doubtful. Interest receivable that has been accrued and is subsequently determined to have doubtful collectability is charged to interest income. Interest on loans that are classified as nonaccrual is subsequently applied to principal until the loans are returned to accrual status. The Company’s loan policy states that a nonaccrual loan may be returned to accrual status when (i) none of its principal and interest is due and unpaid, and the Company expects repayment of the remaining contractual principal and interest, or (ii) it otherwise becomes well secured and in the process of collection. Restoration to accrual status on any given loan must be supported by a well-documented credit evaluation of the borrower’s financial condition and the prospects for full repayment, approved by the Company’s Chief Credit Officer. Past-due loans are loans whose principal or interest is past due 30 days or more. In some cases, where borrowers are experiencing financial difficulties, loans may be restructured to provide terms significantly different from the original contractual terms.

The following table presents an analysis of loans accounted for on a nonaccrual basis:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	7,284	$	9,836
Consumer installment	503		709
Indirect automobile	1,393		2,831
Real estate – construction and development	1,746		5,407
Real estate – commercial and farmland	17,385		18,517
Real estate – residential	31,610		39,157
	$	59,921	$	76,457

There was no interest income recognized on nonaccrual loans during the six months ended June 30, 2021 and 2020.

The following table presents an analysis of nonaccrual loans with no related allowance for credit losses:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	966	$	764
Real estate – construction and development	66		416
Real estate – commercial and farmland	3,621		7,015
Real estate – residential	6,842		5,299
	$	11,495	$	13,494

The following table presents an analysis of past-due loans as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
June 30, 2021
Commercial, financial and agricultural	$	3,070	$	1,012	$	3,176	$	7,258	$	1,399,163	$	1,406,421	$	—
Consumer installment	1,575		1,027		869		3,471		225,940		229,411		556
Indirect automobile	699		345		895		1,939		395,434		397,373		—
Mortgage warehouse	—		—		—		—		841,347		841,347		—
Municipal	—		—		—		—		647,578		647,578		—
Premium finance	3,866		3,853		2,668		10,387		769,941		780,328		2,669
Real estate – construction and development	18,562		1,037		2,764		22,363		1,505,520		1,527,883		1,649
Real estate – commercial and farmland	1,160		618		6,412		8,190		6,043,282		6,051,472		—
Real estate – residential	10,093		4,608		27,883		42,584		2,856,394		2,898,978		—
Total	$	39,025	$	12,500	$	44,667	$	96,192	$	14,684,599	$	14,780,791	$	4,874
December 31, 2020
Commercial, financial and agricultural	$	4,576	$	2,018	$	5,652	$	12,246	$	1,615,231	$	1,627,477	$	—
Consumer installment	2,189		1,114		2,318		5,621		301,374		306,995		1,755
Indirect automobile	3,293		1,006		2,171		6,470		573,613		580,083		—
Mortgage warehouse	—		—		—		—		916,353		916,353		—
Municipal	—		—		—		—		659,403		659,403		—
Premium finance	7,188		3,895		6,571		17,654		670,187		687,841		6,571
Real estate – construction and development	13,348		723		5,150		19,221		1,587,489		1,606,710		—
Real estate – commercial and farmland	5,370		1,701		8,651		15,722		5,284,284		5,300,006		—
Real estate – residential	20,519		3,125		34,081		57,725		2,738,332		2,796,057		—
Total	$	56,483	$	13,582	$	64,594	$	134,659	$	14,346,266	$	14,480,925	$	8,326

Collateral-Dependent Loans

Collateral-dependent loans are loans where repayment is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty. If the Company determines that foreclosure is probable, these loans are written down to the lower of cost or fair value of the collateral less estimated costs to sell. When repayment is expected to be from the operation of the collateral, the allowance for credit losses is calculated as the amount by which the amortized cost basis of the financial asset exceeds the present value of expected cash flows from the operation of the collateral. The Company may, in the alternative, measure the allowance for credit loss as the amount by which the amortized cost basis of the financial asset exceeds the estimated fair value of the collateral.

The following table presents an analysis of individually evaluated collateral-dependent financial assets and related allowance for credit losses:

	June 30, 2021				December 31, 2020
(dollars in thousands)	Balance		Allowance for Credit Losses		Balance		Allowance for Credit Losses
Commercial, financial and agricultural	$	3,246	$	889	$	5,490	$	2,252
Premium finance	258		—		3,523		—
Real estate – construction and development	2,244		693		4,173		512
Real estate – commercial and farmland	83,000		18,494		100,180		21,001
Real estate – residential	10,928		1,070		9,716		891
	$	99,676	$	21,146	$	123,082	$	24,656

Credit Quality Indicators

The Company uses a nine category risk grading system to assign a risk grade to each loan in the portfolio. The following is a description of the general characteristics of the grades:

Grade 1 – Prime Credit – This grade represents loans to the Company’s most creditworthy borrowers or loans that are secured by cash or cash equivalents.

Grade 2 – Strong Credit – This grade includes loans that exhibit one or more characteristics better than that of a Good Credit. Generally, the debt service coverage and borrower’s liquidity is materially better than required by the Company’s loan policy.

Grade 3 – Good Credit – This grade is assigned to loans to borrowers who exhibit satisfactory credit histories, contain acceptable loan structures and demonstrate ability to repay.

Grade 4 – Satisfactory Credit – This grade includes loans which exhibit all the characteristics of a Good Credit, but warrant more than normal level of banker supervision due to (i) circumstances which elevate the risks of performance (such as start-up operations, untested management, heavy leverage and interim losses); (ii) adverse, extraordinary events that have affected, or could affect, the borrower’s cash flow, financial condition, ability to continue operating profitability or refinancing (such as death of principal, fire and divorce); (iii) loans that require more than the normal servicing requirements (such as any type of construction financing, acquisition and development loans, accounts receivable or inventory loans and floor plan loans); (iv) existing technical exceptions which raise some doubts about the Bank’s perfection in its collateral position or the continued financial capacity of the borrower; or (v) improvements in formerly criticized borrowers, which may warrant banker supervision.

Grade 5 – Fair Credit – This grade is assigned to loans that are currently performing and supported by adequate financial information that reflects repayment capacity but have one or more higher inherent risk characteristics.

Grade 6 – Other Assets Especially Mentioned – This grade includes loans that exhibit potential weaknesses that deserve management’s close attention. If left uncorrected, these weaknesses may result in deterioration of the repayment prospects for the asset or in the Company’s credit position at some future date.

Grade 7 – Substandard – This grade represents loans which are inadequately protected by the current credit worthiness and paying capacity of the borrower or of the collateral pledged, if any. These assets exhibit a well-defined weakness or are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. These weaknesses may be characterized by past due performance, operating losses or questionable collateral values.

Grade 8 – Doubtful – This grade includes loans which exhibit all of the characteristics of a substandard loan with the added provision that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable or improbable.

Grade 9 – Loss – This grade is assigned to loans which are considered uncollectible and of such little value that their continuance as active assets of the Bank is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing it off.

The following tables present the loan portfolio's amortized cost by class of financing receivable, risk grade and year of origination (in thousands) as of June 30, 2021 and December 31, 2020. Generally, current period renewals of credit are underwritten again at the point of renewal and considered current period originations for purposes of the tables below. The Company had an immaterial amount of revolving loans which converted to term loans and the amortized cost basis of those loans is included in the applicable origination year. There were no loans risk graded 9 at December 31, 2020.

As of June 30, 2021	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2021		2020		2019		2018		2017		Prior				Total
Commercial, Financial and Agricultural
Risk Grade:
1	$	376,496	$	140,359	$	2,340	$	918	$	219	$	4,915	$	125,123	$	650,370
2	228		446		8,778		453		766		879		3,789		15,339
3	101,165		63,440		41,678		12,311		15,782		8,307		51,509		294,192
4	62,535		67,264		53,086		67,882		26,090		29,502		88,234		394,593
5	181		3,946		3,882		3,713		5,470		4,130		6,821		28,143
6	—		6		461		406		507		4,742		497		6,619
7	375		658		3,940		2,602		3,712		5,096		782		17,165
Total commercial, financial and agricultural	$	540,980	$	276,119	$	114,165	$	88,285	$	52,546	$	57,571	$	276,755	$	1,406,421
Consumer Installment
Risk Grade:
1	$	3,954	$	4,203	$	2,252	$	1,119	$	393	$	13	$	3,099	$	15,033
2	—		—		—		24		1		55		36		116
3	11,379		9,354		3,932		1,488		497		1,595		2,943		31,188
4	10,160		71,425		41,168		32,182		12,267		10,878		3,130		181,210
5	—		32		75		8		21		160		—		296
6	—		—		5		8		—		141		6		160
7	10		217		345		166		66		536		66		1,406
9	—		—		—		—		—		—		2		2
Total consumer installment	$	25,503	$	85,231	$	47,777	$	34,995	$	13,245	$	13,378	$	9,282	$	229,411
Indirect Automobile
Risk Grade:
2	$	—	$	—	$	—	$	68	$	26	$	4,862	$	—	$	4,956
3	—		—		27,695		139,757		132,451		90,484		—		390,387
6	—		—		—		29		31		85		—		145
7	—		—		37		296		327		1,225		—		1,885
Total indirect automobile	$	—	$	—	$	27,732	$	140,150	$	132,835	$	96,656	$	—	$	397,373
Mortgage Warehouse
Risk Grade:
3	$	—	$	—	$	—	$	—	$	—	$	—	$	841,347	$	841,347
Total mortgage warehouse	$	—	$	—	$	—	$	—	$	—	$	—	$	841,347	$	841,347

As of June 30, 2021	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2021		2020		2019		2018		2017		Prior				Total
Municipal
Risk Grade:
1	$	36,781	$	93,621	$	13,555	$	7,227	$	138,378	$	192,462	$	—	$	482,024
2	1,842		72,018		—		—		—		12,968		—		86,828
3	—		60,812		650		—		5,453		2,989		—		69,904
4	—		6,140		—		—		—		2,682		—		8,822
Total municipal	$	38,623	$	232,591	$	14,205	$	7,227	$	143,831	$	211,101	$	—	$	647,578
Premium Finance
Risk Grade:
2	$	654,607	$	119,382	$	2,973	$	109	$	528	$	60	$	—	$	777,659
7	593		2,076		—		—		—		—		—		2,669
Total premium finance	$	655,200	$	121,458	$	2,973	$	109	$	528	$	60	$	—	$	780,328
Real Estate – Construction and Development
Risk Grade:
2	$	—	$	62	$	—	$	—	$	—	$	—	$	—	$	62
3	7,884		37,592		6,222		3,962		2,633		8,030		1,038		67,361
4	426,409		451,515		295,524		67,692		42,799		27,869		37,595		1,349,403
5	—		528		16,913		44,673		13,946		27,151		105		103,316
6	—		—		21		2,126		—		646		—		2,793
7	1,546		13		170		295		624		2,300		—		4,948
Total real estate – construction and development	$	435,839	$	489,710	$	318,850	$	118,748	$	60,002	$	65,996	$	38,738	$	1,527,883
Real Estate – Commercial and Farmland
Risk Grade:
1	$	—	$	—	$	—	$	146	$	—	$	—	$	—	$	146
2	56,737		7,332		354		448		2,058		12,776		—		79,705
3	566,934		853,282		410,581		171,064		169,835		485,822		43,381		2,700,899
4	227,946		424,926		580,795		432,688		241,782		631,786		31,889		2,571,812
5	1,679		17,197		112,473		72,218		133,334		149,037		4,053		489,991
6	462		—		10,369		14,008		29,841		28,571		884		84,135
7	2,184		6,791		36,428		16,648		6,430		56,298		5		124,784
Total real estate – commercial and farmland	$	855,942	$	1,309,528	$	1,151,000	$	707,220	$	583,280	$	1,364,290	$	80,212	$	6,051,472
Real Estate - Residential
Risk Grade:
1	$	—	$	—	$	—	$	—	$	—	$	15	$	—	$	15
2	—		36		378		—		96		36,139		1,150		37,799
3	611,704		681,564		352,543		157,688		115,923		390,335		186,520		2,496,277
4	16,340		12,494		16,410		12,529		8,699		49,078		35,969		151,519
5	532		19,488		43,677		22,071		13,844		54,793		2,787		157,192
6	618		417		933		870		399		3,556		107		6,900
7	408		4,042		12,503		11,053		4,215		14,001		3,054		49,276
Total real estate - residential	$	629,602	$	718,041	$	426,444	$	204,211	$	143,176	$	547,917	$	229,587	$	2,898,978

As of December 31, 2020	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2020		2019		2018		2017		2016		Prior				Total
Commercial, Financial and Agricultural
Risk Grade:
1	$	829,710	$	2,912	$	1,055	$	387	$	490	$	4,961	$	36,373	$	875,888
2	1,213		1,512		668		996		172		967		14,317		19,845
3	109,352		54,266		16,932		17,968		7,027		3,905		68,806		278,256
4	86,837		71,645		74,388		37,779		15,359		23,069		85,366		394,443
5	4,061		4,269		4,772		7,443		804		5,842		4,352		31,543
6	21		72		506		193		3,509		1,232		632		6,165
7	3,312		3,460		2,579		3,573		1,294		5,214		1,886		21,318
8	—		—		—		—		—		—		19		19
Total commercial, financial and agricultural	$	1,034,506	$	138,136	$	100,900	$	68,339	$	28,655	$	45,190	$	211,751	$	1,627,477
Consumer Installment
Risk Grade:
1	$	6,782	$	3,001	$	1,550	$	583	$	95	$	1	$	667	$	12,679
2	—		—		46		2		—		63		42		153
3	15,172		6,960		2,838		887		1,455		601		4,389		32,302
4	120,800		53,593		53,182		16,329		3,121		9,437		3,556		260,018
5	49		127		28		30		3		242		8		487
6	—		2		9		—		—		145		—		156
7	30		209		72		105		134		553		97		1,200
Total consumer installment	$	142,833	$	63,892	$	57,725	$	17,936	$	4,808	$	11,042	$	8,759	$	306,995
Indirect Automobile
Risk Grade:
2	$	—	$	—	$	81	$	31	$	5,356	$	3,054	$	—	$	8,522
3	—		35,432		187,656		188,302		103,570		52,781		—		567,741
6	—		—		57		70		62		85		—		274
7	—		163		519		561		1,078		1,225		—		3,546
Total indirect automobile	$	—	$	35,595	$	188,313	$	188,964	$	110,066	$	57,145	$	—	$	580,083
Mortgage Warehouse
Risk Grade:
3	$	—	$	—	$	—	$	—	$	—	$	—	$	916,353	$	916,353
Total mortgage warehouse	$	—	$	—	$	—	$	—	$	—	$	—	$	916,353	$	916,353
Municipal
Risk Grade:
1	$	91,692	$	12,685	$	8,944	$	143,741	$	124,929	$	97,923	$	—	$	479,914
2	73,000		—		—		—		9,410		—		—		82,410
3	39,990		713		—		5,453		7,204		5,489		—		58,849
4	31,394		—		—		—		—		6,836		—		38,230
Total municipal	$	236,076	$	13,398	$	8,944	$	149,194	$	141,543	$	110,248	$	—	$	659,403

As of December 31, 2020	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2020		2019		2018		2017		2016		Prior				Total
Premium Finance
Risk Grade:
2	$	661,614	$	18,236	$	515	$	746	$	121	$	38	$	—	$	681,270
7	5,811		760		—		—		—		—		—		6,571
Total premium finance	$	667,425	$	18,996	$	515	$	746	$	121	$	38	$	—	$	687,841
Real Estate – Construction and Development
Risk Grade:
3	$	59,325	$	7,035	$	6,870	$	8,046	$	3,415	$	6,916	$	1,293	$	92,900
4	605,254		445,496		205,444		50,181		14,672		26,915		68,574		1,416,536
5	1,614		26,720		9,612		13,261		17,712		10,127		107		79,153
6	685		1,036		3,646		1,302		—		4,564		—		11,233
7	15		2,858		566		271		42		3,136		—		6,888
Total real estate – construction and development	$	666,893	$	483,145	$	226,138	$	73,061	$	35,841	$	51,658	$	69,974	$	1,606,710
Real Estate – Commercial and Farmland
Risk Grade:
1	$	—	$	—	$	161	$	—	$	—	$	—	$	—	$	161
2	7,482		540		521		2,131		4,375		10,663		1,138		26,850
3	918,939		370,703		143,591		197,942		224,712		274,665		67,067		2,197,619
4	344,777		584,814		423,241		331,024		242,573		545,745		34,326		2,506,500
5	4,027		39,216		69,173		80,726		25,561		94,461		1,274		314,438
6	—		10,680		4,895		28,139		7,670		31,224		—		82,608
7	250		54,439		18,574		15,489		27,044		55,763		271		171,830
Total real estate – commercial and farmland	$	1,275,475	$	1,060,392	$	660,156	$	655,451	$	531,935	$	1,012,521	$	104,076	$	5,300,006
Real Estate - Residential
Risk Grade:
1	$	—	$	—	$	—	$	—	$	—	$	19	$	—	$	19
2	37		398		12		121		1,275		47,286		1,402		50,531
3	763,101		529,268		254,632		186,531		154,285		388,825		203,491		2,480,133
4	19,296		19,874		15,784		11,607		14,240		53,869		44,276		178,946
5	400		1,768		3,489		3,479		1,151		12,824		3,618		26,729
6	527		1,843		1,030		334		724		3,391		255		8,104
7	3,442		9,387		12,339		4,667		2,157		16,659		2,944		51,595
Total real estate - residential	$	786,803	$	562,538	$	287,286	$	206,739	$	173,832	$	522,873	$	255,986	$	2,796,057

Troubled Debt Restructurings

The restructuring of a loan is considered a “troubled debt restructuring” if both (i) the borrower is experiencing financial difficulties and (ii) the Company has granted a concession. Concessions may include interest rate reductions to below market interest rates, principal forgiveness, restructuring amortization schedules and other actions intended to minimize potential losses.

The Company’s policy requires a restructure request to be supported by a current, well-documented credit evaluation of the borrower’s financial condition and a collateral evaluation that is no older than six months from the date of the restructure. Key factors of that evaluation include the documentation of current, recurring cash flows, support provided by the guarantor(s) and the current valuation of the collateral. If the appraisal in the file is older than six months, an evaluation must be made as to the

continued reasonableness of the valuation. For certain income-producing properties, current rent rolls and/or other income information can be utilized to support the appraisal valuation, when coupled with documented cap rates within our markets and a physical inspection of the collateral to validate the current condition.

The Company’s policy states that in the event a loan has been identified as a troubled debt restructuring, it should be assigned a grade of substandard until such time the borrower has demonstrated the ability to service the loan payments based on the restructured terms – generally defined as six months of satisfactory payment history. Missed payments under the original loan terms are not considered under the new structure; however, subsequent missed payments are considered non-performance and are not considered toward the six month required term of satisfactory payment history.

In the normal course of business, the Company renews loans with a modification of the interest rate or terms that are not deemed to be troubled debt restructurings because the borrower is not experiencing financial difficulty. The Company modified loans in the first six months of 2021 and 2020 totaling $220.8 million and $139.6 million, respectively, under such parameters.

As of June 30, 2021 and December 31, 2020, the Company had a balance of $92.3 million and $85.0 million, respectively, in troubled debt restructurings. The Company has recorded $1.0 million and $1.2 million in previous charge-offs on such loans at June 30, 2021 and December 31, 2020, respectively. The Company’s balance in the allowance for credit losses allocated to such troubled debt restructurings was $14.2 million and $13.0 million at June 30, 2021 and December 31, 2020, respectively. At June 30, 2021, the Company did not have any commitments to lend additional funds to debtors whose terms have been modified in troubled restructurings.

The following table presents the loans by class modified as troubled debt restructurings which occurred during the three and six months ended June 30, 2021 and 2020. These modifications did not have a material impact on the Company’s allowance for credit losses.

	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	2	$	165	1	$	731	6	$	591	1	$	731
Consumer installment	2	8		3	7		2	8		4	15
Real estate – construction and development	—	—		—	—		—	—		1	20
Real estate – commercial and farmland	3	8,653		—	—		5	16,312		1	16
Real estate – residential	2	472		5	839		12	1,457		76	10,496
Total	9	$	9,298	9	$	1,577	25	$	18,368	83	$	11,278

The following table presents the outstanding balance of troubled debt restructurings by class that defaulted (defined as 30 days past due) during the three and six months ended June 30, 2021 and 2020. These defaults did not have a material impact on the Company's allowance for credit losses.

	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	—	$	—	—	$	—	3	$	49	1	$	200
Consumer installment	—	—		3	4		4	5		3	4
Indirect automobile	7	27		—	—		22	112		—	—
Real estate – construction and development	—	—		—	—		1	1		2	285
Real estate – commercial and farmland	1	202		—	—		3	5,382		2	676
Real estate – residential	17	940		4	164		27	1,646		8	567
Total	25	$	1,169	7	$	168	60	$	7,195	16	$	1,732

The following table presents the amount of troubled debt restructurings by loan class classified separately as accrual and nonaccrual at June 30, 2021 and December 31, 2020:

June 30, 2021	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	12	$	1,038	10	$	805
Consumer installment	9	28		19	43
Indirect automobile	336	1,647		47	301
Real estate – construction and development	5	898		4	301
Real estate – commercial and farmland	28	46,025		11	7,103
Real estate – residential	238	31,570		31	2,515
Total	628	$	81,206	122	$	11,068

December 31, 2020	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	9	$	521	11	$	849
Consumer installment	10	32		20	56
Indirect automobile	437	2,277		51	461
Real estate – construction and development	4	506		5	707
Real estate – commercial and farmland	28	36,707		7	1,401
Real estate – residential	264	38,800		34	2,671
Total	752	$	78,843	128	$	6,145

COVID-19 Deferrals

In response to the COVID-19 pandemic, the Company offered affected borrowers payment relief under its Disaster Relief Program. These modifications primarily consisted of short-term payment deferrals or interest-only periods to assist customers. The Company has also provided payment modifications to certain borrowers in economically sensitive industries of various terms up to nine months. Modifications related to the COVID-19 pandemic and qualifying under the provisions of Section 4013 of the CARES Act are not deemed to be troubled debt restructurings. As of June 30, 2021, $127.7 million in loans remained in payment deferral related to COVID-19 pandemic Disaster Relief Program compared with $332.8 million at December 31, 2020.

The table below presents short-term deferrals related to the COVID-19 pandemic that were not considered TDRs.

	June 30, 2021				December 31, 2020
(dollars in thousands)	COVID-19 Deferrals		Deferrals as a % of total loans		COVID-19 Deferrals		Deferrals as a % of total loans
Commercial, financial and agricultural	$	2,539	0.2	%	$	12,471	0.8	%
Consumer installment	29		—	%	1,418		0.5	%
Indirect automobile	1,126		0.3	%	8,936		1.5	%
Real estate – construction and development	873		0.1	%	11,049		0.7	%
Real estate – commercial and farmland	63,827		1.1	%	179,183		3.4	%
Real estate – residential	59,331		2.0	%	119,722		4.3	%
	$	127,725	0.9	%	$	332,779	2.3	%

Allowance for Credit Losses on Loans

The allowance for credit losses represents an allowance for expected losses over the remaining contractual life of the assets. The contractual term does not consider extensions, renewals or modifications unless the Company reasonably expects to execute a troubled debt restructuring with a borrower. The Company segregates the loan portfolio by type of loan and utilizes this segregation in evaluating exposure to risks within the portfolio.

Loan losses are charged against the allowance when management believes the collection of a loan’s principal is unlikely. Subsequent recoveries are credited to the allowance. Consumer loans are charged off in accordance with the Federal Financial Institutions Examination Council’s (“FFIEC”) Uniform Retail Credit Classification and Account Management Policy.

Commercial loans are charged off when they are deemed uncollectible, which usually involves a triggering event within the collection effort. If the loan is collateral dependent, the loss is more easily identified and is charged off when it is identified, usually based upon receipt of an appraisal. However, when a loan has guarantor support, the Company may carry the estimated loss as a reserve against the loan while collection efforts with the guarantor are pursued. If, after collection efforts with the guarantor are complete, the deficiency is still considered uncollectible, the loss is charged off and any further collections are treated as recoveries. In all situations, when a loan is downgraded to an Asset Quality Rating of 9 (Loss per the regulatory guidance), the uncollectible portion is charged off.

The Company’s methodologies for estimating the allowance for credit losses consider available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable forecasts. The methodologies apply historical loss information, adjusted for asset-specific characteristics, economic conditions at the measurement date, and forecasts about future economic conditions expected to exist through the contractual lives of the financial assets that are reasonable and supportable, to the identified pools of loans with similar risk characteristics for which the historical loss experience was observed. The Company utilizes a one year reasonable and supportable forecast period. The Company’s methodologies revert back to historical loss information on a straight-line basis over four quarters when it can no longer develop reasonable and supportable forecasts.

During the six months ended June 30, 2021, the allowance for credit losses decreased primarily due to improvement in forecasted macroeconomic factors. The allowance for credit losses was determined at June 30, 2021 using a weighting of three economic forecasts from Moody's. The Moody's baseline economic forecast, which Moody's defines as having a 50% probability the economy will perform better than the baseline projection and the same probability it will perform worse was weighted at 50%, the stagflation scenario was weighted at 35% and the downside 75th percentile S-2 scenario was weighted at 15%. The current forecast reflects, among other things, improvements in forecast levels of unemployment, home prices and commercial real estate prices compared with the forecast at December 31, 2020.

The following tables detail activity and end of period balances in the allowance for credit losses by portfolio segment for the periods indicated. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

Three Months Ended June 30, 2021
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, March 31, 2021	$	8,291	$	8,790	$	1,272	$	3,521	$	790	$	4,100
Provision for loan losses	1,502		491		(423)		(156)		(13)		(833)
Loans charged off	(3,529)		(1,669)		(141)		—		—		(1,194)
Recoveries of loans previously charged off	625		212		372		—		—		2,466
Balance, June 30, 2021	$	6,889	$	7,824	$	1,080	$	3,365	$	777	$	4,539
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, March 31, 2021	$	22,858	$	91,211	$	37,737	$	178,570
Provision for loan losses	(3,757)		(3,031)		5,321		(899)
Loans charged off	(186)		(27)		(392)		(7,138)
Recoveries of loans previously charged off	84		185		593		4,537
Balance, June 30, 2021	$	18,999	$	88,338	$	43,259	$	175,070
Six Months Ended June 30, 2021
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, December 31, 2020	$	7,359	$	4,076	$	1,929	$	3,666	$	791	$	3,879
Provision for loan losses	4,077		6,297		(951)		(301)		(14)		(391)
Loans charged off	(5,899)		(3,117)		(970)		—		—		(2,537)
Recoveries of loans previously charged off	1,352		568		1,072		—		—		3,588
Balance, June 30, 2021	$	6,889	$	7,824	$	1,080	$	3,365	$	777	$	4,539
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, December 31, 2020	$	45,304	$	88,894	$	43,524	$	199,422
Provision for loan losses	(26,344)		640		(491)		(17,478)
Loans charged off	(212)		(1,422)		(555)		(14,712)
Recoveries of loans previously charged off	251		226		781		7,838
Balance, June 30, 2021	$	18,999	$	88,338	$	43,259	$	175,070

Three Months Ended June 30, 2020
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, March 31, 2020	$	8,110	$	15,446	$	3,464	$	1,102	$	522	$	11,508
Provision for loan losses	11		5,165		574		396		(15)		(2,083)
Loans charged off	(486)		(962)		(1,016)		—		—		(1,903)
Recoveries of loans previously charged off	303		436		359		—		—		676
Balance, June 30, 2020	$	7,938	$	20,085	$	3,381	$	1,498	$	507	$	8,198
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, March 31, 2020	$	25,319	$	51,754	$	32,299	$	149,524
Provision for loan losses	28,853		38,133		(2,585)		68,449
Loans charged off	(74)		(6,315)		(525)		(11,281)
Recoveries of loans previously charged off	168		21		138		2,101
Balance, June 30, 2020	$	54,266	$	83,593	$	29,327	$	208,793
Six Months Ended June 30, 2020
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, December 31, 2019	$	4,567	$	3,784	$	—	$	640	$	484	$	2,550
Adjustment to allowance for adoption of ASC 326	2,587		8,012		4,109		463		(92)		4,471
Provision for loan losses	3,091		9,636		816		395		115		2,551
Loans charged off	(2,972)		(2,104)		(2,247)		—		—		(2,734)
Recoveries of loans previously charged off	665		757		703		—		—		1,360
Balance, June 30, 2020	$	7,938	$	20,085	$	3,381	$	1,498	$	507	$	8,198
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, December 31, 2019	$	5,995	$	9,666	$	10,503	$	38,189
Adjustment to allowance for adoption of ASC 326	12,248		27,073		19,790		78,661
Provision for loan losses	35,587		53,991		(686)		105,496
Loans charged off	(74)		(7,243)		(625)		(17,999)
Recoveries of loans previously charged off	510		106		345		4,446
Balance, June 30, 2020	$	54,266	$	83,593	$	29,327	$	208,793

XML

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

6 Months Ended

Jun. 30, 2021

Investments, Debt and Equity Securities [Abstract]

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

NOTE 4 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

The Company classifies the sales of securities under agreements to repurchase as short-term borrowings. The amounts received under these agreements are reflected as a liability in the Company’s consolidated balance sheets and the securities underlying these agreements are included in investment securities in the Company’s consolidated balance sheets. At June 30, 2021 and December 31, 2020, all securities sold under agreements to repurchase mature on a daily basis. The market value of the securities fluctuate on a daily basis due to market conditions. The Company monitors the market value of the securities underlying these agreements on a daily basis and is required to transfer additional securities if the market value of the securities fall below the repurchase agreement price. The Company maintains an unpledged securities portfolio that it believes is sufficient to protect against a decline in the market value of the securities sold under agreements to repurchase.

The following is a summary of the Company’s securities sold under agreements to repurchase at June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Securities sold under agreements to repurchase	$	5,544	$	11,641

At June 30, 2021 and December 31, 2020 the investment securities underlying these agreements were comprised of state, county and municipal securities and mortgage-backed securities.

XML

OTHER BORROWINGS

6 Months Ended

Jun. 30, 2021

Debt Disclosure [Abstract]

OTHER BORROWINGS

NOTE 5 – OTHER BORROWINGS

Other borrowings consist of the following:

(dollars in thousands)	June 30, 2021		December 31, 2020
FHLB borrowings:
Fixed Rate Advance due March 3, 2025; fixed interest rate of 1.208%	$	15,000	$	15,000
Fixed Rate Advance due March 2, 2027; fixed interest rate of 1.445%	15,000		15,000
Fixed Rate Advance due March 4, 2030; fixed interest rate of 1.606%	15,000		15,000
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%	1,406		1,411
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%	973		977
Principal Reducing Advance due September 29, 2031; fixed interest rate of 3.095%	1,493		1,567
Subordinated notes payable:
Subordinated notes payable due March 15, 2027 net of unamortized debt issuance cost of $747 and $812, respectively; fixed interest rate of 5.75% through March 14, 2022; variable interest rate thereafter at three-month LIBOR plus 3.616%	74,253		74,188
Subordinated notes payable due December 15, 2029 net of unamortized debt issuance cost of $2,044 and $2,165, respectively; fixed interest rate of 4.25% through December 14, 2024; variable interest rate thereafter at three-month SOFR plus 2.94%	117,956		117,835
Subordinated notes payable due May 31, 2030 net of unaccreted purchase accounting fair value adjustment of $1,089 and $1,150, respectively; fixed interest rate of 5.875% through May 31, 2025; variable interest rate thereafter at three-month LIBOR plus 3.63%	76,089		76,150
Subordinated notes payable due October 1, 2030 net of unamortized debt issuance cost of $1,867 and $1,973, respectively; fixed interest rate of 3.875% through September 30, 2025; variable interest rate thereafter at three-month SOFR plus 3.753%	108,133		108,027
	$	425,303	$	425,155

The advances from the FHLB are collateralized by a blanket lien on all eligible first mortgage loans and other specific loans in addition to FHLB stock. At June 30, 2021, $3.35 billion was available for borrowing on lines with the FHLB.

As of June 30, 2021, the Bank maintained credit arrangements with various financial institutions to purchase federal funds up to $127.0 million.

The Bank also participates in the Federal Reserve discount window borrowings program. At June 30, 2021, the Bank had $3.24 billion of loans pledged at the Federal Reserve discount window and had $2.25 billion available for borrowing.

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME

6 Months Ended

Jun. 30, 2021

Equity [Abstract]

ACCUMULATED OTHER COMPREHENSIVE INCOME

NOTE 6 – ACCUMULATED OTHER COMPREHENSIVE INCOME

Accumulated other comprehensive income for the Company consists of changes in net unrealized gains and losses on investment securities available-for-sale and interest rate swap derivatives. The reclassification for gains included in net income is recorded in net gain (loss) on securities in the consolidated statement of income and comprehensive income.

The following table presents a summary of the accumulated other comprehensive income balances as well as changes in each of the respective components, net of tax, for the periods indicated:

(dollars in thousands)	Unrealized Gain (Loss) on Derivatives		Unrealized Gain (Loss) on Securities		Accumulated Other Comprehensive Income
Three Months Ended June 30, 2021
Balance, March 31, 2021	$	—	$	26,090	$	26,090
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	—		(1,066)		(1,066)
Balance, June 30, 2021	$	—	$	25,024	$	25,024
Three Months Ended June 30, 2020
Balance, March 31, 2020	$	(244)	$	39,795	$	39,551
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	111		(49)		62
Balance, June 30, 2020	$	(133)	$	39,746	$	39,613
Six Months Ended June 30, 2021
Balance, December 31, 2020	$	—	$	33,505	$	33,505
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	—		(8,481)		(8,481)
Balance, June 30, 2021	$	—	$	25,024	$	25,024
Six Months Ended June 30, 2020
Balance, December 31, 2019	$	(147)	$	18,142	$	17,995
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	14		21,604		21,618
Balance, June 30, 2020	$	(133)	$	39,746	$	39,613

XML

WEIGHTED AVERAGE SHARES OUTSTANDING

6 Months Ended

Jun. 30, 2021

Earnings Per Share [Abstract]

WEIGHTED AVERAGE SHARES OUTSTANDING

NOTE 7 – WEIGHTED AVERAGE SHARES OUTSTANDING

Earnings per share have been computed based on the following weighted average number of common shares outstanding:

	Three Months Ended June 30,		Six Months Ended June 30,
(share data in thousands)	2021	2020	2021	2020
Average common shares outstanding	69,497	69,192	69,448	69,235
Common share equivalents:
Stock options	64	9	74	33
Nonvested restricted share grants	151	75	153	130
Performance stock units	80	17	90	15
Average common shares outstanding, assuming dilution	69,792	69,293	69,765	69,413

For the three and six-month periods ended June 30, 2021, there were no outstanding options exerciseable for common shares with strike prices that would cause the underlying shares to be anti-dilutive. For the three and six-month periods ended June 30, 2020, there were outstanding 252,765 and 56,000 options exerciseable for common shares, respectively, with strike prices that would cause the underlying shares to be anti-dilutive.

XML

FAIR VALUE MEASURES

6 Months Ended

Jun. 30, 2021

Fair Value Disclosures [Abstract]

FAIR VALUE MEASURES

NOTE 8 – FAIR VALUE MEASURES

The fair value of an asset or liability is the current amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various assets and liabilities. In cases where quoted market prices are not available, fair

value is based on discounted cash flows or other valuation techniques. These techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the asset or liability. The accounting standard for disclosures about the fair value measures excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company.

The Company's loans held for sale under the fair value option are comprised of the following:

(dollars in thousands)	June 30, 2021		December 31, 2020
Mortgage loans held for sale	$	1,200,139	$	998,050
SBA loans held for sale	10,450		3,757
Total loans held for sale	$	1,210,589	$	1,001,807

The Company has elected to record mortgage loans held for sale at fair value in order to eliminate the complexities and inherent difficulties of achieving hedge accounting and to better align reported results with the underlying economic changes in value of the loans and related hedge instruments. This election impacts the timing and recognition of origination fees and costs, as well as servicing value, which are now recognized in earnings at the time of origination. Interest income on mortgage loans held for sale is recorded on an accrual basis in the consolidated statements of income and comprehensive income under the heading interest income – interest and fees on loans. The servicing value is included in the fair value of the interest rate lock commitments (“IRLCs”) with borrowers. The mark to market adjustments related to mortgage loans held for sale and the associated economic hedges are captured in mortgage banking activities.

A net gain of $10.0 million and a net loss of $15.1 million resulting from fair value changes of these mortgage loans were recorded in income during the three and six months ended June 30, 2021, respectively. For the three and six months ended June 30, 2020, net gains of $26.1 million and $41.1 million, respectively, resulting from fair value changes of these mortgage loans were recorded in income. Net losses of $45.1 million and $17.6 million resulting from changes in the fair value of the related derivative financial instruments used to hedge exposure to the market-related risks associated with these mortgage loans were recorded in income during the three and six months ended June 30, 2021, respectively. For the three and six months ended June 30, 2020, net gains of $36.4 million and $33.8 million, respectively, resulting from changes in the fair value of the related derivative financial instruments were recorded in income. The change in fair value of both mortgage loans held for sale and the related derivative financial instruments are recorded in mortgage banking activity in the consolidated statements of income and comprehensive income. The Company’s valuation of mortgage loans held for sale incorporates an assumption for credit risk; however, given the short-term period that the Company holds these loans, valuation adjustments attributable to instrument-specific credit risk is nominal.

The following table summarizes the difference between the fair value and the principal balance for mortgage loans held for sale measured at fair value as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Aggregate fair value of mortgage loans held for sale	$	1,200,139	$	998,050
Aggregate unpaid principal balance of mortgage loans held for sale	1,164,671		947,460
Past-due loans of 90 days or more	361		—
Nonaccrual loans	361		—
Unpaid principal balance of nonaccrual loans	352		—

The following table summarizes the difference between the fair value and the principal balance for SBA loans held for sale measured at fair value as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Aggregate fair value of SBA loans held for sale	$	10,450	$	3,757
Aggregate unpaid principal balance of SBA loans held for sale	9,423		3,393
Past-due loans of 90 days or more	—		—
Nonaccrual loans	—		—

The Company utilizes fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Securities available-for-sale, loans held for sale and derivative financial instruments are recorded at fair

value on a recurring basis. From time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as collateral-dependent loans, loan servicing rights and OREO. Additionally, the Company is required to disclose, but not record, the fair value of other financial instruments.

The following table presents the fair value measurements of assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall as of June 30, 2021 and December 31, 2020:

	Recurring Basis Fair Value Measurements
	June 30, 2021
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
Financial assets:
Investment securities available-for-sale:
U.S. government sponsored agencies	$	12,327	$	—	$	12,327	$	—
State, county and municipal securities	60,836		—		60,836		—
Corporate debt securities	43,612		—		42,442		1,170
SBA pool securities	54,281		—		54,281		—
Mortgage-backed securities	607,111		—		607,111		—
Loans held for sale	1,210,589		—		1,210,589		—
Mortgage banking derivative instruments	20,314		—		20,314		—
Total recurring assets at fair value	$	2,009,070	$	—	$	2,007,900	$	1,170
Financial liabilities:
Mortgage banking derivative instruments	$	2,546	$	—	$	2,546	$	—
Total recurring liabilities at fair value	$	2,546	$	—	$	2,546	$	—

	Recurring Basis Fair Value Measurements
	December 31, 2020
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
Financial assets:
Investment securities available-for-sale:
U.S. government sponsored agencies	$	17,504	$	—	$	17,504	$	—
State, county and municipal securities	66,778		—		66,778		—
Corporate debt securities	51,896		—		50,726		1,170
SBA pool securities	62,497		—		62,497		—
Mortgage-backed securities	784,204		—		784,204		—
Loans held for sale	1,001,807		—		1,001,807		—
Mortgage banking derivative instruments	51,756		—		51,756		—
Total recurring assets at fair value	$	2,036,442	$	—	$	2,035,272	$	1,170
Financial liabilities:
Mortgage banking derivative instruments	$	16,415	$	—	$	16,415	$	—
Total recurring liabilities at fair value	$	16,415	$	—	$	16,415	$	—

The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy as of June 30, 2021 and December 31, 2020:

	Nonrecurring Basis Fair Value Measurements
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
June 30, 2021
Collateral-dependent loans	$	78,530	$	—	$	—	$	78,530
Other real estate owned	1,979		—		—		1,979
Mortgage servicing rights	191,675		—		—		191,675
Total nonrecurring assets at fair value	$	272,184	$	—	$	—	$	272,184
December 31, 2020
Collateral-dependent loans	$	98,426	$	—	$	—	$	98,426
Other real estate owned	4,964		—		—		4,964
Mortgage servicing rights	130,630		—		—		130,630
SBA servicing rights	5,839		—		5,839		—
Total nonrecurring assets at fair value	$	239,859	$	—	$	5,839	$	234,020

The inputs used to determine estimated fair value of collateral-dependent loans include market conditions, loan term, underlying collateral characteristics and discount rates. The inputs used to determine fair value of OREO include market conditions, estimated marketing period or holding period, underlying collateral characteristics and discount rates.

For the six months ended June 30, 2021 and the year ended December 31, 2020, there was not a change in the methods and significant assumptions used to estimate fair value.

The following table shows significant unobservable inputs used in the fair value measurement of Level 3 assets:

(dollars in thousands)	Fair Value		Valuation Technique	Unobservable Inputs	Range of Discounts	Weighted Average Discount
June 30, 2021
Recurring:
Investment securities available-for-sale	$	1,170	Discounted par values	Probability of default	13.6%	13.6%
				Loss given default	39%	39%
Nonrecurring:
Collateral-dependent loans	$	78,530	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	20% - 57%	44%
Other real estate owned	$	1,979	Third-party appraisals and sales contracts	Collateral discounts and estimated costs to sell	15% - 38%	23%
Mortgage servicing rights	$	191,675	Discounted cash flows	Discount rate	9% - 10%	9%
				Prepayment speed	13% - 42%	15%

December 31, 2020
Recurring:
Investment securities available-for-sale	$	1,170	Discounted par values	Probability of default	18.8%	18.8%
				Loss given default	40%	40%
Nonrecurring:
Collateral-dependent loans	$	98,426	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	20% - 90%	44%
Other real estate owned	$	4,964	Third-party appraisals and sales contracts	Collateral discounts and estimated costs to sell	15% - 59%	28%
Mortgage servicing rights	$	130,630	Discounted cash flows	Discount rate	9% - 12%	10%
				Prepayment speed	14% - 37%	19%

The carrying amount and estimated fair value of the Company’s financial instruments, not shown elsewhere in these financial statements, were as follows:

			Fair Value Measurements
			June 30, 2021
(dollars in thousands)	Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and due from banks	$	259,729	$	259,729	$	—	$	—	$	259,729
Federal funds sold and interest-bearing accounts	3,044,795		3,044,795		—		—		3,044,795
Time deposits in other banks	—		—		—		—		—
Investment securities held-to-maturity	29,055		—		29,008		—		29,008
Loans, net	14,527,191		—		—		14,407,763		14,407,763
Accrued interest receivable	64,906		—		2,919		61,987		64,906
Financial liabilities:
Deposits	18,257,997		—		18,262,653		—		18,262,653
Securities sold under agreements to repurchase	5,544		5,544		—		—		5,544
Other borrowings	425,303		—		430,674		—		430,674
Subordinated deferrable interest debentures	125,331		—		117,735		—		117,735
Accrued interest payable	4,375		—		4,375		—		4,375

			Fair Value Measurements
			December 31, 2020
(dollars in thousands)	Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and due from banks	$	203,349	$	203,349	$	—	$	—	$	203,349
Federal funds sold and interest-bearing accounts	1,913,957		1,913,957		—		—		1,913,957
Time deposits in other banks	249		—		249		—		249
Investment securities held-to-maturity	—		—		—		—		—
Loans, net	14,183,077		—		—		14,096,711		14,096,711
Accrued interest receivable	76,254		—		3,567		72,687		76,254
Financial liabilities:
Deposits	16,957,823		—		16,968,606		—		16,968,606
Securities sold under agreements to repurchase	11,641		11,641		—		—		11,641
Other borrowings	425,155		—		431,783		—		431,783
Subordinated deferrable interest debentures	124,345		—		116,280		—		116,280
Accrued interest payable	5,487		—		5,487		—		5,487

XML

COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2021

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

NOTE 9 – COMMITMENTS AND CONTINGENCIES

Loan Commitments

The Company is a party to financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. They involve, to varying degrees, elements of credit risk and interest rate risk in excess of the amount recognized in the Company’s balance sheets.

The Company’s exposure to credit loss is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. A summary of the Company’s commitments is as follows:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commitments to extend credit	$	3,550,269	$	2,826,719
Unused home equity lines of credit	262,576		259,015
Financial standby letters of credit	32,291		33,613
Mortgage interest rate lock commitments	674,525		1,199,939

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. These commitments, predominantly at variable interest rates, generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the customer.

Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Collateral is required in instances which the Company deems necessary. The Company has not been required to perform on any material financial standby letters of credit and the Company has not incurred any losses on financial standby letters of credit for the six months ended June 30, 2021 and the year ended December 31, 2020.

The Company maintains an allowance for credit losses on unfunded commitments which is recorded in other liabilities on the consolidated balance sheets. The following table presents activity in the allowance for unfunded commitments for the periods presented:

	Three Months Ended June 30,				Six Months Ended June 30,
(dollars in thousands)	2021		2020		2021		2020
Balance at beginning of period	$	21,015	$	17,791	$	32,854	$	1,077
Adjustment to reflect adoption of ASC 326	—		—		—		12,714
Addition due to acquisition	—		—		—		—
Provision for unfunded commitments	1,299		19,712		(10,540)		23,712
Balance at end of period	$	22,314	$	37,503	$	22,314	$	37,503

Other Commitments

As of June 30, 2021, letters of credit issued by the FHLB totaling $490.0 million were used to guarantee the Bank’s performance related to a portion of its public fund deposit balances.

Litigation and Regulatory Contingencies

From time to time, the Company and the Bank are subject to various legal proceedings, claims and disputes that arise in the ordinary course of business. The Company and the Bank are also subject to regulatory examinations, information gathering requests, inquiries and investigations in the ordinary course of business. Based on the Company’s current knowledge and advice of counsel, management presently does not believe that the liabilities arising from these legal matters will have a material adverse effect on the Company’s consolidated financial condition, results of operations or cash flows. However, it is possible

that the ultimate resolution of these legal matters could have a material adverse effect on the Company’s results of operations and financial condition for any particular period.

The Company’s management and its legal counsel periodically assess contingent liabilities, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur, and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company evaluates the perceived merits of any legal proceedings or unasserted claims, as well as the perceived merits of the amount of relief sought or expected to be sought therein. If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potentially material loss contingency is not probable, but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material, would be disclosed. Loss contingencies considered remote are generally not disclosed unless they involve guarantees, in which case the nature of the guarantee would be disclosed.

COVID-19

The COVID-19 pandemic has caused significant economic dislocation in the United States and an unprecedented slowdown in economic activity, as many state and local governments have intermittently ordered non-essential businesses to close and residents to shelter in place at home. As a result of the pandemic, commercial customers are experiencing varying levels of disruptions or restrictions on their business activity, and consumers are experiencing interrupted income or unemployment. We have outstanding loans to borrowers in certain industries that have been particularly susceptible to the effects of the pandemic, such as hotels, restaurants and other retail businesses. Given the ongoing and dynamic nature of the circumstances, it is difficult to predict the full impact of the COVID-19 pandemic on our business. The United States government has taken steps to attempt to mitigate some of the more severe anticipated economic effects of the coronavirus, including the passage of the CARES Act and subsequent legislation, but there can be no assurance that such steps will be effective or achieve their desired results in a timely fashion. The extent of such impact from the COVID-19 pandemic and related mitigation efforts will depend on future developments, which are highly uncertain, including, but not limited to, the duration of the pandemic and spread of the coronavirus, including a resurgence or additional waves or variants of the virus, the actions to contain the virus or treat its impact, including public acceptance of vaccines, and how quickly and to what extent normal economic and operating conditions can resume. This could cause a material, adverse effect on the Company’s business, financial condition and results of operations, including increases in loan delinquencies, problem assets and foreclosures; decreases in the value of collateral securing our loans; increases in our allowance for credit losses; and decreases in the value of our intangible assets.

XML

SEGMENT REPORTING

6 Months Ended

Jun. 30, 2021

Segment Reporting [Abstract]

SEGMENT REPORTING

NOTE 10 – SEGMENT REPORTING

The Company has the following five reportable segments: Banking Division, Retail Mortgage Division, Warehouse Lending Division, SBA Division and Premium Finance Division. The Banking Division derives its revenues from the delivery of full-service financial services, including commercial loans, consumer loans and deposit accounts. The Retail Mortgage Division derives its revenues from the origination, sales and servicing of one-to-four family residential mortgage loans. The Warehouse Lending Division derives its revenues from the origination and servicing of warehouse lines to other businesses that are secured by underlying one-to-four family residential mortgage loans. The SBA Division derives its revenues from the origination, sales and servicing of SBA loans. The Premium Finance Division derives its revenues from the origination and servicing of commercial insurance premium finance loans.

The Banking, Retail Mortgage, Warehouse Lending, SBA and Premium Finance Divisions are managed as separate business units because of the different products and services they provide. The Company evaluates performance and allocates resources based on profit or loss from operations. There are no material intersegment sales or transfers.

The following tables present selected financial information with respect to the Company’s reportable business segments for the three and six months ended June 30, 2021 and 2020:

	Three Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	109,260	$	34,085	$	8,988	$	14,050	$	7,368	$	173,751
Interest expense	(1,410)		11,552		268		1,168		321		11,899
Net interest income	110,670		22,533		8,720		12,882		7,047		161,852
Provision for credit losses	(3,949)		5,647		(155)		(607)		(794)		142
Noninterest income	16,171		69,055		1,333		2,677		4		89,240
Noninterest expense
Salaries and employee benefits	37,814		44,798		278		937		1,678		85,505
Occupancy and equipment	9,050		1,553		1		132		76		10,812
Data processing and communications expenses	10,280		1,435		68		—		94		11,877
Other expenses	18,763		7,638		30		284		852		27,567
Total noninterest expense	75,907		55,424		377		1,353		2,700		135,761
Income before income tax expense	54,883		30,517		9,831		14,813		5,145		115,189
Income tax expense	14,196		6,408		2,064		3,111		1,083		26,862
Net income	$	40,687	$	24,109	$	7,767	$	11,702	$	4,062	$	88,327
Total assets	$	15,561,628	$	3,917,275	$	779,234	$	748,234	$	880,560	$	21,886,931
Goodwill	863,507		—		—		—		64,498		928,005
Other intangible assets, net	50,418		—		—		—		13,365		63,783

	Three Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	128,653	$	34,714	$	5,285	$	8,757	$	7,609	$	185,018
Interest expense	8,323		10,412		259		1,723		487		21,204
Net interest income	120,330		24,302		5,026		7,034		7,122		163,814
Provision for credit losses	86,805		423		403		2,322		(1,792)		88,161
Noninterest income	14,468		104,195		727		1,570		—		120,960
Noninterest expense
Salaries and employee benefits	40,423		50,003		209		2,612		1,921		95,168
Occupancy and equipment	11,679		1,953		1		97		77		13,807
Data processing and communications expenses	8,919		1,406		55		15		119		10,514
Other expenses	27,997		6,949		88		359		886		36,279
Total noninterest expense	89,018		60,311		353		3,083		3,003		155,768
Income (loss) before income tax expense	(41,025)		67,763		4,997		3,199		5,911		40,845
Income tax expense (benefit)	(8,582)		14,231		1,049		671		1,240		8,609
Net income (loss)	$	(32,443)	$	53,532	$	3,948	$	2,528	$	4,671	$	32,236
Total assets	$	13,121,679	$	3,905,683	$	753,668	$	1,310,077	$	781,522	$	19,872,629
Goodwill	863,507		—		—		—		64,498		928,005
Other intangible assets, net	64,007		—		—		—		16,347		80,354

	Six Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	221,639	$	64,284	$	19,315	$	32,084	$	14,379	$	351,701
Interest expense	(1,847)		22,767		689		2,567		696		24,872
Net interest income	223,486		41,517		18,626		29,517		13,683		326,829
Provision for credit losses	(27,853)		1,094		(300)		(1,154)		(236)		(28,449)
Noninterest income	32,909		166,695		2,313		5,288		8		207,213
Noninterest expense
Salaries and employee benefits	80,537		94,636		608		2,319		3,390		181,490
Occupancy and equipment	19,170		3,029		2		238		154		22,593
Data processing and communications expenses	20,481		2,981		117		1		181		23,761
Other expenses	38,473		15,827		63		579		1,773		56,715
Total noninterest expense	158,661		116,473		790		3,137		5,498		284,559
Income before income tax expense	125,587		90,645		20,449		32,822		8,429		277,932
Income tax expense	32,652		19,035		4,294		6,893		1,769		64,643
Net income	$	92,935	$	71,610	$	16,155	$	25,929	$	6,660	$	213,289

	Six Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	260,954	$	68,125	$	10,135	$	12,485	$	16,087	$	367,786
Interest expense	22,249		26,067		1,807		3,270		2,634		56,027
Net interest income	238,705		42,058		8,328		9,215		13,453		311,759
Provision for credit losses	122,802		2,420		394		1,419		2,173		129,208
Noninterest income	32,241		138,564		1,687		2,847		—		175,339
Noninterest expense
Salaries and employee benefits	82,044		81,100		419		4,088		3,463		171,114
Occupancy and equipment	22,026		3,457		2		194		156		25,835
Data processing and communications expenses	19,716		2,392		96		28		236		22,468
Other expenses	58,642		12,824		122		874		1,942		74,404
Total noninterest expense	182,428		99,773		639		5,184		5,797		293,821
Income (loss) before income tax expense	(34,284)		78,429		8,982		5,459		5,483		64,069
Income tax expense (benefit)	(8,307)		16,639		1,886		1,146		1,147		12,511
Net income (loss)	$	(25,977)	$	61,790	$	7,096	$	4,313	$	4,336	$	51,558

XML

LOAN SERVICING RIGHTS

6 Months Ended

Jun. 30, 2021

Transfers and Servicing [Abstract]

LOAN SERVICING RIGHTS

NOTE 11 – LOAN SERVICING RIGHTS

The Company sells certain residential mortgage loans and SBA loans to third parties. All such transfers are accounted for as sales and the continuing involvement in the loans sold is limited to certain servicing responsibilities. The Company has also acquired portfolios of residential mortgage, SBA and indirect automobile loans serviced for others. Loan servicing rights are initially recorded at fair value and subsequently recorded at the lower of cost or fair value and are amortized over the remaining service life of the loans, with consideration given to prepayment assumptions. Loan servicing rights are recorded in other assets on the consolidated balance sheets.

The carrying value of the loan servicing rights assets is shown in the table below:

(dollars in thousands)	June 30, 2021		December 31, 2020
Loan Servicing Rights
Residential mortgage	$	191,675	$	130,630
SBA	6,123		5,839
Indirect automobile	—		73
Total loan servicing rights	$	197,798	$	136,542

Residential Mortgage Loans

The Company sells certain first-lien residential mortgage loans to third party investors, primarily Federal National Mortgage Association (“FNMA”), Government National Mortgage Association (“GNMA”), and Federal Home Loan Mortgage Corporation (“FHLMC”). The Company retains the related mortgage servicing rights (“MSRs”) and receives servicing fees on certain of these loans. The net gain on loan sales, MSRs amortization and recoveries/impairment, and ongoing servicing fees on the portfolio of loans serviced for others are recorded in the consolidated statements of income and comprehensive income as part of mortgage banking activity.

During the three- and six-months ended June 30, 2021, the Company recorded servicing fee income of $11.3 million and $21.5 million, respectively. During the three- and six-months ended June 30, 2020, the Company recorded servicing fee income of $6.9 million and $13.1 million, respectively. Servicing fee income includes servicing fees, late fees and ancillary fees earned for each period.

The table below is an analysis of the activity in the Company’s MSRs and valuation allowance:

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Residential mortgage servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	154,746	$	85,922	$	130,630	$	94,902
Additions	43,377		19,298		65,244		35,359
Amortization	(7,197)		(5,687)		(14,681)		(9,853)
Recoveries/(impairment)	749		(8,152)		10,482		(29,027)
Ending carrying value, net	$	191,675	$	91,381	$	191,675	$	91,381

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Residential mortgage servicing valuation allowance	2021		2020		2021		2020
Beginning balance	$	29,674	$	20,979	$	39,407	$	104
Additions	—		8,152		—		29,027
Recoveries	(749)		—		(10,482)		—
Ending balance	$	28,925	$	29,131	$	28,925	$	29,131

The key metrics and the sensitivity of the fair value to adverse changes in model inputs and/or assumptions are summarized below:

(dollars in thousands)	June 30, 2021			December 31, 2020
Residential mortgage servicing rights
Unpaid principal balance of loans serviced for others	$	15,486,442		$	13,764,529
Composition of residential loans serviced for others:
FHLMC	21.35		%	21.55		%
FNMA	61.30		%	61.75		%
GNMA	17.35		%	16.70		%
Total	100.00		%	100.00		%
Weighted average term (months)	340			340
Weighted average age (months)	19			20
Modeled prepayment speed	14.67		%	18.82		%
Decline in fair value due to a 10% adverse change	(8,237)			(7,154)
Decline in fair value due to a 20% adverse change	(15,818)			(13,664)
Weighted average discount rate	8.76		%	9.50		%
Decline in fair value due to a 10% adverse change	(6,866)			(4,304)
Decline in fair value due to a 20% adverse change	(13,193)			(8,321)

The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in model inputs and/or assumptions generally cannot be extrapolated because the relationship of the change in input or assumption to the change in fair value may not be linear. In addition, the effect of an adverse variation in a particular input or assumption on the value of the residential mortgage servicing rights is calculated without changing any other input or assumption. In reality, changes in one factor may magnify or counteract the effect of the change.

SBA Loans

All sales of SBA loans, consisting of the guaranteed portion, are executed on a servicing retained basis. These loans, which are partially guaranteed by the SBA, are generally secured by business property such as real estate, inventory, equipment and accounts receivable. The net gain on SBA loan sales, amortization and impairment/recoveries of servicing rights, and ongoing servicing fees are recorded in the consolidated statements of income and comprehensive income as part of other noninterest income.

During the three- and six-months ended June 30, 2021, the Company recorded servicing fee income of $980,000 and $2.0 million, respectively. During the three- and six-months ended June 30, 2020, the Company recorded servicing fee income of $1.0 million and $2.1 million, respectively. Servicing fee income includes servicing fees, late fees and ancillary fees earned for each period.

The table below is an analysis of the activity in the Company’s SBA loan servicing rights and valuation allowance:

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
SBA servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	6,445	$	5,394	$	5,839	$	7,886
Additions	241		100		471		475
Purchase accounting adjustment	—		—		—		(1,214)
Amortization	(563)		(416)		(1,092)		(779)
Recoveries/(impairment)	—		163		905		(1,127)
Ending carrying value, net	$	6,123	$	5,241	$	6,123	$	5,241

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
SBA servicing valuation allowance	2021		2020		2021		2020
Beginning balance	$	—	$	1,431	$	905	$	141
Additions	—		—		—		1,127
Recoveries	—		(163)		(905)		—
Ending balance	$	—	$	1,268	$	—	$	1,268

(dollars in thousands)	June 30, 2021			December 31, 2020
SBA servicing rights
Unpaid principal balance of loans serviced for others	$	431,185		$	351,325
Weighted average life (in years)	3.59			3.46
Modeled prepayment speed	18.37		%	19.14		%
Decline in fair value due to a 10% adverse change	(393)			(335)
Decline in fair value due to a 20% adverse change	(747)			(636)
Weighted average discount rate	7.77		%	9.55		%
Decline in fair value due to a 100 basis point adverse change	(187)			(151)
Decline in fair value due to a 200 basis point adverse change	(365)			(295)

The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in model inputs and/or assumptions generally cannot be extrapolated because the relationship of the change in input or assumption to the change in fair value may not be linear. In addition, the

effect of an adverse variation in a particular input or assumption on the value of the SBA servicing rights is calculated without changing any other input or assumption. In reality, changes in one factor may magnify or counteract the effect of the change.

Indirect Automobile Loans

The Company previously acquired a portfolio of indirect automobile loans serviced for others. These loans, or portions of loans, were sold on a servicing retained basis. Amortization and impairment/recoveries of servicing rights, and ongoing servicing fees are recorded in the consolidated statements of income and comprehensive income as part of other noninterest income. The Company is not actively originating or selling indirect automobile loans.

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Indirect automobile servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	29	$	204	$	73	$	247
Amortization	(29)		(42)		(73)		(85)
Ending carrying value, net	$	—	$	162	$	—	$	162

During the three- and six-months ended June 30, 2021, the Company recorded servicing fee income of $170,000 and $376,000, respectively. During the three- and six-months ended June 30, 2020, the Company recorded servicing fee income of $518,000 and $1.2 million, respectively. Servicing fee income includes servicing fees, late fees and ancillary fees earned for each period.

XML

BASIS OF PRESENTATION AND ACCOUNTING POLICIES (Policies)

6 Months Ended

Jun. 30, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Nature of Business

Nature of Business

Ameris Bancorp (the “Company” or “Ameris”) is a financial holding company headquartered in Atlanta, Georgia. Ameris conducts substantially all of its operations through its wholly owned banking subsidiary, Ameris Bank (the “Bank”). At June 30, 2021, the Bank operated 165 branches in select markets in Georgia, Alabama, Florida, North Carolina and South Carolina. Our business model capitalizes on the efficiencies of a large financial services company, while still providing the community with the personalized banking service expected by our customers. We manage our Bank through a balance of decentralized management responsibilities and efficient centralized operating systems, products and loan underwriting standards. The Company’s Board of Directors and senior managers establish corporate policy, strategy and administrative policies. Within our established guidelines and policies, the banker closest to the customer responds to the differing needs and demands of his or her unique market.

Basis of Presentation

Basis of Presentation

The accompanying unaudited consolidated financial statements for Ameris have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and Regulation S-X. Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statement presentation. The interim consolidated financial statements included herein are unaudited but reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for a fair presentation of the consolidated financial position and results of operations for the interim periods presented. All significant intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the period ended June 30, 2021 are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020.

In preparing the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the balance sheet and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

Cash and Cash EquivalentsFor purposes of reporting cash flows, cash and cash equivalents include cash on hand, cash items in process of collection, amounts due from banks, interest-bearing deposits in banks and federal funds sold. The Bank is required to maintain reserve balances in cash or on deposit with the Federal Reserve Bank of Atlanta.

Reclassifications

ReclassificationsCertain reclassifications of prior year amounts have been made to conform with the current year presentations. The reclassifications had no effect on net income or shareholders' equity as previously reported.

Accounting Standards Adopted in 2021 and Accounting Standards Pending Adoption

Accounting Standards Adopted in 2021

ASU 2019-12 – Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes ("ASU 2019-12"). ASU 2019-12 simplifies the accounting for income taxes by removing certain technical exceptions. ASU 2019-12 also clarifies and amends the accounting for income taxes in certain areas including, among others: (i) franchise taxes that are partially based on income; (ii) whether step ups in the tax basis of goodwill should be considered part of the acquisition to which it related or recognized as a separate transaction; and (iii) requiring the effect of an enacted change in tax laws or rates to be reflected in the annual effective tax rate computation in the interim period that includes the enactment date. During the first quarter of 2021, the Company adopted this ASU and applied the amendments in this update on a modified retrospective basis for the provision related to franchise taxes and prospectively for all other amendments. The adoption did not have a material impact on the Company's consolidated financial statements.

Accounting Standards Pending Adoption

ASU No. 2021-01 – Reference Rate Reform (Topic 848): Scope ("ASU 2021-01"). ASU 2021-01 clarifies that certain optional expedients and exceptions in ASC 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. ASU 2021-01 also amends the expedients and exceptions in ASC 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. Because the guidance is intended to assist stakeholders during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. The Company is currently evaluating the impact of adopting ASU 2021-01 on the consolidated financial statements.

ASU No. 2020-04 – Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting ("ASU 2020-04"). ASU 2020-04 provides optional guidance, for a limited time, to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The amendments, which are elective, provide expedients and exceptions for applying GAAP to contract modifications and hedging relationships affected by reference rate reform if certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate that is expected to be discontinued due to reference rate reform. The optional expedients for contract modifications apply consistently for all contracts or transactions within the relevant Codification Topic, Subtopic, or Industry Subtopic that contains the guidance that otherwise would be required to be applied, while those for hedging relationships can be elected on an individual hedging relationship basis. Because the guidance is intended to assist stakeholders during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. The Company has established a working committee with representatives from relevant functional areas to inventory the contracts and accounts that are tied to LIBOR and develop a transition plan for the affected items. The Company is currently evaluating the impact of adopting ASU 2020-04 on the consolidated financial statements.

XML

INVESTMENT SECURITIES (Tables)

6 Months Ended

Jun. 30, 2021

Investments, Debt and Equity Securities [Abstract]

Amortized Cost and Estimated Fair Value of Debt Securities Available for Sale

The amortized cost and estimated fair value of securities available-for-sale along with allowance for credit losses, gross unrealized gains and losses are summarized as follows:

(dollars in thousands) Securities available-for-sale	Amortized Cost		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
June 30, 2021
U.S. government sponsored agencies	$	12,120	$	—	$	207	$	—	$	12,327
State, county and municipal securities	58,016		—		2,820		—		60,836
Corporate debt securities	43,132		(81)		810		(249)		43,612
SBA pool securities	52,283		—		2,071		(73)		54,281
Mortgage-backed securities	581,021		—		26,100		(10)		607,111
Total debt securities available-for-sale	$	746,572	$	(81)	$	32,008	$	(332)	$	778,167
December 31, 2020
U.S. government sponsored agencies	$	17,161	$	—	$	343	$	—	$	17,504
State, county and municipal securities	63,286		—		3,492		—		66,778
Corporate debt securities	51,639		(112)		602		(233)		51,896
SBA pool securities	59,973		—		2,620		(96)		62,497
Mortgage-backed securities	748,521		—		35,797		(114)		784,204
Total debt securities available-for-sale	$	940,580	$	(112)	$	42,854	$	(443)	$	982,879

Amortized Cost and Estimated Fair Value of Debt Securities Held-to-Maturity

The amortized cost and estimated fair value of securities held-to-maturity along with gross unrealized gains and losses are summarized as follows:

(dollars in thousands) Securities held-to-maturity	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
June 30, 2021
Mortgage-backed securities	$	29,055	$	10	$	(57)	$	29,008
Total debt securities held-to-maturity	$	29,055	$	10	$	(57)	$	29,008

Amortized Cost and Estimated Fair Value of Debt Securities, Classified by Contractual Maturity Date

The amortized cost and estimated fair value of debt securities available-for-sale and held-to-maturity as of June 30, 2021, by contractual maturity are shown below. Maturities may differ from contractual maturities in mortgage-backed securities because the mortgages underlying these securities may be called or repaid without penalty. Therefore, these securities are not included in the maturity categories in the following maturity summary:

	Available-for-Sale				Held-to-Maturity
(dollars in thousands)	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Due in one year or less	$	21,699	$	21,889	$	—	$	—
Due from one year to five years	43,270		44,969		—		—
Due from five to ten years	58,019		60,100		—		—
Due after ten years	42,563		44,098		—		—
Mortgage-backed securities	581,021		607,111		29,055		29,008
	$	746,572	$	778,167	$	29,055	$	29,008

Schedule of Available-for-Sale Securities with Unrealized Losses

The following table shows the gross unrealized losses and estimated fair value of available-for-sale securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at June 30, 2021 and December 31, 2020:

	Less Than 12 Months				12 Months or More				Total
(dollars in thousands) Securities available-for-sale	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
June 30, 2021
Corporate debt securities	$	2,920	$	(249)	$	—	$	—	$	2,920	$	(249)
SBA pool securities	—		—		2,983		(73)		2,983		(73)
Mortgage-backed securities	3,214		(7)		424		(3)		3,638		(10)
Total debt securities available-for-sale	$	6,134	$	(256)	$	3,407	$	(76)	$	9,541	$	(332)
December 31, 2020
Corporate debt securities	$	10,159	$	(233)	$	—	$	—	$	10,159	$	(233)
SBA pool securities	—		—		3,948		(96)		3,948		(96)
Mortgage-backed securities	24,120		(114)		2		—		24,122		(114)
Total debt securities available-for-sale	$	34,279	$	(347)	$	3,950	$	(96)	$	38,229	$	(443)

Schedule of Held-to-Maturity Securities with Unrealized Losses

The following table shows the gross unrealized losses and estimated fair value of held-to-maturity securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at June 30, 2021:

	Less Than 12 Months				12 Months or More				Total
(dollars in thousands) Securities held-to-maturity	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
June 30, 2021
Mortgage-backed securities	$	9,583	$	(57)	$	—	$	—	$	9,583	$	(57)
Total debt securities held-to-maturity	$	9,583	$	(57)	$	—	$	—	$	9,583	$	(57)

Schedule of Investments Available-for-sale, Allowance for Credit Loss

The remaining $332,000 in unrealized loss was determined to be from factors other than credit.

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Allowance for credit losses	2021		2020		2021		2020
Beginning balance	$	101	$	—	$	112	$	—
Provision for expected credit losses	(20)		—		(31)		—
Ending balance	$	81	$	—	$	81	$	—

Schedule of Gain (Loss) on Investments

Total gain (loss) on securities reported on the consolidated statements of income and comprehensive income is comprised of the following for the three and six months ended June 30, 2021 and 2020:

	Three Months Ended June 30,				Six Months Ended June 30,
(dollars in thousands)	2021		2020		2021		2020
Unrealized holding gains (losses) on equity securities	$	1	$	14	$	(11)	$	5
Total gain (loss) on securities	$	1	$	14	$	(11)	$	5

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES (Tables)

6 Months Ended

Jun. 30, 2021

Receivables [Abstract]

Schedule of Accounts Notes Loans and Financial Receivables

Loans are stated at amortized cost. Balances within the major loans receivable categories are presented in the following table:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	1,406,421	$	1,627,477
Consumer installment	229,411		306,995
Indirect automobile	397,373		580,083
Mortgage warehouse	841,347		916,353
Municipal	647,578		659,403
Premium finance	780,328		687,841
Real estate – construction and development	1,527,883		1,606,710
Real estate – commercial and farmland	6,051,472		5,300,006
Real estate – residential	2,898,978		2,796,057
	$	14,780,791	$	14,480,925

Summary of Financial Receivable Nonaccrual Basis

The following table presents an analysis of loans accounted for on a nonaccrual basis:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	7,284	$	9,836
Consumer installment	503		709
Indirect automobile	1,393		2,831
Real estate – construction and development	1,746		5,407
Real estate – commercial and farmland	17,385		18,517
Real estate – residential	31,610		39,157
	$	59,921	$	76,457

The following table presents an analysis of nonaccrual loans with no related allowance for credit losses:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commercial, financial and agricultural	$	966	$	764
Real estate – construction and development	66		416
Real estate – commercial and farmland	3,621		7,015
Real estate – residential	6,842		5,299
	$	11,495	$	13,494

Summary of Past Due Financial Receivables

The following table presents an analysis of past-due loans as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Loans Past Due		Current Loans		Total Loans		Loans 90 Days or More Past Due and Still Accruing
June 30, 2021
Commercial, financial and agricultural	$	3,070	$	1,012	$	3,176	$	7,258	$	1,399,163	$	1,406,421	$	—
Consumer installment	1,575		1,027		869		3,471		225,940		229,411		556
Indirect automobile	699		345		895		1,939		395,434		397,373		—
Mortgage warehouse	—		—		—		—		841,347		841,347		—
Municipal	—		—		—		—		647,578		647,578		—
Premium finance	3,866		3,853		2,668		10,387		769,941		780,328		2,669
Real estate – construction and development	18,562		1,037		2,764		22,363		1,505,520		1,527,883		1,649
Real estate – commercial and farmland	1,160		618		6,412		8,190		6,043,282		6,051,472		—
Real estate – residential	10,093		4,608		27,883		42,584		2,856,394		2,898,978		—
Total	$	39,025	$	12,500	$	44,667	$	96,192	$	14,684,599	$	14,780,791	$	4,874
December 31, 2020
Commercial, financial and agricultural	$	4,576	$	2,018	$	5,652	$	12,246	$	1,615,231	$	1,627,477	$	—
Consumer installment	2,189		1,114		2,318		5,621		301,374		306,995		1,755
Indirect automobile	3,293		1,006		2,171		6,470		573,613		580,083		—
Mortgage warehouse	—		—		—		—		916,353		916,353		—
Municipal	—		—		—		—		659,403		659,403		—
Premium finance	7,188		3,895		6,571		17,654		670,187		687,841		6,571
Real estate – construction and development	13,348		723		5,150		19,221		1,587,489		1,606,710		—
Real estate – commercial and farmland	5,370		1,701		8,651		15,722		5,284,284		5,300,006		—
Real estate – residential	20,519		3,125		34,081		57,725		2,738,332		2,796,057		—
Total	$	56,483	$	13,582	$	64,594	$	134,659	$	14,346,266	$	14,480,925	$	8,326

Summary of Impaired Financial Receivables

The following table presents an analysis of individually evaluated collateral-dependent financial assets and related allowance for credit losses:

	June 30, 2021				December 31, 2020
(dollars in thousands)	Balance		Allowance for Credit Losses		Balance		Allowance for Credit Losses
Commercial, financial and agricultural	$	3,246	$	889	$	5,490	$	2,252
Premium finance	258		—		3,523		—
Real estate – construction and development	2,244		693		4,173		512
Real estate – commercial and farmland	83,000		18,494		100,180		21,001
Real estate – residential	10,928		1,070		9,716		891
	$	99,676	$	21,146	$	123,082	$	24,656

Summary of Credit Quality Indicate Financial Receivable

The following tables present the loan portfolio's amortized cost by class of financing receivable, risk grade and year of origination (in thousands) as of June 30, 2021 and December 31, 2020. Generally, current period renewals of credit are underwritten again at the point of renewal and considered current period originations for purposes of the tables below. The Company had an immaterial amount of revolving loans which converted to term loans and the amortized cost basis of those loans is included in the applicable origination year. There were no loans risk graded 9 at December 31, 2020.

As of June 30, 2021	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2021		2020		2019		2018		2017		Prior				Total
Commercial, Financial and Agricultural
Risk Grade:
1	$	376,496	$	140,359	$	2,340	$	918	$	219	$	4,915	$	125,123	$	650,370
2	228		446		8,778		453		766		879		3,789		15,339
3	101,165		63,440		41,678		12,311		15,782		8,307		51,509		294,192
4	62,535		67,264		53,086		67,882		26,090		29,502		88,234		394,593
5	181		3,946		3,882		3,713		5,470		4,130		6,821		28,143
6	—		6		461		406		507		4,742		497		6,619
7	375		658		3,940		2,602		3,712		5,096		782		17,165
Total commercial, financial and agricultural	$	540,980	$	276,119	$	114,165	$	88,285	$	52,546	$	57,571	$	276,755	$	1,406,421
Consumer Installment
Risk Grade:
1	$	3,954	$	4,203	$	2,252	$	1,119	$	393	$	13	$	3,099	$	15,033
2	—		—		—		24		1		55		36		116
3	11,379		9,354		3,932		1,488		497		1,595		2,943		31,188
4	10,160		71,425		41,168		32,182		12,267		10,878		3,130		181,210
5	—		32		75		8		21		160		—		296
6	—		—		5		8		—		141		6		160
7	10		217		345		166		66		536		66		1,406
9	—		—		—		—		—		—		2		2
Total consumer installment	$	25,503	$	85,231	$	47,777	$	34,995	$	13,245	$	13,378	$	9,282	$	229,411
Indirect Automobile
Risk Grade:
2	$	—	$	—	$	—	$	68	$	26	$	4,862	$	—	$	4,956
3	—		—		27,695		139,757		132,451		90,484		—		390,387
6	—		—		—		29		31		85		—		145
7	—		—		37		296		327		1,225		—		1,885
Total indirect automobile	$	—	$	—	$	27,732	$	140,150	$	132,835	$	96,656	$	—	$	397,373
Mortgage Warehouse
Risk Grade:
3	$	—	$	—	$	—	$	—	$	—	$	—	$	841,347	$	841,347
Total mortgage warehouse	$	—	$	—	$	—	$	—	$	—	$	—	$	841,347	$	841,347

As of June 30, 2021	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2021		2020		2019		2018		2017		Prior				Total
Municipal
Risk Grade:
1	$	36,781	$	93,621	$	13,555	$	7,227	$	138,378	$	192,462	$	—	$	482,024
2	1,842		72,018		—		—		—		12,968		—		86,828
3	—		60,812		650		—		5,453		2,989		—		69,904
4	—		6,140		—		—		—		2,682		—		8,822
Total municipal	$	38,623	$	232,591	$	14,205	$	7,227	$	143,831	$	211,101	$	—	$	647,578
Premium Finance
Risk Grade:
2	$	654,607	$	119,382	$	2,973	$	109	$	528	$	60	$	—	$	777,659
7	593		2,076		—		—		—		—		—		2,669
Total premium finance	$	655,200	$	121,458	$	2,973	$	109	$	528	$	60	$	—	$	780,328
Real Estate – Construction and Development
Risk Grade:
2	$	—	$	62	$	—	$	—	$	—	$	—	$	—	$	62
3	7,884		37,592		6,222		3,962		2,633		8,030		1,038		67,361
4	426,409		451,515		295,524		67,692		42,799		27,869		37,595		1,349,403
5	—		528		16,913		44,673		13,946		27,151		105		103,316
6	—		—		21		2,126		—		646		—		2,793
7	1,546		13		170		295		624		2,300		—		4,948
Total real estate – construction and development	$	435,839	$	489,710	$	318,850	$	118,748	$	60,002	$	65,996	$	38,738	$	1,527,883
Real Estate – Commercial and Farmland
Risk Grade:
1	$	—	$	—	$	—	$	146	$	—	$	—	$	—	$	146
2	56,737		7,332		354		448		2,058		12,776		—		79,705
3	566,934		853,282		410,581		171,064		169,835		485,822		43,381		2,700,899
4	227,946		424,926		580,795		432,688		241,782		631,786		31,889		2,571,812
5	1,679		17,197		112,473		72,218		133,334		149,037		4,053		489,991
6	462		—		10,369		14,008		29,841		28,571		884		84,135
7	2,184		6,791		36,428		16,648		6,430		56,298		5		124,784
Total real estate – commercial and farmland	$	855,942	$	1,309,528	$	1,151,000	$	707,220	$	583,280	$	1,364,290	$	80,212	$	6,051,472
Real Estate - Residential
Risk Grade:
1	$	—	$	—	$	—	$	—	$	—	$	15	$	—	$	15
2	—		36		378		—		96		36,139		1,150		37,799
3	611,704		681,564		352,543		157,688		115,923		390,335		186,520		2,496,277
4	16,340		12,494		16,410		12,529		8,699		49,078		35,969		151,519
5	532		19,488		43,677		22,071		13,844		54,793		2,787		157,192
6	618		417		933		870		399		3,556		107		6,900
7	408		4,042		12,503		11,053		4,215		14,001		3,054		49,276
Total real estate - residential	$	629,602	$	718,041	$	426,444	$	204,211	$	143,176	$	547,917	$	229,587	$	2,898,978

As of December 31, 2020	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2020		2019		2018		2017		2016		Prior				Total
Commercial, Financial and Agricultural
Risk Grade:
1	$	829,710	$	2,912	$	1,055	$	387	$	490	$	4,961	$	36,373	$	875,888
2	1,213		1,512		668		996		172		967		14,317		19,845
3	109,352		54,266		16,932		17,968		7,027		3,905		68,806		278,256
4	86,837		71,645		74,388		37,779		15,359		23,069		85,366		394,443
5	4,061		4,269		4,772		7,443		804		5,842		4,352		31,543
6	21		72		506		193		3,509		1,232		632		6,165
7	3,312		3,460		2,579		3,573		1,294		5,214		1,886		21,318
8	—		—		—		—		—		—		19		19
Total commercial, financial and agricultural	$	1,034,506	$	138,136	$	100,900	$	68,339	$	28,655	$	45,190	$	211,751	$	1,627,477
Consumer Installment
Risk Grade:
1	$	6,782	$	3,001	$	1,550	$	583	$	95	$	1	$	667	$	12,679
2	—		—		46		2		—		63		42		153
3	15,172		6,960		2,838		887		1,455		601		4,389		32,302
4	120,800		53,593		53,182		16,329		3,121		9,437		3,556		260,018
5	49		127		28		30		3		242		8		487
6	—		2		9		—		—		145		—		156
7	30		209		72		105		134		553		97		1,200
Total consumer installment	$	142,833	$	63,892	$	57,725	$	17,936	$	4,808	$	11,042	$	8,759	$	306,995
Indirect Automobile
Risk Grade:
2	$	—	$	—	$	81	$	31	$	5,356	$	3,054	$	—	$	8,522
3	—		35,432		187,656		188,302		103,570		52,781		—		567,741
6	—		—		57		70		62		85		—		274
7	—		163		519		561		1,078		1,225		—		3,546
Total indirect automobile	$	—	$	35,595	$	188,313	$	188,964	$	110,066	$	57,145	$	—	$	580,083
Mortgage Warehouse
Risk Grade:
3	$	—	$	—	$	—	$	—	$	—	$	—	$	916,353	$	916,353
Total mortgage warehouse	$	—	$	—	$	—	$	—	$	—	$	—	$	916,353	$	916,353
Municipal
Risk Grade:
1	$	91,692	$	12,685	$	8,944	$	143,741	$	124,929	$	97,923	$	—	$	479,914
2	73,000		—		—		—		9,410		—		—		82,410
3	39,990		713		—		5,453		7,204		5,489		—		58,849
4	31,394		—		—		—		—		6,836		—		38,230
Total municipal	$	236,076	$	13,398	$	8,944	$	149,194	$	141,543	$	110,248	$	—	$	659,403

As of December 31, 2020	Term Loans by Origination Year												Revolving Loans Amortized Cost Basis
	2020		2019		2018		2017		2016		Prior				Total
Premium Finance
Risk Grade:
2	$	661,614	$	18,236	$	515	$	746	$	121	$	38	$	—	$	681,270
7	5,811		760		—		—		—		—		—		6,571
Total premium finance	$	667,425	$	18,996	$	515	$	746	$	121	$	38	$	—	$	687,841
Real Estate – Construction and Development
Risk Grade:
3	$	59,325	$	7,035	$	6,870	$	8,046	$	3,415	$	6,916	$	1,293	$	92,900
4	605,254		445,496		205,444		50,181		14,672		26,915		68,574		1,416,536
5	1,614		26,720		9,612		13,261		17,712		10,127		107		79,153
6	685		1,036		3,646		1,302		—		4,564		—		11,233
7	15		2,858		566		271		42		3,136		—		6,888
Total real estate – construction and development	$	666,893	$	483,145	$	226,138	$	73,061	$	35,841	$	51,658	$	69,974	$	1,606,710
Real Estate – Commercial and Farmland
Risk Grade:
1	$	—	$	—	$	161	$	—	$	—	$	—	$	—	$	161
2	7,482		540		521		2,131		4,375		10,663		1,138		26,850
3	918,939		370,703		143,591		197,942		224,712		274,665		67,067		2,197,619
4	344,777		584,814		423,241		331,024		242,573		545,745		34,326		2,506,500
5	4,027		39,216		69,173		80,726		25,561		94,461		1,274		314,438
6	—		10,680		4,895		28,139		7,670		31,224		—		82,608
7	250		54,439		18,574		15,489		27,044		55,763		271		171,830
Total real estate – commercial and farmland	$	1,275,475	$	1,060,392	$	660,156	$	655,451	$	531,935	$	1,012,521	$	104,076	$	5,300,006
Real Estate - Residential
Risk Grade:
1	$	—	$	—	$	—	$	—	$	—	$	19	$	—	$	19
2	37		398		12		121		1,275		47,286		1,402		50,531
3	763,101		529,268		254,632		186,531		154,285		388,825		203,491		2,480,133
4	19,296		19,874		15,784		11,607		14,240		53,869		44,276		178,946
5	400		1,768		3,489		3,479		1,151		12,824		3,618		26,729
6	527		1,843		1,030		334		724		3,391		255		8,104
7	3,442		9,387		12,339		4,667		2,157		16,659		2,944		51,595
Total real estate - residential	$	786,803	$	562,538	$	287,286	$	206,739	$	173,832	$	522,873	$	255,986	$	2,796,057

Summary of Troubled Debt Restructurings by Loan Class

The following table presents the loans by class modified as troubled debt restructurings which occurred during the three and six months ended June 30, 2021 and 2020. These modifications did not have a material impact on the Company’s allowance for credit losses.

	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	2	$	165	1	$	731	6	$	591	1	$	731
Consumer installment	2	8		3	7		2	8		4	15
Real estate – construction and development	—	—		—	—		—	—		1	20
Real estate – commercial and farmland	3	8,653		—	—		5	16,312		1	16
Real estate – residential	2	472		5	839		12	1,457		76	10,496
Total	9	$	9,298	9	$	1,577	25	$	18,368	83	$	11,278

Troubled Debt Restructurings on Financing Receivable Payment Default

The following table presents the outstanding balance of troubled debt restructurings by class that defaulted (defined as 30 days past due) during the three and six months ended June 30, 2021 and 2020. These defaults did not have a material impact on the Company's allowance for credit losses.

	Three Months Ended June 30,						Six Months Ended June 30,
	2021			2020			2021			2020
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	—	$	—	—	$	—	3	$	49	1	$	200
Consumer installment	—	—		3	4		4	5		3	4
Indirect automobile	7	27		—	—		22	112		—	—
Real estate – construction and development	—	—		—	—		1	1		2	285
Real estate – commercial and farmland	1	202		—	—		3	5,382		2	676
Real estate – residential	17	940		4	164		27	1,646		8	567
Total	25	$	1,169	7	$	168	60	$	7,195	16	$	1,732

Summary of Troubled Debt Restructuring by Loan Class, Classified Separately under Restructured Terms

The following table presents the amount of troubled debt restructurings by loan class classified separately as accrual and nonaccrual at June 30, 2021 and December 31, 2020:

June 30, 2021	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	12	$	1,038	10	$	805
Consumer installment	9	28		19	43
Indirect automobile	336	1,647		47	301
Real estate – construction and development	5	898		4	301
Real estate – commercial and farmland	28	46,025		11	7,103
Real estate – residential	238	31,570		31	2,515
Total	628	$	81,206	122	$	11,068

December 31, 2020	Accruing Loans			Non-Accruing Loans
Loan Class	#	Balance (in thousands)		#	Balance (in thousands)
Commercial, financial and agricultural	9	$	521	11	$	849
Consumer installment	10	32		20	56
Indirect automobile	437	2,277		51	461
Real estate – construction and development	4	506		5	707
Real estate – commercial and farmland	28	36,707		7	1,401
Real estate – residential	264	38,800		34	2,671
Total	752	$	78,843	128	$	6,145

Financing Receivable, Schedule Of Short-Term Deferrals

The table below presents short-term deferrals related to the COVID-19 pandemic that were not considered TDRs.

	June 30, 2021				December 31, 2020
(dollars in thousands)	COVID-19 Deferrals		Deferrals as a % of total loans		COVID-19 Deferrals		Deferrals as a % of total loans
Commercial, financial and agricultural	$	2,539	0.2	%	$	12,471	0.8	%
Consumer installment	29		—	%	1,418		0.5	%
Indirect automobile	1,126		0.3	%	8,936		1.5	%
Real estate – construction and development	873		0.1	%	11,049		0.7	%
Real estate – commercial and farmland	63,827		1.1	%	179,183		3.4	%
Real estate – residential	59,331		2.0	%	119,722		4.3	%
	$	127,725	0.9	%	$	332,779	2.3	%

Schedule of Allowances for Loan Losses by Portfolio Segment

The following tables detail activity and end of period balances in the allowance for credit losses by portfolio segment for the periods indicated. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

Three Months Ended June 30, 2021
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, March 31, 2021	$	8,291	$	8,790	$	1,272	$	3,521	$	790	$	4,100
Provision for loan losses	1,502		491		(423)		(156)		(13)		(833)
Loans charged off	(3,529)		(1,669)		(141)		—		—		(1,194)
Recoveries of loans previously charged off	625		212		372		—		—		2,466
Balance, June 30, 2021	$	6,889	$	7,824	$	1,080	$	3,365	$	777	$	4,539
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, March 31, 2021	$	22,858	$	91,211	$	37,737	$	178,570
Provision for loan losses	(3,757)		(3,031)		5,321		(899)
Loans charged off	(186)		(27)		(392)		(7,138)
Recoveries of loans previously charged off	84		185		593		4,537
Balance, June 30, 2021	$	18,999	$	88,338	$	43,259	$	175,070
Six Months Ended June 30, 2021
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, December 31, 2020	$	7,359	$	4,076	$	1,929	$	3,666	$	791	$	3,879
Provision for loan losses	4,077		6,297		(951)		(301)		(14)		(391)
Loans charged off	(5,899)		(3,117)		(970)		—		—		(2,537)
Recoveries of loans previously charged off	1,352		568		1,072		—		—		3,588
Balance, June 30, 2021	$	6,889	$	7,824	$	1,080	$	3,365	$	777	$	4,539
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, December 31, 2020	$	45,304	$	88,894	$	43,524	$	199,422
Provision for loan losses	(26,344)		640		(491)		(17,478)
Loans charged off	(212)		(1,422)		(555)		(14,712)
Recoveries of loans previously charged off	251		226		781		7,838
Balance, June 30, 2021	$	18,999	$	88,338	$	43,259	$	175,070

Three Months Ended June 30, 2020
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, March 31, 2020	$	8,110	$	15,446	$	3,464	$	1,102	$	522	$	11,508
Provision for loan losses	11		5,165		574		396		(15)		(2,083)
Loans charged off	(486)		(962)		(1,016)		—		—		(1,903)
Recoveries of loans previously charged off	303		436		359		—		—		676
Balance, June 30, 2020	$	7,938	$	20,085	$	3,381	$	1,498	$	507	$	8,198
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, March 31, 2020	$	25,319	$	51,754	$	32,299	$	149,524
Provision for loan losses	28,853		38,133		(2,585)		68,449
Loans charged off	(74)		(6,315)		(525)		(11,281)
Recoveries of loans previously charged off	168		21		138		2,101
Balance, June 30, 2020	$	54,266	$	83,593	$	29,327	$	208,793
Six Months Ended June 30, 2020
(dollars in thousands)	Commercial, Financial and Agricultural		Consumer Installment		Indirect Automobile		Mortgage Warehouse		Municipal		Premium Finance
Balance, December 31, 2019	$	4,567	$	3,784	$	—	$	640	$	484	$	2,550
Adjustment to allowance for adoption of ASC 326	2,587		8,012		4,109		463		(92)		4,471
Provision for loan losses	3,091		9,636		816		395		115		2,551
Loans charged off	(2,972)		(2,104)		(2,247)		—		—		(2,734)
Recoveries of loans previously charged off	665		757		703		—		—		1,360
Balance, June 30, 2020	$	7,938	$	20,085	$	3,381	$	1,498	$	507	$	8,198
	Real Estate – Construction and Development		Real Estate – Commercial and Farmland		Real Estate – Residential		Total
Balance, December 31, 2019	$	5,995	$	9,666	$	10,503	$	38,189
Adjustment to allowance for adoption of ASC 326	12,248		27,073		19,790		78,661
Provision for loan losses	35,587		53,991		(686)		105,496
Loans charged off	(74)		(7,243)		(625)		(17,999)
Recoveries of loans previously charged off	510		106		345		4,446
Balance, June 30, 2020	$	54,266	$	83,593	$	29,327	$	208,793

XML

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Tables)

6 Months Ended

Jun. 30, 2021

Investments, Debt and Equity Securities [Abstract]

Summary of Securities Sold Under Repurchase Agreements

The following is a summary of the Company’s securities sold under agreements to repurchase at June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Securities sold under agreements to repurchase	$	5,544	$	11,641

XML

OTHER BORROWINGS (Tables)

6 Months Ended

Jun. 30, 2021

Debt Disclosure [Abstract]

Schedule of Other Borrowings

Other borrowings consist of the following:

(dollars in thousands)	June 30, 2021		December 31, 2020
FHLB borrowings:
Fixed Rate Advance due March 3, 2025; fixed interest rate of 1.208%	$	15,000	$	15,000
Fixed Rate Advance due March 2, 2027; fixed interest rate of 1.445%	15,000		15,000
Fixed Rate Advance due March 4, 2030; fixed interest rate of 1.606%	15,000		15,000
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%	1,406		1,411
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%	973		977
Principal Reducing Advance due September 29, 2031; fixed interest rate of 3.095%	1,493		1,567
Subordinated notes payable:
Subordinated notes payable due March 15, 2027 net of unamortized debt issuance cost of $747 and $812, respectively; fixed interest rate of 5.75% through March 14, 2022; variable interest rate thereafter at three-month LIBOR plus 3.616%	74,253		74,188
Subordinated notes payable due December 15, 2029 net of unamortized debt issuance cost of $2,044 and $2,165, respectively; fixed interest rate of 4.25% through December 14, 2024; variable interest rate thereafter at three-month SOFR plus 2.94%	117,956		117,835
Subordinated notes payable due May 31, 2030 net of unaccreted purchase accounting fair value adjustment of $1,089 and $1,150, respectively; fixed interest rate of 5.875% through May 31, 2025; variable interest rate thereafter at three-month LIBOR plus 3.63%	76,089		76,150
Subordinated notes payable due October 1, 2030 net of unamortized debt issuance cost of $1,867 and $1,973, respectively; fixed interest rate of 3.875% through September 30, 2025; variable interest rate thereafter at three-month SOFR plus 3.753%	108,133		108,027
	$	425,303	$	425,155

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)

6 Months Ended

Jun. 30, 2021

Equity [Abstract]

Summary of Accumulated Other Comprehensive Income (Loss)

The following table presents a summary of the accumulated other comprehensive income balances as well as changes in each of the respective components, net of tax, for the periods indicated:

(dollars in thousands)	Unrealized Gain (Loss) on Derivatives		Unrealized Gain (Loss) on Securities		Accumulated Other Comprehensive Income
Three Months Ended June 30, 2021
Balance, March 31, 2021	$	—	$	26,090	$	26,090
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	—		(1,066)		(1,066)
Balance, June 30, 2021	$	—	$	25,024	$	25,024
Three Months Ended June 30, 2020
Balance, March 31, 2020	$	(244)	$	39,795	$	39,551
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	111		(49)		62
Balance, June 30, 2020	$	(133)	$	39,746	$	39,613
Six Months Ended June 30, 2021
Balance, December 31, 2020	$	—	$	33,505	$	33,505
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	—		(8,481)		(8,481)
Balance, June 30, 2021	$	—	$	25,024	$	25,024
Six Months Ended June 30, 2020
Balance, December 31, 2019	$	(147)	$	18,142	$	17,995
Reclassification for gains included in net income, net of tax	—		—		—
Current year changes, net of tax	14		21,604		21,618
Balance, June 30, 2020	$	(133)	$	39,746	$	39,613

XML

WEIGHTED AVERAGE SHARES OUTSTANDING (Tables)

6 Months Ended

Jun. 30, 2021

Earnings Per Share [Abstract]

Summary of Weighted Average Number of Shares

Earnings per share have been computed based on the following weighted average number of common shares outstanding:

	Three Months Ended June 30,		Six Months Ended June 30,
(share data in thousands)	2021	2020	2021	2020
Average common shares outstanding	69,497	69,192	69,448	69,235
Common share equivalents:
Stock options	64	9	74	33
Nonvested restricted share grants	151	75	153	130
Performance stock units	80	17	90	15
Average common shares outstanding, assuming dilution	69,792	69,293	69,765	69,413

XML

FAIR VALUE MEASURES (Tables)

6 Months Ended

Jun. 30, 2021

Fair Value Disclosures [Abstract]

Loans Held For Sale Fair Value

The Company's loans held for sale under the fair value option are comprised of the following:

(dollars in thousands)	June 30, 2021		December 31, 2020
Mortgage loans held for sale	$	1,200,139	$	998,050
SBA loans held for sale	10,450		3,757
Total loans held for sale	$	1,210,589	$	1,001,807

Difference Between Fair Value and Principal Balance for Mortgage Loans Held for Sale Measured at Fair Value

The following table summarizes the difference between the fair value and the principal balance for mortgage loans held for sale measured at fair value as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Aggregate fair value of mortgage loans held for sale	$	1,200,139	$	998,050
Aggregate unpaid principal balance of mortgage loans held for sale	1,164,671		947,460
Past-due loans of 90 days or more	361		—
Nonaccrual loans	361		—
Unpaid principal balance of nonaccrual loans	352		—

The following table summarizes the difference between the fair value and the principal balance for SBA loans held for sale measured at fair value as of June 30, 2021 and December 31, 2020:

(dollars in thousands)	June 30, 2021		December 31, 2020
Aggregate fair value of SBA loans held for sale	$	10,450	$	3,757
Aggregate unpaid principal balance of SBA loans held for sale	9,423		3,393
Past-due loans of 90 days or more	—		—
Nonaccrual loans	—		—

Fair Value Measurements of Assets and Liabilities Measured on Recurring Basis

The following table presents the fair value measurements of assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall as of June 30, 2021 and December 31, 2020:

	Recurring Basis Fair Value Measurements
	June 30, 2021
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
Financial assets:
Investment securities available-for-sale:
U.S. government sponsored agencies	$	12,327	$	—	$	12,327	$	—
State, county and municipal securities	60,836		—		60,836		—
Corporate debt securities	43,612		—		42,442		1,170
SBA pool securities	54,281		—		54,281		—
Mortgage-backed securities	607,111		—		607,111		—
Loans held for sale	1,210,589		—		1,210,589		—
Mortgage banking derivative instruments	20,314		—		20,314		—
Total recurring assets at fair value	$	2,009,070	$	—	$	2,007,900	$	1,170
Financial liabilities:
Mortgage banking derivative instruments	$	2,546	$	—	$	2,546	$	—
Total recurring liabilities at fair value	$	2,546	$	—	$	2,546	$	—

	Recurring Basis Fair Value Measurements
	December 31, 2020
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
Financial assets:
Investment securities available-for-sale:
U.S. government sponsored agencies	$	17,504	$	—	$	17,504	$	—
State, county and municipal securities	66,778		—		66,778		—
Corporate debt securities	51,896		—		50,726		1,170
SBA pool securities	62,497		—		62,497		—
Mortgage-backed securities	784,204		—		784,204		—
Loans held for sale	1,001,807		—		1,001,807		—
Mortgage banking derivative instruments	51,756		—		51,756		—
Total recurring assets at fair value	$	2,036,442	$	—	$	2,035,272	$	1,170
Financial liabilities:
Mortgage banking derivative instruments	$	16,415	$	—	$	16,415	$	—
Total recurring liabilities at fair value	$	16,415	$	—	$	16,415	$	—

Summary of Fair Value Measurements of Assets Measured at Fair Value on Non-Recurring Basis

The following table presents the fair value measurements of assets measured at fair value on a non-recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy as of June 30, 2021 and December 31, 2020:

	Nonrecurring Basis Fair Value Measurements
(dollars in thousands)	Fair Value		Level 1		Level 2		Level 3
June 30, 2021
Collateral-dependent loans	$	78,530	$	—	$	—	$	78,530
Other real estate owned	1,979		—		—		1,979
Mortgage servicing rights	191,675		—		—		191,675
Total nonrecurring assets at fair value	$	272,184	$	—	$	—	$	272,184
December 31, 2020
Collateral-dependent loans	$	98,426	$	—	$	—	$	98,426
Other real estate owned	4,964		—		—		4,964
Mortgage servicing rights	130,630		—		—		130,630
SBA servicing rights	5,839		—		5,839		—
Total nonrecurring assets at fair value	$	239,859	$	—	$	5,839	$	234,020

Summary of Significant Unobservable Inputs Used in Fair Value Measurement of Level 3 Assets and Liabilities

The following table shows significant unobservable inputs used in the fair value measurement of Level 3 assets:

(dollars in thousands)	Fair Value		Valuation Technique	Unobservable Inputs	Range of Discounts	Weighted Average Discount
June 30, 2021
Recurring:
Investment securities available-for-sale	$	1,170	Discounted par values	Probability of default	13.6%	13.6%
				Loss given default	39%	39%
Nonrecurring:
Collateral-dependent loans	$	78,530	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	20% - 57%	44%
Other real estate owned	$	1,979	Third-party appraisals and sales contracts	Collateral discounts and estimated costs to sell	15% - 38%	23%
Mortgage servicing rights	$	191,675	Discounted cash flows	Discount rate	9% - 10%	9%
				Prepayment speed	13% - 42%	15%

December 31, 2020
Recurring:
Investment securities available-for-sale	$	1,170	Discounted par values	Probability of default	18.8%	18.8%
				Loss given default	40%	40%
Nonrecurring:
Collateral-dependent loans	$	98,426	Third-party appraisals and discounted cash flows	Collateral discounts and discount rates	20% - 90%	44%
Other real estate owned	$	4,964	Third-party appraisals and sales contracts	Collateral discounts and estimated costs to sell	15% - 59%	28%
Mortgage servicing rights	$	130,630	Discounted cash flows	Discount rate	9% - 12%	10%
				Prepayment speed	14% - 37%	19%

Carrying Amount and Estimated Fair Value of Financial Instruments

The carrying amount and estimated fair value of the Company’s financial instruments, not shown elsewhere in these financial statements, were as follows:

			Fair Value Measurements
			June 30, 2021
(dollars in thousands)	Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and due from banks	$	259,729	$	259,729	$	—	$	—	$	259,729
Federal funds sold and interest-bearing accounts	3,044,795		3,044,795		—		—		3,044,795
Time deposits in other banks	—		—		—		—		—
Investment securities held-to-maturity	29,055		—		29,008		—		29,008
Loans, net	14,527,191		—		—		14,407,763		14,407,763
Accrued interest receivable	64,906		—		2,919		61,987		64,906
Financial liabilities:
Deposits	18,257,997		—		18,262,653		—		18,262,653
Securities sold under agreements to repurchase	5,544		5,544		—		—		5,544
Other borrowings	425,303		—		430,674		—		430,674
Subordinated deferrable interest debentures	125,331		—		117,735		—		117,735
Accrued interest payable	4,375		—		4,375		—		4,375

			Fair Value Measurements
			December 31, 2020
(dollars in thousands)	Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and due from banks	$	203,349	$	203,349	$	—	$	—	$	203,349
Federal funds sold and interest-bearing accounts	1,913,957		1,913,957		—		—		1,913,957
Time deposits in other banks	249		—		249		—		249
Investment securities held-to-maturity	—		—		—		—		—
Loans, net	14,183,077		—		—		14,096,711		14,096,711
Accrued interest receivable	76,254		—		3,567		72,687		76,254
Financial liabilities:
Deposits	16,957,823		—		16,968,606		—		16,968,606
Securities sold under agreements to repurchase	11,641		11,641		—		—		11,641
Other borrowings	425,155		—		431,783		—		431,783
Subordinated deferrable interest debentures	124,345		—		116,280		—		116,280
Accrued interest payable	5,487		—		5,487		—		5,487

XML

COMMITMENTS AND CONTINGENCIES (Tables)

6 Months Ended

Jun. 30, 2021

Commitments and Contingencies Disclosure [Abstract]

Schedule of Guarantor Obligations

A summary of the Company’s commitments is as follows:

(dollars in thousands)	June 30, 2021		December 31, 2020
Commitments to extend credit	$	3,550,269	$	2,826,719
Unused home equity lines of credit	262,576		259,015
Financial standby letters of credit	32,291		33,613
Mortgage interest rate lock commitments	674,525		1,199,939

Schedule of Allowance for Credit Loss for Unfunded Commitments

The following table presents activity in the allowance for unfunded commitments for the periods presented:

	Three Months Ended June 30,				Six Months Ended June 30,
(dollars in thousands)	2021		2020		2021		2020
Balance at beginning of period	$	21,015	$	17,791	$	32,854	$	1,077
Adjustment to reflect adoption of ASC 326	—		—		—		12,714
Addition due to acquisition	—		—		—		—
Provision for unfunded commitments	1,299		19,712		(10,540)		23,712
Balance at end of period	$	22,314	$	37,503	$	22,314	$	37,503

XML

SEGMENT REPORTING (Tables)

6 Months Ended

Jun. 30, 2021

Segment Reporting [Abstract]

Schedule of Segment Reporting, by Reportable Business Segments

The following tables present selected financial information with respect to the Company’s reportable business segments for the three and six months ended June 30, 2021 and 2020:

	Three Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	109,260	$	34,085	$	8,988	$	14,050	$	7,368	$	173,751
Interest expense	(1,410)		11,552		268		1,168		321		11,899
Net interest income	110,670		22,533		8,720		12,882		7,047		161,852
Provision for credit losses	(3,949)		5,647		(155)		(607)		(794)		142
Noninterest income	16,171		69,055		1,333		2,677		4		89,240
Noninterest expense
Salaries and employee benefits	37,814		44,798		278		937		1,678		85,505
Occupancy and equipment	9,050		1,553		1		132		76		10,812
Data processing and communications expenses	10,280		1,435		68		—		94		11,877
Other expenses	18,763		7,638		30		284		852		27,567
Total noninterest expense	75,907		55,424		377		1,353		2,700		135,761
Income before income tax expense	54,883		30,517		9,831		14,813		5,145		115,189
Income tax expense	14,196		6,408		2,064		3,111		1,083		26,862
Net income	$	40,687	$	24,109	$	7,767	$	11,702	$	4,062	$	88,327
Total assets	$	15,561,628	$	3,917,275	$	779,234	$	748,234	$	880,560	$	21,886,931
Goodwill	863,507		—		—		—		64,498		928,005
Other intangible assets, net	50,418		—		—		—		13,365		63,783

	Three Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	128,653	$	34,714	$	5,285	$	8,757	$	7,609	$	185,018
Interest expense	8,323		10,412		259		1,723		487		21,204
Net interest income	120,330		24,302		5,026		7,034		7,122		163,814
Provision for credit losses	86,805		423		403		2,322		(1,792)		88,161
Noninterest income	14,468		104,195		727		1,570		—		120,960
Noninterest expense
Salaries and employee benefits	40,423		50,003		209		2,612		1,921		95,168
Occupancy and equipment	11,679		1,953		1		97		77		13,807
Data processing and communications expenses	8,919		1,406		55		15		119		10,514
Other expenses	27,997		6,949		88		359		886		36,279
Total noninterest expense	89,018		60,311		353		3,083		3,003		155,768
Income (loss) before income tax expense	(41,025)		67,763		4,997		3,199		5,911		40,845
Income tax expense (benefit)	(8,582)		14,231		1,049		671		1,240		8,609
Net income (loss)	$	(32,443)	$	53,532	$	3,948	$	2,528	$	4,671	$	32,236
Total assets	$	13,121,679	$	3,905,683	$	753,668	$	1,310,077	$	781,522	$	19,872,629
Goodwill	863,507		—		—		—		64,498		928,005
Other intangible assets, net	64,007		—		—		—		16,347		80,354

	Six Months Ended June 30, 2021
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	221,639	$	64,284	$	19,315	$	32,084	$	14,379	$	351,701
Interest expense	(1,847)		22,767		689		2,567		696		24,872
Net interest income	223,486		41,517		18,626		29,517		13,683		326,829
Provision for credit losses	(27,853)		1,094		(300)		(1,154)		(236)		(28,449)
Noninterest income	32,909		166,695		2,313		5,288		8		207,213
Noninterest expense
Salaries and employee benefits	80,537		94,636		608		2,319		3,390		181,490
Occupancy and equipment	19,170		3,029		2		238		154		22,593
Data processing and communications expenses	20,481		2,981		117		1		181		23,761
Other expenses	38,473		15,827		63		579		1,773		56,715
Total noninterest expense	158,661		116,473		790		3,137		5,498		284,559
Income before income tax expense	125,587		90,645		20,449		32,822		8,429		277,932
Income tax expense	32,652		19,035		4,294		6,893		1,769		64,643
Net income	$	92,935	$	71,610	$	16,155	$	25,929	$	6,660	$	213,289

	Six Months Ended June 30, 2020
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	260,954	$	68,125	$	10,135	$	12,485	$	16,087	$	367,786
Interest expense	22,249		26,067		1,807		3,270		2,634		56,027
Net interest income	238,705		42,058		8,328		9,215		13,453		311,759
Provision for credit losses	122,802		2,420		394		1,419		2,173		129,208
Noninterest income	32,241		138,564		1,687		2,847		—		175,339
Noninterest expense
Salaries and employee benefits	82,044		81,100		419		4,088		3,463		171,114
Occupancy and equipment	22,026		3,457		2		194		156		25,835
Data processing and communications expenses	19,716		2,392		96		28		236		22,468
Other expenses	58,642		12,824		122		874		1,942		74,404
Total noninterest expense	182,428		99,773		639		5,184		5,797		293,821
Income (loss) before income tax expense	(34,284)		78,429		8,982		5,459		5,483		64,069
Income tax expense (benefit)	(8,307)		16,639		1,886		1,146		1,147		12,511
Net income (loss)	$	(25,977)	$	61,790	$	7,096	$	4,313	$	4,336	$	51,558

XML

LOAN SERVICING RIGHTS (Tables)

6 Months Ended

Jun. 30, 2021

Transfers and Servicing [Abstract]

Schedule of Carrying Value of Loan Servicing Rights Assets

The carrying value of the loan servicing rights assets is shown in the table below:

(dollars in thousands)	June 30, 2021		December 31, 2020
Loan Servicing Rights
Residential mortgage	$	191,675	$	130,630
SBA	6,123		5,839
Indirect automobile	—		73
Total loan servicing rights	$	197,798	$	136,542

The table below is an analysis of the activity in the Company’s MSRs and valuation allowance:

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Residential mortgage servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	154,746	$	85,922	$	130,630	$	94,902
Additions	43,377		19,298		65,244		35,359
Amortization	(7,197)		(5,687)		(14,681)		(9,853)
Recoveries/(impairment)	749		(8,152)		10,482		(29,027)
Ending carrying value, net	$	191,675	$	91,381	$	191,675	$	91,381

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Residential mortgage servicing valuation allowance	2021		2020		2021		2020
Beginning balance	$	29,674	$	20,979	$	39,407	$	104
Additions	—		8,152		—		29,027
Recoveries	(749)		—		(10,482)		—
Ending balance	$	28,925	$	29,131	$	28,925	$	29,131

The table below is an analysis of the activity in the Company’s SBA loan servicing rights and valuation allowance:

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
SBA servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	6,445	$	5,394	$	5,839	$	7,886
Additions	241		100		471		475
Purchase accounting adjustment	—		—		—		(1,214)
Amortization	(563)		(416)		(1,092)		(779)
Recoveries/(impairment)	—		163		905		(1,127)
Ending carrying value, net	$	6,123	$	5,241	$	6,123	$	5,241

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
SBA servicing valuation allowance	2021		2020		2021		2020
Beginning balance	$	—	$	1,431	$	905	$	141
Additions	—		—		—		1,127
Recoveries	—		(163)		(905)		—
Ending balance	$	—	$	1,268	$	—	$	1,268

The Company is not actively originating or selling indirect automobile loans.

(dollars in thousands)	Three Months Ended June 30,				Six Months Ended June 30,
Indirect automobile servicing rights	2021		2020		2021		2020
Beginning carrying value, net	$	29	$	204	$	73	$	247
Amortization	(29)		(42)		(73)		(85)
Ending carrying value, net	$	—	$	162	$	—	$	162

Schedule of Sensitivity of Fair Value to Adverse Changes in Model Inputs and/or Assumptions

The key metrics and the sensitivity of the fair value to adverse changes in model inputs and/or assumptions are summarized below:

(dollars in thousands)	June 30, 2021			December 31, 2020
Residential mortgage servicing rights
Unpaid principal balance of loans serviced for others	$	15,486,442		$	13,764,529
Composition of residential loans serviced for others:
FHLMC	21.35		%	21.55		%
FNMA	61.30		%	61.75		%
GNMA	17.35		%	16.70		%
Total	100.00		%	100.00		%
Weighted average term (months)	340			340
Weighted average age (months)	19			20
Modeled prepayment speed	14.67		%	18.82		%
Decline in fair value due to a 10% adverse change	(8,237)			(7,154)
Decline in fair value due to a 20% adverse change	(15,818)			(13,664)
Weighted average discount rate	8.76		%	9.50		%
Decline in fair value due to a 10% adverse change	(6,866)			(4,304)
Decline in fair value due to a 20% adverse change	(13,193)			(8,321)

(dollars in thousands)	June 30, 2021			December 31, 2020
SBA servicing rights
Unpaid principal balance of loans serviced for others	$	431,185		$	351,325
Weighted average life (in years)	3.59			3.46
Modeled prepayment speed	18.37		%	19.14		%
Decline in fair value due to a 10% adverse change	(393)			(335)
Decline in fair value due to a 20% adverse change	(747)			(636)
Weighted average discount rate	7.77		%	9.55		%
Decline in fair value due to a 100 basis point adverse change	(187)			(151)
Decline in fair value due to a 200 basis point adverse change	(365)			(295)

XML

BASIS OF PRESENTATION AND ACCOUNTING POLICIES - Narrative (Details)	Jun. 30, 2021 USD ($) branch	Dec. 31, 2020 USD ($)	Mar. 26, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of branches operated | branch	165
Cash reserve required rate			0.00%
Reserve requirement | $	$ 0	$ 0

XML

INVESTMENT SECURITIES - Amortized Cost and Estimated Fair Value of Investment Securities Available for Sale (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 746,572		$ 940,580
Allowance for Credit Losses	(81)	$ (101)	(112)	$ 0	$ 0	$ 0
Gross Unrealized Gains	32,008		42,854
Gross Unrealized Losses	(332)		(443)
Estimated Fair Value	778,167		982,879
U.S. government sponsored agencies
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	12,120		17,161
Allowance for Credit Losses	0		0
Gross Unrealized Gains	207		343
Gross Unrealized Losses	0		0
Estimated Fair Value	12,327		17,504
State, county and municipal securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	58,016		63,286
Allowance for Credit Losses	0		0
Gross Unrealized Gains	2,820		3,492
Gross Unrealized Losses	0		0
Estimated Fair Value	60,836		66,778
Corporate debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	43,132		51,639
Allowance for Credit Losses	(81)		(112)
Gross Unrealized Gains	810		602
Gross Unrealized Losses	(249)		(233)
Estimated Fair Value	43,612		51,896
SBA pool securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	52,283		59,973
Allowance for Credit Losses	0		0
Gross Unrealized Gains	2,071		2,620
Gross Unrealized Losses	(73)		(96)
Estimated Fair Value	54,281		62,497
Mortgage-backed securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	581,021		748,521
Allowance for Credit Losses	0		0
Gross Unrealized Gains	26,100		35,797
Gross Unrealized Losses	(10)		(114)
Estimated Fair Value	$ 607,111		$ 784,204

XML

INVESTMENT SECURITIES - Amortized Cost and Estimated Fair Value of Securities Held-to-Maturity (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Schedule of Held-to-maturity Securities [Line Items]
Amortized Cost	$ 29,055	$ 0
Gross Unrealized Gains	10
Gross Unrealized Losses	(57)
Estimated Fair Value	29,008	$ 0
Mortgage-backed securities
Schedule of Held-to-maturity Securities [Line Items]
Amortized Cost	29,055
Gross Unrealized Gains	10
Gross Unrealized Losses	(57)
Estimated Fair Value	$ 29,008

XML

INVESTMENT SECURITIES - Amortized Cost and Fair Value of Available for Sale Securities by Contractual Maturity (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Amortized Cost
Due in one year or less	$ 21,699
Due from one year to five years	43,270
Due from five to ten years	58,019
Due after ten years	42,563
Mortgage-backed securities	581,021
Amortized Cost	746,572	$ 940,580
Estimated Fair Value
Due in one year or less	21,889
Due from one year to five years	44,969
Due from five to ten years	60,100
Due after ten years	44,098
Mortgage-backed securities	607,111
Estimated Fair Value	778,167	982,879
Amortized Cost
Due in one year or less	0
Due from one year to five years	0
Due from five to ten years	0
Due after ten years	0
Mortgage-backed securities	29,055
Amortized Cost	29,055	0
Estimated Fair Value
Due in one year or less	0
Due from one year to five years	0
Due from five to ten years	0
Due after ten years	0
Mortgage-backed securities	29,008
Estimated Fair Value	$ 29,008	$ 0

XML

INVESTMENT SECURITIES - Narrative (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2021 USD ($) security	Mar. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Jun. 30, 2020 USD ($)	Mar. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Debt Securities, Available-for-sale [Line Items]
Allowance for credit losses	$ (81)	$ (101)	$ (112)	$ 0	$ 0	$ 0
Unrealized losses	(332)		(443)
Expected credit losses	0
Debt securities, held-to-maturity, allowance for credit loss	$ 0		0
Debt Securities | Available-for-sale Debt Securities
Debt Securities, Available-for-sale [Line Items]
Number of securities in security portfolio | security	470
Number of securities in unrealized loss position | security	17
Debt Securities | Held-to-maturity Securities
Debt Securities, Available-for-sale [Line Items]
Number of securities in security portfolio | security	4
Number of securities in unrealized loss position | security	2
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises | Available-for-sale Debt Securities
Debt Securities, Available-for-sale [Line Items]
Number of securities in unrealized loss position | security	9
SBA pool securities
Debt Securities, Available-for-sale [Line Items]
Allowance for credit losses	$ 0		0
Unrealized losses	$ (73)		(96)
SBA pool securities | Available-for-sale Debt Securities
Debt Securities, Available-for-sale [Line Items]
Number of securities in unrealized loss position | security	5
Corporate debt securities
Debt Securities, Available-for-sale [Line Items]
Allowance for credit losses	$ (81)		(112)
Unrealized losses	$ (249)		(233)
Corporate debt securities | Available-for-sale Debt Securities
Debt Securities, Available-for-sale [Line Items]
Number of securities in unrealized loss position | security	3
Collateral Pledged
Debt Securities, Available-for-sale [Line Items]
Pledged securities, carrying value	$ 389,600		$ 438,700

XML

INVESTMENT SECURITIES - Schedule of Gross Unrealized Losses and Fair Value of Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Estimated Fair Value
Less than 12 months, estimated fair value	$ 6,134	$ 34,279
12 months or more, estimated fair value	3,407	3,950
Total estimated fair value	9,541	38,229
Unrealized Losses
Less than 12 months, unrealized losses	(256)	(347)
12 months or more, unrealized losses	(76)	(96)
Total unrealized losses	(332)	(443)
Corporate debt securities
Estimated Fair Value
Less than 12 months, estimated fair value	2,920	10,159
12 months or more, estimated fair value	0	0
Total estimated fair value	2,920	10,159
Unrealized Losses
Less than 12 months, unrealized losses	(249)	(233)
12 months or more, unrealized losses	0	0
Total unrealized losses	(249)	(233)
SBA pool securities
Estimated Fair Value
Less than 12 months, estimated fair value	0	0
12 months or more, estimated fair value	2,983	3,948
Total estimated fair value	2,983	3,948
Unrealized Losses
Less than 12 months, unrealized losses	0	0
12 months or more, unrealized losses	(73)	(96)
Total unrealized losses	(73)	(96)
Mortgage-backed securities
Estimated Fair Value
Less than 12 months, estimated fair value	3,214	24,120
12 months or more, estimated fair value	424	2
Total estimated fair value	3,638	24,122
Unrealized Losses
Less than 12 months, unrealized losses	(7)	(114)
12 months or more, unrealized losses	(3)	0
Total unrealized losses	$ (10)	$ (114)

XML

INVESTMENT SECURITIES - Schedule of Held-to-Maturity Securities with Unrealized Losses (Details) $ in Thousands	Jun. 30, 2021 USD ($)
Estimated Fair Value
Less than 12 months, estimated fair value	$ 9,583
12 months or more, estimated fair value	0
Total estimated fair value	9,583
Unrealized Losses
Less than 12 months, unrealized losses	(57)
12 months or more, unrealized losses	0
Total unrealized losses	(57)
Mortgage-backed securities
Estimated Fair Value
Less than 12 months, estimated fair value	9,583
12 months or more, estimated fair value	0
Total estimated fair value	9,583
Unrealized Losses
Less than 12 months, unrealized losses	(57)
12 months or more, unrealized losses	0
Total unrealized losses	$ (57)

XML

INVESTMENT SECURITIES - Schedule of Investments Available-for-sale, Allowance for Credit Loss (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward]
Beginning balance	$ 101	$ 0	$ 112	$ 0
Provision for expected credit losses	(20)	0	(31)	0
Ending balance	$ 81	$ 0	$ 81	$ 0

XML

INVESTMENT SECURITIES - Schedule of Gain on Securities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Investments, Debt and Equity Securities [Abstract]
Unrealized holding gains (losses) on equity securities	$ 1	$ 14	$ (11)	$ 5
Total gain (loss) on securities	$ 1	$ 14	$ (11)	$ 5

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Loans Receivable (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	$ 14,780,791	$ 14,480,925
Commercial, financial and agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	1,406,421	1,627,477
Consumer installment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	229,411	306,995
Indirect automobile
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	397,373	580,083
Mortgage warehouse
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	841,347	916,353
Municipal
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	647,578	659,403
Premium finance
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	780,328	687,841
Real estate – construction and development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	1,527,883	1,606,710
Real estate – commercial and farmland
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	6,051,472	5,300,006
Real estate – residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	$ 2,898,978	$ 2,796,057

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Deferred interest on loans, allowance for credit losses	$ 318		$ 718
Interest income on nonaccrual loans	0	$ 0
Loans modified that are not troubled debt restructurings	220,800	139,600
COVID-19 deferrals	$ 127,725		332,779
Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Payment modification term	9 months
Loan Receivables
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accrued interest receivable	$ 62,300		73,400
Commercial, financial and agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
COVID-19 deferrals	2,539		12,471
Payment Protection Plan Loans | Commercial, financial and agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	487,900		827,400
Loans Excluding Purchased Loan
Accounts, Notes, Loans and Financing Receivable [Line Items]
Troubled debt restructuring	92,300		85,000
Troubled debt restructurings, previous charge-offs, excluding purchased loans	1,000	$ 1,200
Allowance for loan losses allocated to troubled debt restructuring	$ 14,200		$ 13,000

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Loans Accounted for on a Nonaccrual Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, nonaccrual	$ 59,921	$ 76,457
Financing receivable, nonaccrual, no allowance	11,495	13,494
Commercial, financial and agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, nonaccrual	7,284	9,836
Financing receivable, nonaccrual, no allowance	966	764
Consumer installment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, nonaccrual	503	709
Indirect automobile
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, nonaccrual	1,393	2,831
Real estate – construction and development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, nonaccrual	1,746	5,407
Financing receivable, nonaccrual, no allowance	66	416
Real estate – commercial and farmland
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, nonaccrual	17,385	18,517
Financing receivable, nonaccrual, no allowance	3,621	7,015
Real estate – residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Financing receivable, nonaccrual	31,610	39,157
Financing receivable, nonaccrual, no allowance	$ 6,842	$ 5,299

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Analysis of Past-Due Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Financing Receivable, Past Due [Line Items]
Total Loans	$ 14,780,791	$ 14,480,925
Loans 90 Days or More Past Due and Still Accruing	4,874	8,326
Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	96,192	134,659
Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	39,025	56,483
Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	12,500	13,582
Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	44,667	64,594
Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	14,684,599	14,346,266
Commercial, financial and agricultural
Financing Receivable, Past Due [Line Items]
Total Loans	1,406,421	1,627,477
Loans 90 Days or More Past Due and Still Accruing	0	0
Commercial, financial and agricultural | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	7,258	12,246
Commercial, financial and agricultural | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	3,070	4,576
Commercial, financial and agricultural | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	1,012	2,018
Commercial, financial and agricultural | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	3,176	5,652
Commercial, financial and agricultural | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	1,399,163	1,615,231
Consumer installment
Financing Receivable, Past Due [Line Items]
Total Loans	229,411	306,995
Loans 90 Days or More Past Due and Still Accruing	556	1,755
Consumer installment | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	3,471	5,621
Consumer installment | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	1,575	2,189
Consumer installment | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	1,027	1,114
Consumer installment | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	869	2,318
Consumer installment | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	225,940	301,374
Indirect automobile
Financing Receivable, Past Due [Line Items]
Total Loans	397,373	580,083
Loans 90 Days or More Past Due and Still Accruing	0	0
Indirect automobile | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	1,939	6,470
Indirect automobile | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	699	3,293
Indirect automobile | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	345	1,006
Indirect automobile | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	895	2,171
Indirect automobile | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	395,434	573,613
Mortgage warehouse
Financing Receivable, Past Due [Line Items]
Total Loans	841,347	916,353
Loans 90 Days or More Past Due and Still Accruing	0	0
Mortgage warehouse | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Mortgage warehouse | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Mortgage warehouse | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Mortgage warehouse | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Mortgage warehouse | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	841,347	916,353
Municipal
Financing Receivable, Past Due [Line Items]
Total Loans	647,578	659,403
Loans 90 Days or More Past Due and Still Accruing	0	0
Municipal | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Municipal | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Municipal | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Municipal | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	0	0
Municipal | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	647,578	659,403
Premium finance
Financing Receivable, Past Due [Line Items]
Total Loans	780,328	687,841
Loans 90 Days or More Past Due and Still Accruing	2,669	6,571
Premium finance | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	10,387	17,654
Premium finance | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	3,866	7,188
Premium finance | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	3,853	3,895
Premium finance | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	2,668	6,571
Premium finance | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	769,941	670,187
Real estate – construction and development
Financing Receivable, Past Due [Line Items]
Total Loans	1,527,883	1,606,710
Loans 90 Days or More Past Due and Still Accruing	1,649	0
Real estate – construction and development | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	22,363	19,221
Real estate – construction and development | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	18,562	13,348
Real estate – construction and development | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	1,037	723
Real estate – construction and development | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	2,764	5,150
Real estate – construction and development | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	1,505,520	1,587,489
Real estate – commercial and farmland
Financing Receivable, Past Due [Line Items]
Total Loans	6,051,472	5,300,006
Loans 90 Days or More Past Due and Still Accruing	0	0
Real estate – commercial and farmland | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	8,190	15,722
Real estate – commercial and farmland | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	1,160	5,370
Real estate – commercial and farmland | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	618	1,701
Real estate – commercial and farmland | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	6,412	8,651
Real estate – commercial and farmland | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	6,043,282	5,284,284
Real estate – residential
Financing Receivable, Past Due [Line Items]
Total Loans	2,898,978	2,796,057
Loans 90 Days or More Past Due and Still Accruing	0	0
Real estate – residential | Total Loans Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	42,584	57,725
Real estate – residential | Loans 30-59 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	10,093	20,519
Real estate – residential | Loans 60-89 Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	4,608	3,125
Real estate – residential | Loans 90 or More Days Past Due
Financing Receivable, Past Due [Line Items]
Total Loans	27,883	34,081
Real estate – residential | Current Loans
Financing Receivable, Past Due [Line Items]
Total Loans	$ 2,856,394	$ 2,738,332

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Summary of Information Pertaining to Impaired Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Balance	$ 99,676	$ 123,082
Allowance for Credit Losses	21,146	24,656
Commercial, financial and agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Balance	3,246	5,490
Allowance for Credit Losses	889	2,252
Premium finance
Accounts, Notes, Loans and Financing Receivable [Line Items]
Balance	258	3,523
Allowance for Credit Losses	0	0
Real estate – construction and development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Balance	2,244	4,173
Allowance for Credit Losses	693	512
Real estate – commercial and farmland
Accounts, Notes, Loans and Financing Receivable [Line Items]
Balance	83,000	100,180
Allowance for Credit Losses	18,494	21,001
Real estate – residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Balance	10,928	9,716
Allowance for Credit Losses	$ 1,070	$ 891

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Loans by Risk Grade (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income	$ 14,780,791	$ 14,480,925
9
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, net of unearned income		0
Commercial, financial and agricultural
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	540,980	1,034,506
Year two	276,119	138,136
Year three	114,165	100,900
Year four	88,285	68,339
Year five	52,546	28,655
Prior	57,571	45,190
Revolving Loans Amortized Cost Basis	276,755	211,751
Loans, net of unearned income	1,406,421	1,627,477
Commercial, financial and agricultural | 1
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	376,496	829,710
Year two	140,359	2,912
Year three	2,340	1,055
Year four	918	387
Year five	219	490
Prior	4,915	4,961
Revolving Loans Amortized Cost Basis	125,123	36,373
Loans, net of unearned income	650,370	875,888
Commercial, financial and agricultural | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	228	1,213
Year two	446	1,512
Year three	8,778	668
Year four	453	996
Year five	766	172
Prior	879	967
Revolving Loans Amortized Cost Basis	3,789	14,317
Loans, net of unearned income	15,339	19,845
Commercial, financial and agricultural | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	101,165	109,352
Year two	63,440	54,266
Year three	41,678	16,932
Year four	12,311	17,968
Year five	15,782	7,027
Prior	8,307	3,905
Revolving Loans Amortized Cost Basis	51,509	68,806
Loans, net of unearned income	294,192	278,256
Commercial, financial and agricultural | 4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	62,535	86,837
Year two	67,264	71,645
Year three	53,086	74,388
Year four	67,882	37,779
Year five	26,090	15,359
Prior	29,502	23,069
Revolving Loans Amortized Cost Basis	88,234	85,366
Loans, net of unearned income	394,593	394,443
Commercial, financial and agricultural | 5
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	181	4,061
Year two	3,946	4,269
Year three	3,882	4,772
Year four	3,713	7,443
Year five	5,470	804
Prior	4,130	5,842
Revolving Loans Amortized Cost Basis	6,821	4,352
Loans, net of unearned income	28,143	31,543
Commercial, financial and agricultural | 6
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	21
Year two	6	72
Year three	461	506
Year four	406	193
Year five	507	3,509
Prior	4,742	1,232
Revolving Loans Amortized Cost Basis	497	632
Loans, net of unearned income	6,619	6,165
Commercial, financial and agricultural | 7
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	375	3,312
Year two	658	3,460
Year three	3,940	2,579
Year four	2,602	3,573
Year five	3,712	1,294
Prior	5,096	5,214
Revolving Loans Amortized Cost Basis	782	1,886
Loans, net of unearned income	17,165	21,318
Commercial, financial and agricultural | 8
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one		0
Year two		0
Year three		0
Year four		0
Year five		0
Prior		0
Revolving Loans Amortized Cost Basis		19
Loans, net of unearned income		19
Consumer installment
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	25,503	142,833
Year two	85,231	63,892
Year three	47,777	57,725
Year four	34,995	17,936
Year five	13,245	4,808
Prior	13,378	11,042
Revolving Loans Amortized Cost Basis	9,282	8,759
Loans, net of unearned income	229,411	306,995
Consumer installment | 1
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	3,954	6,782
Year two	4,203	3,001
Year three	2,252	1,550
Year four	1,119	583
Year five	393	95
Prior	13	1
Revolving Loans Amortized Cost Basis	3,099	667
Loans, net of unearned income	15,033	12,679
Consumer installment | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	0
Year three	0	46
Year four	24	2
Year five	1	0
Prior	55	63
Revolving Loans Amortized Cost Basis	36	42
Loans, net of unearned income	116	153
Consumer installment | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	11,379	15,172
Year two	9,354	6,960
Year three	3,932	2,838
Year four	1,488	887
Year five	497	1,455
Prior	1,595	601
Revolving Loans Amortized Cost Basis	2,943	4,389
Loans, net of unearned income	31,188	32,302
Consumer installment | 4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	10,160	120,800
Year two	71,425	53,593
Year three	41,168	53,182
Year four	32,182	16,329
Year five	12,267	3,121
Prior	10,878	9,437
Revolving Loans Amortized Cost Basis	3,130	3,556
Loans, net of unearned income	181,210	260,018
Consumer installment | 5
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	49
Year two	32	127
Year three	75	28
Year four	8	30
Year five	21	3
Prior	160	242
Revolving Loans Amortized Cost Basis	0	8
Loans, net of unearned income	296	487
Consumer installment | 6
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	2
Year three	5	9
Year four	8	0
Year five	0	0
Prior	141	145
Revolving Loans Amortized Cost Basis	6	0
Loans, net of unearned income	160	156
Consumer installment | 7
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	10	30
Year two	217	209
Year three	345	72
Year four	166	105
Year five	66	134
Prior	536	553
Revolving Loans Amortized Cost Basis	66	97
Loans, net of unearned income	1,406	1,200
Consumer installment | 9
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0
Year two	0
Year three	0
Year four	0
Year five	0
Prior	0
Revolving Loans Amortized Cost Basis	2
Loans, net of unearned income	2
Indirect automobile
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	35,595
Year three	27,732	188,313
Year four	140,150	188,964
Year five	132,835	110,066
Prior	96,656	57,145
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	397,373	580,083
Indirect automobile | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	0
Year three	0	81
Year four	68	31
Year five	26	5,356
Prior	4,862	3,054
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	4,956	8,522
Indirect automobile | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	35,432
Year three	27,695	187,656
Year four	139,757	188,302
Year five	132,451	103,570
Prior	90,484	52,781
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	390,387	567,741
Indirect automobile | 6
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	0
Year three	0	57
Year four	29	70
Year five	31	62
Prior	85	85
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	145	274
Indirect automobile | 7
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	163
Year three	37	519
Year four	296	561
Year five	327	1,078
Prior	1,225	1,225
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	1,885	3,546
Mortgage warehouse
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	0
Year five	0	0
Prior	0	0
Revolving Loans Amortized Cost Basis	841,347	916,353
Loans, net of unearned income	841,347	916,353
Mortgage warehouse | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	0
Year five	0	0
Prior	0	0
Revolving Loans Amortized Cost Basis	841,347	916,353
Loans, net of unearned income	841,347	916,353
Municipal
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	38,623	236,076
Year two	232,591	13,398
Year three	14,205	8,944
Year four	7,227	149,194
Year five	143,831	141,543
Prior	211,101	110,248
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	647,578	659,403
Municipal | 1
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	36,781	91,692
Year two	93,621	12,685
Year three	13,555	8,944
Year four	7,227	143,741
Year five	138,378	124,929
Prior	192,462	97,923
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	482,024	479,914
Municipal | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	1,842	73,000
Year two	72,018	0
Year three	0	0
Year four	0	0
Year five	0	9,410
Prior	12,968	0
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	86,828	82,410
Municipal | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	39,990
Year two	60,812	713
Year three	650	0
Year four	0	5,453
Year five	5,453	7,204
Prior	2,989	5,489
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	69,904	58,849
Municipal | 4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	31,394
Year two	6,140	0
Year three	0	0
Year four	0	0
Year five	0	0
Prior	2,682	6,836
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	8,822	38,230
Premium finance
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	655,200	667,425
Year two	121,458	18,996
Year three	2,973	515
Year four	109	746
Year five	528	121
Prior	60	38
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	780,328	687,841
Premium finance | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	654,607	661,614
Year two	119,382	18,236
Year three	2,973	515
Year four	109	746
Year five	528	121
Prior	60	38
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	777,659	681,270
Premium finance | 7
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	593	5,811
Year two	2,076	760
Year three	0	0
Year four	0	0
Year five	0	0
Prior	0	0
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	2,669	6,571
Real estate – construction and development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	435,839	666,893
Year two	489,710	483,145
Year three	318,850	226,138
Year four	118,748	73,061
Year five	60,002	35,841
Prior	65,996	51,658
Revolving Loans Amortized Cost Basis	38,738	69,974
Loans, net of unearned income	1,527,883	1,606,710
Real estate – construction and development | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0
Year two	62
Year three	0
Year four	0
Year five	0
Prior	0
Revolving Loans Amortized Cost Basis	0
Loans, net of unearned income	62
Real estate – construction and development | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	7,884	59,325
Year two	37,592	7,035
Year three	6,222	6,870
Year four	3,962	8,046
Year five	2,633	3,415
Prior	8,030	6,916
Revolving Loans Amortized Cost Basis	1,038	1,293
Loans, net of unearned income	67,361	92,900
Real estate – construction and development | 4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	426,409	605,254
Year two	451,515	445,496
Year three	295,524	205,444
Year four	67,692	50,181
Year five	42,799	14,672
Prior	27,869	26,915
Revolving Loans Amortized Cost Basis	37,595	68,574
Loans, net of unearned income	1,349,403	1,416,536
Real estate – construction and development | 5
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	1,614
Year two	528	26,720
Year three	16,913	9,612
Year four	44,673	13,261
Year five	13,946	17,712
Prior	27,151	10,127
Revolving Loans Amortized Cost Basis	105	107
Loans, net of unearned income	103,316	79,153
Real estate – construction and development | 6
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	685
Year two	0	1,036
Year three	21	3,646
Year four	2,126	1,302
Year five	0	0
Prior	646	4,564
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	2,793	11,233
Real estate – construction and development | 7
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	1,546	15
Year two	13	2,858
Year three	170	566
Year four	295	271
Year five	624	42
Prior	2,300	3,136
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	4,948	6,888
Real estate – commercial and farmland
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	855,942	1,275,475
Year two	1,309,528	1,060,392
Year three	1,151,000	660,156
Year four	707,220	655,451
Year five	583,280	531,935
Prior	1,364,290	1,012,521
Revolving Loans Amortized Cost Basis	80,212	104,076
Loans, net of unearned income	6,051,472	5,300,006
Real estate – commercial and farmland | 1
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	0
Year three	0	161
Year four	146	0
Year five	0	0
Prior	0	0
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	146	161
Real estate – commercial and farmland | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	56,737	7,482
Year two	7,332	540
Year three	354	521
Year four	448	2,131
Year five	2,058	4,375
Prior	12,776	10,663
Revolving Loans Amortized Cost Basis	0	1,138
Loans, net of unearned income	79,705	26,850
Real estate – commercial and farmland | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	566,934	918,939
Year two	853,282	370,703
Year three	410,581	143,591
Year four	171,064	197,942
Year five	169,835	224,712
Prior	485,822	274,665
Revolving Loans Amortized Cost Basis	43,381	67,067
Loans, net of unearned income	2,700,899	2,197,619
Real estate – commercial and farmland | 4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	227,946	344,777
Year two	424,926	584,814
Year three	580,795	423,241
Year four	432,688	331,024
Year five	241,782	242,573
Prior	631,786	545,745
Revolving Loans Amortized Cost Basis	31,889	34,326
Loans, net of unearned income	2,571,812	2,506,500
Real estate – commercial and farmland | 5
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	1,679	4,027
Year two	17,197	39,216
Year three	112,473	69,173
Year four	72,218	80,726
Year five	133,334	25,561
Prior	149,037	94,461
Revolving Loans Amortized Cost Basis	4,053	1,274
Loans, net of unearned income	489,991	314,438
Real estate – commercial and farmland | 6
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	462	0
Year two	0	10,680
Year three	10,369	4,895
Year four	14,008	28,139
Year five	29,841	7,670
Prior	28,571	31,224
Revolving Loans Amortized Cost Basis	884	0
Loans, net of unearned income	84,135	82,608
Real estate – commercial and farmland | 7
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	2,184	250
Year two	6,791	54,439
Year three	36,428	18,574
Year four	16,648	15,489
Year five	6,430	27,044
Prior	56,298	55,763
Revolving Loans Amortized Cost Basis	5	271
Loans, net of unearned income	124,784	171,830
Real estate – residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	629,602	786,803
Year two	718,041	562,538
Year three	426,444	287,286
Year four	204,211	206,739
Year five	143,176	173,832
Prior	547,917	522,873
Revolving Loans Amortized Cost Basis	229,587	255,986
Loans, net of unearned income	2,898,978	2,796,057
Real estate – residential | 1
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	0
Year five	0	0
Prior	15	19
Revolving Loans Amortized Cost Basis	0	0
Loans, net of unearned income	15	19
Real estate – residential | 2
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	0	37
Year two	36	398
Year three	378	12
Year four	0	121
Year five	96	1,275
Prior	36,139	47,286
Revolving Loans Amortized Cost Basis	1,150	1,402
Loans, net of unearned income	37,799	50,531
Real estate – residential | 3
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	611,704	763,101
Year two	681,564	529,268
Year three	352,543	254,632
Year four	157,688	186,531
Year five	115,923	154,285
Prior	390,335	388,825
Revolving Loans Amortized Cost Basis	186,520	203,491
Loans, net of unearned income	2,496,277	2,480,133
Real estate – residential | 4
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	16,340	19,296
Year two	12,494	19,874
Year three	16,410	15,784
Year four	12,529	11,607
Year five	8,699	14,240
Prior	49,078	53,869
Revolving Loans Amortized Cost Basis	35,969	44,276
Loans, net of unearned income	151,519	178,946
Real estate – residential | 5
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	532	400
Year two	19,488	1,768
Year three	43,677	3,489
Year four	22,071	3,479
Year five	13,844	1,151
Prior	54,793	12,824
Revolving Loans Amortized Cost Basis	2,787	3,618
Loans, net of unearned income	157,192	26,729
Real estate – residential | 6
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	618	527
Year two	417	1,843
Year three	933	1,030
Year four	870	334
Year five	399	724
Prior	3,556	3,391
Revolving Loans Amortized Cost Basis	107	255
Loans, net of unearned income	6,900	8,104
Real estate – residential | 7
Accounts, Notes, Loans and Financing Receivable [Line Items]
Year one	408	3,442
Year two	4,042	9,387
Year three	12,503	12,339
Year four	11,053	4,667
Year five	4,215	2,157
Prior	14,001	16,659
Revolving Loans Amortized Cost Basis	3,054	2,944
Loans, net of unearned income	$ 49,276	$ 51,595

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Loans by Class Modified as Troubled Debt Restructurings (Details) - Loans Excluding Purchased Loan $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2021 USD ($) contract branch	Jun. 30, 2020 USD ($) contract branch	Jun. 30, 2021 USD ($) contract branch	Jun. 30, 2020 USD ($) contract branch	Dec. 31, 2020 USD ($) contract
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	9	9	25	83
Troubled debt restructurings principal balances	$ 9,298	$ 1,577	$ 18,368	$ 11,278
Financing Receivables, 30 Days Past Due
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	25	7	60	16
Troubled debt restructurings principal balances	$ 1,169	$ 168	$ 7,195	$ 1,732
Financing Receivables, 30 Days Past Due | Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			628		752
Troubled debt restructurings principal balances			$ 81,206		$ 78,843
Financing Receivables, 30 Days Past Due | Non-Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			122		128
Troubled debt restructurings principal balances			$ 11,068		$ 6,145
Commercial, financial and agricultural
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	2	1	6	1
Troubled debt restructurings principal balances	$ 165	$ 731	$ 591	$ 731
Commercial, financial and agricultural | Financing Receivables, 30 Days Past Due
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	0	0	3	1
Troubled debt restructurings principal balances	$ 0	$ 0	$ 49	$ 200
Commercial, financial and agricultural | Financing Receivables, 30 Days Past Due | Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			12		9
Troubled debt restructurings principal balances			$ 1,038		$ 521
Commercial, financial and agricultural | Financing Receivables, 30 Days Past Due | Non-Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			10		11
Troubled debt restructurings principal balances			$ 805		$ 849
Consumer installment
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	2	3	2	4
Troubled debt restructurings principal balances	$ 8	$ 7	$ 8	$ 15
Consumer installment | Financing Receivables, 30 Days Past Due
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	0	3	4	3
Troubled debt restructurings principal balances	$ 0	$ 4	$ 5	$ 4
Consumer installment | Financing Receivables, 30 Days Past Due | Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			9		10
Troubled debt restructurings principal balances			$ 28		$ 32
Consumer installment | Financing Receivables, 30 Days Past Due | Non-Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			19		20
Troubled debt restructurings principal balances			$ 43		$ 56
Indirect automobile | Financing Receivables, 30 Days Past Due
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | branch	7	0	22	0
Troubled debt restructurings principal balances	$ 27	$ 0	$ 112	$ 0
Indirect automobile | Financing Receivables, 30 Days Past Due | Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			336		437
Troubled debt restructurings principal balances			$ 1,647		$ 2,277
Indirect automobile | Financing Receivables, 30 Days Past Due | Non-Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			47		51
Troubled debt restructurings principal balances			$ 301		$ 461
Real estate – construction and development
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	0	0	0	1
Troubled debt restructurings principal balances	$ 0	$ 0	$ 0	$ 20
Real estate – construction and development | Financing Receivables, 30 Days Past Due
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	0	0	1	2
Troubled debt restructurings principal balances	$ 0	$ 0	$ 1	$ 285
Real estate – construction and development | Financing Receivables, 30 Days Past Due | Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			5		4
Troubled debt restructurings principal balances			$ 898		$ 506
Real estate – construction and development | Financing Receivables, 30 Days Past Due | Non-Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			4		5
Troubled debt restructurings principal balances			$ 301		$ 707
Real estate – commercial and farmland
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	3	0	5	1
Troubled debt restructurings principal balances	$ 8,653	$ 0	$ 16,312	$ 16
Real estate – commercial and farmland | Financing Receivables, 30 Days Past Due
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	1	0	3	2
Troubled debt restructurings principal balances	$ 202	$ 0	$ 5,382	$ 676
Real estate – commercial and farmland | Financing Receivables, 30 Days Past Due | Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			28		28
Troubled debt restructurings principal balances			$ 46,025		$ 36,707
Real estate – commercial and farmland | Financing Receivables, 30 Days Past Due | Non-Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			11		7
Troubled debt restructurings principal balances			$ 7,103		$ 1,401
Real estate – residential
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	2	5	12	76
Troubled debt restructurings principal balances	$ 472	$ 839	$ 1,457	$ 10,496
Real estate – residential | Financing Receivables, 30 Days Past Due
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	17	4	27	8
Troubled debt restructurings principal balances	$ 940	$ 164	$ 1,646	$ 567
Real estate – residential | Financing Receivables, 30 Days Past Due | Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			238		264
Troubled debt restructurings principal balances			$ 31,570		$ 38,800
Real estate – residential | Financing Receivables, 30 Days Past Due | Non-Accruing Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract			31		34
Troubled debt restructurings principal balances			$ 2,515		$ 2,671

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Deferrals Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Financing Receivable, Troubled Debt Restructuring [Line Items]
COVID-19 Deferrals	$ 127,725	$ 332,779
Deferrals as a % of total loans	0.90%	2.30%
Commercial, financial and agricultural
Financing Receivable, Troubled Debt Restructuring [Line Items]
COVID-19 Deferrals	$ 2,539	$ 12,471
Deferrals as a % of total loans	0.20%	0.80%
Consumer installment
Financing Receivable, Troubled Debt Restructuring [Line Items]
COVID-19 Deferrals	$ 29	$ 1,418
Deferrals as a % of total loans	0.00%	0.50%
Indirect automobile
Financing Receivable, Troubled Debt Restructuring [Line Items]
COVID-19 Deferrals	$ 1,126	$ 8,936
Deferrals as a % of total loans	0.30%	1.50%
Real estate – construction and development
Financing Receivable, Troubled Debt Restructuring [Line Items]
COVID-19 Deferrals	$ 873	$ 11,049
Deferrals as a % of total loans	0.10%	0.70%
Real estate – commercial and farmland
Financing Receivable, Troubled Debt Restructuring [Line Items]
COVID-19 Deferrals	$ 63,827	$ 179,183
Deferrals as a % of total loans	1.10%	3.40%
Real estate – residential
Financing Receivable, Troubled Debt Restructuring [Line Items]
COVID-19 Deferrals	$ 59,331	$ 119,722
Deferrals as a % of total loans	2.00%	4.30%

XML

LOANS AND ALLOWANCE FOR CREDIT LOSSES - Allowance for Loan Losses (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	$ 178,570	$ 149,524	$ 199,422	$ 38,189
Provision for loan losses	(899)	68,449	(17,478)	105,496
Loans charged off	(7,138)	(11,281)	(14,712)	(17,999)
Recoveries of loans previously charged off	4,537	2,101	7,838	4,446
Ending balance, Allowance	175,070	208,793	175,070	208,793
Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				78,661
Commercial, financial and agricultural
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	8,291	8,110	7,359	4,567
Provision for loan losses	1,502	11	4,077	3,091
Loans charged off	(3,529)	(486)	(5,899)	(2,972)
Recoveries of loans previously charged off	625	303	1,352	665
Ending balance, Allowance	6,889	7,938	6,889	7,938
Commercial, financial and agricultural | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				2,587
Consumer installment
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	8,790	15,446	4,076	3,784
Provision for loan losses	491	5,165	6,297	9,636
Loans charged off	(1,669)	(962)	(3,117)	(2,104)
Recoveries of loans previously charged off	212	436	568	757
Ending balance, Allowance	7,824	20,085	7,824	20,085
Consumer installment | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				8,012
Indirect automobile
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	1,272	3,464	1,929	0
Provision for loan losses	(423)	574	(951)	816
Loans charged off	(141)	(1,016)	(970)	(2,247)
Recoveries of loans previously charged off	372	359	1,072	703
Ending balance, Allowance	1,080	3,381	1,080	3,381
Indirect automobile | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				4,109
Mortgage warehouse
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	3,521	1,102	3,666	640
Provision for loan losses	(156)	396	(301)	395
Loans charged off	0	0	0	0
Recoveries of loans previously charged off	0	0	0	0
Ending balance, Allowance	3,365	1,498	3,365	1,498
Mortgage warehouse | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				463
Municipal
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	790	522	791	484
Provision for loan losses	(13)	(15)	(14)	115
Loans charged off	0	0	0	0
Recoveries of loans previously charged off	0	0	0	0
Ending balance, Allowance	777	507	777	507
Municipal | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				(92)
Premium finance
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	4,100	11,508	3,879	2,550
Provision for loan losses	(833)	(2,083)	(391)	2,551
Loans charged off	(1,194)	(1,903)	(2,537)	(2,734)
Recoveries of loans previously charged off	2,466	676	3,588	1,360
Ending balance, Allowance	4,539	8,198	4,539	8,198
Premium finance | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				4,471
Real estate – construction and development
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	22,858	25,319	45,304	5,995
Provision for loan losses	(3,757)	28,853	(26,344)	35,587
Loans charged off	(186)	(74)	(212)	(74)
Recoveries of loans previously charged off	84	168	251	510
Ending balance, Allowance	18,999	54,266	18,999	54,266
Real estate – construction and development | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				12,248
Real estate – commercial and farmland
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	91,211	51,754	88,894	9,666
Provision for loan losses	(3,031)	38,133	640	53,991
Loans charged off	(27)	(6,315)	(1,422)	(7,243)
Recoveries of loans previously charged off	185	21	226	106
Ending balance, Allowance	88,338	83,593	88,338	83,593
Real estate – commercial and farmland | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				27,073
Real estate – residential
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	37,737	32,299	43,524	10,503
Provision for loan losses	5,321	(2,585)	(491)	(686)
Loans charged off	(392)	(525)	(555)	(625)
Recoveries of loans previously charged off	593	138	781	345
Ending balance, Allowance	$ 43,259	$ 29,327	$ 43,259	29,327
Real estate – residential | Accounting Standards Update 2016-13
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance				$ 19,790

XML

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Investments, Debt and Equity Securities [Abstract]
Securities sold under agreements to repurchase	$ 5,544	$ 11,641

XML

OTHER BORROWINGS - Schedule of Other Borrowings (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Dec. 31, 2020
Other Borrowings [Line Items]
Subordinated deferrable interest debentures	$ 125,331	$ 124,345
Other borrowings	425,303	425,155
Fixed Rate Advance due March 3, 2025; fixed interest rate of 1.208%
Other Borrowings [Line Items]
Advance from correspondent bank	$ 15,000	15,000
Debt instrument, interest rate, effective percentage	1.208%
Fixed Rate Advance due March 2, 2027; fixed interest rate of 1.445%
Other Borrowings [Line Items]
Advance from correspondent bank	$ 15,000	15,000
Debt instrument, interest rate, effective percentage	1.445%
Fixed Rate Advance due March 4, 2030; fixed interest rate of 1.606%
Other Borrowings [Line Items]
Advance from correspondent bank	$ 15,000	15,000
Debt instrument, interest rate, effective percentage	1.606%
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%
Other Borrowings [Line Items]
Advance from correspondent bank	$ 1,406	1,411
Debt instrument, interest rate, effective percentage	4.55%
Fixed Rate Advance due December 9, 2030; fixed interest rate of 4.55%
Other Borrowings [Line Items]
Advance from correspondent bank	$ 973	977
Debt instrument, interest rate, effective percentage	4.55%
Principal Reducing Advance due September 29, 2031; fixed interest rate of 3.095%
Other Borrowings [Line Items]
Advance from correspondent bank	$ 1,493	1,567
Debt instrument, interest rate, effective percentage	3.095%
Subordinated notes payable due March 15, 2027 net of unamortized debt issuance cost of $747 and $812, respectively; fixed interest rate of 5.75% through March 14, 2022; variable interest rate thereafter at three-month LIBOR plus 3.616%
Other Borrowings [Line Items]
Subordinated deferrable interest debentures	$ 74,253	74,188
Debt instrument, interest rate, effective percentage	5.75%
Unamortized debt issuance expense	$ 747	812
Subordinated notes payable due March 15, 2027 net of unamortized debt issuance cost of $747 and $812, respectively; fixed interest rate of 5.75% through March 14, 2022; variable interest rate thereafter at three-month LIBOR plus 3.616% | London Interbank Offered Rate (LIBOR)
Other Borrowings [Line Items]
Basis spread on variable rate	3.616%
Subordinated notes payable due December 15, 2029 net of unamortized debt issuance cost of $2,044 and $2,165, respectively; fixed interest rate of 4.25% through December 14, 2024; variable interest rate thereafter at three-month SOFR plus 2.94%
Other Borrowings [Line Items]
Subordinated deferrable interest debentures	$ 117,956	117,835
Debt instrument, interest rate, effective percentage	4.25%
Unamortized debt issuance expense	$ 2,044	2,165
Subordinated notes payable due December 15, 2029 net of unamortized debt issuance cost of $2,044 and $2,165, respectively; fixed interest rate of 4.25% through December 14, 2024; variable interest rate thereafter at three-month SOFR plus 2.94% | Secured Overnight Financing Rate (SOFR)
Other Borrowings [Line Items]
Basis spread on variable rate	2.94%
Subordinated notes payable due May 31, 2030 net of unaccreted purchase accounting fair value adjustment of $1,089 and $1,150, respectively; fixed interest rate of 5.875% through May 31, 2025; variable interest rate thereafter at three-month LIBOR plus 3.63%
Other Borrowings [Line Items]
Subordinated deferrable interest debentures	$ 76,089	76,150
Debt instrument, interest rate, effective percentage	5.875%
Unaccreted purchase accounting fair value adjustment	$ (1,089)	(1,150)
Subordinated notes payable due May 31, 2030 net of unaccreted purchase accounting fair value adjustment of $1,089 and $1,150, respectively; fixed interest rate of 5.875% through May 31, 2025; variable interest rate thereafter at three-month LIBOR plus 3.63% | London Interbank Offered Rate (LIBOR)
Other Borrowings [Line Items]
Basis spread on variable rate	3.63%
Subordinated notes payable due October 1, 2030 net of unamortized debt issuance cost of $1,867 and $1,973, respectively; fixed interest rate of 3.875% through September 30, 2025; variable interest rate thereafter at three-month SOFR plus 3.753%
Other Borrowings [Line Items]
Subordinated deferrable interest debentures	$ 108,133	108,027
Debt instrument, interest rate, effective percentage	3.875%
Unamortized debt issuance expense	$ 1,867	$ 1,973
Subordinated notes payable due October 1, 2030 net of unamortized debt issuance cost of $1,867 and $1,973, respectively; fixed interest rate of 3.875% through September 30, 2025; variable interest rate thereafter at three-month SOFR plus 3.753% | Secured Overnight Financing Rate (SOFR)
Other Borrowings [Line Items]
Basis spread on variable rate	3.753%

XML

OTHER BORROWINGS - Narrative (Details) $ in Millions	Jun. 30, 2021 USD ($)
Debt Disclosure [Abstract]
Federal home loan bank, advances, general debt obligations, amount of available, unused funds	$ 3,350.0
Credit arrangements for federal funds purchase	127.0
Pledged assets separately reported, loans pledged for federal reserve bank, at fair value	3,240.0
Loans pledged at federal reserve discount window available for borrowing	$ 2,250.0

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	$ 2,757,596	$ 2,437,150	$ 2,647,088	$ 2,469,582
Reclassification for gains included in net income, net of tax	0	0	0	0
Current year changes, net of tax	(1,066)	62	(8,481)	21,618
Balance at end of period	2,837,004	2,460,130	2,837,004	2,460,130
Unrealized Gain (Loss) on Derivatives
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	0	(244)	0	(147)
Reclassification for gains included in net income, net of tax	0	0	0	0
Current year changes, net of tax	0	111	0	14
Balance at end of period	0	(133)	0	(133)
Unrealized Gain (Loss) on Securities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	26,090	39,795	33,505	18,142
Reclassification for gains included in net income, net of tax	0	0	0	0
Current year changes, net of tax	(1,066)	(49)	(8,481)	21,604
Balance at end of period	25,024	39,746	25,024	39,746
Accumulated Other Comprehensive Income
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	26,090	39,551	33,505	17,995
Balance at end of period	$ 25,024	$ 39,613	$ 25,024	$ 39,613

XML

WEIGHTED AVERAGE SHARES OUTSTANDING (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Earnings Per Share [Abstract]
Average common shares outstanding (in shares)	69,497,000	69,192,000	69,448,000	69,235,000
Common share equivalents:
Stock options (in shares)	64,000	9,000	74,000	33,000
Nonvested restricted share grants (in shares)	151,000	75,000	153,000	130,000
Performance share units (in shares)	80,000	17,000	90,000	15,000
Average common shares outstanding, assuming dilution (in shares)	69,792,000	69,293,000	69,765,000	69,413,000
Potential common shares with strike prices that would cause them to be anti-dilutive (in shares)	0	252,765	0	56,000

XML

FAIR VALUE MEASURES - Loans Held for Sale Under the Fair Value Option (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	$ 1,210,589	$ 1,001,807
Mortgage loans held for sale
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	1,200,139	998,050
SBA loans held for sale
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	$ 10,450	$ 3,757

XML

FAIR VALUE MEASURES - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Net gains (losses) from change in fair value of mortgages loans held for sale	$ 10.0	$ 26.1	$ (15.1)	$ 41.1
Net gains (losses) from change in fair value of derivative financial instruments	$ (45.1)	$ 36.4	$ (17.6)	$ 33.8

XML

FAIR VALUE MEASURES - Difference Between Fair Value and Principal Balance of Loans Held for Sale Measured at Fair Value (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Mortgage loans held for sale
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Aggregate fair value of loans held for sale	$ 1,200,139	$ 998,050
Aggregate unpaid principal balance of loans held for sale	1,164,671	947,460
Past-due loans of 90 days or more	361	0
Nonaccrual loans	361	0
Unpaid principal balance of nonaccrual loans	352	0
SBA loans held for sale
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Aggregate fair value of loans held for sale	10,450	3,757
Aggregate unpaid principal balance of loans held for sale	9,423	3,393
Past-due loans of 90 days or more	0	0
Nonaccrual loans	$ 0	$ 0

XML

FAIR VALUE MEASURES - Fair Value Measurements of Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	$ 778,167	$ 982,879
Loans held for sale	1,210,589	1,001,807
U.S. government sponsored agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	12,327	17,504
State, county and municipal securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	60,836	66,778
Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	43,612	51,896
SBA pool securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	54,281	62,497
Mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	607,111	784,204
Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	1,210,589	1,001,807
Total recurring assets at fair value	2,009,070	2,036,442
Total recurring liabilities at fair value	2,546	16,415
Fair Value, Measurements, Recurring | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	0	0
Total recurring assets at fair value	0	0
Total recurring liabilities at fair value	0	0
Fair Value, Measurements, Recurring | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	1,210,589	1,001,807
Total recurring assets at fair value	2,007,900	2,035,272
Total recurring liabilities at fair value	2,546	16,415
Fair Value, Measurements, Recurring | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	1,170	1,170
Loans held for sale	0	0
Total recurring assets at fair value	1,170	1,170
Total recurring liabilities at fair value	0	0
Fair Value, Measurements, Recurring | Mortgage banking derivative instruments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage banking derivative instruments	20,314	51,756
Derivative liability	2,546	16,415
Fair Value, Measurements, Recurring | Mortgage banking derivative instruments | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage banking derivative instruments	0	0
Derivative liability	0	0
Fair Value, Measurements, Recurring | Mortgage banking derivative instruments | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage banking derivative instruments	20,314	51,756
Derivative liability	2,546	16,415
Fair Value, Measurements, Recurring | Mortgage banking derivative instruments | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage banking derivative instruments	0	0
Derivative liability	0	0
Fair Value, Measurements, Recurring | U.S. government sponsored agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	12,327	17,504
Fair Value, Measurements, Recurring | U.S. government sponsored agencies | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | U.S. government sponsored agencies | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	12,327	17,504
Fair Value, Measurements, Recurring | U.S. government sponsored agencies | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | State, county and municipal securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	60,836	66,778
Fair Value, Measurements, Recurring | State, county and municipal securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | State, county and municipal securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	60,836	66,778
Fair Value, Measurements, Recurring | State, county and municipal securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	43,612	51,896
Fair Value, Measurements, Recurring | Corporate debt securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | Corporate debt securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	42,442	50,726
Fair Value, Measurements, Recurring | Corporate debt securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	1,170	1,170
Fair Value, Measurements, Recurring | SBA pool securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	54,281	62,497
Fair Value, Measurements, Recurring | SBA pool securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | SBA pool securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	54,281	62,497
Fair Value, Measurements, Recurring | SBA pool securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | Mortgage-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	607,111	784,204
Fair Value, Measurements, Recurring | Mortgage-backed securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	0	0
Fair Value, Measurements, Recurring | Mortgage-backed securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	607,111	784,204
Fair Value, Measurements, Recurring | Mortgage-backed securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale, at fair value	$ 0	$ 0

XML

FAIR VALUE MEASURES - Fair Value Measurements of Assets Measured at Fair Value on Non-Recurring Basis (Details) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	$ 272,184	$ 239,859
Collateral-dependent loans
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	78,530	98,426
Other real estate owned
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	1,979	4,964
Mortgage servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	191,675	130,630
SBA servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value		5,839
Level 1
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	0
Level 1 | Collateral-dependent loans
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	0
Level 1 | Other real estate owned
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	0
Level 1 | Mortgage servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	0
Level 1 | SBA servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value		0
Level 2
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	5,839
Level 2 | Collateral-dependent loans
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	0
Level 2 | Other real estate owned
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	0
Level 2 | Mortgage servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	0	0
Level 2 | SBA servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value		5,839
Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	272,184	234,020
Level 3 | Collateral-dependent loans
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	78,530	98,426
Level 3 | Other real estate owned
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	1,979	4,964
Level 3 | Mortgage servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value	$ 191,675	130,630
Level 3 | SBA servicing rights
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Assets at fair value		$ 0

XML

FAIR VALUE MEASURES - Significant Unobservable Inputs Used in Fair Value Measurement of Level 3 Assets and Liabilities (Details) $ in Thousands	Jun. 30, 2021 USD ($)	Dec. 31, 2020 USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Investment securities available for sale, at fair value	$ 778,167	$ 982,879
Other real estate owned, at fair value	5,775	11,880
Fair Value, Measurements, Recurring | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Investment securities available for sale, at fair value	1,170	1,170
Fair Value, Measurements, Nonrecurring | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Collateral-dependent loans, at fair value	78,530	98,426
Other real estate owned, at fair value	1,979	4,964
Mortgage servicing rights	$ 191,675	$ 130,630
Discounted par values | Probability of default | Fair Value, Measurements, Recurring | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Investment securities available for sale, measurement input	0.136	0.188
Discounted par values | Probability of default | Fair Value, Measurements, Recurring | Weighted Average Daily Balance | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Investment securities available for sale, measurement input	0.136	0.188
Discounted par values | Loss given default | Fair Value, Measurements, Recurring | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Investment securities available for sale, measurement input	0.39	0.40
Discounted par values | Loss given default | Fair Value, Measurements, Recurring | Weighted Average Daily Balance | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Investment securities available for sale, measurement input	0.39	0.40
Third-party appraisals and discounted cash flows | Collateral discounts and discount rates | Fair Value, Measurements, Nonrecurring | Minimum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Collateral-dependent loans, measurement input	20.00%	20.00%
Third-party appraisals and discounted cash flows | Collateral discounts and discount rates | Fair Value, Measurements, Nonrecurring | Maximum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Collateral-dependent loans, measurement input	57.00%	90.00%
Third-party appraisals and discounted cash flows | Collateral discounts and discount rates | Fair Value, Measurements, Nonrecurring | Weighted Average Daily Balance | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Collateral-dependent loans, measurement input	44.00%	44.00%
Third-party appraisals and sales contracts | Collateral discounts and estimated costs to sell | Fair Value, Measurements, Nonrecurring | Minimum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Other real estate owned, measurement input	0.15	0.15
Third-party appraisals and sales contracts | Collateral discounts and estimated costs to sell | Fair Value, Measurements, Nonrecurring | Maximum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Other real estate owned, measurement input	0.38	0.59
Third-party appraisals and sales contracts | Collateral discounts and estimated costs to sell | Fair Value, Measurements, Nonrecurring | Weighted Average Daily Balance | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Other real estate owned, measurement input	0.23	0.28
Discounted cash flows | Discount rate | Fair Value, Measurements, Nonrecurring | Minimum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights measurement input	0.09	0.09
Discounted cash flows | Discount rate | Fair Value, Measurements, Nonrecurring | Maximum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights measurement input	0.10	0.12
Discounted cash flows | Discount rate | Fair Value, Measurements, Nonrecurring | Weighted Average Daily Balance | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights measurement input	0.09	0.10
Discounted cash flows | Prepayment speed | Fair Value, Measurements, Nonrecurring | Minimum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights measurement input	0.13	0.14
Discounted cash flows | Prepayment speed | Fair Value, Measurements, Nonrecurring | Maximum | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights measurement input	0.42	0.37
Discounted cash flows | Prepayment speed | Fair Value, Measurements, Nonrecurring | Weighted Average Daily Balance | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights measurement input	0.15	19

XML

FAIR VALUE MEASURES - Carrying Amount and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Financial assets:
Cash and due from banks	$ 259,729	$ 203,349
Federal funds sold and interest-bearing accounts	3,044,795	1,913,957
Time deposits in other banks	0	249
Investment securities held-to-maturity	29,008	0
Financial liabilities:
Other borrowings	425,303	425,155
Subordinated deferrable interest debentures	125,331	124,345
Carrying Amount
Financial assets:
Cash and due from banks	259,729	203,349
Federal funds sold and interest-bearing accounts	3,044,795	1,913,957
Time deposits in other banks	0	249
Investment securities held-to-maturity	29,055	0
Loans, net	14,527,191	14,183,077
Accrued interest receivable	64,906	76,254
Financial liabilities:
Deposits	18,257,997	16,957,823
Securities sold under agreements to repurchase	5,544	11,641
Other borrowings	425,303	425,155
Subordinated deferrable interest debentures	125,331	124,345
Accrued interest payable	4,375	5,487
Fair Value
Financial assets:
Cash and due from banks	259,729	203,349
Federal funds sold and interest-bearing accounts	3,044,795	1,913,957
Time deposits in other banks	0	249
Investment securities held-to-maturity	29,008	0
Loans, net	14,407,763	14,096,711
Accrued interest receivable	64,906	76,254
Financial liabilities:
Deposits	18,262,653	16,968,606
Securities sold under agreements to repurchase	5,544	11,641
Other borrowings	430,674	431,783
Subordinated deferrable interest debentures	117,735	116,280
Accrued interest payable	4,375	5,487
Fair Value | Level 1
Financial assets:
Cash and due from banks	259,729	203,349
Federal funds sold and interest-bearing accounts	3,044,795	1,913,957
Time deposits in other banks	0	0
Investment securities held-to-maturity	0	0
Loans, net	0	0
Accrued interest receivable	0	0
Financial liabilities:
Deposits	0	0
Securities sold under agreements to repurchase	5,544	11,641
Other borrowings	0	0
Subordinated deferrable interest debentures	0	0
Accrued interest payable	0	0
Fair Value | Level 2
Financial assets:
Cash and due from banks	0	0
Federal funds sold and interest-bearing accounts	0	0
Time deposits in other banks	0	249
Investment securities held-to-maturity	29,008	0
Loans, net	0	0
Accrued interest receivable	2,919	3,567
Financial liabilities:
Deposits	18,262,653	16,968,606
Securities sold under agreements to repurchase	0	0
Other borrowings	430,674	431,783
Subordinated deferrable interest debentures	117,735	116,280
Accrued interest payable	4,375	5,487
Fair Value | Level 3
Financial assets:
Cash and due from banks	0	0
Federal funds sold and interest-bearing accounts	0	0
Time deposits in other banks	0	0
Investment securities held-to-maturity	0	0
Loans, net	14,407,763	14,096,711
Accrued interest receivable	61,987	72,687
Financial liabilities:
Deposits	0	0
Securities sold under agreements to repurchase	0	0
Other borrowings	0	0
Subordinated deferrable interest debentures	0	0
Accrued interest payable	$ 0	$ 0

XML

COMMITMENTS AND CONTINGENCIES - Schedule of Guarantor Obligations (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments to extend credit	$ 3,550,269	$ 2,826,719
Unused home equity lines of credit	262,576	259,015
Financial standby letters of credit	32,291	33,613
Mortgage interest rate lock commitments	$ 674,525	$ 1,199,939

XML

COMMITMENTS AND CONTINGENCIES - Allowance for Unfunded Commitments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Provision for unfunded commitments	$ (899)	$ 68,449	$ (17,478)	$ 105,496
Unfunded Loan Commitments
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	21,015	17,791	32,854	1,077
Addition due to acquisition	0	0	0	0
Provision for unfunded commitments	1,299	19,712	(10,540)	23,712
Ending balance, Allowance	22,314	37,503	22,314	37,503
Unfunded Loan Commitments | Adjustment
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance, Allowance	$ 0	$ 0	$ 0	$ 12,714

XML

COMMITMENTS AND CONTINGENCIES - Narrative (Details) $ in Millions	Jun. 30, 2021 USD ($)
Federal Home Loan Bank | Letter of Credit
Loss Contingencies [Line Items]
Letter of credit	$ 490.0

XML

SEGMENT REPORTING - Narrative (Details)	6 Months Ended
	Jun. 30, 2021 segment
Segment Reporting [Abstract]
Reportable segments	5

XML

SEGMENT REPORTING - Schedule of Segment Reporting, by Reportable Business Segments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Segment Reporting Information [Line Items]
Interest income	$ 173,751	$ 185,018	$ 351,701	$ 367,786
Interest expense	11,899	21,204	24,872	56,027
Net interest income	161,852	163,814	326,829	311,759
Provision for credit losses	142	88,161	(28,449)	129,208
Noninterest income	89,240	120,960	207,213	175,339
Noninterest expense
Salaries and employee benefits	85,505	95,168	181,490	171,114
Occupancy and equipment	10,812	13,807	22,593	25,835
Data processing and communications expenses	11,877	10,514	23,761	22,468
Other expenses	27,567	36,279	56,715	74,404
Total noninterest expense	135,761	155,768	284,559	293,821
Income (loss) before income tax expense	115,189	40,845	277,932	64,069
Income tax expense (benefit)	26,862	8,609	64,643	12,511
Net income (loss)	88,327	32,236	213,289	51,558
Total assets	21,886,931	19,872,629	21,886,931	19,872,629	$ 20,438,638
Goodwill	928,005	928,005	928,005	928,005	928,005
Other intangible assets, net	63,783	80,354	63,783	80,354	$ 71,974
Banking Division
Segment Reporting Information [Line Items]
Interest income	109,260	128,653	221,639	260,954
Interest expense	(1,410)	8,323	(1,847)	22,249
Net interest income	110,670	120,330	223,486	238,705
Provision for credit losses	(3,949)	86,805	(27,853)	122,802
Noninterest income	16,171	14,468	32,909	32,241
Noninterest expense
Salaries and employee benefits	37,814	40,423	80,537	82,044
Occupancy and equipment	9,050	11,679	19,170	22,026
Data processing and communications expenses	10,280	8,919	20,481	19,716
Other expenses	18,763	27,997	38,473	58,642
Total noninterest expense	75,907	89,018	158,661	182,428
Income (loss) before income tax expense	54,883	(41,025)	125,587	(34,284)
Income tax expense (benefit)	14,196	(8,582)	32,652	(8,307)
Net income (loss)	40,687	(32,443)	92,935	(25,977)
Total assets	15,561,628	13,121,679	15,561,628	13,121,679
Goodwill	863,507	863,507	863,507	863,507
Other intangible assets, net	50,418	64,007	50,418	64,007
Retail Mortgage Division
Segment Reporting Information [Line Items]
Interest income	34,085	34,714	64,284	68,125
Interest expense	11,552	10,412	22,767	26,067
Net interest income	22,533	24,302	41,517	42,058
Provision for credit losses	5,647	423	1,094	2,420
Noninterest income	69,055	104,195	166,695	138,564
Noninterest expense
Salaries and employee benefits	44,798	50,003	94,636	81,100
Occupancy and equipment	1,553	1,953	3,029	3,457
Data processing and communications expenses	1,435	1,406	2,981	2,392
Other expenses	7,638	6,949	15,827	12,824
Total noninterest expense	55,424	60,311	116,473	99,773
Income (loss) before income tax expense	30,517	67,763	90,645	78,429
Income tax expense (benefit)	6,408	14,231	19,035	16,639
Net income (loss)	24,109	53,532	71,610	61,790
Total assets	3,917,275	3,905,683	3,917,275	3,905,683
Goodwill	0	0	0	0
Other intangible assets, net	0	0	0	0
Warehouse Lending Division
Segment Reporting Information [Line Items]
Interest income	8,988	5,285	19,315	10,135
Interest expense	268	259	689	1,807
Net interest income	8,720	5,026	18,626	8,328
Provision for credit losses	(155)	403	(300)	394
Noninterest income	1,333	727	2,313	1,687
Noninterest expense
Salaries and employee benefits	278	209	608	419
Occupancy and equipment	1	1	2	2
Data processing and communications expenses	68	55	117	96
Other expenses	30	88	63	122
Total noninterest expense	377	353	790	639
Income (loss) before income tax expense	9,831	4,997	20,449	8,982
Income tax expense (benefit)	2,064	1,049	4,294	1,886
Net income (loss)	7,767	3,948	16,155	7,096
Total assets	779,234	753,668	779,234	753,668
Goodwill	0	0	0	0
Other intangible assets, net	0	0	0	0
SBA Division
Segment Reporting Information [Line Items]
Interest income	14,050	8,757	32,084	12,485
Interest expense	1,168	1,723	2,567	3,270
Net interest income	12,882	7,034	29,517	9,215
Provision for credit losses	(607)	2,322	(1,154)	1,419
Noninterest income	2,677	1,570	5,288	2,847
Noninterest expense
Salaries and employee benefits	937	2,612	2,319	4,088
Occupancy and equipment	132	97	238	194
Data processing and communications expenses	0	15	1	28
Other expenses	284	359	579	874
Total noninterest expense	1,353	3,083	3,137	5,184
Income (loss) before income tax expense	14,813	3,199	32,822	5,459
Income tax expense (benefit)	3,111	671	6,893	1,146
Net income (loss)	11,702	2,528	25,929	4,313
Total assets	748,234	1,310,077	748,234	1,310,077
Goodwill	0	0	0	0
Other intangible assets, net	0	0	0	0
Premium  Finance  Division
Segment Reporting Information [Line Items]
Interest income	7,368	7,609	14,379	16,087
Interest expense	321	487	696	2,634
Net interest income	7,047	7,122	13,683	13,453
Provision for credit losses	(794)	(1,792)	(236)	2,173
Noninterest income	4	0	8	0
Noninterest expense
Salaries and employee benefits	1,678	1,921	3,390	3,463
Occupancy and equipment	76	77	154	156
Data processing and communications expenses	94	119	181	236
Other expenses	852	886	1,773	1,942
Total noninterest expense	2,700	3,003	5,498	5,797
Income (loss) before income tax expense	5,145	5,911	8,429	5,483
Income tax expense (benefit)	1,083	1,240	1,769	1,147
Net income (loss)	4,062	4,671	6,660	4,336
Total assets	880,560	781,522	880,560	781,522
Goodwill	64,498	64,498	64,498	64,498
Other intangible assets, net	$ 13,365	$ 16,347	$ 13,365	$ 16,347

XML

LOAN SERVICING RIGHTS - Schedule of Carrying Value of Loan Servicing Rights Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019
Servicing Assets at Fair Value [Line Items]
Loan servicing rights	$ 197,798		$ 136,542
Residential mortgage
Servicing Assets at Fair Value [Line Items]
Loan servicing rights	191,675	$ 154,746	130,630	$ 91,381	$ 85,922	$ 94,902
SBA
Servicing Assets at Fair Value [Line Items]
Loan servicing rights	6,123	6,445	5,839	5,241	5,394	7,886
Indirect automobile
Servicing Assets at Fair Value [Line Items]
Loan servicing rights	$ 0	$ 29	$ 73	$ 162	$ 204	$ 247

XML

LOAN SERVICING RIGHTS - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Residential Mortgage Loans
Contractually Specified Servicing Fees, Late Fees, and Ancillary Fees Earned in Exchange for Servicing Financial Assets [Line Items]
Servicing fee income	$ 11,300	$ 6,900	$ 21,500	$ 13,100
SBA servicing rights
Contractually Specified Servicing Fees, Late Fees, and Ancillary Fees Earned in Exchange for Servicing Financial Assets [Line Items]
Servicing fee income	980	1,000	2,000	2,100
Indirect automobile
Contractually Specified Servicing Fees, Late Fees, and Ancillary Fees Earned in Exchange for Servicing Financial Assets [Line Items]
Servicing fee income	$ 170	$ 518	$ 376	$ 1,200

XML

LOAN SERVICING RIGHTS - Schedule of Activity of Servicing Rights (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Servicing Asset at Fair Value, Amount [Roll Forward]
Beginning balance			$ 136,542
Ending balance	$ 197,798		197,798
Residential mortgage servicing rights
Servicing Asset at Fair Value, Amount [Roll Forward]
Beginning balance	154,746	$ 85,922	130,630	$ 94,902
Additions	43,377	19,298	65,244	35,359
Amortization	(7,197)	(5,687)	(14,681)	(9,853)
Recoveries/(impairment)	749	(8,152)	10,482	(29,027)
Ending balance	191,675	91,381	191,675	91,381
Residential mortgage servicing valuation allowance
Servicing Asset at Fair Value, Amount [Roll Forward]
Beginning balance	29,674	20,979	39,407	104
Additions	0	8,152	0	29,027
Recoveries/(impairment)	(749)	0	(10,482)	0
Ending balance	28,925	29,131	28,925	29,131
SBA servicing rights
Servicing Asset at Fair Value, Amount [Roll Forward]
Beginning balance	6,445	5,394	5,839	7,886
Additions	241	100	471	475
Purchase accounting adjustment	0	0	0	(1,214)
Amortization	(563)	(416)	(1,092)	(779)
Recoveries/(impairment)	0	163	905	(1,127)
Ending balance	6,123	5,241	6,123	5,241
SBA servicing valuation allowance
Servicing Asset at Fair Value, Amount [Roll Forward]
Beginning balance	0	1,431	905	141
Additions	0	0	0	1,127
Recoveries/(impairment)	0	(163)	(905)	0
Ending balance	0	1,268	0	1,268
Indirect automobile
Servicing Asset at Fair Value, Amount [Roll Forward]
Beginning balance	29	204	73	247
Amortization	(29)	(42)	(73)	(85)
Ending balance	$ 0	$ 162	$ 0	$ 162

XML

LOAN SERVICING RIGHTS - Schedule of Sensitivity of Fair Value to Adverse Changes in Model Inputs and/or Assumptions (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2020
Residential mortgage
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Unpaid principal balance of loans serviced for others	$ 15,486,442	$ 13,764,529
Loans serviced for others, percentage	100.00%	100.00%
Weighted average life (in years)	340 months	340 months
Weighted average age	19 months	20 months
Modeled prepayment speed	14.67%	18.82%
Decline in fair value due to a 10% adverse change	$ (8,237)	$ (7,154)
Decline in fair value due to a 20% adverse change	$ (15,818)	$ (13,664)
Weighted average discount rate	8.76%	9.50%
Decline in fair value due to a 10% adverse change	$ (6,866)	$ (4,304)
Decline in fair value due to a 20% adverse change	$ (13,193)	$ (8,321)
Residential mortgage | FHLMC
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Loans serviced for others, percentage	21.35%	21.55%
Residential mortgage | FNMA
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Loans serviced for others, percentage	61.30%	61.75%
Residential mortgage | GNMA
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Loans serviced for others, percentage	17.35%	16.70%
SBA servicing rights
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Unpaid principal balance of loans serviced for others	$ 431,185	$ 351,325
Weighted average life (in years)	3 years 7 months 2 days	3 years 5 months 15 days
Modeled prepayment speed	18.37%	19.14%
Decline in fair value due to a 10% adverse change	$ (393)	$ (335)
Decline in fair value due to a 20% adverse change	$ (747)	$ (636)
Weighted average discount rate	7.77%	9.55%
Decline in fair value due to a 10% adverse change	$ (187)	$ (151)
Decline in fair value due to a 20% adverse change	$ (365)	$ (295)

XML

Label	Element	Value
Accounting Standards Update [Extensible Enumeration]	us-gaap_AccountingStandardsUpdateExtensibleList	Accounting Standards Update 2016-13 [Member]