XML 35 R22.htm IDEA: XBRL DOCUMENT v3.19.1
Loans and Allowance for Loan Losses (Tables)
 3 Months Ended
Mar. 31, 2019
Receivables [Abstract]  
Summary of Loans
A summary of loans at March 31, 2019 and December 31, 2018 follows (in thousands):
 
March 31,
2019
 
December 31,
2018
Construction and land development
$
50,234

 
$
51,013

Agricultural real estate
237,437

 
232,409

1-4 Family residential properties
363,569

 
374,751

Multifamily residential properties
177,949

 
186,393

Commercial real estate
909,176

 
911,656

Loans secured by real estate
1,738,365

 
1,756,222

Agricultural loans
118,125

 
136,125

Commercial and industrial loans
551,837

 
559,120

Consumer loans
87,503

 
92,744

All other loans
111,794

 
113,925

Total Gross loans
2,607,624

 
2,658,136

Less: Loans held for sale
1,233

 
1,508

 
2,606,391

 
2,656,628

Less:
 

 
 

Net deferred loan fees, premiums and discounts
10,630

 
13,617

Allowance for loan losses
26,704

 
26,189

Net loans
$
2,569,057

 
$
2,616,822
Allowance for Loan Losses and Recorded Investment in Loans



























The following tables present the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method for the three-months ended March 31, 2019 and 2018 and for the year ended December 31, 2018 (in thousands):
 
 
 
 
 
 
 
Commercial/ Commercial Real Estate
 
Agricultural/ Agricultural Real Estate
 
Residential Real Estate
 
Consumer
 
Unallocated
 
Total
Three months ended March 31, 2019
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses:
 
 
 
 
 
 
 
 
 
 
 
Balance, beginning of year
$
21,556

 
$
2,197

 
$
1,504

 
$
932

 
$
—

 
$
26,189

Provision charged to expense
584

 
236

 
(116
)
 
243

 
—

 
947

Losses charged off
(215
)
 
(30
)
 
(52
)
 
(271
)
 
—

 
(568
)
Recoveries
22

 
9

 
5

 
100

 
—

 
136

Balance, end of period
$
21,947

 
$
2,412

 
$
1,341

 
$
1,004

 
$
—

 
$
26,704

Ending balance:
 

 
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
2,257

 
$
24

 
$
231

 
$
3

 
$
—

 
$
2,515

Collectively evaluated for impairment
$
18,994

 
$
2,388

 
$
1,101

 
$
1,001

 
$
—

 
$
23,484

Acquired with deteriorated credit quality
$
696

 
$
—

 
$
9

 
$
—

 
$
—

 
$
705

Loans:
 

 
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
10,303

 
$
45

 
$
3,763

 
$
171

 
$
—

 
$
14,282

Collectively evaluated for impairment
1,747,455

 
354,432

 
372,261

 
93,948

 
$
—

 
2,568,096

Acquired with deteriorated credit quality
12,799

 
—

 
1,817

 
—

 
$
—

 
14,616

Ending balance
$
1,770,557

 
$
354,477

 
$
377,841

 
$
94,119

 
$
—

 
$
2,596,994

 
 
Commercial/ Commercial Real Estate
 
Agricultural/ Agricultural Real Estate
 
Residential Real Estate
 
Consumer
 
Unallocated
 
Total
Three months ended March 31, 2018
 
 
 
 
 
 
 
 
 
 
Allowance for loan losses:
 
 
 
 
 
 
 
 
 
 
 
Balance, beginning of year
$
16,546

 
$
1,742

 
$
886

 
$
803

 
$
—

 
$
19,977

Provision charged to expense
936

 
(161
)
 
177

 
103

 
—

 
1,055

Losses charged off
(237
)
 
—

 
(103
)
 
(136
)
 
—

 
(476
)
Recoveries
123

 
—

 
1

 
91

 
—

 
215

Balance, end of period
$
17,368

 
$
1,581

 
$
961

 
$
861

 
$
—

 
$
20,771

Ending balance:
 

 
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
486

 
$
5

 
$
20

 
$
—

 
$
—

 
$
511

Collectively evaluated for impairment
$
16,877

 
$
1,576

 
$
941

 
$
861

 
$
—

 
$
20,255

Acquired with deteriorated credit quality
$
5

 
$
—

 
$
—

 
$
—

 
$
—

 
$
5

Loans:
 

 
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
11,592

 
$
202

 
$
1,115

 
$
170

 
$
—

 
$
13,079

Collectively evaluated for impairment
1,417,379

 
196,173

 
311,163

 
39,650

 
—

 
1,964,365

Acquired with deteriorated credit quality
253

 
—

 
—

 
—

 
—

 
253

Ending balance
$
1,429,224

 
$
196,375

 
$
312,278

 
$
39,820

 
$
—

 
$
1,977,697

Year ended December 31, 2018
 

 
 

 
 

 
 

 
 

 
 

Allowance for loan losses:
 

 
 

 
 

 
 

 
 

 
 

Balance, beginning of year
$
16,546

 
$
1,742

 
$
886

 
$
803

 
$
—

 
$
19,977

Provision charged to expense
6,070

 
548

 
1,447

 
602

 
—

 
8,667

Losses charged off
(1,227
)
 
(93
)
 
(886
)
 
(787
)
 
—

 
(2,993
)
Recoveries
167

 
—

 
57

 
314

 
—

 
538

Balance, end of year
$
21,556

 
$
2,197

 
$
1,504

 
$
932

 
$
—

 
$
26,189

Ending balance:
 

 
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
1,816

 
$
—

 
$
225

 
$
3

 
$
—

 
$
2,044

Collectively evaluated for impairment
$
18,514

 
$
2,197

 
$
1,270

 
$
929

 
$
—

 
$
22,910

Acquired with deteriorated credit quality
$
1,226

 
$
—

 
$
9

 
$
—

 
$
—

 
$
1,235

Loans:
 

 
 

 
 

 
 

 
 

 
 

Individually evaluated for impairment
$
14,422

 
$
32

 
$
2,360

 
$
166

 
$
—

 
$
16,980

Collectively evaluated for impairment
1,756,908

 
367,175

 
387,961

 
99,872

 
—

 
2,611,916

Acquired with deteriorated credit quality
13,411

 
4

 
2,205

 
3

 
—

 
15,623

Ending balance
$
1,784,741

 
$
367,211

 
$
392,526

 
$
100,041

 
$
—

 
$
2,644,519
Credit Risk Profile of the Company's Loan Portfolio
The following tables present the credit risk profile of the Company’s loan portfolio based on rating category and payment activity as of March 31, 2019 and December 31, 2018 (in thousands):

 
Construction &
Land Development
 
Agricultural Real Estate
 
1-4 Family Residential
Properties
 
Multifamily Residential
Properties
 
2019
 
2018
 
2019
 
2018
 
2019
 
2018
 
2019
 
2018
Pass
$
48,192

 
$
49,794

 
$
227,602

 
$
221,047

 
$
341,528

 
$
352,583

 
$
156,561

 
$
163,845

Special Mention
465

 
471

 
7,349

 
7,805

 
5,550

 
5,526

 
7,825

 
8,144

Substandard
522

 
354

 
1,913

 
2,848

 
15,539

 
15,409

 
11,517

 
12,062

Doubtful
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Total
$
49,179

 
$
50,619

 
$
236,864

 
$
231,700

 
$
362,617

 
$
373,518

 
$
175,903

 
$
184,051


 
Commercial Real Estate (Nonfarm/Nonresidential)
 
Agricultural Loans
 
Commercial & Industrial Loans
 
Consumer Loans
 
2019
 
2018
 
2019
 
2018
 
2019
 
2018
 
2019
 
2018
Pass
$
863,328

 
$
861,086

 
$
108,301

 
$
127,863

 
$
536,110

 
$
535,186

 
$
85,017

 
$
90,133

Special Mention
11,974

 
16,035

 
6,017

 
7,581

 
5,120

 
9,967

 
171

 
177

Substandard
30,377

 
29,729

 
3,708

 
433

 
9,623

 
11,858

 
1,352

 
1,206

Doubtful
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Total
$
905,679

 
$
906,850

 
$
118,026

 
$
135,877

 
$
550,853

 
$
557,011

 
$
86,540

 
$
91,516


 
All Other Loans
 
Total Loans
 
2019
 
2018
 
2019
 
2018
Pass
$
108,715

 
$
110,352

 
$
2,475,354

 
$
2,511,889

Special Mention
2,618

 
3,010

 
47,089

 
58,716

Substandard
—

 
15

 
74,551

 
73,914

Doubtful
—

 
—

 
—

 
—

Total
$
111,333

 
$
113,377

 
$
2,596,994

 
$
2,644,519
Loan Portfolio Aging Analysis
The following table presents the Company’s loan portfolio aging analysis at March 31, 2019 and December 31, 2018 (in thousands):

 
30-59 Days Past Due
 
60-89 Days Past Due
 
90 Days
or More Past Due
 
Total
Past Due
 
Current
 
Total Loans Receivable
 
Total Loans > 90 Days & Accruing
March 31, 2019
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction and land development
$
2,115

 
$
50

 
$
176

 
$
2,341

 
$
46,838

 
$
49,179

 
$
—

Agricultural real estate
671

 
51

 
—

 
722

 
236,142

 
236,864

 
—

1-4 Family residential properties
6,128

 
809

 
4,038

 
10,975

 
351,642

 
362,617

 
—

Multifamily residential properties
638

 
—

 
1,421

 
2,059

 
173,844

 
175,903

 
—

Commercial real estate
1,214

 
—

 
3,061

 
4,275

 
901,404

 
905,679

 
—

Loans secured by real estate
10,766

 
910

 
8,696

 
20,372

 
1,709,870

 
1,730,242

 
—

Agricultural loans
124

 
—

 
70

 
194

 
117,832

 
118,026

 
—

Commercial and industrial loans
1,013

 
151

 
6,284

 
7,448

 
543,405

 
550,853

 
—

Consumer loans
672

 
317

 
249

 
1,238

 
85,302

 
86,540

 
—

All other loans
—

 
—

 
—

 
—

 
111,333

 
111,333

 
—

Total loans
$
12,575

 
$
1,378

 
$
15,299

 
$
29,252

 
$
2,567,742

 
$
2,596,994

 
$
—

December 31, 2018
 

 
 

 
 

 
 

 
 

 
 

 
 

Construction and land development
$
460

 
$
43

 
$
—

 
$
503

 
$
50,116

 
$
50,619

 
$
—

Agricultural real estate
—

 
804

 
—

 
804

 
230,896

 
231,700

 
—

1-4 Family residential properties
3,347

 
3,051

 
4,080

 
10,478

 
363,040

 
373,518

 
—

Multifamily residential properties
1,149

 
—

 
1,955

 
3,104

 
180,947

 
184,051

 
—

Commercial real estate
1,349

 
89

 
4,058

 
5,496

 
901,354

 
906,850

 
—

Loans secured by real estate
6,305

 
3,987

 
10,093

 
20,385

 
1,726,353

 
1,746,738

 
—

Agricultural loans
63

 
—

 
20

 
83

 
135,794

 
135,877

 
—

Commercial and industrial loans
1,417

 
10

 
3,902

 
5,329

 
551,682

 
557,011

 
—

Consumer loans
888

 
356

 
299

 
1,543

 
89,973

 
91,516

 
—

All other loans
697

 
—

 
—

 
697

 
112,680

 
113,377

 
—

Total loans
$
9,370

 
$
4,353

 
$
14,314

 
$
28,037

 
$
2,616,482

 
$
2,644,519

 
$
—
Impaired Loans
The following tables present impaired loans as of March 31, 2019 and December 31, 2018 (in thousands):
 
March 31, 2019
 
December 31, 2018
 
Recorded
Balance
 
Unpaid Principal Balance
 
Specific Allowance
 
Recorded
Balance
 
Unpaid Principal Balance
 
Specific Allowance
Loans with a specific allowance:
 
 
 
 
 
 
 
 
 
 
 
Construction and land development
$
278

 
$
278

 
$
7

 
$
2,559

 
$
2,559

 
$
14

Agricultural real estate
—

 
—

 
—

 
—

 
—

 
—

1-4 Family residential properties
5,580

 
5,605

 
240

 
4,565

 
4,952

 
234

Multifamily residential properties
4,145

 
4,145

 
—

 
4,465

 
4,465

 
—

Commercial real estate
12,731

 
13,114

 
969

 
12,517

 
12,804

 
1,553

Loans secured by real estate
22,734

 
23,142

 
1,216

 
24,106

 
24,780

 
1,801

Agricultural loans
45

 
629

 
24

 
36

 
504

 
—

Commercial and industrial loans
5,948

 
6,297

 
1,977

 
8,292

 
8,723

 
1,475

Consumer loans
171

 
171

 
3

 
169

 
171

 
3

Total loans
$
28,898

 
$
30,239

 
$
3,220

 
$
32,603

 
$
34,178

 
$
3,279

Loans without a specific allowance:
 

 
 

 
 

 
 

 
 

 
 

Construction and land development
$
224

 
$
224

 
$
—

 
$
48

 
$
48

 
$
—

Agricultural real estate
310

 
310

 
—

 
309

 
309

 
—

1-4 Family residential properties
3,478

 
3,676

 
—

 
3,680

 
4,769

 
—

Multifamily residential properties
131

 
131

 
—

 
7,597

 
7,597

 
—

Commercial real estate
1,328

 
1,052

 
—

 
983

 
1,201

 
—

Loans secured by real estate
5,471

 
5,393

 
—

 
12,617

 
13,924

 
—

Agricultural loans
701

 
117

 
—

 
631

 
163

 
—

Commercial and industrial loans
488

 
892

 
—

 
1,660

 
2,027

 
—

Consumer loans
545

 
729

 
—

 
471

 
1,006

 
—

All other loans
—

 
—

 
—

 
6

 
6

 
—

Total loans
$
7,205

 
$
7,131

 
$
—

 
$
15,385

 
$
17,126

 
$
—

Total loans:
 

 
 

 
 

 
 

 
 

 
 

Construction and land development
$
502

 
$
502

 
$
7

 
$
2,607

 
$
2,607

 
$
14

Agricultural real estate
310

 
310

 
—

 
309

 
309

 
—

1-4 Family residential properties
9,058

 
9,281

 
240

 
8,245

 
9,721

 
234

Multifamily residential properties
4,276

 
4,276

 
—

 
12,062

 
12,062

 
—

Commercial real estate
14,059

 
14,166

 
969

 
13,500

 
14,005

 
1,553

Loans secured by real estate
28,205

 
28,535

 
1,216

 
36,723

 
38,704

 
1,801

Agricultural loans
746

 
746

 
24

 
667

 
667

 
—

Commercial and industrial loans
6,436

 
7,189

 
1,977

 
9,952

 
10,750

 
1,475

Consumer loans
716

 
900

 
3

 
640

 
1,177

 
3

All other loans
—

 
—

 
—

 
6

 
6

 
—

Total loans
$
36,103

 
$
37,370

 
$
3,220

 
$
47,988

 
$
51,304

 
$
3,279
Impaired loans by portfolio class
The following tables present average recorded investment and interest income recognized on impaired loans for the three-month periods ended March 31, 2019 and 2018 (in thousands):
 
 
For the three months ended
 
March 31, 2019
 
March 31, 2018
 
Average Investment
in Impaired Loans
 
Interest Income Recognized
 
Average Investment
in Impaired Loans
 
Interest Income Recognized
Construction and land development
$
813

 
$
—

 
$
46

 
$
—

Agricultural real estate
1,239

 
—

 
—

 
—

1-4 Family residential properties
8,690

 
23

 
3,891

 
8

Multifamily residential properties
1,718

 
—

 
308

 
—

Commercial real estate
10,359

 
6

 
5,993

 
3

Loans secured by real estate
22,819

 
29

 
10,238

 
11

Agricultural loans
664

 
—

 
885

 
—

Commercial and industrial loans
6,698

 
1

 
7,056

 
2

Consumer loans
744

 
—

 
294

 
—

All other loans
—

 
—

 
—

 
—

Total loans
$
30,925

 
$
30

 
$
18,473

 
$
13
Nonaccrual Loans
The following table presents the Company’s recorded balance of nonaccrual loans as March 31, 2019 and December 31, 2018 (in thousands). This table excludes purchased impaired loans and performing troubled debt restructurings.
 
March 31,
2019
 
December 31,
2018
Construction and land development
$
224

 
$
377

Agricultural real estate
310

 
309

1-4 Family residential properties
6,377

 
5,762

Multifamily residential properties
1,582

 
2,105

Commercial real estate
7,561

 
8,457

Loans secured by real estate
16,054

 
17,010

Agricultural loans
746

 
667

Commercial and industrial loans
6,363

 
8,990

Consumer loans
710

 
625

All other loans
—

 
6

Total loans
$
23,873

 
$
27,298
Schedule of Acquired Receivables With Credit Deterioration [Table Text Block]
The amount of these loans at March 31, 2019 and December 31, 2018 are as follows (in thousands):
 
March 31,
2019
 
December 31,
2018
Construction and land development
$
278

 
$
2,558

Agricultural real estate
—

 
—

1-4 Family residential properties
1,817

 
2,206

Multifamily residential properties
3,864

 
3,891

Commercial real estate
8,657

 
6,946

Loans secured by real estate
14,616

 
15,601

Agricultural loans
—

 
4

Commercial and industrial loans
—

 
15

Consumer loans
—

 
3

 Carrying amount
14,616

 
15,623

Allowance for loan losses
(705
)
 
(1,235
)
Carrying amount, net of allowance
$
13,911

 
$
14,388
Recorded Balance of Troubled Debt Restructurings
The following table presents the Company’s recorded balance of troubled debt restructurings at March 31, 2019 and December 31, 2018 (in thousands).
Troubled debt restructurings:
March 31, 2019
 
December 31, 2018
1-4 Family residential properties
2,404

 
2,472

Commercial real estate
1,887

 
1,706

Loans secured by real estate
4,291

 
4,178

Agricultural loans
629

 
499

Commercial and industrial loans
5,114

 
5,112

Consumer loans
171

 
167

Total
$
10,205

 
$
9,956

Performing troubled debt restructurings:
 

 
 

1-4 Family residential properties
$
1,612

 
$
1,769

Commercial real estate
425

 
676

Loans secured by real estate
2,037

 
2,445

Commercial and industrial loans
72

 
—

Consumer loans
6

 
6

Total
$
2,115

 
$
2,451
Financing Receivables,Troubled Debt Restructurings during period [Table Text Block]
The following table presents loans modified as TDRs during the three months ended March 31, 2019 and 2018, as a result of various modified loan factors (in thousands):
 
March 31, 2019
 
March 31, 2018
 
Number of Modifications
 
Recorded Investment
 
Type of Modifications
 
Number of Modifications
 
Recorded Investment
 
Type of Modifications
1-4 Family residential properties
1

 
$
46

 
(b)(c)
 
1

 
$
161

 
(b)
Commercial real estate
1

 
483

 
(b)(c)
 
—

 
—

 

Loans secured by real estate
2

 
529

 
 
 
1

 
161

 
 
Commercial and industrial loans
2

 
72

 
(b)(c)
 


 


 

Consumer Loans
1

 
14

 
(b)(c)
 
—

 
—

 

Total
5

 
$
615

 
 
 
1

 
$
161