LOANS AND LEASES (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of loans and leases, excluding loans held for sale

Loans, excluding loans held for sale, net of ACL as of December 31, 2022 and 2021 consisted of the following:


	December 31,
(Dollars in thousands)	2022		2021
Commercial, financial and agricultural:
Small Business Administration Paycheck Protection Program ("SBA PPP")	$	2,654	$	94,850
Other	544,495		530,383
Real estate:
Construction	167,366		123,351
Residential mortgage	1,940,456		1,875,200
Home equity	737,386		635,721
Commercial mortgage	1,364,998		1,222,138
Consumer	798,957		624,115

Gross loans	5,556,312		5,105,758
Net deferred fees	(846)		(4,109)
Total loans, net of deferred fees and costs	$	5,555,466	$	5,101,649
Allowance for credit losses	(63,738)		(68,097)
Total loans, net of allowance for credit losses	$	5,491,728	$	5,033,552

Financing Receivable, Purchased With Credit Deterioration

The following table presents loan purchases by class for the periods presented:


(Dollars in thousands)	Consumer - Unsecured		Consumer - Automobile		Total
Year Ended December 31, 2022
Purchases:
Outstanding balance	$	229,283	$	101,500	$	330,783
Purchase (discount) premium	(12,119)		4,738		(7,381)
Purchase price	$	217,164	$	106,238	$	323,402

Year Ended December 31, 2021
Purchases:
Outstanding balance	$	199,813	$	71,432	$	271,245
Purchase (discount) premium	(9,613)		5,080		(4,533)
Purchase price	$	190,200	$	76,512	$	266,712

Schedule of balance in the allowance for loan and lease losses and the recorded investment in loans and lease based on the impairment measurement methods, by class

In accordance with ASC 326, a loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. The following table presents the amortized cost basis of collateral-dependent loans by class, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans as of December 31, 2022 and 2021:


	December 31, 2022
(Dollars in thousands)	Secured by 1-4 Family Residential Properties		Secured by Nonfarm Nonresidential Properties		Secured by Real Estate and Business Assets		Total		Allocated ACL

Real estate:

Residential mortgage	$	5,653	$	—	$	—	$	5,653	$	—
Home equity	570		—		—		570		—



Total	$	6,223	$	—	$	—	$	6,223	$	—


	December 31, 2021
(Dollars in thousands)	Secured by 1-4 Family Residential Properties		Secured by Nonfarm Nonresidential Properties		Secured by Real Estate and Business Assets		Total		Allocated ACL

Real estate:

Residential mortgage	$	8,391	$	—	$	—	$	8,391	$	—
Home equity	786		—		—		786		—



Total	$	9,177	$	—	$	—	$	9,177	$	—

Schedule of aging of the recorded investment in past due loans and leases, by class

The following tables present by class, the aging of the recorded investment in past due loans as of December 31, 2022 and 2021:


	December 31, 2022
(Dollars in thousands)	Accruing Loans 30 - 59 Days Past Due		Accruing Loans 60 - 89 Days Past Due		Accruing Loans 90+ Days Past Due		Nonaccrual Loans		Total Past Due and Nonaccrual		Loans and Leases Not Past Due		Total		Nonaccrual Loans with No ACL
Commercial, financial and agricultural:
SBA PPP	$	471	$	37	$	13	$	—	$	521	$	2,034	$	2,555	$	—
Other	546		131		26		297		1,000		542,947		543,947		—
Real estate:
Construction	—		—		—		—		—		166,723		166,723		—
Residential mortgage	303		—		559		3,808		4,670		1,936,329		1,940,999		3,808
Home equity	1,540		—		—		570		2,110		737,270		739,380		570
Commercial mortgage	160		—		—		—		160		1,362,915		1,363,075		—
Consumer	5,173		1,921		1,240		576		8,910		789,877		798,787		—

Total	$	8,193	$	2,089	$	1,838	$	5,251	$	17,371	$	5,538,095	$	5,555,466	$	4,378


	December 31, 2021
(Dollars in thousands)	Accruing Loans 30 - 59 Days Past Due		Accruing Loans 60 - 89 Days Past Due		Accruing Loans 90+ Days Past Due		Nonaccrual Loans		Total Past Due and Nonaccrual		Loans and Leases Not Past Due		Total		Nonaccrual Loans with No ACL
Commercial, financial and agricultural:
SBA PPP	$	—	$	—	$	—	$	—	$	—	$	91,327	$	91,327	$	—
Other	970		604		945		183		2,702		527,419		530,121		—
Real estate:
Construction	638		—		—		—		638		122,229		122,867		—
Residential mortgage	5,315		—		—		4,623		9,938		1,866,042		1,875,980		4,623
Home equity	234		—		44		786		1,064		636,185		637,249		786
Commercial mortgage	—		—		—		—		—		1,220,204		1,220,204		—
Consumer	2,444		712		374		289		3,819		620,082		623,901		—

Total	$	9,601	$	1,316	$	1,363	$	5,881	$	18,161	$	5,083,488	$	5,101,649	$	5,409

Schedule of information related to loans modifications in a TDR, by class

No loans were modified in a TDR during the year ended December 31, 2022. The following table presents by class, information related to loans modified in a TDR during the years ended December 31, 2021 and 2020:










	Year Ended December 31, 2021
(Dollars in thousands)	Number of Loans	Recorded Investment (as of period end)		Increase in the ACL

Real estate: Residential mortgage	1	$	48	$	—


Total	1	$	48	$	—

	Year Ended December 31, 2020
(Dollars in thousands)	Number of Loans	Recorded Investment (as of period end)		Increase in the ACL

Real estate: Residential mortgage	1	$	677	$	—
Real estate: Commercial mortgage	1	$	276	$	—
Consumer	11	$	207	$	—
Total	13	$	1,160	$	—

Schedule of recorded investment in the loans and leases, by class and credit indicator

The following table presents the amortized cost basis, net of deferred (fees) costs of the Company's loans by class, credit quality indicator and origination year as of December 31, 2022. Revolving loans converted to term as of and during the year ended December 31, 2022 were not material to the total loan portfolio.


	Amortized Cost of Term Loans by Origination Year
(Dollars in thousands)	2022		2021		2020		2019		2018		Prior		Amortized Cost of Revolving Loans		Total
December 31, 2022
Commercial, financial and agricultural - SBA PPP:
Risk Rating
Pass	$	—	$	2,546	$	9	$	—	$	—	$	—	$	—	$	2,555




Subtotal	—		2,546		9		—		—		—		—		2,555
Commercial, financial and agricultural - Other:
Risk Rating
Pass	77,550		101,595		41,358		53,241		39,106		141,950		76,466		531,266
Special Mention	2,206		350		172		1,011		29		—		99		3,867
Substandard	188		176		833		256		116		7,215		30		8,814


Subtotal	79,944		102,121		42,363		54,508		39,251		149,165		76,595		543,947
Construction:
Risk Rating
Pass	25,663		61,027		23,384		2,387		14,309		18,048		15,044		159,862
Special Mention	—		417		—		—		898		—		—		1,315
Substandard	—		4,850		—		696		—		—		—		5,546


Subtotal	25,663		66,294		23,384		3,083		15,207		18,048		15,044		166,723
Residential mortgage:
Risk Rating
Pass	279,146		636,756		434,928		154,906		58,431		371,517		—		1,935,684

Substandard	—		—		948		—		503		3,864		—		5,315


Subtotal	279,146		636,756		435,876		154,906		58,934		375,381		—		1,940,999
Home equity:
Risk Rating
Pass	34,973		23,772		10,520		7,463		6,880		11,727		643,277		738,612
Special Mention	—		—		—		—		—		—		198		198
Substandard	—		—		—		—		78		453		39		570


Subtotal	34,973		23,772		10,520		7,463		6,958		12,180		643,514		739,380
Commercial mortgage:
Risk Rating
Pass	226,137		208,230		119,531		129,950		145,932		472,267		11,473		1,313,520
Special Mention	—		—		—		11,388		—		16,082		—		27,470
Substandard	—		10,149		—		1,700		2,133		8,103		—		22,085


Subtotal	226,137		218,379		119,531		143,038		148,065		496,452		11,473		1,363,075
Consumer:
Risk Rating
Pass	358,609		242,942		59,352		50,899		20,065		10,958		54,038		796,863
Special Mention	—		—		—		113		—		—		—		113
Substandard	1		261		91		126		42		790		—		1,311

Loss	—		—		—		—		—		500		—		500
Subtotal	358,610		243,203		59,443		51,138		20,107		12,248		54,038		798,787
Total loans, net of deferred fees and costs	$	1,004,473	$	1,293,071	$	691,126	$	414,136	$	288,522	$	1,063,474	$	800,664	$	5,555,466


	Amortized Cost of Term Loans by Origination Year
(Dollars in thousands)	2021		2020		2019		2018		2017		Prior		Amortized Cost of Revolving Loans		Total
December 31, 2021
Commercial, financial and agricultural - SBA PPP:
Risk Rating
Pass	$	84,254	$	7,073	$	—	$	—	$	—	$	—	$	—	$	91,327



Subtotal	84,254		7,073		—		—		—		—		—		91,327
Commercial, financial and agricultural - Other:
Risk Rating
Pass	122,729		68,021		56,531		52,375		31,817		93,957		79,131		504,561
Special Mention	1,441		1,278		2,443		96		8,671		354		—		14,283
Substandard	—		982		393		682		6,623		1,847		750		11,277

Subtotal	124,170		70,281		59,367		53,153		47,111		96,158		79,881		530,121
Construction:
Risk Rating
Pass	35,236		25,430		3,196		28,333		288		20,090		9,376		121,949

Substandard	—		—		—		918		—		—		—		918

Subtotal	35,236		25,430		3,196		29,251		288		20,090		9,376		122,867
Residential mortgage:
Risk Rating
Pass	670,011		478,891		180,687		75,820		92,394		372,539		42		1,870,384
Special Mention	—		973		—		—		—		—		—		973
Substandard	—		—		—		577		881		3,165		—		4,623

Subtotal	670,011		479,864		180,687		76,397		93,275		375,704		42		1,875,980
Home equity:
Risk Rating
Pass	26,479		13,008		10,329		10,593		480		7,743		567,600		636,232
Special Mention	—		—		—		—		—		—		187		187
Substandard	—		176		—		79		—		575		—		830

Subtotal	26,479		13,184		10,329		10,672		480		8,318		567,787		637,249
Commercial mortgage:
Risk Rating
Pass	229,108		126,169		146,584		126,014		153,041		387,751		9,472		1,178,139
Special Mention	—		—		3,106		3,219		283		9,455		—		16,063
Substandard	—		—		1,760		8,050		1,784		14,408		—		26,002

Subtotal	229,108		126,169		151,450		137,283		155,108		411,614		9,472		1,220,204
Consumer:
Risk Rating
Pass	308,326		96,066		91,194		41,995		20,719		9,446		55,311		623,057
Special Mention	—		—		181		—		10		7		—		198
Substandard	10		35		128		80		19		221		—		493
Loss	—		—		—		—		—		153		—		153
Subtotal	308,336		96,101		91,503		42,075		20,748		9,827		55,311		623,901
Total loans, net of deferred fees and costs	$	1,477,594	$	818,102	$	496,532	$	348,831	$	317,010	$	921,711	$	721,869	$	5,101,649

The following tables present the recorded investment in the Company's loans by class and credit indicator as of December 31, 2022 and 2021:


(Dollars in thousands)	Pass		Special Mention		Substandard		Loss		Gross Loans		Net Deferred (Fees) Costs		Total Loans
December 31, 2022
Commercial, financial and agricultural:
SBA PPP	$	2,654	$	—	$	—	$	—	$	2,654	$	(99)	$	2,555
Other	531,814		3,867		8,814		—		544,495		(548)		543,947
Real estate:
Construction	160,505		1,315		5,546		—		167,366		(643)		166,723
Residential mortgage	1,935,141		—		5,315		—		1,940,456		543		1,940,999
Home equity	736,618		198		570		—		737,386		1,994		739,380
Commercial mortgage	1,315,443		27,470		22,085		—		1,364,998		(1,923)		1,363,075
Consumer	797,029		113		1,315		500		798,957		(170)		798,787

Total	$	5,479,204	$	32,963	$	43,645	$	500	$	5,556,312	$	(846)	$	5,555,466


(Dollars in thousands)	Pass		Special Mention		Substandard		Loss		Gross Loans		Net Deferred (Fees) Costs		Total Loans
December 31, 2021
Commercial, financial and agricultural:
SBA PPP	$	94,850	$	—	$	—	$	—	$	94,850	$	(3,523)	$	91,327
Other	504,823		14,283		11,277		—		530,383		(262)		530,121
Real estate:
Construction	122,433		—		918		—		123,351		(484)		122,867
Residential mortgage	1,869,604		973		4,623		—		1,875,200		780		1,875,980
Home equity	634,704		187		830		—		635,721		1,528		637,249
Commercial mortgage	1,180,074		16,062		26,002		—		1,222,138		(1,934)		1,220,204
Consumer	623,271		181		510		153		624,115		(214)		623,901

Total	$	5,029,759	$	31,686	$	44,160	$	153	$	5,105,758	$	(4,109)	$	5,101,649