Loans and Allowance (Tables)

3 Months Ended

Mar. 31, 2022

Receivables [Abstract]

Schedule of Composition of Loan Portfolio by Loan Class

The following table illustrates the composition of the Corporation’s loan portfolio by loan class for the periods indicated:

	March 31, 2022		December 31, 2021
Commercial and industrial loans	$	2,826,660	$	2,714,565
Agricultural land, production and other loans to farmers	209,077		246,442
Real estate loans:
Construction	552,975		523,066
Commercial real estate, non-owner occupied	2,073,197		2,135,459
Commercial real estate, owner occupied	974,521		986,720
Residential	1,226,695		1,159,127
Home equity	512,641		523,754
Individuals' loans for household and other personal expenditures	147,593		146,092
Public finance and other commercial loans	832,882		806,636
Loans	$	9,356,241	$	9,241,861

Schedule of Credit Quality of Loan Portfolio by Loan Class

The following tables summarize the risk grading of the Corporation’s loan portfolio by loan class and by year of origination for the years indicated. Consumer loans are not risk graded. For the purposes of this disclosure, the consumer loans are classified in the following manner: loans that are less than 30 days past due are Pass, loans 30-89 days past due are Special Mention and loans greater than 89 days past due are Substandard. The entire balance of a loan is considered delinquent if the minimum payment contractually required to be made is not received by the specified due date. Loans that evidenced deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected are included in the applicable categories below. Commercial and industrial loan balances as of March 31, 2022 include PPP loans with an origination year of 2021 and 2020 of $48.5 million and $155,000, respectively. Commercial and industrial loan balances as of December 31, 2021 include PPP loans with an origination year of 2021 and 2020 of $100.3 million and $6.3 million, respectively.

	March 31, 2022
	Term Loans (amortized cost basis by origination year)												Revolving loans amortized		Revolving loans converted
	2022		2021		2020		2019		2018		Prior		cost basis		to term		Total
Commercial and industrial loans
Pass	$	233,494	$	860,644	$	292,449	$	127,655	$	64,212	$	48,840	$	1,124,742	$	—	$	2,752,036
Special Mention	83		13,199		8,914		196		911		1,967		21,206		—		46,476
Substandard	68		2,665		1,883		1,664		79		1,111		20,112		—		27,582
Doubtful	—		566		—		—		—		—		—		—		566
Total Commercial and industrial loans	233,645		877,074		303,246		129,515		65,202		51,918		1,166,060		—		2,826,660
Agricultural land, production and other loans to farmers
Pass	13,604		45,415		44,372		20,250		7,270		37,478		38,054		—		206,443
Special Mention	—		—		1,543		—		—		248		89		—		1,880
Substandard	—		—		502		44		181		27		—		—		754
Total Agricultural land, production and other loans to farmers	13,604		45,415		46,417		20,294		7,451		37,753		38,143		—		209,077
Real estate loans:
Construction
Pass	93,208		234,844		169,386		25,825		958		4,681		18,879		—		547,781
Special Mention	4,398		—		—		—		—		—		—		—		4,398
Substandard	15		—		758		—		—		23		—		—		796
Total Construction	97,621		234,844		170,144		25,825		958		4,704		18,879		—		552,975
Commercial real estate, non-owner occupied
Pass	123,966		528,861		627,820		177,465		109,147		186,777		30,535		—		1,784,571
Special Mention	35,142		75,275		144,704		—		—		1,696		—		—		256,817
Substandard	—		23,502		6,819		112		1,106		270		—		—		31,809
Total Commercial real estate, non-owner occupied	159,108		627,638		779,343		177,577		110,253		188,743		30,535		—		2,073,197
Commercial real estate, owner occupied
Pass	60,735		288,076		353,021		83,799		42,142		78,463		36,565		—		942,801
Special Mention	229		5,575		7,858		798		1,518		1,965		—		—		17,943
Substandard	3,143		4,221		5,384		—		—		1,029		—		—		13,777
Total Commercial real estate, owner occupied	64,107		297,872		366,263		84,597		43,660		81,457		36,565		—		974,521
Residential
Pass	129,643		344,654		331,532		95,511		64,998		244,562		3,158		13		1,214,071
Special Mention	27		1,140		741		695		572		1,601		—		15		4,791
Substandard	—		1,276		1,541		316		1,324		3,371		5		—		7,833
Total Residential	129,670		347,070		333,814		96,522		66,894		249,534		3,163		28		1,226,695
Home equity
Pass	4,403		55,867		15,465		1,857		1,884		4,171		423,635		15		507,297
Special Mention	—		—		42		47		27		2		2,863		—		2,981
Substandard	132		345		84		—		8		171		1,623		—		2,363
Total Home Equity	4,535		56,212		15,591		1,904		1,919		4,344		428,121		15		512,641
Individuals' loans for household and other personal expenditures
Pass	19,616		57,759		20,371		9,519		8,947		6,024		24,836		—		147,072
Special Mention	13		176		113		34		83		53		47		—		519
Substandard	—		1		1		—		—		—		—		—		2
Total Individuals' loans for household and other personal expenditures	19,629		57,936		20,485		9,553		9,030		6,077		24,883		—		147,593
Public finance and other commercial loans
Pass	54,959		222,676		176,446		99,935		38,565		213,118		27,183		—		832,882
Total Public finance and other commercial loans	54,959		222,676		176,446		99,935		38,565		213,118		27,183		—		832,882
Loans	$	776,878	$	2,766,737	$	2,211,749	$	645,722	$	343,932	$	837,648	$	1,773,532	$	43	$	9,356,241

	December 31, 2021
	Term Loans (amortized cost basis by origination year)												Revolving loans amortized		Revolving loans converted
	2021		2020		2019		2018		2017		Prior		cost basis		to term		Total
Commercial and industrial loans
Pass	$	1,019,757	$	362,372	$	144,520	$	65,165	$	21,575	$	30,420	$	990,335	$	—	$	2,634,144
Special Mention	10,559		11,088		190		730		1,930		1,825		15,026		—		41,348
Substandard	2,811		2,127		7,432		2,932		431		747		22,593		—		39,073
Total Commercial and industrial loans	1,033,127		375,587		152,142		68,827		23,936		32,992		1,027,954		—		2,714,565
Agricultural land, production and other loans to farmers
Pass	50,251		45,164		22,195		7,689		6,153		36,074		74,871		—		242,397
Special Mention	—		1,543		—		—		—		252		264		—		2,059
Substandard	524		506		108		371		—		27		450		—		1,986
Total Agricultural land, production and other loans to farmers	50,775		47,213		22,303		8,060		6,153		36,353		75,585		—		246,442
Real estate loans:
Construction
Pass	215,167		200,169		63,589		979		1,762		2,453		17,201		—		501,320
Special Mention	20,737		270		—		—		—		46		—		—		21,053
Substandard	—		693		—		—		—		—		—		—		693
Total Construction	235,904		201,132		63,589		979		1,762		2,499		17,201		—		523,066
Commercial real estate, non-owner occupied
Pass	589,296		688,406		227,332		111,971		103,400		126,837		26,779		—		1,874,021
Special Mention	68,279		149,480		—		—		—		1,723		—		—		219,482
Substandard	19,314		14,912		178		1,118		6,156		278		—		—		41,956
Total Commercial real estate, non-owner occupied	676,889		852,798		227,510		113,089		109,556		128,838		26,779		—		2,135,459
Commercial real estate, owner occupied
Pass	299,186		392,383		92,338		43,252		46,044		48,571		33,998		—		955,772
Special Mention	5,665		5,953		738		1,532		902		1,301		149		—		16,240
Substandard	7,025		5,763		—		53		113		1,754		—		—		14,708
Total Commercial real estate, owner occupied	311,876		404,099		93,076		44,837		47,059		51,626		34,147		—		986,720
Residential
Pass	349,726		353,691		103,028		69,745		55,240		210,669		2,955		73		1,145,127
Special Mention	1,034		1,394		1,456		306		172		2,106		—		—		6,468
Substandard	1,004		1,575		335		1,248		108		3,257		—		5		7,532
Total Residential	351,764		356,660		104,819		71,299		55,520		216,032		2,955		78		1,159,127
Home equity
Pass	63,845		17,556		1,977		2,127		1,250		3,432		427,437		194		517,818
Special Mention	—		85		48		—		—		24		3,451		—		3,608
Substandard	520		—		—		8		91		70		1,639		—		2,328
Total Home Equity	64,365		17,641		2,025		2,135		1,341		3,526		432,527		194		523,754
Individuals' loans for household and other personal expenditures
Pass	67,749		23,452		11,893		11,197		2,008		4,928		24,406		—		145,633
Special Mention	79		85		50		33		20		58		134		—		459
Total Individuals' loans for household and other personal expenditures	67,828		23,537		11,943		11,230		2,028		4,986		24,540		—		146,092
Public finance and other commercial loans
Pass	231,319		178,316		100,679		39,098		105,964		128,942		22,318		—		806,636
Total Public finance and other commercial loans	231,319		178,316		100,679		39,098		105,964		128,942		22,318		—		806,636
Loans	$	3,023,847	$	2,456,983	$	778,086	$	359,554	$	353,319	$	605,794	$	1,664,006	$	272	$	9,241,861

The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses:

	March 31, 2022
	Commercial Real Estate		Residential Real Estate		Other		Total		Allowance on Collateral Dependent Loans
Commercial and industrial loans	$	—	$	—	$	8,111	$	8,111	$	2,513
Real estate loans:
Construction	—		645		—		645		32
Commercial real estate, non-owner occupied	21,919		—		—		21,919		3,190
Commercial real estate, owner occupied	2,351		—		—		2,351		34
Residential	—		4,836		—		4,836		281
Home equity	—		388		—		388		63
Loans	$	24,270	$	5,869	$	8,111	$	38,250	$	6,113

	December 31, 2021
	Commercial Real Estate		Residential Real Estate		Other		Total		Allowance on Collateral Dependent Loans
Commercial and industrial loans	$	—	$	—	$	8,075	$	8,075	$	2,672
Agricultural land, production and other loans to farmers	524		—		251		775		—
Real estate loans:
Construction	—		685		—		685		82
Commercial real estate, non-owner occupied	23,652		—		—		23,652		5,510
Commercial real estate, owner occupied	1,044		—		—		1,044		—
Residential	—		4,906		—		4,906		305
Home equity	—		394		—		394		64
Loans	$	25,220	$	5,985	$	8,326	$	39,531	$	8,633

Schedule of Past Due Aging of Loan Portfolio by Loan Class

The tables below show a past due aging of the Corporation’s loan portfolio, by loan class, for the years indicated:

	March 31, 2022
	Current		30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Total		Loans > 90 Days or More Past Due And Accruing
Commercial and industrial loans	$	2,807,708	$	9,181	$	5,862	$	3,909	$	2,826,660	$	1,424
Agricultural land, production and other loans to farmers	209,050		—		—		27		209,077		—
Real estate loans:
Construction	552,866		—		109		—		552,975		—
Commercial real estate, non-owner occupied	2,057,043		11,851		—		4,303		2,073,197		—
Commercial real estate, owner occupied	973,075		1,182		27		237		974,521		—
Residential	1,217,155		3,697		713		5,130		1,226,695		132
Home equity	507,837		2,219		999		1,586		512,641		527
Individuals' loans for household and other personal expenditures	147,071		450		70		2		147,593		2
Public finance and other commercial loans	832,882		—		—		—		832,882		—
Loans	$	9,304,687	$	28,580	$	7,780	$	15,194	$	9,356,241	$	2,085

	December 31, 2021
	Current		30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Total		Loans > 90 Days or More Past Due And Accruing
Commercial and industrial loans	$	2,708,539	$	2,602	$	2,437	$	987	$	2,714,565	$	675
Agricultural land, production and other loans to farmers	246,380		36		—		26		246,442		—
Real estate loans:
Construction	522,349		717		—		—		523,066		—
Commercial real estate, non-owner occupied	2,124,853		3,327		—		7,279		2,135,459		—
Commercial real estate, owner occupied	985,785		643		—		292		986,720		—
Residential	1,148,294		3,979		4,255		2,599		1,159,127		—
Home equity	518,643		3,327		281		1,503		523,754		288
Individuals' loans for household and other personal expenditures	145,634		375		83		—		146,092		—
Public finance and other commercial loans	806,636		—		—		—		806,636		—
Loans	$	9,207,113	$	15,006	$	7,056	$	12,686	$	9,241,861	$	963

Schedule of Non-Accrual Loans by Loan class

The following table summarizes the Corporation’s non-accrual loans by loan class for the periods indicated:

	March 31, 2022				December 31, 2021
	Non-Accrual Loans		Non-Accrual Loans with no Allowance for Credit Losses		Non-Accrual Loans		Non-Accrual Loans with no Allowance for Credit Losses
Commercial and industrial loans	$	8,696	$	—	$	7,598	$	263
Agricultural land, production and other loans to farmers	103		—		631		524
Real estate loans:
Construction	740		—		685		—
Commercial real estate, non-owner occupied	21,427		4,201		23,029		6,133
Commercial real estate, owner occupied	1,689		1,320		411		—
Residential	8,553		2,920		9,153		2,160
Home equity	1,490		—		1,552		—
Individuals' loans for household and other personal expenditures	—		—		3		—
Loans	$	42,698	$	8,441	$	43,062	$	9,080

Schedule of Troubled Debt Restructuring

The following tables summarize troubled debt restructures in the Corporation's loan portfolio that occurred during the three months ended March 31, 2022 and 2021.

			Three Months Ended March 31, 2022
	Pre- Modification Recorded Balance		Term Modification		Rate Modification		Combination		Post - Modification Recorded Balance		Number of Loans
Real estate loans:
Residential	$	53	$	—	$	56	$	—	$	56	1
Total	$	53	$	—	$	56	$	—	$	56	1

			Three Months Ended March 31, 2021
	Pre- Modification Recorded Balance		Term Modification		Rate Modification		Combination		Post - Modification Recorded Balance		Number of Loans
Commercial and industrial loans	$	348	$	348	$	—	$	—	$	348	2
Real estate loans:
Residential	625		383		126		118		627		7
Total	$	973	$	731	$	126	$	118	$	975	9

The following tables summarize troubled debt restructures that occurred during the twelve months ended March 31, 2022 and 2021, that subsequently defaulted during the period indicated and remained in default at period end. For purposes of this schedule, a loan is considered in default if it is 30-days or more past due.

	Three Months Ended March 31, 2022
	Number of Loans	Recorded Balance
Real estate loans:
Commercial real estate, owner occupied	1	$	27
Total	1	$	27

	Three Months Ended March 31, 2021
	Number of Loans	Recorded Balance
Real estate loans:
Residential	5	$	197
Home equity	1	91
Individuals' loans for household and other personal expenditures	1	2
Total	7	$	290

Schedule of Changes in Allowance for Loan Losses

The following tables summarize changes in the allowance for credit losses by loan segment for the three months ended March 31, 2022 and 2021:

	Three Months Ended March 31, 2022
	Commercial		Commercial Real Estate		Construction		Consumer & Residential		Total
Allowance for credit losses
Balances, December 31, 2021	$	69,935	$	60,665	$	20,206	$	44,591	$	195,397
Provision for credit losses	7,571		(8,250)		554		125		—
Recoveries on loans	139		707		—		206		1,052
Loans charged off	(8)		(122)		—		(335)		(465)
Balances, March 31, 2022	$	77,637	$	53,000	$	20,760	$	44,587	$	195,984

	Three Months Ended March 31, 2021
	Commercial		Commercial Real Estate		Construction		Consumer		Residential		Consumer & Residential		Total
Allowance for credit losses
Balances, December 31, 2020	$	47,115	$	51,070	$	—	$	9,648	$	22,815	$	—	$	130,648
Credit risk reclassifications	—		(10,284)		10,284		(9,648)		(22,815)		32,463		—
Balances, December 31, 2020 after reclassifications	47,115		40,786		10,284		—		—		32,463		130,648
Impact of adopting ASC 326	20,024		34,925		8,805		—		—		10,301		74,055
Balances, January 1, 2021 Post-ASC 326 adoption	67,139		75,711		19,089		—		—		42,764		204,703
Provision for credit losses	(932)		(1,701)		1,095		—		—		1,538		—
Recoveries on loans	188		164		—		—		—		342		694
Loans charged off	(673)		(3,313)		(2)		—		—		(327)		(4,315)
Balances, March 31, 2021	$	65,722	$	70,861	$	20,182	$	—	$	—	$	44,317	$	201,082

Schedule of Financial Instruments with Off-balance Sheet Risk

Financial instruments with off-balance sheet risk were as follows:

	March 31, 2022		December 31, 2021
Amounts of commitments:
Loan commitments to extend credit	$	3,958,844	$	3,917,215
Standby letters of credit	$	31,854	$	34,613

Schedule of Allowance for Credit Losses, Off-balance Sheet

The following table details activity in the allowance for credit losses on off-balance sheet commitments:

	Three Months Ended March 31, 2022
Balances, December 31, 2021	$	20,500
Provision for credit losses	—
Balances, March 31, 2022	$	20,500