| Impaired Loans and Allowance for Loan Losses |
Note F — Allowance for Loan Losses Activity in the allowance for loan losses for the three-month period ended March 31, 2018 and 2017 is summarized as follows: | | | March 31, 2018 | | | | | | | | Provision | | | | | | | | TDR | | | | | | | | Beginning | | for Loan | | Charge- | | | | | Allowance | | Ending | | | | | Balance | | Losses | | Offs | | Recoveries | | Adjustments | | Balance | | | | | (In thousands) | | | Construction &; land development | | $ | 1,642 | | $ | 411 | | $ | 0 | | $ | 5 | | $ | 0 | | $ | 2,058 | | | Commercial real estate | | | 9,285 | | | (575) | | | 0 | | | 147 | | | (15) | | | 8,842 | | | Residential real estate | | | 7,131 | | | 788 | | | 0 | | | 200 | | | (72) | | | 8,047 | | | Commercial and financial | | | 7,297 | | | 270 | | | (198) | | | 24 | | | 0 | | | 7,393 | | | Consumer | | | 1,767 | | | 191 | | | (307) | | | 128 | | | (1) | | | 1,778 | | | Totals | | $ | 27,122 | | $ | 1,085 | | $ | (505) | | $ | 504 | | $ | (88) | | $ | 28,118 | | | | | March 31, 2017 | | | | | | | | Provision | | | | | | | | TDR | | | | | | | | Beginning | | for Loan | | Charge- | | | | | Allowance | | Ending | | | | | Balance | | Losses | | Offs | | Recoveries | | Adjustments | | Balance | | | | | (In thousands) | | | Construction &; land development | | $ | 1,219 | | $ | 66 | | $ | 0 | | $ | 69 | | $ | (2) | | $ | 1,352 | | | Commercial real estate | | | 9,273 | | | 495 | | | 0 | | | 107 | | | (14) | | | 9,861 | | | Residential real estate | | | 7,483 | | | (393) | | | (122) | | | 128 | | | (32) | | | 7,064 | | | Commercial and financial | | | 3,636 | | | 1,073 | | | (121) | | | 47 | | | 0 | | | 4,635 | | | Consumer | | | 1,789 | | | 63 | | | (259) | | | 58 | | | (1) | | | 1,650 | | | Totals | | $ | 23,400 | | $ | 1,304 | | $ | (502) | | $ | 409 | | $ | (49) | | $ | 24,562 | | The allowance for loan losses is composed of specific allowances for certain impaired loans and general allowances grouped into loan pools based on similar characteristics. The Company’s loan portfolio, excluding PCI loans, and related allowance at March 31, 2018 and December 31, 2017 is shown in the following tables: | | March 31, 2018 | | | | | Individually Evaluated for | | Collectively Evaluated for | | | | | | | | | | | Impairment | | Impairment | | Total | | | | | Recorded | | Associated | | Recorded | | Associated | | Recorded | | Associated | | | | | Investment | | Allowance | | Investment | | Allowance | | Investment | | Allowance | | | | | (In thousands) | | | Construction &; land development | | $ | 451 | | $ | 26 | | $ | 372,643 | | $ | 2,032 | | $ | 373,094 | | $ | 2,058 | | | Commercial real estate | | | 7,526 | | | 178 | | | 1,627,858 | | | 8,664 | | | 1,635,384 | | | 8,842 | | | Residential real estate | | | 21,900 | | | 1,094 | | | 1,041,383 | | | 6,953 | | | 1,063,283 | | | 8,047 | | | Commercial and financial | | | 2,363 | | | 1,406 | | | 613,520 | | | 5,987 | | | 615,883 | | | 7,393 | | | Consumer | | | 368 | | | 41 | | | 195,420 | | | 1,737 | | | 195,788 | | | 1,778 | | | Totals | | $ | 32,608 | | $ | 2,745 | | $ | 3,850,824 | | $ | 25,373 | | $ | 3,883,432 | | $ | 28,118 | | | | | At December 31, 2017 | | | | | Individually Evaluated for | | Collectively Evaluated for | | | | | | | | | | | Impairment | | Impairment | | Total | | | | | Recorded | | Associated | | Recorded | | Associated | | Recorded | | Associated | | | | | Investment | | Allowance | | Investment | | Allowance | | Investment | | Allowance | | | | | (In thousands) | | | Construction &; land development | | $ | 474 | | $ | 23 | | $ | 341,530 | | $ | 1,619 | | $ | 342,004 | | $ | 1,642 | | | Commercial real estate | | | 8,255 | | | 195 | | | 1,621,960 | | | 9,090 | | | 1,630,215 | | | 9,285 | | | Residential real estate | | | 18,720 | | | 1,091 | | | 1,014,465 | | | 6,040 | | | 1,033,185 | | | 7,131 | | | Commercial and financial | | | 2,455 | | | 1,050 | | | 602,666 | | | 6,247 | | | 605,121 | | | 7,297 | | | Consumer | | | 387 | | | 43 | | | 189,049 | | | 1,724 | | | 189,436 | | | 1,767 | | | Totals | | $ | 30,291 | | $ | 2,402 | | $ | 3,769,670 | | $ | 24,720 | | $ | 3,799,961 | | $ | 27,122 | | Loans collectively evaluated for impairment reported at March 31, 2018 included acquired loans that are not PCI loans. At March 31, 2018, the remaining fair value adjustments for loans acquired was approximately $17.4 million, or approximately 2.1% of the outstanding aggregate PUL balances. At December 31, 2017, the remaining fair value adjustments for loans acquired was approximately $19.4 million, or 2.2% of the outstanding aggregate PUL balances. These amounts represent the fair value discount of each PUL and are accreted into interest income over the remaining lives of the related loans on a level yield basis. The table below summarizes PCI loans that were individually evaluated for impairment based on expected cash flows at March 31, 2018 and December 31, 2017: | | | March 31, 2018 | | December 31, 2017 | | | | | PCI Loans Individually Evaluated for Impairment | | | | | Recorded | | Associated | | Recorded | | Associated | | | (Dollars in thousands) | | Investment | | Allowance | | Investment | | Allowance | | | Construction &; land development | | $ | 1,150 | | $ | 0 | | $ | 1,121 | | $ | 0 | | | Commercial real estate | | | 9,855 | | | 0 | | | 9,776 | | | 0 | | | Residential real estate | | | 1,869 | | | 0 | | | 5,626 | | | 0 | | | Commercial and financial | | | 819 | | | 0 | | | 894 | | | 0 | | | Consumer | | | 0 | | | 0 | | | 0 | | | 0 | | | | | $ | 13,693 | | $ | 0 | | $ | 17,417 | | $ | 0 | |
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