Loans (Tables)

3 Months Ended

Mar. 31, 2022

Receivables [Abstract]

Schedule of classes of loans

Classes of loans are as follows:

	March 31, 2022		December 31, 2021
	(Amounts In Thousands)
Agricultural	$	104,900	$	106,933
Commercial and financial	223,702		222,002
Real estate:
Construction, 1 to 4 family residential	87,390		80,486
Construction, land development and commercial	135,353		127,021
Mortgage, farmland	236,573		232,744
Mortgage, 1 to 4 family first liens	919,734		909,564
Mortgage, 1 to 4 family junior liens	111,278		114,342
Mortgage, multi-family	381,942		382,792
Mortgage, commercial	404,769		401,377
Loans to individuals	31,568		32,687
Obligations of state and political subdivisions	50,397		50,285
	$	2,687,606	$	2,660,233
Net unamortized fees and costs	186		299
	$	2,687,792	$	2,660,532
Less allowance for credit losses	35,850		35,470
	$	2,651,942	$	2,625,062

Schedule of changes in allowance for loan losses

Changes in the allowance for credit losses, the allowance for credit losses applicable to individually evaluated loans and the related loan balance of individually evaluated loans for the three months ended March 31, 2022 were as follows:

	Three Months Ended March 31, 2022
	Agricultural		Commercial and Financial		Real Estate: Construction and land development		Real Estate: Mortgage, farmland		Real Estate: Mortgage, 1 to 4 family		Real Estate: Mortgage, multi- family and commercial		Other		Total
	(Amounts In Thousands)
Allowance for credit losses:
Beginning balance	$	2,261	$	4,269	$	2,300	$	3,433	$	11,498	$	10,498	$	1,211	$	35,470
Charge-offs	—		(48)		—		—		(140)		(1)		(150)		(339)
Recoveries	14		123		3		43		207		22		43		455
Credit loss expense (benefit)	139		551		44		(166)		(127)		(285)		108		264
Ending balance	$	2,414	$	4,895	$	2,347	$	3,310	$	11,438	$	10,234	$	1,212	$	35,850
Ending balance, individually evaluated for credit losses	$	1	$	191	$	59	$	1	$	40	$	312	$	1	$	605
Ending balance, collectively evaluated for credit losses	$	2,413	$	4,704	$	2,288	$	3,309	$	11,398	$	9,922	$	1,211	$	35,245
Loans:
Ending balance	$	104,900	$	223,702	$	222,743	$	236,573	$	1,031,012	$	786,711	$	81,965	$	2,687,606
Ending balance, individually evaluated for credit losses	$	581	$	1,981	$	1,040	$	1,276	$	5,582	$	5,154	$	159	$	15,773
Ending balance, collectively evaluated for credit losses	$	104,319	$	221,721	$	221,703	$	235,297	$	1,025,430	$	781,557	$	81,806	$	2,671,833

Changes in the allowance for loan losses for the three months ended March 31, 2021 were as follows:

	Three Months Ended March 31, 2021
	Agricultural		Commercial and Financial		Real Estate: Construction and land development		Real Estate: Mortgage, farmland		Real Estate: Mortgage, 1 to 4 family		Real Estate: Mortgage, multi- family and commercial		Other		Total
	(Amounts In Thousands)
Allowance for loan losses:
Beginning balance, prior to adoption of ASC 326	$	2,508	$	4,885	$	2,319	$	4,173	$	12,368	$	9,415	$	1,402	$	37,070
Impact of adopting ASC 326	(328)		298		327		763		522		1,396		(232)		2,746
Charge-offs	—		(30)		—		—		(75)		—		(66)		(171)
Recoveries	32		234		34		—		239		139		37		715
Credit loss expense (benefit)	(65)		(273)		(392)		(268)		(1,558)		(1,329)		145		(3,740)
Ending balance	$	2,147	$	5,114	$	2,288	$	4,668	$	11,496	$	9,621	$	1,286	$	36,620
Ending balance, individually evaluated for impairment	$	1	$	299	$	—	$	—	$	62	$	166	$	79	$	607
Ending balance, collectively evaluated for impairment	$	2,146	$	4,815	$	2,288	$	4,668	$	11,434	$	9,455	$	1,207	$	36,013
Loans:
Ending balance	$	96,042	$	281,337	$	184,012	$	246,665	$	996,379	$	790,831	$	84,858	$	2,680,124
Ending balance, individually evaluated for impairment	$	1,387	$	1,947	$	521	$	1,916	$	7,338	$	6,145	$	79	$	19,333
Ending balance, collectively evaluated for impairment	$	94,655	$	279,390	$	183,491	$	244,749	$	989,041	$	784,686	$	84,779	$	2,660,791

The following table presents the amortized cost basis of collateral dependent loans, by the primary collateral type, which are individually evaluated to determine expected credit losses, and the related ACL allocated to these loans:

	Primary Type of Collateral
	Real Estate		Accounts Receivable		Equipment		Other		Total		ACL Allocation
	(Amounts In Thousands)
March 31, 2022
Agricultural	$	545	$	—	$	36	$	—	$	581	$	1
Commercial and financial	1,878		—		103		—		1,981		191
Real estate:
Construction, 1 to 4 family residential	488		—		—		—		488		58
Construction, land development and commercial	552		—		—		—		552		1
Mortgage, farmland	1,276		—		—		—		1,276		1
Mortgage, 1 to 4 family first liens	5,441		—		—		—		5,441		33
Mortgage, 1 to 4 family junior liens	141		—		—		—		141		7
Mortgage, multi-family	1,451		—		—		—		1,451		—
Mortgage, commercial	3,703		—		—		—		3,703		312
Loans to individuals	—		—		—		—		—		—
Obligations of state and political subdivisions	159		—		—		—		159		1
	$	15,634	$	—	$	139	$	—	$	15,773	$	605

	Primary Type of Collateral
	Real Estate		Accounts Receivable		Equipment		Other		Total		ACL Allocation
	(Amounts In Thousands)
December 31, 2021
Agricultural	$	734	$	—	$	54	$	—	$	788	$	1
Commercial and financial	1,951		—		111		—		2,062		189
Real estate:
Construction, 1 to 4 family residential	111		—		—		—		111		111
Construction, land development and commercial	492		—		—		—		492		13
Mortgage, farmland	1,277		—		—		—		1,277		—
Mortgage, 1 to 4 family first liens	5,967		—		—		—		5,967		31
Mortgage, 1 to 4 family junior liens	220		—		—		—		220		18
Mortgage, multi-family	1,460		—		—		—		1,460		—
Mortgage, commercial	4,236		—		—		—		4,236		1
Loans to individuals	20		—		—		—		20		20
Obligations of state and political subdivisions	—		—		—		—		—		—
	$	16,468	$	—	$	165	$	—	$	16,633	$	384

Schedule of allowance for credit losses for off-balance sheet credit exposure

Changes in the allowance for credit losses for off-balance sheet credit exposures for the three months ended March 31, 2022 were as follows:

	Three Months Ended March 31, 2022
	Agricultural		Commercial and Financial		Real Estate: Construction and land development		Real Estate: Mortgage, farmland		Real Estate: Mortgage, 1 to 4 family		Real Estate: Mortgage, multi- family and commercial		Other		Total
	(Amounts In Thousands)
Allowance for credit losses for off-balance sheet credit exposures:
Beginning balance	$	383	$	1,118	$	849	$	113	$	794	$	559	$	34	$	3,850
Credit loss expense (benefit)	130		302		277		(13)		131		34		(21)		840
(Charge-offs), net recoveries	—		—		—		—		—		—		—		—
Ending balance	$	513	$	1,420	$	1,126	$	100	$	925	$	593	$	13	$	4,690
	Three Months Ended March 31 , 2021
	Agricultural		Commercial and Financial		Real Estate: Construction and land development		Real Estate: Mortgage, farmland		Real Estate: Mortgage, 1 to 4 family		Real Estate: Mortgage, multi- family and commercial		Other		Total
	(Amounts In Thousands)
Allowance for credit losses for off-balance sheet credit exposures:
Beginning balance, prior to adoption of ASC 326	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Impact of adopting ASC 326	385		1,585		736		180		471		212		15		3,584
Credit loss expense	58		239		197		22		175		38		27		756
(Charge-offs), net recoveries	—		—		—		—		—		—		—		—
Ending balance	$	443	$	1,824	$	933	$	202	$	646	$	250	$	42	$	4,340

Schedule of credit quality indicators by type of loans

The following table presents the credit quality indicators by type of loans in each category as of December 31, 2021 (amounts in thousands):

	Agricultural
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	762	$	213	$	30	$	10	$	—	$	—	$	2,312	$	3,327
Good	1,799		1,767		603		46		52		26		7,593		11,886
Satisfactory	10,335		6,404		1,476		1,770		403		66		26,285		46,739
Monitor	8,125		5,017		998		765		164		253		23,995		39,317
Special Mention	1,662		11		85		—		7		—		2,807		4,572
Substandard	592		69		203		—		—		—		228		1,092
Total	$	23,275	$	13,481	$	3,395	$	2,591	$	626	$	345	$	63,220	$	106,933

	Commercial and Financial
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	965	$	924	$	4	$	235	$	31	$	—	$	3,391	$	5,550
Good	13,722		5,570		1,105		1,086		276		1,494		20,709		43,962
Satisfactory	44,964		20,847		7,684		3,582		2,106		331		41,832		121,346
Monitor	18,337		8,019		3,591		1,123		297		416		13,368		45,151
Special Mention	603		525		353		70		102		4		174		1,831
Substandard	1,092		670		266		54		92		—		1,988		4,162
Total	$	79,683	$	36,555	$	13,003	$	6,150	$	2,904	$	2,245	$	81,462	$	222,002

	Real Estate: Construction, 1 to 4 Family Residential
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Good	212		—		—		—		—		—		18,755		18,967
Satisfactory	7,457		94		—		—		—		—		42,988		50,539
Monitor	1,307		—		—		—		—		—		9,187		10,494
Special Mention	—		—		—		—		—		—		374		374
Substandard	111		—		—		—		—		—		1		112
Total	$	9,087	$	94	$	—	$	—	$	—	$	—	$	71,305	$	80,486

	Real Estate: Construction, Land Development and Commercial
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	5,079	$	—	$	—	$	—	$	143	$	4	$	—	$	5,226
Good	3,294		1,200		—		—		153		242		12,678		17,567
Satisfactory	22,907		4,354		2,356		263		1,081		21		40,048		71,030
Monitor	5,694		547		7		38		74		—		18,832		25,192
Special Mention	—		—		—		—		—		—		—		—
Substandard	7,515		298		193		—		—		—		—		8,006
Total	$	44,489	$	6,399	$	2,556	$	301	$	1,451	$	267	$	71,558	$	127,021

	Real Estate: Mortgage, Farmland
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	—	$	3,568	$	124	$	60	$	80	$	41	$	134	$	4,007
Good	17,827		14,308		2,144		2,460		5,932		3,929		3,844		50,444
Satisfactory	51,639		35,616		4,689		8,358		6,745		8,339		8,242		123,628
Monitor	8,532		16,925		5,518		3,901		2,154		4,866		5,695		47,591
Special Mention	4,031		288		—		—		298		190		—		4,807
Substandard	1,283		447		291		47		—		199		—		2,267
Total	$	83,312	$	71,152	$	12,766	$	14,826	$	15,209	$	17,564	$	17,915	$	232,744

	Real Estate: Mortgage, 1 to 4 Family First Liens
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	462	$	914	$	427	$	19	$	149	$	404	$	1	$	2,376
Good	9,598		12,300		3,124		3,443		3,091		10,943		2,496		44,995
Satisfactory	233,412		189,247		69,037		65,201		60,906		118,608		8,443		744,854
Monitor	24,908		33,863		5,038		6,527		7,273		12,203		4,066		93,878
Special Mention	1,682		3,422		887		962		1,051		3,168		—		11,172
Substandard	1,571		1,261		1,129		1,609		576		6,142		1		12,289
Total	$	271,633	$	241,007	$	79,642	$	77,761	$	73,046	$	151,468	$	15,007	$	909,564

	Real Estate: Mortgage, 1 to 4 Family Junior Liens
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	—	$	13	$	—	$	—	$	—	$	—	$	6	$	19
Good	193		611		96		—		108		482		1,374		2,864
Satisfactory	13,684		10,116		5,854		7,309		5,230		6,053		55,496		103,742
Monitor	326		1,233		70		365		140		281		2,801		5,216
Special Mention	103		489		35		56		42		110		142		977
Substandard	77		209		79		441		74		99		545		1,524
Total	$	14,383	$	12,671	$	6,134	$	8,171	$	5,594	$	7,025	$	60,364	$	114,342

	Real Estate: Mortgage, Multi-Family
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	2,539	$	4,513	$	—	$	—	$	—	$	701	$	—	$	7,753
Good	16,931		35,396		1,555		—		—		9,289		—		63,171
Satisfactory	107,192		69,287		13,635		2,030		1,561		14,660		14,764		223,129
Monitor	26,088		35,886		176		—		131		1,584		5,669		69,534
Special Mention	640		—		820		—		—		—		—		1,460
Substandard	12,186		—		—		—		—		5,559		—		17,745
Total	$	165,576	$	145,082	$	16,186	$	2,030	$	1,692	$	31,793	$	20,433	$	382,792

	Real Estate: Mortgage, Commercial
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	597	$	16,781	$	—	$	—	$	3,313	$	350	$	1	$	21,042
Good	20,143		36,773		2,619		1,356		3,811		7,085		9,812		81,599
Satisfactory	75,040		52,653		14,727		12,091		9,707		17,398		16,333		197,949
Monitor	18,664		49,774		3,923		2,202		3,037		8,461		3,387		89,448
Special Mention	5,791		795		303		—		554		337		—		7,780
Substandard	1,528		1,721		—		208		—		102		—		3,559
Total	$	121,763	$	158,497	$	21,572	$	15,857	$	20,422	$	33,733	$	29,533	$	401,377

	Loans to Individuals
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Good	—		—		67		21		5		—		1		94
Satisfactory	12,162		5,606		2,212		967		141		10,867		57		32,012
Monitor	200		160		15		46		3		—		1		425
Special Mention	37		32		29		4		—		—		1		103
Substandard	12		24		12		—		1		3		1		53
Total	$	12,411	$	5,822	$	2,335	$	1,038	$	150	$	10,870	$	61	$	32,687

	Obligations of State and Political Subdivisions
December 31, 2021	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Total
Grade:
Excellent	$	—	$	—	$	—	$	—	$	—	$	6,076	$	—	$	6,076
Good	—		1,984		—		—		—		9,051		—		11,035
Satisfactory	1,009		2,034		1,551		706		11,557		3,634		9,400		29,891
Monitor	—		933		203		249		—		1,898		—		3,283
Special Mention	—		—		—		—		—		—		—		—
Substandard	—		—		—		—		—		—		—		—
Total	$	1,009	$	4,951	$	1,754	$	955	$	11,557	$	20,659	$	9,400	$	50,285

Schedule of past due loans

Past due loans as of March 31, 2022 and December 31, 2021 were as follows:

	30 - 59 Days Past Due		60 - 89 Days Past Due		90 Days or More Past Due		Total Past Due		Current		Total Loans Receivable		Accruing Loans Past Due 90 Days or More
	(Amounts In Thousands)
March 31, 2022
Agricultural	$	1,860	$	253	$	252	$	2,365	$	102,535	$	104,900	$	40
Commercial and financial	2,394		700		109		3,203		220,499		223,702		102
Real estate:
Construction, 1 to 4 family residential	1,013		—		383		1,396		85,994		87,390		383
Construction, land development and commercial	559		391		163		1,113		134,240		135,353		66
Mortgage, farmland	3,221		160		107		3,488		233,085		236,573		60
Mortgage, 1 to 4 family first liens	6,038		621		2,071		8,730		911,004		919,734		68
Mortgage, 1 to 4 family junior liens	268		—		121		389		110,889		111,278		—
Mortgage, multi-family	—		—		—		—		381,942		381,942		—
Mortgage, commercial	2,258		2		959		3,219		401,550		404,769		—
Loans to individuals	147		11		—		158		31,410		31,568		—
Obligations of state and political subdivisions	—		—		159		159		50,238		50,397		159
	$	17,758	$	2,138	$	4,324	$	24,220	$	2,663,386	$	2,687,606	$	878
December 31, 2021
Agricultural	$	41	$	—	$	219	$	260	$	106,673	$	106,933	$	6
Commercial and financial	300		537		468		1,305		220,697		222,002		91
Real estate:
Construction, 1 to 4 family residential	276		—		—		276		80,210		80,486		—
Construction, land development and commercial	194		66		96		356		126,665		127,021		—
Mortgage, farmland	503		362		—		865		231,879		232,744		—
Mortgage, 1 to 4 family first liens	5,085		864		2,481		8,430		901,134		909,564		104
Mortgage, 1 to 4 family junior liens	246		41		124		411		113,931		114,342		—
Mortgage, multi-family	640		—		—		640		382,152		382,792		—
Mortgage, commercial	466		—		829		1,295		400,082		401,377		—
Loans to individuals	177		26		5		208		32,479		32,687		—
Obligations of state and political subdivisions	394		—		—		394		49,891		50,285		—
	$	8,322	$	1,896	$	4,222	$	14,440	$	2,645,793	$	2,660,233	$	201

Schedule of impaired loan information

Certain nonaccrual and TDR loan information by loan type at March 31, 2022 and December 31, 2021, was as follows:

	March 31, 2022						December 31, 2021
	Non-accrual loans (1)		Accruing loans past due 90 days or more		TDR loans		Non- accrual loans (1)		Accruing loans past due 90 days or more		TDR loans
	(Amounts In Thousands)						(Amounts In Thousands)
Agricultural	$	221	$	40	$	138	$	221	$	6	$	374
Commercial and financial	918		102		740		707		91		1,085
Real estate:
Construction, 1 to 4 family residential	104		383		—		111		—		—
Construction, land development and commercial	287		66		199		290		—		202
Mortgage, farmland	52		60		1,165		251		—		1,206
Mortgage, 1 to 4 family first liens	4,234		68		1,316		4,685		104		1,364
Mortgage, 1 to 4 family junior liens	196		—		19		200		—		20
Mortgage, multi-family	—		—		1,451		—		—		1,460
Mortgage, commercial	2,130		—		1,725		2,026		—		2,210
Loans to individuals	—		—		—		—		—		—
Obligations of state and political subdivisions	—		159		—		—		—		—
	$	8,142	$	878	$	6,753	$	8,491	$	201	$	7,921

(1)There were $3.43 million and $2.28 million of TDR loans included within nonaccrual loans as of March 31, 2022 and December 31, 2021, respectively.

Schedule of information for TDR loans

Below is a summary of information for TDR loans as of March 31, 2022 and December 31, 2021:

	March 31, 2022					December 31, 2021
	Number of contracts	Recorded investment		Commitments outstanding		Number of contracts	Recorded investment		Commitments outstanding
		(Amounts In Thousands)					(Amounts In Thousands)
Agricultural	3	$	351	$	160	4	$	586	$	—
Commercial and financial	11	1,644		—		12	1,116		60
Real estate:
Construction, 1 to 4 family residential	1	105		—		—	—		—
Construction, land development and commercial	2	390		—		1	202		—
Mortgage, farmland	5	1,169		—		5	1,409		—
Mortgage, 1 to 4 family first liens	11	1,329		—		14	1,441		—
Mortgage, 1 to 4 family junior liens	1	19		—		1	20		—
Mortgage, multi-family	2	1,451		—		2	1,460		—
Mortgage, commercial	11	3,725		—		11	3,963		—
Loans to individuals	—	—		—		—	—		—
Obligations of state and political subdivisions	—	—		—		—	—		—
	47	$	10,183	$	160	50	$	10,197	$	60

The following is a summary of TDR loans that were modified during the three months ended March 31, 2022:

	Three Months Ended March 31, 2022
	Number of contracts	Pre-modification recorded investment		Post-modification recorded investment
		(Amounts In Thousands)
Agricultural	—	$	—	$	—
Commercial and financial	1	371		371
Real estate:
Construction, 1 to 4 family residential	1	105		105
Construction, land development and commercial	1	191		191
Mortgage, farmland	—	—		—
Mortgage, 1 to 4 family first lien	—	—		—
Mortgage, 1 to 4 family junior liens	—	—		—
Mortgage, multi-family	—	—		—
Mortgage, commercial	1	274		274
Loans to individuals	—	—		—
Obligations of state and political subdivisions	—	—		—
	4	$	941	$	941