LOANS (Tables)

6 Months Ended

Jun. 30, 2018

Receivables [Abstract]

Schedule of Loans

The following is a summary of total loans:

	June 30, 2018						December 31, 2017
(in thousands)	Business Activities  Loans		Acquired Loans		Total		Business Activities  Loans		Acquired Loans		Total
Commercial Real Estate:
Construction and land development	$	27,722	$	9,542	$	37,264	$	28,892	$	16,781	$	45,673
Other commercial real estate	540,580		260,702		801,282		505,119		275,954		781,073
Total Commercial Real Estate	568,302		270,244		838,546		534,011		292,735		826,746
Commercial and Industrial:
Other Commercial	226,143		62,253		288,396		198,051		68,069		266,120
Agricultural	25,284		—		25,284		27,588		—		27,588
Tax exempt	45,400		41,213		86,613		42,365		43,350		85,715
Total Commercial and Industrial	296,827		103,466		400,293		268,004		111,419		379,423
Total Commercial Loans	865,129		373,710		1,238,839		802,015		404,154		1,206,169
Residential Real Estate:
Residential mortgages	606,128		521,767		1,127,895		591,411		564,271		1,155,682
Total Residential Real Estate	606,128		521,767		1,127,895		591,411		564,271		1,155,682
Consumer:
Home equity	53,853		54,457		108,310		51,376		62,217		113,593
Other consumer	8,215		1,807		10,022		7,828		2,341		10,169
Total Consumer	62,068		56,264		118,332		59,204		64,558		123,762
Total Loans	$	1,533,325	$	951,741	$	2,485,066	$	1,452,630	$	1,032,983	$	2,485,613

Schedule of Activity in the Accretable Yield for the Acquired Loan Portfolio that Falls Under the Review of ASC 310-30, Accounting for Certain Loans or Debt Securities Acquired in a Transfer

The following table summarizes activity in the accretable yield for the acquired loan portfolio that falls under the purview of ASC 310-30, Accounting for Certain Loans or Debt Securities Acquired in a Transfer:

	Three Months Ended June 30,
(in thousands)	2018			2017
Balance at beginning of period	$	3,347		$	3,194
Reclassification from nonaccretable difference for loans with (decreased) improved cash flows	(153		)	1,745
Accretion	(387		)	(372		)
Balance at end of period	$	2,807		$	4,567
	Six Months Ended June 30,
(in thousands)	2018			2017
Balance at beginning of period	$	3,509		$	—
Acquisitions	—			3,398
Reclassification from nonaccretable difference for loans with improved cash flows	46			1,745
Accretion	(748		)	(576		)
Balance at end of period	$	2,807		$	4,567

Summary of Past Due Loans

The following is a summary of past due loans at June 30, 2018 and December 31, 2017:

Business Activities Loans

(in thousands)	30-59 Days Past Due		60-89 Days Past Due		90 Days or Greater Past Due		Total Past Due		Current		Total Loans		Past Due > 90 days and Accruing
June 30, 2018
Commercial Real Estate:
Construction and land development	$	—	$	—	$	2	$	2	$	27,720	$	27,722	$	—
Other commercial real estate	483		954		6,636		8,073		532,507		540,580		—
Total Commercial Real Estate	483		954		6,638		8,075		560,227		568,302		—
Commercial and Industrial:
Other commercial	79		8		604		691		225,452		226,143		—
Agricultural	—		37		130		167		25,117		25,284		—
Tax exempt	—		—		—		—		45,400		45,400		—
Total Commercial and Industrial	79		45		734		858		295,969		296,827		—
Total Commercial Loans	562		999		7,372		8,933		856,196		865,129		—
Residential Real Estate:
Residential mortgages	1,122		483		3,690		5,295		600,833		606,128		—
Total Residential Real Estate	1,122		483		3,690		5,295		600,833		606,128		—
Consumer:
Home equity	49		85		241		375		53,478		53,853		—
Other consumer	4		8		—		12		8,203		8,215		—
Total Consumer	53		93		241		387		61,681		62,068		—
Total Loans	$	1,737	$	1,575	$	11,303	$	14,615	$	1,518,710	$	1,533,325	$	—

Business Activities Loans

(in thousands)	30-59 Days Past Due		60-89 Days Past Due		90 Days or Greater Past Due		Total Past Due		Current		Total Loans		Past Due > 90 days and Accruing
December 31, 2017
Commercial Real Estate:
Construction and land development	$	—	$	—	$	637	$	637	$	28,255	$	28,892	$	—
Other commercial real estate	965		1,659		5,065		7,689		497,430		505,119		119
Total Commercial Real Estate	965		1,659		5,702		8,326		525,685		534,011		119
Commercial and Industrial:
Other commercial	186		329		702		1,217		196,834		198,051		21
Agricultural	42		159		198		399		27,189		27,588		155
Tax exempt	—		—		—		—		42,365		42,365		—
Total Commercial and Industrial	228		488		900		1,616		266,388		268,004		176
Total Commercial Loans	1,193		2,147		6,602		9,942		792,073		802,015		295
Residential Real Estate:
Residential mortgages	3,096		711		975		4,782		586,629		591,411		—
Total Residential Real Estate	3,096		711		975		4,782		586,629		591,411		—
Consumer:
Home equity	515		—		199		714		50,662		51,376		199
Other consumer	36		24		—		60		7,768		7,828		—
Total Consumer	551		24		199		774		58,430		59,204		199
Total Loans	$	4,840	$	2,882	$	7,776	$	15,498	$	1,437,132	$	1,452,630	$	494

Acquired Loans

(in thousands)	30-59 Days Past Due		60-89 Days Past Due		90 Days or Greater Past Due		Total Past Due		Acquired Credit Impaired		Total Loans		Past Due > 90 days and Accruing
June 30, 2018
Commercial Real Estate:
Construction and land development	$	35	$	—	$	—	$	35	$	151	$	9,542	$	—
Other commercial real estate	180		—		337		517		7,856		260,702		—
Total Commercial Real Estate	215		—		337		552		8,007		270,244		—
Commercial and Industrial:
Other commercial	28		—		423		451		515		62,253		—
Agricultural	—		—		—		—		—		—		—
Tax exempt	—		—		—		—		—		41,213		—
Total Commercial and Industrial	28		—		423		451		515		103,466		—
Total Commercial Loans	243		—		760		1,003		8,522		373,710		—
Residential Real Estate:
Residential mortgages	1,080		974		979		3,033		3,069		521,767		—
Total Residential Real Estate	1,080		974		979		3,033		3,069		521,767		—
Consumer:
Home equity	106		—		154		260		24		54,457		—
Other consumer	3		4		—		7		3		1,807		—
Total Consumer	109		4		154		267		27		56,264		—
Total Loans	$	1,432	$	978	$	1,893	$	4,303	$	11,618	$	951,741	$	—

Acquired Loans

(in thousands)	30-59 Days Past Due		60-89 Days Past Due		90 Days or Greater Past Due		Total Past Due		Acquired Credit Impaired		Total Loans		Past Due > 90 days and Accruing
December 31, 2017
Commercial Real Estate:
Construction and land development	$	124	$	9	$	—	$	133	$	258	$	16,781	$	—
Other commercial real estate	278		—		411		689		8,397		275,954		—
Total Commercial Real Estate	402		9		411		822		8,655		292,735		—
Commercial and Industrial:
Other commercial	125		14		49		188		632		68,069		—
Agricultural	—		—		—		—		—		—		—
Tax exempt	—		—		—		—		—		43,350		—
Total Commercial and Industrial	125		14		49		188		632		111,419		—
Total Commercial Loans	527		23		460		1,010		9,287		404,154		—
Residential Real Estate:
Residential mortgages	752		388		614		1,754		3,259		564,271		—
Total Residential Real Estate	752		388		614		1,754		3,259		564,271		—
Consumer:
Home equity	125		117		80		322		38		62,217		16
Other consumer	2		—		—		2		3		2,341		—
Total Consumer	127		117		80		324		41		64,558		16
Total Loans	$	1,406	$	528	$	1,154	$	3,088	$	12,587	$	1,032,983	$	16

Summary of Information Pertaining to Non-Accrual Loans

The following is summary information pertaining to non-accrual loans at June 30, 2018 and December 31, 2017:

	June 30, 2018						December 31, 2017
(in thousands)	Business Activities  Loans		Acquired Loans		Total		Business Activities  Loans		Acquired Loans		Total
Commercial Real Estate:
Construction and land development	$	2	$	—	$	2	$	637	$	—	$	637
Other commercial real estate	8,398		483		8,881		7,146		560		7,706
Total Commercial Real Estate	8,400		483		8,883		7,783		560		8,343
Commercial and Industrial:
Other commercial	1,488		598		2,086		703		463		1,166
Agricultural	325		—		325		43		—		43
Tax exempt	—		—		—		—		—		—
Total Commercial and Industrial	1,813		598		2,411		746		463		1,209
Total Commercial Loans	10,213		1,081		11,294		8,529		1,023		9,552
Residential Real Estate:
Residential mortgages	7,224		2,721		9,945		3,408		858		4,266
Total Residential Real Estate	7,224		2,721		9,945		3,408		858		4,266
Consumer:
Home equity	440		166		606		130		217		347
Other consumer	88		13		101		95		58		153
Total Consumer	528		179		707		225		275		500
Total Loans	$	17,965	$	3,981	$	21,946	$	12,162	$	2,156	$	14,318

Schedule of Loans Evaluated for Impairment

Loans evaluated for impairment as of June 30, 2018 and December 31, 2017 were as follows:

Business Activities Loans

(in thousands)	Commercial real estate		Commercial  and industrial		Residential real estate		Consumer		Total
June 30, 2018
Loans receivable:
Balance at end of period
Individually evaluated for impairment	$	9,172	$	1,506	$	4,855	$	182	$	15,715
Collectively evaluated	559,130		295,321		601,273		61,886		1,517,610
Total	$	568,302	$	296,827	$	606,128	$	62,068	$	1,533,325

Business Activities Loans

(in thousands)	Commercial real estate		Commercial  and industrial		Residential real estate		Consumer		Total
December 31, 2017
Loans receivable:
Balance at end of period
Individually evaluated for impairment	$	7,604	$	626	$	1,404	$	13	$	9,647
Collectively evaluated	526,407		267,378		590,007		59,191		1,442,983
Total	$	534,011	$	268,004	$	591,411	$	59,204	$	1,452,630

Acquired Loans

(in thousands)	Commercial real estate		Commercial  and industrial		Residential real estate		Consumer		Total
June 30, 2018
Loans receivable:
Balance at end of period
Individually evaluated for impairment	$	231	$	423	$	283	$	—	$	937
Purchased Credit Impaired	8,008		515		3,069		27		11,619
Collectively evaluated	262,005		102,528		518,415		56,237		939,185
Total	$	270,244	$	103,466	$	521,767	$	56,264	$	951,741

Acquired Loans

(in thousands)	Commercial real estate		Commercial  and industrial		Residential real estate		Consumer		Total
December 31, 2017
Loans receivable:
Balance at end of period
Individually evaluated for impairment	$	241	$	571	$	271	$	63	$	1,146
Purchased Credit Impaired	8,655		632		3,259		41		12,587
Collectively evaluated	283,839		110,216		560,741		64,454		1,019,250
Total	$	292,735	$	111,419	$	564,271	$	64,558	$	1,032,983

Summary of Impaired Loans

The following is a summary of impaired loans at June 30, 2018 and December 31, 2017:

Business Activities Loans

	June 30, 2018
(in thousands)	Recorded  Investment		Unpaid Principal Balance		Related Allowance
With no related allowance:
Construction and land development	$	—	$	—	$	—
Commercial real estate other	7,102		7,270		—
Other commercial	726		736		—
Agricultural	—		—		—
Tax exempt loans	—		—		—
Residential real estate	4,055		4,077		—
Home equity	182		463		—
Other consumer	—		—		—
With an allowance recorded:
Construction and land development	$	—	$	—	$	—
Commercial real estate other	2,071		2,140		682
Other commercial	779		786		34
Agricultural	—		—		—
Tax exempt loans	—		—		—
Residential real estate	800		808		80
Home equity	—		—		—
Other consumer	—		—		—
Total
Commercial real estate	$	9,173	$	9,410	$	682
Commercial and industrial	1,505		1,522		34
Residential real estate	4,855		4,885		80
Consumer	182		463		—
Total impaired loans	$	15,715	$	16,280	$	796

Acquired Loans

	June 30, 2018
(in thousands)	Recorded  Investment		Unpaid Principal Balance		Related Allowance
With no related allowance:
Construction and land development	$	—	$	—	$	—
Commercial real estate other	232		342		—
Other commercial	49		49		—
Agricultural	—		—		—
Tax exempt loans	—		—		—
Residential real estate	283		283		—
Home equity	—		—		—
Other consumer	—		—		—
With an allowance recorded:
Construction and land development	$	—	$	—	$	—
Commercial real estate other	—		—		—
Other commercial	373		386		77
Agricultural	—		—		—
Tax exempt loans	—		—		—
Residential real estate	—		—		—
Home equity	—		—		—
Other consumer	—		—		—
Total
Commercial real estate	$	232	$	342	$	—
Commercial and industrial	422		435		77
Residential real estate	283		283		—
Consumer	—		—		—
Total impaired loans	$	937	$	1,060	$	77

Business Activities Loans

	December 31, 2017
(in thousands)	Recorded  Investment		Unpaid Principal Balance		Related Allowance
With no related allowance:
Construction and land development	$	—	$	—	$	—
Commercial real estate other	5,896		5,903		—
Other commercial	218		217		—
Agricultural	—		—		—
Tax exempt loans	—		—		—
Residential real estate	1,247		1,260		—
Home equity	13		13		—
Other consumer	—		—		—
With an allowance recorded:
Construction and land development	$	637	$	2,563	$	59
Commercial real estate other	1,071		1,132		388
Other commercial	408		408		3
Agricultural	—		—		—
Tax exempt loans	—		—		—
Residential real estate	157		157		9
Home equity	—		—		—
Other consumer	—		—		—
Total
Commercial real estate	$	7,604	$	9,598	$	447
Commercial and industrial	626		625		3
Residential real estate	1,404		1,417		9
Consumer	13		13		—
Total impaired loans	$	9,647	$	11,653	$	459

Acquired Loans

	December 31, 2017
(in thousands)	Recorded  Investment		Unpaid Principal Balance		Related Allowance
With no related allowance:
Construction and land development	$	—	$	—	$	—
Other commercial real estate	241		352		—
Other commercial	571		584		—
Agricultural	—		—		—
Tax exempt	—		—		—
Residential mortgages	271		278		—
Home equity	63		156		—
Other consumer	—		—		—
With an allowance recorded:
Construction and land development	$	—	$	—	$	—
Other commercial real estate	—		—		—
Other commercial	—		—		—
Agricultural	—		—		—
Tax exempt	—		—		—
Residential mortgages	—		—		—
Home equity	—		—		—
Other consumer	—		—		—
Total
Commercial real estate	$	241	$	352	$	—
Commercial and industrial	571		584		—
Residential real estate	271		278		—
Consumer	63		156		—
Total impaired loans	$	1,146	$	1,370	$	—

Summary of the Average Recorded Investment and Interest Income Recognized on Impaired Loans

The following is a summary of the average recorded investment and interest income recognized on impaired loans as of June 30, 2018 and 2017:

Business Activities Loans

	Six Months Ended June 30, 2018				Six Months Ended June 30, 2017
(in thousands)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance:
Construction and land development	$	—	$	—	$	—	$	—
Commercial real estate other	6,364		15		2,499		68
Other commercial	680		5		349		8
Agricultural	—		—		70		1
Tax exempt loans	—		—		—		—
Residential real estate	4,063		19		2,130		24
Home equity	288		—		13		—
Other consumer	—		—		64		2
With an allowance recorded:
Construction and land development	$	—	$	—	$	637	$	—
Commercial real estate other	1,073		—		772		—
Other commercial	647		—		44		1
Agricultural	—		—		—		—
Tax exempt loans	—		—		—		—
Residential real estate	696		5		156		5
Home equity	—		—		—		—
Other consumer	—		—		—		—
Total
Commercial real estate	$	7,437	$	15	$	3,908	$	68
Commercial and industrial	1,327		5		463		10
Residential real estate	4,759		24		2,286		29
Consumer	288		—		77		2
Total impaired loans	$	13,811	$	44	$	6,734	$	109

Acquired Loans

	Six Months Ended June 30, 2018				Six Months Ended June 30, 2017
(in thousands)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance:
Construction and land development	$	—	$	—	$	—	$	—
Commercial real estate other	230		1		—		—
Other commercial	49		—		—		—
Agricultural	—		—		—		—
Tax exempt loans	—		—		—		—
Residential real estate	47		—		—		—
Home equity	—		—		—		—
Other consumer	—		—		—		—
With an allowance recorded:
Construction and land development	$	—	$	—	$	—	$	—
Commercial real estate other	—		—		—		—
Other commercial	383		1		—		—
Agricultural	—		—		—		—
Tax exempt loans	—		—		—		—
Residential real estate	—		—		—		—
Home equity	—		—		—		—
Other consumer	—		—		—		—
Total
Commercial real estate	$	230	$	1	$	—	$	—
Commercial and industrial	432		1		—		—
Residential real estate	47		—		—		—
Consumer	—		—		—		—
Total impaired loans	$	709	$	2	$	—	$	—

Schedule of Recorded Investment and Number of Modifications for TDRs Identified During the Period

The following tables include the recorded investment and number of modifications identified during the three and six months ended June 30, 2018 and for the three and six months ended June 30, 2017, respectively. The table includes the recorded investment in the loans prior to a modification and also the recorded investment in the loans after the loans were restructured. The modifications for the three and six months ended June 30, 2018 were attributable to interest rate concessions, maturity date extensions, reamortization or a combination of two concessions. The modifications for the three months ending June 30, 2017 were attributable to interest rate concessions, maturity date extensions, or a combination of both.

	Three Months Ended June 30, 2018
(in thousands)	Number of Modifications	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Troubled Debt Restructurings
Commercial installment	—	$	—	$	—
Agricultural	—	—		—
Commercial real estate	5	1,641		1,390
Residential real estate	7	1,091		1,060
Home equity	1	100		100
Other consumer	1	4		4
Total	14	$	2,836	$	2,554
	Three Months Ended June 30, 2017
(in thousands)	Number of Modifications	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Troubled Debt Restructurings
Commercial installment	—	$	—	$	—
Agricultural	1	19		18
Commercial real estate	2	245		245
Residential real estate	1	118		117
Home equity	1	13		13
Other consumer	—	—		—
Total	5	$	395	$	393
	Six Months Ended June 30, 2018
(in thousands)	Number of Modifications	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Troubled Debt Restructurings
Commercial installment	2	$	452	$	437
Agricultural	1	167		—
Commercial real estate	7	1,674		1,409
Residential real estate	12	2,196		1,646
Home equity	1	100		100
Other consumer	2	5		5
Total	25	$	4,594	$	3,597

	Six Months Ended June 30, 2017
(in thousands)	Number of Modifications	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Troubled Debt Restructurings
Commercial installment	1	$	80	$	77
Agricultural	1	19		18
Commercial real estate	2	245		245
Residential real estate	3	692		682
Home equity	1	13		13
Other consumer	1	38		37
Total	9	$	1,087	$	1,072