TRANSACTIONS WITH RELATED PARTIES (Notes)

12 Months Ended

Dec. 31, 2021

TRANSACTIONS WITH RELATED PARTIES

Certain directors and officers (including their affiliates, certain family members and entities in which they are principal owners) of the Company are customers of and have had, and are expected to have, transactions with the Company, within the ordinary course of business. These transactions include, but are not limited to, lending activities, deposit services, investment management, and property lease commitments. In the opinion of management, such transactions are consistent with prudent banking practices and are within applicable banking regulations. Further details relating to certain related party transactions are outlined below:

Lending Activities

The following information represents annual activity of loans to related parties for the periods indicated:


	2021		2020
	(Dollars in thousands)
Principal balance of loans outstanding at beginning of year	$	26,343	$	55,830
Loan advances (1)	57,983		45,308
Loan payments/payoffs	(39,293)		(74,795)

Principal balance of loans outstanding at end of year	$	45,033	$	26,343

(1)The 2021 amount includes $10.6 million of loans associated with a new director, which represent the outstanding loans balances at the effective date of appointment.

At December 31, 2021 and 2020, there were no loans to related parties which were past due, on nonaccrual status or that had been restructured as part of a troubled debt restructuring.

Deposits

At December 31, 2021 and 2020, the amount of deposit balances of related parties totaled $22.3 million and $22.9 million, respectively.

Lease Commitments

At December 31, 2021 and 2020, there were no material leases with related parties.