XML 45 R33.htm IDEA: XBRL DOCUMENT v3.19.1
Loans (Tables)
 3 Months Ended
Mar. 31, 2019
Loans and Leases Receivable Disclosure [Abstract]  
Summary of Loans, Net of Unearned Fees
Loans are summarized as follows:
Dollars in thousands
 
March 31,
2019
 
December 31,
2018
Commercial
 
$
189,248

 
$
194,315

Commercial real estate
 
 

 
 

Owner-occupied
 
272,088

 
266,362

Non-owner occupied
 
570,392

 
564,826

Construction and development
 
 

 
 

Land and land development
 
64,192

 
68,833

Construction
 
36,040

 
24,731

Residential real estate
 
 

 
 

Non-jumbo
 
359,107

 
336,977

Jumbo
 
69,313

 
73,599

Home equity
 
80,370

 
80,910

Mortgage warehouse lines
 
49,355

 
39,140

Consumer
 
36,046

 
32,460

Other
 
12,045

 
12,899

Total loans, net of unearned fees
 
1,738,196

 
1,695,052

Less allowance for loan losses
 
13,132

 
13,047

Loans, net
 
$
1,725,064

 
$
1,682,005
Schedule of Acquired Loans
The outstanding balance and the recorded investment of acquired loans included in the consolidated balance sheet at March 31, 2019 and December 31, 2018 are as follows:

 
 
Acquired Loans
 
 
March 31, 2019
 
December 31, 2018
Dollars in thousands
 
Purchased Credit Impaired
 
Purchased Performing
 
Total
 
Purchased Credit Impaired
 
Purchased Performing
 
Total
Outstanding balance
 
$
4,240

 
$
170,263

 
$
174,503

 
$
4,275

 
$
138,167

 
$
142,442

 
 
 
 
 
 
 
 
 
 
 
 
 
Recorded investment
 
 
 
 
 
 
 
 
 
 
 
 
Commercial
 
$
—

 
$
4,474

 
$
4,474

 
$
—

 
$
3,934

 
$
3,934

Commercial real estate
 
 
 
 
 
 
 
 
 
 
 
 
Owner-occupied
 
—

 
20,346

 
20,346

 
—

 
16,133

 
16,133

Non-owner occupied
 
1,186

 
25,053

 
26,239

 
1,162

 
23,431

 
24,593

Construction and development
 
 
 
 
 
 
 
 
 
 
 
 
Land and land development
 
—

 
4,865

 
4,865

 
—

 
5,161

 
5,161

Construction
 
—

 
—

 
—

 
—

 
—

 
—

Residential real estate
 
 
 
 
 
 
 
 
 
 
 
 
Non-jumbo
 
1,319

 
99,876

 
101,195

 
1,374

 
77,894

 
79,268

Jumbo
 
963

 
3,188

 
4,151

 
975

 
2,577

 
3,552

Home equity
 
—

 
2,497

 
2,497

 
—

 
2,805

 
2,805

Consumer
 
—

 
7,445

 
7,445

 
—

 
4,630

 
4,630

Other
 
—

 
116

 
116

 
—

 
122

 
122

Total recorded investment
 
$
3,468

 
$
167,860

 
$
171,328

 
$
3,511

 
$
136,687

 
$
140,198
Summary of Change in Accretable Yield PCI Loans
The following table presents a summary of the change in the accretable yield of the purchased credit impaired ("PCI") loan portfolio for the three months ended March 31, 2019 and 2018:
 
 
For the Three Months Ended March 31,
Dollars in thousands
 
2019
 
2018
Accretable yield
 
$
632

 
$
745

Accretion
 
(8
)
 
(37
)
Reclassification of nonaccretable difference due to improvement
    in expected cash flows
 
—

 
—

Other changes, net
 
(1
)
 
—

Accretable yield, March 31
 
$
623

 
$
708
Schedule of Contractual Aging of Recorded Investment In Past Due Loans By Class
The following table presents the contractual aging of the recorded investment in past due loans by class as of March 31, 2019 and December 31, 2018.
 
At March 31, 2019
 
Past Due
 
 
 
> 90 days and Accruing
Dollars in thousands
30-59 days
 
60-89 days
 
> 90 days
 
Total
 
Current
 
Commercial
$
181

 
$
171

 
$
346

 
$
698

 
$
188,550

 
$
—

Commercial real estate
 

 
 

 
 

 
 

 
 

 
 

Owner-occupied
1,593

 
2,259

 
607

 
4,459

 
267,629

 
—

Non-owner occupied
276

 
—

 
1,573

 
1,849

 
568,543

 
—

Construction and development
 

 
 

 
 

 
 

 
 

 
 

Land and land development
12

 
167

 
—

 
179

 
64,013

 
—

Construction
—

 
—

 
—

 
—

 
36,040

 
—

Residential mortgage
 

 
 

 
 

 
 

 
 

 
 

Non-jumbo
3,524

 
404

 
2,772

 
6,700

 
352,407

 
—

Jumbo
—

 
—

 
—

 
—

 
69,313

 
—

Home equity
122

 
24

 
243

 
389

 
79,981

 
68

Mortgage warehouse lines
—

 
—

 
—

 
—

 
49,355

 
—

Consumer
406

 
55

 
160

 
621

 
35,425

 
37

Other
41

 
—

 
130

 
171

 
11,874

 
—

Total
$
6,155

 
$
3,080

 
$
5,831

 
$
15,066

 
$
1,723,130

 
$
105

 
 
At December 31, 2018
 
Past Due
 
 
 
> 90 days and Accruing
Dollars in thousands
30-59 days
 
60-89 days
 
> 90 days
 
Total
 
Current
 
Commercial
$
254

 
$
51

 
$
483

 
$
788

 
$
193,527

 
$
—

Commercial real estate
 

 
 

 
 

 
 

 
 

 
 

Owner-occupied
—

 
—

 
612

 
612

 
265,750

 
—

Non-owner occupied
156

 
255

 
1,756

 
2,167

 
562,659

 
—

Construction and development
 
 
 

 
 

 
 

 
 

 
 

Land and land development
190

 
4

 
3,174

 
3,368

 
65,465

 
—

Construction
—

 
—

 
—

 
—

 
24,731

 
—

Residential mortgage
 

 
 

 
 

 
 

 
 

 
 

Non-jumbo
4,120

 
2,235

 
3,753

 
10,108

 
326,869

 
—

Jumbo
—

 
—

 
675

 
675

 
72,924

 
—

Home equity
754

 
261

 
181

 
1,196

 
79,714

 
—

Mortgage warehouse lines
—

 
—

 
—

 
—

 
39,140

 
—

Consumer
502

 
121

 
125

 
748

 
31,712

 
36

Other
31

 
—

 
—

 
31

 
12,868

 
—

Total
$
6,007

 
$
2,927

 
$
10,759

 
$
19,693

 
$
1,675,359

 
$
36
Schedule of Financing Receivables, Non Accrual Status
The following table presents the nonaccrual loans included in the net balance of loans at March 31, 2019 and December 31, 2018.
 
 
March 31,
 
December 31,
Dollars in thousands
 
2019
 
2018
Commercial
 
$
729

 
$
935

Commercial real estate
 
 

 
 

Owner-occupied
 
1,096

 
1,028

Non-owner occupied
 
1,885

 
2,210

Construction and development
 
 

 
 

Land & land development
 
24

 
3,198

Construction
 
—

 
—

Residential mortgage
 
 

 
 

Non-jumbo
 
4,937

 
6,532

Jumbo
 
652

 
675

Home equity
 
270

 
299

Mortgage warehouse lines
 
—

 
—

Consumer
 
146

 
112

Other
 
130

 
—

Total
 
$
9,869

 
$
14,989
Impaired Financing Receivables
The following tables present loans individually evaluated for impairment at March 31, 2019 and December 31, 2018.
 
March 31, 2019
Dollars in thousands
Recorded
Investment
 
Unpaid
Principal Balance
 
Related
Allowance
 
Average
Impaired
Balance
 
Interest Income
Recognized
while impaired
 
 
 
 
 
 
 
 
 
 
Without a related allowance
 
 
 
 
 
 
 
 
 
Commercial
$
5,371

 
$
5,371

 
$
—

 
$
5,371

 
$
345

Commercial real estate
 

 
 

 
 

 
 

 
 

Owner-occupied
8,896

 
8,902

 
—

 
8,774

 
376

Non-owner occupied
10,083

 
10,090

 
—

 
9,919

 
505

Construction and development
 

 
 

 
 

 
 

 
 

Land & land development
1,583

 
1,583

 
—

 
1,583

 
92

Construction
—

 
—

 
—

 
—

 
—

Residential real estate
 

 
 

 
 

 
 

 
 

Non-jumbo
3,396

 
3,402

 
—

 
3,349

 
166

Jumbo
4,066

 
4,065

 
—

 
4,066

 
191

Home equity
523

 
523

 
—

 
523

 
31

Mortgage warehouse lines
—

 
—

 
—

 
—

 
—

Consumer
22

 
22

 
—

 
12

 
1

Total without a related allowance
$
33,940

 
$
33,958

 
$
—

 
$
33,597

 
$
1,707

 
 
 
 
 
 
 
 
 
 
With a related allowance
 

 
 

 
 

 
 

 
 

Commercial
$
80

 
$
80

 
$
22

 
$
80

 
$
—

Commercial real estate
 

 
 

 
 

 
 

 
 

Owner-occupied
2,933

 
2,932

 
447

 
2,933

 
114

Non-owner occupied
—

 
—

 
—

 
—

 
—

Construction and development
 

 
 

 
 

 
 

 
 

Land & land development
1,046

 
1,046

 
288

 
1,046

 
58

Construction
—

 
—

 
—

 
—

 
—

Residential real estate
 
 
 
 
 
 
 
 
 
Non-jumbo
2,854

 
2,853

 
615

 
2,785

 
101

Jumbo
817

 
817

 
104

 
817

 
47

Home equity
—

 
—

 
—

 
—

 
—

Mortgage warehouse lines
—

 
—

 
—

 
—

 
—

Consumer
—

 
—

 
—

 
—

 
—

Total with a related allowance
$
7,730

 
$
7,728

 
$
1,476

 
$
7,661

 
$
320

 
 
 
 
 
 
 
 
 
 
Total
 

 
 

 
 

 
 

 
 

Commercial
$
29,992

 
$
30,004

 
$
757

 
$
29,706

 
$
1,490

Residential real estate
11,656

 
11,660

 
719

 
11,540

 
536

Consumer
22

 
22

 
—

 
12

 
1

Total
$
41,670

 
$
41,686

 
$
1,476

 
$
41,258

 
$
2,027


The table above does not include PCI loans.




 
December 31, 2018
Dollars in thousands
Recorded
Investment
 
Unpaid
Principal Balance
 
Related
Allowance
 
Average
Impaired
Balance
 
Interest Income
Recognized
while impaired
 
 
 
 
 
 
 
 
 
 
Without a related allowance
 
 
 
 
 
 
 
 
 
Commercial
$
1,019

 
$
1,253

 
$
—

 
$
321

 
$
16

Commercial real estate
 

 
 

 
 

 
 

 
 

Owner-occupied
8,600

 
8,605

 
—

 
7,730

 
318

Non-owner occupied
9,666

 
9,673

 
—

 
9,753

 
493

Construction and development
 
 
 

 
 

 
 

 
 

Land & land development
4,767

 
4,767

 
—

 
4,947

 
102

Construction
—

 
—

 
—

 
—

 
—

Residential real estate
 

 
 

 
 

 
 

 
 

Non-jumbo
3,279

 
3,284

 
—

 
3,401

 
180

Jumbo
4,132

 
4,130

 
—

 
3,517

 
166

Home equity
523

 
523

 
—

 
523

 
30

Mortgage warehouse lines
—

 
—

 
—

 
—

 
—

Consumer
9

 
10

 
—

 
13

 
1

Total without a related allowance
$
31,995

 
$
32,245

 
$
—

 
$
30,205

 
$
1,306

 
 
 
 
 
 
 
 
 
 
With a related allowance
 

 
 

 
 

 
 

 
 

Commercial
$
3,343

 
$
3,342

 
$
682

 
$
705

 
$
39

Commercial real estate
 

 
 

 
 

 
 

 
 

Owner-occupied
2,969

 
2,969

 
462

 
2,397

 
117

Non-owner occupied
189

 
191

 
9

 
226

 
16

Construction and development
 
 
 

 
 

 
 

 
 

Land & land development
1,057

 
1,057

 
298

 
1,073

 
56

Construction
—

 
—

 
—

 
—

 
—

Residential real estate
 

 
 

 
 

 
 

 
 

Non-jumbo
2,982

 
2,981

 
585

 
2,539

 
98

Jumbo
821

 
822

 
106

 
827

 
48

Home equity
—

 
—

 
—

 
—

 
—

Mortgage warehouse lines
—

 
—

 
—

 
—

 
—

Consumer
—

 
—

 
—

 
—

 
—

Total with a related allowance
$
11,361

 
$
11,362

 
$
2,142

 
$
7,767

 
$
374

 
 
 
 
 
 
 
 
 
 
Total
 

 
 

 
 

 
 

 
 

Commercial
$
31,610

 
$
31,857

 
$
1,451

 
$
27,152

 
$
1,157

Residential real estate
11,737

 
11,740

 
691

 
10,807

 
522

Consumer
9

 
10

 
—

 
13

 
1

Total
$
43,356

 
$
43,607

 
$
2,142

 
$
37,972

 
$
1,680



The table above does not include PCI loans.
Troubled Debt Restructurings on Financing Receivables [Table Text Block]
The following tables present by class the TDRs that were restructured during the three months ended March 31, 2019 and March 31, 2018 . Generally, the modifications were extensions of term, modifying the payment terms from principal and interest to interest only for an extended period, or reduction in interest rate.  All TDRs are evaluated individually for allowance for loan loss purposes.

 
For the Three Months Ended 
 March 31, 2019
 
For the Three Months Ended 
 March 31, 2018
Dollars in thousands
Number of
Modifications
 
Pre-modification
Recorded
Investment
 
Post-modification
Recorded
Investment
 
Number of
Modifications
 
Pre-modification
Recorded
Investment
 
Post-modification
Recorded
Investment
Commercial real estate
 
 
 
 
 
 
 
 
 
 
 
Owner-occupied
1

 
$
325

 
$
325

 
—

 
$
—

 
$
—

Non-owner occupied
4

 
324

 
324

 
—

 
—

 
—

Residential real estate
 
 
 
 
 
 
 
 
 
 
 
Non-jumbo
7

 
410

 
410

 
1

 
63

 
63

Consumer
1

 
16

 
16

 
—

 
—

 
—

Total
13

 
$
1,075

 
$
1,075

 
1

 
$
63

 
$
63
Schedule of Defaults During Stated Period of Trouble Debt Restructurings
The following tables present defaults during the stated period of TDRs that were restructured during the past twelve months. For purposes of these tables, a default is considered as either the loan was past due 30 days or more at any time during the period, or the loan was fully or partially charged off during the period.

 
For the Three Months Ended 
 March 31, 2019
 
For the Three Months Ended 
 March 31, 2018
Dollars in thousands
Number
of
Defaults
 
Recorded
Investment
at Default Date
 
Number
of
Defaults
 
Recorded
Investment
at Default Date
Commercial
2

 
$
157

 
—

 
$
—

Commercial real estate


 


 
 
 
 
Non-owner occupied
1

 
126

 
1

 
341

Construction and development

 


 
 
 
 
Land & land development
—

 
—

 
1

 
438

Residential real estate


 


 
 
 
 
Non-jumbo
7

 
760

 
1

 
64

Total
10

 
$
1,043

 
3

 
$
843
Schedule of the Activity Regarding TDRs by Loan Type
The following tables detail the activity regarding TDRs by loan type, net of fees, for the three months ended March 31, 2019, and the related allowance on TDRs.
For the Three Months Ended March 31, 2019
 
Construction & Land Development
 
 
 
Commercial Real Estate
 
Residential Real Estate
 
 
 
 
 
 
 
 
Dollars in thousands
Land &
Land
Develop-
ment
 
Construc-
tion
 
Commer-
cial
 
Owner
Occupied
 
Non-
Owner
Occupied
 
Non-
jumbo
 
Jumbo
 
Home
Equity
 
Mortgage Warehouse Lines
 
Con-
sumer
 
Other
 
Total
Troubled debt restructurings
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance January 1, 2019
$
2,654

 
$
—

 
$
273

 
$
9,365

 
$
5,404

 
$
4,490

 
$
4,278

 
$
523

 
$
—

 
$
10

 
$
—

 
$
26,997

Additions
—

 
—

 
—

 
325

 
324

 
410

 
—

 
—

 
—

 
16

 
—

 
1,075

Charge-offs
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Net (paydowns) advances
(25
)
 
—

 
(8
)
 
(61
)
 
(52
)
 
(31
)
 
(47
)
 
—

 
—

 
(3
)
 
—

 
(227
)
Transfer into foreclosed properties
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Refinance out of TDR status
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Balance, March 31, 2019
$
2,629

 
$
—

 
$
265

 
$
9,629

 
$
5,676

 
$
4,869

 
$
4,231

 
$
523

 
$
—

 
$
23

 
$
—

 
$
27,845

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance related to troubled debt restructurings
$
288

 
$
—

 
$
7

 
$
259

 
$
—

 
$
227

 
$
104

 
$
—

 
$
—

 
$
—

 
$
—

 
$
885
Financing Receivable Credit Quality Indicators
The following table presents the recorded investment in construction and development, commercial, and commercial real estate loans which are generally evaluated based upon our internal risk ratings.
Loan Risk Profile by Internal Risk Rating
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction and Development
 
 
 
 
 
Commercial Real Estate
 
 
 
 
Land and Land Development
 
Construction
 
Commercial
 
Owner Occupied
 
Non-Owner Occupied
 
Mortgage Warehouse Lines
Dollars in thousands
3/31/2019
 
12/31/2018
 
3/31/2019
 
12/31/2018
 
3/31/2019
 
12/31/2018
 
3/31/2019
 
12/31/2018
 
3/31/2019
 
12/31/2018
 
3/31/2019
12/31/2018
Pass
$
62,302

 
$
63,743

 
$
35,898

 
$
24,589

 
$
180,918

 
$
182,651

 
$
264,626

 
$
259,360

 
$
562,353

 
$
556,609

 
$
49,355

$
39,140

OLEM (Special Mention)
455

 
472

 
142

 
142

 
2,677

 
6,748

 
2,057

 
1,864

 
1,683

 
1,554

 
—

—

Substandard
1,435

 
4,618

 
—

 
—

 
5,653

 
4,916

 
5,405

 
5,138

 
6,356

 
6,663

 
—

—

Doubtful
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

—

Loss
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

—

Total
$
64,192

 
$
68,833

 
$
36,040

 
$
24,731

 
$
189,248

 
$
194,315

 
$
272,088

 
$
266,362

 
$
570,392

 
$
564,826

 
$
49,355

$
39,140
Schedule of Recorded Investment Evaluated Based on Aging Status of Loans and Payment Activity
The following table presents the recorded investment and payment activity in consumer, residential real estate, and home equity loans, which are generally evaluated based on the aging status of the loans.
 
Performing
 
Nonperforming
Dollars in thousands
3/31/2019
 
12/31/2018
 
3/31/2019
 
12/31/2018
Residential real estate
 
 
 
 
 
 
 
Non-jumbo
$
354,170

 
$
330,445

 
$
4,937

 
$
6,532

Jumbo
68,661

 
72,924

 
652

 
675

Home Equity
80,032

 
80,611

 
338

 
299

Consumer
35,863

 
32,312

 
183

 
148

Other
11,915

 
12,899

 
130

 
—

Total
$
550,641

 
$
529,191

 
$
6,240

 
$
7,654