XML 28 R13.htm IDEA: XBRL DOCUMENT v3.22.4
Loans and Allowance for Loan Losses
12 Months Ended
Dec. 31, 2022
Receivables [Abstract]  
Loans and Allowance for Loan Losses

Note 4. Loans and Allowance for Loan Losses

 

The following table presents loans held for investment, including Paycheck Protection Program ("PPP") loans, as of the dates stated.

 

 

 

December 31,

 

(Dollars in thousands)

 

2022

 

 

2021

 

Commercial and industrial

 

$

590,049

 

 

$

320,827

 

Paycheck Protection Program

 

 

11,967

 

 

 

30,742

 

Real estate – construction, commercial

 

 

183,301

 

 

 

146,523

 

Real estate – construction, residential

 

 

76,599

 

 

 

58,857

 

Real estate – mortgage, commercial

 

 

864,989

 

 

 

701,503

 

Real estate – mortgage, residential

 

 

631,772

 

 

 

493,982

 

Real estate – mortgage, farmland

 

 

6,599

 

 

 

6,173

 

Consumer

 

 

47,423

 

 

 

49,877

 

Gross loans

 

 

2,412,699

 

 

 

1,808,484

 

Less: deferred loan fees, net of costs

 

 

(1,640

)

 

 

(906

)

Total

 

$

2,411,059

 

 

$

1,807,578

 

 

The Company has pledged certain commercial and residential mortgages as collateral for borrowings with the FHLB. Loans totaling $436.0 million and $478.3 million were pledged as of December 31, 2022 and 2021, respectively. Additionally, PPP loans were pledged as collateral for Paycheck Protection Program Liquidity Facility ("PPPLF") advances in the amount of $51 thousand and $17.9 million as of December 31, 2022 and 2021, respectively.

 

As a result of the Bay Banks Merger and the 2019 acquisition of Virginia Community Bankshares, Inc., the acquired loan portfolios were initially measured at fair value as of the respective acquisition dates and subsequently accounted for as either purchased performing loans or PCI loans. The following table presents the outstanding principal balance and related recorded investment of these acquired loans included in the consolidated balance sheets as of the dates stated.

 

 

 

December 31,

 

(Dollars in thousands)

 

2022

 

 

2021

 

PCI loans

 

 

 

 

 

 

Outstanding principal balance

 

$

64,911

 

 

$

97,418

 

Recorded investment

 

 

58,748

 

 

 

84,029

 

Purchased performing loans

 

 

 

 

 

 

Outstanding principal balance

 

 

513,461

 

 

 

706,147

 

Recorded investment

 

 

511,752

 

 

 

703,333

 

Total acquired loans

 

 

 

 

 

 

Outstanding principal balance

 

 

578,372

 

 

 

803,565

 

Recorded investment

 

 

570,500

 

 

 

787,362

 

 

The following table presents the changes in the accretable yield for PCI loans for the periods stated.

 

 

 

December 31,

 

(Dollars in thousands)

 

2022

 

 

2021

 

Balance, beginning of period

 

$

16,849

 

 

$

123

 

Additions

 

 

 

 

 

10,030

 

Accretion

 

 

(9,410

)

 

 

(5,381

)

Reclassification of nonaccretable difference due to improvement in expected cash flows

 

 

3,804

 

 

 

1,400

 

Other changes, net

 

 

(71

)

 

 

10,677

 

Balance, end of period

 

$

11,172

 

 

$

16,849

 

 

The following tables present the aging of the recorded investment of loans held for investment as of the dates stated.

 

 

 

December 31, 2022

 

(Dollars in thousands)

 

30-59
Days
Past Due

 

 

60-89
Days
Past Due

 

 

Greater than
90 Days Past
Due &
Accruing

 

 

Nonaccrual

 

 

Total Past
Due &
Nonaccrual

 

 

PCI Loans

 

 

Current
Loans

 

 

Total
Loans

 

Commercial and industrial

 

$

488

 

 

$

279

 

 

$

 

 

$

2,314

 

 

$

3,081

 

 

$

1,481

 

 

$

585,487

 

 

$

590,049

 

Paycheck Protection Program

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

11,967

 

 

 

11,967

 

Real estate – construction, commercial

 

 

1,136

 

 

 

19

 

 

 

 

 

 

714

 

 

 

1,869

 

 

 

 

 

 

181,432

 

 

 

183,301

 

Real estate – construction, residential

 

 

1,416

 

 

 

1,204

 

 

 

 

 

 

 

 

 

2,620

 

 

 

7

 

 

 

73,972

 

 

 

76,599

 

Real estate – mortgage, commercial

 

 

6,199

 

 

 

297

 

 

 

6,234

 

 

 

1,658

 

 

 

14,388

 

 

 

51,223

 

 

 

799,378

 

 

 

864,989

 

Real estate – mortgage, residential

 

 

4,544

 

 

 

231

 

 

 

1,998

 

 

 

5,143

 

 

 

11,916

 

 

 

5,678

 

 

 

614,178

 

 

 

631,772

 

Real estate – mortgage, farmland

 

 

 

 

 

75

 

 

 

 

 

 

 

 

 

75

 

 

 

 

 

 

6,524

 

 

 

6,599

 

Consumer

 

 

880

 

 

 

200

 

 

 

28

 

 

 

495

 

 

 

1,603

 

 

 

359

 

 

 

45,461

 

 

 

47,423

 

Less: deferred loan fees, net of costs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1,640

)

 

 

(1,640

)

Total Loans

 

$

14,663

 

 

$

2,305

 

 

$

8,260

 

 

$

10,324

 

 

$

35,552

 

 

$

58,748

 

 

$

2,316,759

 

 

$

2,411,059

 

 

 

 

December 31, 2021

 

(Dollars in thousands)

 

30-59
Days
Past Due

 

 

60-89
Days
Past Due

 

 

Greater than
90 Days Past
Due &
Accruing

 

 

Nonaccrual

 

 

Total Past
Due &
Nonaccrual

 

 

PCI Loans

 

 

Current
Loans

 

 

Total
Loans

 

Commercial and industrial

 

$

2,338

 

 

$

 

 

$

30

 

 

$

6,066

 

 

$

8,434

 

 

$

8,903

 

 

$

303,490

 

 

$

320,827

 

Paycheck Protection Program

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

30,742

 

 

 

30,742

 

Real estate – construction, commercial

 

 

271

 

 

 

 

 

 

 

 

 

88

 

 

 

359

 

 

 

14,754

 

 

 

131,410

 

 

 

146,523

 

Real estate – construction, residential

 

 

651

 

 

 

98

 

 

 

279

 

 

 

413

 

 

 

1,441

 

 

 

 

 

 

57,416

 

 

 

58,857

 

Real estate – mortgage, commercial

 

 

53

 

 

 

 

 

 

 

 

 

3,024

 

 

 

3,077

 

 

 

51,872

 

 

 

646,554

 

 

 

701,503

 

Real estate – mortgage, residential

 

 

13,950

 

 

 

1,587

 

 

 

359

 

 

 

5,190

 

 

 

21,086

 

 

 

7,621

 

 

 

465,275

 

 

 

493,982

 

Real estate – mortgage, farmland

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,173

 

 

 

6,173

 

Consumer

 

 

902

 

 

 

583

 

 

 

249

 

 

 

396

 

 

 

2,130

 

 

 

879

 

 

 

46,868

 

 

 

49,877

 

Less: deferred loan fees, net of costs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(906

)

 

 

(906

)

Total Loans

 

$

18,165

 

 

$

2,268

 

 

$

917

 

 

$

15,177

 

 

$

36,527

 

 

$

84,029

 

 

$

1,687,022

 

 

$

1,807,578

 

 

 

The following tables present the aging of the recorded investment of PCI loans as of the dates stated.

 

 

 

December 31, 2022

 

(Dollars in thousands)

 

30-89
Days
Past Due

 

 

Greater than
90 Days Past
Due &
Accruing

 

 

Current
Loans

 

 

Total
Loans

 

Commercial and industrial

 

$

 

 

$

 

 

$

1,481

 

 

$

1,481

 

Real estate – construction, commercial

 

 

 

 

 

 

 

 

7

 

 

 

7

 

Real estate – mortgage, commercial

 

 

 

 

 

 

 

 

51,223

 

 

 

51,223

 

Real estate – mortgage, residential

 

 

354

 

 

 

 

 

 

5,324

 

 

 

5,678

 

Consumer

 

 

 

 

 

 

 

 

359

 

 

 

359

 

Total PCI Loans

 

$

354

 

 

$

 

 

$

58,394

 

 

$

58,748

 

 

 

 

December 31, 2021

 

(Dollars in thousands)

 

30-89
Days
Past Due

 

 

Greater than
90 Days Past
Due &
Accruing

 

 

Current
Loans

 

 

Total
Loans

 

Commercial and industrial

 

$

 

 

$

 

 

$

8,903

 

 

$

8,903

 

Real estate – construction, commercial

 

 

 

 

 

 

 

 

14,754

 

 

 

14,754

 

Real estate – mortgage, commercial

 

 

 

 

 

 

 

 

51,872

 

 

 

51,872

 

Real estate – mortgage, residential

 

 

147

 

 

 

 

 

 

7,474

 

 

 

7,621

 

Consumer

 

 

 

 

 

4

 

 

 

875

 

 

 

879

 

Total PCI Loans

 

$

147

 

 

$

4

 

 

$

83,878

 

 

$

84,029

 

 

The following tables present the allowance for loan losses and the amount of loans evaluated for impairment, individually and collectively, by loan type as of the dates stated.

 

 

 

December 31, 2022

 

(Dollars in thousands)

 

Individually
Evaluated for
Impairment

 

 

Collectively
 Evaluated for
 Impairment

 

 

Total Loan Balances

 

 

Related Allowance for Loan Losses

 

PCI loans:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

 

 

$

1,481

 

 

$

1,481

 

 

$

 

Real estate – construction, commercial

 

 

 

 

 

7

 

 

 

7

 

 

 

 

Real estate – mortgage, commercial

 

 

 

 

 

51,223

 

 

 

51,223

 

 

 

3

 

Real estate – mortgage, residential

 

 

 

 

 

5,678

 

 

 

5,678

 

 

 

 

Consumer

 

 

 

 

 

359

 

 

 

359

 

 

 

 

   Total PCI loans

 

 

 

 

 

58,748

 

 

 

58,748

 

 

 

3

 

Originated and purchased performing loans:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

39,247

 

 

 

549,321

 

 

 

588,568

 

 

 

15,272

 

Real estate – construction, commercial

 

 

521

 

 

 

182,773

 

 

 

183,294

 

 

 

1,637

 

Real estate – construction, residential

 

 

 

 

 

76,599

 

 

 

76,599

 

 

 

628

 

Real estate – mortgage, commercial

 

 

4,567

 

 

 

809,199

 

 

 

813,766

 

 

 

2,353

 

Real estate – mortgage, residential

 

 

835

 

 

 

625,259

 

 

 

626,094

 

 

 

1,760

 

Real estate – mortgage, farmland

 

 

 

 

 

6,599

 

 

 

6,599

 

 

 

4

 

Consumer

 

 

 

 

 

47,064

 

 

 

47,064

 

 

 

1,282

 

   Total originated and purchased performing loans

 

 

45,170

 

 

 

2,296,814

 

 

 

2,341,984

 

 

 

22,936

 

Gross loans

 

 

45,170

 

 

 

2,355,562

 

 

 

2,400,732

 

 

 

22,939

 

Less: deferred loan fees, net of costs

 

 

 

 

 

 

 

 

(1,640

)

 

 

 

Total

 

$

45,170

 

 

$

2,355,562

 

 

$

2,399,092

 

 

$

22,939

 

 

 

 

 

December 31, 2021

 

(Dollars in thousands)

 

Individually
Evaluated for
Impairment

 

 

Collectively
 Evaluated for
 Impairment

 

 

Total Loan Balances

 

 

Related Allowance for Loan Losses

 

PCI loans:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

 

 

$

8,903

 

 

$

8,903

 

 

$

 

Real estate – construction, commercial

 

 

 

 

 

14,754

 

 

 

14,754

 

 

 

 

Real estate – mortgage, commercial

 

 

 

 

 

51,872

 

 

 

51,872

 

 

 

 

Real estate – mortgage, residential

 

 

 

 

 

7,621

 

 

 

7,621

 

 

 

117

 

Consumer

 

 

 

 

 

879

 

 

 

879

 

 

 

 

   Total PCI loans

 

 

 

 

 

84,029

 

 

 

84,029

 

 

 

117

 

Originated and purchased performing loans:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

4,612

 

 

 

307,312

 

 

 

311,924

 

 

 

7,133

 

Real estate – construction, commercial

 

 

527

 

 

 

131,242

 

 

 

131,769

 

 

 

953

 

Real estate – construction, residential

 

 

 

 

 

58,857

 

 

 

58,857

 

 

 

395

 

Real estate – mortgage, commercial

 

 

3,194

 

 

 

646,437

 

 

 

649,631

 

 

 

1,403

 

Real estate – mortgage, residential

 

 

1,400

 

 

 

484,961

 

 

 

486,361

 

 

 

1,184

 

Real estate – mortgage, farmland

 

 

 

 

 

6,173

 

 

 

6,173

 

 

 

23

 

Consumer

 

 

 

 

 

48,998

 

 

 

48,998

 

 

 

913

 

   Total originated and purchased performing loans

 

 

9,733

 

 

 

1,683,980

 

 

 

1,693,713

 

 

 

12,004

 

Gross loans

 

 

9,733

 

 

 

1,768,009

 

 

 

1,777,742

 

 

 

12,121

 

Less: deferred loan fees, net of costs

 

 

 

 

 

(570

)

 

 

(570

)

 

 

 

Total

 

$

9,733

 

 

$

1,767,439

 

 

$

1,777,172

 

 

$

12,121

 

 

The tables above exclude PPP loans of $12.0 million and $30.7 million as of December 31, 2022 and 2021, respectively. PPP loans are fully guaranteed by the U.S. government; therefore, the Company recorded no allowance for loan losses for these loans. In future periods, the Company may be required to establish an ALL for these loans, which would result in a provision for loan losses charged to earnings.

 

The following tables present information related to impaired loans by loan type as of the dates presented.

 

 

 

December 31, 2022

 

 

December 31, 2021

 

(Dollars in thousands)

 

Recorded
Investment

 

 

Unpaid
Principal
Balance

 

 

Related
Allowance

 

 

Recorded
Investment

 

 

Unpaid
Principal
Balance

 

 

Related
Allowance

 

With no specific allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

1,309

 

 

$

1,289

 

 

$

 

 

$

 

 

$

 

 

$

 

Real estate – construction, commercial

 

 

521

 

 

 

521

 

 

 

 

 

 

527

 

 

 

527

 

 

 

 

Real estate – mortgage, commercial

 

 

4,438

 

 

 

4,404

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate – mortgage, residential

 

 

835

 

 

 

834

 

 

 

 

 

 

 

 

 

 

 

 

 

With an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

37,938

 

 

$

37,911

 

 

$

3,178

 

 

$

4,612

 

 

$

4,612

 

 

$

836

 

Real estate – mortgage, commercial

 

 

129

 

 

 

126

 

 

 

1

 

 

 

3,194

 

 

 

3,849

 

 

 

1

 

Real estate – mortgage, residential

 

 

 

 

 

 

 

 

 

 

 

1,400

 

 

 

1,400

 

 

 

42

 

Total

 

$

45,170

 

 

$

45,085

 

 

$

3,179

 

 

$

9,733

 

 

$

10,388

 

 

$

879

 

 

The $35.4 million increase in impaired loans from December 31, 2021 to December 31, 2022 was primarily attributable to one loan to a commercial and industrial borrower totaling $37.3 million as of December 31, 2022. This loan was risk graded as substandard as of the same date, and as a result, was deemed impaired per Company

policy and individually evaluated for impairment. This impairment analysis resulted in a $2.9 million allowance for loan loss as of December 31, 2022, which is included in the table above.

 

Impaired loans also include TDRs. As of December 31, 2022, there were 11 TDRs totaling $1.1 million as compared to eight TDRs totaling $688 thousand as of December 31, 2021.

 

The following table presents an analysis of the change in the allowance for loans losses by loan type as of the dates and for the periods stated.

 

 

 

December 31,

 

(Dollars in thousands)

 

2022

 

 

2021

 

 

2020

 

Allowance for loan losses, beginning of period

 

$

12,121

 

 

$

13,827

 

 

$

4,572

 

Charge-offs

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

(4,779

)

 

 

(1,098

)

 

 

(6

)

Real estate – construction

 

 

(162

)

 

 

(195

)

 

 

 

Real estate – mortgage

 

 

(1,824

)

 

 

(125

)

 

 

(505

)

Consumer

 

 

(1,686

)

 

 

(1,123

)

 

 

(994

)

Total charge-offs

 

 

(8,451

)

 

 

(2,541

)

 

 

(1,505

)

Recoveries

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

442

 

 

 

196

 

 

 

41

 

Real estate – construction

 

 

40

 

 

 

 

 

 

 

Real estate – mortgage

 

 

409

 

 

 

98

 

 

 

8

 

Consumer

 

 

492

 

 

 

424

 

 

 

261

 

Total recoveries

 

 

1,383

 

 

 

718

 

 

 

310

 

Net charge-offs

 

 

(7,068

)

 

 

(1,823

)

 

 

(1,195

)

Provision for loan losses

 

 

17,886

 

 

 

117

 

 

 

10,450

 

Allowance for loan losses, end of period

 

$

22,939

 

 

$

12,121

 

 

$

13,827

 

 

 

The Company categorizes loans into risk categories based on relevant information about the expected ability of borrowers to service their debt, such as current financial information, historical payment experience, collateral adequacy, credit documentation, and current economic trends, among other factors. The Company uses the following definitions for loan risk ratings and periodically evaluates the appropriateness of these ratings across its loan portfolio:

 

Risk Grade 1 – Strong: This grade is reserved for loans to the strongest of borrowers. These loans are to individuals or corporations that are well known to the Bank and are always secured with an almost guaranteed source of repayment such as a lien on a bank deposit account. Character, credit history, and ability of individuals or company principals are excellent and unquestioned. Source of income and industry of borrower appears stable. High liquidity, minimum risk, good ratios, and low handling cost are present.

 

Risk Grade 2 – Minimal: This grade is reserved for loans to borrowers who are deemed exceptionally strong. These loans are within guidelines and where the borrowers have documented significant overall financial strength. These loans have excellent sources of repayment, significant balance sheet liquidity, no significant identifiable risk of collection, and conform in all respects to policy, guidelines, underwriting standards, and federal and state regulations (no exceptions of any kind).

 

Risk Grade 3 – Acceptable: This grade is reserved for loans to borrowers who are deemed strong. These loans have adequate sources of repayment, with little identifiable risk of collection. Generally, loans assigned this risk grade will demonstrate the following characteristics: (1) conformity in all respects with policy, guidelines, underwriting standards, and federal and state regulations (no exceptions of any kind), (2) documented historical cash flow that meets or exceeds required minimum guidelines, or that can be supplemented with verifiable cash flow from other sources, and (3) adequate secondary sources to liquidate the debt.

 

Risk Grade 4 – Satisfactory: This grade is given to satisfactory loans containing more risk than Risk Grade 3 loans. These loans have adequate sources of repayment, with little identifiable risk of collection. Loans assigned this risk grade will demonstrate the following characteristics: (1) general conformity to the Bank's underwriting requirements, with limited exceptions to policy, product, or underwriting guidelines. All exceptions noted have documented mitigating factors that offset any additional risk associated with the exceptions noted, (2) documented

historical cash flow that meets or exceeds required minimum guidelines, or that can be supplemented with verifiable cash flow from other sources, and (3) adequate secondary sources to liquidate the debt, including combinations of liquidity, liquidation of collateral, or liquidation value to the net worth of the borrower or guarantor.

 

Risk Grade 5 – Watch: This grade is for satisfactory loans containing acceptable but elevated risk. These loans are characterized by borrowers who have a marginal cash flow, marginal profitability, or have experienced an unprofitable year and declining financial condition. The borrower's management may be deemed to be satisfactory, the collateral securing the loan may create a loan-to-value ratio in excess of 90%, the debt service coverage ratio and global debt service coverage are unstable but mostly positive, and/or guarantor support, if any, is inadequate. Loans classified as Watch warrant additional monitoring by management.

 

Risk Grade 6 – Special Mention: This grade is for loans that have potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the Bank's credit position at some future date. Special Mention loans are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. Special mention credits typically exhibit underwriting guideline tolerances and/or exceptions with no mitigating factors, or emerging weaknesses that may or may not be cured as time passes.

 

Risk Grade 7 – Substandard: A substandard loan is inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as substandard must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt; they are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Loans consistently not meeting the repayment schedule should be downgraded further to substandard. Loans in this category are characterized by deterioration in quality exhibited by any number of well-defined weaknesses requiring corrective action. The weaknesses may include, but are not limited to: (1) high debt to worth ratios, (2) declining or negative earnings trends, (3) declining or inadequate liquidity, (4) improper loan structure, (5) questionable repayment sources, (6) lack of well-defined secondary repayment source, and (7) unfavorable competitive comparisons. Such loans are no longer considered to be adequately protected due to the borrower's declining net worth, lack of earnings capacity, declining collateral margins, and/or unperfected collateral positions. A possibility of loss of a portion of the loan balance cannot be ruled out. The repayment ability of the borrower is marginal or weak and the loan may have exhibited excessive overdue status or extensions and/or renewals.

 

Risk Grade 8 – Doubtful: Loans classified doubtful have all the weaknesses inherent in loans classified substandard, plus the added characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions, and values highly questionable and improbable. However, these loans are not yet rated as loss because certain events may occur which would salvage the Bank's position, which can include, but not limited to (1) an injection of capital, (2) alternative financing, and (3) liquidation of assets or the pledging of additional collateral. Doubtful is a temporary grade where a loss is expected but is presently not quantified with any degree of accuracy. Once the loss position is determined, the amount is charged off against the allowance for loan losses.

 

Risk Grade 9 – Loss: Loans classified loss are considered uncollectable and of such little value that their continuance as assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer charging off the worthless loan, even though partial recovery may be effected in the future. Probable loss portions of doubtful loans are charged off promptly against the allowance for loan losses.

There were no loans classified as doubtful or loss as of December 31, 2022 and December 31, 2021.

 

The following tables present the Company's loan portfolio (PCI and originated and purchased performing) by internal loan grades as of the dates stated. PPP loans are risk graded strong because they are fully guaranteed by the U.S. government.

 

 

 

December 31, 2022

 

(Dollars in thousands)

 

Grade
1
Prime

 

 

Grade
2
Desirable

 

 

Grade
3
Good

 

 

Grade
4
Acceptable

 

 

Grade
5
Pass/Watch

 

 

Grade
6
Special Mention

 

 

Grade
7
Substandard

 

 

Grade
8
Doubtful

 

 

Total

 

PCI loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

 

 

$

 

 

$

 

 

$

1,369

 

 

$

 

 

$

112

 

 

$

 

 

$

 

 

$

1,481

 

Real estate – construction, commercial

 

 

 

 

 

 

 

 

 

 

 

7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

7

 

Real estate – mortgage, commercial

 

 

 

 

 

 

 

 

 

 

 

22,778

 

 

 

26,059

 

 

 

1,700

 

 

 

686

 

 

 

 

 

 

51,223

 

Real estate – mortgage residential

 

 

 

 

 

 

 

 

 

 

 

1,453

 

 

 

1,985

 

 

 

 

 

 

2,240

 

 

 

 

 

 

5,678

 

Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

353

 

 

 

 

 

 

6

 

 

 

 

 

 

359

 

     Total PCI loans

 

 

 

 

 

 

 

 

 

 

 

25,607

 

 

 

28,397

 

 

 

1,812

 

 

 

2,932

 

 

 

 

 

 

58,748

 

Originated and purchased performing loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

318

 

 

 

885

 

 

 

193,144

 

 

 

312,278

 

 

 

38,552

 

 

 

2,834

 

 

 

40,557

 

 

 

 

 

 

588,568

 

Paycheck Protection Program

 

 

11,967

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

11,967

 

Real estate – construction, commercial

 

 

 

 

 

361

 

 

 

14,223

 

 

 

156,027

 

 

 

8,504

 

 

 

3,365

 

 

 

814

 

 

 

 

 

 

183,294

 

Real estate – construction, residential

 

 

 

 

 

 

 

 

3,110

 

 

 

72,327

 

 

 

1,162

 

 

 

 

 

 

 

 

 

 

 

 

76,599

 

Real estate – mortgage, commercial

 

 

 

 

 

2,330

 

 

 

187,648

 

 

 

561,554

 

 

 

54,352

 

 

 

2,048

 

 

 

5,834

 

 

 

 

 

 

813,766

 

Real estate – mortgage residential

 

 

 

 

 

7,311

 

 

 

233,697

 

 

 

365,511

 

 

 

11,858

 

 

 

 

 

 

7,717

 

 

 

 

 

 

626,094

 

Real estate – mortgage, farmland

 

 

549

 

 

 

 

 

 

1,315

 

 

 

4,609

 

 

 

126

 

 

 

 

 

 

 

 

 

 

 

 

6,599

 

Consumer

 

 

197

 

 

 

 

 

 

21,330

 

 

 

24,731

 

 

 

256

 

 

 

 

 

 

550

 

 

 

 

 

 

47,064

 

Total originated and purchased performing loans:

 

 

13,031

 

 

 

10,887

 

 

 

654,467

 

 

 

1,497,037

 

 

 

114,810

 

 

 

8,247

 

 

 

55,472

 

 

 

 

 

 

2,353,951

 

Gross loans

 

$

13,031

 

 

$

10,887

 

 

$

654,467

 

 

$

1,522,644

 

 

$

143,207

 

 

$

10,059

 

 

$

58,404

 

 

$

 

 

$

2,412,699

 

Less: deferred loan fees, net of costs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1,640

)

     Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

2,411,059

 

 

 

 

 

December 31, 2021

 

(Dollars in thousands)

 

Grade
1
Prime

 

 

Grade
2
Desirable

 

 

Grade
3
Good

 

 

Grade
4
Acceptable

 

 

Grade
5
Pass/Watch

 

 

Grade
6
Special Mention

 

 

Grade
7
Substandard

 

 

Grade
8
Doubtful

 

 

Total

 

PCI loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

 

 

$

 

 

$

 

 

$

1,567

 

 

$

2,818

 

 

$

2,748

 

 

$

1,770

 

 

$

 

 

$

8,903

 

Real estate – construction, commercial

 

 

 

 

 

 

 

 

 

 

 

2,423

 

 

 

 

 

 

11,010

 

 

 

1,321

 

 

 

 

 

 

14,754

 

Real estate – mortgage, commercial

 

 

 

 

 

 

 

 

 

 

 

2,642

 

 

 

3,892

 

 

 

33,487

 

 

 

11,851

 

 

 

 

 

 

51,872

 

Real estate – mortgage residential

 

 

 

 

 

 

 

 

 

 

 

142

 

 

 

1,657

 

 

 

2,709

 

 

 

3,113

 

 

 

 

 

 

7,621

 

Consumer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

388

 

 

 

481

 

 

 

10

 

 

 

 

 

 

879

 

     Total PCI loans

 

 

 

 

 

 

 

 

 

 

 

6,774

 

 

 

8,755

 

 

 

50,435

 

 

 

18,065

 

 

 

 

 

 

84,029

 

Originated and purchased performing loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

291

 

 

 

560

 

 

 

156,519

 

 

 

133,738

 

 

 

11,256

 

 

 

3,180

 

 

 

6,380

 

 

 

 

 

 

311,924

 

Paycheck Protection Program

 

 

30,742

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

30,742

 

Real estate – construction, commercial

 

 

 

 

 

412

 

 

 

28,973

 

 

 

91,900

 

 

 

7,995

 

 

 

1,846

 

 

 

643

 

 

 

 

 

 

131,769

 

Real estate – construction, residential

 

 

 

 

 

 

 

 

14,610

 

 

 

40,418

 

 

 

3,416

 

 

 

 

 

 

413

 

 

 

 

 

 

58,857

 

Real estate – mortgage, commercial

 

 

 

 

 

2,382

 

 

 

307,067

 

 

 

283,165

 

 

 

34,750

 

 

 

17,133

 

 

 

5,134

 

 

 

 

 

 

649,631

 

Real estate – mortgage residential

 

 

990

 

 

 

9,218

 

 

 

276,992

 

 

 

180,980

 

 

 

11,107

 

 

 

974

 

 

 

6,100

 

 

 

 

 

 

486,361

 

Real estate – mortgage, farmland

 

 

340

 

 

 

 

 

 

1,067

 

 

 

4,766

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,173

 

Consumer

 

 

262

 

 

 

3

 

 

 

16,920

 

 

 

30,691

 

 

 

542

 

 

 

 

 

 

580

 

 

 

 

 

 

48,998

 

Total originated and purchased performing loans:

 

 

32,625

 

 

 

12,575

 

 

 

802,148

 

 

 

765,658

 

 

 

69,066

 

 

 

23,133

 

 

 

19,250

 

 

 

 

 

 

1,724,455

 

Gross loans

 

$

32,625

 

 

$

12,575

 

 

$

802,148

 

 

$

772,432

 

 

$

77,821

 

 

$

73,568

 

 

$

37,315

 

 

$

 

 

$

1,808,484

 

Less: deferred loan fees, net of costs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(906

)

     Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

1,807,578