Loans (Tables)

6 Months Ended

Jun. 30, 2022

Summary of major classifications of loans


	June 30,		December 31,
(Dollars in thousands)	2022		2021
Real estate – residential mortgage	$	225,527	$	217,016
Real estate – construction ¹		70,261		57,495
Commercial, financial and agricultural ²		737,940		717,730
Equity lines		41,715		41,345
Consumer		7,843		8,280
Consumer finance³		437,065		368,194
		1,520,351		1,410,060
Less allowance for loan losses		(40,519)		(40,157)
Loans, net	$	1,479,832	$	1,369,903

1	Includes the Corporation’s real estate construction lending and consumer real estate lot lending.

2	Includes the Corporation’s commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending (which includes loans originated under the Paycheck Protection Program).

3	Includes the Corporation’s automobile lending and marine and recreational vehicle lending.

Schedule of acquired loans


	June 30, 2022						December 31, 2021
	Acquired Loans -		Acquired Loans -				Acquired Loans -		Acquired Loans -
	Purchased		Purchased		Acquired Loans -		Purchased		Purchased		Acquired Loans -
(Dollars in thousands)	Credit Impaired		Performing		Total		Credit Impaired		Performing		Total
Outstanding principal balance	$	5,656	$	47,151	$	52,807	$	8,350	$	57,862	$	66,212
Carrying amount
Real estate – residential mortgage	$	424	$	9,503	$	9,927	$	817	$	9,997	$	10,814
Real estate – construction		—		—		—		—		1,356		1,356
Commercial, financial and agricultural¹		1,245		30,388		31,633		2,753		37,313		40,066
Equity lines		21		5,375		5,396		38		6,919		6,957
Consumer		38		1,000		1,038		47		1,213		1,260
Total acquired loans	$	1,728	$	46,266	$	47,994	$	3,655	$	56,798	$	60,453

1	Includes acquired loans classified by the Corporation as commercial real estate lending and commercial business lending.

Summary of change in the accretable yield of loans classified as purchased credit impaired (PCI)


	Six Months Ended June 30,
(Dollars in thousands)	2022		2021
Accretable yield, balance at beginning of period	$	3,111	$	4,048
Accretion		(1,019)		(1,537)
Reclassification of nonaccretable difference due to improvement in expected cash flows		616		743
Other changes, net		(271)		84
Accretable yield, balance at end of period	$	2,437	$	3,338

Schedule of loans on nonaccrual status


	June 30,		December 31,
(Dollars in thousands)	2022		2021
Real estate – residential mortgage	$	331	$	315
Commercial, financial and agricultural:
Commercial business lending		—		2,122
Equity lines		113		104
Consumer		1		3
Consumer finance:
Automobiles		464		380
Total loans on nonaccrual status	$	909	$	2,924

Schedule of past due status of loans

The past due status of loans as of June 30, 2022 was as follows:


															90+ Days
	30 - 59 Days		60 - 89 Days		90+ Days		Total								Past Due and
(Dollars in thousands)	Past Due		Past Due		Past Due		Past Due		PCI		Current¹		Total Loans		Accruing
Real estate – residential mortgage	$	707	$	323	$	28	$	1,058	$	424	$	224,045	$	225,527	$	—
Real estate – construction:
Construction lending		—		—		—		—		—		57,006		57,006		—
Consumer lot lending		100		—		—		100		—		13,155		13,255		—
Commercial, financial and agricultural:
Commercial real estate lending		—		—		107		107		1,245		554,026		555,378		107
Land acquisition and development lending		—		—		—		—		—		33,587		33,587		—
Builder line lending		—		—		—		—		—		30,201		30,201		—
Commercial business lending		315		—		—		315		—		118,459		118,774		—
Equity lines		306		—		48		354		21		41,340		41,715		48
Consumer		3		—		—		3		38		7,802		7,843		—
Consumer finance:
Automobiles		7,110		1,356		464		8,930		—		372,643		381,573		—
Marine and recreational vehicles		107		—		—		107		—		55,385		55,492		—
Total	$	8,648	$	1,679	$	647	$	10,974	$	1,728	$	1,507,649	$	1,520,351	$	155

For the purposes of the table above, “Current” includes loans that are 1-29 days past due.

The table above includes nonaccrual loans that are current of $279,000, 30-59 days past due of $138,000 and 90+ days past due of $492,000.

The past due status of loans as of December 31, 2021 was as follows:


															90+ Days
	30 - 59 Days		60 - 89 Days		90+ Days		Total								Past Due and
(Dollars in thousands)	Past Due		Past Due		Past Due		Past Due		PCI		Current¹		Total Loans		Accruing
Real estate – residential mortgage	$	963	$	325	$	429	$	1,717	$	817	$	214,482	$	217,016	$	129
Real estate – construction:
Construction lending		—		—		—		—		—		39,252		39,252		—
Consumer lot lending		—		—		—		—		—		18,243		18,243		—
Commercial, financial and agricultural:
Commercial real estate lending		—		39		—		39		2,753		525,121		527,913		—
Land acquisition and development lending		—		—		—		—		—		27,609		27,609		—
Builder line lending		—		—		—		—		—		30,499		30,499		—
Commercial business lending		8		—		—		8		—		131,701		131,709		—
Equity lines		55		31		49		135		38		41,172		41,345		49
Consumer		12		—		—		12		47		8,221		8,280		—
Consumer finance:
Automobiles		6,519		1,008		380		7,907		—		314,160		322,067		—
Marine and recreational vehicles		32		—		—		32		—		46,095		46,127		—
Total	$	7,589	$	1,403	$	858	$	9,850	$	3,655	$	1,396,555	$	1,410,060	$	178

For the purposes of the table above, “Current” includes loans that are 1-29 days past due.

The table above includes nonaccrual loans that are current of $2.24 million and 90+ days past due of $680,000.

Schedule of impaired loans

Impaired loans, which included TDRs of $2.12 million, and the related allowance at June 30, 2022 were as follows:

Recorded

Investment

Average

Unpaid

in Loans

Balance-

Interest

Principal

without

with

Related

Impaired

Income

(Dollars in thousands)

Balance

Specific Reserve

Allowance

Loans

Recognized

Real estate – residential mortgage

1,258

435

724

1,113

Commercial, financial and agricultural:

Commercial real estate lending

1,329

—

1,329

Equity lines

—

Total

2,615

462

2,053

138

2,470

Impaired loans, which included TDRs of $2.69 million, and the related allowance at December 31, 2021 were as follows:



			Recorded		Recorded
			Investment		Investment				Average
	Unpaid		in Loans		in Loans				Balance-		Interest
	Principal		without		with		Related		Impaired		Income
(Dollars in thousands)	Balance		Specific Reserve		Specific Reserve		Allowance		Loans		Recognized
Real estate – residential mortgage	$	1,689	$	550	$	1,035	$	63	$	1,560	$	64
Commercial, financial and agricultural:
Commercial real estate lending		1,389		—		1,390		103		1,393		72
Commercial business lending		2,234		—		2,123		489		2,257		—
Equity lines		118		110		—		—		119		4
Total	$	5,430	$	660	$	4,548	$	655	$	5,329	$	140