Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2021 | May 05, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-39028 | |
Entity Registrant Name | CROSSFIRST BANKSHARES, INC. | |
Entity Incorporation, State or Country Code | KS | |
Entity Tax Identification Number | 26-3212879 | |
Entity Address, Address Line One | 11440 Tomahawk Creek Parkway | |
Entity Address, City or Town | Leawood, | |
Entity Address, State or Province | KS | |
Entity Address, Postal Zip Code | 66211 | |
City Area Code | 913 | |
Local Phone Number | 312-6822 | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | CFB | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 51,580,761 | |
Entity Central Index Key | 0001458412 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Assets | ||
Cash and cash equivalents | $ 630,787 | $ 408,810 |
Available-for-sale securities - taxable | 192,031 | 177,238 |
Available-for-sale securities - tax-exempt | 493,423 | 477,350 |
Loans, net of allowance for loan losses of $74,551 and $75,295 at March 31, 2021 and December 31, 2020, respectively | 4,434,049 | 4,366,602 |
Premises and equipment, net | 69,270 | 70,509 |
Restricted equity securities | 14,080 | 15,543 |
Interest receivable | 17,987 | 17,236 |
Foreclosed assets held for sale | 2,347 | 2,347 |
Bank-owned life insurance | 67,914 | 67,498 |
Other | 76,186 | 56,170 |
Total assets | 5,998,074 | 5,659,303 |
Deposits | ||
Noninterest-bearing | 794,559 | 718,459 |
Savings, NOW and money market | 3,325,220 | 2,932,799 |
Time | 931,791 | 1,043,482 |
Total deposits | 5,051,570 | 4,694,740 |
Federal funds purchased and repurchase agreements | 3,294 | 2,306 |
Federal Home Loan Bank advances | 283,100 | 293,100 |
Other borrowings | 974 | 963 |
Interest payable and other liabilities | 30,302 | 43,766 |
Total liabilities | 5,369,240 | 5,034,875 |
Stockholders’ equity | ||
Common stock | 523 | 523 |
Treasury stock | (7,113) | (6,061) |
Additional paid-in capital | 523,156 | 522,911 |
Retained earnings | 89,722 | 77,652 |
Accumulated other comprehensive income | 22,546 | 29,403 |
Total stockholders’ equity | 628,834 | 624,428 |
Total liabilities and stockholders’ equity | $ 5,998,074 | $ 5,659,303 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Assets | ||
Allowance for loan losses | $ 74,551 | $ 75,295 |
Stockholders’ equity | ||
Common stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock issued (in shares) | 52,376,779 | 52,289,129 |
Treasury stock (in shares) | 698,110 | 609,613 |
Consolidated Statements of Inco
Consolidated Statements of Income - Unaudited - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Interest Income | ||
Loans, including fees | $ 43,758 | $ 48,339 |
Available-for-sale securities - taxable | 751 | 1,774 |
Available-for-sale securities - tax-exempt | 3,351 | 3,312 |
Deposits with financial institutions | 128 | 491 |
Dividends on bank stocks | 165 | 292 |
Total interest income | 48,153 | 54,208 |
Interest Expense | ||
Deposits | 5,728 | 14,272 |
Fed funds purchased and repurchase agreements | 1 | 62 |
Federal Home Loan Bank Advances | 1,283 | 1,611 |
Other borrowings | 24 | 35 |
Total interest expense | 7,036 | 15,980 |
Net Interest Income | 41,117 | 38,228 |
Provision for loan losses | 7,500 | 13,950 |
Net Interest Income after Provision for Loan Losses | 33,617 | 24,278 |
Non-Interest Income | ||
Realized gains on available-for-sale securities | 10 | 393 |
Income from bank-owned life insurance | 416 | 456 |
Swap fees and credit valuation adjustments, net | 155 | (9) |
Other non-interest income | 278 | 254 |
Total non-interest income | 4,144 | 2,087 |
Non-Interest Expense | ||
Salaries and employee benefits | 13,553 | 14,390 |
Occupancy | 2,494 | 2,085 |
Professional fees | 782 | 671 |
Deposit insurance premiums | 1,151 | 1,016 |
Data processing | 716 | 692 |
Advertising | 303 | 500 |
Software and communication | 1,065 | 876 |
Foreclosed assets, net | 50 | 10 |
Other non-interest expense | 2,704 | 1,975 |
Total non-interest expense | 22,818 | 22,215 |
Net Income Before Taxes | 14,943 | 4,150 |
Income tax expense | 2,908 | 293 |
Net Income | $ 12,035 | $ 3,857 |
Basic Earnings Per Share (in dollars per share) | $ 0.23 | $ 0.07 |
Diluted Earnings Per Share (in dollars per share) | $ 0.23 | $ 0.07 |
Service charges and fees on customer accounts | ||
Non-Interest Income | ||
Non-interest income | $ 957 | $ 508 |
ATM and credit card interchange income | ||
Non-Interest Income | ||
Non-interest income | $ 2,328 | $ 485 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - Unaudited - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 12,035 | $ 3,857 |
Other Comprehensive Income (Loss) | ||
Unrealized gain (loss) on available-for-sale securities | (9,070) | 8,532 |
Less: income tax expense (benefit) | (2,221) | 2,084 |
Unrealized gain (loss) on available-for-sale securities, net of income tax | (6,849) | 6,448 |
Reclassification adjustment for realized gains included in income | 10 | 393 |
Less: income tax | 2 | 96 |
Less: reclassification adjustment for realized gains included in income, net of income tax | 8 | 297 |
Other comprehensive income (loss) | (6,857) | 6,151 |
Comprehensive Income | $ 5,178 | $ 10,008 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - Unaudited - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income | Treasury Stock |
Beginning balance (in shares) at Dec. 31, 2019 | 51,969,203 | |||||
Beginning balance at Dec. 31, 2019 | $ 601,644 | $ 520 | $ 519,870 | $ 64,803 | $ 16,451 | $ 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 3,857 | 3,857 | ||||
Change in unrealized appreciation on available-for-sale securities | 6,151 | 6,151 | ||||
Issuance of shares from equity-based awards (in shares) | 128,859 | |||||
Issuance of shares from equity-based awards | (670) | $ 1 | (671) | |||
Employee receivables from sale of stock | 30 | 1 | 29 | |||
Stock-based compensation | 934 | 934 | ||||
Ending balance (in shares) at Mar. 31, 2020 | 52,098,062 | |||||
Ending balance at Mar. 31, 2020 | 611,946 | $ 521 | 520,134 | 68,689 | 22,602 | 0 |
Beginning balance (in shares) at Dec. 31, 2020 | 51,679,516 | |||||
Beginning balance at Dec. 31, 2020 | 624,428 | $ 523 | 522,911 | 77,652 | 29,403 | (6,061) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 12,035 | 12,035 | ||||
Change in unrealized appreciation on available-for-sale securities | (6,857) | (6,857) | ||||
Issuance of shares from equity-based awards (in shares) | 87,650 | |||||
Issuance of shares from equity-based awards | (404) | (404) | ||||
Open market common share repurchases (in shares) | (88,497) | |||||
Open market common share repurchases | (1,052) | (1,052) | ||||
Employee receivables from sale of stock | 35 | 35 | ||||
Stock-based compensation | 649 | 649 | ||||
Ending balance (in shares) at Mar. 31, 2021 | 51,678,669 | |||||
Ending balance at Mar. 31, 2021 | $ 628,834 | $ 523 | $ 523,156 | $ 89,722 | $ 22,546 | $ (7,113) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - Unaudited - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Operating Activities | ||
Net income | $ 12,035 | $ 3,857 |
Items not requiring (providing) cash | ||
Depreciation and amortization | 1,375 | 1,295 |
Provision for loan losses | 7,500 | 13,950 |
Accretion of discounts and amortization of premiums on securities | 1,310 | 1,473 |
Equity based compensation | 649 | 934 |
Deferred income taxes | 1,824 | 2,881 |
Net realized gains on available-for-sale securities | (10) | (393) |
Changes in | ||
Interest receivable | (751) | (1,242) |
Other assets | (28,730) | (717) |
Other liabilities | (4,937) | (9,368) |
Net cash provided by (used in) operating activities | (9,735) | 12,670 |
Investing Activities | ||
Net change in loans | (74,947) | (169,595) |
Purchases of available-for-sale securities | (74,575) | (11,861) |
Proceeds from maturities of available-for-sale securities | 33,329 | 21,528 |
Proceeds from sale of available-for-sale securities | 0 | 3,841 |
Purchase of premises and equipment | (118) | (331) |
Purchase of restricted equity securities | 0 | (970) |
Proceeds from sale of restricted equity securities | 1,626 | 0 |
Net cash used in investing activities | (114,685) | (157,388) |
Financing Activities | ||
Net increase in demand deposits, savings, NOW and money market accounts | 468,521 | 185,747 |
Net decrease in time deposits | (111,691) | (136,684) |
Net increase in fed funds purchased and repurchase agreements | 988 | 24,025 |
Proceeds from Federal Home Loan Bank advances | 0 | 70,000 |
Repayment of Federal Home Loan Bank advances | (10,000) | (26,063) |
Issuance of common shares, net of issuance cost | 0 | 1 |
Repurchase of common stock | (1,052) | 0 |
Acquisition of common stock for tax withholding obligations | (404) | (671) |
Net decrease in employee receivables | 35 | 30 |
Net cash provided by financing activities | 346,397 | 116,385 |
Increase (Decrease) in Cash and Cash Equivalents | 221,977 | (28,333) |
Cash and Cash Equivalents, Beginning of Period | 408,810 | 187,320 |
Cash and Cash Equivalents, End of Period | 630,787 | 158,987 |
Supplemental Cash Flows Information | ||
Interest paid | 7,287 | 17,199 |
Income taxes paid | $ 130 | $ 0 |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Nature of Operations and Summary of Significant Accounting Policies | Nature of Operations and Summary of Significant Accounting Policies Organization and Nature of Operations CrossFirst Bankshares, Inc. (the “Company”) is a bank holding company whose principal activities are the ownership and management of its wholly-owned subsidiary, CrossFirst Bank (the “Bank”). In addition, the Bank has three subsidiaries including CrossFirst Investments, Inc. (“CFI”) that holds investments in marketable securities, CFBSA I, LLC that holds foreclosed assets and CFBSA II, LLC that holds foreclosed assets. Basis of Presentation The Company’s accounting and reporting policies conform to accounting principles generally accepted in the United States (“GAAP”). The consolidated financial statements include the accounts of the Company, the Bank, CFI, CFBSA I, LLC and CFBSA II, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. The consolidated interim financial statements are unaudited and certain information and footnote disclosures presented in accordance with GAAP have been condensed or omitted and should be read in conjunction with the Company’s consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 (the “2020 Form 10-K”), filed with the Securities and Exchange Commission (the “SEC”) on February 26, 2021. In the opinion of management, the interim financial statements include all adjustments which are of a normal, recurring nature necessary for the fair presentation of the financial position, results of operations, and cash flows of the Company and the disclosures made are adequate to make the interim financial information not misleading. The consolidated financial statements have been prepared in accordance with GAAP for interim financial information and the instructions to Form 10-Q adopted by the SEC. No significant changes in the accounting policies of the Company occurred since December 31, 2020, the most recent date financial statements were provided within the Company’s 2020 Form 10-K. Operating results for the interim periods disclosed herein are not necessarily indicative of the results that may be expected for a full year or any future period. Use of Estimates The Company identified accounting policies and estimates that, due to the difficult, subjective or complex judgments and assumptions inherent in those policies and estimates and the potential sensitivity of the Company’s financial statements to those judgments and assumptions, are critical to an understanding of the Company’s financial condition and results of operations. Actual results could differ from those estimates. In particular, the novel coronavirus (“COVID-19”) pandemic and resulting impacts to economic conditions, as well as adverse impacts to the Company’s operations, may impact future estimates. The allowance for loan losses, deferred tax asset, and fair value of financial instruments are particularly susceptible to significant change. Cash Equivalents The Company had $541 million of cash and cash equivalents at the Federal Reserve Bank of Kansas City as of March 31, 2021. The reserve required at March 31, 2021 was $0. Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) The CARES Act gave financial institutions the right to elect to suspend GAAP principles and regulatory determinations for loan modifications relating to COVID-19 that would otherwise be categorized as TDRs from March 1, 2020, through December 31, 2020. On December 27, 2020, the Consolidated Appropriations Act, 2021 was signed into law, which extended the period during which the Company may suspend GAAP principles and regulatory determinations for loan modifications relating to COVID-19 that would otherwise be categorized as TDRs through January 1, 2022 or 60 days after the date when the national emergency concerning COVID-19 terminates. The Company elected to apply the guidance starting in the first quarter of 2020. Changes Affecting Comparability Beginning with the quarter ended March 31, 2021, the Company consolidated the “Goodwill and other intangible assets, net” into “other assets” within the Consolidated Balance Sheets. The consolidation was due to the immateriality of the remaining intangible assets. The change had no impact on net income. For the quarter ended March 31, 2021, the Company consolidated “equipment costs, other asset depreciation and amortization” into “other noninterest expense” within the Consolidated Statements of Income. In addition, the Company broke out “foreclosed assets, net” that was previously consolidated. As a result, changes within the Consolidated Statements of Income in the prior periods were made to conform to the current period presentation. The changes: (i) consolidate lower balance line items or (ii) provide additional detail about the Company’s operations. The changes had no impact on net income. Emerging Growth Company (“EGC”) The Company is currently an EGC. An EGC may take advantage of reduced reporting requirements and is relieved of certain other significant requirements that are otherwise generally applicable to public companies. Among the reductions and reliefs, the Company elected to extend the transition period for complying with new or revised accounting standards affecting public companies. This means that the financial statements the Company files or furnishes, will not be subject to all new or revised accounting standards generally applicable to public companies for the transition period for so long as the Company remains an EGC or until the Company affirmatively and irrevocably opts out of the extended transition period under the JOBS Act. Recent Accounting Pronouncements The following table provides information about Accounting Standard Updates (“ASUs”) the Company anticipates to adopt in the future: Standard Anticipated Date of Adoption Description Effect on Financial Statements or Other Significant Matters ASU 2016-13 Financial Instruments-Credit Losses If the Company maintains its EGC status, the Company is not required to implement this standard until January 2023. The Company anticipates an adoption date of January 2022. Requires an entity to utilize a new impairment model known as the current expected credit loss model to estimate its lifetime expected credit loss and record an allowance that, when deducted from amortized cost basis of the financial asset, presents the net amount expected to be collected on the financial asset. The Company established a committee of individuals from applicable departments to oversee the implementation process. The Company completed the third-party software implementation phase that included data capture and portfolio segmentation amongst other items. The Company completed parallel runs in 2019. During the period ended December 31, 2020, the Company continued to perform parallel runs using 2020 data and continued to recalibrate inputs as necessary. The Company is evaluating the internal control changes that will be necessary to transition to the third-party platform and third-party testing is anticipated later in 2021. At this time, an estimate of the impact cannot be established as the Company continues to evaluate the inputs into the model. The actual impact could be significantly affected by the composition, characteristics, and quality of the underlying loan portfolio at the time of adoption. ASU 2016-02 Leases (Topic 842) The Company expects to implement this standard on January 1, 2022, unless the Company loses its EGC status during 2021. If EGC status changes, the Company would therefore be required to implement the ASU as of the beginning of 2021. Requires lessees and lessors to recognize lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. The update requires lessees and lessors to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach with the option to elect certain practical expedients. The update will also increase disclosures around leases, including qualitative and specific quantitative measures. The Company expects to apply the update as of the beginning of the period of adoption and the Company does not plan to restate comparative periods. The Company expects to elect certain optional practical expedients. The Company gathered all potential lease and embedded lease agreements and is evaluating the applicability and impact to the financial statements. The Company’s current operating leases relate primarily to four branch locations. Based on the current leases, the Company anticipates recognizing a lease liability and related right-to-use asset on its balance sheet, with an immaterial impact to its income statement compared to the current lease accounting model. However, the ultimate impact of the standard will depend on the Company's lease portfolio as of the adoption date. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table presents the computation of basic and diluted earnings per share: Three Months Ended March 31, 2021 2020 (Dollars in thousands except per share data) Earnings per Share Net income available to common stockholders $ 12,035 $ 3,857 Weighted average common shares 51,657,204 52,071,484 Earnings per share $ 0.23 $ 0.07 Dilutive Earnings Per Share Net income available to common stockholders $ 12,035 $ 3,857 Weighted average common shares 51,657,204 52,071,484 Effect of dilutive shares 724,270 588,786 Weighted average dilutive common shares 52,381,474 52,660,270 Diluted earnings per share $ 0.23 $ 0.07 Stock-based awards not included because to do so would be antidilutive 669,112 905,406 |
Securities
Securities | 3 Months Ended |
Mar. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities The amortized cost and approximate fair values, together with gross unrealized gains and losses, of period end available-for-sale securities consisted of the following: March 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Approximate Fair Value (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ 138,231 $ 2,912 $ 1,464 $ 139,679 Collateralized mortgage obligations - GSE residential 38,206 785 26 38,965 State and political subdivisions 474,912 28,517 862 502,567 Corporate bonds 4,251 74 82 4,243 Total available-for-sale securities $ 655,600 $ 32,288 $ 2,434 $ 685,454 December 31, 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Approximate Fair Value (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ 104,839 $ 4,277 $ — $ 109,116 Collateralized mortgage obligations - GSE residential 52,070 984 42 53,012 State and political subdivisions 454,486 33,642 31 488,097 Corporate bonds 4,259 104 — 4,363 Total available-for-sale securities $ 615,654 $ 39,007 $ 73 $ 654,588 The amortized cost and fair value of available-for-sale securities at March 31, 2021, by contractual maturity, are shown below: March 31, 2021 Within After One to After Five to After One Year Five Years Ten Years Ten Years Total (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential (1) Amortized cost $ — $ 48 $ 181 $ 138,002 $ 138,231 Estimated fair value $ — $ 50 $ 193 $ 139,436 $ 139,679 Weighted average yield (2) — % 4.60 % 3.91 % 1.72 % 1.72 % Collateralized mortgage obligations - GSE residential (1) Amortized cost $ — $ — $ 2,469 $ 35,737 $ 38,206 Estimated fair value $ — $ — $ 2,645 $ 36,320 $ 38,965 Weighted average yield (2) — % — % 2.75 % 1.59 % 1.66 % State and political subdivisions Amortized cost $ 652 $ 5,947 $ 65,518 $ 402,795 $ 474,912 Estimated fair value $ 654 $ 6,024 $ 70,889 $ 425,000 $ 502,567 Weighted average yield (2) 3.54 % 3.86 % 3.32 % 2.82 % 2.90 % Corporate bonds Amortized cost $ — $ 357 $ 3,894 $ — $ 4,251 Estimated fair value $ — $ 366 $ 3,877 $ — $ 4,243 Weighted average yield (2) — % 4.10 % 4.54 % — % 4.51 % Total available-for-sale securities Amortized cost $ 652 $ 6,352 $ 72,062 $ 576,534 $ 655,600 Estimated fair value $ 654 $ 6,440 $ 77,604 $ 600,756 $ 685,454 Weighted average yield (2) 3.54 % 3.88 % 3.37 % 2.48 % 2.59 % (1) Actual maturities may differ from contractual maturities because issuers may have the rights to call or prepay obligations with or without prepayment penalties. (2) Yields are calculated based on amortized cost. The following tables show the number of securities, unrealized loss, and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temporarily impaired (“OTTI”), aggregated by investment class and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2021 and December 31, 2020: March 31, 2021 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ 55,185 $ 1,464 8 $ — $ — — $ 55,185 $ 1,464 8 Collateralized mortgage obligations - GSE residential 7,591 26 6 — — — 7,591 26 6 State and political subdivisions 44,008 861 32 24 1 1 44,032 862 33 Corporate bonds 3,418 82 1 — — — 3,418 82 1 Total temporarily impaired securities $ 110,202 $ 2,433 47 $ 24 $ 1 1 $ 110,226 $ 2,434 48 December 31, 2020 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ — $ — — $ — $ — — $ — $ — — Collateralized mortgage obligations - GSE residential 9,933 42 5 — — — 9,933 42 5 State and political subdivisions 8,525 31 8 25 — 1 8,550 31 9 Corporate bonds — — — — — — — — — Total temporarily impaired securities $ 18,458 $ 73 13 $ 25 $ — 1 $ 18,483 $ 73 14 The Company expects to recover the amortized cost basis over the term of the securities. The Company does not intend to sell the investments and it is not more likely than not the Company will be required to sell the investments before recovery of their amortized cost basis, which may be maturity. Gains and losses on the sale of debt securities are recorded on the trade date and are determined using the specific identification method. Gross gains of $21 thousand and $402 thousand and gross losses of $11 thousand and $9 thousand resulting from sales of available-for-sale securities were realized for the three months ended March 31, 2021 and 2020, respectively. The gross gains as of March 31, 2020, included $75 thousand related to a previously disclosed OTTI municipal security that was settled in 2020. Equity Securities Equity securities consist of a $2 million investment in a Community Reinvestment Act (“CRA”) mutual fund and an $11 million privately-held security acquired in the fourth quarter of 2020 as part of a debt restructuring. Equity securities are included in “other assets” on the Consolidated Balance Sheets. The privately-held security was acquired in partial satisfaction of debts previously contracted. The Company elected a measurement alternative that allows the security to remain at cost until an impairment is identified or an observable price change for an identical or similar investment of the same issuer occurs. Impairment is recorded when there is evidence that the expected fair value of the investment has declined to below the recorded cost. No changes to the cost basis occurred during the first quarter of 2021. The Company is required to make good faith efforts to dispose of the security. The shares may be held for a maximum of five years, subject to a five-year extension that would result in a change to Tier 1 capital. The following is a summary of the unrealized and realized gains and losses recognized in net income on equity securities: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Net gains (losses) recognized during the reporting period on equity securities $ (39) $ 34 Less: net gains recognized during the reporting period on equity securities sold during the reporting period — — Unrealized gain (losses) recognized during the reporting period on equity securities still held at the reporting date $ (39) $ 34 |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses ("ALLL") | 3 Months Ended |
Mar. 31, 2021 | |
Receivables [Abstract] | |
Loans and Allowance for Loan Losses ("ALLL") | Loans and Allowance for Loan Losses (“ALLL”) Categories of loans at March 31, 2021 and December 31, 2020 include: March 31, 2021 December 31, 2020 (Dollars in thousands) Commercial $ 1,284,047 $ 1,338,757 Energy 342,899 345,233 Commercial real estate 1,191,634 1,179,534 Construction and land development 617,200 563,144 Residential and multifamily real estate 687,893 680,932 Paycheck Protection Program (“PPP”) 336,355 292,230 Consumer 62,917 55,270 Gross loans 4,522,945 4,455,100 Less: Allowance for loan losses 74,551 75,295 Less: Net deferred loan fees and costs 14,345 13,203 Net loans $ 4,434,049 $ 4,366,602 Allowance for Loan Losses The ALLL is established as losses are estimated to have occurred through a provision for loan losses charged to income. Loan losses are charged against the allowance when management believes the loan balance is not collectible. Subsequent recoveries, if any, are credited to the allowance. The ALLL is evaluated on a regular basis by management and is based upon management’s periodic review of its ability to collect the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The ALLL consists of allocated and general components. The allocated component relates to loans that are classified as impaired. For those loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers all loans on accrual and is based on historical charge-off experience and expected loss given default derived from the Company’s internal risk rating process and loan categories. Other adjustments may be made to the allowance for pools of loans after an assessment of internal or external influences on credit quality that are not fully reflected in the historical loss or risk rating data. The Company evaluates the loan risk grading system definitions, portfolio segment definitions and ALLL methodology on an ongoing basis. No changes to loan definitions, segmentation, and ALLL methodology occurred during the first quarter of 2021. The following tables summarize the activity in the ALLL by portfolio segment and disaggregated based on the Company’s impairment methodology. The allocation in one portfolio segment does not preclude its availability to absorb losses in other segments: Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) Three months ended March 31, 2021 Allowance for loan losses Beginning balance $ 24,693 $ 18,341 $ 22,354 $ 3,612 $ 5,842 $ — $ 453 $ 75,295 Provision charged to expense 7,015 1,951 (1,745) 225 214 — (160) 7,500 Charge-offs (8,266) — — — — — — (8,266) Recoveries 22 — — — — — — 22 Ending balance $ 23,464 $ 20,292 $ 20,609 $ 3,837 $ 6,056 $ — $ 293 $ 74,551 Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) Three months ended March 31, 2020 Allowance for loan losses Beginning balance $ 35,864 $ 6,565 $ 8,085 $ 3,516 $ 2,546 $ — $ 320 $ 56,896 Provision charged to expense 3,271 2,313 4,538 1,505 2,141 — 182 13,950 Charge-offs (18,077) (1,279) — — — — (104) (19,460) Recoveries 71 — — — — — 1 72 Ending balance $ 21,129 $ 7,599 $ 12,623 $ 5,021 $ 4,687 $ — $ 399 $ 51,458 Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) March 31, 2021 Period end allowance for loan losses allocated to: Individually evaluated for impairment $ 832 $ 4,938 $ 2,990 $ — $ — $ — $ — $ 8,760 Collectively evaluated for impairment $ 22,632 $ 15,354 $ 17,619 $ 3,837 $ 6,056 $ — $ 293 $ 65,791 Ending balance $ 23,464 $ 20,292 $ 20,609 $ 3,837 $ 6,056 $ — $ 293 $ 74,551 Allocated to loans: Individually evaluated for impairment $ 39,287 $ 27,215 $ 36,028 $ — $ 6,302 $ — $ 241 $ 109,073 Collectively evaluated for impairment $ 1,244,760 $ 315,684 $ 1,155,606 $ 617,200 $ 681,591 $ 336,355 $ 62,676 $ 4,413,872 Ending balance $ 1,284,047 $ 342,899 $ 1,191,634 $ 617,200 $ 687,893 $ 336,355 $ 62,917 $ 4,522,945 Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) December 31, 2020 Period end allowance for loan losses allocated to: Individually evaluated for impairment $ 1,115 $ 3,370 $ 5,048 $ — $ — $ — $ — $ 9,533 Collectively evaluated for impairment $ 23,578 $ 14,971 $ 17,306 $ 3,612 $ 5,842 $ — $ 453 $ 65,762 Ending balance $ 24,693 $ 18,341 $ 22,354 $ 3,612 $ 5,842 $ — $ 453 $ 75,295 Allocated to loans: Individually evaluated for impairment $ 44,678 26,045 $ 44,318 $ — $ 6,329 $ — $ 244 $ 121,614 Collectively evaluated for impairment $ 1,294,079 $ 319,188 $ 1,135,216 $ 563,144 $ 674,603 $ 292,230 $ 55,026 $ 4,333,486 Ending balance $ 1,338,757 $ 345,233 $ 1,179,534 $ 563,144 $ 680,932 $ 292,230 $ 55,270 $ 4,455,100 Credit Risk Profile The Company analyzes its loan portfolio based on internal rating categories (grades 1 - 8), portfolio segmentation and payment activity. These categories are utilized to develop the associated ALLL. A description of the loan grades and segments follows: Loan Grades • Pass (risk rating 1-4) - The category includes loans that are considered satisfactory. The category includes borrowers that generally maintain good liquidity and financial condition or the credit is currently protected with sales trends remaining flat or declining. Most ratios compare favorably with industry norms and Company policies. Debt is programmed and timely repayment is expected. • Special Mention (risk rating 5) - The category includes borrowers that generally exhibit adverse trends in operations or an imbalanced position in their balance sheet that has not reached a point where repayment is jeopardized. Credits are currently protected but, if left uncorrected, the potential weaknesses may result in deterioration of the repayment prospects for the credit or in the Company’s credit or lien position at a future date. These credits are not adversely classified and do not expose the Company to enough risk to warrant adverse classification. • Substandard (risk rating 6) - The category includes borrowers that generally exhibit well-defined weakness(es) that jeopardize repayment. Credits are inadequately protected by the current worth and paying capacity of the obligor or of the collateral pledged. A distinct possibility exists that the Company will sustain some loss if deficiencies are not corrected. Loss potential, while existing in the aggregate amount of substandard assets, does not have to exist in individual assets classified substandard. Substandard loans include both performing and nonperforming loans and are broken out in the table below. • Doubtful (risk rating 7) - The category includes borrowers that exhibit weaknesses inherent in a substandard credit and characteristics that these weaknesses make collection or liquidation in full highly questionable or improbable based on existing facts, conditions and values. Because of reasonably specific pending factors, which may work to the advantage and strengthening of the assets, classification as a loss is deferred until its more exact status may be determined. • Loss (risk rating 8) - Credits which are considered uncollectible or of such little value that their continuance as a bankable asset is not warranted. Loan Portfolio Segments • Commercial - The category includes loans to commercial customers for use in financing working capital, equipment purchases and expansions. Repayment is primarily from the cash flow of a borrower’s principal business operation. Credit risk is driven by creditworthiness of a borrower and the economic conditions that impact the cash flow stability from business operations. • Energy - The category includes loans to oil and natural gas customers for use in financing working capital needs, exploration and production activities, and acquisitions. The loans are repaid primarily from the conversion of crude oil and natural gas to cash. Credit risk is driven by creditworthiness of a borrower and the economic conditions that impact the cash flow stability from business operations. Energy loans are typically collateralized with the underlying oil and gas reserves. • Commercial Real Estate - The category includes loans that typically involve larger principal amounts and repayment of these loans is generally dependent on the successful operations of the property securing the loan or the business conducted on the property securing the loan. These are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Credit risk may be impacted by the creditworthiness of a borrower, property values and the local economies in the borrower’s market areas. • Construction and Land Development - The category includes loans that are usually based upon estimates of costs and estimated value of the completed project and include independent appraisal reviews and a financial analysis of the developers and property owners. Sources of repayment include permanent loans, sales of developed property or an interim loan commitment from the Company until permanent financing is obtained. These loans are higher risk than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, general economic conditions and the availability of long-term financing. Credit risk may be impacted by the creditworthiness of a borrower, property values and the local economies in the borrower’s market areas. • Residential and Multifamily Real Estate - The category includes loans that are generally secured by owner-occupied 1-4 family residences or multifamily properties. Repayment of these loans is primarily dependent on the personal income and credit rating of the borrowers or underlying tenants. Credit risk in these loans can be impacted by economic conditions within or outside the borrower’s market areas that might impact either property values, a borrower’s personal income, or residents’ income. • PPP - The category includes loans that were established by the CARES Act which authorized forgivable loans to small businesses to pay their employees during the COVID-19 pandemic. The loans are 100 percent guaranteed by the SBA and repayment is primarily dependent on the borrower’s cash flow or SBA repayment approval. • Consumer - The category includes revolving lines of credit and various term loans such as automobile loans and loans for other personal purposes. Repayment is primarily dependent on the personal income and credit rating of the borrowers. Credit risk is driven by consumer economic factors (such as unemployment and general economic conditions in the borrower’s market area) and the creditworthiness of a borrower. The following tables present the credit risk profile of the Company’s loan portfolio based on internal rating categories (grades 1 - 8), portfolio segmentation, and payment activity: Pass Special Mention Substandard Substandard Doubtful Loss Total (Dollars in thousands) March 31, 2021 Commercial $ 1,171,818 $ 43,247 $ 46,912 $ 20,409 $ 1,661 $ — $ 1,284,047 Energy 141,441 82,314 92,032 23,421 3,691 — 342,899 Commercial real estate 1,054,675 66,101 60,037 10,821 — — 1,191,634 Construction and land development 616,061 — 1,139 — — — 617,200 Residential and multifamily real estate 679,335 43 5,440 3,075 — — 687,893 PPP 336,355 — — — — — 336,355 Consumer 62,676 — — 241 — — 62,917 $ 4,062,361 $ 191,705 $ 205,560 $ 57,967 $ 5,352 $ — $ 4,522,945 Pass Special Mention Substandard Substandard Doubtful Loss Total (Dollars in thousands) December 31, 2020 Commercial $ 1,182,519 $ 66,142 $ 63,407 $ 26,124 $ 565 $ — $ 1,338,757 Energy 145,598 90,134 83,574 22,177 3,750 — 345,233 Commercial real estate 1,035,056 67,710 57,680 19,088 — — 1,179,534 Construction and land development 561,871 125 1,148 — — — 563,144 Residential and multifamily real estate 672,327 305 5,199 3,101 — — 680,932 PPP 292,230 — — — — — 292,230 Consumer 55,026 — — 244 — — 55,270 $ 3,944,627 $ 224,416 $ 211,008 $ 70,734 $ 4,315 $ — $ 4,455,100 Loan Portfolio Aging Analysis The following tables present the Company’s loan portfolio aging analysis as of March 31, 2021 and December 31, 2020: 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Receivable Loans >= 90 Days and Accruing (Dollars in thousands) March 31, 2021 Commercial $ 7,813 $ 403 $ 15,709 $ 23,925 $ 1,260,122 $ 1,284,047 $ — Energy 748 — 6,741 7,489 335,410 342,899 — Commercial real estate — — 4,097 4,097 1,187,537 1,191,634 — Construction and land development 862 — — 862 616,338 617,200 — Residential and multifamily real estate 1,160 — 6,028 7,188 680,705 687,893 3,183 PPP — — — — 336,355 336,355 — Consumer — — — — 62,917 62,917 — $ 10,583 $ 403 $ 32,575 $ 43,561 $ 4,479,384 $ 4,522,945 $ 3,183 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Receivable Loans >= 90 Days and Accruing (Dollars in thousands) December 31, 2020 Commercial $ 8,497 $ 264 $ 11,236 $ 19,997 $ 1,318,760 $ 1,338,757 $ — Energy — — 7,173 7,173 338,060 345,233 372 Commercial real estate 63 7,677 4,825 12,565 1,166,969 1,179,534 — Construction and land development — — — — 563,144 563,144 — Residential and multifamily real estate 1,577 — 3,520 5,097 675,835 680,932 652 PPP — — — — 292,230 292,230 — Consumer — — — — 55,270 55,270 — $ 10,137 $ 7,941 $ 26,754 $ 44,832 $ 4,410,268 $ 4,455,100 $ 1,024 Impaired Loans A loan is considered impaired, in accordance with the impairment accounting guidance (ASC 310-10-35-16), when based on current information and events, it is probable the Company will be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans include nonperforming loans but also include loans modified in troubled debt restructurings where concessions have been granted to borrowers experiencing financial difficulties. The intent of concessions is to maximize collection. Groups of loans with similar risk characteristics are collectively evaluated for impairment based on the group’s historical loss experience adjusted for changes in trends, conditions and other relevant factors that affect repayment of the loans. The following tables present loans individually evaluated for impairment, including all restructured and formerly restructured loans, for the periods ended March 31, 2021 and December 31, 2020: Unpaid Recorded Balance Principal Balance Specific Allowance (Dollars in thousands) March 31, 2021 Loans without a specific valuation Commercial $ 36,174 $ 38,124 $ — Energy 103 103 — Commercial real estate 10,553 12,138 — Construction and land development — — — Residential and multifamily real estate 6,302 6,558 — PPP — — — Consumer 241 241 — Loans with a specific valuation Commercial 3,113 15,297 832 Energy 27,112 35,204 4,938 Commercial real estate 25,475 25,475 2,990 Construction and land development — — — Residential and multifamily real estate — — — PPP — — — Consumer — — — Total Commercial 39,287 53,421 832 Energy 27,215 35,307 4,938 Commercial real estate 36,028 37,613 2,990 Construction and land development — — — Residential and multifamily real estate 6,302 6,558 — PPP — — — Consumer 241 241 — $ 109,073 $ 133,140 $ 8,760 Unpaid Recorded Balance Principal Balance Specific Allowance (Dollars in thousands) December 31, 2020 Loans without a specific valuation Commercial $ 36,111 $ 50,245 $ — Energy 3,864 6,677 — Commercial real estate 10,079 11,663 — Construction and land development — — — Residential and multifamily real estate 6,329 6,585 — PPP — — — Consumer 244 244 — Loans with a specific valuation Commercial 8,567 8,567 1,115 Energy 22,181 27,460 3,370 Commercial real estate 34,239 34,239 5,048 Construction and land development — — — Residential and multifamily real estate — — — PPP — — — Consumer — — — Total Commercial 44,678 58,812 1,115 Energy 26,045 34,137 3,370 Commercial real estate 44,318 45,902 5,048 Construction and land development — — — Residential and multifamily real estate 6,329 6,585 — PPP — — — Consumer 244 244 — $ 121,614 $ 145,680 $ 9,533 The table below shows interest income recognized during the three month periods ended March 31, 2021 and 2020 for impaired loans, including all restructured and formerly restructured loans, held at the end of each period: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Commercial $ 303 $ 910 Energy 16 122 Commercial real estate 287 123 Construction and land development — — Residential and multifamily real estate 36 40 PPP — — Consumer — — Total interest income recognized $ 642 $ 1,195 The table below shows the three month average balance of impaired loans for the periods ended March 31, 2021 and 2020 by loan category for impaired loans, including all restructured and formerly restructured loans, held at the end of each period: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Commercial $ 41,919 $ 86,626 Energy 27,431 16,976 Commercial real estate 36,215 14,927 Construction and land development — — Residential and multifamily real estate 6,316 5,230 PPP — — Consumer 243 254 Total average impaired loans $ 112,124 $ 124,013 Non-accrual Loans Non-accrual loans are loans for which the Company does not record interest income. The accrual of interest on loans is discontinued at the time the loan is 90 days past due unless the credit is well secured and in process of collection. Past due status is based on contractual terms of the loan. In all cases, loans are placed on non-accrual or charged off at an earlier date, if collection of principal or interest is considered doubtful. All interest accrued but not collected for loans that are placed on non-accrual or charged off are reversed against interest income. The interest on these loans is accounted for on the cash basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The following table presents the Company’s non-accrual loans by loan category at March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 (Dollars in thousands) Commercial $ 22,070 $ 26,691 Energy 27,112 25,927 Commercial real estate 10,821 19,088 Construction and land development — — Residential and multifamily real estate 3,075 3,101 PPP — — Consumer 241 244 Total non-accrual loans $ 63,319 $ 75,051 Troubled Debt Restructurings Restructured loans are those extended to borrowers who are experiencing financial difficulty and who have been granted a concession, excluding loan modifications as a result of the COVID-19 pandemic. The modification of terms typically includes the extension of maturity, reduction or deferment of monthly payment, or reduction of the stated interest rate. For the three month periods ended March 31, 2021 and 2020, the modifications related to the TDRs below did not impact the ALLL because the loans were previously impaired and evaluated on an individual basis or enough collateral was obtained. The table below presents loans restructured, excluding loans restructured as a result of the COVID-19 pandemic, during the three months ended March 31, 2021 and 2020, including the post-modification outstanding balance and the type of concession made: Three Months Ended March 31, March 31, 2021 2020 (Dollars in thousands) Commercial - Interest rate reduction $ — $ 3,171 Energy - Extension of maturity date — 2,340 Total troubled debt restructurings $ — $ 5,511 The balance of restructured loans, excluding loans restructured as a result of the COVID-19 pandemic, is provided below as of March 31, 2021 and December 31, 2020. In addition, the balance of those loans that are in default at any time during the past twelve months at March 31, 2021 and December 31, 2020 is provided below: March 31, 2021 December 31, 2020 Number of Loans Outstanding Balance Balance 90 days past due at any time during previous 12 months (1) Number of Loans Outstanding Balance Balance 90 days past due at any time during previous 12 months (1) (Dollars in thousands) Commercial 6 $ 21,631 $ 4,115 7 $ 22,759 $ 2,776 Energy 4 10,850 2,619 4 11,053 2,713 Commercial real estate 4 25,990 — 4 26,038 — Construction and land development — — — — — — Residential and multifamily real estate 2 3,244 — 2 3,245 — PPP — — — — — — Consumer — — — — — — Total troubled debt restructured loans 16 $ 61,715 $ 6,734 17 $ 63,095 $ 5,489 (1) Default is considered to mean 90 days or more past due as to interest or principal. The TDRs above had an allowance of $5 million and $4 million as of March 31, 2021 and December 31, 2020, respectively. |
Derivatives and Hedging
Derivatives and Hedging | 3 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging | Derivatives and Hedging Derivatives not designated as hedges are not speculative and result from a service the Company provides to clients. The Company executes interest rate swaps with customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously hedged by offsetting derivatives that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate derivatives associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer derivatives and the offsetting derivatives are recognized directly in earnings. As of March 31, 2021 and December 31, 2020, the Company had the following outstanding derivatives that were not designated as hedges in qualifying hedging relationships: March 31, 2021 December 31, 2020 Product Number of Instruments Notional Amount Number of Instruments Notional Amount (Dollars in thousands) Back-to-back swaps 56 $ 546,947 56 $ 515,567 The table below presents the fair value of the Company’s derivative financial instruments and their classification on the Balance Sheet as of March 31, 2021 and December 31, 2020: Asset Derivatives Liability Derivatives Balance Sheet March 31, December 31, Balance Sheet March 31, December 31, Location 2021 2020 Location 2021 2020 (Dollars in thousands) Derivatives not designated as hedging instruments Interest rate products Other assets $ 15,561 $ 24,094 Other liabilities $ 15,766 $ 24,454 |
Time Deposits and Borrowings
Time Deposits and Borrowings | 3 Months Ended |
Mar. 31, 2021 | |
Maturities of Time Deposits [Abstract] | |
Time Deposits and Borrowings | Time Deposits and Borrowings The scheduled maturities, excluding interest, of the Company’s borrowings at March 31, 2021 were as follows: March 31, 2021 Within One Year One to Two Years Two to Three Years Three to Four Years Four to Five Years After Five Years Total (Dollars in thousands) Time deposits $ 763,848 $ 115,321 $ 42,981 $ 8,193 $ 1,411 $ 37 $ 931,791 Fed funds purchased & repurchase agreements 3,294 — — — — — 3,294 FHLB borrowings 16,500 11,500 35,000 — 5,100 215,000 283,100 Trust preferred securities (1) — — — — — 974 974 $ 783,642 $ 126,821 $ 77,981 $ 8,193 $ 6,511 $ 216,011 $ 1,219,159 |
Change in Accumulated Other Com
Change in Accumulated Other Comprehensive Income ("AOCI") | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Change in Accumulated Other Comprehensive Income ("AOCI") | Change in Accumulated Other Comprehensive Income (“AOCI”) Amounts reclassified from AOCI and the affected line items in the Consolidated Statements of Income during the three months ended March 31, 2021 and 2020, were as follows: Three Months Ended March 31, Affected Line Item in the 2021 2020 Statements of Income (Dollars in thousands) Unrealized gains on available-for-sale securities $ 10 $ 393 Gain on sale of available-for-sale debt securities Less: tax effect 2 96 Income tax expense Net reclassified amount $ 8 $ 297 |
Regulatory Matters
Regulatory Matters | 3 Months Ended |
Mar. 31, 2021 | |
Banking Regulation, Risk-Based Information [Abstract] | |
Regulatory Matters | Regulatory Matters The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s consolidated financial statements. Management believes that, as of March 31, 2021, the Company and the Bank met all capital adequacy requirements to which they are subject. The capital rules require the Company to maintain a 2.5% capital conservation buffer with respect to Common Equity Tier I capital, Tier I capital to risk-weighted assets, and total capital to risk-weighted assets, which is included in the column “Minimum Capital Required - Basel III” within the table below. A financial institution with a conservation buffer of less than the required amount is subject to limitations on capital distributions, including dividend payments and stock repurchases, as well as certain discretionary bonus payments to executive officers. The Company’s and the Bank’s actual capital amounts and ratios as of March 31, 2021 and December 31, 2020 are presented in the following table: Actual Minimum Capital Required - Basel III Required to be Considered Well Capitalized Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) March 31, 2021 Total Capital to Risk-Weighted Assets Consolidated $ 668,393 13.3 % $ 528,882 10.5 % N/A N/A Bank 624,240 12.4 528,704 10.5 $ 503,528 10.0 % Tier I Capital to Risk-Weighted Assets Consolidated 605,281 12.0 428,143 8.5 N/A N/A Bank 561,155 11.1 427,999 8.5 402,822 8.0 Common Equity Tier 1 to Risk-Weighted Assets Consolidated 604,307 12.0 352,588 7.0 N/A N/A Bank 561,155 11.1 352,470 7.0 327,293 6.5 Tier I Capital to Average Assets Consolidated 605,281 10.5 230,468 4.0 N/A N/A Bank $ 561,155 9.7 % $ 230,354 4.0 % $ 287,942 5.0 % December 31, 2020 Total Capital to Risk-Weighted Assets Consolidated $ 656,806 13.1 % $ 527,486 10.5 % N/A N/A Bank 611,533 12.2 527,217 10.5 $ 502,111 10.0 % Tier I Capital to Risk-Weighted Assets Consolidated 593,865 11.8 427,012 8.5 N/A N/A Bank 548,615 10.9 426,794 8.5 401,689 8.0 Common Equity Tier 1 to Risk-Weighted Assets Consolidated 592,902 11.8 351,657 7.0 N/A N/A Bank 548,615 10.9 351,478 7.0 326,372 6.5 Tier I Capital to Average Assets Consolidated 593,865 10.8 219,550 4.0 N/A N/A Bank $ 548,615 10.0 % $ 219,441 4.0 % $ 274,302 5.0 % |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The Company issues stock-based compensation in the form of nonvested restricted stock and stock appreciation rights under the 2018 Omnibus Equity Incentive Plan (“Omnibus Plan”). The Omnibus Plan will expire on the tenth anniversary of its effective date. In addition, the Company has an Employee Stock Purchase Plan that was reinstated during the third quarter of 2020. The aggregate number of shares authorized for future issuance under the Omnibus Plan is 1,831,858 shares as of March 31, 2021. The table below summarizes the stock-based compensation for the three months ended March 31, 2021 and 2020: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Stock appreciation rights $ 236 $ 256 Performance-based stock awards (266) 74 Restricted stock units and awards 665 604 Employee stock purchase plan 14 — Total stock-based compensation $ 649 $ 934 Performance-Based Stock Awards (“PBSAs”) The Company awards PBSAs to key officers of the Company. The performance-based shares typically cliff-vest at the end of three years based on attainment of certain performance metrics developed by the Compensation Committee. The ultimate number of shares issuable under each performance award is the product of the award target and the award payout percentage given the level of achievement. The award payout percentages by level of achievement range between 0% of target and 150% of target. During the three months ended March 31, 2021, the Company granted 63,631 PBSAs. The performance metrics include three year cumulative, adjusted earnings per share and relative total shareholder return. The following table summarizes the status of and changes in the performance-based awards: Performance Based Stock Awards Number of Shares Weighted-Average Grant Date Fair Value Unvested, January 1, 2021 231,631 $10.51 Granted 63,631 12.89 Vested 0 0.00 Forfeited 0 0.00 Unvested, March 31, 2021 295,262 $11.02 Unrecognized stock-based compensation related to the performance awards issued through March 31, 2021 was $968 thousand and is expected to be recognized over 2.7 years. Restricted Stock Units (“RSUs”) and Restricted Stock Awards (“RSAs”) The Company issues RSUs and RSAs to provide incentives to key officers, employees, and nonemployee directors. Awards are typically granted annually as determined by the Compensation Committee. The service-based RSUs typically vest in equal amounts over three years. The service-based RSAs typically cliff-vest after one year. The following table summarizes the status of and changes in the RSUs and RSAs: Restricted Stock Units and Awards Number of Shares Weighted-Average Grant Date Fair Value Unvested, January 1, 2021 369,217 $12.61 Granted 194,211 12.87 Vested (109,770) 14.28 Forfeited 0 0.00 Unvested, March 31, 2021 453,658 $12.32 Unrecognized stock-based compensation related to the RSUs and RSAs issued through March 31, 2021 was $4 million and is expected to be recognized over 2.3 years. |
Income Tax
Income Tax | 3 Months Ended |
Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Tax An income tax expense reconciliation at the statutory rate to the Company’s actual income tax expense is shown below: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Computed at the statutory rate (21%) $ 3,138 $ 872 Increase (decrease) resulting from Tax-exempt income (790) (790) Nondeductible expenses 50 64 State income taxes 496 142 Equity based compensation 14 26 Other adjustments — (21) Actual tax expense $ 2,908 $ 293 The tax effects of temporary differences related to deferred taxes shown on the Consolidated Balance Sheets are presented below: March 31, 2021 December 31, 2020 (Dollars in thousands) Deferred tax assets Allowance for loan losses $ 17,944 $ 18,124 Lease incentive 550 564 Loan fees 3,453 3,178 Accrued expenses 874 2,128 Deferred compensation 2,197 2,474 State tax credit 2,447 2,621 Other 452 946 Total deferred tax asset 27,917 30,035 Deferred tax liability Net unrealized gain on securities available-for-sale (7,308) (9,531) FHLB stock basis (1,248) (1,209) Premises and equipment (2,703) (2,881) Other (1,446) (1,601) Total deferred tax liability (12,705) (15,222) Net deferred tax asset $ 15,212 $ 14,813 |
Disclosures about Fair Value of
Disclosures about Fair Value of Financial Instruments | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Disclosures about Fair Value of Financial Instruments | Disclosures about Fair Value of Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements must maximize the use of observable inputs and minimize the use of unobservable inputs. There is a hierarchy of three levels of inputs that may be used to measure fair value: Level 1 Quoted prices in active markets for identical assets or liabilities. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 Unobservable inputs supported by little or no market activity and significant to the fair value of the assets or liabilities. Recurring Measurements The following list presents the assets and liabilities recognized in the accompanying Consolidated Balance Sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at March 31, 2021 and December 31, 2020: Fair Value Description Valuation Hierarchy Level Where Fair Value Balance Can Be Found Available-for-Sale Securities Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using quoted prices of securities with similar characteristics or independent asset pricing services and pricing models, the inputs of which are market-based or independently sourced market parameters, including, but not limited to, yield curves, interest rates, volatilities, prepayments, defaults, cumulative loss projections and cash flows. Level 2 Note 3: Securities Derivatives Fair value of the interest rate swaps is obtained from independent pricing services based on quoted market prices for similar derivative contracts. Level 2 Note 5: Derivatives and Hedging Nonrecurring Measurements The following tables present assets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at March 31, 2021 and December 31, 2020: March 31, 2021 Fair Value Measurements Using Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs (Dollars in thousands) Collateral-dependent impaired loans $ 46,940 $ — $ — $ 46,940 December 31, 2020 Fair Value Measurements Using Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs (Dollars in thousands) Collateral-dependent impaired loans $ 55,454 $ — $ — $ 55,454 Foreclosed assets held-for-sale $ 2,347 $ — $ — $ 2,347 Following is a description of the valuation methodologies and inputs used for assets measured at fair value on a nonrecurring basis and recognized in the accompanying Consolidated Balance Sheets. Collateral-dependent Impaired Loans, Net of ALLL The estimated fair value of collateral-dependent impaired loans is based on the appraised fair value of the collateral, less estimated cost to sell. Collateral-dependent impaired loans are classified within Level 3 of the fair value hierarchy. The Company considers the appraisal or evaluation as the starting point for determining fair value and then considers other factors and events in the environment that may affect the fair value. Appraisals of the collateral underlying collateral-dependent loans are obtained when the loan is determined to be collateral-dependent and subsequently as deemed necessary by the Office of the Chief Credit Officer. Appraisals are reviewed for accuracy and consistency by the Office of the Chief Credit Officer. Appraisers are selected from the list of approved appraisers maintained by management. The appraised values are reduced by discounts to consider lack of marketability and estimated cost to sell if repayment or satisfaction of the loan is dependent on the sale of the collateral. These discounts and estimates are developed by the Office of the Chief Credit Officer by comparison to historical results. Foreclosed Assets Held-for-Sale The fair value of foreclosed assets-held-for-sale is based on the appraised fair value of the collateral, less estimated cost to sell. Unobservable (Level 3) Inputs The following tables present quantitative information about unobservable inputs used in nonrecurring Level 3 fair value measurements at March 31, 2021 and December 31, 2020: March 31, 2021 Fair Value Valuation Techniques Unobservable Inputs Range (Dollars in thousands) Collateral-dependent impaired loans $ 46,940 Market comparable properties Marketability discount 10% - 98% (27%) December 31, 2020 Fair Value Valuation Techniques Unobservable Inputs Range (Dollars in thousands) Collateral-dependent impaired loans $ 55,454 Market comparable properties Marketability discount 1% - 98% (24%) Foreclosed assets held-for-sale $ 2,347 Market comparable properties Marketability discount 7% - 10% (9%) The following tables present the estimated fair values of the Company’s financial instruments at March 31, 2021 and December 31, 2020: March 31, 2021 Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (Dollars in thousands) Financial Assets Cash and cash equivalents $ 630,787 $ 630,787 $ — $ — $ 630,787 Available-for-sale securities 685,454 — 685,454 — 685,454 Loans, net of allowance for loan losses 4,434,049 — — 4,419,714 4,419,714 Restricted equity securities 14,080 — — 14,080 14,080 Interest receivable 17,987 — 17,987 — 17,987 Equity securities 13,405 — 2,216 11,189 13,405 Derivative assets 15,561 — 15,561 — 15,561 $ 5,811,323 $ 630,787 $ 721,218 $ 4,444,983 $ 5,796,988 Financial Liabilities Deposits $ 5,051,570 $ 794,559 $ — $ 4,289,169 $ 5,083,728 Federal funds purchased and repurchase agreements 3,294 — 3,294 — 3,294 Federal Home Loan Bank advances 283,100 — 292,667 — 292,667 Other borrowings 974 — 2,235 — 2,235 Interest payable 1,911 — 1,911 — 1,911 Derivative liabilities 15,766 — 15,766 — 15,766 $ 5,356,615 $ 794,559 $ 315,873 $ 4,289,169 $ 5,399,601 December 31, 2020 Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (Dollars in thousands) Financial Assets Cash and cash equivalents $ 408,810 $ 408,810 $ — $ — $ 408,810 Available-for-sale securities 654,588 — 654,588 — 654,588 Loans, net of allowance for loan losses 4,366,602 — — 4,351,970 4,351,970 Restricted equity securities 15,543 — — 15,543 15,543 Interest receivable 17,236 — 17,236 — 17,236 Equity securities 13,436 — 2,247 11,189 13,436 Derivative assets 24,094 — 24,094 — 24,094 $ 5,500,309 $ 408,810 $ 698,165 $ 4,378,702 $ 5,485,677 Financial Liabilities Deposits $ 4,694,740 $ 718,459 $ — $ 4,015,792 $ 4,734,251 Federal funds purchased and repurchase agreements 2,306 — 2,306 — 2,306 Federal Home Loan Bank advances 293,100 — 309,020 — 309,020 Other borrowings 963 — 2,024 — 2,024 Interest payable 2,163 — 2,163 — 2,163 Derivative liabilities 24,454 — 24,454 — 24,454 $ 5,017,726 $ 718,459 $ 339,967 $ 4,015,792 $ 5,074,218 |
Commitments and Credit Risk
Commitments and Credit Risk | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Credit Risk | Commitments and Credit Risk Commitments The Company had the following commitments at March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 (Dollars in thousands) Commitments to originate loans $ 112,738 $ 99,596 Standby letters of credit 41,256 48,607 Lines of credit 1,401,710 1,423,038 Total $ 1,555,704 $ 1,571,241 |
Legal and Regulatory Proceeding
Legal and Regulatory Proceedings | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal and Regulatory Proceedings | Legal and Regulatory Proceedings General Litigation The Company is subject to claims and lawsuits that arise primarily in the ordinary course of business. It is the opinion of management the disposition or ultimate resolution of such claims and lawsuits will not have a material adverse effect on the consolidated financial position, results of operations and cash flows of the Company. |
Nature of Operations and Summ_2
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The Company’s accounting and reporting policies conform to accounting principles generally accepted in the United States (“GAAP”). The consolidated financial statements include the accounts of the Company, the Bank, CFI, CFBSA I, LLC and CFBSA II, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. The consolidated interim financial statements are unaudited and certain information and footnote disclosures presented in accordance with GAAP have been condensed or omitted and should be read in conjunction with the Company’s consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 (the “2020 Form 10-K”), filed with the Securities and Exchange Commission (the “SEC”) on February 26, 2021. In the opinion of management, the interim financial statements include all adjustments which are of a normal, recurring nature necessary for the fair presentation of the financial position, results of operations, and cash flows of the Company and the disclosures made are adequate to make the interim financial information not misleading. The consolidated financial statements have been prepared in accordance with GAAP for interim financial information and the instructions to Form 10-Q adopted by the SEC. No significant changes in the accounting policies of the Company occurred since December 31, 2020, the most recent date financial statements were provided within the Company’s 2020 Form 10-K. Operating results for the interim periods disclosed herein are not necessarily indicative of the results that may be expected for a full year or any future period. |
Use of Estimates | Use of Estimates The Company identified accounting policies and estimates that, due to the difficult, subjective or complex judgments and assumptions inherent in those policies and estimates and the potential sensitivity of the Company’s financial statements to those judgments and assumptions, are critical to an understanding of the Company’s financial condition and results of operations. Actual results could differ from those estimates. In particular, the novel coronavirus (“COVID-19”) pandemic and resulting impacts to economic conditions, as well as adverse impacts to the Company’s operations, may impact future estimates. The allowance for loan losses, deferred tax asset, and fair value of financial instruments are particularly susceptible to significant change. |
Cash Equivalents | Cash EquivalentsThe Company had $541 million of cash and cash equivalents at the Federal Reserve Bank of Kansas City as of March 31, 2021. The reserve required at March 31, 2021 was $0. |
Impaired Loans | Impaired Loans A loan is considered impaired, in accordance with the impairment accounting guidance (ASC 310-10-35-16), when based on current information and events, it is probable the Company will be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans include nonperforming loans but also include loans modified in troubled debt restructurings where concessions have been granted to borrowers experiencing financial difficulties. The intent of concessions is to maximize collection. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The following table provides information about Accounting Standard Updates (“ASUs”) the Company anticipates to adopt in the future: Standard Anticipated Date of Adoption Description Effect on Financial Statements or Other Significant Matters ASU 2016-13 Financial Instruments-Credit Losses If the Company maintains its EGC status, the Company is not required to implement this standard until January 2023. The Company anticipates an adoption date of January 2022. Requires an entity to utilize a new impairment model known as the current expected credit loss model to estimate its lifetime expected credit loss and record an allowance that, when deducted from amortized cost basis of the financial asset, presents the net amount expected to be collected on the financial asset. The Company established a committee of individuals from applicable departments to oversee the implementation process. The Company completed the third-party software implementation phase that included data capture and portfolio segmentation amongst other items. The Company completed parallel runs in 2019. During the period ended December 31, 2020, the Company continued to perform parallel runs using 2020 data and continued to recalibrate inputs as necessary. The Company is evaluating the internal control changes that will be necessary to transition to the third-party platform and third-party testing is anticipated later in 2021. At this time, an estimate of the impact cannot be established as the Company continues to evaluate the inputs into the model. The actual impact could be significantly affected by the composition, characteristics, and quality of the underlying loan portfolio at the time of adoption. ASU 2016-02 Leases (Topic 842) The Company expects to implement this standard on January 1, 2022, unless the Company loses its EGC status during 2021. If EGC status changes, the Company would therefore be required to implement the ASU as of the beginning of 2021. Requires lessees and lessors to recognize lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. The update requires lessees and lessors to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach with the option to elect certain practical expedients. The update will also increase disclosures around leases, including qualitative and specific quantitative measures. The Company expects to apply the update as of the beginning of the period of adoption and the Company does not plan to restate comparative periods. The Company expects to elect certain optional practical expedients. The Company gathered all potential lease and embedded lease agreements and is evaluating the applicability and impact to the financial statements. The Company’s current operating leases relate primarily to four branch locations. Based on the current leases, the Company anticipates recognizing a lease liability and related right-to-use asset on its balance sheet, with an immaterial impact to its income statement compared to the current lease accounting model. However, the ultimate impact of the standard will depend on the Company's lease portfolio as of the adoption date. |
Changes Affecting Comparability | Changes Affecting Comparability Beginning with the quarter ended March 31, 2021, the Company consolidated the “Goodwill and other intangible assets, net” into “other assets” within the Consolidated Balance Sheets. The consolidation was due to the immateriality of the remaining intangible assets. The change had no impact on net income. |
Allowance for Loan Losses | Allowance for Loan Losses The ALLL is established as losses are estimated to have occurred through a provision for loan losses charged to income. Loan losses are charged against the allowance when management believes the loan balance is not collectible. Subsequent recoveries, if any, are credited to the allowance. The ALLL is evaluated on a regular basis by management and is based upon management’s periodic review of its ability to collect the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The ALLL consists of allocated and general components. The allocated component relates to loans that are classified as impaired. For those loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. The general component covers all loans on |
Non-accrual Loans | Non-accrual Loans Non-accrual loans are loans for which the Company does not record interest income. The accrual of interest on loans is discontinued at the time the loan is 90 days past due unless the credit is well secured and in process of collection. Past due status is based on contractual terms of the loan. In all cases, loans are placed on non-accrual or charged off at an earlier date, if collection of principal or interest is considered doubtful. |
Troubled Debt Restructurings | Troubled Debt RestructuringsRestructured loans are those extended to borrowers who are experiencing financial difficulty and who have been granted a concession, excluding loan modifications as a result of the COVID-19 pandemic. The modification of terms typically includes the extension of maturity, reduction or deferment of monthly payment, or reduction of the stated interest rate. |
Fair Value Measurement | Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements must maximize the use of observable inputs and minimize the use of unobservable inputs. There is a hierarchy of three levels of inputs that may be used to measure fair value: Level 1 Quoted prices in active markets for identical assets or liabilities. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 Unobservable inputs supported by little or no market activity and significant to the fair value of the assets or liabilities. Collateral-dependent Impaired Loans, Net of ALLL The estimated fair value of collateral-dependent impaired loans is based on the appraised fair value of the collateral, less estimated cost to sell. Collateral-dependent impaired loans are classified within Level 3 of the fair value hierarchy. The Company considers the appraisal or evaluation as the starting point for determining fair value and then considers other factors and events in the environment that may affect the fair value. Appraisals of the collateral underlying collateral-dependent loans are obtained when the loan is determined to be collateral-dependent and subsequently as deemed necessary by the Office of the Chief Credit Officer. Appraisals are reviewed for accuracy and consistency by the Office of the Chief Credit Officer. Appraisers are selected from the list of approved appraisers maintained by management. The appraised values are reduced by discounts to consider lack of marketability and estimated cost to sell if repayment or satisfaction of the loan is dependent on the sale of the collateral. These discounts and estimates are developed by the Office of the Chief Credit Officer by comparison to historical results. Foreclosed Assets Held-for-Sale The fair value of foreclosed assets-held-for-sale is based on the appraised fair value of the collateral, less estimated cost to sell. |
Nature of Operations and Summ_3
Nature of Operations and Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Accounting Pronouncements Adopted and Not Yet Adopted | The following table provides information about Accounting Standard Updates (“ASUs”) the Company anticipates to adopt in the future: Standard Anticipated Date of Adoption Description Effect on Financial Statements or Other Significant Matters ASU 2016-13 Financial Instruments-Credit Losses If the Company maintains its EGC status, the Company is not required to implement this standard until January 2023. The Company anticipates an adoption date of January 2022. Requires an entity to utilize a new impairment model known as the current expected credit loss model to estimate its lifetime expected credit loss and record an allowance that, when deducted from amortized cost basis of the financial asset, presents the net amount expected to be collected on the financial asset. The Company established a committee of individuals from applicable departments to oversee the implementation process. The Company completed the third-party software implementation phase that included data capture and portfolio segmentation amongst other items. The Company completed parallel runs in 2019. During the period ended December 31, 2020, the Company continued to perform parallel runs using 2020 data and continued to recalibrate inputs as necessary. The Company is evaluating the internal control changes that will be necessary to transition to the third-party platform and third-party testing is anticipated later in 2021. At this time, an estimate of the impact cannot be established as the Company continues to evaluate the inputs into the model. The actual impact could be significantly affected by the composition, characteristics, and quality of the underlying loan portfolio at the time of adoption. ASU 2016-02 Leases (Topic 842) The Company expects to implement this standard on January 1, 2022, unless the Company loses its EGC status during 2021. If EGC status changes, the Company would therefore be required to implement the ASU as of the beginning of 2021. Requires lessees and lessors to recognize lease assets and lease liabilities on the balance sheet and disclose key information about leasing arrangements. The update requires lessees and lessors to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach with the option to elect certain practical expedients. The update will also increase disclosures around leases, including qualitative and specific quantitative measures. The Company expects to apply the update as of the beginning of the period of adoption and the Company does not plan to restate comparative periods. The Company expects to elect certain optional practical expedients. The Company gathered all potential lease and embedded lease agreements and is evaluating the applicability and impact to the financial statements. The Company’s current operating leases relate primarily to four branch locations. Based on the current leases, the Company anticipates recognizing a lease liability and related right-to-use asset on its balance sheet, with an immaterial impact to its income statement compared to the current lease accounting model. However, the ultimate impact of the standard will depend on the Company's lease portfolio as of the adoption date. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings (Loss) Per Share, Basic and Diluted | The following table presents the computation of basic and diluted earnings per share: Three Months Ended March 31, 2021 2020 (Dollars in thousands except per share data) Earnings per Share Net income available to common stockholders $ 12,035 $ 3,857 Weighted average common shares 51,657,204 52,071,484 Earnings per share $ 0.23 $ 0.07 Dilutive Earnings Per Share Net income available to common stockholders $ 12,035 $ 3,857 Weighted average common shares 51,657,204 52,071,484 Effect of dilutive shares 724,270 588,786 Weighted average dilutive common shares 52,381,474 52,660,270 Diluted earnings per share $ 0.23 $ 0.07 Stock-based awards not included because to do so would be antidilutive 669,112 905,406 |
Securities (Tables)
Securities (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-sale Securities Reconciliation | The amortized cost and approximate fair values, together with gross unrealized gains and losses, of period end available-for-sale securities consisted of the following: March 31, 2021 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Approximate Fair Value (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ 138,231 $ 2,912 $ 1,464 $ 139,679 Collateralized mortgage obligations - GSE residential 38,206 785 26 38,965 State and political subdivisions 474,912 28,517 862 502,567 Corporate bonds 4,251 74 82 4,243 Total available-for-sale securities $ 655,600 $ 32,288 $ 2,434 $ 685,454 December 31, 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Approximate Fair Value (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ 104,839 $ 4,277 $ — $ 109,116 Collateralized mortgage obligations - GSE residential 52,070 984 42 53,012 State and political subdivisions 454,486 33,642 31 488,097 Corporate bonds 4,259 104 — 4,363 Total available-for-sale securities $ 615,654 $ 39,007 $ 73 $ 654,588 |
Investments Classified by Contractual Maturity Date | The amortized cost and fair value of available-for-sale securities at March 31, 2021, by contractual maturity, are shown below: March 31, 2021 Within After One to After Five to After One Year Five Years Ten Years Ten Years Total (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential (1) Amortized cost $ — $ 48 $ 181 $ 138,002 $ 138,231 Estimated fair value $ — $ 50 $ 193 $ 139,436 $ 139,679 Weighted average yield (2) — % 4.60 % 3.91 % 1.72 % 1.72 % Collateralized mortgage obligations - GSE residential (1) Amortized cost $ — $ — $ 2,469 $ 35,737 $ 38,206 Estimated fair value $ — $ — $ 2,645 $ 36,320 $ 38,965 Weighted average yield (2) — % — % 2.75 % 1.59 % 1.66 % State and political subdivisions Amortized cost $ 652 $ 5,947 $ 65,518 $ 402,795 $ 474,912 Estimated fair value $ 654 $ 6,024 $ 70,889 $ 425,000 $ 502,567 Weighted average yield (2) 3.54 % 3.86 % 3.32 % 2.82 % 2.90 % Corporate bonds Amortized cost $ — $ 357 $ 3,894 $ — $ 4,251 Estimated fair value $ — $ 366 $ 3,877 $ — $ 4,243 Weighted average yield (2) — % 4.10 % 4.54 % — % 4.51 % Total available-for-sale securities Amortized cost $ 652 $ 6,352 $ 72,062 $ 576,534 $ 655,600 Estimated fair value $ 654 $ 6,440 $ 77,604 $ 600,756 $ 685,454 Weighted average yield (2) 3.54 % 3.88 % 3.37 % 2.48 % 2.59 % (1) Actual maturities may differ from contractual maturities because issuers may have the rights to call or prepay obligations with or without prepayment penalties. (2) Yields are calculated based on amortized cost. |
Schedule of Unrealized Loss on Investments | The following tables show the number of securities, unrealized loss, and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temporarily impaired (“OTTI”), aggregated by investment class and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2021 and December 31, 2020: March 31, 2021 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ 55,185 $ 1,464 8 $ — $ — — $ 55,185 $ 1,464 8 Collateralized mortgage obligations - GSE residential 7,591 26 6 — — — 7,591 26 6 State and political subdivisions 44,008 861 32 24 1 1 44,032 862 33 Corporate bonds 3,418 82 1 — — — 3,418 82 1 Total temporarily impaired securities $ 110,202 $ 2,433 47 $ 24 $ 1 1 $ 110,226 $ 2,434 48 December 31, 2020 Less than 12 Months 12 Months or More Total Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities Fair Value Unrealized Losses Number of Securities (Dollars in thousands) Available-for-sale securities Mortgage-backed - GSE residential $ — $ — — $ — $ — — $ — $ — — Collateralized mortgage obligations - GSE residential 9,933 42 5 — — — 9,933 42 5 State and political subdivisions 8,525 31 8 25 — 1 8,550 31 9 Corporate bonds — — — — — — — — — Total temporarily impaired securities $ 18,458 $ 73 13 $ 25 $ — 1 $ 18,483 $ 73 14 |
Gain (Loss) on Securities | The following is a summary of the unrealized and realized gains and losses recognized in net income on equity securities: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Net gains (losses) recognized during the reporting period on equity securities $ (39) $ 34 Less: net gains recognized during the reporting period on equity securities sold during the reporting period — — Unrealized gain (losses) recognized during the reporting period on equity securities still held at the reporting date $ (39) $ 34 |
Loans and Allowance for Loan _2
Loans and Allowance for Loan Losses ("ALLL") (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Receivables [Abstract] | |
Category of Loans | Categories of loans at March 31, 2021 and December 31, 2020 include: March 31, 2021 December 31, 2020 (Dollars in thousands) Commercial $ 1,284,047 $ 1,338,757 Energy 342,899 345,233 Commercial real estate 1,191,634 1,179,534 Construction and land development 617,200 563,144 Residential and multifamily real estate 687,893 680,932 Paycheck Protection Program (“PPP”) 336,355 292,230 Consumer 62,917 55,270 Gross loans 4,522,945 4,455,100 Less: Allowance for loan losses 74,551 75,295 Less: Net deferred loan fees and costs 14,345 13,203 Net loans $ 4,434,049 $ 4,366,602 |
Loans, Allowance for Loan Loss | The following tables summarize the activity in the ALLL by portfolio segment and disaggregated based on the Company’s impairment methodology. The allocation in one portfolio segment does not preclude its availability to absorb losses in other segments: Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) Three months ended March 31, 2021 Allowance for loan losses Beginning balance $ 24,693 $ 18,341 $ 22,354 $ 3,612 $ 5,842 $ — $ 453 $ 75,295 Provision charged to expense 7,015 1,951 (1,745) 225 214 — (160) 7,500 Charge-offs (8,266) — — — — — — (8,266) Recoveries 22 — — — — — — 22 Ending balance $ 23,464 $ 20,292 $ 20,609 $ 3,837 $ 6,056 $ — $ 293 $ 74,551 Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) Three months ended March 31, 2020 Allowance for loan losses Beginning balance $ 35,864 $ 6,565 $ 8,085 $ 3,516 $ 2,546 $ — $ 320 $ 56,896 Provision charged to expense 3,271 2,313 4,538 1,505 2,141 — 182 13,950 Charge-offs (18,077) (1,279) — — — — (104) (19,460) Recoveries 71 — — — — — 1 72 Ending balance $ 21,129 $ 7,599 $ 12,623 $ 5,021 $ 4,687 $ — $ 399 $ 51,458 Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) March 31, 2021 Period end allowance for loan losses allocated to: Individually evaluated for impairment $ 832 $ 4,938 $ 2,990 $ — $ — $ — $ — $ 8,760 Collectively evaluated for impairment $ 22,632 $ 15,354 $ 17,619 $ 3,837 $ 6,056 $ — $ 293 $ 65,791 Ending balance $ 23,464 $ 20,292 $ 20,609 $ 3,837 $ 6,056 $ — $ 293 $ 74,551 Allocated to loans: Individually evaluated for impairment $ 39,287 $ 27,215 $ 36,028 $ — $ 6,302 $ — $ 241 $ 109,073 Collectively evaluated for impairment $ 1,244,760 $ 315,684 $ 1,155,606 $ 617,200 $ 681,591 $ 336,355 $ 62,676 $ 4,413,872 Ending balance $ 1,284,047 $ 342,899 $ 1,191,634 $ 617,200 $ 687,893 $ 336,355 $ 62,917 $ 4,522,945 Commercial Energy Commercial Real Estate Construction and Land Development Residential and Multifamily Real Estate PPP Consumer Total (Dollars in thousands) December 31, 2020 Period end allowance for loan losses allocated to: Individually evaluated for impairment $ 1,115 $ 3,370 $ 5,048 $ — $ — $ — $ — $ 9,533 Collectively evaluated for impairment $ 23,578 $ 14,971 $ 17,306 $ 3,612 $ 5,842 $ — $ 453 $ 65,762 Ending balance $ 24,693 $ 18,341 $ 22,354 $ 3,612 $ 5,842 $ — $ 453 $ 75,295 Allocated to loans: Individually evaluated for impairment $ 44,678 26,045 $ 44,318 $ — $ 6,329 $ — $ 244 $ 121,614 Collectively evaluated for impairment $ 1,294,079 $ 319,188 $ 1,135,216 $ 563,144 $ 674,603 $ 292,230 $ 55,026 $ 4,333,486 Ending balance $ 1,338,757 $ 345,233 $ 1,179,534 $ 563,144 $ 680,932 $ 292,230 $ 55,270 $ 4,455,100 |
Loans, Credit Quality Indicators | The following tables present the credit risk profile of the Company’s loan portfolio based on internal rating categories (grades 1 - 8), portfolio segmentation, and payment activity: Pass Special Mention Substandard Substandard Doubtful Loss Total (Dollars in thousands) March 31, 2021 Commercial $ 1,171,818 $ 43,247 $ 46,912 $ 20,409 $ 1,661 $ — $ 1,284,047 Energy 141,441 82,314 92,032 23,421 3,691 — 342,899 Commercial real estate 1,054,675 66,101 60,037 10,821 — — 1,191,634 Construction and land development 616,061 — 1,139 — — — 617,200 Residential and multifamily real estate 679,335 43 5,440 3,075 — — 687,893 PPP 336,355 — — — — — 336,355 Consumer 62,676 — — 241 — — 62,917 $ 4,062,361 $ 191,705 $ 205,560 $ 57,967 $ 5,352 $ — $ 4,522,945 Pass Special Mention Substandard Substandard Doubtful Loss Total (Dollars in thousands) December 31, 2020 Commercial $ 1,182,519 $ 66,142 $ 63,407 $ 26,124 $ 565 $ — $ 1,338,757 Energy 145,598 90,134 83,574 22,177 3,750 — 345,233 Commercial real estate 1,035,056 67,710 57,680 19,088 — — 1,179,534 Construction and land development 561,871 125 1,148 — — — 563,144 Residential and multifamily real estate 672,327 305 5,199 3,101 — — 680,932 PPP 292,230 — — — — — 292,230 Consumer 55,026 — — 244 — — 55,270 $ 3,944,627 $ 224,416 $ 211,008 $ 70,734 $ 4,315 $ — $ 4,455,100 |
Loans, Past Due | The following tables present the Company’s loan portfolio aging analysis as of March 31, 2021 and December 31, 2020: 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Receivable Loans >= 90 Days and Accruing (Dollars in thousands) March 31, 2021 Commercial $ 7,813 $ 403 $ 15,709 $ 23,925 $ 1,260,122 $ 1,284,047 $ — Energy 748 — 6,741 7,489 335,410 342,899 — Commercial real estate — — 4,097 4,097 1,187,537 1,191,634 — Construction and land development 862 — — 862 616,338 617,200 — Residential and multifamily real estate 1,160 — 6,028 7,188 680,705 687,893 3,183 PPP — — — — 336,355 336,355 — Consumer — — — — 62,917 62,917 — $ 10,583 $ 403 $ 32,575 $ 43,561 $ 4,479,384 $ 4,522,945 $ 3,183 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Total Past Due Current Total Loans Receivable Loans >= 90 Days and Accruing (Dollars in thousands) December 31, 2020 Commercial $ 8,497 $ 264 $ 11,236 $ 19,997 $ 1,318,760 $ 1,338,757 $ — Energy — — 7,173 7,173 338,060 345,233 372 Commercial real estate 63 7,677 4,825 12,565 1,166,969 1,179,534 — Construction and land development — — — — 563,144 563,144 — Residential and multifamily real estate 1,577 — 3,520 5,097 675,835 680,932 652 PPP — — — — 292,230 292,230 — Consumer — — — — 55,270 55,270 — $ 10,137 $ 7,941 $ 26,754 $ 44,832 $ 4,410,268 $ 4,455,100 $ 1,024 |
Loans, Impaired | The following tables present loans individually evaluated for impairment, including all restructured and formerly restructured loans, for the periods ended March 31, 2021 and December 31, 2020: Unpaid Recorded Balance Principal Balance Specific Allowance (Dollars in thousands) March 31, 2021 Loans without a specific valuation Commercial $ 36,174 $ 38,124 $ — Energy 103 103 — Commercial real estate 10,553 12,138 — Construction and land development — — — Residential and multifamily real estate 6,302 6,558 — PPP — — — Consumer 241 241 — Loans with a specific valuation Commercial 3,113 15,297 832 Energy 27,112 35,204 4,938 Commercial real estate 25,475 25,475 2,990 Construction and land development — — — Residential and multifamily real estate — — — PPP — — — Consumer — — — Total Commercial 39,287 53,421 832 Energy 27,215 35,307 4,938 Commercial real estate 36,028 37,613 2,990 Construction and land development — — — Residential and multifamily real estate 6,302 6,558 — PPP — — — Consumer 241 241 — $ 109,073 $ 133,140 $ 8,760 Unpaid Recorded Balance Principal Balance Specific Allowance (Dollars in thousands) December 31, 2020 Loans without a specific valuation Commercial $ 36,111 $ 50,245 $ — Energy 3,864 6,677 — Commercial real estate 10,079 11,663 — Construction and land development — — — Residential and multifamily real estate 6,329 6,585 — PPP — — — Consumer 244 244 — Loans with a specific valuation Commercial 8,567 8,567 1,115 Energy 22,181 27,460 3,370 Commercial real estate 34,239 34,239 5,048 Construction and land development — — — Residential and multifamily real estate — — — PPP — — — Consumer — — — Total Commercial 44,678 58,812 1,115 Energy 26,045 34,137 3,370 Commercial real estate 44,318 45,902 5,048 Construction and land development — — — Residential and multifamily real estate 6,329 6,585 — PPP — — — Consumer 244 244 — $ 121,614 $ 145,680 $ 9,533 The table below shows interest income recognized during the three month periods ended March 31, 2021 and 2020 for impaired loans, including all restructured and formerly restructured loans, held at the end of each period: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Commercial $ 303 $ 910 Energy 16 122 Commercial real estate 287 123 Construction and land development — — Residential and multifamily real estate 36 40 PPP — — Consumer — — Total interest income recognized $ 642 $ 1,195 The table below shows the three month average balance of impaired loans for the periods ended March 31, 2021 and 2020 by loan category for impaired loans, including all restructured and formerly restructured loans, held at the end of each period: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Commercial $ 41,919 $ 86,626 Energy 27,431 16,976 Commercial real estate 36,215 14,927 Construction and land development — — Residential and multifamily real estate 6,316 5,230 PPP — — Consumer 243 254 Total average impaired loans $ 112,124 $ 124,013 |
Loans, Nonaccrual | The following table presents the Company’s non-accrual loans by loan category at March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 (Dollars in thousands) Commercial $ 22,070 $ 26,691 Energy 27,112 25,927 Commercial real estate 10,821 19,088 Construction and land development — — Residential and multifamily real estate 3,075 3,101 PPP — — Consumer 241 244 Total non-accrual loans $ 63,319 $ 75,051 |
Loans, Troubled Debt Restructuring | The table below presents loans restructured, excluding loans restructured as a result of the COVID-19 pandemic, during the three months ended March 31, 2021 and 2020, including the post-modification outstanding balance and the type of concession made: Three Months Ended March 31, March 31, 2021 2020 (Dollars in thousands) Commercial - Interest rate reduction $ — $ 3,171 Energy - Extension of maturity date — 2,340 Total troubled debt restructurings $ — $ 5,511 March 31, 2021 December 31, 2020 Number of Loans Outstanding Balance Balance 90 days past due at any time during previous 12 months (1) Number of Loans Outstanding Balance Balance 90 days past due at any time during previous 12 months (1) (Dollars in thousands) Commercial 6 $ 21,631 $ 4,115 7 $ 22,759 $ 2,776 Energy 4 10,850 2,619 4 11,053 2,713 Commercial real estate 4 25,990 — 4 26,038 — Construction and land development — — — — — — Residential and multifamily real estate 2 3,244 — 2 3,245 — PPP — — — — — — Consumer — — — — — — Total troubled debt restructured loans 16 $ 61,715 $ 6,734 17 $ 63,095 $ 5,489 (1) Default is considered to mean 90 days or more past due as to interest or principal. |
Derivatives and Hedging (Tables
Derivatives and Hedging (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | As of March 31, 2021 and December 31, 2020, the Company had the following outstanding derivatives that were not designated as hedges in qualifying hedging relationships: March 31, 2021 December 31, 2020 Product Number of Instruments Notional Amount Number of Instruments Notional Amount (Dollars in thousands) Back-to-back swaps 56 $ 546,947 56 $ 515,567 The table below presents the fair value of the Company’s derivative financial instruments and their classification on the Balance Sheet as of March 31, 2021 and December 31, 2020: Asset Derivatives Liability Derivatives Balance Sheet March 31, December 31, Balance Sheet March 31, December 31, Location 2021 2020 Location 2021 2020 (Dollars in thousands) Derivatives not designated as hedging instruments Interest rate products Other assets $ 15,561 $ 24,094 Other liabilities $ 15,766 $ 24,454 |
Time Deposits and Borrowings (T
Time Deposits and Borrowings (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Maturities of Time Deposits [Abstract] | |
Schedule of Time Deposit Maturities and Borrowings | The scheduled maturities, excluding interest, of the Company’s borrowings at March 31, 2021 were as follows: March 31, 2021 Within One Year One to Two Years Two to Three Years Three to Four Years Four to Five Years After Five Years Total (Dollars in thousands) Time deposits $ 763,848 $ 115,321 $ 42,981 $ 8,193 $ 1,411 $ 37 $ 931,791 Fed funds purchased & repurchase agreements 3,294 — — — — — 3,294 FHLB borrowings 16,500 11,500 35,000 — 5,100 215,000 283,100 Trust preferred securities (1) — — — — — 974 974 $ 783,642 $ 126,821 $ 77,981 $ 8,193 $ 6,511 $ 216,011 $ 1,219,159 |
Change in Accumulated Other C_2
Change in Accumulated Other Comprehensive Income (AOCI) (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income | Amounts reclassified from AOCI and the affected line items in the Consolidated Statements of Income during the three months ended March 31, 2021 and 2020, were as follows: Three Months Ended March 31, Affected Line Item in the 2021 2020 Statements of Income (Dollars in thousands) Unrealized gains on available-for-sale securities $ 10 $ 393 Gain on sale of available-for-sale debt securities Less: tax effect 2 96 Income tax expense Net reclassified amount $ 8 $ 297 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Banking Regulation, Risk-Based Information [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The Company’s and the Bank’s actual capital amounts and ratios as of March 31, 2021 and December 31, 2020 are presented in the following table: Actual Minimum Capital Required - Basel III Required to be Considered Well Capitalized Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) March 31, 2021 Total Capital to Risk-Weighted Assets Consolidated $ 668,393 13.3 % $ 528,882 10.5 % N/A N/A Bank 624,240 12.4 528,704 10.5 $ 503,528 10.0 % Tier I Capital to Risk-Weighted Assets Consolidated 605,281 12.0 428,143 8.5 N/A N/A Bank 561,155 11.1 427,999 8.5 402,822 8.0 Common Equity Tier 1 to Risk-Weighted Assets Consolidated 604,307 12.0 352,588 7.0 N/A N/A Bank 561,155 11.1 352,470 7.0 327,293 6.5 Tier I Capital to Average Assets Consolidated 605,281 10.5 230,468 4.0 N/A N/A Bank $ 561,155 9.7 % $ 230,354 4.0 % $ 287,942 5.0 % December 31, 2020 Total Capital to Risk-Weighted Assets Consolidated $ 656,806 13.1 % $ 527,486 10.5 % N/A N/A Bank 611,533 12.2 527,217 10.5 $ 502,111 10.0 % Tier I Capital to Risk-Weighted Assets Consolidated 593,865 11.8 427,012 8.5 N/A N/A Bank 548,615 10.9 426,794 8.5 401,689 8.0 Common Equity Tier 1 to Risk-Weighted Assets Consolidated 592,902 11.8 351,657 7.0 N/A N/A Bank 548,615 10.9 351,478 7.0 326,372 6.5 Tier I Capital to Average Assets Consolidated 593,865 10.8 219,550 4.0 N/A N/A Bank $ 548,615 10.0 % $ 219,441 4.0 % $ 274,302 5.0 % |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Stock-based Compensation | The table below summarizes the stock-based compensation for the three months ended March 31, 2021 and 2020: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Stock appreciation rights $ 236 $ 256 Performance-based stock awards (266) 74 Restricted stock units and awards 665 604 Employee stock purchase plan 14 — Total stock-based compensation $ 649 $ 934 |
Summary of Status and Changes in Performance-Based Awards | The following table summarizes the status of and changes in the performance-based awards: Performance Based Stock Awards Number of Shares Weighted-Average Grant Date Fair Value Unvested, January 1, 2021 231,631 $10.51 Granted 63,631 12.89 Vested 0 0.00 Forfeited 0 0.00 Unvested, March 31, 2021 295,262 $11.02 |
Summary of Status and Changes in RSUs and RSAs | The following table summarizes the status of and changes in the RSUs and RSAs: Restricted Stock Units and Awards Number of Shares Weighted-Average Grant Date Fair Value Unvested, January 1, 2021 369,217 $12.61 Granted 194,211 12.87 Vested (109,770) 14.28 Forfeited 0 0.00 Unvested, March 31, 2021 453,658 $12.32 |
Income Tax (Tables)
Income Tax (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Effective Income Tax Rate Reconciliation | An income tax expense reconciliation at the statutory rate to the Company’s actual income tax expense is shown below: Three Months Ended March 31, 2021 2020 (Dollars in thousands) Computed at the statutory rate (21%) $ 3,138 $ 872 Increase (decrease) resulting from Tax-exempt income (790) (790) Nondeductible expenses 50 64 State income taxes 496 142 Equity based compensation 14 26 Other adjustments — (21) Actual tax expense $ 2,908 $ 293 |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences related to deferred taxes shown on the Consolidated Balance Sheets are presented below: March 31, 2021 December 31, 2020 (Dollars in thousands) Deferred tax assets Allowance for loan losses $ 17,944 $ 18,124 Lease incentive 550 564 Loan fees 3,453 3,178 Accrued expenses 874 2,128 Deferred compensation 2,197 2,474 State tax credit 2,447 2,621 Other 452 946 Total deferred tax asset 27,917 30,035 Deferred tax liability Net unrealized gain on securities available-for-sale (7,308) (9,531) FHLB stock basis (1,248) (1,209) Premises and equipment (2,703) (2,881) Other (1,446) (1,601) Total deferred tax liability (12,705) (15,222) Net deferred tax asset $ 15,212 $ 14,813 |
Disclosures about Fair Value _2
Disclosures about Fair Value of Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following list presents the assets and liabilities recognized in the accompanying Consolidated Balance Sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at March 31, 2021 and December 31, 2020: Fair Value Description Valuation Hierarchy Level Where Fair Value Balance Can Be Found Available-for-Sale Securities Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using quoted prices of securities with similar characteristics or independent asset pricing services and pricing models, the inputs of which are market-based or independently sourced market parameters, including, but not limited to, yield curves, interest rates, volatilities, prepayments, defaults, cumulative loss projections and cash flows. Level 2 Note 3: Securities Derivatives Fair value of the interest rate swaps is obtained from independent pricing services based on quoted market prices for similar derivative contracts. Level 2 Note 5: Derivatives and Hedging |
Fair Value Measurements, Nonrecurring | The following tables present assets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at March 31, 2021 and December 31, 2020: March 31, 2021 Fair Value Measurements Using Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs (Dollars in thousands) Collateral-dependent impaired loans $ 46,940 $ — $ — $ 46,940 December 31, 2020 Fair Value Measurements Using Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs (Dollars in thousands) Collateral-dependent impaired loans $ 55,454 $ — $ — $ 55,454 Foreclosed assets held-for-sale $ 2,347 $ — $ — $ 2,347 |
Fair Value, Assets Measured on Nonrecurring Basis, Unobservable Input Reconciliation | The following tables present quantitative information about unobservable inputs used in nonrecurring Level 3 fair value measurements at March 31, 2021 and December 31, 2020: March 31, 2021 Fair Value Valuation Techniques Unobservable Inputs Range (Dollars in thousands) Collateral-dependent impaired loans $ 46,940 Market comparable properties Marketability discount 10% - 98% (27%) December 31, 2020 Fair Value Valuation Techniques Unobservable Inputs Range (Dollars in thousands) Collateral-dependent impaired loans $ 55,454 Market comparable properties Marketability discount 1% - 98% (24%) Foreclosed assets held-for-sale $ 2,347 Market comparable properties Marketability discount 7% - 10% (9%) |
Fair Value, by Balance Sheet Grouping | The following tables present the estimated fair values of the Company’s financial instruments at March 31, 2021 and December 31, 2020: March 31, 2021 Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (Dollars in thousands) Financial Assets Cash and cash equivalents $ 630,787 $ 630,787 $ — $ — $ 630,787 Available-for-sale securities 685,454 — 685,454 — 685,454 Loans, net of allowance for loan losses 4,434,049 — — 4,419,714 4,419,714 Restricted equity securities 14,080 — — 14,080 14,080 Interest receivable 17,987 — 17,987 — 17,987 Equity securities 13,405 — 2,216 11,189 13,405 Derivative assets 15,561 — 15,561 — 15,561 $ 5,811,323 $ 630,787 $ 721,218 $ 4,444,983 $ 5,796,988 Financial Liabilities Deposits $ 5,051,570 $ 794,559 $ — $ 4,289,169 $ 5,083,728 Federal funds purchased and repurchase agreements 3,294 — 3,294 — 3,294 Federal Home Loan Bank advances 283,100 — 292,667 — 292,667 Other borrowings 974 — 2,235 — 2,235 Interest payable 1,911 — 1,911 — 1,911 Derivative liabilities 15,766 — 15,766 — 15,766 $ 5,356,615 $ 794,559 $ 315,873 $ 4,289,169 $ 5,399,601 December 31, 2020 Carrying Fair Value Measurements Amount Level 1 Level 2 Level 3 Total (Dollars in thousands) Financial Assets Cash and cash equivalents $ 408,810 $ 408,810 $ — $ — $ 408,810 Available-for-sale securities 654,588 — 654,588 — 654,588 Loans, net of allowance for loan losses 4,366,602 — — 4,351,970 4,351,970 Restricted equity securities 15,543 — — 15,543 15,543 Interest receivable 17,236 — 17,236 — 17,236 Equity securities 13,436 — 2,247 11,189 13,436 Derivative assets 24,094 — 24,094 — 24,094 $ 5,500,309 $ 408,810 $ 698,165 $ 4,378,702 $ 5,485,677 Financial Liabilities Deposits $ 4,694,740 $ 718,459 $ — $ 4,015,792 $ 4,734,251 Federal funds purchased and repurchase agreements 2,306 — 2,306 — 2,306 Federal Home Loan Bank advances 293,100 — 309,020 — 309,020 Other borrowings 963 — 2,024 — 2,024 Interest payable 2,163 — 2,163 — 2,163 Derivative liabilities 24,454 — 24,454 — 24,454 $ 5,017,726 $ 718,459 $ 339,967 $ 4,015,792 $ 5,074,218 |
Commitments and Credit Risk (Ta
Commitments and Credit Risk (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Commitments | The Company had the following commitments at March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 (Dollars in thousands) Commitments to originate loans $ 112,738 $ 99,596 Standby letters of credit 41,256 48,607 Lines of credit 1,401,710 1,423,038 Total $ 1,555,704 $ 1,571,241 |
Nature of Operations and Summ_4
Nature of Operations and Summary of Significant Accounting Policies (Details) | Mar. 31, 2021USD ($) |
Accounting Policies [Abstract] | |
Cash and cash equivalents held at the Federal Reserve Bank of Kansas City | $ 541,000,000 |
Required reserve | $ 0 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Earnings per Share | ||
Net income available to common stockholders | $ 12,035 | $ 3,857 |
Weighted average common shares (in shares) | 51,657,204 | 52,071,484 |
Earnings per share (in dollars per share) | $ 0.23 | $ 0.07 |
Dilutive Earnings Per Share | ||
Net income available to common stockholders | $ 12,035 | $ 3,857 |
Weighted average common shares (in shares) | 51,657,204 | 52,071,484 |
Effect of dilutive shares (in shares) | 724,270 | 588,786 |
Weighted average dilutive common shares (in shares) | 52,381,474 | 52,660,270 |
Diluted earnings per share (in dollars per share) | $ 0.23 | $ 0.07 |
Stock-based awards not included because to do so would be antidilutive (in shares) | 669,112 | 905,406 |
Securities - Amortized Cost and
Securities - Amortized Cost and Fair Value of Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Available-for-sale securities | ||
Total | $ 655,600 | $ 615,654 |
Gross Unrealized Gains | 32,288 | 39,007 |
Gross Unrealized Losses | 2,434 | 73 |
Approximate Fair Value | 685,454 | 654,588 |
Mortgage-backed - GSE residential | ||
Available-for-sale securities | ||
Total | 138,231 | 104,839 |
Gross Unrealized Gains | 2,912 | 4,277 |
Gross Unrealized Losses | 1,464 | 0 |
Approximate Fair Value | 139,679 | 109,116 |
Collateralized mortgage obligations - GSE residential | ||
Available-for-sale securities | ||
Total | 38,206 | 52,070 |
Gross Unrealized Gains | 785 | 984 |
Gross Unrealized Losses | 26 | 42 |
Approximate Fair Value | 38,965 | 53,012 |
State and political subdivisions | ||
Available-for-sale securities | ||
Total | 474,912 | 454,486 |
Gross Unrealized Gains | 28,517 | 33,642 |
Gross Unrealized Losses | 862 | 31 |
Approximate Fair Value | 502,567 | 488,097 |
Corporate bonds | ||
Available-for-sale securities | ||
Total | 4,251 | 4,259 |
Gross Unrealized Gains | 74 | 104 |
Gross Unrealized Losses | 82 | 0 |
Approximate Fair Value | $ 4,243 | $ 4,363 |
Securities - Amortized Cost a_2
Securities - Amortized Cost and Fair Value by Maturity Date (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Amortized cost | ||
Within one year | $ 652 | |
After one to five years | 6,352 | |
After five to ten years | 72,062 | |
After ten years | 576,534 | |
Total | 655,600 | $ 615,654 |
Estimated fair value | ||
Within one year | 654 | |
After one to five years | 6,440 | |
After five to ten years | 77,604 | |
After ten years | 600,756 | |
Total | $ 685,454 | 654,588 |
Weighted average yield | ||
Within one year | 3.54% | |
After one to five years | 3.88% | |
After five to ten years | 3.37% | |
After ten years | 2.48% | |
Total | 2.59% | |
Mortgage-backed - GSE residential | ||
Amortized cost | ||
Within one year | $ 0 | |
After one to five years | 48 | |
After five to ten years | 181 | |
After ten years | 138,002 | |
Total | 138,231 | 104,839 |
Estimated fair value | ||
Within one year | 0 | |
After one to five years | 50 | |
After five to ten years | 193 | |
After ten years | 139,436 | |
Total | $ 139,679 | 109,116 |
Weighted average yield | ||
Within one year | 0.00% | |
After one to five years | 4.60% | |
After five to ten years | 3.91% | |
After ten years | 1.72% | |
Total | 1.72% | |
Collateralized mortgage obligations - GSE residential | ||
Amortized cost | ||
Within one year | $ 0 | |
After one to five years | 0 | |
After five to ten years | 2,469 | |
After ten years | 35,737 | |
Total | 38,206 | 52,070 |
Estimated fair value | ||
Within one year | 0 | |
After one to five years | 0 | |
After five to ten years | 2,645 | |
After ten years | 36,320 | |
Total | $ 38,965 | 53,012 |
Weighted average yield | ||
Within one year | 0.00% | |
After one to five years | 0.00% | |
After five to ten years | 2.75% | |
After ten years | 1.59% | |
Total | 1.66% | |
State and political subdivisions | ||
Amortized cost | ||
Within one year | $ 652 | |
After one to five years | 5,947 | |
After five to ten years | 65,518 | |
After ten years | 402,795 | |
Total | 474,912 | 454,486 |
Estimated fair value | ||
Within one year | 654 | |
After one to five years | 6,024 | |
After five to ten years | 70,889 | |
After ten years | 425,000 | |
Total | $ 502,567 | 488,097 |
Weighted average yield | ||
Within one year | 3.54% | |
After one to five years | 3.86% | |
After five to ten years | 3.32% | |
After ten years | 2.82% | |
Total | 2.90% | |
Corporate bonds | ||
Amortized cost | ||
Within one year | $ 0 | |
After one to five years | 357 | |
After five to ten years | 3,894 | |
After ten years | 0 | |
Total | 4,251 | 4,259 |
Estimated fair value | ||
Within one year | 0 | |
After one to five years | 366 | |
After five to ten years | 3,877 | |
After ten years | 0 | |
Total | $ 4,243 | $ 4,363 |
Weighted average yield | ||
Within one year | 0.00% | |
After one to five years | 4.10% | |
After five to ten years | 4.54% | |
After ten years | 0.00% | |
Total | 4.51% |
Securities - Unrealized Losses
Securities - Unrealized Losses (Details) $ in Thousands | Mar. 31, 2021USD ($)security | Dec. 31, 2020USD ($)security |
Less than 12 Months | ||
Fair Value | $ 110,202 | $ 18,458 |
Unrealized Losses | $ 2,433 | $ 73 |
Number of Securities | security | 47 | 13 |
12 Months or More | ||
Fair Value | $ 24 | $ 25 |
Unrealized Losses | $ 1 | $ 0 |
Number of Securities | security | 1 | 1 |
Total | ||
Fair Value | $ 110,226 | $ 18,483 |
Unrealized Losses | $ 2,434 | $ 73 |
Number of Securities | security | 48 | 14 |
Mortgage-backed - GSE residential | ||
Less than 12 Months | ||
Fair Value | $ 55,185 | $ 0 |
Unrealized Losses | $ 1,464 | $ 0 |
Number of Securities | security | 8 | 0 |
12 Months or More | ||
Fair Value | $ 0 | $ 0 |
Unrealized Losses | $ 0 | $ 0 |
Number of Securities | security | 0 | 0 |
Total | ||
Fair Value | $ 55,185 | $ 0 |
Unrealized Losses | $ 1,464 | $ 0 |
Number of Securities | security | 8 | 0 |
Collateralized mortgage obligations - GSE residential | ||
Less than 12 Months | ||
Fair Value | $ 7,591 | $ 9,933 |
Unrealized Losses | $ 26 | $ 42 |
Number of Securities | security | 6 | 5 |
12 Months or More | ||
Fair Value | $ 0 | $ 0 |
Unrealized Losses | $ 0 | $ 0 |
Number of Securities | security | 0 | 0 |
Total | ||
Fair Value | $ 7,591 | $ 9,933 |
Unrealized Losses | $ 26 | $ 42 |
Number of Securities | security | 6 | 5 |
State and political subdivisions | ||
Less than 12 Months | ||
Fair Value | $ 44,008 | $ 8,525 |
Unrealized Losses | $ 861 | $ 31 |
Number of Securities | security | 32 | 8 |
12 Months or More | ||
Fair Value | $ 24 | $ 25 |
Unrealized Losses | $ 1 | $ 0 |
Number of Securities | security | 1 | 1 |
Total | ||
Fair Value | $ 44,032 | $ 8,550 |
Unrealized Losses | $ 862 | $ 31 |
Number of Securities | security | 33 | 9 |
Corporate bonds | ||
Less than 12 Months | ||
Fair Value | $ 3,418 | $ 0 |
Unrealized Losses | $ 82 | $ 0 |
Number of Securities | security | 1 | 0 |
12 Months or More | ||
Fair Value | $ 0 | $ 0 |
Unrealized Losses | $ 0 | $ 0 |
Number of Securities | security | 0 | 0 |
Total | ||
Fair Value | $ 3,418 | $ 0 |
Unrealized Losses | $ 82 | $ 0 |
Number of Securities | security | 1 | 0 |
Securities - Narrative (Details
Securities - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | |||
Gross gains on available-for-sale securities | $ 21 | $ 402 | |
Gross losses on available-for-sale securities | 11 | $ 9 | |
Gross gains on available-for-sale- securities included an other-than-temporary impaired municipal security settled in 2020 | $ 75 | ||
Mutual Fund | |||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | |||
Equity securities | $ 2,000 | ||
Private Equity Security | |||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | |||
Equity securities | $ 11,000 | ||
Acquired privately-held security, term | 5 years | ||
Acquired privately-held security, extension term | 5 years |
Securities - Equity Securities
Securities - Equity Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | ||
Net gains (losses) recognized during the reporting period on equity securities | $ (39) | $ 34 |
Less: net gains recognized during the reporting period on equity securities sold during the reporting period | 0 | 0 |
Unrealized gain (losses) recognized during the reporting period on equity securities still held at the reporting date | $ (39) | $ 34 |
Loans and Allowance for Loan _3
Loans and Allowance for Loan Losses ("ALLL") - Category of Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | $ 4,522,945 | $ 4,455,100 | ||
Less: Allowance for loan losses | 74,551 | 75,295 | $ 51,458 | $ 56,896 |
Less: Net deferred loan fees and costs | 14,345 | 13,203 | ||
Net loans | 4,434,049 | 4,366,602 | ||
Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | 1,284,047 | 1,338,757 | ||
Less: Allowance for loan losses | 23,464 | 24,693 | 21,129 | 35,864 |
Energy | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | 342,899 | 345,233 | ||
Less: Allowance for loan losses | 20,292 | 18,341 | 7,599 | 6,565 |
Commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | 1,191,634 | 1,179,534 | ||
Less: Allowance for loan losses | 20,609 | 22,354 | 12,623 | 8,085 |
Construction and land development | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | 617,200 | 563,144 | ||
Less: Allowance for loan losses | 3,837 | 3,612 | 5,021 | 3,516 |
Residential and multifamily real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | 687,893 | 680,932 | ||
Less: Allowance for loan losses | 6,056 | 5,842 | 4,687 | 2,546 |
Paycheck Protection Program (“PPP”) | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | 336,355 | 292,230 | ||
Less: Allowance for loan losses | 0 | 0 | 0 | 0 |
Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Gross loans | 62,917 | 55,270 | ||
Less: Allowance for loan losses | $ 293 | $ 453 | $ 399 | $ 320 |
Loans and Allowance for Loan _4
Loans and Allowance for Loan Losses ("ALLL") - Activity by Portfolio Segment and Disaggregation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Allowance for loan losses | ||
Beginning balance | $ 75,295 | $ 56,896 |
Provision for loan losses | 7,500 | 13,950 |
Charge-offs | (8,266) | (19,460) |
Recoveries | 22 | 72 |
Ending balance | 74,551 | 51,458 |
Commercial | ||
Allowance for loan losses | ||
Beginning balance | 24,693 | 35,864 |
Provision for loan losses | 7,015 | 3,271 |
Charge-offs | (8,266) | (18,077) |
Recoveries | 22 | 71 |
Ending balance | 23,464 | 21,129 |
Energy | ||
Allowance for loan losses | ||
Beginning balance | 18,341 | 6,565 |
Provision for loan losses | 1,951 | 2,313 |
Charge-offs | 0 | (1,279) |
Recoveries | 0 | 0 |
Ending balance | 20,292 | 7,599 |
Commercial real estate | ||
Allowance for loan losses | ||
Beginning balance | 22,354 | 8,085 |
Provision for loan losses | (1,745) | 4,538 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending balance | 20,609 | 12,623 |
Construction and land development | ||
Allowance for loan losses | ||
Beginning balance | 3,612 | 3,516 |
Provision for loan losses | 225 | 1,505 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending balance | 3,837 | 5,021 |
Residential and multifamily real estate | ||
Allowance for loan losses | ||
Beginning balance | 5,842 | 2,546 |
Provision for loan losses | 214 | 2,141 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending balance | 6,056 | 4,687 |
Paycheck Protection Program (“PPP”) | ||
Allowance for loan losses | ||
Beginning balance | 0 | 0 |
Provision for loan losses | 0 | 0 |
Charge-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending balance | 0 | 0 |
Consumer | ||
Allowance for loan losses | ||
Beginning balance | 453 | 320 |
Provision for loan losses | (160) | 182 |
Charge-offs | 0 | (104) |
Recoveries | 0 | 1 |
Ending balance | $ 293 | $ 399 |
Loans and Allowance for Loan _5
Loans and Allowance for Loan Losses ("ALLL") - Allowance for Loan Losses (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | $ 8,760 | $ 9,533 | ||
Collectively evaluated for impairment | 65,791 | 65,762 | ||
Allowance for loan losses | 74,551 | 75,295 | $ 51,458 | $ 56,896 |
Allocated to loans: | ||||
Individually evaluated for impairment | 109,073 | 121,614 | ||
Collectively evaluated for impairment | 4,413,872 | 4,333,486 | ||
Total Loans Receivable | 4,522,945 | 4,455,100 | ||
Commercial | ||||
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | 832 | 1,115 | ||
Collectively evaluated for impairment | 22,632 | 23,578 | ||
Allowance for loan losses | 23,464 | 24,693 | 21,129 | 35,864 |
Allocated to loans: | ||||
Individually evaluated for impairment | 39,287 | 44,678 | ||
Collectively evaluated for impairment | 1,244,760 | 1,294,079 | ||
Total Loans Receivable | 1,284,047 | 1,338,757 | ||
Energy | ||||
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | 4,938 | 3,370 | ||
Collectively evaluated for impairment | 15,354 | 14,971 | ||
Allowance for loan losses | 20,292 | 18,341 | 7,599 | 6,565 |
Allocated to loans: | ||||
Individually evaluated for impairment | 27,215 | 26,045 | ||
Collectively evaluated for impairment | 315,684 | 319,188 | ||
Total Loans Receivable | 342,899 | 345,233 | ||
Commercial real estate | ||||
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | 2,990 | 5,048 | ||
Collectively evaluated for impairment | 17,619 | 17,306 | ||
Allowance for loan losses | 20,609 | 22,354 | 12,623 | 8,085 |
Allocated to loans: | ||||
Individually evaluated for impairment | 36,028 | 44,318 | ||
Collectively evaluated for impairment | 1,155,606 | 1,135,216 | ||
Total Loans Receivable | 1,191,634 | 1,179,534 | ||
Construction and land development | ||||
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 3,837 | 3,612 | ||
Allowance for loan losses | 3,837 | 3,612 | 5,021 | 3,516 |
Allocated to loans: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 617,200 | 563,144 | ||
Total Loans Receivable | 617,200 | 563,144 | ||
Residential and multifamily real estate | ||||
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 6,056 | 5,842 | ||
Allowance for loan losses | 6,056 | 5,842 | 4,687 | 2,546 |
Allocated to loans: | ||||
Individually evaluated for impairment | 6,302 | 6,329 | ||
Collectively evaluated for impairment | 681,591 | 674,603 | ||
Total Loans Receivable | 687,893 | 680,932 | ||
Paycheck Protection Program (“PPP”) | ||||
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 0 | 0 | ||
Allowance for loan losses | 0 | 0 | 0 | 0 |
Allocated to loans: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 336,355 | 292,230 | ||
Total Loans Receivable | 336,355 | 292,230 | ||
Consumer | ||||
Period end allowance for loan losses allocated to: | ||||
Individually evaluated for impairment | 0 | 0 | ||
Collectively evaluated for impairment | 293 | 453 | ||
Allowance for loan losses | 293 | 453 | $ 399 | $ 320 |
Allocated to loans: | ||||
Individually evaluated for impairment | 241 | 244 | ||
Collectively evaluated for impairment | 62,676 | 55,026 | ||
Total Loans Receivable | $ 62,917 | $ 55,270 |
Loans and Allowance for Loan _6
Loans and Allowance for Loan Losses ("ALLL") - Internal Risk Ratings (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | $ 4,522,945 | $ 4,455,100 |
Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 4,062,361 | 3,944,627 |
Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 191,705 | 224,416 |
Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 205,560 | 211,008 |
Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 57,967 | 70,734 |
Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 5,352 | 4,315 |
Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 1,284,047 | 1,338,757 |
Commercial | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 1,171,818 | 1,182,519 |
Commercial | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 43,247 | 66,142 |
Commercial | Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 46,912 | 63,407 |
Commercial | Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 20,409 | 26,124 |
Commercial | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 1,661 | 565 |
Commercial | Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Energy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 342,899 | 345,233 |
Energy | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 141,441 | 145,598 |
Energy | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 82,314 | 90,134 |
Energy | Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 92,032 | 83,574 |
Energy | Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 23,421 | 22,177 |
Energy | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 3,691 | 3,750 |
Energy | Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 1,191,634 | 1,179,534 |
Commercial real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 1,054,675 | 1,035,056 |
Commercial real estate | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 66,101 | 67,710 |
Commercial real estate | Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 60,037 | 57,680 |
Commercial real estate | Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 10,821 | 19,088 |
Commercial real estate | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Commercial real estate | Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Construction and land development | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 617,200 | 563,144 |
Construction and land development | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 616,061 | 561,871 |
Construction and land development | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 125 |
Construction and land development | Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 1,139 | 1,148 |
Construction and land development | Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Construction and land development | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Construction and land development | Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Residential and multifamily real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 687,893 | 680,932 |
Residential and multifamily real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 679,335 | 672,327 |
Residential and multifamily real estate | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 43 | 305 |
Residential and multifamily real estate | Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 5,440 | 5,199 |
Residential and multifamily real estate | Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 3,075 | 3,101 |
Residential and multifamily real estate | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Residential and multifamily real estate | Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Paycheck Protection Program (“PPP”) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 336,355 | 292,230 |
Paycheck Protection Program (“PPP”) | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 336,355 | 292,230 |
Paycheck Protection Program (“PPP”) | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Paycheck Protection Program (“PPP”) | Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Paycheck Protection Program (“PPP”) | Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Paycheck Protection Program (“PPP”) | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Paycheck Protection Program (“PPP”) | Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 62,917 | 55,270 |
Consumer | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 62,676 | 55,026 |
Consumer | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Consumer | Substandard | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Consumer | Substandard | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 241 | 244 |
Consumer | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | 0 | 0 |
Consumer | Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | $ 0 | $ 0 |
Loans and Allowance for Loan _7
Loans and Allowance for Loan Losses ("ALLL") - Loan Aging Analysis (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | $ 43,561 | $ 44,832 |
Current | 4,479,384 | 4,410,268 |
Total Loans Receivable | 4,522,945 | 4,455,100 |
Loans >= 90 Days and Accruing | 3,183 | 1,024 |
30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 10,583 | 10,137 |
60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 403 | 7,941 |
90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 32,575 | 26,754 |
Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 23,925 | 19,997 |
Current | 1,260,122 | 1,318,760 |
Total Loans Receivable | 1,284,047 | 1,338,757 |
Loans >= 90 Days and Accruing | 0 | 0 |
Commercial | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 7,813 | 8,497 |
Commercial | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 403 | 264 |
Commercial | 90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 15,709 | 11,236 |
Energy | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 7,489 | 7,173 |
Current | 335,410 | 338,060 |
Total Loans Receivable | 342,899 | 345,233 |
Loans >= 90 Days and Accruing | 0 | 372 |
Energy | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 748 | 0 |
Energy | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Energy | 90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 6,741 | 7,173 |
Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 4,097 | 12,565 |
Current | 1,187,537 | 1,166,969 |
Total Loans Receivable | 1,191,634 | 1,179,534 |
Loans >= 90 Days and Accruing | 0 | 0 |
Commercial real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 63 |
Commercial real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 7,677 |
Commercial real estate | 90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 4,097 | 4,825 |
Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 862 | 0 |
Current | 616,338 | 563,144 |
Total Loans Receivable | 617,200 | 563,144 |
Loans >= 90 Days and Accruing | 0 | 0 |
Construction and land development | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 862 | 0 |
Construction and land development | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Construction and land development | 90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Residential and multifamily real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 7,188 | 5,097 |
Current | 680,705 | 675,835 |
Total Loans Receivable | 687,893 | 680,932 |
Loans >= 90 Days and Accruing | 3,183 | 652 |
Residential and multifamily real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,160 | 1,577 |
Residential and multifamily real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Residential and multifamily real estate | 90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 6,028 | 3,520 |
Paycheck Protection Program (“PPP”) | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 336,355 | 292,230 |
Total Loans Receivable | 336,355 | 292,230 |
Loans >= 90 Days and Accruing | 0 | 0 |
Paycheck Protection Program (“PPP”) | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Paycheck Protection Program (“PPP”) | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Paycheck Protection Program (“PPP”) | 90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 62,917 | 55,270 |
Total Loans Receivable | 62,917 | 55,270 |
Loans >= 90 Days and Accruing | 0 | 0 |
Consumer | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Consumer | 90 Days or More | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | $ 0 | $ 0 |
Loans and Allowance for Loan _8
Loans and Allowance for Loan Losses ("ALLL") - Impaired Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Recorded Balance | ||
Total | $ 109,073 | $ 121,614 |
Unpaid Principal Balance | ||
Total | 133,140 | 145,680 |
Specific Allowance | 8,760 | 9,533 |
Commercial | ||
Recorded Balance | ||
Loans without a specific valuation | 36,174 | 36,111 |
Loans with a specific valuation | 3,113 | 8,567 |
Total | 39,287 | 44,678 |
Unpaid Principal Balance | ||
Loans without a specific valuation | 38,124 | 50,245 |
Loans with a specific valuation | 15,297 | 8,567 |
Total | 53,421 | 58,812 |
Specific Allowance | 832 | 1,115 |
Energy | ||
Recorded Balance | ||
Loans without a specific valuation | 103 | 3,864 |
Loans with a specific valuation | 27,112 | 22,181 |
Total | 27,215 | 26,045 |
Unpaid Principal Balance | ||
Loans without a specific valuation | 103 | 6,677 |
Loans with a specific valuation | 35,204 | 27,460 |
Total | 35,307 | 34,137 |
Specific Allowance | 4,938 | 3,370 |
Commercial real estate | ||
Recorded Balance | ||
Loans without a specific valuation | 10,553 | 10,079 |
Loans with a specific valuation | 25,475 | 34,239 |
Total | 36,028 | 44,318 |
Unpaid Principal Balance | ||
Loans without a specific valuation | 12,138 | 11,663 |
Loans with a specific valuation | 25,475 | 34,239 |
Total | 37,613 | 45,902 |
Specific Allowance | 2,990 | 5,048 |
Construction and land development | ||
Recorded Balance | ||
Loans without a specific valuation | 0 | 0 |
Loans with a specific valuation | 0 | 0 |
Total | 0 | 0 |
Unpaid Principal Balance | ||
Loans without a specific valuation | 0 | 0 |
Loans with a specific valuation | 0 | 0 |
Total | 0 | 0 |
Specific Allowance | 0 | 0 |
Residential and multifamily real estate | ||
Recorded Balance | ||
Loans without a specific valuation | 6,302 | 6,329 |
Loans with a specific valuation | 0 | 0 |
Total | 6,302 | 6,329 |
Unpaid Principal Balance | ||
Loans without a specific valuation | 6,558 | 6,585 |
Loans with a specific valuation | 0 | 0 |
Total | 6,558 | 6,585 |
Specific Allowance | 0 | 0 |
Paycheck Protection Program (“PPP”) | ||
Recorded Balance | ||
Loans without a specific valuation | 0 | 0 |
Loans with a specific valuation | 0 | 0 |
Total | 0 | 0 |
Unpaid Principal Balance | ||
Loans without a specific valuation | 0 | 0 |
Loans with a specific valuation | 0 | 0 |
Total | 0 | 0 |
Specific Allowance | 0 | 0 |
Consumer | ||
Recorded Balance | ||
Loans without a specific valuation | 241 | 244 |
Loans with a specific valuation | 0 | 0 |
Total | 241 | 244 |
Unpaid Principal Balance | ||
Loans without a specific valuation | 241 | 244 |
Loans with a specific valuation | 0 | 0 |
Total | 241 | 244 |
Specific Allowance | $ 0 | $ 0 |
Loans and Allowance for Loan _9
Loans and Allowance for Loan Losses ("ALLL") - Impaired Loan Interest Income and Average Impaired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | $ 642 | $ 1,195 |
Total average impaired loans | 112,124 | 124,013 |
Commercial | ||
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | 303 | 910 |
Total average impaired loans | 41,919 | 86,626 |
Energy | ||
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | 16 | 122 |
Total average impaired loans | 27,431 | 16,976 |
Commercial real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | 287 | 123 |
Total average impaired loans | 36,215 | 14,927 |
Construction and land development | ||
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | 0 | 0 |
Total average impaired loans | 0 | 0 |
Residential and multifamily real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | 36 | 40 |
Total average impaired loans | 6,316 | 5,230 |
Paycheck Protection Program (“PPP”) | ||
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | 0 | 0 |
Total average impaired loans | 0 | 0 |
Consumer | ||
Financing Receivable, Impaired [Line Items] | ||
Total interest income recognized | 0 | 0 |
Total average impaired loans | $ 243 | $ 254 |
Loans and Allowance for Loan_10
Loans and Allowance for Loan Losses ("ALLL") - Non-Accrual Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | $ 63,319 | $ 75,051 |
Commercial | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | 22,070 | 26,691 |
Energy | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | 27,112 | 25,927 |
Commercial real estate | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | 10,821 | 19,088 |
Construction and land development | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Residential and multifamily real estate | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | 3,075 | 3,101 |
Paycheck Protection Program (“PPP”) | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Consumer | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Total non-accrual loans | $ 241 | $ 244 |
Loans and Allowance for Loan_11
Loans and Allowance for Loan Losses ("ALLL") - Troubled Debt Restructuring Loans (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2021USD ($)contract | Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($)contract | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Total troubled debt restructurings | $ 0 | $ 5,511 | |
Number of Loans | contract | 16 | 17 | |
Outstanding Balance | $ 61,715 | $ 63,095 | |
Balance 90 days past due at any time during previous 12 months | 6,734 | 5,489 | |
Increase in allowance for loan losses from loan restructuring | $ 5,000 | $ 4,000 | |
Commercial | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of Loans | contract | 6 | 7 | |
Outstanding Balance | $ 21,631 | $ 22,759 | |
Balance 90 days past due at any time during previous 12 months | $ 4,115 | $ 2,776 | |
Energy | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of Loans | contract | 4 | 4 | |
Outstanding Balance | $ 10,850 | $ 11,053 | |
Balance 90 days past due at any time during previous 12 months | $ 2,619 | $ 2,713 | |
Commercial real estate | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of Loans | contract | 4 | 4 | |
Outstanding Balance | $ 25,990 | $ 26,038 | |
Balance 90 days past due at any time during previous 12 months | $ 0 | $ 0 | |
Construction and land development | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of Loans | contract | 0 | 0 | |
Outstanding Balance | $ 0 | $ 0 | |
Balance 90 days past due at any time during previous 12 months | $ 0 | $ 0 | |
Residential and multifamily real estate | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of Loans | contract | 2 | 2 | |
Outstanding Balance | $ 3,244 | $ 3,245 | |
Balance 90 days past due at any time during previous 12 months | $ 0 | $ 0 | |
Paycheck Protection Program (“PPP”) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of Loans | contract | 0 | 0 | |
Outstanding Balance | $ 0 | $ 0 | |
Balance 90 days past due at any time during previous 12 months | $ 0 | $ 0 | |
Consumer | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of Loans | contract | 0 | 0 | |
Outstanding Balance | $ 0 | $ 0 | |
Balance 90 days past due at any time during previous 12 months | 0 | $ 0 | |
Interest Rate Reduction | Commercial | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Total troubled debt restructurings | 0 | 3,171 | |
Extension of Maturity Date | Energy | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Total troubled debt restructurings | $ 0 | $ 2,340 |
Derivatives and Hedging - Outst
Derivatives and Hedging - Outstanding Derivatives (Details) - Back-to-back swaps - Not Designated as Hedging Instrument $ in Thousands | Mar. 31, 2021USD ($)derivative | Dec. 31, 2020USD ($)derivative |
Derivative [Line Items] | ||
Number of Instruments | derivative | 56 | 56 |
Notional Amount | $ | $ 546,947 | $ 515,567 |
Derivatives and Hedging - Fair
Derivatives and Hedging - Fair Value of Derivatives (Details) - Not Designated as Hedging Instrument - Interest rate products - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Other assets | ||
Derivative [Line Items] | ||
Asset Derivatives | $ 15,561 | $ 24,094 |
Other liabilities | ||
Derivative [Line Items] | ||
Liability Derivatives | $ 15,766 | $ 24,454 |
Time Deposits and Borrowings (D
Time Deposits and Borrowings (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Time deposits | ||
Within One Year | $ 763,848 | |
One to Two Years | 115,321 | |
Two to Three Years | 42,981 | |
Three to Four Years | 8,193 | |
Four to Five Years | 1,411 | |
After Five Years | 37 | |
Total | 931,791 | $ 1,043,482 |
Fed funds purchased & repurchase agreements | 3,294 | 2,306 |
FHLB borrowings | ||
Within One Year | 16,500 | |
One to Two Years | 11,500 | |
Two to Three Years | 35,000 | |
Three to Four Years | 0 | |
Four to Five Years | 5,100 | |
After Five Years | 215,000 | |
Total | 283,100 | $ 293,100 |
Trust preferred securities | ||
Within One Year | 0 | |
One to Two Years | 0 | |
Two to Three Years | 0 | |
Three to Four Years | 0 | |
Four to Five Years | 0 | |
After Five Years | 974 | |
Total | 974 | |
Total | ||
Within One Year | 783,642 | |
One to Two Years | 126,821 | |
Two to Three Years | 77,981 | |
Three to Four Years | 8,193 | |
Four to Five Years | 6,511 | |
After Five Years | 216,011 | |
Total | 1,219,159 | |
Contract value | $ 2,600 |
Change in Accumulated Other C_3
Change in Accumulated Other Comprehensive Income ("AOCI") (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Gain on sale of available-for-sale debt securities | $ 10 | $ 393 |
Income tax expense | 2,908 | 293 |
Net income | 12,035 | 3,857 |
Reclassification out of Accumulated Other Comprehensive Income | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Gain on sale of available-for-sale debt securities | 10 | 393 |
Income tax expense | 2 | 96 |
Net income | $ 8 | $ 297 |
Regulatory Matters (Details)
Regulatory Matters (Details) $ in Thousands | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Total Capital to Risk-Weighted Assets | ||
Actual, amount | $ 668,393 | $ 656,806 |
Actual, ratio | 0.133 | 0.131 |
Tier I Capital to Risk-Weighted Assets | ||
Actual, amount | $ 605,281 | $ 593,865 |
Actual, ratio | 0.120 | 0.118 |
Common Equity Tier 1 to Risk-Weighted Assets | ||
Actual, amount | $ 604,307 | $ 592,902 |
Actual, ratio | 0.120 | 0.118 |
Tier I Capital to Average Assets | ||
Actual, amount | $ 605,281 | $ 593,865 |
Actual, ratio | 0.105 | 0.108 |
Bank | ||
Total Capital to Risk-Weighted Assets | ||
Actual, amount | $ 624,240 | $ 611,533 |
Actual, ratio | 0.124 | 0.122 |
Required to be considered well capitalized, amount | $ 503,528 | $ 502,111 |
Required to be considered well capitalized, ratio | 0.100 | 0.100 |
Tier I Capital to Risk-Weighted Assets | ||
Actual, amount | $ 561,155 | $ 548,615 |
Actual, ratio | 0.111 | 0.109 |
Required to be considered well capitalized, amount | $ 402,822 | $ 401,689 |
Required to be considered well capitalized, ratio | 0.080 | 0.080 |
Common Equity Tier 1 to Risk-Weighted Assets | ||
Actual, amount | $ 561,155 | $ 548,615 |
Actual, ratio | 0.111 | 0.109 |
Required to be considered well capitalized, amount | $ 327,293 | $ 326,372 |
Required to be considered well capitalized, ratio | 6.50% | 6.50% |
Tier I Capital to Average Assets | ||
Actual, amount | $ 561,155 | $ 548,615 |
Actual, ratio | 0.097 | 0.100 |
Required to be considered well capitalized, amount | $ 287,942 | $ 274,302 |
Required to be considered well capitalized, ratio | 0.050 | 0.050 |
Minimum Capital Required - Basel III | ||
Total Capital to Risk-Weighted Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 528,882 | $ 527,486 |
Minimum capital required, Basel III fully phased-in, ratio | 0.105 | 0.105 |
Tier I Capital to Risk-Weighted Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 428,143 | $ 427,012 |
Minimum capital required, Basel III fully phased-in, ratio | 0.085 | 0.085 |
Common Equity Tier 1 to Risk-Weighted Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 352,588 | $ 351,657 |
Minimum capital required, Basel III fully phased-in, ratio | 7.00% | 7.00% |
Tier I Capital to Average Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 230,468 | $ 219,550 |
Minimum capital required, Basel III fully phased-in, ratio | 0.040 | 0.040 |
Minimum Capital Required - Basel III | Bank | ||
Total Capital to Risk-Weighted Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 528,704 | $ 527,217 |
Minimum capital required, Basel III fully phased-in, ratio | 0.105 | 0.105 |
Tier I Capital to Risk-Weighted Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 427,999 | $ 426,794 |
Minimum capital required, Basel III fully phased-in, ratio | 0.085 | 0.085 |
Common Equity Tier 1 to Risk-Weighted Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 352,470 | $ 351,478 |
Minimum capital required, Basel III fully phased-in, ratio | 7.00% | 7.00% |
Tier I Capital to Average Assets | ||
Minimum capital required, Basel III fully phased-in, amount | $ 230,354 | $ 219,441 |
Minimum capital required, Basel III fully phased-in, ratio | 0.040 | 0.040 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($)shares | |
Performance Based Stock Awards | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period | 3 years |
Granted (in shares) | 63,631 |
Award performance metric period | 3 years |
Unrecognized compensation cost | $ | $ 968 |
Period for recognizing stock-based compensation expense | 2 years 8 months 12 days |
Performance Based Stock Awards | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award payout percentage | 0.00% |
Performance Based Stock Awards | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award payout percentage | 150.00% |
All Other Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period | 3 years |
Restricted Stock Awards | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period | 1 year |
Restricted Stock Units and Awards | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Granted (in shares) | 194,211 |
Unrecognized compensation cost | $ | $ 4,000 |
Period for recognizing stock-based compensation expense | 2 years 3 months 18 days |
2018 Omnibus Equity Incentive Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares authorized for future issuance (in shares) | 1,831,858 |
Stock-Based Compensation - Tota
Stock-Based Compensation - Total Stock Based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation | $ 649 | $ 934 |
Stock appreciation rights | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation | 236 | 256 |
Performance-based stock awards | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation | (266) | 74 |
Restricted stock units and awards | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation | 665 | 604 |
Employee stock purchase plan | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Total stock-based compensation | $ 14 | $ 0 |
Stock-Based Compensation - Stat
Stock-Based Compensation - Status and Changes in Performance-Based Awards (Details) - Performance Based Stock Awards | 3 Months Ended |
Mar. 31, 2021$ / sharesshares | |
Number of Shares | |
Beginning balance (in shares) | shares | 231,631 |
Granted (in shares) | shares | 63,631 |
Vested (in shares) | shares | 0 |
Forfeited (in shares) | shares | 0 |
Ending balance (in shares) | shares | 295,262 |
Weighted-Average Grant Date Fair Value | |
Beginning balance (in dollars per share) | $ / shares | $ 10.51 |
Granted (in dollars per share) | $ / shares | 12.89 |
Vested (in dollars per share) | $ / shares | 0 |
Forfeited (in dollars per share) | $ / shares | 0 |
Ending balance (in dollars per share) | $ / shares | $ 11.02 |
Stock-Based Compensation - St_2
Stock-Based Compensation - Status and Changes in RSUs and RSAs (Details) - Restricted Stock Units and Awards | 3 Months Ended |
Mar. 31, 2021$ / sharesshares | |
Number of Shares | |
Beginning balance (in shares) | shares | 369,217 |
Granted (in shares) | shares | 194,211 |
Vested (in shares) | shares | (109,770) |
Forfeited (in shares) | shares | 0 |
Ending balance (in shares) | shares | 453,658 |
Weighted-Average Grant Date Fair Value | |
Beginning balance (in dollars per share) | $ / shares | $ 12.61 |
Granted (in dollars per share) | $ / shares | 12.87 |
Vested (in dollars per share) | $ / shares | 14.28 |
Forfeited (in dollars per share) | $ / shares | 0 |
Ending balance (in dollars per share) | $ / shares | $ 12.32 |
Income Tax - Effective Income T
Income Tax - Effective Income Tax Reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||
Computed at the statutory rate (21%) | $ 3,138 | $ 872 |
Increase (decrease) resulting from | ||
Tax-exempt income | (790) | (790) |
Nondeductible expenses | 50 | 64 |
State income taxes | 496 | 142 |
Equity based compensation | 14 | 26 |
Other adjustments | 0 | (21) |
Income tax expense | $ 2,908 | $ 293 |
Income Tax - Deferred Tax Asset
Income Tax - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets | ||
Allowance for loan losses | $ 17,944 | $ 18,124 |
Lease incentive | 550 | 564 |
Loan fees | 3,453 | 3,178 |
Accrued expenses | 874 | 2,128 |
Deferred compensation | 2,197 | 2,474 |
State tax credit | 2,447 | 2,621 |
Other | 452 | 946 |
Total deferred tax asset | 27,917 | 30,035 |
Deferred tax liability | ||
Net unrealized gain on securities available-for-sale | (7,308) | (9,531) |
FHLB stock basis | (1,248) | (1,209) |
Premises and equipment | (2,703) | (2,881) |
Other | (1,446) | (1,601) |
Total deferred tax liability | (12,705) | (15,222) |
Net deferred tax asset | $ 15,212 | $ 14,813 |
Disclosures about Fair Value _3
Disclosures about Fair Value of Financial Instruments - Nonrecurring Measurements (Details) - Fair Value, Nonrecurring - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans | $ 46,940 | $ 55,454 |
Foreclosed assets held-for-sale | 2,347 | |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans | 0 | 0 |
Foreclosed assets held-for-sale | 0 | |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans | 0 | 0 |
Foreclosed assets held-for-sale | 0 | |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans | $ 46,940 | 55,454 |
Foreclosed assets held-for-sale | $ 2,347 |
Disclosures about Fair Value _4
Disclosures about Fair Value of Financial Instruments - Unobservable Inputs (Details) - Fair Value, Nonrecurring $ in Thousands | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans | $ 46,940 | $ 55,454 |
Foreclosed assets held-for-sale | 2,347 | |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans | $ 46,940 | 55,454 |
Foreclosed assets held-for-sale | $ 2,347 | |
Level 3 | Marketability discount | Market comparable properties | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans, measurement input | 0.10 | 0.01 |
Foreclosed assets held-for-sale, measurement input | 0.07 | |
Level 3 | Marketability discount | Market comparable properties | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans, measurement input | 0.98 | 0.98 |
Foreclosed assets held-for-sale, measurement input | 0.10 | |
Level 3 | Marketability discount | Market comparable properties | Weighted Average | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral-dependent impaired loans, measurement input | 0.27 | 0.24 |
Foreclosed assets held-for-sale, measurement input | 0.09 |
Disclosures about Fair Value _5
Disclosures about Fair Value of Financial Instruments - Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financial Assets | ||
Available-for-sale securities | $ 685,454 | $ 654,588 |
Restricted equity securities | 14,080 | 15,543 |
Carrying Amount | ||
Financial Assets | ||
Cash and cash equivalents | 630,787 | 408,810 |
Available-for-sale securities | 685,454 | 654,588 |
Loans, net of allowance for loan losses | 4,434,049 | 4,366,602 |
Restricted equity securities | 14,080 | 15,543 |
Interest receivable | 17,987 | 17,236 |
Equity securities | 13,405 | 13,436 |
Derivative assets | 15,561 | 24,094 |
Total financial assets | 5,811,323 | 5,500,309 |
Financial Liabilities | ||
Deposits | 5,051,570 | 4,694,740 |
Federal funds purchased and repurchase agreements | 3,294 | 2,306 |
Federal Home Loan Bank advances | 283,100 | 293,100 |
Other borrowings | 974 | 963 |
Interest payable | 1,911 | 2,163 |
Derivative liabilities | 15,766 | 24,454 |
Total financial liabilities | 5,356,615 | 5,017,726 |
Estimate of Fair Value Measurement | ||
Financial Assets | ||
Cash and cash equivalents | 630,787 | 408,810 |
Available-for-sale securities | 685,454 | 654,588 |
Loans, net of allowance for loan losses | 4,419,714 | 4,351,970 |
Restricted equity securities | 14,080 | 15,543 |
Interest receivable | 17,987 | 17,236 |
Equity securities | 13,405 | 13,436 |
Derivative assets | 15,561 | 24,094 |
Total financial assets | 5,796,988 | 5,485,677 |
Financial Liabilities | ||
Deposits | 5,083,728 | 4,734,251 |
Federal funds purchased and repurchase agreements | 3,294 | 2,306 |
Federal Home Loan Bank advances | 292,667 | 309,020 |
Other borrowings | 2,235 | 2,024 |
Interest payable | 1,911 | 2,163 |
Derivative liabilities | 15,766 | 24,454 |
Total financial liabilities | 5,399,601 | 5,074,218 |
Estimate of Fair Value Measurement | Level 1 | ||
Financial Assets | ||
Cash and cash equivalents | 630,787 | 408,810 |
Available-for-sale securities | 0 | 0 |
Loans, net of allowance for loan losses | 0 | 0 |
Restricted equity securities | 0 | 0 |
Interest receivable | 0 | 0 |
Equity securities | 0 | 0 |
Derivative assets | 0 | 0 |
Total financial assets | 630,787 | 408,810 |
Financial Liabilities | ||
Deposits | 794,559 | 718,459 |
Federal funds purchased and repurchase agreements | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Other borrowings | 0 | 0 |
Interest payable | 0 | 0 |
Derivative liabilities | 0 | 0 |
Total financial liabilities | 794,559 | 718,459 |
Estimate of Fair Value Measurement | Level 2 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | 0 |
Available-for-sale securities | 685,454 | 654,588 |
Loans, net of allowance for loan losses | 0 | 0 |
Restricted equity securities | 0 | 0 |
Interest receivable | 17,987 | 17,236 |
Equity securities | 2,216 | 2,247 |
Derivative assets | 15,561 | 24,094 |
Total financial assets | 721,218 | 698,165 |
Financial Liabilities | ||
Deposits | 0 | 0 |
Federal funds purchased and repurchase agreements | 3,294 | 2,306 |
Federal Home Loan Bank advances | 292,667 | 309,020 |
Other borrowings | 2,235 | 2,024 |
Interest payable | 1,911 | 2,163 |
Derivative liabilities | 15,766 | 24,454 |
Total financial liabilities | 315,873 | 339,967 |
Estimate of Fair Value Measurement | Level 3 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | 0 |
Available-for-sale securities | 0 | 0 |
Loans, net of allowance for loan losses | 4,419,714 | 4,351,970 |
Restricted equity securities | 14,080 | 15,543 |
Interest receivable | 0 | 0 |
Equity securities | 11,189 | 11,189 |
Derivative assets | 0 | 0 |
Total financial assets | 4,444,983 | 4,378,702 |
Financial Liabilities | ||
Deposits | 4,289,169 | 4,015,792 |
Federal funds purchased and repurchase agreements | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Other borrowings | 0 | 0 |
Interest payable | 0 | 0 |
Derivative liabilities | 0 | 0 |
Total financial liabilities | $ 4,289,169 | $ 4,015,792 |
Commitments and Credit Risk (De
Commitments and Credit Risk (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Loss Contingencies [Line Items] | ||
Total commitments | $ 1,555,704 | $ 1,571,241 |
Commitments to originate loans | ||
Loss Contingencies [Line Items] | ||
Total commitments | 112,738 | 99,596 |
Standby letters of credit | ||
Loss Contingencies [Line Items] | ||
Total commitments | 41,256 | 48,607 |
Lines of credit | ||
Loss Contingencies [Line Items] | ||
Total commitments | $ 1,401,710 | $ 1,423,038 |