Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2023 | Nov. 03, 2023 | |
Document Document And Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Sep. 30, 2023 | |
Entity File Number | 001-35654 | |
Entity Registrant Name | NATIONAL BANK HOLDINGS CORP | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 27-0563799 | |
Entity Address, Address Line One | 7800 East Orchard Road, Suite 300 | |
Entity Address, City or Town | Greenwood Village | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80111 | |
City Area Code | 303 | |
Local Phone Number | 892-8715 | |
Title of 12(b) Security | Class A Common Stock | |
Trading Symbol | NBHC | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 37,761,138 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0001475841 | |
Amendment Flag | false |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
ASSETS | ||
Cash and cash equivalents | $ 291,291 | $ 195,505 |
Investment securities available-for-sale (at fair value) | 620,445 | 706,289 |
Investment securities held-to-maturity (fair value of $494,242 and $559,924 at September 30, 2023 and December 31, 2022, respectively) | 600,501 | 651,527 |
Non-marketable securities | 87,817 | 89,049 |
Loans | 7,478,438 | 7,220,469 |
Allowance for credit losses | (93,446) | (89,553) |
Loans, net | 7,384,992 | 7,130,916 |
Loans held for sale | 19,048 | 22,767 |
Other real estate owned | 3,416 | 3,731 |
Premises and equipment, net | 153,553 | 136,111 |
Goodwill | 306,043 | 279,132 |
Intangible assets, net | 68,283 | 59,887 |
Other assets | 330,894 | 298,329 |
Total assets | 9,866,283 | 9,573,243 |
Liabilities: | ||
Non-interest bearing demand deposits | 2,483,174 | 3,134,716 |
Interest bearing demand deposits | 1,358,445 | 913,852 |
Savings and money market | 3,314,895 | 2,950,658 |
Time deposits | 992,494 | 873,400 |
Total deposits | 8,149,008 | 7,872,626 |
Securities sold under agreements to repurchase | 20,273 | 20,214 |
Long-term debt, net | 54,123 | 53,890 |
Federal Home Loan Bank advances | 316,770 | 385,000 |
Other liabilities | 162,524 | 149,311 |
Total liabilities | 8,702,698 | 8,481,041 |
Shareholders' equity: | ||
Common stock, par value $0.01 per share: 400,000,000 shares authorized; 51,487,907 and 51,487,907 shares issued; 37,739,776 and 37,608,519 shares outstanding at September 30, 2023 and December 31, 2022, respectively | 515 | 515 |
Additional paid-in capital | 1,160,706 | 1,159,508 |
Retained earnings | 410,243 | 330,721 |
Treasury stock of 13,485,056 and 13,714,251 shares at September 30, 2023 and December 31, 2022, respectively, at cost | (307,026) | (310,338) |
Accumulated other comprehensive loss, net of tax | (100,853) | (88,204) |
Total shareholders' equity | 1,163,585 | 1,092,202 |
Total liabilities and shareholders' equity | $ 9,866,283 | $ 9,573,243 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Consolidated Statements of Financial Condition (Unaudited) | ||
Investment securities held-to-maturity, fair value | $ 494,242 | $ 559,924 |
Common Stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 400,000,000 | 400,000,000 |
Common Stock, shares issued | 51,487,907 | 51,487,907 |
Common Stock, shares outstanding | 37,739,776 | 37,608,519 |
Treasury stock, shares | 13,485,056 | 13,714,251 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Interest and dividend income: | ||||
Interest and fees on loans | $ 117,736 | $ 63,875 | $ 334,811 | $ 159,707 |
Interest and dividends on investment securities | 6,468 | 6,460 | 20,019 | 17,195 |
Dividends on non-marketable securities | 701 | 212 | 2,513 | 632 |
Interest on interest-bearing bank deposits | 1,205 | 1,822 | 3,369 | 3,196 |
Total interest and dividend income | 126,110 | 72,369 | 360,712 | 180,730 |
Interest expense: | ||||
Interest on deposits | 33,423 | 2,945 | 69,615 | 7,961 |
Interest on borrowings | 4,910 | 333 | 18,647 | 1,000 |
Total interest expense | 38,333 | 3,278 | 88,262 | 8,961 |
Net interest income before provision for credit losses | 87,777 | 69,091 | 272,450 | 171,769 |
Provision for credit loss expense | 1,125 | 12,678 | 3,725 | 14,860 |
Net interest income after provision for credit losses | 86,652 | 56,413 | 268,725 | 156,909 |
Non-interest income: | ||||
Non-interest income | 12,979 | 9,548 | 36,463 | 26,789 |
Mortgage banking income | 4,688 | 4,474 | 11,614 | 21,088 |
Bank-owned life insurance income | 882 | 573 | 2,559 | 1,645 |
Other non-interest income | 3,953 | 3,304 | 5,565 | 5,104 |
Total non-interest income | 19,365 | 17,358 | 47,853 | 53,174 |
Non-interest expense: | ||||
Salaries and benefits | 35,027 | 30,540 | 103,231 | 88,652 |
Occupancy and equipment | 9,167 | 8,026 | 27,366 | 21,087 |
Data processing | 3,546 | 2,899 | 10,257 | 7,733 |
Marketing and business development | 1,037 | 979 | 2,997 | 2,326 |
FDIC deposit insurance | 1,686 | 508 | 5,433 | 1,476 |
Bank card expenses | 1,667 | 1,409 | 4,260 | 4,075 |
Professional fees | 2,215 | 5,810 | 7,951 | 8,110 |
Other non-interest expense | 4,250 | 3,384 | 13,003 | 9,138 |
Other intangible assets amortization | 2,008 | 383 | 5,378 | 975 |
Total non-interest expense | 60,603 | 53,938 | 179,876 | 143,572 |
Income before income taxes | 45,414 | 19,833 | 136,702 | 66,511 |
Income tax expense | 9,327 | 3,994 | 27,775 | 11,958 |
Net income | $ 36,087 | $ 15,839 | $ 108,927 | $ 54,553 |
Earnings per share-basic (in dollars per share) | $ 0.95 | $ 0.51 | $ 2.87 | $ 1.78 |
Earnings per share-diluted (in dollars per share) | $ 0.94 | $ 0.50 | $ 2.85 | $ 1.77 |
Weighted average number of common shares outstanding: | ||||
Basic (Shares) | 37,990,659 | 31,259,188 | 37,911,896 | 30,539,266 |
Diluted (Shares) | 38,134,338 | 31,531,075 | 38,093,910 | 30,834,630 |
Service charges | ||||
Non-interest income: | ||||
Non-interest income | $ 4,849 | $ 4,326 | $ 13,394 | $ 11,992 |
Bank card fees | ||||
Non-interest income: | ||||
Non-interest income | $ 4,993 | $ 4,681 | $ 14,721 | $ 13,345 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) | ||||
Net income | $ 36,087 | $ 15,839 | $ 108,927 | $ 54,553 |
Securities available-for-sale: | ||||
Net unrealized losses arising during the period, net of tax benefit of $3,418 and $9,184 for the three months ended September 30, 2023 and 2022, respectively; and net of tax benefit of $3,283 and $25,030 for the nine months ended September 30, 2023 and 2022, respectively | (11,718) | (29,482) | (11,276) | (80,349) |
Less: amortization of net unrealized holding gains to income, net of tax benefit of $11 and $22 for the three months ended September 30, 2023 and 2022, respectively; and net of tax benefit of $40 and $75 for the nine months ended September 30, 2023 and 2022, respectively | (39) | (71) | (135) | (242) |
Cash flow hedges: | ||||
Net unrealized losses arising during the period, net of tax benefit of $169 and $559 for the three months ended September 30, 2023 and 2022, respectively; and net of tax benefit of $618 and $559 for the nine months ended September 30, 2023 and 2022, respectively | (550) | (1,795) | (2,032) | (1,795) |
Less: reclassification adjustment for losses included in net income, net of tax benefit of $22 and $3 for the three months ended September 30, 2023 and 2022, respectively; and net of tax benefit of $241 and $3 for the nine months ended September 30, 2023 and 2022, respectively | 68 | 10 | 794 | 10 |
Other comprehensive loss | (12,239) | (31,338) | (12,649) | (82,376) |
Comprehensive income (loss) | $ 23,848 | $ (15,499) | $ 96,278 | $ (27,823) |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) | ||||
Tax benefit on net unrealized losses arising during the period | $ 3,418 | $ 9,184 | $ 3,283 | $ 25,030 |
Tax benefit of amortization of net unrealized holding gains to income | 11 | 22 | 40 | 75 |
Net unrealized losses arising during the period, tax benefit | 169 | 559 | 618 | 559 |
Reclassification adjustment for losses included in net income, tax benefit | $ 22 | $ 3 | $ 241 | $ 3 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] Community Bancorporation | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury stock [Member] Community Bancorporation | Treasury stock [Member] | Accumulated other comprehensive income (loss), net [Member] | Community Bancorporation | Total |
Balance in the beginning at Dec. 31, 2021 | $ 515 | $ 1,014,294 | $ 289,876 | $ (6,963) | $ 840,106 | ||||
Balance in the beginning (Treasury Stock) at Dec. 31, 2021 | $ (457,616) | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income | 54,553 | 54,553 | |||||||
Stock-based compensation | 4,342 | 4,342 | |||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (2,706) | 2,216 | (490) | ||||||
Reissuance of treasury stock for acquisition | $ 63,630 | $ 60,642 | $ 124,272 | ||||||
Cash dividends declared | (20,981) | (20,981) | |||||||
Other comprehensive loss | (82,376) | (82,376) | |||||||
Balance in the ending at Sep. 30, 2022 | 515 | 1,079,560 | 323,448 | (89,339) | 919,426 | ||||
Balance in the ending (Treasury Stock) at Sep. 30, 2022 | (394,758) | ||||||||
Balance in the beginning at Jun. 30, 2022 | 515 | 1,014,330 | 314,616 | (58,001) | 815,551 | ||||
Balance in the beginning (Treasury Stock) at Jun. 30, 2022 | (455,909) | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income | 15,839 | 15,839 | |||||||
Stock-based compensation | 1,494 | 1,494 | |||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | 106 | 509 | 615 | ||||||
Reissuance of treasury stock for acquisition | $ 63,630 | $ 60,642 | $ 124,272 | ||||||
Cash dividends declared | (7,007) | (7,007) | |||||||
Other comprehensive loss | (31,338) | (31,338) | |||||||
Balance in the ending at Sep. 30, 2022 | 515 | 1,079,560 | 323,448 | (89,339) | 919,426 | ||||
Balance in the ending (Treasury Stock) at Sep. 30, 2022 | (394,758) | ||||||||
Balance in the beginning at Dec. 31, 2022 | 515 | 1,159,508 | 330,721 | (88,204) | 1,092,202 | ||||
Balance in the beginning (Treasury Stock) at Dec. 31, 2022 | (310,338) | (310,338) | |||||||
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income | 108,927 | 108,927 | |||||||
Stock-based compensation | 5,366 | 5,366 | |||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (4,168) | 3,312 | (856) | ||||||
Cash dividends declared | (29,405) | (29,405) | |||||||
Other comprehensive loss | (12,649) | (12,649) | |||||||
Balance in the ending at Sep. 30, 2023 | 515 | 1,160,706 | 410,243 | (100,853) | 1,163,585 | ||||
Balance in the ending (Treasury Stock) at Sep. 30, 2023 | (307,026) | (307,026) | |||||||
Balance in the beginning at Jun. 30, 2023 | 515 | 1,158,727 | 384,094 | (88,614) | 1,147,334 | ||||
Balance in the beginning (Treasury Stock) at Jun. 30, 2023 | (307,388) | ||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income | 36,087 | 36,087 | |||||||
Stock-based compensation | 1,720 | 1,720 | |||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | 259 | 362 | 621 | ||||||
Cash dividends declared | (9,938) | (9,938) | |||||||
Other comprehensive loss | (12,239) | (12,239) | |||||||
Balance in the ending at Sep. 30, 2023 | $ 515 | $ 1,160,706 | $ 410,243 | $ (100,853) | 1,163,585 | ||||
Balance in the ending (Treasury Stock) at Sep. 30, 2023 | $ (307,026) | $ (307,026) |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Gain on reissuance of treasury stock | $ 256 | $ 64,175 | $ 3,287 | $ 67,024 |
Cash dividends declared per share | $ 0.26 | $ 0.23 | $ 0.77 | $ 0.69 |
Community Bancorporation | ||||
Reissuance of treasury stock, shares | 3,096,745 | 3,096,745 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Cash flows from operating activities: | |||||
Net income | $ 36,087 | $ 15,839 | $ 108,927 | $ 54,553 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Provision for credit loss expense | 3,725 | 12,386 | |||
Depreciation and amortization | 17,512 | 10,712 | |||
Change in current income tax receivable | 4,860 | 5,677 | |||
Change in deferred income taxes | (4,108) | (21,295) | |||
Discount accretion, net of premium amortization on securities | (619) | 1,192 | |||
Gain on sale of mortgages, net | (8,309) | (20,733) | |||
Origination of loans held for sale, net of repayments | (326,477) | (710,743) | |||
Proceeds from sales of loans held for sale | 333,329 | 845,406 | |||
Originations of mortgage servicing rights | (993) | (3,895) | |||
Proceeds from sales of mortgage servicing rights | 5,502 | ||||
Gain on sale of mortgage servicing rights | (1,052) | ||||
Impairment on fixed assets related to banking center consolidations | 113 | 118 | |||
Gain on sale of fixed assets | (148) | (1,674) | |||
Stock-based compensation | 5,366 | 4,342 | |||
Operating lease payments | (4,674) | (3,515) | |||
Change in other assets | (23,559) | (35,099) | |||
Change in other liabilities | 12,917 | 43,665 | |||
Net cash provided by operating activities | 122,312 | 181,097 | |||
Cash flows from investing activities: | |||||
Proceeds from non-marketable securities | 90,293 | 64 | |||
Proceeds from maturities of investment securities available-for-sale | 71,339 | 116,002 | |||
Proceeds from maturities of investment securities held-to-maturity | 53,947 | 93,201 | |||
Proceeds from sales of other real estate owned | 249 | 3,563 | |||
Purchase of non-marketable securities | (93,852) | (11,494) | |||
Purchase of investment securities available-for-sale | 0 | (260,249) | |||
Purchase of investment securities held-to-maturity | (2,452) | (91,607) | |||
Purchases of premises and equipment, net | (24,687) | (9,912) | |||
Net increase in loans | (254,910) | (673,939) | |||
Proceeds from the sale of loans | 933 | ||||
Net cash activity from acquisition | (45,300) | 244,742 | |||
Net cash used in investing activities | (205,373) | (588,696) | |||
Cash flows from financing activities: | |||||
Net increase (decrease) in deposits | 275,834 | (159,101) | |||
Net increase (decrease) in repurchase agreements and other short-term borrowings | 59 | (2,724) | |||
Advances from the Federal Home Loan Bank | 3,795,000 | ||||
Federal Home Loan Bank repayments | (3,863,230) | ||||
Issuance of stock under purchase and equity compensation plans | (1,054) | (1,210) | |||
Proceeds from exercise of stock options | 106 | 639 | |||
Payment of dividends | (29,382) | (21,004) | |||
Net cash provided by (used in) financing activities | 177,333 | (183,400) | |||
Increase (decrease) in cash, cash equivalents and restricted cash(1) | 94,272 | (590,999) | |||
Cash, cash equivalents and restricted cash at beginning of the year(1) | 198,519 | 850,220 | $ 850,220 | ||
Cash, cash equivalents and restricted cash at end of period(1) | $ 292,791 | $ 259,221 | 292,791 | 259,221 | $ 198,519 |
Supplemental disclosure of cash flow information during the period: | |||||
Cash paid for interest | 76,642 | 9,587 | |||
Net tax payments | 24,824 | 5,567 | |||
Supplemental schedule of non-cash activities: | |||||
Loans transferred from loans held for sale to loans | $ 5,176 | 4,762 | |||
Treasury stock reissued for acquisition | $ 60,642 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) (Unaudited) - USD ($) $ in Millions | Sep. 30, 2023 | Sep. 30, 2022 |
Restricted Cash, Asset, Statement of Financial Position [Extensible List] | Other Assets | Other Assets |
Peoples Inc | ||
Restricted cash placed in escrow | $ 1.5 | $ 3 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2023 | |
Basis of Presentation | |
Basis of Presentation | Note 1 Basis of Presentation National Bank Holdings Corporation ("NBHC" or the "Company") is a bank holding company that was incorporated in the State of Delaware in 2009. The Company is headquartered in Greenwood Village, Colorado, and its primary operations are conducted through its wholly owned subsidiaries NBH Bank and Bank of Jackson Hole Trust. NBH Bank is a Colorado state-chartered bank and a member of the Federal Reserve System, and Bank of Jackson Hole Trust is a Wyoming state-chartered bank and a member of the Federal Reserve System. The Company provides a variety of banking products to both commercial and consumer clients through a network of over 95 banking centers, as of September 30, 2023, located primarily in Colorado, the greater Kansas City region, Utah, Wyoming, Texas, New Mexico and Idaho, as well as through online and mobile banking products and services. The accompanying interim unaudited consolidated financial statements serve to update the National Bank Holdings Corporation Annual Report on Form 10-K Form 10-K GAAP requires management to make estimates that affect the reported amounts of assets, liabilities, revenues and expenses and disclosures of contingent assets and liabilities. By their nature, estimates are based on judgment and available information. Management has made significant estimates in certain areas, such as the fair values of financial instruments, contingent liabilities and the allowance for credit losses (“ACL”). Because of the inherent uncertainties associated with any estimation process and future changes in market and economic conditions, it is possible that actual results could differ significantly from those estimates. The Company's significant accounting policies followed in the preparation of the unaudited consolidated financial statements are disclosed in note 2 of the audited financial statements and notes for the year ended December 31, 2022 and are contained in the Company's Annual Report on Form 10-K |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2023 | |
Recent Accounting Pronouncements | |
Recent Accounting Pronouncements | Note 2 Recent Accounting Pronouncements The Company has not adopted any recent accounting pronouncements in addition to those disclosed in our Annual Report on Form 10-K In March 2022, the FASB issued ASU 2022-02, Financial Instruments—Credit Losses Troubled Debt Restructurings and Vintage Disclosures In March 2022, the FASB issued ASU 2022-01, Derivatives and Hedging Fair Value Hedging – Portfolio Layer Method Derivatives and Hedging Targeted Improvements to Accounting for Hedging Activities |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2023 | |
Investment Securities | |
Investment Securities | Note 3 Investment Securities The Company’s investment securities portfolio is comprised of available-for-sale and held-to-maturity investment securities. These investment securities totaled $1.2 billion at September 30, 2023 and included $0.6 billion of available-for-sale securities and $0.6 billion of held-to-maturity securities. At December 31, 2022, investment securities totaled $1.4 billion and included $0.7 billion of available-for-sale securities and $0.7 billion of held-to-maturity securities. Available-for-sale Available-for-sale securities are summarized as follows as of the dates indicated: September 30, 2023 Amortized Gross Gross cost unrealized gains unrealized losses Fair value U.S. Treasury securities $ 74,386 $ — $ (2,524) $ 71,862 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 240,292 14 (43,458) 196,848 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 430,853 — (81,911) 348,942 Municipal securities 155 — (3) 152 Corporate debt 2,000 — (151) 1,849 Other securities 792 — — 792 Total investment securities available-for-sale $ 748,478 $ 14 $ (128,047) $ 620,445 December 31, 2022 Amortized Gross Gross cost unrealized gains unrealized losses Fair value U.S. Treasury securities $ 74,031 $ — $ (2,643) $ 71,388 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 263,939 1 (37,809) 226,131 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 478,866 — (72,940) 405,926 Municipal securities 155 — (2) 153 Corporate debt 2,000 — (80) 1,920 Other securities 771 — — 771 Total investment securities available-for-sale $ 819,762 $ 1 $ (113,474) $ 706,289 During the nine months ended September 30, 2023, there were no purchases of available-for-sale securities. During the nine months ended September 30, 2022, purchases of available-for-sale securities totaled $260.2 million. Maturities and paydowns of available-for-sale securities during the nine months ended September 30, 2023 and 2022 totaled $71.3 million and $116.0 million, respectively. There were no sales of available-for-sale securities during the nine months ended September 30, 2023 or 2022. At September 30, 2023 and December 31, 2022, the Company’s available-for-sale investment portfolio was primarily comprised of U.S. Treasury securities and mortgage-backed securities. All mortgage-backed securities were backed by government sponsored enterprises (“GSE”) collateral such as Federal Home Loan Mortgage Corporation (“FHLMC”) and Federal National Mortgage Association (“FNMA”) and the government owned agency Government National Mortgage Association (“GNMA”). The tables below summarize the available-for-sale securities with unrealized losses as of the dates shown, along with the length of the impairment period: September 30, 2023 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ — $ — $ 71,862 $ (2,524) $ 71,862 $ (2,524) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 16 (1) 193,918 (43,457) 193,934 (43,458) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 136 (4) 348,806 (81,907) 348,942 (81,911) Municipal securities — — 152 (3) 152 (3) Corporate debt — — 1,849 (151) 1,849 (151) Total $ 152 $ (5) $ 616,587 $ (128,042) $ 616,739 $ (128,047) December 31, 2022 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ 71,388 $ (2,643) $ — $ — $ 71,388 $ (2,643) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 83,748 (6,686) 141,272 (31,123) 225,020 (37,809) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 196,449 (22,809) 209,477 (50,131) 405,926 (72,940) Municipal securities 153 (2) — — 153 (2) Corporate debt 1,920 (80) — — 1,920 (80) Total $ 353,658 $ (32,220) $ 350,749 $ (81,254) $ 704,407 $ (113,474) Management evaluated all of the available-for-sale securities in an unrealized loss position at September 30, 2023 and December 31, 2022. The portfolio included 237 securities, which were in an unrealized loss position at September 30, 2023, compared to 244 securities at December 31, 2022. The unrealized losses in the Company's investment portfolio at September 30, 2023 were caused by changes in interest rates. The Company has no intention to sell these securities and believes it will not be required to sell the securities before the recovery of their amortized cost. Management believes that default of the available-for-sale securities is highly unlikely. FHLMC, FNMA and GNMA guaranteed mortgage-backed securities and U.S. Treasury securities have a long history of zero credit losses, an explicit guarantee by the U.S. government (although limited for FNMA and FHLMC securities) and yields that generally trade based on market views of prepayment and liquidity risk rather than credit risk. The tables below summarize the credit quality indicators, by fair value, of available-for-sale securities as of the dates shown: September 30, 2023 AAA Not rated Total U.S. Treasury securities $ 71,862 $ — $ 71,862 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 196,848 — 196,848 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 348,942 — 348,942 Municipal securities — 152 152 Corporate debt — 1,849 1,849 Other securities — 792 792 Total investment securities available-for-sale $ 617,652 $ 2,793 $ 620,445 December 31, 2022 AAA Not rated Total U.S. Treasury securities $ 71,388 $ — $ 71,388 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 226,131 — 226,131 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 405,926 — 405,926 Municipal securities — 153 153 Corporate debt — 1,920 1,920 Other securities — 771 771 Total investment securities available-for-sale $ 703,445 $ 2,844 $ 706,289 Certain securities are pledged as collateral for public deposits, securities sold under agreements to repurchase and to secure borrowing capacity at the Federal Reserve Bank (“FRB”), if needed. The fair value of available-for-sale investment securities pledged as collateral totaled $205.3 million and $484.9 million at September 30, 2023 and at December 31, 2022, respectively. The Bank may also pledge available-for-sale investment securities as collateral for Federal Home Loan Bank (“FHLB”) advances. No securities were pledged for this purpose at September 30, 2023 or December 31, 2022. A summary of the available-for-sale securities by maturity is shown in the following table as of September 30, 2023. Mortgage-backed securities may have actual maturities that differ from contractual maturities depending on the repayment characteristics and experience of the underlying financial instruments and are therefore not included in the table below. Additionally, the Company holds other available-for-sale securities with an amortized cost and fair value September 30, 2023 Weighted Amortized Cost Fair Value Average Yield U.S. Treasury securities Within one year $ 24,917 $ 24,598 2.30% After one but within five years 49,469 47,264 2.67% Municipal securities After one but within five years 155 152 3.17% Corporate debt After five but within ten years 2,000 1,849 5.87% As of September 30, 2023 and December 31, 2022, accrued interest receivable (“AIR”) from available-for-sale investment securities totaled $1.3 million and $1.5 million, respectively, and was included within other assets in the consolidated statements of financial condition. Held-to-maturity Held-to-maturity investment securities are summarized as follows as of the dates indicated: September 30, 2023 Gross Gross Amortized unrealized unrealized cost gains losses Fair value U.S. Treasury securities $ 49,263 $ — $ (1,848) $ 47,415 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 309,216 — (49,023) 260,193 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 242,022 — (55,388) 186,634 Total investment securities held-to-maturity $ 600,501 $ — $ (106,259) $ 494,242 December 31, 2022 Gross Gross Amortized unrealized unrealized cost gains losses Fair value U.S. Treasury securities $ 49,045 $ — $ (1,416) $ 47,629 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 339,815 163 (41,162) 298,816 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 262,667 — (49,188) 213,479 Total investment securities held-to-maturity $ 651,527 $ 163 $ (91,766) $ 559,924 During the nine months ended September 30, 2023 and 2022, purchases of held-to-maturity securities totaled $2.5 million and $91.6 million, respectively. Maturities and paydowns of held-to-maturity securities totaled $53.9 million and $93.2 million during the nine months ended September 30, 2023 and 2022, respectively. The held-to-maturity portfolio included 160 securities in an unrealized loss position as of September 30, 2023, compared to 129 securities at December 31, 2022. The tables below summarize the held-to-maturity securities with unrealized losses as of the dates shown, along with the length of the impairment period: September 30, 2023 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ — $ — $ 47,415 $ (1,848) $ 47,415 $ (1,848) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 53,423 (2,086) 206,771 (46,937) 260,194 (49,023) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 3,882 (170) 182,752 (55,218) 186,634 (55,388) Total $ 57,305 $ (2,256) $ 436,938 $ (104,003) $ 494,243 $ (106,259) December 31, 2022 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ 47,629 $ (1,416) $ — $ — $ 47,629 $ (1,416) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 83,323 (3,804) 182,159 (37,358) 265,482 (41,162) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 34,704 (1,145) 178,776 (48,043) 213,480 (49,188) Total $ 165,656 $ (6,365) $ 360,935 $ (85,401) $ 526,591 $ (91,766) The Company does not measure expected credit losses on a financial asset, or group of financial assets, in which historical credit loss information adjusted for current conditions and reasonable and supportable forecasts results in an expectation that nonpayment of the amortized cost basis is zero. Management evaluated held-to-maturity securities noting they are backed by loans guaranteed by either U.S. government agencies or U.S. government sponsored entities, and management believes that default is highly unlikely given this governmental backing and long history without credit losses. Additionally, management notes that yields on which the portfolio generally trades are based upon market views of prepayment and liquidity risk and not credit risk. The Company has no intention to sell any held-to-maturity securities and believes it will not be required to sell any held-to-maturity securities before the recovery of their amortized cost. The tables below summarize the credit quality indicators, by amortized cost, of held-to-maturity securities as of the dates shown: September 30, 2023 AAA U.S. Treasury securities $ 49,263 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 309,216 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 242,022 Total investment securities held-to-maturity $ 600,501 December 31, 2022 AAA U.S. Treasury securities $ 49,045 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 339,815 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 262,667 Total investment securities held-to-maturity $ 651,527 Certain securities are pledged as collateral for public deposits, securities sold under agreements to repurchase and to secure borrowing capacity at the FRB, if needed. The carrying value of held-to-maturity investment securities pledged as collateral totaled $600.5 million and $355.3 million at September 30, 2023 and December 31, 2022, respectively. The Company may also pledge held-to-maturity investment securities as collateral for FHLB advances. No held-to-maturity investment securities were pledged for this purpose at September 30, 2023 or December 31, 2022. A summary of the held-to-maturity securities by maturity is shown in the following table as of September 30, 2023. Actual maturities of mortgage-backed securities may differ from scheduled maturities depending on the repayment characteristics and experience of the underlying financial instruments and are therefore not included in the table below. September 30, 2023 Weighted Amortized Cost Fair Value Average Yield U.S. Treasury securities After one but within five years $ 49,263 $ 47,415 3.14% As of September 30, 2023 and December 31, 2022, AIR from held-to-maturity investment securities totaled $1.3 million and $1.1 million, respectively, and was included within other assets in the consolidated statements of financial condition. |
Non-marketable Securities
Non-marketable Securities | 9 Months Ended |
Sep. 30, 2023 | |
Non-marketable Securities | |
Non-marketable Securities | Note 4 Non-marketable Securities The carrying balance of non-marketable securities are summarized as follows as of the dates indicated: September 30, 2023 December 31, 2022 Federal Reserve Bank stock $ 24,062 $ 18,096 Federal Home Loan Bank stock 14,787 20,294 Equity method investments 23,968 21,659 Convertible preferred stock 25,000 29,000 Total $ 87,817 $ 89,049 Non-marketable securities included FRB stock, FHLB stock and other non-marketable securities. During the nine months ended September 30, 2023 and 2022, purchases of non-marketable securities, consisting primarily of FHLB stock, totaled $93.9 million and proceeds of non-marketable securities, consisting of redemptions of FHLB stock, totaled $90.3 million. The changes in the Company’s FHLB stock holdings are directly correlated to FHLB line of credit advances and paydowns. During the nine months ended September 30, 2022, purchases totaling $11.5 million were comprised of other non-marketable securities, and proceeds from other non-marketable securities totaled $0.1 million. FRB and FHLB stock At September 30, 2023 and December 31, 2022, the Company held FRB stock and FHLB stock for regulatory or debt facility purposes. These are restricted securities which, lacking a market, are carried at cost. There have been no identified events or changes in circumstances that may have an adverse effect on the FRB and FHLB stock carried at cost. Other non-marketable securities Other non-marketable securities consist of equity method investments and convertible preferred stock without a readily determinable fair value. During the nine months ended September 30, 2023, the Company recorded $4.0 million in impairments on convertible preferred stock related to venture capital investments, included in other non-interest income in the Company’s consolidated statements of operations. No impairments were recorded during 2022. During the three and nine months ended September 30, 2023, the Company recorded net unrealized losses on equity method investments totaling zero and $0.4 million, respectively. During the three and nine months ended September 30, 2022, the Company recorded net unrealized gains on equity method investments totaling $1.3 million and $1.4 million, respectively. These gains and losses were recorded in other non-interest income in the Company’s consolidated statements of operations. |
Loans
Loans | 9 Months Ended |
Sep. 30, 2023 | |
Loans | |
Loans | Note 5 Loans The loan portfolio is comprised of loans originated by the Company and loans that were acquired in connection with the Company’s acquisitions. The tables below show the loan portfolio composition including carrying value by segment as of the dates shown. The carrying value of loans is net of discounts, fees, costs and fair value marks of $36.3 million and $38.8 million as of September 30, 2023 and December 31, 2022, respectively. September 30, 2023 Total loans % of total Commercial $ 4,349,012 58.1% Commercial real estate non-owner occupied 1,814,059 24.3% Residential real estate 1,295,991 17.3% Consumer 19,376 0.3% Total $ 7,478,438 100.0% December 31, 2022 Total loans % of total Commercial $ 4,251,780 58.9% Commercial real estate non-owner occupied 1,696,050 23.5% Residential real estate 1,251,281 17.3% Consumer 21,358 0.3% Total $ 7,220,469 100.0% Information about delinquent and non-accrual loans is shown in the following tables at September 30, 2023 and December 31, 2022: September 30, 2023 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 4,851 $ — $ 2,284 $ 7,135 $ 1,933,065 $ 1,940,200 Municipal and non-profit — — — — 1,013,272 1,013,272 Owner occupied commercial real estate 211 — 1,661 1,872 1,073,508 1,075,380 Food and agribusiness 40 140 7,244 7,424 312,736 320,160 Total commercial 5,102 140 11,189 16,431 4,332,581 4,349,012 Commercial real estate non-owner occupied: Construction — — — — 327,756 327,756 Acquisition/development — — — — 98,412 98,412 Multifamily — — — — 328,534 328,534 Non-owner occupied 226 — 13,537 13,763 1,045,594 1,059,357 Total commercial real estate and non-owner occupied 226 — 13,537 13,763 1,800,296 1,814,059 Residential real estate: Senior lien 1,934 8 7,662 9,604 1,195,898 1,205,502 Junior lien 808 — 762 1,570 88,919 90,489 Total residential real estate 2,742 8 8,424 11,174 1,284,817 1,295,991 Consumer 74 6 62 142 19,234 19,376 Total loans $ 8,144 $ 154 $ 33,212 $ 41,510 $ 7,436,928 $ 7,478,438 September 30, 2023 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 2,284 $ — $ 2,284 Municipal and non-profit — — — Owner occupied commercial real estate 237 1,424 1,661 Food and agribusiness 6,673 571 7,244 Total commercial 9,194 1,995 11,189 Commercial real estate non-owner occupied: Construction — — — Acquisition/development — — — Multifamily — — — Non-owner occupied 65 13,472 13,537 Total commercial real estate non-owner occupied 65 13,472 13,537 Residential real estate: Senior lien 2,914 4,748 7,662 Junior lien 462 300 762 Total residential real estate 3,376 5,048 8,424 Consumer 56 6 62 Total loans $ 12,691 $ 20,521 $ 33,212 December 31, 2022 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 919 $ 53 $ 2,601 $ 3,573 $ 2,021,262 $ 2,024,835 Municipal and non-profit — — — — 959,626 959,626 Owner occupied commercial real estate — — 6,551 6,551 906,789 913,340 Food and agribusiness 699 — 2,148 2,847 351,132 353,979 Total commercial 1,618 53 11,300 12,971 4,238,809 4,251,780 Commercial real estate non-owner occupied: Construction — — — — 341,325 341,325 Acquisition/development — — — — 129,102 129,102 Multifamily — — — — 213,677 213,677 Non-owner occupied 629 — 685 1,314 1,010,632 1,011,946 Total commercial real estate and non-owner occupied 629 — 685 1,314 1,694,736 1,696,050 Residential real estate: Senior lien 446 — 4,174 4,620 1,149,728 1,154,348 Junior lien 255 — 341 596 96,337 96,933 Total residential real estate 701 — 4,515 5,216 1,246,065 1,251,281 Consumer 38 42 12 92 21,266 21,358 Total loans $ 2,986 $ 95 $ 16,512 $ 19,593 $ 7,200,876 $ 7,220,469 December 31, 2022 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 1,640 $ 961 $ 2,601 Municipal and non-profit — — — Owner occupied commercial real estate 693 5,858 6,551 Food and agribusiness 455 1,693 2,148 Total commercial 2,788 8,512 11,300 Commercial real estate non-owner occupied: Construction — — — Acquisition/development — — — Multifamily — — — Non-owner occupied 685 — 685 Total commercial real estate non-owner occupied 685 — 685 Residential real estate: Senior lien 3,019 1,155 4,174 Junior lien 341 — 341 Total residential real estate 3,360 1,155 4,515 Consumer 12 — 12 Total loans $ 6,845 $ 9,667 $ 16,512 Loans are considered past due or delinquent when the contractual principal or interest due in accordance with the terms of the loan agreement remains unpaid after the due date of the scheduled payment. Loans to borrowers experiencing financial difficulties may be modified. Modified loans are discussed in more detail below. There was no interest income recognized from non-accrual loans during the three or nine months ended September 30, 2023 or 2022. The Company’s internal risk rating system uses a series of grades, which reflect our assessment of the credit quality of loans based on an analysis of the borrower's financial condition, liquidity and ability to meet contractual debt service requirements and are categorized as “Pass”, “Special mention”, “Substandard” and “Doubtful”. For a description of the general characteristics of the risk grades, refer to note 2 Summary of Significant Accounting Policies in our audited consolidated financial statements in our 2022 Annual Report on Form 10-K The amortized cost basis and current period gross charge-offs for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following table as of September 30, 2023: September 30, 2023 Revolving Revolving loans loans Origination year amortized converted 2023 2022 2021 2020 2019 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 249,364 $ 423,936 $ 293,175 $ 90,830 $ 58,580 $ 118,061 $ 609,476 $ 12,009 $ 1,855,431 Special mention 8,741 14,588 22,428 20,749 1,221 4,209 9,448 — 81,384 Substandard — 78 181 1,237 204 229 — 269 2,198 Doubtful 600 — — 423 — 164 — — 1,187 Total commercial and industrial 258,705 438,602 315,784 113,239 60,005 122,663 618,924 12,278 1,940,200 Gross charge-offs: Commercial and industrial — — 215 — 24 3 — — 242 Municipal and non-profit: Pass 67,861 140,673 248,738 84,518 57,244 387,367 26,871 — 1,013,272 Total municipal and non-profit 67,861 140,673 248,738 84,518 57,244 387,367 26,871 — 1,013,272 Owner occupied commercial real estate: Pass 175,287 282,771 186,968 95,383 84,877 175,538 16,044 836 1,017,704 Special mention 410 15,836 8,694 — 8,031 19,865 — — 52,836 Substandard — — 1,742 1,207 913 321 — — 4,183 Doubtful — — — — — 657 — — 657 Total owner occupied commercial real estate 175,697 298,607 197,404 96,590 93,821 196,381 16,044 836 1,075,380 Food and agribusiness: Pass 20,862 49,396 19,672 16,352 10,560 35,903 155,214 153 308,112 Special mention — — 203 — — 3,746 450 — 4,399 Substandard — — 586 — 12 171 3,235 — 4,004 Doubtful — — — 228 — — 3,417 — 3,645 Total food and agribusiness 20,862 49,396 20,461 16,580 10,572 39,820 162,316 153 320,160 Total commercial 523,125 927,278 782,387 310,927 221,642 746,231 824,155 13,267 4,349,012 Gross charge-offs: Commercial — — 215 — 24 3 — — 242 Commercial real estate non-owner occupied: Construction: Pass 18,771 150,694 54,337 58,723 1,015 — 37,310 6,906 327,756 Total construction 18,771 150,694 54,337 58,723 1,015 — 37,310 6,906 327,756 Acquisition/development: Pass 7,025 45,635 21,087 6,036 641 9,084 8,740 — 98,248 Substandard — — — — — 164 — — 164 Total acquisition/development 7,025 45,635 21,087 6,036 641 9,248 8,740 — 98,412 Multifamily: Pass 15,170 113,146 90,973 17,015 39,430 32,111 20,689 — 328,534 Total multifamily 15,170 113,146 90,973 17,015 39,430 32,111 20,689 — 328,534 Non-owner occupied Pass 87,691 257,343 173,674 106,359 133,372 244,826 10,320 — 1,013,585 Special mention — — — 7,194 3,920 11,294 — — 22,408 Substandard — — — — — 22,823 — — 22,823 Doubtful — — — 280 — 261 — — 541 Total non-owner occupied 87,691 257,343 173,674 113,833 137,292 279,204 10,320 — 1,059,357 Total commercial real estate non-owner occupied 128,657 566,818 340,071 195,607 178,378 320,563 77,059 6,906 1,814,059 Residential real estate: Senior lien Pass 60,807 418,159 318,325 114,668 44,619 192,174 46,803 633 1,196,188 Special mention — — — — — 475 — — 475 Substandard 1,573 1,796 358 447 817 3,808 — — 8,799 Doubtful — — — — — 40 — — 40 Total senior lien 62,380 419,955 318,683 115,115 45,436 196,497 46,803 633 1,205,502 Gross charge-offs: Senior lien — — — — — 46 — — 46 Junior lien Pass 4,351 4,837 1,997 3,301 2,527 5,282 64,208 2,691 89,194 Special mention — — — — — 27 — — 27 Substandard — 152 300 460 — 356 — — 1,268 Total junior lien 4,351 4,989 2,297 3,761 2,527 5,665 64,208 2,691 90,489 Total residential real estate 66,731 424,944 320,980 118,876 47,963 202,162 111,011 3,324 1,295,991 Gross charge-offs: Residential real estate — — — — — 46 — — 46 Consumer Pass 5,624 3,873 2,557 1,175 329 445 5,287 24 19,314 Substandard — — 2 4 — 53 3 — 62 Total consumer 5,624 3,873 2,559 1,179 329 498 5,290 24 19,376 Gross charge-offs: Consumer 914 6 1 2 0 7 — — 930 Total loans $ 724,137 $ 1,922,913 $ 1,445,997 $ 626,589 $ 448,312 $ 1,269,454 $ 1,017,515 $ 23,521 $ 7,478,438 Gross charge-offs: Total loans 914 6 216 2 24 56 — — 1,218 The amortized cost basis for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following table as of December 31, 2022: December 31, 2022 Revolving Revolving loans loans Origination year amortized converted 2022 2021 2020 2019 2018 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 528,180 $ 351,003 $ 129,453 $ 95,003 $ 101,951 $ 88,038 $ 688,398 $ 17,883 $ 1,999,909 Special mention 66 137 388 2,887 588 4,440 3,512 — 12,018 Substandard 34 7 1,882 200 189 10,270 50 30 12,662 Doubtful — — 246 — — — — — 246 Total commercial and industrial 528,280 351,147 131,969 98,090 102,728 102,748 691,960 17,913 2,024,835 Municipal and non-profit: Pass 105,630 246,696 89,562 59,066 73,013 383,158 2,501 — 959,626 Total municipal and non-profit 105,630 246,696 89,562 59,066 73,013 383,158 2,501 — 959,626 Owner occupied commercial real estate: Pass 263,635 203,628 100,522 92,653 70,447 121,448 24,930 894 878,157 Special mention — 515 — 6,956 2,616 17,360 — — 27,447 Substandard — — 1,185 4,612 — 931 — 234 6,962 Doubtful — — — 85 108 581 — — 774 Total owner occupied commercial real estate 263,635 204,143 101,707 104,306 73,171 140,320 24,930 1,128 913,340 Food and agribusiness: Pass 36,505 23,907 25,285 11,035 19,689 31,210 191,785 1,663 341,079 Special mention — 204 4,573 — 3,486 195 1,750 — 10,208 Substandard — 1,747 — 12 — 324 — 173 2,256 Doubtful — 186 250 — — — — — 436 Total food and agribusiness 36,505 26,044 30,108 11,047 23,175 31,729 193,535 1,836 353,979 Total commercial 934,050 828,030 353,346 272,509 272,087 657,955 912,926 20,877 4,251,780 Commercial real estate non-owner occupied: Construction: Pass 106,197 139,012 56,489 14,387 — 213 25,027 — 341,325 Total construction 106,197 139,012 56,489 14,387 — 213 25,027 — 341,325 Acquisition/development: Pass 57,773 33,663 7,810 1,921 3,939 16,648 7,348 — 129,102 Total acquisition/development 57,773 33,663 7,810 1,921 3,939 16,648 7,348 — 129,102 Multifamily: Pass 99,988 22,022 17,658 39,547 17,358 16,009 1,095 — 213,677 Total multifamily 99,988 22,022 17,658 39,547 17,358 16,009 1,095 — 213,677 Non-owner occupied Pass 235,958 172,648 120,871 138,711 42,489 249,461 11,707 — 971,845 Special mention — — 7,313 4,048 3,947 12,658 — — 27,966 Substandard — — — — 629 7,912 — — 8,541 Doubtful — — 280 — — 3,314 — — 3,594 Total non-owner occupied 235,958 172,648 128,464 142,759 47,065 273,345 11,707 — 1,011,946 Total commercial real estate non-owner occupied 499,916 367,345 210,421 198,614 68,362 306,215 45,177 — 1,696,050 Residential real estate: Senior lien Pass 361,405 323,984 133,847 47,557 30,283 184,998 66,792 496 1,149,362 Special mention — — — — — 362 — — 362 Substandard 191 186 468 854 105 2,769 — — 4,573 Doubtful — — — — 51 — — — 51 Total senior lien 361,596 324,170 134,315 48,411 30,439 188,129 66,792 496 1,154,348 Junior lien Pass 6,429 5,977 3,010 4,163 1,726 3,773 69,059 1,286 95,423 Special mention — — — — — 351 — — 351 Substandard 9 — 89 — 54 242 305 251 950 Doubtful — — — — — — — 209 209 Total junior lien 6,438 5,977 3,099 4,163 1,780 4,366 69,364 1,746 96,933 Total residential real estate 368,034 330,147 137,414 52,574 32,219 192,495 136,156 2,242 1,251,281 Consumer Pass 8,576 4,816 2,209 607 282 531 4,292 33 21,346 Substandard 3 — — — — 5 4 — 12 Total consumer 8,579 4,816 2,209 607 282 536 4,296 33 21,358 Total loans $ 1,810,579 $ 1,530,338 $ 703,390 $ 524,304 $ 372,950 $ 1,157,201 $ 1,098,555 $ 23,152 $ 7,220,469 Loans evaluated individually We evaluate loans individually when they no longer share risk characteristics with pooled loans. These loans include loans on non-accrual status, loans in bankruptcy, and modified loans as described below. If a specific allowance is warranted based on the borrower’s overall financial condition, the specific allowance is calculated based on discounted expected cash flows using the loan’s initial contractual effective interest rate or the fair value of the collateral less selling costs for collateral-dependent loans. A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. Management individually evaluates collateral-dependent loans with an amortized cost basis of $250 thousand or more and includes collateral-dependent loans less than $250 thousand within the general allowance population. The amortized cost basis of collateral-dependent loans over $250 thousand was as follows at September 30, 2023 and December 31, 2022: September 30, 2023 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 2,136 $ 464 $ 2,600 Owner-occupied commercial real estate 2,578 — 2,578 Food and agribusiness 1,672 6,638 8,310 Total Commercial 6,386 7,102 13,488 Commercial real estate non owner-occupied Non-owner occupied 19,986 — 19,986 Total commercial real estate non owner-occupied 19,986 — 19,986 Residential real estate Senior lien 5,037 163 5,200 Junior lien 300 — 300 Total residential real estate 5,337 163 5,500 Consumer — 6 6 Total loans $ 31,709 $ 7,271 $ 38,980 December 31, 2022 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 2,869 $ 791 $ 3,660 Owner-occupied commercial real estate 6,711 1,346 8,057 Food and agribusiness 3,020 173 3,193 Total Commercial 12,600 2,310 14,910 Commercial real estate non owner-occupied Non-owner occupied 8,561 — 8,561 Total commercial real estate non owner-occupied 8,561 — 8,561 Residential real estate Senior lien 2,806 — 2,806 Junior lien 460 — 460 Total residential real estate 3,266 — 3,266 Total loans $ 24,427 $ 2,310 $ 26,737 Loan modifications The Company’s policy is to review each prospective credit to determine the appropriateness and the adequacy of security or collateral prior to making a loan. In the event of borrower default, the Company seeks recovery in compliance with lending laws, the respective loan agreements, and credit monitoring and remediation procedures that may include modifying a loan to provide a concession by the Company to the borrower from their original terms due to borrower financial difficulties in order to facilitate repayment. The Company considers loans to borrowers experiencing financial difficulties to be troubled loans. In March 2022, the FASB issued ASU 2022-02, Financial Instruments—Credit Losses Troubled Debt Restructurings and Vintage Disclosures The following schedule presents, by loan class, the amortized costs basis as of the dates shown for modified loans to borrowers experiencing financial difficulty: September 30, 2023 Term extension Payment delay Amortized % of loan Amortized % of loan cost basis class cost basis class Commercial: Commercial and industrial $ — 0.0% $ 114 0.0% Total commercial — 0.0% 114 0.0% Commercial real estate non-owner occupied: Non-owner occupied 18,764 1.8% — 0.0% Total commercial real estate non-owner occupied 18,764 1.0% — 0.0% Residential real estate: Senior lien 653 0.1% — 0.0% Total residential real estate 653 0.1% — 0.0% Total loans $ 19,417 0.3% $ 114 0.0% The following schedule presents the payment status, by loan class, the amortized cost basis of loans that have been modified in the last twelve months as of September 30, 2023: September 30, 2023 Current Non-accrual Commercial: Commercial and industrial $ 114 $ — Total commercial 114 — Commercial real estate non-owner occupied: Non-owner occupied 5,292 13,472 Total commercial real estate non-owner occupied 5,292 13,472 Residential real estate: Senior lien 653 — Total residential real estate 653 — Total loans $ 6,059 $ 13,472 Accrual of interest is resumed on loans that were previously on non-accrual only after the loan has performed sufficiently for a period of time. The Company had one TDM with an amortized cost totaling $13.5 million that was modified within the past twelve months, utilizing a term extension, and had defaulted on their modified terms during the nine months ended September 30, 2023. For purposes of this disclosure, the Company considers “default” to mean 90 days or more past due on principal or interest. The allowance for credit losses related to TDMs on non-accrual status is determined by individual evaluation, including collateral adequacy, using the same process as loans on non-accrual status which are not classified as TDMs. The following schedule presents the financial effect of the modifications made to borrowers experiencing financial difficulty as of September 30, 2023: September 30, 2023 Financial effect Term extension Payment delay Combination - Interest Rate Reduction and Term Extension Commercial: Commercial and industrial Delayed payments for a weighted average of 0.2 year Commercial real estate non-owner occupied: Non-owner occupied Extended weighted average of 0.3 years to the life of loans, which reduced monthly payment amounts Residential real estate: Senior lien Reduced weighted average contractual interest rate by 2.5 % and renewed with a weighted average life of 30 years , which reduced monthly payment amounts Prior to the adoption of ASU 2022-02, the Company disclosed troubled debt restructurings (“TDR”) in accordance with ASC 310-40. December 31, 2022 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 2,160 $ 2,348 $ 2,150 $ 150 Commercial real estate non-owner occupied 685 734 699 — Residential real estate 1,809 1,867 1,964 — Consumer — — — — Total $ 4,654 $ 4,949 $ 4,813 $ 150 The following table summarizes the Company’s carrying value of non-accrual TDRs as of December 31, 2022: December 31, 2022 Commercial $ 356 Commercial real estate non-owner occupied 81 Residential real estate 2,041 Consumer — Total non-accruing TDRs $ 2,478 During the nine months ended September 30, 2022, the Company had two TDRs totaling $2.3 million that were modified within the past 12 months and had defaulted on their modified terms. For purposes of this disclosure, the Company considers “default” to mean 90 days or more past due on principal or interest. The allowance for credit losses related to TDRs on non-accrual status was determined by individual evaluation, including collateral adequacy, using the same process as loans on non-accrual status, which were not classified as TDRs. |
Allowance for Credit Losses
Allowance for Credit Losses | 9 Months Ended |
Sep. 30, 2023 | |
Allowance for Credit Losses | |
Allowance for Credit Losses | Note 6 Allowance for Credit Losses The tables below detail the Company’s allowance for credit losses as of the dates shown: Three months ended September 30, 2023 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 42,058 $ 30,768 $ 19,331 $ 424 $ 92,581 Charge-offs (239) — — (301) (540) Recoveries 241 1 7 31 280 Provision expense (release) for credit losses 3,231 (2,301) (47) 242 1,125 Ending balance $ 45,291 $ 28,468 $ 19,291 $ 396 $ 93,446 Nine months ended September 30, 2023 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 37,608 $ 32,050 $ 19,306 $ 589 $ 89,553 Charge-offs (242) — (46) (930) (1,218) Recoveries 286 3 19 78 386 Provision expense (release) for credit losses 7,639 (3,585) 12 659 4,725 Ending balance $ 45,291 $ 28,468 $ 19,291 $ 396 $ 93,446 Three months ended September 30, 2022 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 32,011 $ 8,426 $ 10,072 $ 351 $ 50,860 Day 1 CECL provision expense 2,261 2,327 596 17 5,201 Purchase credit deteriorated ("PCD") allowance for credit loss at acquisition 2,257 2 215 — 2,474 Charge-offs — — — (253) (253) Recoveries 40 — 3 23 66 Provision expense for credit losses 1,651 3,419 1,988 217 7,275 Ending balance $ 38,220 $ 14,174 $ 12,874 $ 355 $ 65,623 Nine months ended September 30, 2022 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 31,256 $ 10,033 $ 8,056 $ 349 $ 49,694 Day 1 CECL provision expense 2,261 2,327 596 17 5,201 PCD allowance for credit loss at acquisition 2,257 2 215 — 2,474 Charge-offs (754) — (2) (582) (1,338) Recoveries 115 21 49 71 256 Provision expense for credit losses 3,085 1,791 3,960 500 9,336 Ending balance $ 38,220 $ 14,174 $ 12,874 $ 355 $ 65,623 In evaluating the loan portfolio for an appropriate ACL level, excluding loans evaluated individually, loans were grouped into segments based on broad characteristics such as primary use and underlying collateral. Within the segments, the portfolio was further disaggregated into classes of loans with similar attributes and risk characteristics for purposes of developing the underlying data used within the discounted cash flow model including, but not limited to, prepayment and recovery rates as well as loss rates tied to macro-economic conditions within management’s reasonable and supportable forecast. The ACL also includes subjective adjustments based upon qualitative risk factors including asset quality, loss trends, lending management, portfolio growth and loan review/internal audit results. Net charge-offs on loans during the three and nine months ended September 30, 2023 were and , respectively. Net charge-offs on loans during the three and nine months ended September 30, 2022 were $0.2 million and $1.1 million, respectively. The Company has elected to exclude AIR from the allowance for credit losses calculation. As of September 30, 2023 and December 31, 2022, AIR from loans totaled $41.7 million and $31.8 million, respectively. |
Other Real Estate Owned
Other Real Estate Owned | 9 Months Ended |
Sep. 30, 2023 | |
Other Real Estate Owned | |
Other Real Estate Owned | Note 7 Other Real Estate Owned A summary of the activity in other real estate owned (“OREO”) during the nine months ended September 30, 2023 and 2022 is as follows: For the nine months ended September 30, 2023 2022 Beginning balance $ 3,731 $ 7,005 Transfers from loan portfolio, at fair value — 58 Impairments (55) (452) Sales (260) (2,916) Ending balance $ 3,416 $ 3,695 During the three months ended September 30, 2023, the Company sold no OREO properties. During the three months ended September 30, 2022, the Company sold OREO properties with net book balances of $1.1 million. During the nine months ended September 30, 2023 and 2022, the Company sold OREO properties with net book balances of $0.3 million and $2.9 million, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets | |
Goodwill and Intangible Assets | Note 8 Goodwill and Intangible Assets Goodwill and other intangible assets In connection with our acquisitions, the Company’s goodwill was $306.0 million as of September 30, 2023. Goodwill is measured as the excess of the fair value of consideration paid over the fair value of net assets acquired. No goodwill impairment was recorded during the three or nine months ended September 30, 2023 or the year ended December 31, 2022. In April 2023, the Company completed the acquisition of Cambr Solutions, LLC (“Cambr”). Cambr is a deposit acquisition and processing platform that generates core deposits from accounts offered through embedded finance companies. The Company recorded goodwill of $26.9 million and intangibles of $18.0 million related to the acquisition. More information regarding the Cambr acquisition is included in note 19 below. The gross carrying amount of other intangible assets and the associated accumulated amortization at September 30, 2023 and December 31, 2022, are presented as follows: September 30, 2023 December 31, 2022 Gross Net Gross Net carrying Accumulated carrying carrying Accumulated carrying amount amortization amount amount amortization amount Core deposit intangible $ 91,566 $ (48,765) $ 42,801 $ 91,566 $ (44,775) $ 46,791 Customer relationship intangible 17,000 (1,266) 15,734 1,300 (32) 1,268 Internally developed technology 2,300 (153) 2,147 — — — Total $ 110,866 $ (50,184) $ 60,682 $ 92,866 $ (44,807) $ 48,059 The Company is amortizing intangibles from acquisitions over a weighted average period of 9.8 years from the date of the respective acquisitions. The core deposit and customer relationship intangibles are being amortized over a weighted average period The following table shows the estimated future amortization expense during the next five years for other intangible assets as of September 30, 2023: Years ending December 31, Amount For the three months ending December 31, 2023 $ 1,969 For the year ending December 31, 2024 7,908 For the year ending December 31, 2025 7,786 For the year ending December 31, 2026 7,664 For the year ending December 31, 2027 7,542 Servicing Rights Mortgage ervicing rights Mortgage servicing rights (“MSRs”) represent rights to service loans originated by the Company and sold to government-sponsored enterprises including FHLMC, FNMA, GNMA and FHLB and are included in other assets in the consolidated statements of financial condition. Mortgage loans serviced for others were $0.5 billion and $1.0 billion at September 30, 2023 and 2022, respectively. Below are the changes in the MSRs for the periods presented: For the nine months ended September 30, 2023 2022 Beginning balance $ 9,162 $ 5,957 Originations 993 3,895 Sales (4,664) — Recovery (impairment) 66 (6) Amortization (675) (713) Ending balance 4,882 9,133 Fair value of mortgage servicing rights $ 7,514 $ 13,782 During the nine months ended September 30, 2023, the Company sold rights to service loans totaling $486.7 million in unpaid principal balances from our mortgage servicing rights portfolio. As a result of the sale, the book value of our mortgage servicing right intangible decreased $4.7 million and generated a gain of $1.1 million included in mortgage banking income in the consolidated statements of operations. The fair value of MSRs was determined based upon a discounted cash flow analysis. The cash flow analysis included assumptions for discount rates and prepayment speeds. The discount rate ranged from 10.0% to 10.5% and the constant prepayment speed ranged from 6.0% to 10.6% for the September 30, 2023 valuation. The discount rate was 9.5%, and the constant prepayment speed ranged from 7.6% to 7.8% for the September 30, 2022 valuation. Included in mortgage banking income in the consolidated statements of operations was servicing income of $0.6 million and $1.9 million for the three and nine months ended September 30, 2023, respectively, and $0.7 million and $1.8 million for the three and nine months ended September 30, 2022, respectively. MSRs are evaluated and impairment is recognized to the extent fair value is less than the carrying amount. The Company evaluates impairment by stratifying MSRs based on the predominant risk characteristics of the underlying loans, including loan type and loan term. The Company is amortizing the MSRs in proportion to and over the period of the estimated net servicing income of the underlying loans. The following table shows the estimated future amortization expense during the next five years for the MSRs as of September 30, 2023: Years ending December 31, Amount For the three months ending December 31, 2023 $ 133 For the year ending December 31, 2024 517 For the year ending December 31, 2025 461 For the year ending December 31, 2026 411 For the year ending December 31, 2027 366 SBA servicing asset The SBA servicing asset represents the value associated with servicing small business real estate loans that have been sold to outside investors with servicing retained. The SBA servicing asset is evaluated and impairment is recognized to the extent fair value is less than the carrying amount. The Company evaluates impairment by stratifying the SBA servicing asset based on the predominant risk characteristics of the underlying loans, including loan type and loan term. The Company is amortizing the SBA servicing asset in proportion to and over the period of the estimated net servicing income of the underlying loans. The Company serviced $108.2 million of SBA loans, as of September 30, 2023. For the three and nine months ended September 30, 2023, the Company recognized SBA servicing asset fee income totaling $0.1 million and $0.7 million, respectively. Below are the changes in the SBA servicing asset for the period presented: For the nine months ended September 30, 2023 Beginning balance $ 2,666 Originations 325 Disposals (321) Recovery 153 Amortization (104) Ending balance 2,719 Fair value of SBA servicing asset $ 2,719 The Company uses assumptions and estimates in determining the fair value of SBA loan servicing rights. These assumptions include prepayment speeds, discount rates, and other assumptions. The assumptions used in the valuation were based on input from buyers, brokers and other qualified personnel, as well as market knowledge. The key assumptions used to determine the fair value of the Company’s SBA loan servicing rights included a weighted average lifetime constant prepayment rate equal to 14.08%, and a weighted average discount rate equal to 13.74%. |
Borrowings
Borrowings | 9 Months Ended |
Sep. 30, 2023 | |
Borrowings | |
Borrowings | Note 9 Borrowings Borrowings consist of securities sold under agreements to repurchase, long-term debt and FHLB advances. Securities sold under agreements to repurchase The Company enters into repurchase agreements to facilitate the needs of its clients. As of September 30, 2023 and December 31, 2022, the Company sold securities under agreements to repurchase totaling $20.3 million and $20.2 million, respectively. The Company pledged mortgage-backed securities with a fair value of approximately $29.9 million and $32.0 million as of September 30, 2023 and December 31, 2022, respectively, for these agreements. The Company monitors collateral levels on a continuous basis and may be required to provide additional collateral based on the fair value of the underlying securities. As of September 30, 2023 and December 31, 2022, the Company had $9.6 million and $11.8 million, respectively, of excess collateral pledged for repurchase agreements. Federal Home Loan Bank advances As a member of the FHLB, the Banks have access to a line of credit and term financing from the FHLB with total available credit of $1.7 billion at September 30, 2023. The Company may utilize the FHLB line of credit as a funding mechanism for originated loans and loans held for sale. At September 30, 2023 and December 31, 2022, the Banks had $316.8 million and $385.0 million, respectively, of outstanding borrowings from the FHLB. The Banks may pledge investment securities and loans as collateral for FHLB advances. There were no investment securities pledged for FHLB advances at September 30, 2023 or December 31, 2022. Loans pledged were $2.5 billion and $2.0 billion at September 30, 2023 Long-term debt The Company holds a subordinated note purchase agreement to issue and sell a fixed-to-floating rate note totaling $40.0 million. The balance on the note at September 30, 2023, net of long-term debt issuance costs totaling $0.3 million, totaled $39.7 million. During the three and nine months ended September 30, 2023, interest expense totaling $0.3 million and $0.9 million, respectively, was recorded in the consolidated statements of operations, consistent with the same periods in 2022. The note is subordinated, unsecured and matures on November 15, 2031. Payments consist of interest only. Interest expense on the note is payable semi-annually in arrears and will bear interest at 3.00% per annum until November 15, 2026 (or any earlier redemption date). From November 15, 2026 until November 15, 2031 (or any earlier redemption date) payments will be made quarterly in arrears, and the interest rate shall reset quarterly to an interest rate per annum equal to the then current three-month term secured overnight financing rate (“SOFR”) plus 203 basis points. The Company deployed the net proceeds from the sale of the note for general corporate purposes. Prior to November 5, 2026, the Company may redeem the note only under certain limited circumstances. Beginning on November 5, 2026 through maturity, the note may be redeemed, at the Company’s option, on any scheduled interest payment date. Any redemption by the Company would be at a redemption price equal to 100% of the principal amount of the note being redeemed, together with any accrued and unpaid interest on the note being redeemed up to but excluding the date of redemption. The note is not subject to redemption at the option of the holder. As part of the acquisition of BOJH on October 1, 2022, the Company assumed three subordinated note purchase agreements to issue and sell fixed-to-floating rate notes totaling $15.0 million. The balance on the notes at September 30, 2023, net of the fair value adjustment from the acquisition of $0.5 million, totaled $14.5 million. Interest expense related to the notes totaling $0.1 million and $0.4 million was recorded in the consolidated statements of operations during the three and nine months ended September 30, 2023, respectively. The three notes, containing similar terms, are subordinated, unsecured and mature on June 15, 2031. Payments consist of interest only. Interest expense on the notes is payable semi-annually in arrears and will bear interest at 3.75% per annum until June 15, 2026 (or any earlier redemption date). From June 15, 2026 until June 15, 2031 (or any earlier redemption date) payments will be made quarterly in arrears, and the interest rate shall reset quarterly to an interest rate per annum equal to the then current three-month term SOFR plus 306 basis points. Prior to June 15, 2026, the Company may redeem the notes only under certain limited circumstances. Beginning on June 15, 2026 through maturity, the notes may be redeemed, at the Company’s option, on any scheduled interest payment date. Any redemption by the Company would be at a redemption price equal to 100% of the principal amount of the notes being redeemed, together with any accrued and unpaid interest on the notes being redeemed up to but excluding the date of redemption. The notes are not subject to redemption at the option of the holder. |
Regulatory Capital
Regulatory Capital | 9 Months Ended |
Sep. 30, 2023 | |
Regulatory Capital | |
Regulatory Capital | Note 10 Regulatory Capital As a bank holding company that has elected to be treated as a financial holding company, the Company, NBH Bank and Bank of Jackson Hole Trust are subject to regulatory capital adequacy requirements implemented by the Federal Reserve, including maintaining capital positions at the “well-capitalized” level. The federal banking agencies have risk based capital adequacy regulations intended to provide a measure of capital adequacy that reflects the degree of risk associated with a banking organization’s operations. Under these regulations, assets are assigned to one of several risk categories, and nominal dollar amounts of assets and credit equivalent amounts of off-balance-sheet items are multiplied by a risk adjustment percentage for the category. Under the Basel III requirements, at September 30, 2023 and December 31, 2022, the Company and the Banks met all capital requirements, including the capital conservation buffer of 2.5%. The Company and the Banks had regulatory capital ratios in excess of the levels established for well-capitalized institutions, as detailed in the tables below: September 30, 2023 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 9.6% $ 913,466 N/A N/A 4.0% $ 382,103 NBH Bank 8.9% 843,039 5.0% $ 475,757 4.0% 380,606 Bank of Jackson Hole Trust 29.9% 11,453 5.0% 1,918 4.0% 1,534 Common equity tier 1 risk based capital: Consolidated 11.6% $ 913,466 N/A N/A 7.0% $ 550,588 NBH Bank 10.8% 843,039 6.5% $ 508,881 7.0% 548,026 Bank of Jackson Hole Trust 72.0% 11,453 6.5% 1,034 7.0% 1,113 Tier 1 risk based capital ratio: Consolidated 11.6% $ 913,466 N/A N/A 8.5% $ 668,571 NBH Bank 10.8% 843,039 8.0% $ 626,315 8.5% 665,460 Bank of Jackson Hole Trust 72.0% 11,453 8.0% 1,273 8.5% 1,352 Total risk based capital ratio: Consolidated 13.5% $ 1,060,695 N/A N/A 10.5% $ 825,882 NBH Bank 12.0% 935,269 10.0% $ 782,894 10.5% 822,039 Bank of Jackson Hole Trust 72.0% 11,453 10.0% 1,591 10.5% 1,670 December 31, 2022 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 9.3% $ 857,403 N/A N/A 4.0% $ 369,335 NBH Bank 8.6% 788,462 5.0% $ 458,593 4.0% 366,874 Bank of Jackson Hole Trust 31.0% 11,238 5.0% 1,373 4.0% 1,099 Common equity tier 1 risk based capital: Consolidated 10.5% $ 857,403 N/A N/A 7.0% $ 574,339 NBH Bank 9.7% 788,462 6.5% $ 528,334 7.0% 568,975 Bank of Jackson Hole Trust 71.6% 11,238 6.5% 1,020 7.0% 1,098 Tier 1 risk based capital ratio: Consolidated 10.5% $ 857,403 N/A N/A 8.5% $ 697,412 NBH Bank 9.7% 788,462 8.0% $ 650,257 8.5% 690,898 Bank of Jackson Hole Trust 71.6% 11,238 8.0% 1,255 8.5% 1,333 Total risk based capital ratio: Consolidated 12.2% $ 1,000,398 N/A N/A 10.5% $ 861,509 NBH Bank 10.8% 876,458 10.0% $ 812,821 10.5% 853,462 Bank of Jackson Hole Trust 71.6% 11,238 10.0% 1,569 10.5% 1,647 (1) Includes the capital conservation buffer of 2.5%. |
Revenue from Contracts with Cli
Revenue from Contracts with Clients | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contracts with Clients | |
Revenue from Contracts with Clients | Note 11 Revenue from Contracts with Clients Revenue is recognized when obligations under the terms of a contract with clients are satisfied. Below is the detail of the Company’s revenue from contracts with clients, including service charges and other deposit account related fees, bank card fees and other non-interest income. Other non-interest income includes trust and wealth management fees and Cambr fee income. Service charges and other account-related fees Service charge fees are primarily comprised of monthly service fees, check orders and other deposit account related fees. Other fees include revenue from processing Bank card fees Bank card fees are primarily comprised of debit card income, ATM fees, merchant services income and other fees. Debit card income is primarily comprised of interchange fees earned whenever the Company’s debit cards are processed through card payment networks such as Visa. ATM fees are primarily generated when a Bank cardholder uses a non-Bank ATM or a non-Bank cardholder uses a Bank ATM. Merchant services income mainly represents fees charged to merchants to process their debit card transactions. The Company’s performance obligation for bank card fees are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. Other non-interest income Trust and wealth management fees The trust and wealth management business offers separately managed investment account solutions and trustee services to clients. Services may include custody of securities, trust investments and wealth management services, directed trusts or fixed income portfolio management and irrevocable life insurance trusts. The Company charges an asset-based fee earned for personal and corporate accounts. Additional fees may include minimum annual fees, fees for additional tax reporting and preparation for irrevocable trust returns or annual flat fees for certain trusts. The performance obligations related to this revenue include items such as performing investment advisory services, custody and record-keeping services, and fund administrative and accounting services. The performance obligations are satisfied upon completion of service and fees are generally a fixed flat rate or based on a percentage of the account’s market value per the contract with the client. These fees are recorded within other non-interest income in the consolidated statements of operations. Cambr fee income Cambr operates a deposit acquisition and processing platform that generates core deposits from accounts offered through embedded finance companies. Cambr’s platform facilitates the movement of embedded finance companies’ client deposits into FDIC-insured accounts at network banks. Cambr generates fee income by charging a percentage-based fee of the client’s deposit balance placed into the Cambr network. The performance obligation is satisfied upon completion of service, and Cambr fee income is recorded within other non-interest income in the consolidated statements of operations. Other non-interest expense Included within other non-interest expense are gains and losses from OREO sales, which are recognized when the Company meets its performance obligation to transfer title to the buyer. The gain or loss is measured as the excess of the proceeds received compared to the OREO carrying value. Sales proceeds are received in cash at the time of transfer. The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, and non-interest expense in-scope of Topic 606 for the three and nine months ended September 30, 2023 and 2022: For the three months ended September 30, For the nine months ended September 30, 2023 2022 2023 2022 Non-interest income In-scope of Topic 606: Service charges and other account-related fees $ 6,819 $ 4,867 $ 18,356 $ 13,444 Bank card fees 4,993 4,681 14,721 13,345 Other non-interest income 1,167 — 3,386 — Non-interest income (in-scope of Topic 606) 12,979 9,548 36,463 26,789 Non-interest income (out-of-scope of Topic 606) 6,386 7,810 11,390 26,385 Total non-interest income $ 19,365 $ 17,358 $ 47,853 $ 53,174 Non-interest expense In-scope of Topic 606: Other non-interest expense $ — $ 378 $ (11) $ 648 Total revenue in-scope of Topic 606 $ 12,979 $ 9,926 $ 36,452 $ 27,437 Contract acquisition costs The Company utilizes the practical expedient which allows entities to expense immediately contract acquisition costs when the asset that would have resulted from capitalizing these costs would have been amortized in one year or less. The Company has not capitalized any contract acquisition costs. |
Stock-based Compensation and Be
Stock-based Compensation and Benefits | 9 Months Ended |
Sep. 30, 2023 | |
Stock-based Compensation and Benefits | |
Stock-based Compensation and Benefits | Note 12 Stock-based Compensation and Benefits The Company provides stock-based compensation in accordance with shareholder-approved plans. On May 9, 2023, shareholders approved the 2023 Omnibus Incentive Plan (the "2023 Plan"). The 2023 Plan replaces the 2014 Omnibus Incentive Plan (the "Prior Plan"), pursuant to which the Company granted equity awards prior to the approval of the 2023 Plan. Pursuant to the 2023 Plan, the Compensation Committee of the Board of Directors has the authority to grant, from time to time, awards of stock options, stock appreciation rights, restricted stock, restricted stock units, performance units, other stock-based awards, or any combination thereof to eligible persons. Stock options The Company issues stock options, which are primarily time-vesting with 1/3 10-year The following table summarizes stock option activity for the nine months ended September 30, 2023: Weighted average Weighted remaining average contractual Aggregate exercise term in intrinsic Options price years value Outstanding at December 31, 2022 717,088 $ 29.79 5.98 $ 8,850 Granted 107,530 33.46 Exercised (8,683) 20.36 Forfeited (4,690) 35.57 Outstanding at September 30, 2023 811,245 30.34 5.73 2,571 Options exercisable at September 30, 2023 623,666 28.41 4.76 2,569 Options vested and expected to vest 791,825 30.20 5.65 2,571 Stock option expense is a component of salaries and benefits in the consolidated statements of operations and totaled $0.1 million and $0.8 million for the three and nine months ended September 30, 2023, respectively, and $0.1 million and $0.6 million for the three and nine months ended September 30, 2022, respectively. At September 30, 2023, there was $0.6 million of total unrecognized compensation cost related to non-vested stock options granted under the plans. The cost is expected to be recognized over a weighted average period of 2.2 years. Restricted stock awards The Company issues primarily time-based restricted stock awards that vest over a range of a 1 - 3 year period. Restricted stock with time-based vesting was valued at the fair value of the shares on the date of grant as they are assumed to be held beyond the vesting period. Performance stock units The Company grants performance stock units which represent initial target awards and do not reflect potential increases or decreases resulting from the final performance results, which are to be determined at the end of the three-year performance period (vesting date). The actual number of shares to be awarded at the end of the performance period will range from 0% - 150% of the initial target awards. Sixty percent of the award is based on the Company’s cumulative earnings per share (EPS target) during the performance period, and forty percent of the award is based on the Company’s cumulative total shareholder return (TSR target), or TSR, during the performance period. On the vesting date, the Company’s TSR will be compared to the respective TSRs of the companies comprising the KBW Regional Index at the grant date to determine the shares awarded. The fair value of the EPS target portion of the award was determined based on the closing stock price of the Company’s common stock on the grant date. The fair value of the TSR target portion of the award was determined using a Monte Carlo Simulation at the grant date. In establishing PSU components during 2021 and 2020, the Compensation Committee determined the EPS target portion of the award would not be an effective metric in light of economic uncertainty surrounding COVID-19. Consequently, the Compensation Committee granted an award based upon a relative return on tangible assets (“ROTA”). Annually, the Company’s ROTA is compared to the respective ROTA of companies comprising the KBW Regional Index. At the end of the measurement period, the Company’s ranking will be averaged to determine the shares awarded. The fair value of the ROTA award was determined based on the closing stock price of the Company’s common stock on the grant date. The weighted-average grant date fair value per unit for the awards granted during the nine months ended September 30, 2023 of the EPS target portion and the TSR target portion was $33.46 and $27.06, respectively. The initial weighted-average performance price for the TSR target portion granted during 2023 was $42.37. During the nine months ended September 30, 2023, the Company awarded an additional 18,664 units due to final performance results related to performance stock units granted in 2020. The following table summarizes restricted stock and performance stock unit activity during the nine months ended September 30, 2023: Weighted Weighted Restricted average grant- Performance average grant- stock shares date fair value stock units date fair value Unvested at December 31, 2022 165,137 $ 38.28 155,857 $ 33.81 Granted 184,227 31.15 79,215 30.57 Adjustment due to performance — — 18,664 25.94 Vested (79,014) 35.08 (74,142) 26.55 Forfeited (7,275) 35.63 (6,995) 35.05 Unvested at September 30, 2023 263,075 $ 34.32 172,599 $ 34.54 As of September 30, 2023, the total unrecognized compensation cost related to the non-vested restricted stock awards and performance stock units totaled $5.6 million and $3.4 million, respectively, and is expected to be recognized over a weighted average period of approximately 2.2 years and 1.9 years, respectively. Expense related to non-vested restricted stock awards totaled $1.2 million and $3.2 million during the three and nine months ended September 30, 2023, respectively, and $0.9 million and $2.5 million during the three and nine months ended September 30, 2022, respectively. Expense related to non-vested performance stock units totaled $0.4 million and $1.3 million during the three and nine months ended September 30, 2023, respectively, and $0.4 million and $1.2 million during the three and nine months ended September 30, 2022, respectively. Expense related to non-vested restricted stock awards and units is a component of salaries and benefits in the Company’s consolidated statements of operations. Employee stock purchase plan The 2014 Employee Stock Purchase Plan (“ESPP”) is intended to be a qualified plan within the meaning of Section 423 of the Internal Revenue Code of 1986 and allows eligible employees to purchase shares of common stock up to a limit of $25,000 per calendar year and 2,000 shares per offering period. The price an employee pays for shares is 90.0% of the fair market value of Company common stock on the last day of the offering period. The offering periods are the six-month periods commencing on March 1 and September 1 of each year and ending on August 31 and February 28 (or February 29 in the case of a leap year) of each year. There are no vesting or other restrictions on the stock purchased by employees under the ESPP. Under the ESPP, the total number of shares of common stock reserved for issuance totaled 400,000 shares, of which 235,919 was available for issuance at September 30, 2023. Under the ESPP, employees purchased 26,563 shares and 19,414 shares during the nine months ended September 30, 2023 and 2022, respectively. |
Common Stock
Common Stock | 9 Months Ended |
Sep. 30, 2023 | |
Common Stock | |
Common Stock | Note 13 Common Stock The Company had 37,739,776 and 37,608,519 shares of Class A common stock outstanding at September 30, 2023 and December 31, 2022, respectively. Additionally, the Company had 263,075 and 165,137 shares outstanding at September 30, 2023 and December 31, 2022, respectively, of restricted Class A common stock issued but not yet vested under the 2023 Omnibus Incentive Plan that are not included in shares outstanding until such time that they are vested; however, these shares do have voting and certain dividend rights during the vesting period. On May 9, 2023, the Company’s Board of Directors authorized a new program to repurchase up to $50.0 million of the Company’s stock from time to time in either the open market or through privately negotiated transactions. The remaining authorization under the current program as of September 30, 2023 was $50.0 million. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share | |
Earnings Per Share | Note 14 Earnings Per Share The Company calculates earnings per share under the two-class method, as certain non-vested share awards contain non-forfeitable rights to dividends. As such, these awards are considered securities that participate in the earnings of the Company. Non-vested shares are discussed further in note 12. The Company had 37,739,776 and 33,189,253 shares of Class A common stock outstanding as of September 30, 2023 and 2022, respectively, exclusive of issued non-vested restricted shares. Certain stock options and non-vested restricted shares are potentially dilutive securities, but are not included in the calculation of diluted earnings per share because to do so would have been anti-dilutive for the three and nine months ended September 30, 2023 and 2022. The following table illustrates the computation of basic and diluted earnings per share for the three and nine months ended September 30, 2023 and 2022: For the three months ended For the nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Net income $ 36,087 $ 15,839 $ 108,927 $ 54,553 Less: income allocated to participating securities (68) (39) (179) (111) Income allocated to common shareholders $ 36,019 $ 15,800 $ 108,748 $ 54,442 Weighted average shares outstanding for basic earnings per common share 37,990,659 31,259,188 37,911,896 30,539,266 Dilutive effect of equity awards 143,679 271,887 182,014 295,364 Weighted average shares outstanding for diluted earnings per common share 38,134,338 31,531,075 38,093,910 30,834,630 Basic earnings per share $ 0.95 $ 0.51 $ 2.87 $ 1.78 Diluted earnings per share 0.94 0.50 2.85 1.77 The Company had 811,245 and 730,502 outstanding stock options to purchase common stock at weighted average exercise prices of $30.34 and $29.56 per share at September 30, 2023 and 2022, respectively, which have time-vesting criteria, and as such, any dilution is derived only for the time frame in which the vesting criteria had been met and where the inclusion of those stock options is dilutive. The Company had 435,674 and 325,202 unvested restricted shares and performance stock units issued as of September 30, 2023 and 2022, respectively, which have performance, market and/or time-vesting criteria, and as such, any dilution is derived only for the time frame in which the vesting criteria had been met and where the inclusion of those restricted shares and units is dilutive. |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2023 | |
Derivatives | |
Derivatives | Note 15 Derivatives Risk management objective of using derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company has established policies stipulating that neither carrying value nor fair value at risk should exceed established guidelines. The Company has designed strategies to confine these risks within the established limits and identify appropriate trade-offs in the financial structure of its balance sheet. These strategies include the use of derivative financial instruments to help achieve the desired balance sheet repricing structure while meeting the desired objectives of its clients. Currently, the Company employs certain interest rate swaps that are designated as fair value hedges, cash flow hedges and economic hedges. The Company manages a matched book with respect to its derivative instruments in order to minimize its net risk exposure resulting from such transactions. Fair values of derivative instruments on the balance sheet The table below presents the fair value of the Company’s derivative financial instruments as well as their classification in the consolidated statements of financial condition as of September 30, 2023 and December 31, 2022. Information about the valuation methods used to measure fair value is provided in note 18. Asset derivatives fair value Liability derivatives fair value Balance Sheet September 30, December 31, Balance Sheet September 30, December 31, location 2023 2022 Location 2023 2022 Derivatives designated as hedging instruments: Interest rate products Other assets $ 41,612 $ 34,164 Other liabilities $ 2,464 $ 1,929 Total derivatives designated as hedging instruments $ 41,612 $ 34,164 $ 2,464 $ 1,929 Derivatives not designated as hedging instruments: Interest rate products Other assets $ 10,972 $ 10,657 Other liabilities $ 13,471 $ 10,660 Interest rate lock commitments Other assets 252 197 Other liabilities 55 174 Forward contracts Other assets 183 210 Other liabilities 2 104 Total derivatives not designated as hedging instruments $ 11,407 $ 11,064 $ 13,528 $ 10,938 Cash flow hedges The Company’s objectives in using interest rate derivatives are to add stability to interest income and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses floors and collars as part of its interest rate risk management strategy. Interest rate floors designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty if interest rates fall below the strike rate on the contract in exchange for an up-front premium. Interest rate collars designated as cash flow hedges involve the payments of variable-rate amounts if interest rates rise above the cap strike rate on the contract and receipt of variable-rate amounts if interest rates fall below the floor strike rate on the contract. Beginning with the third quarter of 2022, such derivatives were used to hedge the variable cash flows associated with existing variable-rate loan assets. For derivatives that qualify and are designated as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in accumulated other comprehensive income and subsequently reclassified into interest income in the same period(s) during which the hedged transaction affects earnings. Gains and losses on the derivative representing hedge components excluded from the assessment of effectiveness are recognized over the life of the hedge on a systematic and rational basis. The earnings recognition of excluded components is included in interest income. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest income as interest payments are received on the Company’s variable-rate assets. As of September 30, 2023, the Company had cash flow hedges with a notional amount of $200.0 million. The Company expects to reclassify $2.0 million from accumulated other comprehensive income (loss) (“AOCI”) as a reduction to interest income during the next 12 months. Fair value hedges Interest rate swaps designated as fair value hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without the exchange of the underlying notional amount. As of September 30, 2023, the Company had interest rate swaps with a notional amount of $337.4 million, which were designated as fair value hedges of interest rate risk. As of December 31, 2022, the Company had interest rate swaps with a notional amount of $340.1 million that were designated as fair value hedges. These interest rate swaps were associated with $462.5 million and $482.7 million of the Company’s fixed-rate loans as of September 30, 2023 and December 31, 2022, respectively, before a gain of $8.4 million and $29.7 million from the fair value hedge adjustment in the carrying amount, included in loans receivable in the statements of financial condition as of September 30, 2023 and December 31, 2022, respectively. Fair value hedge adjustments included basis adjustments on terminated positions to be amortized through the contractual maturity date of each respective hedged item. Excluding those terminated positions, the fair value hedge adjustments consisted of gains totaling $42.5 million and $33.4 million as of September 30, 2023 and December 31, 2022, respectively. For derivatives designated and that qualify as fair value hedges, the gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in earnings. The Company includes the gain or loss on the hedged items in the same line item as the offsetting loss or gain on the related derivatives. Non-designated hedges Derivatives not designated as hedges are not speculative and consist of interest rate swaps with commercial banking clients that facilitate their respective risk management strategies. Interest rate swaps are simultaneously hedged by offsetting interest rate swaps 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 swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the client swaps and the offsetting swaps are recognized directly in earnings. As of September 30, 2023, the Company had matched interest rate swap transactions with an aggregate notional amount of $436.0 million related to this program. As of December 31, 2022, the Company had matched interest rate swap transactions with an aggregate notional amount of $383.0 million. Derivative fee income from non-designated hedges totaled $0.4 million and $0.7 million for the three and nine months ended September 30, 2023, respectively. During the three and nine months ended September 30, 2022, derivative fee income from non-designated hedges totaled $0.3 million and $0.5 million, respectively. As part of its mortgage banking activities, the Company enters into interest rate lock commitments, which are commitments to originate loans where the interest rate on the loan is determined prior to funding and the clients have locked into that interest rate. The Company then locks in the loan and interest rate with an investor and commits to deliver the loan if settlement occurs ("best efforts") or commits to deliver the locked loan in a binding ("mandatory") delivery program with an investor. Fair value changes of certain loans under interest rate lock commitments are hedged with forward sales contracts of MBS. Forward sales contracts of MBS are recorded at fair value with changes in fair value recorded in non-interest income. Interest rate lock commitments and commitments to deliver loans to investors are considered derivatives. The market value of interest rate lock commitments and best efforts contracts are not readily ascertainable with precision because they are not actively traded in stand-alone markets. The Company determines the fair value of interest rate lock commitments and delivery contracts by measuring the fair value of the underlying assets. The fair value of the underlying assets is impacted by current interest rates, remaining origination fees, costs of production to be incurred and the probability that the interest rate lock commitments will close or will be funded. Certain additional risks arise from these forward delivery contracts in that the counterparties to the contracts may not be able to meet the terms of the contracts. The Company does not expect any counterparty to any MBS contract to fail to meet its obligation. Additional risks inherent in mandatory delivery programs include the risk that, if the Company fails to deliver the loans subject to interest rate risk lock commitments, it will still be obligated to “pair off” MBS to the counterparty. Should this be required, the Company could incur significant costs in acquiring replacement loans and such costs could have an adverse effect on the consolidated financial statements. The fair value of the mortgage banking derivative is recorded as a freestanding asset or liability with the change in value being The Company had interest rate lock commitments with a notional value of $27.9 million and forward contracts with a notional value of $34.9 million at September 30, 2023. At December 31, 2022, the Company had interest rate lock commitments with a notional value of $35.5 million and forward contracts with a notional value of $45.0 million . Effect of derivative instruments on the consolidated statements of operations and accumulated other comprehensive income The tables below present the effect of the Company’s derivative financial instruments in the consolidated statements of operations for the three and nine months ended September 30, 2023 and 2022: Location of gain (loss) Amount of gain recognized in income on derivatives Derivatives in fair value recognized in income on For the three months ended September 30, For the nine months ended September 30, hedging relationships derivatives 2023 2022 2023 2022 Interest rate products Interest and fees on loans $ 13,005 $ 13,893 $ 16,855 $ 44,183 Location of gain (loss) Amount of loss recognized in income on hedged items recognized in income on For the three months ended September 30, For the nine months ended September 30, Hedged items hedged items 2023 2022 2023 2022 Interest rate products Interest and fees on loans $ (10,255) $ (14,589) $ (9,940) $ (47,601) Location of gain (loss) Amount of (loss) gain recognized in income on derivatives Derivatives not designated recognized in income on For the three months ended September 30, For the nine months ended September 30, as hedging instruments derivatives 2023 2022 2023 2022 Interest rate products Other non-interest expense $ (33) $ 49 $ (32) $ 5 Interest rate lock commitments Mortgage banking income 30 (1,936) 73 (2,780) Forward contracts Mortgage banking income 49 2,179 74 2,095 Total $ 46 $ 292 $ 115 $ (680) The table below presents the effect of fair value cash flow hedge accounting on AOCI as of the dates presented. The Company did not utilize cash flow hedges until the third quarter of 2022. For the three months ended September 30, 2023 Loss recognized in OCI on derivatives Loss recognized in OCI included component Loss recognized in OCI excluded component Location of Loss recognized from AOCI into income Loss reclassified from AOCI into income Loss reclassified from AOCI into income included component Loss reclassified from AOCI into income excluded component Derivatives in cash flow hedging relationships: Interest rate products $ (1,122) $ (818) $ (304) Interest income $ (493) $ (374) $ (119) For the nine months ended September 30, 2023 Loss recognized in OCI on derivatives Loss recognized in OCI included component Loss recognized in OCI excluded component Location of Loss recognized from AOCI into income Loss reclassified from AOCI into income Loss reclassified from AOCI into income included component Loss reclassified from AOCI into income excluded component Derivatives in cash flow hedging relationships: Interest rate products $ (2,773) $ (2,254) $ (519) Interest income $ (1,158) $ (821) $ (337) For the three and nine months ended September 30, 2022 Loss recognized in OCI on derivatives Loss recognized in OCI included component Loss recognized in OCI excluded component Location of Loss recognized from AOCI into income Gain reclassified from AOCI into income Loss reclassified from AOCI into income included component Gain reclassified from AOCI into income excluded component Derivatives in cash flow hedging relationships: Interest rate products $ (2,355) $ (1,827) $ (528) Interest income $ (14) $ — $ (14) Credit-risk-related contingent features The Company has agreements with its derivative counterparties that contain a provision where if the Company defaults on any of its indebtedness for reasons other than an error or omission of an administrative or operational nature, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. The Company also has agreements with certain of its derivative counterparties that contain a provision where if the Company fails to maintain its status as a well/adequately capitalized institution, then the counterparty has the right to terminate the derivative positions and the Company would be required to settle its obligations under the agreements. As of September 30, 2023, the termination value of derivatives in a net liability position related to these agreements was zero. The Company has minimum collateral posting thresholds with certain of its derivative counterparties and, as of September 30, 2023, the Company had met these thresholds. If the Company had breached any of these provisions at September 30, 2023, it could have been required to settle its obligations under the agreements at the termination value. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies | |
Commitments and Contingencies | Note 16 Commitments and Contingencies In the normal course of business, the Company enters into various off-balance sheet commitments to help meet the financing needs of clients. These financial instruments include commitments to extend credit, commercial and consumer lines of credit and standby letters of credit. The same credit policies are applied to these commitments as the loans in the consolidated statements of financial condition; however, these commitments involve varying degrees of credit risk in excess of the amount recognized in the consolidated statements of financial condition. The total amounts of unused commitments do not necessarily represent future credit exposure or cash requirements, as commitments often expire without being drawn upon. However, the contractual amount of these commitments, offset by any additional collateral pledged, represents the Company’s potential credit loss exposure. Total unfunded commitments at September 30, 2023 and December 31, 2022 were as follows: September 30, 2023 December 31, 2022 Commitments to fund loans $ 885,416 $ 1,124,942 Credit card lines of credit 6,888 7,167 Unfunded commitments under lines of credit 907,916 862,369 Commercial and standby letters of credit 9,880 13,859 Total unfunded commitments $ 1,810,100 $ 2,008,337 Commitments to fund loans Credit card lines of credit Unfunded commitments under lines of credit Commercial and standby letters of credit Contingencies Mortgage loans sold to investors may be subject to repurchase or indemnification in the event of specific default by the borrower or subsequent discovery that underwriting standards were not met. The Company established a reserve liability for expected losses related to these representations and warranties based upon management’s evaluation of actual and historic loss history, delinquency trends or other documentation or deficiency findings in the portfolio and economic conditions. Charges against the reserve during the three and nine months ended September 30, 2023 totaling $47 thousand and $134 thousand, respectively, were primarily driven by early payoffs and repurchases. Charges against the reserve during the three and nine months ended September 30, 2022 totaling $74 thousand and $218 thousand, respectively, were primarily driven by early payoffs and repurchases. The repurchase reserve is included in other liabilities in the consolidated statements of financial condition. The following table summarizes mortgage repurchase reserve activity for the periods presented: For the three months ended September 30, For the nine months ended September 30, 2023 2022 2023 2022 Beginning balance $ 1,315 $ 1,878 $ 1,725 $ 2,102 Provision charged to (released from) operating expense, net — 35 (323) (45) Charge-offs (47) (74) (134) (218) Ending balance $ 1,268 $ 1,839 $ 1,268 $ 1,839 In the ordinary course of business, the Company and NBH Bank may be subject to litigation. Based upon the available information and advice from the Company’s legal counsel, management does not believe that any potential, threatened or pending litigation to which it is a party will have a material adverse effect on the Company’s liquidity, financial condition or results of operations. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Measurements | |
Fair Value Measurements | Note 17 Fair Value Measurements The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to disclose the fair value of its financial instruments. Fair value is defined as 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. For disclosure purposes, the Company groups its financial and non-financial assets and liabilities into three different levels based on the nature of the instrument and the availability and reliability of the information that is used to determine fair value. The three levels are defined as follows: ● Level 1—Includes assets or liabilities in which the valuation methodologies are based on unadjusted quoted prices in active markets for identical assets or liabilities. ● Level 2—Includes assets or liabilities in which the inputs to the valuation methodologies are based on similar assets or liabilities in inactive markets, quoted prices for identical or similar assets or liabilities in inactive markets, and inputs other than quoted prices that are observable, such as interest rates, yield curves, volatilities, prepayment speeds and other inputs obtained from observable market input. ● Level 3—Includes assets or liabilities in which the inputs to the valuation methodology are based on at least one significant assumption that is not observable in the marketplace. These valuations may rely on management’s judgment and may include internally-developed model-based valuation techniques. Level 1 inputs are considered to be the most transparent and reliable and level 3 inputs are considered to be the least transparent and reliable. The Company assumes the use of the principal market to conduct a transaction of each particular asset or liability being measured and then considers the assumptions that market participants would use when pricing the asset or liability. Whenever possible, the Company first looks for quoted prices for identical assets or liabilities in active markets (level 1 inputs) to value each asset or liability. However, when inputs from identical assets or liabilities on active markets are not available, the Company utilizes market observable data for similar assets and liabilities. The Company maximizes the use of observable inputs and limits the use of unobservable inputs to occasions when observable inputs are not available. The need to use unobservable inputs generally results from the lack of market liquidity of the actual financial instrument or of the underlying collateral. While third-party price indications may be available in those cases, limited trading activity can challenge the observability of those inputs. Changes in the valuation inputs used for measuring the fair value of financial instruments may occur due to changes in current market conditions or other factors. Such changes may necessitate a transfer of the financial instruments to another level in the hierarchy based on the new inputs used. The Company recognizes these transfers at the end of the reporting period that the transfer occurs. During the nine months ended September 30, 2023 and 2022, there were no transfers of financial instruments between the hierarchy levels. The following is a description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of each instrument under the valuation hierarchy: Fair Value of Financial Instruments Measured on a Recurring Basis Investment securities available-for-sale Loans held for sale Interest rate swap derivatives Mortgage banking derivatives valuation model to estimate the fair value of its forward commitments to sell residential mortgage loans (i.e., an estimate of what the Company would receive or pay to terminate the forward delivery contract based on market prices for similar financial instruments), which includes matching specific terms and maturities of the forward commitments against applicable investor pricing. The tables below present the financial instruments measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022 in the consolidated statements of financial condition utilizing the hierarchy structure described above: September 30, 2023 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: U.S. Treasuries $ 71,862 $ — $ — $ 71,862 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises — 196,848 — 196,848 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 348,942 — 348,942 Municipal securities — 152 — 152 Corporate debt — 1,849 — 1,849 Loans held for sale — 19,048 — 19,048 Interest rate swap derivatives — 52,584 — 52,584 Mortgage banking derivatives — — 435 435 Total assets at fair value $ 71,862 $ 619,423 $ 435 $ 691,720 Liabilities: Interest rate swap derivatives $ — $ 15,935 $ — $ 15,935 Mortgage banking derivatives — — 57 57 Total liabilities at fair value $ — $ 15,935 $ 57 $ 15,992 December 31, 2022 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: U.S. Treasuries $ 71,388 $ — $ — $ 71,388 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises — 226,131 — 226,131 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 405,926 — 405,926 Municipal securities — 153 — 153 Corporate debt — 1,920 — 1,920 Loans held for sale — 22,767 — 22,767 Interest rate swap derivatives — 44,821 — 44,821 Mortgage banking derivatives — — 407 407 Total assets at fair value $ 71,388 $ 701,718 $ 407 $ 773,513 Liabilities: Interest rate swap derivatives $ — $ 12,589 $ — $ 12,589 Mortgage banking derivatives — — 278 278 Total liabilities at fair value $ — $ 12,589 $ 278 $ 12,867 The table below details the changes in level 3 financial instruments during the nine months ended September 30, 2023: Mortgage banking derivatives, net Balance at December 31, 2022 $ 129 Loss included in earnings, net 147 Fees and costs included in earnings, net 102 Balance at September 30, 2023 $ 378 Fair Value of Financial Instruments Measured on a Non-recurring Basis Certain assets may be recorded at fair value on a non-recurring basis as conditions warrant. These non-recurring fair value measurements typically result from the application of lower of cost or fair value accounting or a write-down occurring during the period. Individually evaluated loans OREO Mortgage servicing rights MSRs SBA servicing asset The Company may be required to record fair value adjustments on other available-for-sale and municipal securities valued at par on a non-recurring basis. The tables below provide information regarding losses from assets recorded at fair value on a non-recurring basis during the nine months ended September 30, 2023 and 2022: September 30, 2023 Total Losses from fair value changes Individually evaluated loans $ 42,642 $ 1,218 Other real estate owned 3,416 55 Premises and equipment 13,169 244 Total $ 59,227 $ 1,517 September 30, 2022 Total Losses from fair value changes Individually evaluated loans $ 20,504 $ 1,338 Other real estate owned 3,695 452 Mortgage servicing rights 9,133 6 Total $ 33,332 $ 1,796 The Company did not record any liabilities measured at fair value on a non-recurring basis during the nine months ended September 30, 2023 or 2022. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Measurements | |
Fair Value of Financial Instruments | Note 18 Fair Value of Financial Instruments The fair value of a financial instrument is the amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is determined based upon quoted market prices to the extent possible; however, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques that may be significantly impacted by the assumptions used, including the discount rate and estimates of future cash flows. Changes in any of these assumptions could significantly affect the fair value estimates. The fair value of the financial instruments listed below does not reflect a premium or discount that could result from offering all of the Company’s holdings of financial instruments at one time, nor does it reflect the underlying value of the Company, as ASC Topic 825 excludes certain financial instruments and all non-financial instruments from its disclosure requirements. The estimated fair value amounts have been determined by the Company using available market information and appropriate valuation methodologies and are based on the exit price concept within ASC Topic 825 and applied to this disclosure on a prospective basis. Considerable judgment is required to interpret market data in order to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The fair value of financial instruments at September 30, 2023 and December 31, 2022 are set forth below: Level in fair value September 30, 2023 December 31, 2022 measurement Carrying Estimated Carrying Estimated hierarchy amount fair value amount fair value ASSETS Cash and cash equivalents Level 1 $ 291,291 $ 291,291 $ 195,505 $ 195,505 U.S. Treasury securities - AFS Level 1 71,862 71,862 71,388 71,388 U.S. Treasury securities - HTM Level 1 49,263 47,415 49,045 47,629 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 196,848 196,848 226,131 226,131 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 348,942 348,942 405,926 405,926 Municipal securities available-for-sale Level 2 152 152 153 153 Corporate debt available-for-sale Level 2 1,849 1,849 1,920 1,920 Other available-for-sale securities Level 3 792 792 771 771 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 309,216 260,193 339,815 298,816 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 242,022 186,634 262,667 213,479 FHLB and FRB stock Level 2 38,849 38,849 38,390 38,390 Loans receivable Level 3 7,478,438 7,171,937 7,220,469 6,964,107 Loans held for sale Level 2 19,048 19,048 22,767 22,767 Accrued interest receivable Level 2 45,213 45,213 34,587 34,587 Interest rate swap derivatives Level 2 52,584 52,584 45,046 45,046 Mortgage banking derivatives Level 3 435 435 407 407 LIABILITIES Deposit transaction accounts Level 2 7,156,514 7,156,514 6,999,226 6,999,226 Time deposits Level 2 992,494 980,150 873,400 845,688 Securities sold under agreements to repurchase Level 2 20,273 20,273 20,214 20,214 Long-term debt Level 2 55,000 46,389 55,000 52,430 Federal Home Loan Bank advances Level 2 316,770 316,770 385,000 385,000 Accrued interest payable Level 2 14,820 14,820 3,201 3,201 Interest rate swap derivatives Level 2 15,935 15,935 12,589 12,589 Mortgage banking derivatives Level 3 57 57 278 278 |
Acquisition Activities
Acquisition Activities | 9 Months Ended |
Sep. 30, 2023 | |
Acquisition Activities | |
Acquisition Activities | Note 19 Acquisition Activities Cambr Solutions, LLC On April 3, 2023, NBH Bank completed the acquisition of Cambr Solutions, LLC (“Cambr”). Upon closing, Cambr became a stand-alone subsidiary of NBH Bank. The transaction was valued at $46.5 million in the aggregate. NBH Bank determined that the acquisition constituted a business combination as defined in ASC Topic 805, Business Combinations Fair Value Measurements and Disclosures Cambr is a deposit acquisition and processing platform that generates core deposits from accounts offered through embedded finance companies. At the time of acquisition, Cambr administered approximately $1.7 billion of deposits comprising more than 500,000 FDIC-insured cash accounts. Cambr acquisition-related costs totaled $0.1 million and $1.0 million for the three and nine months ended September 30, 2023, respectively. The results of Cambr are included in the results of the Company subsequent to the acquisition date. The table below summarizes preliminary net assets acquired (at fair value) and consideration transferred in connection with the Cambr acquisition: April 3, 2023 Assets: Cash and due from banks $ 1,224 Other intangibles 18,000 Other assets 6,729 Total assets acquired 25,953 Liabilities: Other liabilities $ 6,340 Total liabilities assumed 6,340 Identifiable net assets acquired $ 19,613 Consideration: Cash $ 46,524 Total 46,524 Goodwill $ 26,911 In connection with the Cambr acquisition, the Company recorded $26.9 million of goodwill. The amount of goodwill recorded reflects the expanded market presence, synergies and operational efficiencies that are expected to result from the acquisition. The total amount of goodwill expected to be deductible for tax purposes is $27.8 million. The following is a description of the methods used to determine the fair values of significant assets and liabilities presented above: Other intangibles The other intangible assets will be amortized over a weighted average period of 9.4 years. The fair value of the acquired assets and liabilities noted in the table may change during the provisional period, which may last up to twelve months subsequent to the acquisition date. The Company may obtain additional information to refine the valuation of the acquired assets and liabilities and adjust the recorded fair value. Prior year acquisitions During 2022, the Company completed the acquisitions of Community Bancorporation, the bank holding company for Rock Canyon Bank, and Bancshares of Jackson Hole, the bank holding company for Bank of Jackson Hole. The Company determined that the acquisitions constitute business combinations as defined in ASC Topic 805, Business Combinations Fair Value Measurements and Disclosures Rock Canyon Bank On September 1, 2022, the Company completed its acquisition of Community Bancorporation, the bank holding company of Utah-based Rock Canyon Bank. Immediately following the completion of the acquisition, RCB merged into NBH Bank. Pursuant to the merger agreement executed in April 2022, the Company paid $16.1 million of cash consideration and issued 3,096,745 shares of the Company’s Class A common stock in exchange for all of the outstanding common stock of Community Bancorporation. The transaction was valued at $140.4 million in the aggregate, based on the Company’s closing price of $40.13 on August 31, 2022. The acquisition added seven banking centers to the Company’s footprint within the Provo and Greater Salt Lake City regions. RCB acquisition-related costs totaled $12.3 million for the year ended December 31, 2022, including a Day 1 CECL provision expense of $5.4 million. The results of RCB are included in the results of the Company subsequent to the acquisition date. The table below summarizes net assets acquired (at fair value) and consideration transferred in connection with the RCB acquisition: September 1, 2022 Assets: Cash and due from banks $ 260,883 Investment securities available-for-sale 402 Non-marketable securities 977 Loans, net 535,197 Loans held for sale 3,069 Premises and equipment 3,413 Core deposit and other intangibles 16,463 Other assets 11,749 Total assets acquired 832,153 Liabilities: Total deposits 734,480 Other liabilities 10,115 Total liabilities assumed 744,595 Identifiable net assets acquired $ 87,558 Consideration: NBHC common stock paid, closing price of $40.13 on August 31, 2022 $ 124,272 Cash 16,141 Total 140,413 Goodwill $ 52,855 In connection with the RCB acquisition, the Company recorded $52.9 million of goodwill. The amount of goodwill recorded reflects the expanded market presence, synergies and operational efficiencies that are expected to result from the acquisition. The following is a description of the methods used to determine the fair values of significant assets and liabilities presented above: Cash and due from banks Loans, net The fair value of loans were based on a discounted cash flow methodology that considered the loans’ underlying characteristics including account type, remaining terms of loan, annual interest rates or coupon, interest types, past delinquencies, timing of principal and interest payments, current market rates, loan to value ratios, loss exposure and remaining balance. The discount rates applied were based upon a build-up approach considering the alternative cost of funds, capital charges, servicing costs, and a liquidity premium. Loans were aggregated according to similar characteristics when applying the valuation method. Core deposit and other intangibles million. The core deposit intangible was valued utilizing a discounted cash flow methodology based upon assumptions regarding retained balances, such as account retention rate and growth rates, interest expense including maintenance costs, and alternative costs of funding. The discount rate applied is consistent to that applied to loans above. The SBA servicing asset was valued using a discounted cash flow methodology that included assumptions for pre-payment speeds and defaults discounted at a market-based discount rate. The valuation methodology was applied to each loan individually based upon its specific characteristics. The core deposit intangible will be amortized straight-line over ten years, and the SBA servicing asset will be amortized over the life of the underlying portfolio. Deposits By definition, the fair value of demand and saving deposits equals the amount payable. For time deposits acquired, the Company utilized an income approach, discounting the contractual cash flows on the instruments over their remaining contractual lives at prevailing market rates. Accounting for acquired loans A Day 1 CECL allowance for credit losses on non-PCD loans was recorded through provision for credit loss expense within the consolidated statements of operations. At the date of acquisition, of the $537.7 million of loans acquired from RCB, $11.1 million, or 2.1% of RCB’s loan portfolio, were accounted for as PCD loans. The gross contractual amounts receivable of PCD loans, inclusive of all principal and interest, was $13.8 million, including $2.1 million of loans previously charged off by RCB. The Company’s best estimate of the contractual principal and interest cash flows for PCD loans not expected to be collected was $4.5 million, including $2.1 million of loans previously charged off by RCB. The following table provides a summary of PCD loans purchased as part of the RCB acquisition as of the acquisition date: Commercial Commercial real estate non-owner occupied Residential real estate Consumer Total Unpaid principal balance $ 12,079 $ 220 $ 843 $ 3 $ 13,145 PCD allowance for credit loss at acquisition (2,257) (2) (215) — (2,474) (Discount) premium on acquired loans (787) 19 (5) — (773) Loans previously charged-off by RCB (2,051) — — (3) (2,054) Purchase price of PCD loans $ 6,984 $ 237 $ 623 $ — $ 7,844 The Company has determined that it is impractical to report the amounts of revenue and earnings of legacy RCB since the acquisition date due to the integration of certain processes occurring shortly after the acquisition date. Such amounts would require significant estimates that cannot be objectively made. Bank of Jackson Hole On October 1, 2022, the Company completed its acquisition of Bancshares of Jackson Hole, the bank holding company of Wyoming-based Bank of Jackson Hole. Pursuant to the merger agreement executed in March 2022, the Company paid $51.0 million of cash consideration and issued 4,391,964 shares of the Company’s Class A common stock in exchange for all of the outstanding common stock of Bancshares of Jackson Hole. The transaction was valued at $213.4 million in the aggregate, based on the Company’s closing price of $36.99 on September 30, 2022. The acquisition added 12 banking centers with operations in Wyoming and Idaho. Immediately following the closing of the acquisition, BOJH sold substantially of all its assets and liabilities to NBH Bank, with the exception of assets and liabilities related to its trust business. Effective October 1, 2022, BOJH was renamed as Bank of Jackson Hole Trust. BOJH acquisition-related costs totaled $24.5 million for the year ended December 31, 2022, including a Day 1 CECL provision expense of $16.3 million. The results of BOJH are included in the results of the Company subsequent to the acquisition date. The table below summarizes net assets acquired (at fair value) and consideration transferred in connection with the BOJH acquisition: October 1, 2022 Assets: Cash and due from banks $ 40,509 Investment securities 203,728 Non-marketable securities 3,104 Loans, net 1,185,699 Loans held for sale 504 Premises and equipment 30,318 Core deposit and other intangibles 30,696 Other assets 31,970 Total assets acquired 1,526,528 Liabilities: Total deposits 1,375,593 Long-term debt 39,229 Fed funds purchased 25 Other liabilities 9,483 Total liabilities assumed 1,424,330 Identifiable net assets acquired $ 102,198 Consideration: NBHC common stock paid, closing price of $36.99 on September 30, 2022 $ 162,459 Cash 50,989 Total 213,448 Goodwill $ 111,250 In connection with the BOJH acquisition, the Company recorded $111.3 million of goodwill. The amount of goodwill recorded reflects the expanded market presence, synergies and operational efficiencies that are expected to result from the acquisition. The Company transferred $75.3 million of available-for-sale securities to held-to-maturity as of Day 1. The following is a description of the methods used to determine the fair values of significant assets and liabilities presented above: Cash and due from banks Investment securities Loans, net The fair value of loans were based on a discounted cash flow methodology that considered the loans’ underlying characteristics including account type, remaining terms of loan, annual interest rates or coupon, interest types, past delinquencies, timing of principal and interest payments, current market rates, loan to value ratios, loss exposure and remaining balance. The discount rates applied were based upon a build-up approach considering the alternative cost of funds, capital charges, servicing costs, and a liquidity premium. Loans were aggregated according to similar characteristics when applying the valuation method. Core deposit and other intangibles The core deposit intangible and wealth management intangible will be amortized straight-line over ten years. Deposits Long-term debt Accounting for acquired loans A Day 1 CECL allowance for credit losses on the non-PCD loans was recorded through provision for credit loss expense within the consolidated statements of operations. At the date of acquisition, of the $1.2 billion of loans acquired from BOJH, $13.9 million, or 1.1% of BOJH’s loan portfolio, were accounted for as PCD loans. The gross contractual amounts receivable of PCD loans, inclusive of all principal and interest, was $14.0 million, including $0.5 million of loans previously charged off by BOJH. The Company’s best estimate of the contractual cash flows for PCD loans not expected to be collected was $3.8 million. The following table provides a summary of PCD loans purchased as part of the BOJH acquisition as of the acquisition date: Commercial Commercial real estate non-owner occupied Residential real estate Consumer Total Unpaid principal balance $ 5,061 $ 8,353 $ 476 $ 12 $ 13,902 PCD allowance for credit loss at acquisition (151) (3,557) (55) (1) (3,764) (Discount) premium on acquired loans (336) (226) (16) — (578) Purchase price of PCD loans $ 4,574 $ 4,570 $ 405 $ 11 $ 9,560 The Company has determined that it is impractical to report the amounts of revenue and earnings of legacy BOJH since the acquisition date due to the integration of certain processes occurring shortly after the acquisition date. Such amounts would require significant estimates that cannot be objectively made. |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Investment Securities | |
Available-for-sale Securities | Available-for-sale securities are summarized as follows as of the dates indicated: September 30, 2023 Amortized Gross Gross cost unrealized gains unrealized losses Fair value U.S. Treasury securities $ 74,386 $ — $ (2,524) $ 71,862 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 240,292 14 (43,458) 196,848 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 430,853 — (81,911) 348,942 Municipal securities 155 — (3) 152 Corporate debt 2,000 — (151) 1,849 Other securities 792 — — 792 Total investment securities available-for-sale $ 748,478 $ 14 $ (128,047) $ 620,445 December 31, 2022 Amortized Gross Gross cost unrealized gains unrealized losses Fair value U.S. Treasury securities $ 74,031 $ — $ (2,643) $ 71,388 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 263,939 1 (37,809) 226,131 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 478,866 — (72,940) 405,926 Municipal securities 155 — (2) 153 Corporate debt 2,000 — (80) 1,920 Other securities 771 — — 771 Total investment securities available-for-sale $ 819,762 $ 1 $ (113,474) $ 706,289 |
Summary of unrealized losses for available-for-sale securities | The tables below summarize the available-for-sale securities with unrealized losses as of the dates shown, along with the length of the impairment period: September 30, 2023 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ — $ — $ 71,862 $ (2,524) $ 71,862 $ (2,524) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 16 (1) 193,918 (43,457) 193,934 (43,458) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 136 (4) 348,806 (81,907) 348,942 (81,911) Municipal securities — — 152 (3) 152 (3) Corporate debt — — 1,849 (151) 1,849 (151) Total $ 152 $ (5) $ 616,587 $ (128,042) $ 616,739 $ (128,047) December 31, 2022 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ 71,388 $ (2,643) $ — $ — $ 71,388 $ (2,643) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 83,748 (6,686) 141,272 (31,123) 225,020 (37,809) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 196,449 (22,809) 209,477 (50,131) 405,926 (72,940) Municipal securities 153 (2) — — 153 (2) Corporate debt 1,920 (80) — — 1,920 (80) Total $ 353,658 $ (32,220) $ 350,749 $ (81,254) $ 704,407 $ (113,474) |
Schedule of credit quality indicators, by fair value, of available-for-sale securities | The tables below summarize the credit quality indicators, by fair value, of available-for-sale securities as of the dates shown: September 30, 2023 AAA Not rated Total U.S. Treasury securities $ 71,862 $ — $ 71,862 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 196,848 — 196,848 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 348,942 — 348,942 Municipal securities — 152 152 Corporate debt — 1,849 1,849 Other securities — 792 792 Total investment securities available-for-sale $ 617,652 $ 2,793 $ 620,445 December 31, 2022 AAA Not rated Total U.S. Treasury securities $ 71,388 $ — $ 71,388 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 226,131 — 226,131 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 405,926 — 405,926 Municipal securities — 153 153 Corporate debt — 1,920 1,920 Other securities — 771 771 Total investment securities available-for-sale $ 703,445 $ 2,844 $ 706,289 |
Summary of available-for-sale and held-to-maturity securities by maturity | A summary of the available-for-sale securities by maturity is shown in the following table as of September 30, 2023. Mortgage-backed securities may have actual maturities that differ from contractual maturities depending on the repayment characteristics and experience of the underlying financial instruments and are therefore not included in the table below. Additionally, the Company holds other available-for-sale securities with an amortized cost and fair value September 30, 2023 Weighted Amortized Cost Fair Value Average Yield U.S. Treasury securities Within one year $ 24,917 $ 24,598 2.30% After one but within five years 49,469 47,264 2.67% Municipal securities After one but within five years 155 152 3.17% Corporate debt After five but within ten years 2,000 1,849 5.87% A summary of the held-to-maturity securities by maturity is shown in the following table as of September 30, 2023. Actual maturities of mortgage-backed securities may differ from scheduled maturities depending on the repayment characteristics and experience of the underlying financial instruments and are therefore not included in the table below. September 30, 2023 Weighted Amortized Cost Fair Value Average Yield U.S. Treasury securities After one but within five years $ 49,263 $ 47,415 3.14% |
Held-to-maturity Securities | Held-to-maturity investment securities are summarized as follows as of the dates indicated: September 30, 2023 Gross Gross Amortized unrealized unrealized cost gains losses Fair value U.S. Treasury securities $ 49,263 $ — $ (1,848) $ 47,415 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 309,216 — (49,023) 260,193 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 242,022 — (55,388) 186,634 Total investment securities held-to-maturity $ 600,501 $ — $ (106,259) $ 494,242 December 31, 2022 Gross Gross Amortized unrealized unrealized cost gains losses Fair value U.S. Treasury securities $ 49,045 $ — $ (1,416) $ 47,629 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 339,815 163 (41,162) 298,816 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 262,667 — (49,188) 213,479 Total investment securities held-to-maturity $ 651,527 $ 163 $ (91,766) $ 559,924 |
Summary of unrealized losses for held-to-maturity securities | The held-to-maturity portfolio included 160 securities in an unrealized loss position as of September 30, 2023, compared to 129 securities at December 31, 2022. The tables below summarize the held-to-maturity securities with unrealized losses as of the dates shown, along with the length of the impairment period: September 30, 2023 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ — $ — $ 47,415 $ (1,848) $ 47,415 $ (1,848) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 53,423 (2,086) 206,771 (46,937) 260,194 (49,023) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 3,882 (170) 182,752 (55,218) 186,634 (55,388) Total $ 57,305 $ (2,256) $ 436,938 $ (104,003) $ 494,243 $ (106,259) December 31, 2022 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses U.S. Treasury securities $ 47,629 $ (1,416) $ — $ — $ 47,629 $ (1,416) Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 83,323 (3,804) 182,159 (37,358) 265,482 (41,162) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 34,704 (1,145) 178,776 (48,043) 213,480 (49,188) Total $ 165,656 $ (6,365) $ 360,935 $ (85,401) $ 526,591 $ (91,766) |
Schedule of credit quality indicators, by amortized cost, of held-to-maturity securities | The tables below summarize the credit quality indicators, by amortized cost, of held-to-maturity securities as of the dates shown: September 30, 2023 AAA U.S. Treasury securities $ 49,263 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 309,216 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 242,022 Total investment securities held-to-maturity $ 600,501 December 31, 2022 AAA U.S. Treasury securities $ 49,045 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises 339,815 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 262,667 Total investment securities held-to-maturity $ 651,527 |
Non-marketable Securities (Tabl
Non-marketable Securities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Non-marketable Securities | |
Schedule of carrying balance of non-marketable securities | The carrying balance of non-marketable securities are summarized as follows as of the dates indicated: September 30, 2023 December 31, 2022 Federal Reserve Bank stock $ 24,062 $ 18,096 Federal Home Loan Bank stock 14,787 20,294 Equity method investments 23,968 21,659 Convertible preferred stock 25,000 29,000 Total $ 87,817 $ 89,049 |
Loans (Tables)
Loans (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Loans | |
Loan Portfolio Composition Including Carrying Value by Segment of Originated and Acquired Loans Accounted for under ASC Topic 310-30 and Loans Covered by the FDIC Loss Sharing Agreements | September 30, 2023 Total loans % of total Commercial $ 4,349,012 58.1% Commercial real estate non-owner occupied 1,814,059 24.3% Residential real estate 1,295,991 17.3% Consumer 19,376 0.3% Total $ 7,478,438 100.0% December 31, 2022 Total loans % of total Commercial $ 4,251,780 58.9% Commercial real estate non-owner occupied 1,696,050 23.5% Residential real estate 1,251,281 17.3% Consumer 21,358 0.3% Total $ 7,220,469 100.0% |
Past Due Financing Receivables | Information about delinquent and non-accrual loans is shown in the following tables at September 30, 2023 and December 31, 2022: September 30, 2023 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 4,851 $ — $ 2,284 $ 7,135 $ 1,933,065 $ 1,940,200 Municipal and non-profit — — — — 1,013,272 1,013,272 Owner occupied commercial real estate 211 — 1,661 1,872 1,073,508 1,075,380 Food and agribusiness 40 140 7,244 7,424 312,736 320,160 Total commercial 5,102 140 11,189 16,431 4,332,581 4,349,012 Commercial real estate non-owner occupied: Construction — — — — 327,756 327,756 Acquisition/development — — — — 98,412 98,412 Multifamily — — — — 328,534 328,534 Non-owner occupied 226 — 13,537 13,763 1,045,594 1,059,357 Total commercial real estate and non-owner occupied 226 — 13,537 13,763 1,800,296 1,814,059 Residential real estate: Senior lien 1,934 8 7,662 9,604 1,195,898 1,205,502 Junior lien 808 — 762 1,570 88,919 90,489 Total residential real estate 2,742 8 8,424 11,174 1,284,817 1,295,991 Consumer 74 6 62 142 19,234 19,376 Total loans $ 8,144 $ 154 $ 33,212 $ 41,510 $ 7,436,928 $ 7,478,438 September 30, 2023 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 2,284 $ — $ 2,284 Municipal and non-profit — — — Owner occupied commercial real estate 237 1,424 1,661 Food and agribusiness 6,673 571 7,244 Total commercial 9,194 1,995 11,189 Commercial real estate non-owner occupied: Construction — — — Acquisition/development — — — Multifamily — — — Non-owner occupied 65 13,472 13,537 Total commercial real estate non-owner occupied 65 13,472 13,537 Residential real estate: Senior lien 2,914 4,748 7,662 Junior lien 462 300 762 Total residential real estate 3,376 5,048 8,424 Consumer 56 6 62 Total loans $ 12,691 $ 20,521 $ 33,212 December 31, 2022 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 919 $ 53 $ 2,601 $ 3,573 $ 2,021,262 $ 2,024,835 Municipal and non-profit — — — — 959,626 959,626 Owner occupied commercial real estate — — 6,551 6,551 906,789 913,340 Food and agribusiness 699 — 2,148 2,847 351,132 353,979 Total commercial 1,618 53 11,300 12,971 4,238,809 4,251,780 Commercial real estate non-owner occupied: Construction — — — — 341,325 341,325 Acquisition/development — — — — 129,102 129,102 Multifamily — — — — 213,677 213,677 Non-owner occupied 629 — 685 1,314 1,010,632 1,011,946 Total commercial real estate and non-owner occupied 629 — 685 1,314 1,694,736 1,696,050 Residential real estate: Senior lien 446 — 4,174 4,620 1,149,728 1,154,348 Junior lien 255 — 341 596 96,337 96,933 Total residential real estate 701 — 4,515 5,216 1,246,065 1,251,281 Consumer 38 42 12 92 21,266 21,358 Total loans $ 2,986 $ 95 $ 16,512 $ 19,593 $ 7,200,876 $ 7,220,469 December 31, 2022 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 1,640 $ 961 $ 2,601 Municipal and non-profit — — — Owner occupied commercial real estate 693 5,858 6,551 Food and agribusiness 455 1,693 2,148 Total commercial 2,788 8,512 11,300 Commercial real estate non-owner occupied: Construction — — — Acquisition/development — — — Multifamily — — — Non-owner occupied 685 — 685 Total commercial real estate non-owner occupied 685 — 685 Residential real estate: Senior lien 3,019 1,155 4,174 Junior lien 341 — 341 Total residential real estate 3,360 1,155 4,515 Consumer 12 — 12 Total loans $ 6,845 $ 9,667 $ 16,512 |
Credit Exposure for Loans as Determined by Company's Internal Risk Rating System | The amortized cost basis and current period gross charge-offs for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following table as of September 30, 2023: September 30, 2023 Revolving Revolving loans loans Origination year amortized converted 2023 2022 2021 2020 2019 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 249,364 $ 423,936 $ 293,175 $ 90,830 $ 58,580 $ 118,061 $ 609,476 $ 12,009 $ 1,855,431 Special mention 8,741 14,588 22,428 20,749 1,221 4,209 9,448 — 81,384 Substandard — 78 181 1,237 204 229 — 269 2,198 Doubtful 600 — — 423 — 164 — — 1,187 Total commercial and industrial 258,705 438,602 315,784 113,239 60,005 122,663 618,924 12,278 1,940,200 Gross charge-offs: Commercial and industrial — — 215 — 24 3 — — 242 Municipal and non-profit: Pass 67,861 140,673 248,738 84,518 57,244 387,367 26,871 — 1,013,272 Total municipal and non-profit 67,861 140,673 248,738 84,518 57,244 387,367 26,871 — 1,013,272 Owner occupied commercial real estate: Pass 175,287 282,771 186,968 95,383 84,877 175,538 16,044 836 1,017,704 Special mention 410 15,836 8,694 — 8,031 19,865 — — 52,836 Substandard — — 1,742 1,207 913 321 — — 4,183 Doubtful — — — — — 657 — — 657 Total owner occupied commercial real estate 175,697 298,607 197,404 96,590 93,821 196,381 16,044 836 1,075,380 Food and agribusiness: Pass 20,862 49,396 19,672 16,352 10,560 35,903 155,214 153 308,112 Special mention — — 203 — — 3,746 450 — 4,399 Substandard — — 586 — 12 171 3,235 — 4,004 Doubtful — — — 228 — — 3,417 — 3,645 Total food and agribusiness 20,862 49,396 20,461 16,580 10,572 39,820 162,316 153 320,160 Total commercial 523,125 927,278 782,387 310,927 221,642 746,231 824,155 13,267 4,349,012 Gross charge-offs: Commercial — — 215 — 24 3 — — 242 Commercial real estate non-owner occupied: Construction: Pass 18,771 150,694 54,337 58,723 1,015 — 37,310 6,906 327,756 Total construction 18,771 150,694 54,337 58,723 1,015 — 37,310 6,906 327,756 Acquisition/development: Pass 7,025 45,635 21,087 6,036 641 9,084 8,740 — 98,248 Substandard — — — — — 164 — — 164 Total acquisition/development 7,025 45,635 21,087 6,036 641 9,248 8,740 — 98,412 Multifamily: Pass 15,170 113,146 90,973 17,015 39,430 32,111 20,689 — 328,534 Total multifamily 15,170 113,146 90,973 17,015 39,430 32,111 20,689 — 328,534 Non-owner occupied Pass 87,691 257,343 173,674 106,359 133,372 244,826 10,320 — 1,013,585 Special mention — — — 7,194 3,920 11,294 — — 22,408 Substandard — — — — — 22,823 — — 22,823 Doubtful — — — 280 — 261 — — 541 Total non-owner occupied 87,691 257,343 173,674 113,833 137,292 279,204 10,320 — 1,059,357 Total commercial real estate non-owner occupied 128,657 566,818 340,071 195,607 178,378 320,563 77,059 6,906 1,814,059 Residential real estate: Senior lien Pass 60,807 418,159 318,325 114,668 44,619 192,174 46,803 633 1,196,188 Special mention — — — — — 475 — — 475 Substandard 1,573 1,796 358 447 817 3,808 — — 8,799 Doubtful — — — — — 40 — — 40 Total senior lien 62,380 419,955 318,683 115,115 45,436 196,497 46,803 633 1,205,502 Gross charge-offs: Senior lien — — — — — 46 — — 46 Junior lien Pass 4,351 4,837 1,997 3,301 2,527 5,282 64,208 2,691 89,194 Special mention — — — — — 27 — — 27 Substandard — 152 300 460 — 356 — — 1,268 Total junior lien 4,351 4,989 2,297 3,761 2,527 5,665 64,208 2,691 90,489 Total residential real estate 66,731 424,944 320,980 118,876 47,963 202,162 111,011 3,324 1,295,991 Gross charge-offs: Residential real estate — — — — — 46 — — 46 Consumer Pass 5,624 3,873 2,557 1,175 329 445 5,287 24 19,314 Substandard — — 2 4 — 53 3 — 62 Total consumer 5,624 3,873 2,559 1,179 329 498 5,290 24 19,376 Gross charge-offs: Consumer 914 6 1 2 0 7 — — 930 Total loans $ 724,137 $ 1,922,913 $ 1,445,997 $ 626,589 $ 448,312 $ 1,269,454 $ 1,017,515 $ 23,521 $ 7,478,438 Gross charge-offs: Total loans 914 6 216 2 24 56 — — 1,218 The amortized cost basis for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following table as of December 31, 2022: December 31, 2022 Revolving Revolving loans loans Origination year amortized converted 2022 2021 2020 2019 2018 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 528,180 $ 351,003 $ 129,453 $ 95,003 $ 101,951 $ 88,038 $ 688,398 $ 17,883 $ 1,999,909 Special mention 66 137 388 2,887 588 4,440 3,512 — 12,018 Substandard 34 7 1,882 200 189 10,270 50 30 12,662 Doubtful — — 246 — — — — — 246 Total commercial and industrial 528,280 351,147 131,969 98,090 102,728 102,748 691,960 17,913 2,024,835 Municipal and non-profit: Pass 105,630 246,696 89,562 59,066 73,013 383,158 2,501 — 959,626 Total municipal and non-profit 105,630 246,696 89,562 59,066 73,013 383,158 2,501 — 959,626 Owner occupied commercial real estate: Pass 263,635 203,628 100,522 92,653 70,447 121,448 24,930 894 878,157 Special mention — 515 — 6,956 2,616 17,360 — — 27,447 Substandard — — 1,185 4,612 — 931 — 234 6,962 Doubtful — — — 85 108 581 — — 774 Total owner occupied commercial real estate 263,635 204,143 101,707 104,306 73,171 140,320 24,930 1,128 913,340 Food and agribusiness: Pass 36,505 23,907 25,285 11,035 19,689 31,210 191,785 1,663 341,079 Special mention — 204 4,573 — 3,486 195 1,750 — 10,208 Substandard — 1,747 — 12 — 324 — 173 2,256 Doubtful — 186 250 — — — — — 436 Total food and agribusiness 36,505 26,044 30,108 11,047 23,175 31,729 193,535 1,836 353,979 Total commercial 934,050 828,030 353,346 272,509 272,087 657,955 912,926 20,877 4,251,780 Commercial real estate non-owner occupied: Construction: Pass 106,197 139,012 56,489 14,387 — 213 25,027 — 341,325 Total construction 106,197 139,012 56,489 14,387 — 213 25,027 — 341,325 Acquisition/development: Pass 57,773 33,663 7,810 1,921 3,939 16,648 7,348 — 129,102 Total acquisition/development 57,773 33,663 7,810 1,921 3,939 16,648 7,348 — 129,102 Multifamily: Pass 99,988 22,022 17,658 39,547 17,358 16,009 1,095 — 213,677 Total multifamily 99,988 22,022 17,658 39,547 17,358 16,009 1,095 — 213,677 Non-owner occupied Pass 235,958 172,648 120,871 138,711 42,489 249,461 11,707 — 971,845 Special mention — — 7,313 4,048 3,947 12,658 — — 27,966 Substandard — — — — 629 7,912 — — 8,541 Doubtful — — 280 — — 3,314 — — 3,594 Total non-owner occupied 235,958 172,648 128,464 142,759 47,065 273,345 11,707 — 1,011,946 Total commercial real estate non-owner occupied 499,916 367,345 210,421 198,614 68,362 306,215 45,177 — 1,696,050 Residential real estate: Senior lien Pass 361,405 323,984 133,847 47,557 30,283 184,998 66,792 496 1,149,362 Special mention — — — — — 362 — — 362 Substandard 191 186 468 854 105 2,769 — — 4,573 Doubtful — — — — 51 — — — 51 Total senior lien 361,596 324,170 134,315 48,411 30,439 188,129 66,792 496 1,154,348 Junior lien Pass 6,429 5,977 3,010 4,163 1,726 3,773 69,059 1,286 95,423 Special mention — — — — — 351 — — 351 Substandard 9 — 89 — 54 242 305 251 950 Doubtful — — — — — — — 209 209 Total junior lien 6,438 5,977 3,099 4,163 1,780 4,366 69,364 1,746 96,933 Total residential real estate 368,034 330,147 137,414 52,574 32,219 192,495 136,156 2,242 1,251,281 Consumer Pass 8,576 4,816 2,209 607 282 531 4,292 33 21,346 Substandard 3 — — — — 5 4 — 12 Total consumer 8,579 4,816 2,209 607 282 536 4,296 33 21,358 Total loans $ 1,810,579 $ 1,530,338 $ 703,390 $ 524,304 $ 372,950 $ 1,157,201 $ 1,098,555 $ 23,152 $ 7,220,469 |
Schedule of collateral dependent loans | The amortized cost basis of collateral-dependent loans over $250 thousand was as follows at September 30, 2023 and December 31, 2022: September 30, 2023 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 2,136 $ 464 $ 2,600 Owner-occupied commercial real estate 2,578 — 2,578 Food and agribusiness 1,672 6,638 8,310 Total Commercial 6,386 7,102 13,488 Commercial real estate non owner-occupied Non-owner occupied 19,986 — 19,986 Total commercial real estate non owner-occupied 19,986 — 19,986 Residential real estate Senior lien 5,037 163 5,200 Junior lien 300 — 300 Total residential real estate 5,337 163 5,500 Consumer — 6 6 Total loans $ 31,709 $ 7,271 $ 38,980 December 31, 2022 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 2,869 $ 791 $ 3,660 Owner-occupied commercial real estate 6,711 1,346 8,057 Food and agribusiness 3,020 173 3,193 Total Commercial 12,600 2,310 14,910 Commercial real estate non owner-occupied Non-owner occupied 8,561 — 8,561 Total commercial real estate non owner-occupied 8,561 — 8,561 Residential real estate Senior lien 2,806 — 2,806 Junior lien 460 — 460 Total residential real estate 3,266 — 3,266 Total loans $ 24,427 $ 2,310 $ 26,737 |
Schedule of Modified Loans to Borrowers Experiencing Financial Difficulty | September 30, 2023 Term extension Payment delay Amortized % of loan Amortized % of loan cost basis class cost basis class Commercial: Commercial and industrial $ — 0.0% $ 114 0.0% Total commercial — 0.0% 114 0.0% Commercial real estate non-owner occupied: Non-owner occupied 18,764 1.8% — 0.0% Total commercial real estate non-owner occupied 18,764 1.0% — 0.0% Residential real estate: Senior lien 653 0.1% — 0.0% Total residential real estate 653 0.1% — 0.0% Total loans $ 19,417 0.3% $ 114 0.0% |
Schedule of Payment Status of Financing Receivable Modified Past 12 Months | September 30, 2023 Current Non-accrual Commercial: Commercial and industrial $ 114 $ — Total commercial 114 — Commercial real estate non-owner occupied: Non-owner occupied 5,292 13,472 Total commercial real estate non-owner occupied 5,292 13,472 Residential real estate: Senior lien 653 — Total residential real estate 653 — Total loans $ 6,059 $ 13,472 |
Schedule of Financial Effect of Loan Restructuring Modifications | September 30, 2023 Financial effect Term extension Payment delay Combination - Interest Rate Reduction and Term Extension Commercial: Commercial and industrial Delayed payments for a weighted average of 0.2 year Commercial real estate non-owner occupied: Non-owner occupied Extended weighted average of 0.3 years to the life of loans, which reduced monthly payment amounts Residential real estate: Senior lien Reduced weighted average contractual interest rate by 2.5 % and renewed with a weighted average life of 30 years , which reduced monthly payment amounts |
Additional Information Related to Accruing TDR's | The table below provides additional information related to accruing TDRs at December 31, 2022: December 31, 2022 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 2,160 $ 2,348 $ 2,150 $ 150 Commercial real estate non-owner occupied 685 734 699 — Residential real estate 1,809 1,867 1,964 — Consumer — — — — Total $ 4,654 $ 4,949 $ 4,813 $ 150 |
Summary of Company's Carrying Value of Non-Accrual TDR's | The following table summarizes the Company’s carrying value of non-accrual TDRs as of December 31, 2022: December 31, 2022 Commercial $ 356 Commercial real estate non-owner occupied 81 Residential real estate 2,041 Consumer — Total non-accruing TDRs $ 2,478 |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Allowance for Credit Losses | |
Summary of Company's Allowance for Loan Losses ("ALL") and Recorded Investment in Loans | The tables below detail the Company’s allowance for credit losses as of the dates shown: Three months ended September 30, 2023 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 42,058 $ 30,768 $ 19,331 $ 424 $ 92,581 Charge-offs (239) — — (301) (540) Recoveries 241 1 7 31 280 Provision expense (release) for credit losses 3,231 (2,301) (47) 242 1,125 Ending balance $ 45,291 $ 28,468 $ 19,291 $ 396 $ 93,446 Nine months ended September 30, 2023 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 37,608 $ 32,050 $ 19,306 $ 589 $ 89,553 Charge-offs (242) — (46) (930) (1,218) Recoveries 286 3 19 78 386 Provision expense (release) for credit losses 7,639 (3,585) 12 659 4,725 Ending balance $ 45,291 $ 28,468 $ 19,291 $ 396 $ 93,446 Three months ended September 30, 2022 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 32,011 $ 8,426 $ 10,072 $ 351 $ 50,860 Day 1 CECL provision expense 2,261 2,327 596 17 5,201 Purchase credit deteriorated ("PCD") allowance for credit loss at acquisition 2,257 2 215 — 2,474 Charge-offs — — — (253) (253) Recoveries 40 — 3 23 66 Provision expense for credit losses 1,651 3,419 1,988 217 7,275 Ending balance $ 38,220 $ 14,174 $ 12,874 $ 355 $ 65,623 Nine months ended September 30, 2022 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 31,256 $ 10,033 $ 8,056 $ 349 $ 49,694 Day 1 CECL provision expense 2,261 2,327 596 17 5,201 PCD allowance for credit loss at acquisition 2,257 2 215 — 2,474 Charge-offs (754) — (2) (582) (1,338) Recoveries 115 21 49 71 256 Provision expense for credit losses 3,085 1,791 3,960 500 9,336 Ending balance $ 38,220 $ 14,174 $ 12,874 $ 355 $ 65,623 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Other Real Estate Owned | |
Summary of Activity in OREO Balances | A summary of the activity in other real estate owned (“OREO”) during the nine months ended September 30, 2023 and 2022 is as follows: For the nine months ended September 30, 2023 2022 Beginning balance $ 3,731 $ 7,005 Transfers from loan portfolio, at fair value — 58 Impairments (55) (452) Sales (260) (2,916) Ending balance $ 3,416 $ 3,695 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Summary of gross carrying amount of intangible assets and the associated accumulated amortization | The gross carrying amount of other intangible assets and the associated accumulated amortization at September 30, 2023 and December 31, 2022, are presented as follows: September 30, 2023 December 31, 2022 Gross Net Gross Net carrying Accumulated carrying carrying Accumulated carrying amount amortization amount amount amortization amount Core deposit intangible $ 91,566 $ (48,765) $ 42,801 $ 91,566 $ (44,775) $ 46,791 Customer relationship intangible 17,000 (1,266) 15,734 1,300 (32) 1,268 Internally developed technology 2,300 (153) 2,147 — — — Total $ 110,866 $ (50,184) $ 60,682 $ 92,866 $ (44,807) $ 48,059 |
Summary of changes in the mortgage servicing rights | Below are the changes in the MSRs for the periods presented: For the nine months ended September 30, 2023 2022 Beginning balance $ 9,162 $ 5,957 Originations 993 3,895 Sales (4,664) — Recovery (impairment) 66 (6) Amortization (675) (713) Ending balance 4,882 9,133 Fair value of mortgage servicing rights $ 7,514 $ 13,782 |
Schedule of changes in the SBA servicing assets | For the nine months ended September 30, 2023 Beginning balance $ 2,666 Originations 325 Disposals (321) Recovery 153 Amortization (104) Ending balance 2,719 Fair value of SBA servicing asset $ 2,719 |
Other intangible assets | |
Summary of estimated future amortization expense for the next five years | The following table shows the estimated future amortization expense during the next five years for other intangible assets as of September 30, 2023: Years ending December 31, Amount For the three months ending December 31, 2023 $ 1,969 For the year ending December 31, 2024 7,908 For the year ending December 31, 2025 7,786 For the year ending December 31, 2026 7,664 For the year ending December 31, 2027 7,542 |
MSRs | |
Summary of estimated future amortization expense for the next five years | The following table shows the estimated future amortization expense during the next five years for the MSRs as of September 30, 2023: Years ending December 31, Amount For the three months ending December 31, 2023 $ 133 For the year ending December 31, 2024 517 For the year ending December 31, 2025 461 For the year ending December 31, 2026 411 For the year ending December 31, 2027 366 |
Regulatory Capital (Tables)
Regulatory Capital (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Regulatory Capital | |
Capital Ratio Requirements under Prompt Corrective Action or Other Regulatory Requirements | September 30, 2023 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 9.6% $ 913,466 N/A N/A 4.0% $ 382,103 NBH Bank 8.9% 843,039 5.0% $ 475,757 4.0% 380,606 Bank of Jackson Hole Trust 29.9% 11,453 5.0% 1,918 4.0% 1,534 Common equity tier 1 risk based capital: Consolidated 11.6% $ 913,466 N/A N/A 7.0% $ 550,588 NBH Bank 10.8% 843,039 6.5% $ 508,881 7.0% 548,026 Bank of Jackson Hole Trust 72.0% 11,453 6.5% 1,034 7.0% 1,113 Tier 1 risk based capital ratio: Consolidated 11.6% $ 913,466 N/A N/A 8.5% $ 668,571 NBH Bank 10.8% 843,039 8.0% $ 626,315 8.5% 665,460 Bank of Jackson Hole Trust 72.0% 11,453 8.0% 1,273 8.5% 1,352 Total risk based capital ratio: Consolidated 13.5% $ 1,060,695 N/A N/A 10.5% $ 825,882 NBH Bank 12.0% 935,269 10.0% $ 782,894 10.5% 822,039 Bank of Jackson Hole Trust 72.0% 11,453 10.0% 1,591 10.5% 1,670 December 31, 2022 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 9.3% $ 857,403 N/A N/A 4.0% $ 369,335 NBH Bank 8.6% 788,462 5.0% $ 458,593 4.0% 366,874 Bank of Jackson Hole Trust 31.0% 11,238 5.0% 1,373 4.0% 1,099 Common equity tier 1 risk based capital: Consolidated 10.5% $ 857,403 N/A N/A 7.0% $ 574,339 NBH Bank 9.7% 788,462 6.5% $ 528,334 7.0% 568,975 Bank of Jackson Hole Trust 71.6% 11,238 6.5% 1,020 7.0% 1,098 Tier 1 risk based capital ratio: Consolidated 10.5% $ 857,403 N/A N/A 8.5% $ 697,412 NBH Bank 9.7% 788,462 8.0% $ 650,257 8.5% 690,898 Bank of Jackson Hole Trust 71.6% 11,238 8.0% 1,255 8.5% 1,333 Total risk based capital ratio: Consolidated 12.2% $ 1,000,398 N/A N/A 10.5% $ 861,509 NBH Bank 10.8% 876,458 10.0% $ 812,821 10.5% 853,462 Bank of Jackson Hole Trust 71.6% 11,238 10.0% 1,569 10.5% 1,647 (1) Includes the capital conservation buffer of 2.5%. |
Revenue from Contracts with C_2
Revenue from Contracts with Clients (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contracts with Clients | |
Summary of non-interest income segregated by revenue streams | The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, and non-interest expense in-scope of Topic 606 for the three and nine months ended September 30, 2023 and 2022: For the three months ended September 30, For the nine months ended September 30, 2023 2022 2023 2022 Non-interest income In-scope of Topic 606: Service charges and other account-related fees $ 6,819 $ 4,867 $ 18,356 $ 13,444 Bank card fees 4,993 4,681 14,721 13,345 Other non-interest income 1,167 — 3,386 — Non-interest income (in-scope of Topic 606) 12,979 9,548 36,463 26,789 Non-interest income (out-of-scope of Topic 606) 6,386 7,810 11,390 26,385 Total non-interest income $ 19,365 $ 17,358 $ 47,853 $ 53,174 Non-interest expense In-scope of Topic 606: Other non-interest expense $ — $ 378 $ (11) $ 648 Total revenue in-scope of Topic 606 $ 12,979 $ 9,926 $ 36,452 $ 27,437 |
Stock-based Compensation and _2
Stock-based Compensation and Benefits (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Stock-based Compensation and Benefits | |
Summary of outstanding stock options | The following table summarizes stock option activity for the nine months ended September 30, 2023: Weighted average Weighted remaining average contractual Aggregate exercise term in intrinsic Options price years value Outstanding at December 31, 2022 717,088 $ 29.79 5.98 $ 8,850 Granted 107,530 33.46 Exercised (8,683) 20.36 Forfeited (4,690) 35.57 Outstanding at September 30, 2023 811,245 30.34 5.73 2,571 Options exercisable at September 30, 2023 623,666 28.41 4.76 2,569 Options vested and expected to vest 791,825 30.20 5.65 2,571 |
Summary of Restricted Stock Activity | The following table summarizes restricted stock and performance stock unit activity during the nine months ended September 30, 2023: Weighted Weighted Restricted average grant- Performance average grant- stock shares date fair value stock units date fair value Unvested at December 31, 2022 165,137 $ 38.28 155,857 $ 33.81 Granted 184,227 31.15 79,215 30.57 Adjustment due to performance — — 18,664 25.94 Vested (79,014) 35.08 (74,142) 26.55 Forfeited (7,275) 35.63 (6,995) 35.05 Unvested at September 30, 2023 263,075 $ 34.32 172,599 $ 34.54 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share | |
Schedule of Computation of Basic and Diluted Earnings Per Share | The following table illustrates the computation of basic and diluted earnings per share for the three and nine months ended September 30, 2023 and 2022: For the three months ended For the nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Net income $ 36,087 $ 15,839 $ 108,927 $ 54,553 Less: income allocated to participating securities (68) (39) (179) (111) Income allocated to common shareholders $ 36,019 $ 15,800 $ 108,748 $ 54,442 Weighted average shares outstanding for basic earnings per common share 37,990,659 31,259,188 37,911,896 30,539,266 Dilutive effect of equity awards 143,679 271,887 182,014 295,364 Weighted average shares outstanding for diluted earnings per common share 38,134,338 31,531,075 38,093,910 30,834,630 Basic earnings per share $ 0.95 $ 0.51 $ 2.87 $ 1.78 Diluted earnings per share 0.94 0.50 2.85 1.77 |
Derivatives (Tables)
Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivatives | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification in the consolidated statements of financial condition as of September 30, 2023 and December 31, 2022. Information about the valuation methods used to measure fair value is provided in note 18. Asset derivatives fair value Liability derivatives fair value Balance Sheet September 30, December 31, Balance Sheet September 30, December 31, location 2023 2022 Location 2023 2022 Derivatives designated as hedging instruments: Interest rate products Other assets $ 41,612 $ 34,164 Other liabilities $ 2,464 $ 1,929 Total derivatives designated as hedging instruments $ 41,612 $ 34,164 $ 2,464 $ 1,929 Derivatives not designated as hedging instruments: Interest rate products Other assets $ 10,972 $ 10,657 Other liabilities $ 13,471 $ 10,660 Interest rate lock commitments Other assets 252 197 Other liabilities 55 174 Forward contracts Other assets 183 210 Other liabilities 2 104 Total derivatives not designated as hedging instruments $ 11,407 $ 11,064 $ 13,528 $ 10,938 |
Derivative Instruments, Gain (Loss) | The tables below present the effect of the Company’s derivative financial instruments in the consolidated statements of operations for the three and nine months ended September 30, 2023 and 2022: Location of gain (loss) Amount of gain recognized in income on derivatives Derivatives in fair value recognized in income on For the three months ended September 30, For the nine months ended September 30, hedging relationships derivatives 2023 2022 2023 2022 Interest rate products Interest and fees on loans $ 13,005 $ 13,893 $ 16,855 $ 44,183 Location of gain (loss) Amount of loss recognized in income on hedged items recognized in income on For the three months ended September 30, For the nine months ended September 30, Hedged items hedged items 2023 2022 2023 2022 Interest rate products Interest and fees on loans $ (10,255) $ (14,589) $ (9,940) $ (47,601) Location of gain (loss) Amount of (loss) gain recognized in income on derivatives Derivatives not designated recognized in income on For the three months ended September 30, For the nine months ended September 30, as hedging instruments derivatives 2023 2022 2023 2022 Interest rate products Other non-interest expense $ (33) $ 49 $ (32) $ 5 Interest rate lock commitments Mortgage banking income 30 (1,936) 73 (2,780) Forward contracts Mortgage banking income 49 2,179 74 2,095 Total $ 46 $ 292 $ 115 $ (680) |
Summary of effect of fair value cash flow hedge accounting on accumulated other comprehensive income | The table below presents the effect of fair value cash flow hedge accounting on AOCI as of the dates presented. The Company did not utilize cash flow hedges until the third quarter of 2022. For the three months ended September 30, 2023 Loss recognized in OCI on derivatives Loss recognized in OCI included component Loss recognized in OCI excluded component Location of Loss recognized from AOCI into income Loss reclassified from AOCI into income Loss reclassified from AOCI into income included component Loss reclassified from AOCI into income excluded component Derivatives in cash flow hedging relationships: Interest rate products $ (1,122) $ (818) $ (304) Interest income $ (493) $ (374) $ (119) For the nine months ended September 30, 2023 Loss recognized in OCI on derivatives Loss recognized in OCI included component Loss recognized in OCI excluded component Location of Loss recognized from AOCI into income Loss reclassified from AOCI into income Loss reclassified from AOCI into income included component Loss reclassified from AOCI into income excluded component Derivatives in cash flow hedging relationships: Interest rate products $ (2,773) $ (2,254) $ (519) Interest income $ (1,158) $ (821) $ (337) For the three and nine months ended September 30, 2022 Loss recognized in OCI on derivatives Loss recognized in OCI included component Loss recognized in OCI excluded component Location of Loss recognized from AOCI into income Gain reclassified from AOCI into income Loss reclassified from AOCI into income included component Gain reclassified from AOCI into income excluded component Derivatives in cash flow hedging relationships: Interest rate products $ (2,355) $ (1,827) $ (528) Interest income $ (14) $ — $ (14) |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies | |
Schedule of Total Unfunded Commitments | Total unfunded commitments at September 30, 2023 and December 31, 2022 were as follows: September 30, 2023 December 31, 2022 Commitments to fund loans $ 885,416 $ 1,124,942 Credit card lines of credit 6,888 7,167 Unfunded commitments under lines of credit 907,916 862,369 Commercial and standby letters of credit 9,880 13,859 Total unfunded commitments $ 1,810,100 $ 2,008,337 |
Schedule of Repurchase Reserve | The following table summarizes mortgage repurchase reserve activity for the periods presented: For the three months ended September 30, For the nine months ended September 30, 2023 2022 2023 2022 Beginning balance $ 1,315 $ 1,878 $ 1,725 $ 2,102 Provision charged to (released from) operating expense, net — 35 (323) (45) Charge-offs (47) (74) (134) (218) Ending balance $ 1,268 $ 1,839 $ 1,268 $ 1,839 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Measurements | |
Tables of Financial Instruments Measured At Fair Value on Recurring Basis | The tables below present the financial instruments measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022 in the consolidated statements of financial condition utilizing the hierarchy structure described above: September 30, 2023 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: U.S. Treasuries $ 71,862 $ — $ — $ 71,862 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises — 196,848 — 196,848 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 348,942 — 348,942 Municipal securities — 152 — 152 Corporate debt — 1,849 — 1,849 Loans held for sale — 19,048 — 19,048 Interest rate swap derivatives — 52,584 — 52,584 Mortgage banking derivatives — — 435 435 Total assets at fair value $ 71,862 $ 619,423 $ 435 $ 691,720 Liabilities: Interest rate swap derivatives $ — $ 15,935 $ — $ 15,935 Mortgage banking derivatives — — 57 57 Total liabilities at fair value $ — $ 15,935 $ 57 $ 15,992 December 31, 2022 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: U.S. Treasuries $ 71,388 $ — $ — $ 71,388 Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises — 226,131 — 226,131 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 405,926 — 405,926 Municipal securities — 153 — 153 Corporate debt — 1,920 — 1,920 Loans held for sale — 22,767 — 22,767 Interest rate swap derivatives — 44,821 — 44,821 Mortgage banking derivatives — — 407 407 Total assets at fair value $ 71,388 $ 701,718 $ 407 $ 773,513 Liabilities: Interest rate swap derivatives $ — $ 12,589 $ — $ 12,589 Mortgage banking derivatives — — 278 278 Total liabilities at fair value $ — $ 12,589 $ 278 $ 12,867 |
Table of Changes in Level 3 Financial Instruments | The table below details the changes in level 3 financial instruments during the nine months ended September 30, 2023: Mortgage banking derivatives, net Balance at December 31, 2022 $ 129 Loss included in earnings, net 147 Fees and costs included in earnings, net 102 Balance at September 30, 2023 $ 378 |
Table of Assets Recorded at Fair Value On a Non-Recurring Basis | The tables below provide information regarding losses from assets recorded at fair value on a non-recurring basis during the nine months ended September 30, 2023 and 2022: September 30, 2023 Total Losses from fair value changes Individually evaluated loans $ 42,642 $ 1,218 Other real estate owned 3,416 55 Premises and equipment 13,169 244 Total $ 59,227 $ 1,517 September 30, 2022 Total Losses from fair value changes Individually evaluated loans $ 20,504 $ 1,338 Other real estate owned 3,695 452 Mortgage servicing rights 9,133 6 Total $ 33,332 $ 1,796 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Measurements | |
Fair Value of Financial Instruments | The fair value of financial instruments at September 30, 2023 and December 31, 2022 are set forth below: Level in fair value September 30, 2023 December 31, 2022 measurement Carrying Estimated Carrying Estimated hierarchy amount fair value amount fair value ASSETS Cash and cash equivalents Level 1 $ 291,291 $ 291,291 $ 195,505 $ 195,505 U.S. Treasury securities - AFS Level 1 71,862 71,862 71,388 71,388 U.S. Treasury securities - HTM Level 1 49,263 47,415 49,045 47,629 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 196,848 196,848 226,131 226,131 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 348,942 348,942 405,926 405,926 Municipal securities available-for-sale Level 2 152 152 153 153 Corporate debt available-for-sale Level 2 1,849 1,849 1,920 1,920 Other available-for-sale securities Level 3 792 792 771 771 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 309,216 260,193 339,815 298,816 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 242,022 186,634 262,667 213,479 FHLB and FRB stock Level 2 38,849 38,849 38,390 38,390 Loans receivable Level 3 7,478,438 7,171,937 7,220,469 6,964,107 Loans held for sale Level 2 19,048 19,048 22,767 22,767 Accrued interest receivable Level 2 45,213 45,213 34,587 34,587 Interest rate swap derivatives Level 2 52,584 52,584 45,046 45,046 Mortgage banking derivatives Level 3 435 435 407 407 LIABILITIES Deposit transaction accounts Level 2 7,156,514 7,156,514 6,999,226 6,999,226 Time deposits Level 2 992,494 980,150 873,400 845,688 Securities sold under agreements to repurchase Level 2 20,273 20,273 20,214 20,214 Long-term debt Level 2 55,000 46,389 55,000 52,430 Federal Home Loan Bank advances Level 2 316,770 316,770 385,000 385,000 Accrued interest payable Level 2 14,820 14,820 3,201 3,201 Interest rate swap derivatives Level 2 15,935 15,935 12,589 12,589 Mortgage banking derivatives Level 3 57 57 278 278 |
Acquisition Activities (Tables)
Acquisition Activities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Cambr | |
Acquisition Activities | |
Net Assets acquired (at fair value) and consideration transferred | April 3, 2023 Assets: Cash and due from banks $ 1,224 Other intangibles 18,000 Other assets 6,729 Total assets acquired 25,953 Liabilities: Other liabilities $ 6,340 Total liabilities assumed 6,340 Identifiable net assets acquired $ 19,613 Consideration: Cash $ 46,524 Total 46,524 Goodwill $ 26,911 |
Rock Canyon Bank | |
Acquisition Activities | |
Net Assets acquired (at fair value) and consideration transferred | September 1, 2022 Assets: Cash and due from banks $ 260,883 Investment securities available-for-sale 402 Non-marketable securities 977 Loans, net 535,197 Loans held for sale 3,069 Premises and equipment 3,413 Core deposit and other intangibles 16,463 Other assets 11,749 Total assets acquired 832,153 Liabilities: Total deposits 734,480 Other liabilities 10,115 Total liabilities assumed 744,595 Identifiable net assets acquired $ 87,558 Consideration: NBHC common stock paid, closing price of $40.13 on August 31, 2022 $ 124,272 Cash 16,141 Total 140,413 Goodwill $ 52,855 |
Summary of PCD loans purchased as part of the RCB acquisition | Commercial Commercial real estate non-owner occupied Residential real estate Consumer Total Unpaid principal balance $ 12,079 $ 220 $ 843 $ 3 $ 13,145 PCD allowance for credit loss at acquisition (2,257) (2) (215) — (2,474) (Discount) premium on acquired loans (787) 19 (5) — (773) Loans previously charged-off by RCB (2,051) — — (3) (2,054) Purchase price of PCD loans $ 6,984 $ 237 $ 623 $ — $ 7,844 |
Bank of Jackson Hole | |
Acquisition Activities | |
Net Assets acquired (at fair value) and consideration transferred | October 1, 2022 Assets: Cash and due from banks $ 40,509 Investment securities 203,728 Non-marketable securities 3,104 Loans, net 1,185,699 Loans held for sale 504 Premises and equipment 30,318 Core deposit and other intangibles 30,696 Other assets 31,970 Total assets acquired 1,526,528 Liabilities: Total deposits 1,375,593 Long-term debt 39,229 Fed funds purchased 25 Other liabilities 9,483 Total liabilities assumed 1,424,330 Identifiable net assets acquired $ 102,198 Consideration: NBHC common stock paid, closing price of $36.99 on September 30, 2022 $ 162,459 Cash 50,989 Total 213,448 Goodwill $ 111,250 |
Summary of PCD loans purchased as part of the RCB acquisition | Commercial Commercial real estate non-owner occupied Residential real estate Consumer Total Unpaid principal balance $ 5,061 $ 8,353 $ 476 $ 12 $ 13,902 PCD allowance for credit loss at acquisition (151) (3,557) (55) (1) (3,764) (Discount) premium on acquired loans (336) (226) (16) — (578) Purchase price of PCD loans $ 4,574 $ 4,570 $ 405 $ 11 $ 9,560 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 9 Months Ended |
Sep. 30, 2023 item | |
Basis of Presentation | |
Number of full service banking offices | 95 |
Investment Securities - Narrati
Investment Securities - Narrative (Details) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2023 USD ($) security | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) security | |
Investment securities total | $ 1,200,000 | $ 1,400,000 | |
Securities with no stated contractual date, amortized cost | 800 | ||
Securities with no stated contractual date, fair value | 800 | ||
Amortized cost | 748,478 | 819,762 | |
Available-for-sale Securities | 620,445 | 706,289 | |
Held-to-maturity securities | 600,501 | $ 651,527 | |
Purchases of available-for-sale securities | 0 | $ 260,249 | |
Maturities and paydowns of available-for-sale securities | 71,339 | 116,002 | |
Sales of available-for-sale securities | $ 0 | 0 | |
Number of securities | security | 237 | 244 | |
Purchases of held-to-maturity securities | $ 2,452 | 91,607 | |
Maturities and paydowns of held-to-maturity securities | $ 53,947 | $ 93,201 | |
Number of held-to-maturity securities in unrealized loss positions | security | 160 | 129 | |
Held-to-maturity investment securities pledged as collateral | $ 600,500 | $ 355,300 | |
Held-to-maturity investment securities held as collateral | 0 | 0 | |
Accrued interest receivable from available-for-sale investment securities | 1,300 | 1,500 | |
Accrued interest receivable from held-to-maturity investment securities | 1,300 | 1,100 | |
Asset Pledged as Collateral | |||
Available-for-sale Securities | 0 | 0 | |
Asset Pledged as Collateral | Federal Funds Purchased [Member] | |||
Available-for-sale Securities | $ 205,300 | $ 484,900 | |
Financing Receivable, Pledging Purpose [Extensible Enumeration] | Noninterest-bearing Deposit Liabilities | Noninterest-bearing Deposit Liabilities |
Investment Securities - Summary
Investment Securities - Summary of Available-for-Sale Investment Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | $ 748,478 | $ 819,762 |
Gross unrealized gains | 14 | 1 |
Gross unrealized losses | (128,047) | (113,474) |
Fair Value | 620,445 | 706,289 |
U.S. Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 74,386 | 74,031 |
Gross unrealized losses | (2,524) | (2,643) |
Fair Value | 71,862 | 71,388 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 240,292 | 263,939 |
Gross unrealized gains | 14 | 1 |
Gross unrealized losses | (43,458) | (37,809) |
Fair Value | 196,848 | 226,131 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 430,853 | 478,866 |
Gross unrealized losses | (81,911) | (72,940) |
Fair Value | 348,942 | 405,926 |
Municipal Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 155 | 155 |
Gross unrealized losses | (3) | (2) |
Fair Value | 152 | 153 |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 2,000 | 2,000 |
Gross unrealized losses | (151) | (80) |
Fair Value | 1,849 | 1,920 |
Other Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 792 | 771 |
Fair Value | $ 792 | $ 771 |
Investment Securities - Summa_2
Investment Securities - Summary of Unrealized Losses (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | $ 152 | $ 353,658 |
Less than 12 months, Unrealized losses | (5) | (32,220) |
12 months or more, Fair Value | 616,587 | 350,749 |
12 months or more, Unrealized Loss | (128,042) | (81,254) |
Total, Fair Value | 616,739 | 704,407 |
Total, Unrealized losses | (128,047) | (113,474) |
U.S. Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 71,388 | |
Less than 12 months, Unrealized losses | (2,643) | |
12 months or more, Fair Value | 71,862 | |
12 months or more, Unrealized Loss | (2,524) | |
Total, Fair Value | 71,862 | 71,388 |
Total, Unrealized losses | (2,524) | (2,643) |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 16 | 83,748 |
Less than 12 months, Unrealized losses | (1) | (6,686) |
12 months or more, Fair Value | 193,918 | 141,272 |
12 months or more, Unrealized Loss | (43,457) | (31,123) |
Total, Fair Value | 193,934 | 225,020 |
Total, Unrealized losses | (43,458) | (37,809) |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 136 | 196,449 |
Less than 12 months, Unrealized losses | (4) | (22,809) |
12 months or more, Fair Value | 348,806 | 209,477 |
12 months or more, Unrealized Loss | (81,907) | (50,131) |
Total, Fair Value | 348,942 | 405,926 |
Total, Unrealized losses | (81,911) | (72,940) |
Municipal Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 153 | |
Less than 12 months, Unrealized losses | (2) | |
12 months or more, Fair Value | 152 | |
12 months or more, Unrealized Loss | (3) | |
Total, Fair Value | 152 | 153 |
Total, Unrealized losses | (3) | (2) |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 1,920 | |
Less than 12 months, Unrealized losses | (80) | |
12 months or more, Fair Value | 1,849 | |
12 months or more, Unrealized Loss | (151) | |
Total, Fair Value | 1,849 | 1,920 |
Total, Unrealized losses | $ (151) | $ (80) |
Investment Securities - Summa_3
Investment Securities - Summary of Credit Quality Indicators of Available-for-Sale Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | $ 620,445 | $ 706,289 |
AAA | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 617,652 | 703,445 |
Not Rated | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 2,793 | 2,844 |
U.S. Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 71,862 | 71,388 |
U.S. Treasury Securities [Member] | AAA | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 71,862 | 71,388 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 196,848 | 226,131 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | AAA | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 196,848 | 226,131 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 348,942 | 405,926 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | AAA | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 348,942 | 405,926 |
Municipal Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 152 | 153 |
Municipal Securities [Member] | Not Rated | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 152 | 153 |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 1,849 | 1,920 |
Corporate Debt Securities [Member] | Not Rated | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 1,849 | 1,920 |
Other Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | 792 | 771 |
Other Securities [Member] | Not Rated | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investment securities available-for-sale (at fair value) | $ 792 | $ 771 |
Investment Securities - Summa_4
Investment Securities - Summary of Available-for-sale Securities By Maturity (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
U.S. Treasury Securities [Member] | |
Amortized Cost | |
Within one year | $ 24,917 |
After one but within five years | 49,469 |
Fair Value | |
Within one year | 24,598 |
After one but within five years | $ 47,264 |
Weighted Average Yield | |
Within one year | 2.30% |
After one but within five years | 2.67% |
Municipal Securities [Member] | |
Amortized Cost | |
After one but within five years | $ 155 |
Fair Value | |
After one but within five years | $ 152 |
Weighted Average Yield | |
After one but within five years | 3.17% |
Corporate Debt Securities [Member] | |
Amortized Cost | |
After five but within ten years | $ 2,000 |
Fair Value | |
After five but within ten years | $ 1,849 |
Weighted Average Yield | |
After five but within ten years | 5.87% |
Investment Securities - Summa_5
Investment Securities - Summary of Held-to-maturity Investment Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity Securities | $ 600,501 | $ 651,527 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 163 | |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (106,259) | (91,766) |
Fair value | 494,242 | 559,924 |
U.S. Treasury Securities [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity Securities | 49,263 | 49,045 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (1,848) | (1,416) |
Fair value | 47,415 | 47,629 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity Securities | 309,216 | 339,815 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 163 | |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (49,023) | (41,162) |
Fair value | 260,193 | 298,816 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity Securities | 242,022 | 262,667 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (55,388) | (49,188) |
Fair value | $ 186,634 | $ 213,479 |
Investment Securities - Summa_6
Investment Securities - Summary of Held-to-Maturity Securities, Unrealized Losses (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | $ 57,305 | $ 165,656 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (2,256) | (6,365) |
Fair Value, 12 months or more | 436,938 | 360,935 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (104,003) | (85,401) |
Total Fair Value | 494,243 | 526,591 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | (106,259) | (91,766) |
U.S. Treasury Securities [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | 47,629 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (1,416) | |
Fair Value, 12 months or more | 47,415 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (1,848) | |
Total Fair Value | 47,415 | 47,629 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | (1,848) | (1,416) |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | 53,423 | 83,323 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (2,086) | (3,804) |
Fair Value, 12 months or more | 206,771 | 182,159 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (46,937) | (37,358) |
Total Fair Value | 260,194 | 265,482 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | (49,023) | (41,162) |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | 3,882 | 34,704 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (170) | (1,145) |
Fair Value, 12 months or more | 182,752 | 178,776 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (55,218) | (48,043) |
Total Fair Value | 186,634 | 213,480 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (55,388) | $ (49,188) |
Investment Securities - Summa_7
Investment Securities - Summary of Credit Quality Indicators of Held-to-maturity Investment Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | $ 600,501 | $ 651,527 |
AAA | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 600,501 | 651,527 |
U.S. Treasury Securities [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 49,263 | 49,045 |
U.S. Treasury Securities [Member] | AAA | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 49,263 | 49,045 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 309,216 | 339,815 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | AAA | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 309,216 | 339,815 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | 242,022 | 262,667 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | AAA | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity securities | $ 242,022 | $ 262,667 |
Investment Securities - Summa_8
Investment Securities - Summary of Held-to-Maturity Securities By Maturity (Details) - U.S. Treasury Securities [Member] $ in Thousands | Sep. 30, 2023 USD ($) |
Amortized Cost | |
After one but within five years | $ 49,263 |
Fair Value | |
After one but within five years | $ 47,415 |
Weighted Average Yield | |
After one but within five years | 3.14% |
Non-marketable Securities - Car
Non-marketable Securities - Carrying Balance (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Non-marketable Securities | ||
Federal Reserve Bank stock | $ 24,062 | $ 18,096 |
Federal Home Loan Bank stock | 14,787 | 20,294 |
Equity method investments | 23,968 | 21,659 |
Convertible preferred stock | 25,000 | 29,000 |
Total | $ 87,817 | $ 89,049 |
Non-Marketable Securities - Nar
Non-Marketable Securities - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Non-marketable Securities | |||||
Purchase of non-marketable securities | $ 93,900 | $ 11,500 | |||
Proceeds from non-marketable securities | 90,293 | 64 | |||
Alternative investments measured using the equity method | $ 0 | 0 | |||
Impairments on equity securities | 4,000 | $ 0 | |||
Unrealized gains (losses) | $ 0 | $ 1,300 | $ (400) | $ 1,400 |
Loans - Loan Portfolio Composit
Loans - Loan Portfolio Composition Including Carrying Value by Segment of Loans Accounted for under ASC Topic 310-30 (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Loans [Line Items] | ||
Fees and cost related to loans | $ 36,300 | $ 38,800 |
Total Loans | $ 7,478,438 | $ 7,220,469 |
% of total | 100% | 100% |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 4,349,012 | $ 4,251,780 |
% of total | 58.10% | 58.90% |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 1,814,059 | $ 1,696,050 |
% of total | 24.30% | 23.50% |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 1,295,991 | $ 1,251,281 |
% of total | 17.30% | 17.30% |
Consumer Loan [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 19,376 | $ 21,358 |
% of total | 0.30% | 0.30% |
Loans - Loan Delinquency (Detai
Loans - Loan Delinquency (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Loans [Line Items] | |||||
Non- accrual loans | $ 33,212 | $ 33,212 | $ 16,512 | ||
Total past due and non-accrual | 41,510 | 41,510 | 19,593 | ||
Total loans | 7,478,438 | 7,478,438 | 7,220,469 | ||
Non-accrual loans with a related allowance | 12,691 | 12,691 | 6,845 | ||
Non-accrual loans with no related allowance | 20,521 | 20,521 | 9,667 | ||
Non-accrual interest income | 0 | $ 0 | 0 | $ 0 | |
Commercial Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 11,189 | 11,189 | 11,300 | ||
Total past due and non-accrual | 16,431 | 16,431 | 12,971 | ||
Total loans | 4,349,012 | 4,349,012 | 4,251,780 | ||
Non-accrual loans with a related allowance | 9,194 | 9,194 | 2,788 | ||
Non-accrual loans with no related allowance | 1,995 | 1,995 | 8,512 | ||
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 2,284 | 2,284 | 2,601 | ||
Total past due and non-accrual | 7,135 | 7,135 | 3,573 | ||
Total loans | 1,940,200 | 1,940,200 | 2,024,835 | ||
Non-accrual loans with a related allowance | 2,284 | 2,284 | 1,640 | ||
Non-accrual loans with no related allowance | 961 | ||||
Commercial Portfolio Segment [Member] | Municipal Securities [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,013,272 | 1,013,272 | 959,626 | ||
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 1,661 | 1,661 | 6,551 | ||
Total past due and non-accrual | 1,872 | 1,872 | 6,551 | ||
Total loans | 1,075,380 | 1,075,380 | 913,340 | ||
Non-accrual loans with a related allowance | 237 | 237 | 693 | ||
Non-accrual loans with no related allowance | 1,424 | 1,424 | 5,858 | ||
Commercial Portfolio Segment [Member] | Agriculture [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 7,244 | 7,244 | 2,148 | ||
Total past due and non-accrual | 7,424 | 7,424 | 2,847 | ||
Total loans | 320,160 | 320,160 | 353,979 | ||
Non-accrual loans with a related allowance | 6,673 | 6,673 | 455 | ||
Non-accrual loans with no related allowance | 571 | 571 | 1,693 | ||
Commercial Real Estate Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 13,537 | 13,537 | 685 | ||
Total past due and non-accrual | 13,763 | 13,763 | 1,314 | ||
Total loans | 1,814,059 | 1,814,059 | 1,696,050 | ||
Non-accrual loans with a related allowance | 65 | 65 | 685 | ||
Non-accrual loans with no related allowance | 13,472 | 13,472 | |||
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | |||||
Loans [Line Items] | |||||
Total loans | 327,756 | 327,756 | 341,325 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | |||||
Loans [Line Items] | |||||
Total loans | 98,412 | 98,412 | 129,102 | ||
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | |||||
Loans [Line Items] | |||||
Total loans | 328,534 | 328,534 | 213,677 | ||
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 13,537 | 13,537 | 685 | ||
Total past due and non-accrual | 13,763 | 13,763 | 1,314 | ||
Total loans | 1,059,357 | 1,059,357 | 1,011,946 | ||
Non-accrual loans with a related allowance | 65 | 65 | 685 | ||
Non-accrual loans with no related allowance | 13,472 | 13,472 | |||
Residential Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 8,424 | 8,424 | 4,515 | ||
Total past due and non-accrual | 11,174 | 11,174 | 5,216 | ||
Total loans | 1,295,991 | 1,295,991 | 1,251,281 | ||
Non-accrual loans with a related allowance | 3,376 | 3,376 | 3,360 | ||
Non-accrual loans with no related allowance | 5,048 | 5,048 | 1,155 | ||
Residential Portfolio Segment [Member] | Sr lien [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 7,662 | 7,662 | 4,174 | ||
Total past due and non-accrual | 9,604 | 9,604 | 4,620 | ||
Total loans | 1,205,502 | 1,205,502 | 1,154,348 | ||
Non-accrual loans with a related allowance | 2,914 | 2,914 | 3,019 | ||
Non-accrual loans with no related allowance | 4,748 | 4,748 | 1,155 | ||
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 762 | 762 | 341 | ||
Total past due and non-accrual | 1,570 | 1,570 | 596 | ||
Total loans | 90,489 | 90,489 | 96,933 | ||
Non-accrual loans with a related allowance | 462 | 462 | 341 | ||
Non-accrual loans with no related allowance | 300 | 300 | |||
Consumer Loan [Member] | |||||
Loans [Line Items] | |||||
Non- accrual loans | 62 | 62 | 12 | ||
Total past due and non-accrual | 142 | 142 | 92 | ||
Total loans | 19,376 | 19,376 | 21,358 | ||
Non-accrual loans with a related allowance | 56 | 56 | 12 | ||
Non-accrual loans with no related allowance | 6 | 6 | |||
30-89 Days Past Due | |||||
Loans [Line Items] | |||||
Total loans | 8,144 | 8,144 | 2,986 | ||
30-89 Days Past Due | Commercial Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 5,102 | 5,102 | 1,618 | ||
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |||||
Loans [Line Items] | |||||
Total loans | 4,851 | 4,851 | 919 | ||
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | |||||
Loans [Line Items] | |||||
Total loans | 211 | 211 | |||
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Agriculture [Member] | |||||
Loans [Line Items] | |||||
Total loans | 40 | 40 | 699 | ||
30-89 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 226 | 226 | 629 | ||
30-89 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |||||
Loans [Line Items] | |||||
Total loans | 226 | 226 | 629 | ||
30-89 Days Past Due | Residential Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 2,742 | 2,742 | 701 | ||
30-89 Days Past Due | Residential Portfolio Segment [Member] | Sr lien [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,934 | 1,934 | 446 | ||
30-89 Days Past Due | Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | |||||
Loans [Line Items] | |||||
Total loans | 808 | 808 | 255 | ||
30-89 Days Past Due | Consumer Loan [Member] | |||||
Loans [Line Items] | |||||
Total loans | 74 | 74 | 38 | ||
Greater than 90 Days Past Due | |||||
Loans [Line Items] | |||||
Total loans | 154 | 154 | 95 | ||
Greater than 90 Days Past Due | Commercial Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 140 | 140 | 53 | ||
Greater than 90 Days Past Due | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |||||
Loans [Line Items] | |||||
Total loans | 53 | ||||
Greater than 90 Days Past Due | Commercial Portfolio Segment [Member] | Agriculture [Member] | |||||
Loans [Line Items] | |||||
Total loans | 140 | 140 | |||
Greater than 90 Days Past Due | Residential Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 8 | 8 | |||
Greater than 90 Days Past Due | Residential Portfolio Segment [Member] | Sr lien [Member] | |||||
Loans [Line Items] | |||||
Total loans | 8 | 8 | |||
Greater than 90 Days Past Due | Consumer Loan [Member] | |||||
Loans [Line Items] | |||||
Total loans | 6 | 6 | 42 | ||
Current | |||||
Loans [Line Items] | |||||
Total loans | 7,436,928 | 7,436,928 | 7,200,876 | ||
Current | Commercial Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 4,332,581 | 4,332,581 | 4,238,809 | ||
Current | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,933,065 | 1,933,065 | 2,021,262 | ||
Current | Commercial Portfolio Segment [Member] | Municipal Securities [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,013,272 | 1,013,272 | 959,626 | ||
Current | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,073,508 | 1,073,508 | 906,789 | ||
Current | Commercial Portfolio Segment [Member] | Agriculture [Member] | |||||
Loans [Line Items] | |||||
Total loans | 312,736 | 312,736 | 351,132 | ||
Current | Commercial Real Estate Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,800,296 | 1,800,296 | 1,694,736 | ||
Current | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | |||||
Loans [Line Items] | |||||
Total loans | 327,756 | 327,756 | 341,325 | ||
Current | Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | |||||
Loans [Line Items] | |||||
Total loans | 98,412 | 98,412 | 129,102 | ||
Current | Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | |||||
Loans [Line Items] | |||||
Total loans | 328,534 | 328,534 | 213,677 | ||
Current | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,045,594 | 1,045,594 | 1,010,632 | ||
Current | Residential Portfolio Segment [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,284,817 | 1,284,817 | 1,246,065 | ||
Current | Residential Portfolio Segment [Member] | Sr lien [Member] | |||||
Loans [Line Items] | |||||
Total loans | 1,195,898 | 1,195,898 | 1,149,728 | ||
Current | Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | |||||
Loans [Line Items] | |||||
Total loans | 88,919 | 88,919 | 96,337 | ||
Current | Consumer Loan [Member] | |||||
Loans [Line Items] | |||||
Total loans | $ 19,234 | $ 19,234 | $ 21,266 |
Loans - Carrying Value of Loan
Loans - Carrying Value of Loan Portfolio by Segment and Credit Quality Indicator (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | $ 724,137 | $ 724,137 | $ 1,810,579 | ||
2022/2021 | 1,922,913 | 1,922,913 | 1,530,338 | ||
2021/2020 | 1,445,997 | 1,445,997 | 703,390 | ||
2020/2019 | 626,589 | 626,589 | 524,304 | ||
2019/2018 | 448,312 | 448,312 | 372,950 | ||
Prior | 1,269,454 | 1,269,454 | 1,157,201 | ||
Revolving Loans Amortized Cost Basis | 1,017,515 | 1,017,515 | 1,098,555 | ||
Revolving Loans Converted to Term | 23,521 | 23,521 | 23,152 | ||
Total loans | 7,478,438 | 7,478,438 | 7,220,469 | ||
Gross charge-offs 2023 | 914 | ||||
Gross charge-offs 2022 | 6 | ||||
Gross charge-offs 2021 | 216 | ||||
Gross charge-offs 2020 | 2 | ||||
Gross charge-offs 2019 | 24 | ||||
Gross charge-offs Prior | 56 | ||||
Gross charge-offs, Total loans | 540 | $ 253 | 1,218 | $ 1,338 | |
Commercial and Industrial [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Gross charge-offs 2021 | 215 | ||||
Gross charge-offs 2019 | 24 | ||||
Gross charge-offs Prior | 3 | ||||
Gross charge-offs, Total loans | 242 | ||||
Sr lien [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Gross charge-offs Prior | 46 | ||||
Gross charge-offs, Total loans | 46 | ||||
Commercial Portfolio Segment [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 523,125 | 523,125 | 934,050 | ||
2022/2021 | 927,278 | 927,278 | 828,030 | ||
2021/2020 | 782,387 | 782,387 | 353,346 | ||
2020/2019 | 310,927 | 310,927 | 272,509 | ||
2019/2018 | 221,642 | 221,642 | 272,087 | ||
Prior | 746,231 | 746,231 | 657,955 | ||
Revolving Loans Amortized Cost Basis | 824,155 | 824,155 | 912,926 | ||
Revolving Loans Converted to Term | 13,267 | 13,267 | 20,877 | ||
Total loans | 4,349,012 | 4,349,012 | 4,251,780 | ||
Gross charge-offs 2021 | 215 | ||||
Gross charge-offs 2019 | 24 | ||||
Gross charge-offs Prior | 3 | ||||
Gross charge-offs, Total loans | 239 | 242 | 754 | ||
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 258,705 | 258,705 | 528,280 | ||
2022/2021 | 438,602 | 438,602 | 351,147 | ||
2021/2020 | 315,784 | 315,784 | 131,969 | ||
2020/2019 | 113,239 | 113,239 | 98,090 | ||
2019/2018 | 60,005 | 60,005 | 102,728 | ||
Prior | 122,663 | 122,663 | 102,748 | ||
Revolving Loans Amortized Cost Basis | 618,924 | 618,924 | 691,960 | ||
Revolving Loans Converted to Term | 12,278 | 12,278 | 17,913 | ||
Total loans | 1,940,200 | 1,940,200 | 2,024,835 | ||
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 249,364 | 249,364 | 528,180 | ||
2022/2021 | 423,936 | 423,936 | 351,003 | ||
2021/2020 | 293,175 | 293,175 | 129,453 | ||
2020/2019 | 90,830 | 90,830 | 95,003 | ||
2019/2018 | 58,580 | 58,580 | 101,951 | ||
Prior | 118,061 | 118,061 | 88,038 | ||
Revolving Loans Amortized Cost Basis | 609,476 | 609,476 | 688,398 | ||
Revolving Loans Converted to Term | 12,009 | 12,009 | 17,883 | ||
Total loans | 1,855,431 | 1,855,431 | 1,999,909 | ||
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Special Mention [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 8,741 | 8,741 | 66 | ||
2022/2021 | 14,588 | 14,588 | 137 | ||
2021/2020 | 22,428 | 22,428 | 388 | ||
2020/2019 | 20,749 | 20,749 | 2,887 | ||
2019/2018 | 1,221 | 1,221 | 588 | ||
Prior | 4,209 | 4,209 | 4,440 | ||
Revolving Loans Amortized Cost Basis | 9,448 | 9,448 | 3,512 | ||
Total loans | 81,384 | 81,384 | 12,018 | ||
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 34 | ||||
2022/2021 | 78 | 78 | 7 | ||
2021/2020 | 181 | 181 | 1,882 | ||
2020/2019 | 1,237 | 1,237 | 200 | ||
2019/2018 | 204 | 204 | 189 | ||
Prior | 229 | 229 | 10,270 | ||
Revolving Loans Amortized Cost Basis | 50 | ||||
Revolving Loans Converted to Term | 269 | 269 | 30 | ||
Total loans | 2,198 | 2,198 | 12,662 | ||
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Doubtful [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 600 | 600 | |||
2021/2020 | 246 | ||||
2020/2019 | 423 | 423 | |||
Prior | 164 | 164 | |||
Total loans | 1,187 | 1,187 | 246 | ||
Commercial Portfolio Segment [Member] | Municipal Securities [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 67,861 | 67,861 | 105,630 | ||
2022/2021 | 140,673 | 140,673 | 246,696 | ||
2021/2020 | 248,738 | 248,738 | 89,562 | ||
2020/2019 | 84,518 | 84,518 | 59,066 | ||
2019/2018 | 57,244 | 57,244 | 73,013 | ||
Prior | 387,367 | 387,367 | 383,158 | ||
Revolving Loans Amortized Cost Basis | 26,871 | 26,871 | 2,501 | ||
Total loans | 1,013,272 | 1,013,272 | 959,626 | ||
Commercial Portfolio Segment [Member] | Municipal Securities [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 67,861 | 67,861 | 105,630 | ||
2022/2021 | 140,673 | 140,673 | 246,696 | ||
2021/2020 | 248,738 | 248,738 | 89,562 | ||
2020/2019 | 84,518 | 84,518 | 59,066 | ||
2019/2018 | 57,244 | 57,244 | 73,013 | ||
Prior | 387,367 | 387,367 | 383,158 | ||
Revolving Loans Amortized Cost Basis | 26,871 | 26,871 | 2,501 | ||
Total loans | 1,013,272 | 1,013,272 | 959,626 | ||
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 175,697 | 175,697 | 263,635 | ||
2022/2021 | 298,607 | 298,607 | 204,143 | ||
2021/2020 | 197,404 | 197,404 | 101,707 | ||
2020/2019 | 96,590 | 96,590 | 104,306 | ||
2019/2018 | 93,821 | 93,821 | 73,171 | ||
Prior | 196,381 | 196,381 | 140,320 | ||
Revolving Loans Amortized Cost Basis | 16,044 | 16,044 | 24,930 | ||
Revolving Loans Converted to Term | 836 | 836 | 1,128 | ||
Total loans | 1,075,380 | 1,075,380 | 913,340 | ||
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 175,287 | 175,287 | 263,635 | ||
2022/2021 | 282,771 | 282,771 | 203,628 | ||
2021/2020 | 186,968 | 186,968 | 100,522 | ||
2020/2019 | 95,383 | 95,383 | 92,653 | ||
2019/2018 | 84,877 | 84,877 | 70,447 | ||
Prior | 175,538 | 175,538 | 121,448 | ||
Revolving Loans Amortized Cost Basis | 16,044 | 16,044 | 24,930 | ||
Revolving Loans Converted to Term | 836 | 836 | 894 | ||
Total loans | 1,017,704 | 1,017,704 | 878,157 | ||
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Special Mention [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 410 | 410 | |||
2022/2021 | 15,836 | 15,836 | 515 | ||
2021/2020 | 8,694 | 8,694 | |||
2020/2019 | 6,956 | ||||
2019/2018 | 8,031 | 8,031 | 2,616 | ||
Prior | 19,865 | 19,865 | 17,360 | ||
Total loans | 52,836 | 52,836 | 27,447 | ||
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2021/2020 | 1,742 | 1,742 | 1,185 | ||
2020/2019 | 1,207 | 1,207 | 4,612 | ||
2019/2018 | 913 | 913 | |||
Prior | 321 | 321 | 931 | ||
Revolving Loans Converted to Term | 234 | ||||
Total loans | 4,183 | 4,183 | 6,962 | ||
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Doubtful [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2020/2019 | 85 | ||||
2019/2018 | 108 | ||||
Prior | 657 | 657 | 581 | ||
Total loans | 657 | 657 | 774 | ||
Commercial Portfolio Segment [Member] | Agriculture [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 20,862 | 20,862 | 36,505 | ||
2022/2021 | 49,396 | 49,396 | 26,044 | ||
2021/2020 | 20,461 | 20,461 | 30,108 | ||
2020/2019 | 16,580 | 16,580 | 11,047 | ||
2019/2018 | 10,572 | 10,572 | 23,175 | ||
Prior | 39,820 | 39,820 | 31,729 | ||
Revolving Loans Amortized Cost Basis | 162,316 | 162,316 | 193,535 | ||
Revolving Loans Converted to Term | 153 | 153 | 1,836 | ||
Total loans | 320,160 | 320,160 | 353,979 | ||
Commercial Portfolio Segment [Member] | Agriculture [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 20,862 | 20,862 | 36,505 | ||
2022/2021 | 49,396 | 49,396 | 23,907 | ||
2021/2020 | 19,672 | 19,672 | 25,285 | ||
2020/2019 | 16,352 | 16,352 | 11,035 | ||
2019/2018 | 10,560 | 10,560 | 19,689 | ||
Prior | 35,903 | 35,903 | 31,210 | ||
Revolving Loans Amortized Cost Basis | 155,214 | 155,214 | 191,785 | ||
Revolving Loans Converted to Term | 153 | 153 | 1,663 | ||
Total loans | 308,112 | 308,112 | 341,079 | ||
Commercial Portfolio Segment [Member] | Agriculture [Member] | Special Mention [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2022/2021 | 204 | ||||
2021/2020 | 203 | 203 | 4,573 | ||
2019/2018 | 3,486 | ||||
Prior | 3,746 | 3,746 | 195 | ||
Revolving Loans Amortized Cost Basis | 450 | 450 | 1,750 | ||
Total loans | 4,399 | 4,399 | 10,208 | ||
Commercial Portfolio Segment [Member] | Agriculture [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2022/2021 | 1,747 | ||||
2021/2020 | 586 | 586 | |||
2020/2019 | 12 | ||||
2019/2018 | 12 | 12 | |||
Prior | 171 | 171 | 324 | ||
Revolving Loans Amortized Cost Basis | 3,235 | 3,235 | |||
Revolving Loans Converted to Term | 173 | ||||
Total loans | 4,004 | 4,004 | 2,256 | ||
Commercial Portfolio Segment [Member] | Agriculture [Member] | Doubtful [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2022/2021 | 186 | ||||
2021/2020 | 250 | ||||
2020/2019 | 228 | 228 | |||
Revolving Loans Amortized Cost Basis | 3,417 | 3,417 | |||
Total loans | 3,645 | 3,645 | 436 | ||
Commercial Real Estate Portfolio Segment [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 128,657 | 128,657 | 499,916 | ||
2022/2021 | 566,818 | 566,818 | 367,345 | ||
2021/2020 | 340,071 | 340,071 | 210,421 | ||
2020/2019 | 195,607 | 195,607 | 198,614 | ||
2019/2018 | 178,378 | 178,378 | 68,362 | ||
Prior | 320,563 | 320,563 | 306,215 | ||
Revolving Loans Amortized Cost Basis | 77,059 | 77,059 | 45,177 | ||
Revolving Loans Converted to Term | 6,906 | 6,906 | |||
Total loans | 1,814,059 | 1,814,059 | 1,696,050 | ||
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 18,771 | 18,771 | 106,197 | ||
2022/2021 | 150,694 | 150,694 | 139,012 | ||
2021/2020 | 54,337 | 54,337 | 56,489 | ||
2020/2019 | 58,723 | 58,723 | 14,387 | ||
2019/2018 | 1,015 | 1,015 | |||
Prior | 213 | ||||
Revolving Loans Amortized Cost Basis | 37,310 | 37,310 | 25,027 | ||
Revolving Loans Converted to Term | 6,906 | 6,906 | |||
Total loans | 327,756 | 327,756 | 341,325 | ||
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 18,771 | 18,771 | 106,197 | ||
2022/2021 | 150,694 | 150,694 | 139,012 | ||
2021/2020 | 54,337 | 54,337 | 56,489 | ||
2020/2019 | 58,723 | 58,723 | 14,387 | ||
2019/2018 | 1,015 | 1,015 | |||
Prior | 213 | ||||
Revolving Loans Amortized Cost Basis | 37,310 | 37,310 | 25,027 | ||
Revolving Loans Converted to Term | 6,906 | 6,906 | |||
Total loans | 327,756 | 327,756 | 341,325 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 7,025 | 7,025 | 57,773 | ||
2022/2021 | 45,635 | 45,635 | 33,663 | ||
2021/2020 | 21,087 | 21,087 | 7,810 | ||
2020/2019 | 6,036 | 6,036 | 1,921 | ||
2019/2018 | 641 | 641 | 3,939 | ||
Prior | 9,248 | 9,248 | 16,648 | ||
Revolving Loans Amortized Cost Basis | 8,740 | 8,740 | 7,348 | ||
Total loans | 98,412 | 98,412 | 129,102 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 7,025 | 7,025 | 57,773 | ||
2022/2021 | 45,635 | 45,635 | 33,663 | ||
2021/2020 | 21,087 | 21,087 | 7,810 | ||
2020/2019 | 6,036 | 6,036 | 1,921 | ||
2019/2018 | 641 | 641 | 3,939 | ||
Prior | 9,084 | 9,084 | 16,648 | ||
Revolving Loans Amortized Cost Basis | 8,740 | 8,740 | 7,348 | ||
Total loans | 98,248 | 98,248 | 129,102 | ||
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Prior | 164 | 164 | |||
Total loans | 164 | 164 | |||
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 15,170 | 15,170 | 99,988 | ||
2022/2021 | 113,146 | 113,146 | 22,022 | ||
2021/2020 | 90,973 | 90,973 | 17,658 | ||
2020/2019 | 17,015 | 17,015 | 39,547 | ||
2019/2018 | 39,430 | 39,430 | 17,358 | ||
Prior | 32,111 | 32,111 | 16,009 | ||
Revolving Loans Amortized Cost Basis | 20,689 | 20,689 | 1,095 | ||
Total loans | 328,534 | 328,534 | 213,677 | ||
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 15,170 | 15,170 | 99,988 | ||
2022/2021 | 113,146 | 113,146 | 22,022 | ||
2021/2020 | 90,973 | 90,973 | 17,658 | ||
2020/2019 | 17,015 | 17,015 | 39,547 | ||
2019/2018 | 39,430 | 39,430 | 17,358 | ||
Prior | 32,111 | 32,111 | 16,009 | ||
Revolving Loans Amortized Cost Basis | 20,689 | 20,689 | 1,095 | ||
Total loans | 328,534 | 328,534 | 213,677 | ||
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 87,691 | 87,691 | 235,958 | ||
2022/2021 | 257,343 | 257,343 | 172,648 | ||
2021/2020 | 173,674 | 173,674 | 128,464 | ||
2020/2019 | 113,833 | 113,833 | 142,759 | ||
2019/2018 | 137,292 | 137,292 | 47,065 | ||
Prior | 279,204 | 279,204 | 273,345 | ||
Revolving Loans Amortized Cost Basis | 10,320 | 10,320 | 11,707 | ||
Total loans | 1,059,357 | 1,059,357 | 1,011,946 | ||
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 87,691 | 87,691 | 235,958 | ||
2022/2021 | 257,343 | 257,343 | 172,648 | ||
2021/2020 | 173,674 | 173,674 | 120,871 | ||
2020/2019 | 106,359 | 106,359 | 138,711 | ||
2019/2018 | 133,372 | 133,372 | 42,489 | ||
Prior | 244,826 | 244,826 | 249,461 | ||
Revolving Loans Amortized Cost Basis | 10,320 | 10,320 | 11,707 | ||
Total loans | 1,013,585 | 1,013,585 | 971,845 | ||
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Special Mention [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2021/2020 | 7,313 | ||||
2020/2019 | 7,194 | 7,194 | 4,048 | ||
2019/2018 | 3,920 | 3,920 | 3,947 | ||
Prior | 11,294 | 11,294 | 12,658 | ||
Total loans | 22,408 | 22,408 | 27,966 | ||
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2019/2018 | 629 | ||||
Prior | 22,823 | 22,823 | 7,912 | ||
Total loans | 22,823 | 22,823 | 8,541 | ||
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Doubtful [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2021/2020 | 280 | ||||
2020/2019 | 280 | 280 | |||
Prior | 261 | 261 | 3,314 | ||
Total loans | 541 | 541 | 3,594 | ||
Residential Portfolio Segment [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 66,731 | 66,731 | 368,034 | ||
2022/2021 | 424,944 | 424,944 | 330,147 | ||
2021/2020 | 320,980 | 320,980 | 137,414 | ||
2020/2019 | 118,876 | 118,876 | 52,574 | ||
2019/2018 | 47,963 | 47,963 | 32,219 | ||
Prior | 202,162 | 202,162 | 192,495 | ||
Revolving Loans Amortized Cost Basis | 111,011 | 111,011 | 136,156 | ||
Revolving Loans Converted to Term | 3,324 | 3,324 | 2,242 | ||
Total loans | 1,295,991 | 1,295,991 | 1,251,281 | ||
Gross charge-offs Prior | 46 | ||||
Gross charge-offs, Total loans | 46 | 2 | |||
Residential Portfolio Segment [Member] | Sr lien [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 62,380 | 62,380 | 361,596 | ||
2022/2021 | 419,955 | 419,955 | 324,170 | ||
2021/2020 | 318,683 | 318,683 | 134,315 | ||
2020/2019 | 115,115 | 115,115 | 48,411 | ||
2019/2018 | 45,436 | 45,436 | 30,439 | ||
Prior | 196,497 | 196,497 | 188,129 | ||
Revolving Loans Amortized Cost Basis | 46,803 | 46,803 | 66,792 | ||
Revolving Loans Converted to Term | 633 | 633 | 496 | ||
Total loans | 1,205,502 | 1,205,502 | 1,154,348 | ||
Residential Portfolio Segment [Member] | Sr lien [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 60,807 | 60,807 | 361,405 | ||
2022/2021 | 418,159 | 418,159 | 323,984 | ||
2021/2020 | 318,325 | 318,325 | 133,847 | ||
2020/2019 | 114,668 | 114,668 | 47,557 | ||
2019/2018 | 44,619 | 44,619 | 30,283 | ||
Prior | 192,174 | 192,174 | 184,998 | ||
Revolving Loans Amortized Cost Basis | 46,803 | 46,803 | 66,792 | ||
Revolving Loans Converted to Term | 633 | 633 | 496 | ||
Total loans | 1,196,188 | 1,196,188 | 1,149,362 | ||
Residential Portfolio Segment [Member] | Sr lien [Member] | Special Mention [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Prior | 475 | 475 | 362 | ||
Total loans | 475 | 475 | 362 | ||
Residential Portfolio Segment [Member] | Sr lien [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 1,573 | 1,573 | 191 | ||
2022/2021 | 1,796 | 1,796 | 186 | ||
2021/2020 | 358 | 358 | 468 | ||
2020/2019 | 447 | 447 | 854 | ||
2019/2018 | 817 | 817 | 105 | ||
Prior | 3,808 | 3,808 | 2,769 | ||
Total loans | 8,799 | 8,799 | 4,573 | ||
Residential Portfolio Segment [Member] | Sr lien [Member] | Doubtful [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2019/2018 | 51 | ||||
Prior | 40 | 40 | |||
Total loans | 40 | 40 | 51 | ||
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 4,351 | 4,351 | 6,438 | ||
2022/2021 | 4,989 | 4,989 | 5,977 | ||
2021/2020 | 2,297 | 2,297 | 3,099 | ||
2020/2019 | 3,761 | 3,761 | 4,163 | ||
2019/2018 | 2,527 | 2,527 | 1,780 | ||
Prior | 5,665 | 5,665 | 4,366 | ||
Revolving Loans Amortized Cost Basis | 64,208 | 64,208 | 69,364 | ||
Revolving Loans Converted to Term | 2,691 | 2,691 | 1,746 | ||
Total loans | 90,489 | 90,489 | 96,933 | ||
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 4,351 | 4,351 | 6,429 | ||
2022/2021 | 4,837 | 4,837 | 5,977 | ||
2021/2020 | 1,997 | 1,997 | 3,010 | ||
2020/2019 | 3,301 | 3,301 | 4,163 | ||
2019/2018 | 2,527 | 2,527 | 1,726 | ||
Prior | 5,282 | 5,282 | 3,773 | ||
Revolving Loans Amortized Cost Basis | 64,208 | 64,208 | 69,059 | ||
Revolving Loans Converted to Term | 2,691 | 2,691 | 1,286 | ||
Total loans | 89,194 | 89,194 | 95,423 | ||
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | Special Mention [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Prior | 27 | 27 | 351 | ||
Total loans | 27 | 27 | 351 | ||
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 9 | ||||
2022/2021 | 152 | 152 | |||
2021/2020 | 300 | 300 | 89 | ||
2020/2019 | 460 | 460 | |||
2019/2018 | 54 | ||||
Prior | 356 | 356 | 242 | ||
Revolving Loans Amortized Cost Basis | 305 | ||||
Revolving Loans Converted to Term | 251 | ||||
Total loans | 1,268 | 1,268 | 950 | ||
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | Doubtful [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
Revolving Loans Converted to Term | 209 | ||||
Total loans | 209 | ||||
Consumer Loan [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 5,624 | 5,624 | 8,579 | ||
2022/2021 | 3,873 | 3,873 | 4,816 | ||
2021/2020 | 2,559 | 2,559 | 2,209 | ||
2020/2019 | 1,179 | 1,179 | 607 | ||
2019/2018 | 329 | 329 | 282 | ||
Prior | 498 | 498 | 536 | ||
Revolving Loans Amortized Cost Basis | 5,290 | 5,290 | 4,296 | ||
Revolving Loans Converted to Term | 24 | 24 | 33 | ||
Total loans | 19,376 | 19,376 | 21,358 | ||
Gross charge-offs 2023 | 914 | ||||
Gross charge-offs 2022 | 6 | ||||
Gross charge-offs 2021 | 1 | ||||
Gross charge-offs 2020 | 2 | ||||
Gross charge-offs 2019 | 0 | ||||
Gross charge-offs Prior | 7 | ||||
Gross charge-offs, Total loans | 301 | $ 253 | 930 | $ 582 | |
Consumer Loan [Member] | Pass [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 5,624 | 5,624 | 8,576 | ||
2022/2021 | 3,873 | 3,873 | 4,816 | ||
2021/2020 | 2,557 | 2,557 | 2,209 | ||
2020/2019 | 1,175 | 1,175 | 607 | ||
2019/2018 | 329 | 329 | 282 | ||
Prior | 445 | 445 | 531 | ||
Revolving Loans Amortized Cost Basis | 5,287 | 5,287 | 4,292 | ||
Revolving Loans Converted to Term | 24 | 24 | 33 | ||
Total loans | 19,314 | 19,314 | 21,346 | ||
Consumer Loan [Member] | Substandard [Member] | |||||
Financing Receivable, Credit Quality Indicator [Line Items] | |||||
2023/2022 | 3 | ||||
2021/2020 | 2 | 2 | |||
2020/2019 | 4 | 4 | |||
Prior | 53 | 53 | 5 | ||
Revolving Loans Amortized Cost Basis | 3 | 3 | 4 | ||
Total loans | $ 62 | $ 62 | $ 12 |
Loans - Collateral Dependent Lo
Loans - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | $ 38,980 | $ 26,737 |
Management evaluated loan with amortized cost basis | 250 | |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 13,488 | 14,910 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,600 | 3,660 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,578 | 8,057 |
Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 8,310 | 3,193 |
Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 19,986 | 8,561 |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 19,986 | 8,561 |
Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 5,500 | 3,266 |
Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 5,200 | 2,806 |
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 300 | 460 |
Consumer Loan [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 6 | |
Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 31,709 | 24,427 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 6,386 | 12,600 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,136 | 2,869 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,578 | 6,711 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,672 | 3,020 |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 19,986 | 8,561 |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 19,986 | 8,561 |
Real Estate [Member] | Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 5,337 | 3,266 |
Real Estate [Member] | Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 5,037 | 2,806 |
Real Estate [Member] | Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 300 | 460 |
Equipment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 7,271 | 2,310 |
Equipment [Member] | Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 7,102 | 2,310 |
Equipment [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 464 | 791 |
Equipment [Member] | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,346 | |
Equipment [Member] | Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 6,638 | $ 173 |
Equipment [Member] | Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 163 | |
Equipment [Member] | Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 163 | |
Equipment [Member] | Consumer Loan [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | $ 6 |
Loans - Troubled Debt Restructu
Loans - Troubled Debt Restructuring and Loans Accounted for Under ASC Topic 310-30 Narratives (Details) $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 USD ($) loan | Sep. 30, 2022 USD ($) loan | Dec. 31, 2022 USD ($) loan | |
Debt Instrument [Line Items] | |||
Value of TDMs/TDRs modified within past 12 months | $ | $ 13.5 | ||
TDMs/TDRs that were modified within the past twelve months and had defaulted on their modified terms | loan | 1 | ||
Troubled Debt Restructurings [Member] | |||
Debt Instrument [Line Items] | |||
Number of restructured loans | loan | 10 | ||
Amortized cost basis of restructured loans | $ | $ 1.1 | ||
Value of TDMs/TDRs modified within past 12 months | $ | $ 2.3 | ||
TDMs/TDRs that were modified within the past twelve months and had defaulted on their modified terms | loan | 2 |
Loans - Schedule of Modified Lo
Loans - Schedule of Modified Loans to Borrowers Experiencing Financial Difficulty (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Extended Maturity [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 19,417 |
% of loan class | 0.30% |
Extended Maturity [Member] | Commercial Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
% of loan class | 0% |
Extended Maturity [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
% of loan class | 0% |
Extended Maturity [Member] | Commercial Real Estate Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 18,764 |
% of loan class | 1% |
Extended Maturity [Member] | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 18,764 |
% of loan class | 1.80% |
Extended Maturity [Member] | Residential Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 653 |
% of loan class | 0.10% |
Extended Maturity [Member] | Residential Portfolio Segment [Member] | Sr lien [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 653 |
% of loan class | 0.10% |
Payment Deferral [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 114 |
% of loan class | 0% |
Payment Deferral [Member] | Commercial Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 114 |
% of loan class | 0% |
Payment Deferral [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Amortized cost basis | $ 114 |
% of loan class | 0% |
Payment Deferral [Member] | Commercial Real Estate Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
% of loan class | 0% |
Payment Deferral [Member] | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
% of loan class | 0% |
Payment Deferral [Member] | Residential Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
% of loan class | 0% |
Payment Deferral [Member] | Residential Portfolio Segment [Member] | Sr lien [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
% of loan class | 0% |
Loans - Schedule of Payment Sta
Loans - Schedule of Payment Status of Financing Receivable Modified Past 12 Months (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
TDR's modified within the past year that defaulted on their restructured terms | loan | 1 |
Value of TDMs/TDRs modified within past 12 months | $ 13,500 |
Current | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 6,059 |
Current | Commercial Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 114 |
Current | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 114 |
Current | Commercial Real Estate Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 5,292 |
Current | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 5,292 |
Current | Residential Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 653 |
Current | Residential Portfolio Segment [Member] | Sr lien [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 653 |
Non-accrual | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 13,472 |
Non-accrual | Commercial Real Estate Portfolio Segment [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | 13,472 |
Non-accrual | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Total loans | $ 13,472 |
Loans - Schedule of Financial E
Loans - Schedule of Financial Effect of Loan Restructuring Modifications (Details) | 9 Months Ended |
Sep. 30, 2023 | |
Extended Maturity [Member] | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Term extension | 3 months 18 days |
Extended Maturity [Member] | Residential Portfolio Segment [Member] | Sr lien [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Term extension | 30 years |
Payment Deferral [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Payment delay | 2 months 12 days |
Contractual Interest Rate Reduction [Member] | Residential Portfolio Segment [Member] | Sr lien [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Combination - Interest Rate Reduction and Term Extension | 2.50% |
Loans - Additional Information
Loans - Additional Information Related to Accruing TDR's (Details) - Accruing TDR [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Loans [Line Items] | |
Amortized Cost Basis | $ 4,654 |
Average year-to-date amortized cost basis | 4,949 |
Unpaid principal balance | 4,813 |
Unfunded commitments to fund TDRs | 150 |
Commercial Portfolio Segment [Member] | |
Loans [Line Items] | |
Amortized Cost Basis | 2,160 |
Average year-to-date amortized cost basis | 2,348 |
Unpaid principal balance | 2,150 |
Unfunded commitments to fund TDRs | 150 |
Commercial Real Estate Portfolio Segment [Member] | |
Loans [Line Items] | |
Amortized Cost Basis | 685 |
Average year-to-date amortized cost basis | 734 |
Unpaid principal balance | 699 |
Residential Portfolio Segment [Member] | |
Loans [Line Items] | |
Amortized Cost Basis | 1,809 |
Average year-to-date amortized cost basis | 1,867 |
Unpaid principal balance | $ 1,964 |
Loans - Summary of Company's Ca
Loans - Summary of Company's Carrying Value of Non-Accrual TDR's (Details) - Non-Accruing TDR [Member] $ in Thousands | Dec. 31, 2022 USD ($) |
Loans [Line Items] | |
Carrying Value of Non - Accruing TDR's | $ 2,478 |
Commercial Portfolio Segment [Member] | |
Loans [Line Items] | |
Carrying Value of Non - Accruing TDR's | 356 |
Commercial Real Estate Portfolio Segment [Member] | |
Loans [Line Items] | |
Carrying Value of Non - Accruing TDR's | 81 |
Residential Portfolio Segment [Member] | |
Loans [Line Items] | |
Carrying Value of Non - Accruing TDR's | $ 2,041 |
Allowance for Credit Losses - S
Allowance for Credit Losses - Summary of Company's Allowance for Loan Losses ("All") and Recorded Investment in Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | $ 92,581 | $ 50,860 | $ 89,553 | $ 49,694 |
Day 1 CECL provision expense | 5,201 | 5,201 | ||
Purchase credit deteriorated ("PCD") allowance for credit loss at acquisition | 2,474 | 2,474 | ||
Charge-offs | (540) | (253) | (1,218) | (1,338) |
Recoveries | 280 | 66 | 386 | 256 |
Provision expense (release) for credit losses | 1,125 | 7,275 | 4,725 | 9,336 |
Ending balance | 93,446 | 65,623 | 93,446 | 65,623 |
Commercial Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 42,058 | 32,011 | 37,608 | 31,256 |
Day 1 CECL provision expense | 2,261 | 2,261 | ||
Purchase credit deteriorated ("PCD") allowance for credit loss at acquisition | 2,257 | 2,257 | ||
Charge-offs | (239) | (242) | (754) | |
Recoveries | 241 | 40 | 286 | 115 |
Provision expense (release) for credit losses | 3,231 | 1,651 | 7,639 | 3,085 |
Ending balance | 45,291 | 38,220 | 45,291 | 38,220 |
Commercial Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 30,768 | 8,426 | 32,050 | 10,033 |
Day 1 CECL provision expense | 2,327 | 2,327 | ||
Purchase credit deteriorated ("PCD") allowance for credit loss at acquisition | 2 | 2 | ||
Recoveries | 1 | 3 | 21 | |
Provision expense (release) for credit losses | (2,301) | 3,419 | (3,585) | 1,791 |
Ending balance | 28,468 | 14,174 | 28,468 | 14,174 |
Residential Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 19,331 | 10,072 | 19,306 | 8,056 |
Day 1 CECL provision expense | 596 | 596 | ||
Purchase credit deteriorated ("PCD") allowance for credit loss at acquisition | 215 | 215 | ||
Charge-offs | (46) | (2) | ||
Recoveries | 7 | 3 | 19 | 49 |
Provision expense (release) for credit losses | (47) | 1,988 | 12 | 3,960 |
Ending balance | 19,291 | 12,874 | 19,291 | 12,874 |
Consumer Loan [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 424 | 351 | 589 | 349 |
Day 1 CECL provision expense | 17 | 17 | ||
Charge-offs | (301) | (253) | (930) | (582) |
Recoveries | 31 | 23 | 78 | 71 |
Provision expense (release) for credit losses | 242 | 217 | 659 | 500 |
Ending balance | $ 396 | $ 355 | $ 396 | $ 355 |
Allowance for Credit Losses - N
Allowance for Credit Losses - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Allowance for Credit Losses | |||||
Charge-offs, net | $ 0.3 | $ 0.2 | $ 0.8 | $ 1.1 | |
Increase in allowance for credit losses | 1.1 | $ 15 | 4.7 | $ 17 | |
Accrued interest receivable | $ 41.7 | $ 41.7 | $ 31.8 |
Other Real Estate Owned - Summa
Other Real Estate Owned - Summary of Activity in OREO Balances (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Real Estate [Roll Forward] | ||||
Beginning balance | $ 3,731 | $ 7,005 | ||
Transfers from loan portfolio, at fair value | 58 | |||
Impairments | (55) | (452) | ||
Sales | $ 0 | $ (1,100) | (260) | (2,916) |
Ending balance | $ 3,416 | $ 3,695 | $ 3,416 | $ 3,695 |
Other Real Estate Owned - Narra
Other Real Estate Owned - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Real Estate Owned | ||||
OREO sales | $ 0 | $ 1,100 | $ 260 | $ 2,916 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Narrative (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Apr. 03, 2023 USD ($) | Sep. 30, 2023 USD ($) item | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) item | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | Sep. 01, 2022 | |
Goodwill and Intangible Assets | |||||||
Goodwill acquired | $ 306,043,000 | $ 306,043,000 | $ 279,132,000 | ||||
Goodwill Impairment | $ 0 | 0 | |||||
Amortization period for acquired intangible assets | 9 years 9 months 18 days | ||||||
Mortgage loans serviced | $ 500,000,000 | $ 1,000,000,000 | |||||
Mortgage service fees | 600,000 | $ 700,000 | 1,900,000 | 1,800,000 | |||
Loans | 7,384,992,000 | 7,384,992,000 | $ 7,130,916,000 | ||||
Amortization expense | $ 2,008,000 | 383,000 | $ 5,378,000 | 975,000 | |||
Cambr Solutions, LLC ("Cambr") | |||||||
Goodwill and Intangible Assets | |||||||
Goodwill acquired | $ 26,911,000 | ||||||
Acquired through acquisition | 18,000,000 | ||||||
Core deposit intangible | |||||||
Goodwill and Intangible Assets | |||||||
Amortization period | 10 years | 10 years | 10 years | ||||
Core deposit intangible | Cambr Solutions, LLC ("Cambr") | |||||||
Goodwill and Intangible Assets | |||||||
Acquired through acquisition | 1,700,000,000 | ||||||
Other intangible assets | |||||||
Goodwill and Intangible Assets | |||||||
Amortization expense | $ 2,000,000 | $ 400,000 | $ 5,400,000 | 1,000,000 | |||
Other intangible assets | Cambr Solutions, LLC ("Cambr") | |||||||
Goodwill and Intangible Assets | |||||||
Acquired through acquisition | $ 18,000,000 | ||||||
Amortization period for acquired intangible assets | 9 years 4 months 24 days | ||||||
MSRs | |||||||
Goodwill and Intangible Assets | |||||||
Amortization expense | $ 675,000 | $ 713,000 | |||||
MSRs | Discount Rate | Minimum | |||||||
Goodwill and Intangible Assets | |||||||
Servicing assets measurement input (as a percent) | 0.100 | 0.095 | 0.100 | 0.095 | |||
MSRs | Discount Rate | Maximum | |||||||
Goodwill and Intangible Assets | |||||||
Servicing assets measurement input (as a percent) | item | 0.105 | 0.105 | |||||
MSRs | Constant Prepayment Speed | Minimum | |||||||
Goodwill and Intangible Assets | |||||||
Servicing assets measurement input (as a percent) | 0.060 | 0.076 | 0.060 | 0.076 | |||
MSRs | Constant Prepayment Speed | Maximum | |||||||
Goodwill and Intangible Assets | |||||||
Servicing assets measurement input (as a percent) | 0.106 | 0.078 | 0.106 | 0.078 | |||
Small Business Administration ("SBA") servicing rights | |||||||
Goodwill and Intangible Assets | |||||||
Fee income | $ 100,000 | $ 700,000 | |||||
Loans | $ 108,200,000 | 108,200,000 | |||||
Amortization expense | $ 104,000 | ||||||
Small Business Administration ("SBA") servicing rights | Discount Rate | |||||||
Goodwill and Intangible Assets | |||||||
Servicing assets measurement input (as a percent) | 0.1374 | 0.1374 | |||||
Small Business Administration ("SBA") servicing rights | Constant Prepayment Speed | |||||||
Goodwill and Intangible Assets | |||||||
Servicing assets measurement input (as a percent) | 0.1408 | 0.1408 | |||||
Customer relationship intangible | |||||||
Goodwill and Intangible Assets | |||||||
Amortization period | 10 years | 10 years | |||||
Internally developed technology | |||||||
Goodwill and Intangible Assets | |||||||
Amortization period | 5 years | 5 years |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Carrying Amounts (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Carrying amount of intangible assets | ||
Gross carrying amount | $ 110,866 | $ 92,866 |
Accumulated amortization | (50,184) | (44,807) |
Net carrying amount | 60,682 | 48,059 |
Core deposit intangible | ||
Carrying amount of intangible assets | ||
Gross carrying amount | 91,566 | 91,566 |
Accumulated amortization | (48,765) | (44,775) |
Net carrying amount | 42,801 | 46,791 |
Customer relationship intangible | ||
Carrying amount of intangible assets | ||
Gross carrying amount | 17,000 | 1,300 |
Accumulated amortization | (1,266) | (32) |
Net carrying amount | 15,734 | $ 1,268 |
Internally developed technology | ||
Carrying amount of intangible assets | ||
Gross carrying amount | 2,300 | |
Accumulated amortization | (153) | |
Net carrying amount | $ 2,147 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Summary of Estimated Future Amortization Expense (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Other intangible assets | |
Estimated future amortization expense | |
For the three months ending December 31, 2023 | $ 1,969 |
For the year ending December 31, 2024 | 7,908 |
For the year ending December 31, 2025 | 7,786 |
For the year ending December 31, 2026 | 7,664 |
For the year ending December 31, 2027 | 7,542 |
MSRs | |
Estimated future amortization expense | |
For the three months ending December 31, 2023 | 133 |
For the year ending December 31, 2024 | 517 |
For the year ending December 31, 2025 | 461 |
For the year ending December 31, 2026 | 411 |
For the year ending December 31, 2027 | $ 366 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Changes in Servicing Rights (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Changes in the mortgage servicing rights | ||||
Beginning balance | $ 48,059 | |||
Amortization | $ (2,008) | $ (383) | (5,378) | $ (975) |
Ending balance | 60,682 | 60,682 | ||
Sale of Mortgage Servicing Rights | ||||
Gain on sale of mortgage servicing rights | 1,052 | |||
MSRs | ||||
Changes in the mortgage servicing rights | ||||
Beginning balance | 9,162 | 5,957 | ||
Originations | 993 | 3,895 | ||
Sales | (4,664) | |||
Recovery (impairment) | $ 66 | $ (6) | ||
Impairment, Intangible Asset, Finite-Lived, Statement of Income or Comprehensive Income [Extensible Enumeration] | Gain (Loss) on Sale of Mortgage Loans | Gain (Loss) on Sale of Mortgage Loans | ||
Amortization | $ (675) | $ (713) | ||
Ending balance | 4,882 | 9,133 | 4,882 | 9,133 |
Fair value | 7,514 | $ 13,782 | 7,514 | $ 13,782 |
Sale of Mortgage Servicing Rights | ||||
Unpaid principal balances from mortgage servicing rights portfolio | 486,700,000 | 486,700,000 | ||
Decrease in mortgage servicing right intangible | 4,700 | |||
Gain on sale of mortgage servicing rights | 1,100 | |||
SBA Servicing Rights | ||||
Changes in the mortgage servicing rights | ||||
Beginning balance | 2,666 | |||
Originations | 325 | |||
Recovery (impairment) | 153 | |||
Disposals | (321) | |||
Amortization | (104) | |||
Ending balance | 2,719 | 2,719 | ||
Fair value | $ 2,719 | $ 2,719 |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | Oct. 01, 2022 USD ($) item | |
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Amount of repurchase agreements | $ 20,300 | $ 20,300 | $ 20,200 | |||
Fair Value | 620,445 | 620,445 | 706,289 | |||
Remaining balance on the note | 54,123 | 54,123 | 53,890 | |||
Debt issuance costs | 300 | 300 | ||||
Federal home loan bank, advances, general debt obligations, maximum amount available | 1,700,000 | 1,700,000 | ||||
Loans receivable | 7,384,992 | 7,384,992 | 7,130,916 | |||
Interest expense related to FHLB advances | 4,400 | $ 0 | 17,100 | $ 0 | ||
Bank of Jackson Hole | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Number of subordinated note purchase agreements assumed | item | 3 | |||||
Asset Pledged as Collateral | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Fair Value | 0 | 0 | 0 | |||
Asset Pledged as Collateral | Securities Sold under Agreements to Repurchase [Member] | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Fair Value | $ 29,900 | $ 29,900 | $ 32,000 | |||
Financing Receivable, Pledging Purpose [Extensible Enumeration] | Noninterest-bearing Deposit Liabilities | Noninterest-bearing Deposit Liabilities | Noninterest-bearing Deposit Liabilities | |||
Excess collateral pledged | $ 9,600 | $ 9,600 | $ 11,800 | |||
Asset Pledged as Collateral | Federal Home Loan Bank Advances [Member] | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Fair Value | $ 0 | $ 0 | 0 | |||
Financing Receivable, Pledging Purpose [Extensible Enumeration] | Noninterest-bearing Deposit Liabilities | Noninterest-bearing Deposit Liabilities | ||||
Loans receivable | $ 2,500,000 | $ 2,500,000 | 2,000,000 | |||
Fixed-To-Floating Rate Note, Maturing November 2031 | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Subordinated note | 40,000 | 40,000 | ||||
Remaining balance on the note | 39,700 | 39,700 | ||||
Fixed-To-Floating Rate Note, Maturing November 2031 | Other liabilities | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Interest expense | 300 | 900 | ||||
Fixed-To-Floating Rate Note, Maturing June 2031 | Bank of Jackson Hole | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Subordinated note | $ 15,000 | |||||
Fair value adjustment from the acquisition | 500 | 500 | ||||
Remaining balance on the note | 14,500 | 14,500 | ||||
Fixed-To-Floating Rate Note, Maturing June 2031 | Other liabilities | Bank of Jackson Hole | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Interest expense | 100 | 400 | ||||
Line of credit [Member] | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
FHLB advances | $ 316,800 | $ 316,800 | $ 385,000 | |||
Subordinated Debt [Member] | Fixed-To-Floating Rate Note, Maturing November 2031 | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Interest rate (as a percent) | 3% | |||||
Variable rate basis (as a percent) | 203% | |||||
Redemption price as a percent of principal | 100% | |||||
Subordinated Debt [Member] | Fixed-To-Floating Rate Note, Maturing June 2031 | Bank of Jackson Hole | ||||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||||
Interest rate (as a percent) | 3.75% | |||||
Variable rate basis (as a percent) | 306% | |||||
Redemption price as a percent of principal | 100% |
Regulatory Capital - Capital Ra
Regulatory Capital - Capital Ratio Requirements under Prompt Corrective Action or Other Regulatory Requirements (Details) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital conservation buffer | 2.50% | 2.50% |
Consolidated | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Leverage Ratio | 0.096 | 0.093 |
Common equity risk-based ratio | 0.116 | 0.105 |
Risk-based capital Ratio | 0.116 | 0.105 |
Total risk-based capital Ratio | 0.135 | 0.122 |
Leverage Amount | $ 913,466 | $ 857,403 |
Common equity risk-based amount | 913,466 | 857,403 |
Risk-based capital amount | 913,466 | 857,403 |
Total risk-based capital Amount | $ 1,060,695 | $ 1,000,398 |
Required to be considered adequately capitalized Ratio, leverage ratio | 0.040 | 0.040 |
Required to be considered well capitalized Ratio, risk-based capital ratio | 0.070 | |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 0.070 | |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 0.085 | 0.085 |
Required to be considered adequately capitalized Ratio, Total risk-based capital ratio | 0.105 | 0.105 |
Required to be considered adequately capitalized leverage Amount | $ 382,103 | $ 369,335 |
Required to be considered adequately capitalized common equity capital amount | 550,588 | 574,339 |
Required to be considered adequately capitalized risk-based capital Amount | 668,571 | 697,412 |
Required to be considered adequately capitalized Total risk-based capital Amount | $ 825,882 | $ 861,509 |
NBH Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Leverage Ratio | 0.089 | 0.086 |
Common equity risk-based ratio | 0.108 | 0.097 |
Risk-based capital Ratio | 0.108 | 0.097 |
Total risk-based capital Ratio | 0.120 | 0.108 |
Leverage Amount | $ 843,039 | $ 788,462 |
Common equity risk-based amount | 843,039 | 788,462 |
Risk-based capital amount | 843,039 | 788,462 |
Total risk-based capital Amount | $ 935,269 | $ 876,458 |
Required to be considered well capitalized Ratio, leverage ratio | 0.050 | 0.050 |
Required to be considered well capitalized Ratio, risk-based common equity capital ratio | 0.065 | 0.065 |
Required to be considered well capitalized Ratio, risk-based capital ratio | 0.080 | 0.080 |
Required to be considered well capitalized Ratio, Total risk-based capital ratio | 0.100 | 0.100 |
Required to be considered well capitalized leverage Amount | $ 475,757 | $ 458,593 |
Required to be considered well capitalized common equity capital amount | 508,881 | 528,334 |
Required to be considered well capitalized risk-based capital Amount | 626,315 | 650,257 |
Required to be considered well capitalized Total risk-based capital Amount | $ 782,894 | $ 812,821 |
Required to be considered adequately capitalized Ratio, leverage ratio | 0.040 | 0.040 |
Required to be considered well capitalized Ratio, risk-based capital ratio | 0.070 | |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 0.070 | |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 0.085 | 0.085 |
Required to be considered adequately capitalized Ratio, Total risk-based capital ratio | 0.105 | 0.105 |
Required to be considered adequately capitalized leverage Amount | $ 380,606 | $ 366,874 |
Required to be considered adequately capitalized common equity capital amount | 548,026 | 568,975 |
Required to be considered adequately capitalized risk-based capital Amount | 665,460 | 690,898 |
Required to be considered adequately capitalized Total risk-based capital Amount | $ 822,039 | $ 853,462 |
Bank of Jackson Hole | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Leverage Ratio | 0.299 | 0.310 |
Common equity risk-based ratio | 0.720 | 0.716 |
Risk-based capital Ratio | 0.720 | 0.716 |
Total risk-based capital Ratio | 0.720 | 0.716 |
Leverage Amount | $ 11,453 | $ 11,238 |
Common equity risk-based amount | 11,453 | 11,238 |
Risk-based capital amount | 11,453 | 11,238 |
Total risk-based capital Amount | $ 11,453 | $ 11,238 |
Required to be considered well capitalized Ratio, leverage ratio | 0.050 | 0.050 |
Required to be considered well capitalized Ratio, risk-based common equity capital ratio | 0.065 | 0.065 |
Required to be considered well capitalized Ratio, risk-based capital ratio | 0.080 | 0.080 |
Required to be considered well capitalized Ratio, Total risk-based capital ratio | 0.100 | 0.100 |
Required to be considered well capitalized leverage Amount | $ 1,918 | $ 1,373 |
Required to be considered well capitalized common equity capital amount | 1,034 | 1,020 |
Required to be considered well capitalized risk-based capital Amount | 1,273 | 1,255 |
Required to be considered well capitalized Total risk-based capital Amount | $ 1,591 | $ 1,569 |
Required to be considered adequately capitalized Ratio, leverage ratio | 0.040 | 0.040 |
Required to be considered well capitalized Ratio, risk-based capital ratio | 0.070 | |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 0.070 | |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 0.085 | 0.085 |
Required to be considered adequately capitalized Ratio, Total risk-based capital ratio | 0.105 | 0.105 |
Required to be considered adequately capitalized leverage Amount | $ 1,534 | $ 1,099 |
Required to be considered adequately capitalized common equity capital amount | 1,113 | 1,098 |
Required to be considered adequately capitalized risk-based capital Amount | 1,352 | 1,333 |
Required to be considered adequately capitalized Total risk-based capital Amount | $ 1,670 | $ 1,647 |
Revenue from Contracts with C_3
Revenue from Contracts with Clients - Non-interest income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Revenue from Contracts with Clients | ||||
Non-interest income (in-scope of Topic 606) | $ 12,979 | $ 9,548 | $ 36,463 | $ 26,789 |
Non-interest income (out-of-scope of Topic 606) | 6,386 | 7,810 | 11,390 | 26,385 |
Total non-interest income | 19,365 | 17,358 | 47,853 | 53,174 |
(Loss) gain on OREO sales, net | 378 | (11) | 648 | |
Total Revenue | 12,979 | 9,926 | 36,452 | 27,437 |
Service charges and other fees | ||||
Revenue from Contracts with Clients | ||||
Non-interest income (in-scope of Topic 606) | 6,819 | 4,867 | 18,356 | 13,444 |
Bank card fees | ||||
Revenue from Contracts with Clients | ||||
Non-interest income (in-scope of Topic 606) | 4,993 | $ 4,681 | 14,721 | $ 13,345 |
Trust and wealth management fees | ||||
Revenue from Contracts with Clients | ||||
Non-interest income (in-scope of Topic 606) | $ 1,167 | $ 3,386 |
Stock-based Compensation and _3
Stock-based Compensation and Benefits - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Contractual term (in years) | 10 years | |||
Stock based compensation expense | $ 100,000 | $ 100,000 | $ 800,000 | $ 600,000 |
Unrecognized compensation expense | 600,000 | $ 600,000 | ||
Unrecognized compensation cost, weighted-average period, years | 2 years 2 months 12 days | |||
Employee Stock Option [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award Vesting Rights, Percentage | 33.30% | |||
Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | 1,200,000 | 900,000 | $ 3,200,000 | 2,500,000 |
Unrecognized compensation expense | 5,600,000 | $ 5,600,000 | ||
Unrecognized compensation cost, weighted-average period, years | 2 years 2 months 12 days | |||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | 400,000 | $ 400,000 | $ 1,300,000 | $ 1,200,000 |
Unrecognized compensation expense | $ 3,400,000 | $ 3,400,000 | ||
Unrecognized compensation cost, weighted-average period, years | 1 year 10 months 24 days | |||
Performance period | 3 years | |||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | EPS target | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of awards based on performance type | 60% | |||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | TSR target | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of awards based on performance type | 40% | |||
Employee Stock [Member] | Employee Stock Purchase Plan 2014 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum stock purchases by employees, value | $ 25,000 | |||
Maximum stock purchases by employees (in shares) | 2,000 | |||
Discount on purchase of common stock (as a percent) | 90% | |||
Offering period for employee stock purchases | 6 months | |||
Number of shares authorized | 400,000 | 400,000 | ||
Shares available for issuance | 235,919 | 235,919 | ||
Employees purchased shares (in shares) | 26,563 | 19,414 | ||
Minimum [Member] | Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Minimum [Member] | Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Minimum [Member] | Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of initial target awards | 0% | |||
Maximum [Member] | Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 4 years | |||
Maximum [Member] | Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Maximum [Member] | Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of initial target awards | 150% |
Stock-based Compensation and _4
Stock-based Compensation and Benefits - Summary of Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding Options, beginning | 717,088 | |
Granted, Options | 107,530 | |
Exercised, Options | (8,683) | |
Forfeited, Options | (4,690) | |
Outstanding Options, ending | 811,245 | 717,088 |
Options exercisable at end of period, Options | 623,666 | |
Options vested and expected to vest, Options | 791,825 | |
Outstanding, Weighted average exercise price, beginning | $ 29.79 | |
Granted, Weighted average exercise price | 33.46 | |
Exercised, Weighted average exercise price | 20.36 | |
Forfeited, Weighted average exercise price | 35.57 | |
Outstanding, Weighted average exercised price, ending | 30.34 | $ 29.79 |
Options exercisable at end of period, Weighted average exercise price | 28.41 | |
Options vested and expected to vest, Weighted average exercise price | $ 30.20 | |
Outstanding, Weighted average remaining contractual term in years | 5 years 8 months 23 days | 5 years 11 months 23 days |
Options exercisable at end of period, weighted average remaining contractual term in years | 4 years 9 months 3 days | |
Options vested and expected to vest, Weighted average remaining contractual term in years | 5 years 7 months 24 days | |
Outstanding, Aggregate intrinsic value, beginning | $ 8,850 | |
Outstanding, Aggregate intrinsic value, ending | 2,571 | $ 8,850 |
Aggregate intrinsic Value of Options exercisable at end of period | 2,569 | |
Options vested and expected to vest, Aggregate Intrinsic Value | $ 2,571 |
Stock-based Compensation and _5
Stock-based Compensation and Benefits - Summary of Restricted Stock Activity (Details) | 9 Months Ended |
Sep. 30, 2023 USD ($) $ / shares shares | |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Unvested Restricted shares, Beginning (in shares) | shares | 165,137 |
Unvested Restricted shares, Granted (in shares) | shares | 184,227 |
Unvested Restricted shares, Vested (in shares) | shares | (79,014) |
Unvested Restricted shares, Forfeited (in shares) | shares | (7,275) |
Unvested Restricted shares, Ending (in shares) | shares | 263,075 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Beginning (in dollars per share) | $ 38.28 |
Weighted average grant-date fair value, Granted (in dollars per share) | 31.15 |
Weighted average grant-date fair value, Vested (in dollars per share) | 35.08 |
Weighted average grant-date fair value, Forfeited (in dollars per share) | 35.63 |
Weighted average grant-date fair value, Ending (in dollars per share) | $ 34.32 |
Performance stock units | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Unvested Restricted shares, Beginning (in shares) | shares | 155,857 |
Unvested Restricted shares, Granted (in shares) | shares | 79,215 |
Unvested Restricted shares, Net adjustment due to performance (in shares) | shares | 18,664 |
Unvested Restricted shares, Vested (in shares) | shares | (74,142) |
Unvested Restricted shares, Forfeited (in shares) | shares | (6,995) |
Unvested Restricted shares, Ending (in shares) | shares | 172,599 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Beginning (in dollars per share) | $ 33.81 |
Weighted average grant-date fair value, Granted (in dollars per share) | 30.57 |
Weighted average grant-date fair value, Net adjustment due to performance (in dollars per share) | 25.94 |
Weighted average grant-date fair value, Vested (in dollars per share) | 26.55 |
Weighted average grant-date fair value, Forfeited (in dollars per share) | 35.05 |
Weighted average grant-date fair value, Ending (in dollars per share) | 34.54 |
EPS | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Granted (in dollars per share) | 33.46 |
TSR | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Weighted average grant-date fair value, Granted (in dollars per share) | $ 27.06 |
Weighted average beginning measurement period price | $ | $ 42.37 |
Common Stock - Narrative (Detai
Common Stock - Narrative (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | May 09, 2023 | |
Schedule Of Common Stock [Line Items] | |||
Shares outstanding | 37,739,776 | 37,608,519 | |
February 2021 Board Authorized Share Purchase Program | |||
Schedule Of Common Stock [Line Items] | |||
Remaining authorized amount | $ 50 | ||
February 2021 Board Authorized Share Purchase Program | Maximum [Member] | |||
Schedule Of Common Stock [Line Items] | |||
Stock repurchase program, authorized amount | $ 50 | ||
Common Class A [Member] | |||
Schedule Of Common Stock [Line Items] | |||
Shares outstanding | 37,739,776 | 37,608,519 | |
Restricted issued but not yet vested, shares | 263,075 | 165,137 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - $ / shares | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Outstanding stock options to purchase common stock | 811,245 | 730,502 | 717,088 |
Outstanding stock options to purchase common stock, per share | $ 30.34 | $ 29.56 | $ 29.79 |
Restricted shares outstanding | 435,674 | 325,202 | |
Common Class A [Member] | |||
Shares outstanding | 37,739,776 | 33,189,253 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Computation of Basic and Diluted Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Earnings Per Share | ||||
Net Income (Loss) | $ 36,087 | $ 15,839 | $ 108,927 | $ 54,553 |
Less: income allocated to participating securities | (68) | (39) | (179) | (111) |
Income allocated to common shareholders | $ 36,019 | $ 15,800 | $ 108,748 | $ 54,442 |
Weighted average shares outstanding for basic earnings per common share | 37,990,659 | 31,259,188 | 37,911,896 | 30,539,266 |
Dilutive effect of equity awards | 143,679 | 271,887 | 182,014 | 295,364 |
Weighted average shares outstanding for diluted earnings per common share | 38,134,338 | 31,531,075 | 38,093,910 | 30,834,630 |
Basic earnings per share (in dollars per share) | $ 0.95 | $ 0.51 | $ 2.87 | $ 1.78 |
Diluted earnings per share (in dollars per share) | $ 0.94 | $ 0.50 | $ 2.85 | $ 1.77 |
Derivatives - FV of Derivatives
Derivatives - FV of Derivatives on the Balance Sheet (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | $ 41,612 | $ 34,164 |
Liability derivatives fair value | 2,464 | 1,929 |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 11,407 | 11,064 |
Liability derivatives fair value | 13,528 | 10,938 |
Other assets [Member] | Interest rate products [Member] | Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 41,612 | 34,164 |
Other assets [Member] | Interest rate products [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 10,972 | 10,657 |
Other assets [Member] | Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 252 | 197 |
Other assets [Member] | Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 183 | 210 |
Other liabilities | Interest rate products [Member] | Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 2,464 | 1,929 |
Other liabilities | Interest rate products [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 13,471 | 10,660 |
Other liabilities | Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 55 | 174 |
Other liabilities | Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | $ 2 | $ 104 |
Derivatives - Narrative (Detail
Derivatives - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Derivative [Line Items] | |||||
Termination value of derivatives in net liability position | $ 0 | $ 0 | |||
Interest Rate Lock Commitments Notional Amount Member | |||||
Derivative [Line Items] | |||||
Notional amount | 27.9 | 27.9 | $ 35.5 | ||
Forward Contract Notional Member | |||||
Derivative [Line Items] | |||||
Notional amount | 34.9 | 34.9 | 45 | ||
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 436 | 436 | 383 | ||
Derivative fee income from non-designated hedges | 0.4 | $ 0.3 | 0.7 | $ 0.5 | |
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | |||||
Derivative [Line Items] | |||||
Hedged Loans | 462.5 | 482.7 | |||
Cumulative fair value hedge adjustment | (8.4) | 29.7 | |||
Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 337.4 | 337.4 | 340.1 | ||
Cumulative fair value hedge adjustment | 42.5 | $ 33.4 | |||
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | $ 200 | 200 | |||
Reclassification of accumulated other comprehensive income during the next 12 months | $ 2 |
Derivatives - Derivatives on th
Derivatives - Derivatives on the Income Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Not Designated as Hedging Instrument [Member] | ||||
Derivative [Line Items] | ||||
Amount of (loss) gain recognized in income on derivatives | $ 46 | $ 292 | $ 115 | $ (680) |
Interest rate products [Member] | Not Designated as Hedging Instrument [Member] | Other Non-Interest income [Member] | ||||
Derivative [Line Items] | ||||
Amount of (loss) gain recognized in income on derivatives | (33) | 49 | (32) | 5 |
Interest rate products [Member] | Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Interest income [Member] | ||||
Derivative [Line Items] | ||||
Amount of (loss) gain recognized in income on derivatives | 13,005 | 13,893 | 16,855 | 44,183 |
Amount of gain (loss) recognized in income on hedged items | (10,255) | (14,589) | (9,940) | (47,601) |
Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | Mortgage banking income [Member] | ||||
Derivative [Line Items] | ||||
Amount of (loss) gain recognized in income on derivatives | 49 | 2,179 | 74 | 2,095 |
Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument [Member] | Mortgage banking income [Member] | ||||
Derivative [Line Items] | ||||
Amount of (loss) gain recognized in income on derivatives | $ 30 | $ (1,936) | $ 73 | $ (2,780) |
Derivatives - Effect of fair va
Derivatives - Effect of fair value cash flow hedge accounting on AOCI (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Loss recognized in OCI on derivatives | $ (550) | $ (1,795) | $ (2,032) | $ (1,795) |
Gain (loss) reclassified from AOCI into income | (68) | $ (10) | (794) | (10) |
Interest rate products [Member] | Cash Flow Hedging [Member] | Interest income [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Loss recognized in OCI on derivatives | (1,122) | (2,773) | (2,355) | |
Loss recognized in OCI included component | (818) | (2,254) | (1,827) | |
Loss recognized in OCI excluded component | (304) | (519) | (528) | |
Gain (loss) reclassified from AOCI into income | (493) | (1,158) | (14) | |
Loss reclassified from AOCI into income included component | (374) | (821) | ||
Gain (loss) reclassified from AOCI into income excluded component | $ (119) | $ (337) | $ (14) |
Commitments and Contingencies -
Commitments and Contingencies - Schedule of Total Unfunded Commitments (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | $ 1,810,100 | $ 2,008,337 |
Unfunded loan commitment reserves [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | 885,416 | 1,124,942 |
Credit Card Lines of Credit [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | 6,888 | 7,167 |
Unfunded Commitment Line Of Credit [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | 907,916 | 862,369 |
Commercial And Standby Letters Of Credit [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | $ 9,880 | $ 13,859 |
Commitments and Contingencies_2
Commitments and Contingencies - Repurchase Reserve Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Commitment And Contingencies [Line Items] | |||||
Beginning balance | $ 92,581 | $ 50,860 | $ 89,553 | $ 49,694 | $ 49,694 |
Provision charged to (released from) operating expense, net | 3,725 | 12,386 | |||
Charge-offs | (540) | (253) | (1,218) | (1,338) | |
Ending balance | 93,446 | 65,623 | 93,446 | 65,623 | 89,553 |
Mortgage Loans [Member] | |||||
Commitment And Contingencies [Line Items] | |||||
Beginning balance | 1,315 | 1,878 | 1,725 | 2,102 | 2,102 |
Provision charged to (released from) operating expense, net | 35 | (323) | (45) | ||
Charge-offs | (47) | (74) | (134) | (218) | |
Ending balance | $ 1,268 | $ 1,839 | $ 1,268 | $ 1,839 | $ 1,725 |
Fair Value Measurements - Trans
Fair Value Measurements - Transfer Between Hierarchy Levels (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Fair Value Measurements | ||
Level 1 to Level 2 Transfer, Asset | $ 0 | $ 0 |
Level 2 to Level 1 Transfer, Asset | 0 | 0 |
Level 1 to Level 2 Transfer, Liability | 0 | 0 |
Level 2 to Level 1 Transfer, Liability | 0 | 0 |
Level 3 Transfer, Asset | 0 | 0 |
Level 3 Transfer, Liability | $ 0 | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2023 USD ($) loan | Sep. 30, 2022 USD ($) loan | Dec. 31, 2022 USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Residential mortgage loans held for sale period | 45 days | ||
Interest Rate Lock Commitments, Average Percentage Of Estimated Pull Through Rate To Calculate Fair Value | 0.839 | ||
Loans | $ 7,478,438 | $ 7,220,469 | |
Impairment on other real estate owned | 55 | $ 452 | |
Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Nonrecurring Loans Reserves | $ 6,100 | $ 2,900 | |
Number of Loans measured | loan | 9 | 9 | |
Loans | $ 22,100 | $ 7,200 | |
Other Real Estate Owned [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impairment on other real estate owned | 55 | 452 | |
Mortgage Servicing Rights [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impairment on mortgage servicing rights | $ 66 | $ (6) | |
Impairment, Intangible Asset, Finite-Lived, Statement of Income or Comprehensive Income [Extensible Enumeration] | Gain (Loss) on Sale of Mortgage Loans | Gain (Loss) on Sale of Mortgage Loans | |
SBA Servicing Rights | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impairment on mortgage servicing rights | $ 0 | $ 0 | |
Measurement Input, Discount Rate [Member] | Other Real Estate Owned [Member] | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Measurement input (as a percent) | 0.06 | ||
Measurement Input, Discount Rate [Member] | Other Real Estate Owned [Member] | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Measurement input (as a percent) | 0.10 | ||
Measurement Input, Discount Rate [Member] | Other Real Estate Owned [Member] | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Measurement input (as a percent) | 0.062 | ||
Measurement Input, Discount Rate [Member] | SBA Servicing Rights | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 0.137 | ||
Measurement Input, Constant Prepayment Rate [Member] | Mortgage Servicing Rights [Member] | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 0.106 | ||
Measurement Input, Constant Prepayment Rate [Member] | Mortgage Servicing Rights [Member] | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 0.061 | ||
Measurement Input, Constant Prepayment Rate [Member] | SBA Servicing Rights | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 0.141 | ||
Impaired loans [Member]. | Measurement Input, Discount Rate [Member] | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Measurement input (as a percent) | 0.06 | ||
Impaired loans [Member]. | Measurement Input, Discount Rate [Member] | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Measurement input (as a percent) | 0.27 | ||
Impaired loans [Member]. | Measurement Input, Discount Rate [Member] | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Measurement input (as a percent) | 0.117 | ||
Mortgage Servicing Rights [Member] | Measurement Input, Discount Rate [Member] | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 0.100 | ||
Mortgage Servicing Rights [Member] | Measurement Input, Discount Rate [Member] | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 0.105 | ||
Mortgage Servicing Rights [Member] | Measurement Input, Constant Prepayment Rate [Member] | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 6 |
Fair Value Measurements - Table
Fair Value Measurements - Tables of Financial Instruments Measured At Fair Value on Recurring Basis (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | $ 691,720 | $ 773,513 |
Total liabilities at fair value | 15,992 | 12,867 |
U.S. Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 71,862 | 71,388 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 196,848 | 226,131 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 348,942 | 405,926 |
Municipal Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 152 | 153 |
Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 1,849 | 1,920 |
Loans held for sale member | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 19,048 | 22,767 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 71,862 | 71,388 |
Level 1 [Member] | U.S. Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 71,862 | 71,388 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 619,423 | 701,718 |
Total liabilities at fair value | 15,935 | 12,589 |
Level 2 [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 196,848 | 226,131 |
Level 2 [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 348,942 | 405,926 |
Level 2 [Member] | Municipal Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 152 | 153 |
Level 2 [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 1,849 | 1,920 |
Level 2 [Member] | Loans held for sale member | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 19,048 | 22,767 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 435 | 407 |
Total liabilities at fair value | 57 | 278 |
Interest Rate Swap [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 52,584 | 44,821 |
Total liabilities at fair value | 15,935 | 12,589 |
Interest Rate Swap [Member] | Level 2 [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 52,584 | 44,821 |
Total liabilities at fair value | 15,935 | 12,589 |
Mortgage banking derivatives | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 435 | 407 |
Total liabilities at fair value | 57 | 278 |
Mortgage banking derivatives | Level 3 [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 435 | 407 |
Total liabilities at fair value | $ 57 | $ 278 |
Fair Value Measurements - Tab_2
Fair Value Measurements - Table of Changes in Level 3 Financial Instruments (Details) - Derivative Financial Instruments Assets and Liabilities [Member] $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning Balance | $ 129 |
Loss included in earnings, net | $ 147 |
Fair Value, Asset, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other Noninterest Expense |
Fees and costs included in earnings, net | $ 102 |
Ending Balance | $ 378 |
Fair Value Measurements - Input
Fair Value Measurements - Inputs Used to Determine Fair Values of Oreo are Considered Level 3 Inputs in Fair Value Hierarchy (Details) - Fair Value, Nonrecurring [Member] - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | $ 59,227 | $ 33,332 |
Losses from fair value changes | (1,517) | (1,796) |
Impaired loans [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 42,642 | 20,504 |
Losses from fair value changes | (1,218) | (1,338) |
Other Real Estate Owned [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 3,416 | 3,695 |
Losses from fair value changes | (55) | (452) |
Mortgage Servicing Rights [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 9,133 | |
Losses from fair value changes | $ (6) | |
Premise And Equipment [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 13,169 | |
Losses from fair value changes | $ (244) |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Schedule of Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
ASSETS: | ||
Cash and cash equivalents | $ 291,291 | $ 195,505 |
Investment securities available-for-sale (at fair value) | 620,445 | 706,289 |
Investment securities held-to-maturity, fair value | 494,242 | 559,924 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 600,501 | 651,527 |
Loans receivable | 7,384,992 | 7,130,916 |
Capital stock of FHLB | 14,787 | 20,294 |
Total Loans | 7,478,438 | 7,220,469 |
Loans held-for-sale | 19,048 | 22,767 |
LIABILITIES: | ||
Time deposits | 992,494 | 873,400 |
Securities sold under agreements to repurchase | 20,273 | 20,214 |
Long-term debt | 54,123 | 53,890 |
Federal Home Loan Bank advances | 316,770 | 385,000 |
U.S. Treasury Securities [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 71,862 | 71,388 |
Investment securities held-to-maturity, fair value | 47,415 | 47,629 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 49,263 | 49,045 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 196,848 | 226,131 |
Investment securities held-to-maturity, fair value | 260,193 | 298,816 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 309,216 | 339,815 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 348,942 | 405,926 |
Investment securities held-to-maturity, fair value | 186,634 | 213,479 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 242,022 | 262,667 |
Other Securities [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 792 | 771 |
Municipal Securities [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 152 | 153 |
Corporate Debt Securities [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 1,849 | 1,920 |
Carrying Amount [Member] | Level 1 [Member] | ||
ASSETS: | ||
Cash and cash equivalents | 291,291 | 195,505 |
Carrying Amount [Member] | Level 2 [Member] | ||
ASSETS: | ||
Other non-marketable investments | 38,849 | 38,390 |
Loans held-for-sale | 19,048 | 22,767 |
Accrued interest receivable | 45,213 | 34,587 |
LIABILITIES: | ||
Deposit transaction accounts | 7,156,514 | 6,999,226 |
Time deposits | 992,494 | 873,400 |
Securities sold under agreements to repurchase | 20,273 | 20,214 |
Long-term debt | 55,000 | 55,000 |
Federal Home Loan Bank advances | 316,770 | 385,000 |
Accrued interest payable | 14,820 | 3,201 |
Carrying Amount [Member] | Level 3 [Member] | ||
ASSETS: | ||
Loans receivable | 7,478,438 | 7,220,469 |
Carrying Amount [Member] | U.S. Treasury Securities [Member] | Level 1 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 71,862 | 71,388 |
Investment securities held-to-maturity, fair value | 49,263 | 49,045 |
Carrying Amount [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 196,848 | 226,131 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 309,216 | 339,815 |
Carrying Amount [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 348,942 | 405,926 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 242,022 | 262,667 |
Carrying Amount [Member] | Other Securities [Member] | Level 3 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 792 | 771 |
Carrying Amount [Member] | Municipal Securities [Member] | Level 2 [Member] | ||
ASSETS: | ||
Municipal obligations | 152 | 153 |
Carrying Amount [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 1,849 | 1,920 |
Estimated Fair Value [Member] | Level 1 [Member] | ||
ASSETS: | ||
Cash and cash equivalents | 291,291 | 195,505 |
Estimated Fair Value [Member] | Level 2 [Member] | ||
ASSETS: | ||
Other non-marketable investments | 38,849 | 38,390 |
Loans held-for-sale | 19,048 | 22,767 |
Accrued interest receivable | 45,213 | 34,587 |
LIABILITIES: | ||
Deposit transaction accounts | 7,156,514 | 6,999,226 |
Time deposits | 980,150 | 845,688 |
Securities sold under agreements to repurchase | 20,273 | 20,214 |
Long-term debt | 46,389 | 52,430 |
Federal Home Loan Bank advances | 316,770 | 385,000 |
Accrued interest payable | 14,820 | 3,201 |
Estimated Fair Value [Member] | Level 3 [Member] | ||
ASSETS: | ||
Loans receivable | 7,171,937 | 6,964,107 |
Estimated Fair Value [Member] | U.S. Treasury Securities [Member] | Level 1 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 71,862 | 71,388 |
Investment securities held-to-maturity, fair value | 47,415 | 47,629 |
Estimated Fair Value [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 196,848 | 226,131 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 260,193 | 298,816 |
Estimated Fair Value [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 348,942 | 405,926 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 186,634 | 213,479 |
Estimated Fair Value [Member] | Other Securities [Member] | Level 3 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 792 | 771 |
Estimated Fair Value [Member] | Municipal Securities [Member] | Level 2 [Member] | ||
ASSETS: | ||
Municipal obligations | 152 | 153 |
Estimated Fair Value [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 1,849 | 1,920 |
Interest Rate Swap [Member] | Carrying Amount [Member] | Level 2 [Member] | ||
ASSETS: | ||
Derivative asset | $ 52,584 | $ 45,046 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets | Other Assets |
LIABILITIES: | ||
Derivative liability | $ 15,935 | $ 12,589 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities. | Other Liabilities. |
Interest Rate Swap [Member] | Estimated Fair Value [Member] | Level 2 [Member] | ||
ASSETS: | ||
Derivative asset | $ 52,584 | $ 45,046 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets | Other Assets |
LIABILITIES: | ||
Derivative liability | $ 15,935 | $ 12,589 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities. | Other Liabilities. |
Mortgage banking derivatives | Carrying Amount [Member] | Level 3 [Member] | ||
ASSETS: | ||
Derivative asset | $ 435 | $ 407 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets | Other Assets |
LIABILITIES: | ||
Derivative liability | $ 57 | $ 278 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities. | Other Liabilities. |
Mortgage banking derivatives | Estimated Fair Value [Member] | Level 3 [Member] | ||
ASSETS: | ||
Derivative asset | $ 435 | $ 407 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets | Other Assets |
LIABILITIES: | ||
Derivative liability | $ 57 | $ 278 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities. | Other Liabilities. |
Acquisition Activities (Details
Acquisition Activities (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Apr. 03, 2023 USD ($) | Oct. 01, 2022 USD ($) item shares | Sep. 01, 2022 USD ($) item shares | Sep. 30, 2023 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) $ / shares | Dec. 31, 2022 USD ($) | Aug. 31, 2022 $ / shares | |
Acquisition Activities | ||||||||
Provision for credit loss expense | $ 3,725 | $ 12,386 | ||||||
Cambr | ||||||||
Acquisition Activities | ||||||||
Cash consideration | $ 46,524 | |||||||
Transaction value | 46,524 | |||||||
Acquisition related expenses | $ 100 | $ 1,000 | ||||||
Acquired through acquisition | 18,000 | |||||||
Cambr | Core deposit intangible | ||||||||
Acquisition Activities | ||||||||
Acquired through acquisition | $ 1,700,000 | |||||||
Rock Canyon Bank | ||||||||
Acquisition Activities | ||||||||
Cash consideration | $ 16,141 | |||||||
Shares issued | shares | 3,096,745 | |||||||
Transaction value | $ 140,413 | |||||||
Closing price | $ / shares | $ 40.13 | |||||||
Number of banking centers added | item | 7 | |||||||
Acquisition related expenses | $ 12,300 | |||||||
Provision for credit loss expense | 5,400 | |||||||
Acquired through acquisition | $ 52,900 | |||||||
Rock Canyon Bank | Core deposit intangible | ||||||||
Acquisition Activities | ||||||||
Acquired through acquisition | $ 13,300 | |||||||
Bank of Jackson Hole | ||||||||
Acquisition Activities | ||||||||
Cash consideration | $ 50,989 | |||||||
Shares issued | shares | 4,391,964 | |||||||
Transaction value | $ 213,448 | |||||||
Closing price | $ / shares | $ 36.99 | |||||||
Number of banking centers added | item | 12 | |||||||
Acquisition related expenses | 24,500 | |||||||
Provision for credit loss expense | $ 16,300 | |||||||
Acquired through acquisition | $ 111,300 | |||||||
Bank of Jackson Hole | Core deposit intangible | ||||||||
Acquisition Activities | ||||||||
Acquired through acquisition | $ 29,400 |
Acquisition Activities - Net As
Acquisition Activities - Net Asset Acquired and Consideration Transferred (Details) - USD ($) $ in Thousands | Apr. 03, 2023 | Oct. 01, 2022 | Sep. 01, 2022 | Sep. 30, 2023 | Dec. 31, 2022 |
Consideration: | |||||
Goodwill | $ 306,043 | $ 279,132 | |||
Cambr | |||||
Assets: | |||||
Cash and due from banks | $ 1,224 | ||||
Core deposit and other intangibles | 18,000 | ||||
Other assets | 6,729 | ||||
Total assets acquired | 25,953 | ||||
Liabilities: | |||||
Other liabilities | 6,340 | ||||
Total liabilities assumed | 6,340 | ||||
Identifiable net assets acquired | 19,613 | ||||
Consideration: | |||||
Cash consideration | 46,524 | ||||
Total | 46,524 | ||||
Goodwill | 26,911 | ||||
Amount of goodwill - Deductible for tax purposes | $ 27,800 | ||||
Rock Canyon Bank | |||||
Assets: | |||||
Cash and due from banks | $ 260,883 | ||||
Investment securities available-for-sale | 402 | ||||
Non-marketable securities | 977 | ||||
Loans, net | 535,197 | ||||
Loans held for sale | 3,069 | ||||
Premises and equipment | 3,413 | ||||
Core deposit and other intangibles | 16,463 | ||||
Other assets | 11,749 | ||||
Total assets acquired | 832,153 | ||||
Liabilities: | |||||
Total deposits | 734,480 | ||||
Other liabilities | 10,115 | ||||
Total liabilities assumed | 744,595 | ||||
Identifiable net assets acquired | 87,558 | ||||
Consideration: | |||||
NBHC common stock paid, closing price | 124,272 | ||||
Cash consideration | 16,141 | ||||
Total | 140,413 | ||||
Goodwill | $ 52,855 | ||||
Bank of Jackson Hole | |||||
Assets: | |||||
Cash and due from banks | $ 40,509 | ||||
Investment securities available-for-sale | 203,728 | ||||
Non-marketable securities | 3,104 | ||||
Loans, net | 1,185,699 | ||||
Loans held for sale | 504 | ||||
Premises and equipment | 30,318 | ||||
Core deposit and other intangibles | 30,696 | ||||
Other assets | 31,970 | ||||
Total assets acquired | 1,526,528 | ||||
Liabilities: | |||||
Total deposits | 1,375,593 | ||||
Long-term debt | 39,229 | ||||
Fed funds purchased | 25 | ||||
Other liabilities | 9,483 | ||||
Total liabilities assumed | 1,424,330 | ||||
Identifiable net assets acquired | 102,198 | ||||
Consideration: | |||||
NBHC common stock paid, closing price | 162,459 | ||||
Cash consideration | 50,989 | ||||
Total | 213,448 | ||||
Goodwill | $ 111,250 |
Acquisition Activities - Intang
Acquisition Activities - Intangible Assets (Details) - USD ($) $ in Millions | 9 Months Ended | |||
Apr. 03, 2023 | Oct. 01, 2022 | Sep. 01, 2022 | Sep. 30, 2023 | |
Acquisition Activities | ||||
Amortization period for intangible assets | 9 years 9 months 18 days | |||
Core deposit intangible | ||||
Acquisition Activities | ||||
Amortization period | 10 years | 10 years | ||
Internally developed technology | ||||
Acquisition Activities | ||||
Amortization period | 5 years | |||
Cambr | ||||
Acquisition Activities | ||||
Acquired through acquisition | $ 18 | |||
Cambr | Core deposit intangible | ||||
Acquisition Activities | ||||
Acquired through acquisition | 1,700 | |||
Cambr | Other intangible assets | ||||
Acquisition Activities | ||||
Acquired through acquisition | $ 18 | |||
Amortization period for intangible assets | 9 years 4 months 24 days | |||
Rock Canyon Bank | ||||
Acquisition Activities | ||||
Acquired through acquisition | $ 52.9 | |||
Rock Canyon Bank | Core deposit intangible | ||||
Acquisition Activities | ||||
Acquired through acquisition | 13.3 | |||
Rock Canyon Bank | Small Business Administration ("SBA") servicing rights | ||||
Acquisition Activities | ||||
Acquired through acquisition | $ 3.1 | |||
Bank of Jackson Hole | ||||
Acquisition Activities | ||||
Acquired through acquisition | $ 111.3 | |||
Amount transferred from available-for-sale securities to held-to-maturity | $ 75.3 | |||
Amortization period | 10 years | |||
Bank of Jackson Hole | Core deposit intangible | ||||
Acquisition Activities | ||||
Acquired through acquisition | $ 29.4 | |||
Bank of Jackson Hole | Wealth management intangibles | ||||
Acquisition Activities | ||||
Acquired through acquisition | $ 1.3 |
Acquisition Activities - Accoun
Acquisition Activities - Accounting for acquired loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Oct. 01, 2022 | Sep. 01, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Acquisition Activities | ||||||
Charge-offs | $ 540 | $ 253 | $ 1,218 | $ 1,338 | ||
Rock Canyon Bank | ||||||
Acquisition Activities | ||||||
Loans, net | $ 535,197 | |||||
Loans acquired accounted as PCD | 13,145 | |||||
Loans previously charged-off | 2,054 | |||||
Rock Canyon Bank | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Acquisition Activities | ||||||
Loans, net | 537,700 | |||||
Loans acquired accounted as PCD | $ 11,100 | |||||
Loans acquired accounted as PCD percentage | 2.10% | |||||
Gross contractual amounts receivable | $ 13,800 | |||||
Loans not expected to be collected | $ 4,500 | |||||
Bank of Jackson Hole | ||||||
Acquisition Activities | ||||||
Loans, net | $ 1,185,699 | |||||
Loans acquired accounted as PCD | 13,902 | |||||
Bank of Jackson Hole | Receivables Acquired with Deteriorated Credit Quality [Member] | ||||||
Acquisition Activities | ||||||
Loans, net | 1,200 | |||||
Loans acquired accounted as PCD | $ 13,900 | |||||
Loans acquired accounted as PCD percentage | 1.10% | |||||
Gross contractual amounts receivable | $ 14,000 | |||||
Charge-offs | 500 | |||||
Loans not expected to be collected | $ 3,800 |
Acquisition Activities - Summar
Acquisition Activities - Summary of PCD loans purchased (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 01, 2022 | Sep. 01, 2022 | Sep. 30, 2022 | Sep. 30, 2022 | |
Business Acquisition [Line Items] | ||||
PCD allowance for credit loss at acquisition | $ (2,474) | $ (2,474) | ||
Commercial Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
PCD allowance for credit loss at acquisition | (2,257) | (2,257) | ||
Commercial Real Estate Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
PCD allowance for credit loss at acquisition | (2) | (2) | ||
Residential Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
PCD allowance for credit loss at acquisition | $ (215) | $ (215) | ||
Rock Canyon Bank | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | $ 13,145 | |||
PCD allowance for credit loss at acquisition | (2,474) | |||
(Discount) premium on acquired loans | (773) | |||
Loans previously charged-off by RCB | (2,054) | |||
Purchase price of PCD loans | 7,844 | |||
Rock Canyon Bank | Commercial Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 12,079 | |||
PCD allowance for credit loss at acquisition | (2,257) | |||
(Discount) premium on acquired loans | (787) | |||
Loans previously charged-off by RCB | (2,051) | |||
Purchase price of PCD loans | 6,984 | |||
Rock Canyon Bank | Commercial Real Estate Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 220 | |||
PCD allowance for credit loss at acquisition | (2) | |||
(Discount) premium on acquired loans | 19 | |||
Purchase price of PCD loans | 237 | |||
Rock Canyon Bank | Residential Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 843 | |||
PCD allowance for credit loss at acquisition | (215) | |||
(Discount) premium on acquired loans | (5) | |||
Purchase price of PCD loans | 623 | |||
Rock Canyon Bank | Consumer Loan [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 3 | |||
Loans previously charged-off by RCB | $ (3) | |||
Bank of Jackson Hole | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | $ 13,902 | |||
PCD allowance for credit loss at acquisition | (3,764) | |||
(Discount) premium on acquired loans | (578) | |||
Purchase price of PCD loans | 9,560 | |||
Bank of Jackson Hole | Commercial Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 5,061 | |||
PCD allowance for credit loss at acquisition | (151) | |||
(Discount) premium on acquired loans | (336) | |||
Purchase price of PCD loans | 4,574 | |||
Bank of Jackson Hole | Commercial Real Estate Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 8,353 | |||
PCD allowance for credit loss at acquisition | (3,557) | |||
(Discount) premium on acquired loans | (226) | |||
Purchase price of PCD loans | 4,570 | |||
Bank of Jackson Hole | Residential Portfolio Segment [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 476 | |||
PCD allowance for credit loss at acquisition | (55) | |||
(Discount) premium on acquired loans | (16) | |||
Purchase price of PCD loans | 405 | |||
Bank of Jackson Hole | Consumer Loan [Member] | ||||
Business Acquisition [Line Items] | ||||
Unpaid principal balance | 12 | |||
PCD allowance for credit loss at acquisition | (1) | |||
Purchase price of PCD loans | $ 11 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ 36,087 | $ 15,839 | $ 108,927 | $ 54,553 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |