Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | May 02, 2019 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2019 | |
Entity Registrant Name | CITY HOLDING COMPANY | |
Entity Central Index Key | 0000726854 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 16,481,213 | |
Trading Symbol | chco |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Cash and due from banks | $ 50,522 | $ 55,016 |
Interest-bearing deposits in depository institutions | 93,328 | 67,975 |
Cash and Cash Equivalents | 143,850 | 122,991 |
Investment securities available for sale, at fair value | 755,081 | 723,254 |
Investment securities held-to-maturity, at amortized cost (approximate fair value at March 31, 2019 and December 31, 2018 - $56,085 and $60,706, respectively) | 55,326 | 60,827 |
Other securities | 26,182 | 28,810 |
Total Investment Securities | 836,589 | 812,891 |
Gross loans | 3,559,322 | 3,587,608 |
Allowance for loan losses | (14,646) | (15,966) |
Net Loans | 3,544,676 | 3,571,642 |
Bank owned life insurance | 114,256 | 113,544 |
Premises and equipment, net | 78,747 | 78,383 |
Accrued interest receivable | 13,657 | 12,424 |
Net deferred tax asset | 12,734 | 17,338 |
Goodwill and other intangible assets, net | 121,790 | 122,848 |
Other assets | 51,309 | 46,951 |
Total Assets | 4,917,608 | 4,899,012 |
Deposits: | ||
Noninterest-bearing | 793,633 | 789,119 |
Interest-bearing: | ||
Demand deposits | 879,279 | 899,568 |
Savings deposits | 988,182 | 934,218 |
Time deposits | 1,381,913 | 1,352,654 |
Total Deposits | 4,043,007 | 3,975,559 |
Federal funds purchased | 0 | 40,000 |
Customer repurchase agreements | 194,683 | 221,911 |
Long-term debt | 4,053 | 4,053 |
Other liabilities | 56,624 | 56,725 |
Total Liabilities | 4,298,367 | 4,298,248 |
Shareholders’ Equity | ||
Preferred stock, par value $25 per share: 500,000 shares authorized; none issued | 0 | 0 |
Common stock, par value $2.50 per share: 50,000,000 shares authorized; 19,047,548 shares issued at March 31, 2019 and December 31, 2018, less 2,563,553 and 2,492,403 shares in treasury, respectively | 47,619 | 47,619 |
Capital surplus | 170,215 | 169,555 |
Retained earnings | 498,847 | 485,967 |
Cost of common stock in treasury | (91,589) | (87,895) |
Accumulated other comprehensive income (loss): | ||
Unrealized gain (loss) on securities available-for-sale | 20 | (8,611) |
Underfunded pension liability | (5,871) | (5,871) |
Total Accumulated Other Comprehensive Income (Loss) | (5,851) | (14,482) |
Total Shareholders’ Equity | 619,241 | 600,764 |
Total Liabilities and Shareholders’ Equity | $ 4,917,608 | $ 4,899,012 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Securities held-to-maturity, Estimated Fair Value | $ 56,085 | $ 60,706 |
Preferred stock, par value (in dollars per share) | $ 25 | $ 25 |
Preferred stock, shares authorized (in shares) | 500,000 | 500,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 2.50 | $ 2.50 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 19,047,548 | 19,047,548 |
Common stock, treasury shares (in shares) | 2,563,553 | 2,492,403 |
Consolidated Statements Of Inco
Consolidated Statements Of Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Interest Income | ||
Interest and fees on loans | $ 42,279 | $ 32,918 |
Interest and dividends on investment securities: | ||
Taxable | 5,689 | 3,981 |
Tax-exempt | 779 | 703 |
Interest on deposits in depository institutions | 186 | 42 |
Total Interest Income | 48,933 | 37,644 |
Interest Expense | ||
Interest on deposits | 7,767 | 4,326 |
Interest on short-term borrowings | 1,052 | 460 |
Interest on long-term debt | 48 | 211 |
Total Interest Expense | 8,867 | 4,997 |
Net Interest Income | 40,066 | 32,647 |
(Recovery of) provision for loan losses | (849) | 181 |
Net Interest Income After (Recovery of) Provision for Loan Losses | 40,915 | 32,466 |
Non-Interest Income | ||
Gains on sale of investment securities, net | 88 | 0 |
Unrealized gains recognized on securities still held | 75 | 280 |
Bank owned life insurance | 1,016 | 821 |
Other income | 814 | 627 |
Total Non-Interest Income | 15,925 | 14,492 |
Non-Interest Expense | ||
Salaries and employee benefits | 15,243 | 13,241 |
Occupancy related expense | 2,732 | 2,404 |
Equipment and software related expense | 2,191 | 1,831 |
FDIC insurance expense | 291 | 315 |
Advertising | 869 | 787 |
Bankcard expenses | 1,182 | 1,076 |
Postage, delivery, and statement mailings | 624 | 578 |
Office supplies | 386 | 313 |
Legal and professional fees | 521 | 450 |
Telecommunications | 726 | 500 |
Repossessed asset losses, net of expenses | 216 | 370 |
Merger related costs | 250 | 0 |
Other expenses | 4,180 | 3,072 |
Total Non-Interest Expense | 29,411 | 24,937 |
Income Before Income Taxes | 27,429 | 22,021 |
Income tax expense | 5,810 | 4,405 |
Net Income Available to Common Shareholders | 21,619 | 17,616 |
Total Comprehensive Income | $ 30,250 | $ 9,398 |
Weighted Average Number of Shares Outstanding Reconciliation [Abstract] | ||
Average common shares outstanding, basic (in shares) | 16,411 | 15,414 |
Effect of dilutive securities (in shares) | 18 | 22 |
Average common shares outstanding, diluted (in shares) | 16,429 | 15,436 |
Earnings Per Share [Abstract] | ||
Basic earnings per common share (in dollars per share) | $ 1.31 | $ 1.13 |
Diluted earnings per common share (in dollars per share) | 1.30 | 1.13 |
Dividends declared per common share (in dollars per share) | $ 0.53 | $ 0.46 |
Deposit Account [Member] | ||
Non-Interest Income | ||
Revenue from contract with customer | $ 7,321 | $ 6,862 |
Debit Card [Member] | ||
Non-Interest Income | ||
Revenue from contract with customer | 4,969 | 4,334 |
Fiduciary and Trust [Member] | ||
Non-Interest Income | ||
Revenue from contract with customer | $ 1,642 | $ 1,568 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | ||
Net income available to common shareholders | $ 21,619 | $ 17,616 |
Unrealized gains (losses) on available-for-sale securities arising during the period | 11,362 | (10,712) |
Reclassification adjustment for gains | (88) | 0 |
Other comprehensive income (loss) before income taxes | 11,274 | (10,712) |
Other Comprehensive Income (Loss), Tax | 2,643 | (2,494) |
Other comprehensive income (loss) | 8,631 | (8,218) |
Comprehensive Income, Net of Tax | $ 30,250 | $ 9,398 |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Capital Surplus | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income (Loss) |
Beginning Balance at Dec. 31, 2017 | $ 502,507 | $ 47,619 | $ 140,960 | $ 444,481 | $ (124,909) | $ (5,644) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income available to common shareholders | 17,616 | 17,616 | ||||
Other comprehensive income (loss) | (8,218) | (8,218) | ||||
New Accounting Pronouncement | 0 | |||||
New Accounting Pronouncement | Accounting Standards Update 2016-01 | (2,657) | 2,657 | (2,657) | |||
Cash dividends declared | (7,104) | (7,104) | ||||
Stock-based compensation expense | 793 | 793 | ||||
Restricted awards granted | 0 | (1,135) | 1,135 | |||
Exercise of stock options | 280 | (71) | 351 | |||
Purchase of treasury shares | (13,997) | (13,997) | ||||
Ending balance at Mar. 31, 2018 | 491,877 | 47,619 | 140,547 | 457,650 | (137,420) | (16,519) |
Beginning Balance at Dec. 31, 2018 | 600,764 | 47,619 | 169,555 | 485,967 | (87,895) | (14,482) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income available to common shareholders | 21,619 | 21,619 | ||||
Other comprehensive income (loss) | 8,631 | 8,631 | ||||
Cash dividends declared | (8,739) | (8,739) | ||||
Stock-based compensation expense | 803 | 803 | ||||
Restricted awards granted | 0 | (224) | 224 | |||
Exercise of stock options | 252 | 81 | 171 | |||
Purchase of treasury shares | (4,089) | (4,089) | ||||
Ending balance at Mar. 31, 2019 | $ 619,241 | $ 47,619 | $ 170,215 | $ 498,847 | $ (91,589) | $ (5,851) |
Consolidated Statements Of Ch_2
Consolidated Statements Of Changes In Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | ||
Cash dividends declared (in dollars per share) | $ 0.53 | $ 0.46 |
Exercise of stock options (in shares) | 5,638 | 7,388 |
Purchase of treasury shares (in shares) | 54,740 | 204,327 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Operating Activities | ||
Net income available to common shareholders | $ 21,619 | $ 17,616 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Accretion and amortization | 455 | 410 |
(Recovery of) provision for loan losses | (849) | 181 |
Depreciation of premises and equipment | 1,209 | 1,270 |
Deferred income tax expense | 1,922 | 287 |
Net periodic employee benefit cost | 193 | 111 |
Unrealized and realized investment securities gains, net | (163) | (280) |
Stock-compensation expense | 803 | 793 |
Excess tax benefit from stock-compensation expense | (77) | (155) |
Proceeds from life insurance | 304 | 210 |
Increase in value of bank-owned life insurance | (1,016) | (612) |
Loans originated for sale | (4,325) | (2,606) |
Proceeds from the sale of loans originated for sale | 5,939 | 2,874 |
Gain on sale of loans | (165) | (79) |
Change in accrued interest receivable | (1,233) | (305) |
Change in other assets | (4,193) | (11,128) |
Change in other liabilities | (57) | 3,504 |
Net Cash Provided by Operating Activities | 20,366 | 12,091 |
Investing Activities | ||
Net decrease (increase) in loans | 26,920 | (10,827) |
Purchases | (61,432) | (30,330) |
Proceeds from sales | 25,062 | 0 |
Proceeds from maturities and calls | 15,432 | 13,553 |
Securities Held-to-maturity: Proceeds from maturities and calls | 5,484 | 2,142 |
Other Investments: Purchases | (9,006) | (5,391) |
Other Investments: Proceeds from sales | 11,715 | 7,957 |
Purchases of premises and equipment | (1,576) | (1,561) |
Disposals of premises and equipment | 30 | 55 |
Net Cash Provided by (Used in) Investing Activities | 12,629 | (24,402) |
Financing Activities | ||
Net increase in non-interest-bearing deposits | 4,514 | 36,570 |
Net increase in interest-bearing deposits | 63,190 | 94,758 |
Net decrease in short-term borrowings | (67,228) | (56,844) |
Purchases of treasury stock | (4,089) | (13,997) |
Proceeds from exercise of stock options | 252 | 280 |
Dividends paid | (8,775) | (7,186) |
Net Cash (Used in) Provided by Financing Activities | (12,136) | 53,581 |
Increase in Cash and Cash Equivalents | 20,859 | 41,270 |
Cash and cash equivalents at beginning of period | 122,991 | 82,508 |
Cash and Cash Equivalents at End of Period | $ 143,850 | $ 123,778 |
Background and Basis of Present
Background and Basis of Presentation | 3 Months Ended |
Mar. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background and Basis of Presentation | Background and Basis of Presentation City Holding Company ("City Holding"), a West Virginia corporation headquartered in Charleston, West Virginia, is a registered financial holding company under the Bank Holding Company Act and conducts its principal activities through its wholly-owned subsidiary, City National Bank of West Virginia ("City National"). City National is a retail and consumer-oriented community bank with 97 banking offices in West Virginia ( 58 ), Kentucky ( 21 ), Virginia ( 14 ) and southeastern Ohio ( 4 ). City National provides credit, deposit, and trust and investment management services to its customers in a broad geographical area that includes many rural and small community markets in addition to larger cities including Charleston (WV), Huntington (WV), Martinsburg (WV), Ashland (KY), Lexington (KY), Winchester (VA) and Staunton (VA). In addition to its branch network, City National's delivery channels include automated-teller-machines ("ATMs"), interactive-teller machines ("ITMs"), mobile banking, debit cards, interactive voice response systems, and Internet technology. The Company’s business activities are currently limited to one reportable business segment, which is community banking. On January 30, 2019, the Company announced that it had signed a definitive agreement to sell its Virginia Beach, Virginia branch. The terms of the agreement provide for the acquirer to assume the majority of deposits and to acquire the equipment and other select assets associated with the branch, while the Company retains the loans. The transaction is subject to state and federal bank regulatory approvals and other customary closing conditions and is expected to close during the second quarter of 2019. The accompanying consolidated financial statements, which are unaudited, include all of the accounts of City Holding Company and its wholly-owned subsidiaries (collectively, the "Company"). All material intercompany transactions have been eliminated. The consolidated financial statements include all adjustments that, in the opinion of management, are necessary for a fair presentation of the results of operations and financial condition for each of the periods presented. Such adjustments are of a normal recurring nature. The results of operations for the three months ended March 31, 2019 are not necessarily indicative of the results of operations that can be expected for the year ending December 31, 2019 . The Company’s accounting and reporting policies conform with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Such policies require management to make estimates and develop assumptions that affect the amounts reported in the consolidated financial statements and related footnotes. Actual results could differ from management’s estimates. The consolidated balance sheet as of December 31, 2018 has been derived from audited financial statements included in the Company’s 2018 Annual Report to Shareholders. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles have been omitted. These financial statements should be read in conjunction with the financial statements and notes thereto included in the 2018 Annual Report of the Company. Certain amounts in the financial statements have been reclassified. Such reclassifications had no impact on shareholders’ equity or net income for any period. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2019 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Adopted: Leases In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842).” This standard requires organizations to recognize right-to-use ("ROU") assets and lease liabilities on the balance sheet and disclose key information about leasing requirements for leases that were historically classified as operating leases under previous generally accepted accounting principles. Leases will be classified as financing or operating, with classification affecting the pattern and classification of expense recognition in the income statement. Topic 842 was subsequently amended by ASU No. 2018-01 "Land Easement Practical Expedient for Transition to Topic 842," ASU No. 2018-10, "Codification Improvements to Topic 842, Leases," ASU No. 2018-11 "Targeted Improvements," ASU No. 2018-20 "Narrow-Scope Improvements for Lessors," and ASU No. 2019-01 "Codification Improvements." The Company adopted the new standard on January 1, 2019 and has chosen to use that date as the effective date of initial application. Consequently, financial information will not be updated and the disclosures required under the new standard will not be provided for dates and periods before January 1, 2019. The new standard provides a number of optional practical expedients in transition. The Company has elected the "package of practical expedients," which permits it to not reassess under the new standard its prior conclusions about lease identification, lease classification and initial direct costs. As part of the adoption of this standard, the Company recognized lease liabilities, with corresponding ROU assets of approximately the same amount based on the present value of the remaining minimum rental payments under current leasing standards for existing operating leases. The adoption of this standard did not have a material impact on the Company's financial statements. Operating lease expense is recognized on a straight-line basis over the lease term. Others In March 2017, the FASB issued ASU No. 2017-08, "Receivables—Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities." The amendments in this update shorten the amortization period for certain callable debt securities held at a premium and require the premium to be amortized to the earliest call date. This ASU became effective for the Company on January 1, 2019. The adoption of ASU No. 2017-08 did not have a material impact on the Company's financial statements. In August 2017, the FASB issued ASU No. 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." This amendment expands and refines hedge accounting for both nonfinancial and financial risk components and aligns the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. This ASU became effective for the Company on January 1, 2019. The adoption of this ASU did not have a material impact on the Company's financial statements. In April 2019, the FASB issued ASU No. 2019-04, "Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments." This amendment clarifies the guidance in ASU No. 2017-12. This ASU will become effective for the Company on January 1, 2020. The adoption of ASU No. 2019-04 is not expected to have a material impact on the Company's financial statements. In October 2018, the FASB issued ASU No. 2018-16, "Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes." This amendment permits the use of the OIS rate based on SOFR as a U.S. benchmark interest rate for hedge accounting purposes under Topic 815 in addition to the UST, the LIBOR swap rate, the OIS rate based on the Federal Funds Effective Rate, and the SIFMA Municipal Swap Rate. This ASU became effective for the Company on January 1, 2019. The adoption of ASU No. 2017-12 did not have a material impact on the Company's financial statements. Pending Adoption: CECL In June 2016, the FASB issued ASU No. 2016-13, "Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments." This standard replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments in this update require a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The new current expected credit losses model ("CECL") will apply to the allowance for loan losses, available-for-sale and held-to-maturity debt securities, purchased financial assets with credit deterioration and certain off-balance sheet credit exposures. In November 2018, the FASB issued ASU No. 2018-19, " Codification Improvements to Topic 326, Financial Instruments—Credit Losses." This amendment clarifies the scope of the guidance in ASU No. 2016-13. In April 2019, the FASB issued ASU No. 2019-04, "Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments." This amendment clarifies the guidance in ASU No. 2016-13. These ASUs will become effective for the Company for interim and annual periods on January 1, 2020. Management is currently working through its implementation plan, including implementing a third-party vendor solution program. The adoption of these ASUs could result in a material increase to the allowance for loan losses. While we are currently unable to reasonably estimate the impact of adopting these ASUs, management expects that the impact of adoption will be significantly influenced by the loan portfolio's composition and quality, as well as the prevailing economic conditions and forecasts as of the adoption date. Others In January 2017, the FASB issued ASU No. 2017-04, "Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment." This amendment simplifies the measurement of goodwill by eliminating Step 2 from the goodwill impairment test. This ASU will become effective for the Company on January 1, 2020. The adoption of ASU No. 2017-04 is not expected to have a material impact on the Company's financial statements. In August 2018, the FASB issued ASU No. 2018-13, "Fair Value Measurement (Topic 820): Disclosure Framework — Changes to the Disclosure Requirements for Fair Value Measurement." This amendment removes, modifies, and clarifies the disclosure requirements on fair value measurements in Topic 820, Fair Value Measurement. This ASU will become effective for the Company on January 1, 2020. The adoption of ASU No. 2018-13 is not expected to have a material impact on the Company's financial statements. In August 2018, the FASB issued ASU No. 2018-14, "Compensation — Retirement Benefits — Defined Benefit Plans — General (Subtopic 715-20): Disclosure Framework — Changes to the Disclosure Requirements for Defined Benefit Plans." This amendment removes, modifies, and clarifies certain disclosure requirements for defined benefit plans and other post-employment benefit plans. This ASU will become effective for the Company on January 1, 2021. The adoption of ASU No. 2018-14 is not expected to have a material impact on the Company's financial statements. In October 2018, the FASB issued ASU No. 2018-17, " Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities." This amendment simplifies the analysis of fees paid to decision makers or service providers in determining variable interest entities. This ASU will become effective for the Company on January 1, 2020. The adoption of ASU No. 2018-17 is not expected to have a material impact on the Company's financial statements. |
Acquisitions and Preliminary Pu
Acquisitions and Preliminary Purchase Price Allocation Acquisitions and Preliminary Purchase Price Allocation | 3 Months Ended |
Mar. 31, 2019 | |
Business Combinations [Abstract] | |
Acquisitions and Preliminary Purchase Price Allocation | Note C – Acquisitions and Preliminary Purchase Price Allocation On December 7, 2018, the Company acquired 100% of the outstanding common stock of Poage Bankshares, Inc., the parent company of Town Square Bank (collectively, "Poage"). The acquisition of Poage was structured as a stock transaction in which the Company issued approximately 1.1 million shares, valued at approximately $82.6 million , or $24.22 per share of Poage common stock. On December 7, 2018, the Company also acquired 100% of the outstanding common stock of Farmers Deposit Bancorp, Inc., the parent company of Farmers Deposit Bank (collectively, "Farmers Deposit"). The acquisition of Farmers Deposit was structured as a cash transaction valued at $24.9 million , or $1,174.14 per share of Farmers Deposit common stock. The Company accounted for both acquisitions using the acquisition method pursuant to "Topic 805 Business Combinations" of the FASB Accounting Standards Codification. The acquisition method requires the acquirer to recognize the assets acquired and the liabilities assumed at their fair values as of the acquisition date. The following table summarizes the estimated fair value of the assets acquired and liabilities assumed as of the date of acquisition (in thousands): Farmers Deposit Poage Total Consideration $ 24,900 $ 83,936 $ 108,836 Identifiable assets: Cash and cash equivalents 4,173 34,325 38,498 Investment securities 46,235 72,321 118,556 Loans 58,516 304,359 362,875 Bank owned life insurance — 7,439 7,439 Premises and equipment 768 4,547 5,315 Deferred tax assets, net (188 ) 2,379 2,191 Other assets 2,302 8,799 11,101 Total identifiable assets 111,806 434,169 545,975 Identifiable liabilities: Deposits 92,241 379,285 471,526 Short-term borrowings 2,025 — 2,025 Long-term debt — 4,053 4,053 Other liabilities 651 3,054 3,705 Total identifiable liabilities 94,917 386,392 481,309 Net identifiable assets 16,889 47,777 64,666 Goodwill 4,677 28,105 32,782 Core deposit intangible 3,334 8,054 11,388 $ 24,900 $ 83,936 $ 108,836 Acquired Loans The following table presents information regarding the purchased credit-impaired and noncredit-impaired loans acquired in conjunction with both acquisitions (in thousands): At As of Acquired Credit-Impaired Acquisition March 31, 2019 Contractually required principal and interest $ 25,315 $ 20,528 Contractual cash flows not expected to be collected (non-accretable difference) (13,593 ) (10,115 ) Expected cash flows 11,722 10,413 Interest component of expected cash flows (accretable difference) (2,375 ) (2,349 ) Carrying value of purchased credit-impaired loans acquired $ 9,347 $ 8,064 Acquired Noncredit-Impaired Outstanding balance $ 354,374 $ 344,780 Less: fair value adjustment (846 ) (653 ) Carrying value of acquired noncredit-impaired loans $ 353,528 $ 344,127 Acquired Deposits The fair values of non-time deposits approximated their carrying value at the acquisition date. For time deposits, the fair values were estimated based on discounted cash flows, using interest rates that are currently being offered compared to the contractual interest rates. Based on this analysis, management recorded a premium on time deposits acquired of $0.1 million and $1.7 million for the Farmers Deposit and Poage acquisitions, respectively, each of which is being amortized over 5 years. Core Deposit Intangible The Company believes that the customer relationships with the deposits acquired have an intangible value. In connection with the acquisitions, the Company recorded a core deposit intangible asset of $3.3 million and $8.1 million for Farmers Deposit and Poage, respectively. Each of the core deposit intangible assets represent the value that the acquiree had with their deposit customers. The fair value was estimated based on a discounted cash flow methodology that considered the type of deposit, deposit retention and the cost of the deposit base. The core deposit intangibles are being amortized over 10 years. Goodwill Under GAAP, management has up to twelve months following the date of the acquisition to finalize the fair value of acquired assets and liabilities. The measurement period ends as soon as the Company receives information it was seeking about facts and circumstances that existed as of the acquisition date or learns that more information is not obtainable. Any subsequent adjustments to the fair value of the acquired assets and liabilities, intangible assets or other purchase accounting adjustments will result in adjustments to the goodwill recorded. Among the items that are still preliminary at March 31, 2019, is the finalization of the final tax returns for both entities, which management anticipates completing during 2019. Given the form of the respective transactions, the $4.7 million goodwill preliminarily recorded in conjunction with the Farmers Deposit acquisition is expected to be deductible for tax purposes, while the $28.1 million goodwill preliminarily recorded in conjunction with the Poage acquisition is not expected to be deductible for tax purposes. The following table summarizes adjustments to goodwill subsequent to December 31, 2018 (in thousands): Goodwill Balance at December 31, 2018 $ 109,567 Adjustment to goodwill acquired in conjunction with the acquisition of Poage (529 ) Adjustment to goodwill acquired in conjunction with the acquisition of Farmers Deposit (61 ) Balance at March 31, 2019 $ 108,977 |
Investments
Investments | 3 Months Ended |
Mar. 31, 2019 | |
Investments [Abstract] | |
Investments | Investments The aggregate carrying and approximate market values of investment securities follow (in thousands). Fair values are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable financial instruments. March 31, 2019 December 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Securities available-for-sale: U.S. Treasuries and U.S. government agencies $ 2,277 $ 23 $ — $ 2,300 $ 5,713 $ 20 $ — $ 5,733 Obligations of states and political subdivisions 123,293 2,632 285 125,640 128,089 1,033 1,052 128,070 Mortgage-backed securities: U.S. government agencies 590,773 4,871 6,946 588,698 561,799 1,950 12,991 550,758 Private label 11,787 328 — 12,115 11,948 95 — 12,043 Trust preferred securities 4,776 31 569 4,238 4,774 25 — 4,799 Corporate securities 16,787 93 1 16,879 16,795 30 167 16,658 Total Debt Securities 749,693 7,978 7,801 749,870 729,118 3,153 14,210 718,061 Certificates of deposit held for investment 3,735 — — 3,735 3,735 — — 3,735 Investment funds 1,526 — 50 1,476 1,525 — 67 1,458 Total Securities Available-for-Sale $ 754,954 $ 7,978 $ 7,851 $ 755,081 $ 734,378 $ 3,153 $ 14,277 $ 723,254 Securities held-to-maturity: Mortgage-backed securities: U.S. government agencies $ 55,326 $ 858 $ 99 $ 56,085 $ 56,827 $ 173 $ 294 $ 56,706 Trust preferred securities — — — — 4,000 — — 4,000 Total Securities Held-to-Maturity $ 55,326 $ 858 $ 99 $ 56,085 $ 60,827 $ 173 $ 294 $ 60,706 The Company's other investment securities include marketable and non-marketable equity securities. At March 31, 2019 and December 31, 2018, the Company held $10.4 million and $10.3 million , respectively, in marketable equity securities. Marketable equity securities consist of investments made by the Company in equity positions of various community banks. Included within this portfolio are ownership positions in the following community bank holding companies: First National Corporation (FXNC) ( 4% ) and Eagle Financial Services, Inc. (EFSI) ( 1.5% ). The Company's non-marketable securities consist of securities with limited marketability, such as stock in the Federal Reserve Bank ("FRB") or the Federal Home Loan Bank ("FHLB"). At March 31, 2019 and December 31, 2018, the Company held $15.8 million and $18.5 million , respectively, in non-marketable equity securities. These securities are carried at cost due to the restrictions placed on their transferability. The Company's mortgage-backed U.S. government agency securities consist of both residential and commercial securities, all of which are guaranteed by Fannie Mae ("FNMA"), Freddie Mac ("FHLMC"), or Ginnie Mae (GNMA"). At March 31, 2019 and December 31, 2018 there were no securities of any non-governmental issuer whose aggregate carrying value or estimated fair value exceeded 10% of shareholders' equity. The Company's certificates of deposit consist of domestically issued certificates of deposits in denominations of less than the FDIC insurance limit of $250,000. Certain investment securities owned by the Company were in an unrealized loss position (i.e., amortized cost basis exceeded the estimated fair value of the securities) as of March 31, 2019 and December 31, 2018 . The following table shows the gross unrealized losses and fair value of the Company’s investments aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (in thousands): March 31, 2019 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 832 $ 3 $ 20,922 $ 282 $ 21,754 $ 285 Mortgage-backed securities: U.S. Government agencies 5,654 2 343,082 6,944 348,736 6,946 Trust preferred securities 3,972 569 — — 3,972 569 Corporate securities 1,020 1 — — 1,020 1 Investment funds 1,500 50 — — 1,500 50 Total available-for-sale $ 12,978 $ 625 $ 364,004 $ 7,226 $ 376,982 $ 7,851 Securities held-to-maturity: Mortgage-backed securities: U.S. Government agencies $ — $ — $ 5,896 $ 99 $ 5,896 $ 99 Total held-to-maturity $ — $ — $ 5,896 $ 99 $ 5,896 $ 99 December 31, 2018 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 11,837 $ 272 $ 22,068 $ 780 $ 33,905 $ 1,052 Mortgage-backed securities: U.S. Government agencies 84,975 1,593 282,560 11,398 367,535 12,991 Corporate securities 12,995 167 — — 12,995 167 Investment funds 1,500 67 — — 1,500 67 Total available-for-sale $ 111,307 $ 2,099 $ 304,628 $ 12,178 $ 415,935 $ 14,277 Securities held-to-maturity: Mortgage-backed securities U.S. Government agencies $ 28,274 $ 126 $ 5,960 $ 168 $ 34,234 $ 294 Total held-to-maturity $ 28,274 $ 126 $ 5,960 $ 168 $ 34,234 $ 294 During the three months ended March 31, 2019 and 2018 , the Company had no credit-related net investment impairment losses. At March 31, 2019 , the cumulative amount of credit-related investment impairment losses that have been recognized by the Company on its equity securities that remain in the Company's investment portfolio as of that date was $1.8 million . Declines in the fair value of held-to-maturity and available-for-sale securities below their cost that are deemed to be other-than-temporary would be reflected in earnings as realized losses. In estimating other-than-temporary impairment losses, management considers, among other things (i) the length of time and the extent to which the fair value has been less than cost; (ii) the financial condition, capital strength, and near-term (within 12 months) prospects of the issuer, including any specific events which may influence the operations of the issuer such as changes in technology that may impair the earnings potential of the investment or the discontinuance of a segment of the business that may affect the future earnings potential; (iii) the historical volatility in the market value of the investment and/or the liquidity or illiquidity of the investment; (iv) adverse conditions specifically related to the security, an industry, or a geographic area; and (v) the intent to sell the investment security and if it’s more likely than not that the Company will not have to sell the security before recovery of its cost basis. In addition, management also employs a continuous monitoring process in regards to its marketable equity securities, specifically its portfolio of regional community bank holdings. Although the regional community bank stocks that are owned by the Company are publicly traded, the trading activity for these stocks is minimal, with trading volumes of less than 0.2% of each respective company being traded on a daily basis. As part of management’s review process for these securities, management reviews the financial condition of each respective regional community bank for any indications of financial weakness. Management has the ability and intent to hold the securities classified as held-to-maturity until they mature, at which time the Company expects to receive full value for the securities. Furthermore, as of March 31, 2019 , management does not intend to sell any impaired security and it is not more than likely that it will be required to sell any impaired security before the recovery of its amortized cost basis. The unrealized losses on debt securities are primarily the result of interest rate changes, credit spread fluctuations on agency-issued mortgage-related securities, general financial market uncertainty and unprecedented market volatility. These conditions should not prohibit the Company from receiving its contractual principal and interest payments on its debt securities. The fair value is expected to recover as the securities approach their maturity date or repricing date. As of March 31, 2019 , management believes the unrealized losses detailed in the table above are temporary and no additional impairment loss has been recognized in the Company’s consolidated income statement. Should the impairment of any of these securities become other-than-temporary, the cost basis of the investment will be reduced and the resulting loss will be recognized in net income in the period the other-than-temporary impairment is identified, while any noncredit loss will be recognized in other comprehensive income. The amortized cost and estimated fair value of debt securities at March 31, 2019 , by contractual maturity, are shown in the following table (in thousands). Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Mortgage-backed securities have been allocated to their respective maturity groupings based on their contractual maturity. Amortized Cost Estimated Fair Value Available-for-Sale Debt Securities Due in one year or less $ 3,238 $ 3,241 Due after one year through five years 18,566 18,776 Due after five years through ten years 156,128 156,585 Due after ten years 571,761 571,268 Total $ 749,693 $ 749,870 Held-to-Maturity Debt Securities Due in one year or less $ — $ — Due after one year through five years — — Due after five years through ten years 4,929 5,230 Due after ten years 50,397 50,855 Total $ 55,326 $ 56,085 Gross gains and gross losses recognized by the Company from investment security transactions are summarized in the table below (in thousands): Three months ended March 31, 2019 2018 Gross unrealized gains recognized on securities still held $ 143 $ 283 Gross unrealized losses recognized on securities still held (68 ) (3 ) Net unrealized gains (losses) recognized on securities still held $ 75 $ 280 Gross realized gains on securities sold $ 89 $ — Gross realized losses on securities sold (1 ) — Net investment security gains $ 88 $ — The carrying value of securities pledged to secure public deposits and for other purposes as required or permitted by law approximated $462 million and $510 million at March 31, 2019 and December 31, 2018 , respectively. |
Loans
Loans | 3 Months Ended |
Mar. 31, 2019 | |
Loans Receivable, Net [Abstract] | |
Loans | Loans The following summarizes the Company’s major classifications for loans (in thousands): March 31, 2019 December 31, 2018 Residential real estate $ 1,625,647 $ 1,635,338 Home equity 152,251 153,496 Commercial and industrial 289,327 286,314 Commercial real estate 1,436,190 1,454,942 Consumer 52,483 51,190 DDA overdrafts 3,424 6,328 Gross loans 3,559,322 3,587,608 Allowance for loan losses (14,646 ) (15,966 ) Net loans $ 3,544,676 $ 3,571,642 Construction loans included in: Residential real estate $ 22,635 $ 21,834 Commercial real estate 56,282 37,869 The Company’s commercial and residential real estate construction loans are primarily secured by real estate within the Company’s principal markets. These loans were originated under the Company’s loan policy, which is focused on the risk characteristics of the loan portfolio, including construction loans. In the judgment of the Company's management, adequate consideration has been given to these loans in establishing the Company's allowance for loan losses. |
Allowance For Loan Losses
Allowance For Loan Losses | 3 Months Ended |
Mar. 31, 2019 | |
Receivables [Abstract] | |
Allowance For Loan Losses | Allowance For Loan Losses Management systematically monitors the loan portfolio and the adequacy of the allowance for loan losses on a quarterly basis to provide for probable losses inherent in the portfolio. Management assesses the risk in each loan type based on historical trends, the general economic environment of its local markets, individual loan performance and other relevant factors. Individual credits are selected throughout the year for detailed loan reviews, which are utilized by management to assess the risk in the portfolio and the adequacy of the allowance. Due to the nature of commercial lending, evaluation of the adequacy of the allowance as it relates to these loan types is often based more upon specific credit reviews, with consideration given to the potential impairment of certain credits and historical loss rates, adjusted for economic conditions and other inherent risk factors. The following table summarizes the activity in the allowance for loan losses, by portfolio loan classification, for the three months ended March 31, 2019 and 2018 (in thousands). The allocation of a portion of the allowance in one portfolio segment does not preclude its availability to absorb losses in other portfolio segments. The following table also presents the balance in the allowance for loan loss disaggregated on the basis of the Company’s impairment measurement method and the related recorded investment in loans, by portfolio segment, as of March 31, 2019 and December 31, 2018 (in thousands). Commercial and Commercial Residential DDA Industrial Real Estate Real Estate Home Equity Consumer Overdrafts Total Three months ended March 31, 2019 Allowance for loan losses Beginning balance $ 4,060 $ 4,495 $ 4,116 $ 1,268 $ 319 $ 1,708 $ 15,966 Charge-offs — (45 ) (328 ) (46 ) (185 ) (625 ) (1,229 ) Recoveries 135 32 75 — 97 419 758 (Recovery of) provision (1,225 ) 158 (43 ) 26 237 (2 ) (849 ) Ending balance $ 2,970 $ 4,640 $ 3,820 $ 1,248 $ 468 $ 1,500 $ 14,646 Three months ended March 31, 2018 Allowance for loan losses Beginning balance $ 4,571 $ 6,183 $ 5,212 $ 1,138 $ 62 $ 1,670 $ 18,836 Charge-offs (339 ) (157 ) (131 ) (71 ) (99 ) (636 ) (1,433 ) Recoveries 2 223 106 — 46 420 797 (Recovery of) provision 529 (480 ) (244 ) 133 203 40 181 Ending balance $ 4,763 $ 5,769 $ 4,943 $ 1,200 $ 212 $ 1,494 $ 18,381 As of March 31, 2019 Allowance for loan losses Evaluated for impairment: Individually $ — $ 503 $ — $ — $ — $ — $ 503 Collectively 2,969 4,085 3,820 1,248 461 1,500 14,083 Acquired with deteriorated credit quality 1 52 — — 7 — 60 Total $ 2,970 $ 4,640 $ 3,820 $ 1,248 $ 468 $ 1,500 $ 14,646 Loans Evaluated for impairment: Individually $ 617 $ 9,354 $ — $ — $ — $ — $ 9,971 Collectively 287,172 1,415,938 1,623,550 152,251 52,370 3,424 3,534,705 Acquired with deteriorated credit quality 1,538 10,898 2,097 — 113 — 14,646 Total $ 289,327 $ 1,436,190 $ 1,625,647 $ 152,251 $ 52,483 $ 3,424 $ 3,559,322 As of December 31, 2018 Allowance for loan losses Evaluated for impairment: Individually $ — $ 428 $ — $ — $ — $ — $ 428 Collectively 4,059 4,015 4,116 1,268 312 1,708 15,478 Acquired with deteriorated credit quality 1 52 — — 7 — 60 Total $ 4,060 $ 4,495 $ 4,116 $ 1,268 $ 319 $ 1,708 $ 15,966 Loans Evaluated for impairment: Individually $ 651 $ 9,855 $ — $ — $ — $ — $ 10,506 Collectively 284,018 1,433,674 1,633,241 153,496 51,077 6,328 3,561,834 Acquired with deteriorated credit quality 1,645 11,413 2,097 — 113 — 15,268 Total $ 286,314 $ 1,454,942 $ 1,635,338 $ 153,496 $ 51,190 $ 6,328 $ 3,587,608 Credit Quality Indicators All commercial loans within the portfolio are subject to internal risk rating. All non-commercial loans are evaluated based on payment history. The Company’s internal risk ratings for commercial loans are: Exceptional, Good, Acceptable, Pass/Watch, Special Mention, Substandard and Doubtful. Each internal risk rating is defined in the loan policy using the following criteria: balance sheet yields; ratios and leverage; cash flow spread and coverage; prior history; capability of management; market position/industry; potential impact of changing economic, legal, regulatory or environmental conditions; purpose; structure; collateral support; and guarantor support. Risk grades are generally assigned by the primary lending officer and are periodically evaluated by the Company’s internal loan review process. Based on an individual loan’s risk grade, estimated loss percentages are applied to the outstanding balance of the loan to determine the amount of probable loss. The Company categorizes loans into risk categories based on relevant information regarding the customer’s debt service ability, capacity, overall collateral position along with other economic trends, and historical payment performance. The risk rating for each credit is updated when the Company receives current financial information, the loan is reviewed by the Company’s internal loan review and credit administration departments, or the loan becomes delinquent or impaired. The risk grades are updated a minimum of annually for loans rated Exceptional, Good, Acceptable, or Pass/Watch. Loans rated Special Mention, Substandard or Doubtful are reviewed at least quarterly. The Company uses the following definitions for its risk ratings: Risk Rating Description Pass ratings: (a) Exceptional Loans classified as exceptional are secured with liquid collateral conforming to the internal loan policy. Loans rated within this category pose minimal risk of loss to the bank. (b) Good Loans classified as good have similar characteristics that include a strong balance sheet, satisfactory debt service coverage ratios, strong management and/or guarantors, and little exposure to economic cycles. Loans in this category generally have a low chance of loss to the bank. (c) Acceptable Loans classified as acceptable have acceptable liquidity levels, adequate debt service coverage ratios, experienced management, and have average exposure to economic cycles. Loans within this category generally have a low risk of loss to the bank. (d) Pass/watch Loans classified as pass/watch have erratic levels of leverage and/or liquidity, cash flow is volatile and the borrower is subject to moderate economic risk. A borrower in this category poses a low to moderate risk of loss to the bank. Special Mention Loans classified as special mention have a potential weakness(es) that deserves management’s close attention. The potential weakness could result in deterioration of the loan repayment or the bank’s credit position at some future date. A loan rated in this category poses a moderate loss risk to the bank. Substandard Loans classified as substandard reflect a customer with a well defined weakness that jeopardizes the liquidation of the debt. Loans in this category have the possibility that the bank will sustain some loss if the deficiencies are not corrected and the bank’s collateral value is weakened by the financial deterioration of the borrower. Doubtful Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristics that make collection of the full contract amount highly improbable. Loans rated in this category are most likely to cause the bank to have a loss due to a collateral shortfall or a negative capital position. The following table presents the Company’s commercial loans by credit quality indicators, by portfolio loan classification (in thousands): Commercial and Industrial Commercial Real Estate Total March 31, 2019 Pass $ 258,096 $ 1,380,744 $ 1,638,840 Special mention 25,457 10,242 35,699 Substandard 5,774 45,204 50,978 Doubtful — — — Total $ 289,327 $ 1,436,190 $ 1,725,517 December 31, 2018 Pass $ 250,856 $ 1,402,821 $ 1,653,677 Special mention 27,886 5,696 33,582 Substandard 7,572 46,425 53,997 Doubtful — — — Total $ 286,314 $ 1,454,942 $ 1,741,256 The following table presents the Company's non-commercial loans by payment performance, by portfolio loan classification (in thousands): Performing Non-Performing Total March 31, 2019 Residential real estate $ 1,622,370 $ 3,277 $ 1,625,647 Home equity 152,208 43 152,251 Consumer 52,429 54 52,483 DDA overdrafts 3,424 — 3,424 Total $ 1,830,431 $ 3,374 $ 1,833,805 December 31, 2018 Residential real estate $ 1,630,892 $ 4,446 $ 1,635,338 Home equity 153,334 162 153,496 Consumer 51,188 2 51,190 DDA overdrafts 6,322 6 6,328 Total $ 1,841,736 $ 4,616 $ 1,846,352 Aging Analysis of Accruing and Non-Accruing Loans Interest income on loans is accrued and credited to operations based upon the principal amount outstanding, using methods that generally result in level rates of return. Loan origination fees, and certain direct costs, are deferred and amortized as an adjustment to the yield over the term of the loan. The accrual of interest generally is discontinued when a loan becomes 90 days past due as to principal or interest for all loan types. However, any loan may be placed on non-accrual status if the Company receives information that indicates a borrower is unable to meet the contractual terms of its respective loan agreement. Other indicators considered for placing a loan on non-accrual status include the borrower’s involvement in bankruptcies, foreclosures, repossessions, litigation and any other situation resulting in doubt as to whether full collection of contractual principal and interest is attainable. When interest accruals are discontinued, unpaid interest recognized in income in the current year is reversed, and interest accrued in prior years is charged to the allowance for loan losses. Management may elect to continue the accrual of interest when the net realizable value of collateral exceeds the principal balance and related accrued interest, and the loan is in the process of collection. Generally for all loan classes, interest income during the period the loan is non-performing is recorded on a cash basis after recovery of principal is reasonably assured. Cash payments received on nonperforming loans are typically applied directly against the outstanding principal balance until the loan is fully repaid. Generally, loans are restored to accrual status when the obligation is brought current, the borrower has performed in accordance with the contractual terms for a reasonable period of time, and the ultimate collectability of the total contractual principal and interest is no longer in doubt. Generally, all loan types are considered past due when the contractual terms of a loan are not met and the borrower is 30 days or more past due on a payment. Furthermore, residential and home equity loans are generally subject to charge-off when the loan becomes 120 days past due, depending on the estimated fair value of the collateral less cost to dispose, versus the outstanding loan balance. Commercial loans are generally charged off when the loan becomes 120 days past due. Open-end consumer loans are generally charged off when the loan becomes 180 days past due. The following table presents an aging analysis of the Company’s accruing and non-accrual loans, by portfolio loan classification (in thousands): March 31, 2019 Accruing Current 30-59 days 60-89 days Over 90 days Non-accrual Total Residential real estate $ 1,614,413 $ 7,245 $ 713 $ 13 $ 3,263 $ 1,625,647 Home equity 151,489 551 167 3 41 152,251 Commercial and industrial 287,700 101 — — 1,526 289,327 Commercial real estate 1,427,494 1,377 — 37 7,282 1,436,190 Consumer 52,218 129 82 53 1 52,483 DDA overdrafts 2,889 533 2 — — 3,424 Total $ 3,536,203 $ 9,936 $ 964 $ 106 $ 12,113 $ 3,559,322 December 31, 2018 Accruing Current 30-59 days 60-89 days Over 90 days Non-accrual Total Residential real estate $ 1,621,073 $ 8,607 $ 1,213 $ 170 $ 4,275 $ 1,635,338 Home equity 152,083 1,240 11 24 138 153,496 Commercial and industrial 284,140 397 49 52 1,676 286,314 Commercial real estate 1,445,896 487 94 4 8,461 1,454,942 Consumer 50,894 253 41 1 1 51,190 DDA overdrafts 5,840 467 15 6 — 6,328 Total $ 3,559,926 $ 11,451 $ 1,423 $ 257 $ 14,551 $ 3,587,608 The following table presents the Company’s impaired loans, by class (in thousands). The difference between the unpaid principal balance and the recorded investment generally reflects amounts that have been previously charged-off. There are no impaired residential, home equity, or consumer loans. March 31, 2019 December 31, 2018 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance recorded: Commercial and industrial $ 617 $ 617 $ — $ 651 $ 651 $ — Commercial real estate 6,369 6,394 — 6,870 6,895 — Total $ 6,986 $ 7,011 $ — $ 7,521 $ 7,546 $ — With an allowance recorded: Commercial and industrial $ — $ — $ — $ — $ — $ — Commercial real estate 2,985 2,985 503 2,985 2,985 428 Total $ 2,985 $ 2,985 $ 503 $ 2,985 $ 2,985 $ 428 The following table presents information related to the average recorded investment and interest income recognized on the Company’s impaired loans, by class (in thousands): Three months ended March 31, 2019 2018 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized With no related allowance recorded: Commercial and industrial $ 618 — $ 774 $ — Commercial real estate 6,521 36 3,008 3 Total $ 7,139 $ 36 $ 3,782 $ 3 With an allowance recorded: Commercial and industrial $ — $ — $ — $ — Commercial real estate 2,985 30 5,750 52 Total $ 2,985 $ 30 $ 5,750 $ 52 Approximately $0.1 million of interest income would have been recognized during the three months ended March 31, 2019 and 2018 , respectively, if such loans had been current in accordance with their original terms. There were no commitments to provide additional funds on non-accrual, impaired or other potential problem loans at March 31, 2019 . Loan Modifications The Company’s policy on loan modifications typically does not allow for modifications that would be considered a concession from the Company. However, when there is a modification, the Company evaluates each modification to determine if the modification constitutes a troubled debt restructuring (“TDR”) in accordance with ASU 2011-02, whereby a modification of a loan would be considered a TDR when both of the following conditions are met: (1) a borrower is experiencing financial difficulty and (2) the modification constitutes a concession. When determining whether the borrower is experiencing financial difficulties, the Company reviews whether the borrower is currently in payment default on any of its debt or whether it is probable that the borrower would be in payment default in the foreseeable future without the modification. Other indicators of financial difficulty include whether the borrower has declared or is in the process of declaring bankruptcy, the borrower’s ability to continue as a going concern, and the borrower’s projected cash flow to service its debt (including principal and interest) in accordance with the contractual terms for the foreseeable future, without a modification. Regulatory guidance requires loans to be accounted for as collateral-dependent loans when borrowers have filed Chapter 7 bankruptcy, the debt has been discharged by the bankruptcy court, and the borrower has not reaffirmed the debt. The filing of bankruptcy is deemed to be evidence that the borrower is in financial difficulty and the discharge of the debt by the bankruptcy court is deemed to be a concession granted to the borrower. The following tables set forth the Company’s TDRs (in thousands): March 31, 2019 December 31, 2018 Non- Non- Accruing Accruing Total Accruing Accruing Total Commercial and industrial $ 89 $ — $ 89 $ 98 $ — $ 98 Commercial real estate 8,164 — 8,164 8,205 — 8,205 Residential real estate 23,017 464 23,481 22,863 658 23,521 Home equity 3,013 5 3,018 3,025 5 3,030 Consumer — — — — — — Total $ 34,283 $ 469 $ 34,752 $ 34,191 $ 663 $ 34,854 New TDRs Three months ended March 31, 2019 2018 Pre Post Pre Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded Contracts Investment Investment Contracts Investment Investment Commercial and industrial — $ — $ — — $ — $ — Commercial real estate — — — — — — Residential real estate 23 1,729 1,729 7 412 412 Home equity 5 69 69 4 77 77 Consumer — — — — — — Total 28 $ 1,798 $ 1,798 11 $ 489 $ 489 |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2019 | |
Long-term Debt, Unclassified [Abstract] | |
Long-Term Debt | Long-Term Debt The components of long-term debt are summarized below (in thousands): March 31, 2019 December 31, 2018 Subordinated debentures owed to Town Square Statutory Trust I, due 2036, interest at a rate of 4.43% at March 31, 2019 and 4.64% at December 31, 2018 $ 4,124 $ 4,124 Fair value adjustment of subordinated debentures (71 ) (71 ) $ 4,053 $ 4,053 Town Square Statutory Trust I As a part of its Poage acquisition, the Company assumed Poage's subordinated debentures. In December 2006, Town Square Statutory Trust I, a trust formed by the Town Square Financial Corporation, closed a pooled private offering of 4,000 trust preferred securities with a liquidation amount of $1,000 per security. Poage issued $4,124,000 of subordinated debentures to the trust in exchange for ownership of all the common security of the trust and the proceeds of the preferred securities sold by the trust. The Company may redeem the subordinated debentures, in whole or in part, in a principal amount with integral multiples of $1,000 , on or after December 22, 2012 at 100% of the principal amount, plus accrued and unpaid interest. The subordinated debentures mature on December 22, 2036. The subordinated debentures are also redeemable in whole or in part from time to time, upon the occurrence of specific events defined within the trust indenture. The Company has the option to defer interest payments on the subordinated debentures from time to time for a period not to exceed 5 consecutive years. Payments of distributions on the trust preferred securities and payments on redemption of the trust preferred securities are guaranteed by the Company. The Company also entered into an agreement as to expenses and liabilities with the trust pursuant to which it agreed, on a subordinated basis, to pay any cost, expenses or liabilities of the trust other than those arising under the trust preferred securities. The obligations of the Company under the junior subordinated debentures, the related indentures, the trust agreement establishing the trust and the guarantees, and the agreements as to expenses and liabilities, in the aggregate, constitute a full and unconditional guarantee by the Company of the trust’s obligations under the trust preferred securities. The trust preferred securities issued by the statutory business trust qualify as Tier 1 capital for the Company under current Federal Reserve Board guidelines. The subordinated debentures have a variable rate of interest equal to the three month LIBOR rate plus 1.83% . |
Derivative Instruments
Derivative Instruments | 3 Months Ended |
Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments As of March 31, 2019 and December 31, 2018 , the Company primarily utilizes non-hedging derivative financial instruments with commercial banking customers to facilitate their interest rate management strategies. For these instruments, the Company acts as an intermediary for its customers and has offsetting contracts with financial institution counterparties. Changes in the fair value of these underlying derivative contracts generally offset each other and do not significantly impact the Company's results of operations. The following table summarizes the notional and fair value of these derivative instruments (in thousands): March 31, 2019 December 31, 2018 Notional Amount Fair Value Notional Amount Fair Value Non-hedging interest rate derivatives: Customer counterparties: Loan interest rate swap - assets $ 235,217 $ 6,475 $ 132,146 $ 3,131 Loan interest rate swap - liabilities 275,227 7,007 372,223 13,774 Non-hedging interest rate derivatives: Financial institution counterparties: Loan interest rate swap - assets 280,823 7,077 403,500 13,902 Loan interest rate swap - liabilities 235,217 6,475 132,146 3,131 The following table summarizes the change in fair value of these derivative instruments (in thousands): Three months ended March 31, 2019 2018 Change in Fair Value Non-Hedging Interest Rate Derivatives: Other income - derivative assets $ (2,879 ) $ 7,101 Other income - derivative liabilities 2,879 (7,101 ) Other expense - derivative liabilities 58 90 Certain financial instruments, including derivatives, may be eligible for offset in the consolidated balance sheet and/or subject to master netting arrangements. The Company's derivative transactions with financial institution counterparties are generally executed under International Swaps and Derivative Association ("ISDA") master agreements which include "right of setoff" provisions. In such cases there is generally a legally enforceable right to offset recognized amounts and there may be an intention to settle such amounts on a net basis. Nonetheless, the Company does not generally offset financial instruments for financial reporting purposes. Information about financial instruments that are eligible for offset in the consolidated balance sheet as of March 31, 2019 is presented in the following tables (in thousands): Gross Amounts Not Offset in the Balance Sheet Total of Gross Amounts Not Offset in the Statement of Financial Position Netting Including Gross Gross Net Amounts Adjustment Applicable Amounts Amounts of Assets per Netting Recognized in Offset in the Presented in Applicable Agreement Statement of Statement of the Statement Master Fair Value and Fair Financial Financial of Financial Netting of Financial Value of Description Position Position Position Arrangements Collateral Collateral Net Amount Non-hedging derivative assets: Interest rate swap agreements - customer counterparties (1) $ 6,475 $ — $ 6,475 $ — $ 6,475 $ 6,475 $ — Interest rate swap agreements - financial institution counterparties (2) 7,077 — 7,077 5,645 — 5,645 1,432 Non-hedging derivative liabilities: Interest rate swap agreements - customer counterparties (1) 7,007 — 7,007 — 7,007 7,007 — Interest rate swap agreements - financial institution counterparties (3) 6,475 — 6,475 5,645 830 6,475 — * For instances where the fair value of financial collateral meets or exceeds the amounts presented in the Consolidated Balance Sheets, no value is displayed to represent full collateralization. (1) The underlying collateral on the loan serves as collateral for the derivative financial instrument. (2) The financial institution counterparty posts collateral to the Company. (3) The Company posts collateral to the financial institution counterparty. |
Employee Benefit Plans
Employee Benefit Plans | 3 Months Ended |
Mar. 31, 2019 | |
Share-based Compensation [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Stock Options A summary of the Company’s stock option activity and related information is presented below: Three months ended March 31, 2019 2018 Options Weighted-Average Exercise Price Options Weighted-Average Exercise Price Outstanding at January 1 57,972 $ 51.15 87,605 $ 47.15 Exercised (5,638 ) 44.74 (7,387 ) 37.85 Outstanding at March 31 52,334 $ 51.84 80,218 $ 48.00 Exerciseable at March 31 14,146 $ 44.70 24,943 $ 40.38 Information regarding stock option exercises and stock-based compensation expense associated with stock options is provided in the following table (in thousands): Three months ended March 31, 2019 2018 Proceeds from stock option exercises $ 252 $ 280 Intrinsic value of stock options exercised 177 220 Stock-based compensation expense associated with stock options $ 37 $ 54 At period-end: March 31, 2019 Unrecognized stock-based compensation expense associated with stock options $ 167 Weighted average period (in years) in which the above amount is expected to be recognized 1.9 Shares issued in connection with stock option exercises are issued from available treasury shares. If no treasury shares are available, new shares would be issued from available authorized shares. During the three months ended March 31, 2019 and 2018 , all shares issued in connection with stock option exercises were issued from available treasury stock. For the stock options that have performance-based criteria, management has evaluated those criteria and has determined that, as of March 31, 2019 , the criteria were probable of being met. Additional information regarding stock options outstanding and exercisable at March 31, 2019 is provided in the following table: Ranges of Exercise Prices No. of Options Outstanding Weighted-Average Exercise Price Weighted-Average Remaining Contractual Life (Years) Aggregate Intrinsic Value (in thousands) No. of Options Currently Exercisable Weighted-Average Exercise Price of Options Currently Exercisable Weighted-Average Remaining Contractual Life (Years) Aggregate Intrinsic Value of Options Currently Exercisable (in thousands) $35.00 - $39.99 38 $ 37.74 3.9 $ 1 38 $ 37.74 3.9 1 40.00 - 44.99 27,016 43.89 6.5 873 10,784 44.14 5.8 346 45.00 - 49.99 7,649 46.61 5.9 226 3,324 46.61 5.9 98 65.00 - 70.00 17,631 66.32 7.9 174 — — — — 52,334 $ 1,274 14,146 $ 445 Restricted Shares, Restricted Stock Units, Performance Share Units The Company records compensation expense with respect to restricted shares, restricted stock units and performance share units in an amount equal to the fair value of the common stock covered by each award on the date of grant. These awards become fully vested after various periods of continued employment from the respective dates of grant. The Company is entitled to an income tax deduction in an amount equal to the taxable income reported by the holders of the restricted shares when the restrictions are released and the shares are issued. Compensation is being charged to expense over the respective vesting periods. Restricted shares are forfeited if the awardee officer or employee terminates his employment with the Company prior to the lapsing of restrictions. The Company records forfeitures of restricted stock as treasury share repurchases and any compensation cost previously recognized is reversed in the period of forfeiture. Recipients of restricted shares do not pay any cash consideration to the Company for the shares, and have the right to vote all shares subject to such grant and receive all dividends with respect to such shares, whether or not the shares have vested. For restricted shares that have performance-based criteria, management has evaluated those criteria and has determined that, as of March 31, 2019 , the criteria were probable of being met. A summary of the Company’s restricted shares activity and related information is presented below: Three months ended March 31, 2019 2018 Restricted Awards Average Market Price at Grant Restricted Awards Average Market Price at Grant Outstanding at January 1 152,692 $ 51.85 170,033 $ 44.34 Granted 13,531 79.46 23,163 68.63 Vested (23,667 ) 45.60 (20,864 ) 40.44 Outstanding at March 31 142,556 $ 55.51 172,332 $ 48.08 Information regarding stock-based compensation associated with restricted shares is provided in the following table (in thousands): Three months ended March 31, 2019 2018 Stock-based compensation expense associated with restricted shares $ 434 $ 379 At period-end: March 31, 2019 Unrecognized stock-based compensation expense associated with restricted shares $ 4,403 Weighted average period (in years) in which the above amount is expected to be recognized 3.1 Shares issued in conjunction with restricted stock awards are issued from available treasury shares. If no treasury shares are available, new shares would be issued from available authorized shares. During the three months ended March 31, 2019, and 2018, all shares issued in connection with restricted stock awards were issued from available treasury stock. Benefit Plans The Company provides retirement benefits to its employees through the City Holding Company 401(k) Plan and Trust (the “401(k) Plan”), which is intended to be compliant with Employee Retirement Income Security Act (ERISA) section 404(c). The Company also maintains a frozen defined benefit pension plan (the “Defined Benefit Plan”), which was inherited from the Company's acquisition of the plan sponsor (Horizon Bancorp, Inc.). The following table presents details of the Company's activities pursuant to these plans (in thousands): Three months ended March 31, 2019 2018 Components of net periodic cost: Interest cost $ 140 $ 147 Expected return on plan assets (214 ) (270 ) Net amortization and deferral 229 218 Net Periodic Pension Cost $ 155 $ 95 401(k) Plan expense $ 259 $ 218 The components of net periodic benefit cost are included in the line item "Other Expenses" in the consolidated statements of income. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company is a party to certain financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. The Company has entered into agreements with certain customers to extend credit or provide a conditional commitment to provide payment on drafts presented in accordance with the terms of the underlying credit documents. The Company also provides overdraft protection to certain demand deposit customers that represent an unfunded commitment. Overdraft protection commitments, which are included with other commitments below, are uncollateralized and are paid at the Company’s discretion. Conditional commitments generally include standby and commercial letters of credit. Standby letters of credit represent an obligation of the Company to a designated third party contingent upon the failure of a customer of the Company to perform under the terms of the underlying contract between the customer and the third party. Commercial letters of credit are issued specifically to facilitate trade or commerce. Under the terms of a commercial letter of credit, drafts will be drawn when the underlying transaction is consummated, as intended, between the customer and a third party. The funded portion of these financial instruments is reflected in the Company’s balance sheet, while the unfunded portion of these commitments is not reflected in the balance sheet. The table below presents a summary of the contractual obligations of the Company resulting from significant commitments (in thousands): March 31, 2019 December 31, 2018 Commitments to extend credit: Home equity lines $ 209,455 $ 207,509 Commercial real estate 76,922 68,649 Other commitments 201,625 201,687 Standby letters of credit 7,245 7,183 Commercial letters of credit 811 811 Loan commitments and standby and commercial letters of credit have credit risks essentially the same as those involved in extending loans to customers and are subject to the Company’s standard credit policies. Collateral is obtained based on management’s credit assessment of the customer. Management does not anticipate any material losses as a result of these commitments. In addition, the Company is engaged in various legal actions that it deems to be in the ordinary course of business. As these legal actions are resolved, the Company could realize positive and/or negative impact to its financial performance in the period in which these legal actions are ultimately resolved. There can be no assurance that current legal actions will have an immaterial impact on financial results, either positive or negative, or that no material legal actions may be presented in the future. The Company owns 86,605 shares of Class B common stock of Visa, Inc. ("Visa") which are convertible into Class A common stock at a conversion ratio of 1.6298 per Class B share. As of March 31, 2019 , the value of the Class A shares was $156.19 per share. Utilizing the conversion ratio, the value of unredeemed Class A equivalent shares owned by the Company was $22.0 million , which has not been reflected in the accompanying consolidated financial statements. The shares of Visa Class B common stock are restricted. Visa Member Banks (as defined in Visa's organizational documents) are required to fund an escrow account to cover settlements, resolution of pending litigation and related claims. If the funds in the escrow account are insufficient to settle the covered litigation, Visa may sell additional Class A shares, use the proceeds to settle litigation and further reduce the conversion ratio. If funds remain in the escrow account after all litigation is settled, the Class B conversion ratio will be increased to reflect that surplus. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2019 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The activity in accumulated other comprehensive loss is presented in the tables below (in thousands). All amounts are shown net of tax, which is calculated using a combined federal and state income tax rate approximating 23% . Accumulated Other Comprehensive (Loss) Income Unrealized Gains (Losses) on Defined Benefit Securities Pension Plans Available-for-Sale Total Balance at December 31, 2018 $ (5,871 ) $ (8,611 ) $ (14,482 ) Other comprehensive income before reclassifications — 8,698 8,698 Amounts reclassified from other comprehensive loss — (67 ) (67 ) — 8,631 8,631 Balance at March 31, 2019 $ (5,871 ) $ 20 $ (5,851 ) Balance at December 31, 2017 $ (5,033 ) $ (611 ) $ (5,644 ) Other comprehensive loss before reclassifications — (8,218 ) (8,218 ) Amounts reclassified from other comprehensive loss — — — — (8,218 ) (8,218 ) Adoption of new accounting pronouncement — (2,657 ) (2,657 ) Balance at March 31, 2018 $ (5,033 ) $ (11,486 ) $ (16,519 ) As a result of the adoption of ASU 2016-01, "Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities," the Company reclassified $2.7 million of unrealized gains and losses net of tax, relating to its equity and perpetual preferred securities, from other comprehensive income to retained earnings on January 1, 2018. Amount reclassified from Other Comprehensive Loss Three months ended Affected line item March 31, in the Statements 2019 2018 of Income Securities available-for-sale: Net securities gains reclassified into earnings $ 88 $ — Gains on sale of investment securities Related income tax expense (21 ) — Income tax expense Net effect on accumulated other comprehensive loss $ 67 $ — |
Earnings per Share
Earnings per Share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Share | lowing table sets forth the computation of basic and diluted earnings per share using the two class method (in thousands, except per share data): Three months ended March 31, 2019 2018 Net income available to common shareholders $ 21,619 $ 17,616 Less: earnings allocated to participating securities (186 ) (195 ) Net earnings allocated to common shareholders $ 21,433 $ 17,421 Distributed earnings allocated to common stock $ 8,661 $ 7,023 Undistributed earnings allocated to common stock 12,772 10,398 Net earnings allocated to common shareholders $ 21,433 $ 17,421 Average shares outstanding 16,411 15,414 Effect of dilutive securities: Employee stock awards 18 22 Shares for diluted earnings per share 16,429 15,436 Basic earnings per share $ 1.31 $ 1.13 Diluted earnings per share $ 1.30 $ 1.13 Anti-dilutive options — 2 Anti-dilutive options are not included in the computation of diluted earnings per share because the options’ exercise price was greater than the average market price of the common shares and therefore, the effect would have been anti-dilutive. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair value of an asset or liability is the price that would be received to sell that asset or paid to transfer that liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the Company has the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, and other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Company bases fair value of assets and liabilities on quoted market prices, prices for similar assets or liabilities, quoted prices in markets that are not active, and other inputs that are observable or can be corroborated by observable market data. If such information is not available, fair value is based upon internally developed models that primarily use, as inputs, observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments may include amounts to reflect counterparty credit quality and the Company’s creditworthiness, among other things, as well as unobservable parameters. Any such valuation adjustments are applied consistently over time. The Company’s valuation methodologies may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. While management believes the Company’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Furthermore, the reported fair value amounts have not been comprehensively revalued since the presentation dates, and therefore, estimates of fair value after the balance sheet date may differ significantly from the amount presented herein. A more detailed description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. Financial Assets and Liabilities The Company used the following methods and significant assumptions to estimate fair value for financial assets and liabilities measured on a recurring basis. Securities Available for Sale . Securities available for sale are reported at fair value utilizing Level 1, Level 2, and Level 3 inputs. The fair value of securities available for sale is determined by utilizing a market approach by obtaining quoted prices on nationally recognized securities exchanges (other than forced or distressed transactions) that occur in sufficient volume or matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities. If such measurements are unavailable, the security is classified as Level 3. Significant judgment is required to make this determination. The Company utilizes a third party pricing service provider to value its Level 1 and Level 2 investment securities. Annually, the Company obtains an independent auditor’s report from its third party pricing service provider regarding its controls over investment securities. On a quarterly basis, the Company reprices its debt securities with a third party that is independent of the primary pricing service provider to verify the reasonableness of the fair values. Derivatives . Derivatives are reported at fair value utilizing Level 2 inputs. The Company utilizes a market approach by obtaining dealer quotations to value its customer interest rate swaps. The Company’s derivatives are included within Other Assets and Other Liabilities in the accompanying consolidated balance sheets. Derivative assets are typically secured through securities with financial counterparties or cross collateralization with a borrowing customer. Derivative liabilities are typically secured through the Company pledging securities to financial counterparties or, in the case of a borrowing customer, by the right of setoff. The Company considers factors such as the likelihood of default by itself and its counterparties, right of setoff, and remaining maturities in determining the appropriate fair value adjustments. All derivative counterparties approved by the Company's Asset and Liability Committee ("ALCO") are regularly reviewed, and appropriate business action is taken to adjust the exposure to certain counterparties, if necessary. Counterparty exposure is evaluated by netting positions that are subject to master netting agreements, as well as considering the amount of marketable collateral securing the position. This approach used to estimate impacted exposures to counterparties is also used by the Company to estimate its own credit risk in derivative liability positions. To date, no material losses have been incurred due to a counterparty's inability to pay any undercollateralized position. There was no significant change in the value of derivative assets and liabilities attributed to credit risk that would have resulted in a derivative credit risk valuation adjustment at March 31, 2019 . The Company may be required, from time to time, to measure certain financial assets and financial liabilities at fair value on a nonrecurring basis. Financial assets measured at fair value on a nonrecurring basis include impaired loans reported at the fair value of the underlying collateral if repayment is expected solely from the collateral. Collateral values are estimated using Level 2 inputs based on observable market data for real estate collateral or Level 3 inputs for non-real estate collateral. The following table presents assets and liabilities measured at fair value (in thousands): Total Level 1 Level 2 Level 3 Total Gains (Losses) March 31, 2019 Recurring fair value measurements Financial Assets U.S. Government agencies $ 2,300 $ — $ 2,300 $ — Obligations of states and political subdivisions 125,640 — 125,640 — Mortgage-backed securities: U.S. Government agencies 588,698 — 588,698 — Private label 12,115 — 12,115 — Trust preferred securities 4,238 — 3,977 261 Corporate securities 16,879 — 16,879 — Marketable equity securities 10,388 6,050 4,338 — Certificates of deposit held for investment 3,735 3,735 Investment funds 1,476 1,476 — — Derivative assets 13,582 — 13,582 — Financial Liabilities Derivative liabilities 13,482 — 13,482 — Nonrecurring fair value measurements Financial Assets Impaired loans $ 9,468 $ — $ — $ 9,468 $ (74 ) Non-Financial Assets Other real estate owned 3,186 — — 3,186 (213 ) December 31, 2018 Recurring fair value measurements Financial Assets U.S. Government agencies $ 5,733 $ — $ 5,733 $ — Obligations of states and political subdivisions 128,070 — 128,070 — Mortgage-backed securities: U.S. Government agencies 550,758 — 550,758 — Private label 12,043 — 12,043 — Trust preferred securities 4,799 — 4,538 261 Corporate securities 16,658 — 16,658 — Marketable equity securities 10,313 5,907 4,406 — Certificates of deposit held for investment 3,735 3,735 Investment funds 1,458 1,458 — — Derivative assets 17,100 — 17,100 — Financial Liabilities Derivative liabilities 16,905 — 16,905 — Nonrecurring fair value measurements Financial Assets Impaired loans $ 10,078 $ — $ — $ 10,078 $ (428 ) Non-Financial Assets Other real estate owned 4,608 — — 4,608 (838 ) Other assets 600 — — 600 (492 ) The table below presents a reconcilement of the Company's financial assets and liabilities measured at fair value on a nonrecurring basis using significant unobservable inputs (Level 3), which solely relates to impaired loans that were remeasured and reported at fair value through a specific valuation allowance allocation of the allowance for loan losses based upon the fair value of the underlying collateral (in thousands). The fair value of impaired loans is estimated using one of several methods, including collateral value, liquidation value and discounted cash flows. The significant unobservable inputs used in the fair value measurement of collateral for collateral-dependent impaired loans primarily relate to discounts applied to the customers’ reported amount of collateral. The amount of collateral discount depends upon the marketability of the underlying collateral. During the three months ended March 31, 2019 and 2018 , collateral discounts ranged from 20% to 30% . During the three months ended March 31, 2019 and 2018 , the Company had no Level 2 financial assets and liabilities that were measured on a nonrecurring basis. Three months ended March 31, 2019 2018 Beginning balance $ 10,078 $ 9,020 Loans classified as impaired during the period — — Specific valuation allowance allocations — — Loans classified as impaired during the period, net of specific valuation allowances — — Reduction in (additional) specific valuation allowance allocations 74 (474 ) Paydowns, payoffs, other activity (684 ) 888 Ending balance $ 9,468 $ 9,434 Non-Financial Assets and Liabilities The Company has no non-financial assets or liabilities measured at fair value on a recurring basis. Certain non-financial assets measured at fair value on a non-recurring basis include other real estate owned (“OREO”), which is measured at the lower of cost or fair value, and goodwill and other intangible assets, which are measured at fair value for impairment assessments. The table below presents OREO that was remeasured and reported at fair value based on significant unobservable inputs (Level 3) (in thousands): Three months ended March 31, 2019 2018 Beginning balance $ 4,608 $ 3,585 OREO remeasured at initial recognition: Carrying value of foreclosed assets prior to remeasurement 706 1,218 Charge-offs recognized in the allowance for loan losses (401 ) (353 ) Fair value 305 865 OREO remeasured subsequent to initial recognition: Carrying value of foreclosed assets prior to remeasurement 1,300 1,362 Fair value 1,087 1,149 Write-downs included in other non-interest expense (213 ) (213 ) Disposed (1,514 ) (325 ) Ending balance $ 3,186 $ 3,912 ASC Topic 825 “Financial Instruments,” as amended, requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate that value. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including discount rates and estimate of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instrument. ASC Topic 825 excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. The following methods and assumptions were used in estimating fair value for financial instruments: Cash and cash equivalents: Due to their short-term nature, the carrying amounts reported in the consolidated balance sheets approximate fair value. Securities: The fair value of securities, both available-for-sale and held-to-maturity, are generally based on quoted market prices or matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities. Other securities: The Company's other securities consist of marketable equity securities and non-marketable equity securities. The fair value of marketable equity securities is generally based on quoted market prices. The fair value of non-marketable equity securities, which consist of FRB and FHLB stock, is not practicable to determine due to restrictions placed on its transferability. Net loans: The fair value of the loan portfolio is estimated by discounting the expected future cash flows using the current interest rates at which similar loans would be made to borrowers for the same remaining maturities, the credit risk associated with such loans and other market factors, including liquidity. Loans were first segregated by type such as commercial, real estate and consumer, and were then further segmented into fixed, adjustable and variable rate categories. Expected future cash flows were projected based on contractual cash flows, adjusted for estimated prepayments. Accrued interest receivable: The carrying amount of accrued interest receivable approximates fair value. Deposits: The fair values of demand deposits (i.e., interest and noninterest-bearing deposits, regular savings and other money market demand accounts) are, by definition, equal to their carrying values. The fair values of time deposits were estimated using discounted cash flow analyses. The discount rates used were based on rates currently offered for deposits with similar remaining maturities. The fair values of the time deposit liabilities do not take into consideration the value of the Company’s long-term relationships with depositors, which may have significant value. Short-term debt: Securities sold under agreements to repurchase and Federal Home Loan Bank advances represent borrowings with original maturities of less than 90 days. The carrying amount of borrowings under purchase agreements approximate their fair value. Long-term debt: The fair value of long-term borrowings is estimated using discounted cash flow analyses based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements and market conditions of similar debt instruments. Commitments and letters of credit: The fair values of commitments are estimated based on fees currently charged to enter into similar agreements, taking into consideration the remaining terms of the agreements and the counterparties’ credit standing. The fair value of letters of credit is based on fees currently charged for similar agreements or on the estimated cost to terminate them or otherwise settle the obligations with the counterparties at the reporting date. The amounts of fees currently charged on commitments and letters of credit are deemed insignificant, and therefore, the estimated fair values and carrying values have not been reflected in the table below. The following table represents the estimates of fair value of financial instruments (in thousands). This table excludes financial instruments for which the carrying amount approximates fair value. For short-term financial assets such as cash and cash equivalents, the carrying amount is a reasonable estimate of fair value due to the relatively short time between the origination of the instrument and its expected realization. For financial liabilities such as noninterest-bearing demand, interest-bearing demand and savings deposits, the carrying amount is a reasonable estimate of fair value due to these products having no stated maturity. Carrying Amount Fair Value Level 1 Level 2 Level 3 March 31, 2019 Assets: Cash and cash equivalents $ 143,850 $ 143,850 $ 143,850 $ — $ — Securities available-for-sale 755,081 755,081 1,476 753,344 261 Securities held-to-maturity 55,326 56,085 — 56,085 — Other securities 26,182 26,182 6,050 20,132 — Net loans 3,544,676 3,513,838 — — 3,513,838 Accrued interest receivable 13,657 13,657 13,657 — — Derivative assets 13,582 13,582 — 13,582 — Liabilities: Deposits 4,043,007 4,057,776 2,661,094 1,396,682 — Short-term debt 194,683 194,683 — 194,683 — Long-term debt 4,053 4,115 — 4,115 — Derivative liabilities 13,482 13,482 — 13,482 — December 31, 2018 Assets: Cash and cash equivalents 122,991 122,991 122,991 — — Securities available-for-sale 723,254 723,254 1,458 721,535 261 Securities held-to-maturity 60,827 60,706 — 60,706 — Other securities 28,810 28,810 5,907 22,903 — Net loans 3,571,642 3,516,557 — — 3,516,557 Accrued interest receivable 12,424 12,424 12,424 — — Derivative assets 17,100 17,100 — 17,100 — Liabilities: Deposits 3,975,559 3,985,534 2,622,905 1,362,629 — Short-term debt 261,911 261,911 — 261,911 — Long-term debt 4,053 4,115 — 4,115 — Derivative liabilities 16,905 16,905 — 16,905 — |
Contracts with Customers
Contracts with Customers | 3 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Contracts with Customers | Contracts with Customers The Company's largest source of revenue is comprised of net interest income on financial assets and financial liabilities, which is explicitly excluded from the scope of ASC Topic 606, Revenue from Contracts with Customers ("ASC 606"), and non-interest income. The Company's significant sources of non-interest income are: service charges, bankcard revenue, trust and investment management fee income and bank owned life insurance (which is also excluded from the ASC 606). The following table shows the Company's total non-interest income segregated between those within the scope of ASC 606 and those within the scope of other GAAP topics (in thousands): Three months ended March 31, 2019 2018 Non-interest income Non-interest income from contracts with customers $ 14,746 $ 13,465 Non-interest income within the scope of other GAAP topics 1,179 1,027 Total non-interest income $ 15,925 $ 14,492 The Company's significant policies related to contracts with customers are discussed below. Service Charges: Service charges consist of service charges on deposit accounts (monthly service fees, account analysis fees, non-sufficient funds ("NSF") fees and other deposit account related fees). For transaction based fees, the Company's performance obligation is generally satisfied, and the related revenue recognized, at a point in time. For nontransaction based fees, the Company's performance obligation is generally satisfied, and the related revenue recognized, over the period in which the service is provided (typically a month). Generally, payments are received immediately through a direct charge to the customer's account. Bankcard Revenue: Bankcard revenue is primarily comprised of debit card income and ATM 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 Mastercard. ATM fees are primarily generated when a non-Company cardholder uses a Company ATM or when a Company cardholder uses a non-Company ATM. The Company's performance obligation for bankcard revenue is generally satisfied, and the related revenue recognized, when the services are rendered. Generally, payments are received immediately or in the following month. Trust and Investment Management Fee Income: Trust and investment management fee income is primarily comprised of fees earned from the management and administration of customer assets. The Company's performance obligation is generally satisfied over time (typically a quarter), and the related revenue recognized, based upon the quarter-end market value of the assets under management and the applicable fee rate. Generally, payments are received a few days after quarter-end through a direct charge to the customer's account. The following table illustrates the disaggregation by the Company's major revenue streams (in thousands): Point of Revenue Three months ended March 31, Recognition 2019 2018 Major revenue streams Service charges At a point in time & over time $ 7,321 $ 6,862 Bankcard revenue At a point in time 4,969 4,334 Trust and investment management fee income Over time 1,642 1,568 Other income At a point in time & over time 814 701 Non-interest income from contracts with customers 14,746 13,465 Non-interest income within the scope of other GAAP topics 1,179 1,027 Total non-interest income $ 15,925 $ 14,492 |
Contracts with Customers (Polic
Contracts with Customers (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Service Charges | Service Charges: Service charges consist of service charges on deposit accounts (monthly service fees, account analysis fees, non-sufficient funds ("NSF") fees and other deposit account related fees). For transaction based fees, the Company's performance obligation is generally satisfied, and the related revenue recognized, at a point in time. For nontransaction based fees, the Company's performance obligation is generally satisfied, and the related revenue recognized, over the period in which the service is provided (typically a month). Generally, payments are received immediately through a direct charge to the customer's account. |
Bankcard Revenue | Bankcard Revenue: Bankcard revenue is primarily comprised of debit card income and ATM 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 Mastercard. ATM fees are primarily generated when a non-Company cardholder uses a Company ATM or when a Company cardholder uses a non-Company ATM. The Company's performance obligation for bankcard revenue is generally satisfied, and the related revenue recognized, when the services are rendered. Generally, payments are received immediately or in the following month. |
Trust and Management Fee Revenue | Trust and Investment Management Fee Income: Trust and investment management fee income is primarily comprised of fees earned from the management and administration of customer assets. The Company's performance obligation is generally satisfied over time (typically a quarter), and the related revenue recognized, based upon the quarter-end market value of the assets under management and the applicable fee rate. Generally, payments are received a few days after quarter-end through a direct charge to the customer's account. |
Acquisitions and Preliminary _2
Acquisitions and Preliminary Purchase Price Allocation Acquisitions and Preliminary Purchase Price Allocation (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Business Combinations [Abstract] | |
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination | The Company accounted for both acquisitions using the acquisition method pursuant to "Topic 805 Business Combinations" of the FASB Accounting Standards Codification. The acquisition method requires the acquirer to recognize the assets acquired and the liabilities assumed at their fair values as of the acquisition date. The following table summarizes the estimated fair value of the assets acquired and liabilities assumed as of the date of acquisition (in thousands): Farmers Deposit Poage Total Consideration $ 24,900 $ 83,936 $ 108,836 Identifiable assets: Cash and cash equivalents 4,173 34,325 38,498 Investment securities 46,235 72,321 118,556 Loans 58,516 304,359 362,875 Bank owned life insurance — 7,439 7,439 Premises and equipment 768 4,547 5,315 Deferred tax assets, net (188 ) 2,379 2,191 Other assets 2,302 8,799 11,101 Total identifiable assets 111,806 434,169 545,975 Identifiable liabilities: Deposits 92,241 379,285 471,526 Short-term borrowings 2,025 — 2,025 Long-term debt — 4,053 4,053 Other liabilities 651 3,054 3,705 Total identifiable liabilities 94,917 386,392 481,309 Net identifiable assets 16,889 47,777 64,666 Goodwill 4,677 28,105 32,782 Core deposit intangible 3,334 8,054 11,388 $ 24,900 $ 83,936 $ 108,836 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period | Acquired Loans The following table presents information regarding the purchased credit-impaired and noncredit-impaired loans acquired in conjunction with both acquisitions (in thousands): At As of Acquired Credit-Impaired Acquisition March 31, 2019 Contractually required principal and interest $ 25,315 $ 20,528 Contractual cash flows not expected to be collected (non-accretable difference) (13,593 ) (10,115 ) Expected cash flows 11,722 10,413 Interest component of expected cash flows (accretable difference) (2,375 ) (2,349 ) Carrying value of purchased credit-impaired loans acquired $ 9,347 $ 8,064 Acquired Noncredit-Impaired Outstanding balance $ 354,374 $ 344,780 Less: fair value adjustment (846 ) (653 ) Carrying value of acquired noncredit-impaired loans $ 353,528 $ 344,127 |
Schedule of Goodwill | Goodwill Under GAAP, management has up to twelve months following the date of the acquisition to finalize the fair value of acquired assets and liabilities. The measurement period ends as soon as the Company receives information it was seeking about facts and circumstances that existed as of the acquisition date or learns that more information is not obtainable. Any subsequent adjustments to the fair value of the acquired assets and liabilities, intangible assets or other purchase accounting adjustments will result in adjustments to the goodwill recorded. Among the items that are still preliminary at March 31, 2019, is the finalization of the final tax returns for both entities, which management anticipates completing during 2019. Given the form of the respective transactions, the $4.7 million goodwill preliminarily recorded in conjunction with the Farmers Deposit acquisition is expected to be deductible for tax purposes, while the $28.1 million goodwill preliminarily recorded in conjunction with the Poage acquisition is not expected to be deductible for tax purposes. The following table summarizes adjustments to goodwill subsequent to December 31, 2018 (in thousands): Goodwill Balance at December 31, 2018 $ 109,567 Adjustment to goodwill acquired in conjunction with the acquisition of Poage (529 ) Adjustment to goodwill acquired in conjunction with the acquisition of Farmers Deposit (61 ) Balance at March 31, 2019 $ 108,977 |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Investments [Abstract] | |
Aggregate Carrying And Approximate Market Values Of Available-For-Sale Securities | March 31, 2019 December 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Securities available-for-sale: U.S. Treasuries and U.S. government agencies $ 2,277 $ 23 $ — $ 2,300 $ 5,713 $ 20 $ — $ 5,733 Obligations of states and political subdivisions 123,293 2,632 285 125,640 128,089 1,033 1,052 128,070 Mortgage-backed securities: U.S. government agencies 590,773 4,871 6,946 588,698 561,799 1,950 12,991 550,758 Private label 11,787 328 — 12,115 11,948 95 — 12,043 Trust preferred securities 4,776 31 569 4,238 4,774 25 — 4,799 Corporate securities 16,787 93 1 16,879 16,795 30 167 16,658 Total Debt Securities 749,693 7,978 7,801 749,870 729,118 3,153 14,210 718,061 Certificates of deposit held for investment 3,735 — — 3,735 3,735 — — 3,735 Investment funds 1,526 — 50 1,476 1,525 — 67 1,458 Total Securities Available-for-Sale $ 754,954 $ 7,978 $ 7,851 $ 755,081 $ 734,378 $ 3,153 $ 14,277 $ 723,254 |
Aggregate Carrying And Approximate Market Values Of Held-To-Maturity Securities | Securities held-to-maturity: Mortgage-backed securities: U.S. government agencies $ 55,326 $ 858 $ 99 $ 56,085 $ 56,827 $ 173 $ 294 $ 56,706 Trust preferred securities — — — — 4,000 — — 4,000 Total Securities Held-to-Maturity $ 55,326 $ 858 $ 99 $ 56,085 $ 60,827 $ 173 $ 294 $ 60,706 |
Gross Unrealized Losses And Fair Value Of Investments | March 31, 2019 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 832 $ 3 $ 20,922 $ 282 $ 21,754 $ 285 Mortgage-backed securities: U.S. Government agencies 5,654 2 343,082 6,944 348,736 6,946 Trust preferred securities 3,972 569 — — 3,972 569 Corporate securities 1,020 1 — — 1,020 1 Investment funds 1,500 50 — — 1,500 50 Total available-for-sale $ 12,978 $ 625 $ 364,004 $ 7,226 $ 376,982 $ 7,851 Securities held-to-maturity: Mortgage-backed securities: U.S. Government agencies $ — $ — $ 5,896 $ 99 $ 5,896 $ 99 Total held-to-maturity $ — $ — $ 5,896 $ 99 $ 5,896 $ 99 December 31, 2018 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 11,837 $ 272 $ 22,068 $ 780 $ 33,905 $ 1,052 Mortgage-backed securities: U.S. Government agencies 84,975 1,593 282,560 11,398 367,535 12,991 Corporate securities 12,995 167 — — 12,995 167 Investment funds 1,500 67 — — 1,500 67 Total available-for-sale $ 111,307 $ 2,099 $ 304,628 $ 12,178 $ 415,935 $ 14,277 Securities held-to-maturity: Mortgage-backed securities U.S. Government agencies $ 28,274 $ 126 $ 5,960 $ 168 $ 34,234 $ 294 Total held-to-maturity $ 28,274 $ 126 $ 5,960 $ 168 $ 34,234 $ 294 |
Amortized Cost And Estimated Fair Value Of Debt Securities By Contractual Maturity | The amortized cost and estimated fair value of debt securities at March 31, 2019 , by contractual maturity, are shown in the following table (in thousands). Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Mortgage-backed securities have been allocated to their respective maturity groupings based on their contractual maturity. Amortized Cost Estimated Fair Value Available-for-Sale Debt Securities Due in one year or less $ 3,238 $ 3,241 Due after one year through five years 18,566 18,776 Due after five years through ten years 156,128 156,585 Due after ten years 571,761 571,268 Total $ 749,693 $ 749,870 Held-to-Maturity Debt Securities Due in one year or less $ — $ — Due after one year through five years — — Due after five years through ten years 4,929 5,230 Due after ten years 50,397 50,855 Total $ 55,326 $ 56,085 |
Gross Gains And Losses Realized | Three months ended March 31, 2019 2018 Gross unrealized gains recognized on securities still held $ 143 $ 283 Gross unrealized losses recognized on securities still held (68 ) (3 ) Net unrealized gains (losses) recognized on securities still held $ 75 $ 280 Gross realized gains on securities sold $ 89 $ — Gross realized losses on securities sold (1 ) — Net investment security gains $ 88 $ — |
Loans (Tables)
Loans (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Loans Receivable, Net [Abstract] | |
Summary Of Major Classifications For Loans | The following summarizes the Company’s major classifications for loans (in thousands): March 31, 2019 December 31, 2018 Residential real estate $ 1,625,647 $ 1,635,338 Home equity 152,251 153,496 Commercial and industrial 289,327 286,314 Commercial real estate 1,436,190 1,454,942 Consumer 52,483 51,190 DDA overdrafts 3,424 6,328 Gross loans 3,559,322 3,587,608 Allowance for loan losses (14,646 ) (15,966 ) Net loans $ 3,544,676 $ 3,571,642 Construction loans included in: Residential real estate $ 22,635 $ 21,834 Commercial real estate 56,282 37,869 |
Allowance For Loan Losses (Tabl
Allowance For Loan Losses (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Receivables [Abstract] | |
Schedule Of Allowance For Loan Loss By Portfolio Segment | The following table summarizes the activity in the allowance for loan losses, by portfolio loan classification, for the three months ended March 31, 2019 and 2018 (in thousands). The allocation of a portion of the allowance in one portfolio segment does not preclude its availability to absorb losses in other portfolio segments. The following table also presents the balance in the allowance for loan loss disaggregated on the basis of the Company’s impairment measurement method and the related recorded investment in loans, by portfolio segment, as of March 31, 2019 and December 31, 2018 (in thousands). Commercial and Commercial Residential DDA Industrial Real Estate Real Estate Home Equity Consumer Overdrafts Total Three months ended March 31, 2019 Allowance for loan losses Beginning balance $ 4,060 $ 4,495 $ 4,116 $ 1,268 $ 319 $ 1,708 $ 15,966 Charge-offs — (45 ) (328 ) (46 ) (185 ) (625 ) (1,229 ) Recoveries 135 32 75 — 97 419 758 (Recovery of) provision (1,225 ) 158 (43 ) 26 237 (2 ) (849 ) Ending balance $ 2,970 $ 4,640 $ 3,820 $ 1,248 $ 468 $ 1,500 $ 14,646 Three months ended March 31, 2018 Allowance for loan losses Beginning balance $ 4,571 $ 6,183 $ 5,212 $ 1,138 $ 62 $ 1,670 $ 18,836 Charge-offs (339 ) (157 ) (131 ) (71 ) (99 ) (636 ) (1,433 ) Recoveries 2 223 106 — 46 420 797 (Recovery of) provision 529 (480 ) (244 ) 133 203 40 181 Ending balance $ 4,763 $ 5,769 $ 4,943 $ 1,200 $ 212 $ 1,494 $ 18,381 As of March 31, 2019 Allowance for loan losses Evaluated for impairment: Individually $ — $ 503 $ — $ — $ — $ — $ 503 Collectively 2,969 4,085 3,820 1,248 461 1,500 14,083 Acquired with deteriorated credit quality 1 52 — — 7 — 60 Total $ 2,970 $ 4,640 $ 3,820 $ 1,248 $ 468 $ 1,500 $ 14,646 Loans Evaluated for impairment: Individually $ 617 $ 9,354 $ — $ — $ — $ — $ 9,971 Collectively 287,172 1,415,938 1,623,550 152,251 52,370 3,424 3,534,705 Acquired with deteriorated credit quality 1,538 10,898 2,097 — 113 — 14,646 Total $ 289,327 $ 1,436,190 $ 1,625,647 $ 152,251 $ 52,483 $ 3,424 $ 3,559,322 As of December 31, 2018 Allowance for loan losses Evaluated for impairment: Individually $ — $ 428 $ — $ — $ — $ — $ 428 Collectively 4,059 4,015 4,116 1,268 312 1,708 15,478 Acquired with deteriorated credit quality 1 52 — — 7 — 60 Total $ 4,060 $ 4,495 $ 4,116 $ 1,268 $ 319 $ 1,708 $ 15,966 Loans Evaluated for impairment: Individually $ 651 $ 9,855 $ — $ — $ — $ — $ 10,506 Collectively 284,018 1,433,674 1,633,241 153,496 51,077 6,328 3,561,834 Acquired with deteriorated credit quality 1,645 11,413 2,097 — 113 — 15,268 Total $ 286,314 $ 1,454,942 $ 1,635,338 $ 153,496 $ 51,190 $ 6,328 $ 3,587,608 |
Schedule Of Credit Quality Indicators | The Company uses the following definitions for its risk ratings: Risk Rating Description Pass ratings: (a) Exceptional Loans classified as exceptional are secured with liquid collateral conforming to the internal loan policy. Loans rated within this category pose minimal risk of loss to the bank. (b) Good Loans classified as good have similar characteristics that include a strong balance sheet, satisfactory debt service coverage ratios, strong management and/or guarantors, and little exposure to economic cycles. Loans in this category generally have a low chance of loss to the bank. (c) Acceptable Loans classified as acceptable have acceptable liquidity levels, adequate debt service coverage ratios, experienced management, and have average exposure to economic cycles. Loans within this category generally have a low risk of loss to the bank. (d) Pass/watch Loans classified as pass/watch have erratic levels of leverage and/or liquidity, cash flow is volatile and the borrower is subject to moderate economic risk. A borrower in this category poses a low to moderate risk of loss to the bank. Special Mention Loans classified as special mention have a potential weakness(es) that deserves management’s close attention. The potential weakness could result in deterioration of the loan repayment or the bank’s credit position at some future date. A loan rated in this category poses a moderate loss risk to the bank. Substandard Loans classified as substandard reflect a customer with a well defined weakness that jeopardizes the liquidation of the debt. Loans in this category have the possibility that the bank will sustain some loss if the deficiencies are not corrected and the bank’s collateral value is weakened by the financial deterioration of the borrower. Doubtful Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristics that make collection of the full contract amount highly improbable. Loans rated in this category are most likely to cause the bank to have a loss due to a collateral shortfall or a negative capital position. The following table presents the Company’s commercial loans by credit quality indicators, by portfolio loan classification (in thousands): Commercial and Industrial Commercial Real Estate Total March 31, 2019 Pass $ 258,096 $ 1,380,744 $ 1,638,840 Special mention 25,457 10,242 35,699 Substandard 5,774 45,204 50,978 Doubtful — — — Total $ 289,327 $ 1,436,190 $ 1,725,517 December 31, 2018 Pass $ 250,856 $ 1,402,821 $ 1,653,677 Special mention 27,886 5,696 33,582 Substandard 7,572 46,425 53,997 Doubtful — — — Total $ 286,314 $ 1,454,942 $ 1,741,256 |
Schedule Of Noncommercial Loans By Payment Performance | The following table presents the Company's non-commercial loans by payment performance, by portfolio loan classification (in thousands): Performing Non-Performing Total March 31, 2019 Residential real estate $ 1,622,370 $ 3,277 $ 1,625,647 Home equity 152,208 43 152,251 Consumer 52,429 54 52,483 DDA overdrafts 3,424 — 3,424 Total $ 1,830,431 $ 3,374 $ 1,833,805 December 31, 2018 Residential real estate $ 1,630,892 $ 4,446 $ 1,635,338 Home equity 153,334 162 153,496 Consumer 51,188 2 51,190 DDA overdrafts 6,322 6 6,328 Total $ 1,841,736 $ 4,616 $ 1,846,352 |
Schedule Of Aging Analysis Of Accruing And Non-Accruing Loans | The following table presents an aging analysis of the Company’s accruing and non-accrual loans, by portfolio loan classification (in thousands): March 31, 2019 Accruing Current 30-59 days 60-89 days Over 90 days Non-accrual Total Residential real estate $ 1,614,413 $ 7,245 $ 713 $ 13 $ 3,263 $ 1,625,647 Home equity 151,489 551 167 3 41 152,251 Commercial and industrial 287,700 101 — — 1,526 289,327 Commercial real estate 1,427,494 1,377 — 37 7,282 1,436,190 Consumer 52,218 129 82 53 1 52,483 DDA overdrafts 2,889 533 2 — — 3,424 Total $ 3,536,203 $ 9,936 $ 964 $ 106 $ 12,113 $ 3,559,322 December 31, 2018 Accruing Current 30-59 days 60-89 days Over 90 days Non-accrual Total Residential real estate $ 1,621,073 $ 8,607 $ 1,213 $ 170 $ 4,275 $ 1,635,338 Home equity 152,083 1,240 11 24 138 153,496 Commercial and industrial 284,140 397 49 52 1,676 286,314 Commercial real estate 1,445,896 487 94 4 8,461 1,454,942 Consumer 50,894 253 41 1 1 51,190 DDA overdrafts 5,840 467 15 6 — 6,328 Total $ 3,559,926 $ 11,451 $ 1,423 $ 257 $ 14,551 $ 3,587,608 |
Schedule Of Impaired Loans | The following table presents the Company’s impaired loans, by class (in thousands). The difference between the unpaid principal balance and the recorded investment generally reflects amounts that have been previously charged-off. There are no impaired residential, home equity, or consumer loans. March 31, 2019 December 31, 2018 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance recorded: Commercial and industrial $ 617 $ 617 $ — $ 651 $ 651 $ — Commercial real estate 6,369 6,394 — 6,870 6,895 — Total $ 6,986 $ 7,011 $ — $ 7,521 $ 7,546 $ — With an allowance recorded: Commercial and industrial $ — $ — $ — $ — $ — $ — Commercial real estate 2,985 2,985 503 2,985 2,985 428 Total $ 2,985 $ 2,985 $ 503 $ 2,985 $ 2,985 $ 428 |
Schedule Of Information Related To Average Recorded Investment And Interest Income Recognized On Impaired Loans | The following table presents information related to the average recorded investment and interest income recognized on the Company’s impaired loans, by class (in thousands): Three months ended March 31, 2019 2018 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized With no related allowance recorded: Commercial and industrial $ 618 — $ 774 $ — Commercial real estate 6,521 36 3,008 3 Total $ 7,139 $ 36 $ 3,782 $ 3 With an allowance recorded: Commercial and industrial $ — $ — $ — $ — Commercial real estate 2,985 30 5,750 52 Total $ 2,985 $ 30 $ 5,750 $ 52 |
Schedule Of Troubled Debt Restructurings | The following tables set forth the Company’s TDRs (in thousands): March 31, 2019 December 31, 2018 Non- Non- Accruing Accruing Total Accruing Accruing Total Commercial and industrial $ 89 $ — $ 89 $ 98 $ — $ 98 Commercial real estate 8,164 — 8,164 8,205 — 8,205 Residential real estate 23,017 464 23,481 22,863 658 23,521 Home equity 3,013 5 3,018 3,025 5 3,030 Consumer — — — — — — Total $ 34,283 $ 469 $ 34,752 $ 34,191 $ 663 $ 34,854 New TDRs Three months ended March 31, 2019 2018 Pre Post Pre Post Modification Modification Modification Modification Outstanding Outstanding Outstanding Outstanding Number of Recorded Recorded Number of Recorded Recorded Contracts Investment Investment Contracts Investment Investment Commercial and industrial — $ — $ — — $ — $ — Commercial real estate — — — — — — Residential real estate 23 1,729 1,729 7 412 412 Home equity 5 69 69 4 77 77 Consumer — — — — — — Total 28 $ 1,798 $ 1,798 11 $ 489 $ 489 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Long-term Debt, Unclassified [Abstract] | |
Long-Term Debt | The components of long-term debt are summarized below (in thousands): March 31, 2019 December 31, 2018 Subordinated debentures owed to Town Square Statutory Trust I, due 2036, interest at a rate of 4.43% at March 31, 2019 and 4.64% at December 31, 2018 $ 4,124 $ 4,124 Fair value adjustment of subordinated debentures (71 ) (71 ) $ 4,053 $ 4,053 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value Of Derivative Instruments | The following table summarizes the notional and fair value of these derivative instruments (in thousands): March 31, 2019 December 31, 2018 Notional Amount Fair Value Notional Amount Fair Value Non-hedging interest rate derivatives: Customer counterparties: Loan interest rate swap - assets $ 235,217 $ 6,475 $ 132,146 $ 3,131 Loan interest rate swap - liabilities 275,227 7,007 372,223 13,774 Non-hedging interest rate derivatives: Financial institution counterparties: Loan interest rate swap - assets 280,823 7,077 403,500 13,902 Loan interest rate swap - liabilities 235,217 6,475 132,146 3,131 |
Change In Fair Value Of Derivative Instruments | The following table summarizes the change in fair value of these derivative instruments (in thousands): Three months ended March 31, 2019 2018 Change in Fair Value Non-Hedging Interest Rate Derivatives: Other income - derivative assets $ (2,879 ) $ 7,101 Other income - derivative liabilities 2,879 (7,101 ) Other expense - derivative liabilities 58 90 |
Derivative Assets Offset in The Consolidated Balance Sheets | Information about financial instruments that are eligible for offset in the consolidated balance sheet as of March 31, 2019 is presented in the following tables (in thousands): Gross Amounts Not Offset in the Balance Sheet Total of Gross Amounts Not Offset in the Statement of Financial Position Netting Including Gross Gross Net Amounts Adjustment Applicable Amounts Amounts of Assets per Netting Recognized in Offset in the Presented in Applicable Agreement Statement of Statement of the Statement Master Fair Value and Fair Financial Financial of Financial Netting of Financial Value of Description Position Position Position Arrangements Collateral Collateral Net Amount Non-hedging derivative assets: Interest rate swap agreements - customer counterparties (1) $ 6,475 $ — $ 6,475 $ — $ 6,475 $ 6,475 $ — Interest rate swap agreements - financial institution counterparties (2) 7,077 — 7,077 5,645 — 5,645 1,432 |
Derivative Liabilities Offset in The Consolidated Balance Sheets | Non-hedging derivative liabilities: Interest rate swap agreements - customer counterparties (1) 7,007 — 7,007 — 7,007 7,007 — Interest rate swap agreements - financial institution counterparties (3) 6,475 — 6,475 5,645 830 6,475 — * For instances where the fair value of financial collateral meets or exceeds the amounts presented in the Consolidated Balance Sheets, no value is displayed to represent full collateralization. (1) The underlying collateral on the loan serves as collateral for the derivative financial instrument. (2) The financial institution counterparty posts collateral to the Company. (3) The Company posts collateral to the financial institution counterparty. |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Share-based Compensation [Abstract] | |
Summary Of Stock Option Activity | A summary of the Company’s stock option activity and related information is presented below: Three months ended March 31, 2019 2018 Options Weighted-Average Exercise Price Options Weighted-Average Exercise Price Outstanding at January 1 57,972 $ 51.15 87,605 $ 47.15 Exercised (5,638 ) 44.74 (7,387 ) 37.85 Outstanding at March 31 52,334 $ 51.84 80,218 $ 48.00 Exerciseable at March 31 14,146 $ 44.70 24,943 $ 40.38 Information regarding stock option exercises and stock-based compensation expense associated with stock options is provided in the following table (in thousands): Three months ended March 31, 2019 2018 Proceeds from stock option exercises $ 252 $ 280 Intrinsic value of stock options exercised 177 220 Stock-based compensation expense associated with stock options $ 37 $ 54 At period-end: March 31, 2019 Unrecognized stock-based compensation expense associated with stock options $ 167 Weighted average period (in years) in which the above amount is expected to be recognized 1.9 |
Stock Options Outstanding And Exercisable | Additional information regarding stock options outstanding and exercisable at March 31, 2019 is provided in the following table: Ranges of Exercise Prices No. of Options Outstanding Weighted-Average Exercise Price Weighted-Average Remaining Contractual Life (Years) Aggregate Intrinsic Value (in thousands) No. of Options Currently Exercisable Weighted-Average Exercise Price of Options Currently Exercisable Weighted-Average Remaining Contractual Life (Years) Aggregate Intrinsic Value of Options Currently Exercisable (in thousands) $35.00 - $39.99 38 $ 37.74 3.9 $ 1 38 $ 37.74 3.9 1 40.00 - 44.99 27,016 43.89 6.5 873 10,784 44.14 5.8 346 45.00 - 49.99 7,649 46.61 5.9 226 3,324 46.61 5.9 98 65.00 - 70.00 17,631 66.32 7.9 174 — — — — 52,334 $ 1,274 14,146 $ 445 |
Restricted Shares Activity And Related Information | A summary of the Company’s restricted shares activity and related information is presented below: Three months ended March 31, 2019 2018 Restricted Awards Average Market Price at Grant Restricted Awards Average Market Price at Grant Outstanding at January 1 152,692 $ 51.85 170,033 $ 44.34 Granted 13,531 79.46 23,163 68.63 Vested (23,667 ) 45.60 (20,864 ) 40.44 Outstanding at March 31 142,556 $ 55.51 172,332 $ 48.08 Information regarding stock-based compensation associated with restricted shares is provided in the following table (in thousands): Three months ended March 31, 2019 2018 Stock-based compensation expense associated with restricted shares $ 434 $ 379 At period-end: March 31, 2019 Unrecognized stock-based compensation expense associated with restricted shares $ 4,403 Weighted average period (in years) in which the above amount is expected to be recognized 3.1 |
Net Periodic Pension Cost Of The Defined Benefit Plan | The following table presents details of the Company's activities pursuant to these plans (in thousands): Three months ended March 31, 2019 2018 Components of net periodic cost: Interest cost $ 140 $ 147 Expected return on plan assets (214 ) (270 ) Net amortization and deferral 229 218 Net Periodic Pension Cost $ 155 $ 95 401(k) Plan expense $ 259 $ 218 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule Of Contractual Obligations From Significant Commitments | The table below presents a summary of the contractual obligations of the Company resulting from significant commitments (in thousands): March 31, 2019 December 31, 2018 Commitments to extend credit: Home equity lines $ 209,455 $ 207,509 Commercial real estate 76,922 68,649 Other commitments 201,625 201,687 Standby letters of credit 7,245 7,183 Commercial letters of credit 811 811 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Equity [Abstract] | |
Schedule of Changes In Each Component of Accumulated Other Comprehensive Income | The activity in accumulated other comprehensive loss is presented in the tables below (in thousands). All amounts are shown net of tax, which is calculated using a combined federal and state income tax rate approximating 23% . Accumulated Other Comprehensive (Loss) Income Unrealized Gains (Losses) on Defined Benefit Securities Pension Plans Available-for-Sale Total Balance at December 31, 2018 $ (5,871 ) $ (8,611 ) $ (14,482 ) Other comprehensive income before reclassifications — 8,698 8,698 Amounts reclassified from other comprehensive loss — (67 ) (67 ) — 8,631 8,631 Balance at March 31, 2019 $ (5,871 ) $ 20 $ (5,851 ) Balance at December 31, 2017 $ (5,033 ) $ (611 ) $ (5,644 ) Other comprehensive loss before reclassifications — (8,218 ) (8,218 ) Amounts reclassified from other comprehensive loss — — — — (8,218 ) (8,218 ) Adoption of new accounting pronouncement — (2,657 ) (2,657 ) Balance at March 31, 2018 $ (5,033 ) $ (11,486 ) $ (16,519 ) |
Schedule of Amounts Reclassified Out Of Accumulated Other Comprehensive Income | Amount reclassified from Other Comprehensive Loss Three months ended Affected line item March 31, in the Statements 2019 2018 of Income Securities available-for-sale: Net securities gains reclassified into earnings $ 88 $ — Gains on sale of investment securities Related income tax expense (21 ) — Income tax expense Net effect on accumulated other comprehensive loss $ 67 $ — |
Earnings per Share (Tables)
Earnings per Share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule Of Computation Of Basic And Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share using the two class method (in thousands, except per share data): Three months ended March 31, 2019 2018 Net income available to common shareholders $ 21,619 $ 17,616 Less: earnings allocated to participating securities (186 ) (195 ) Net earnings allocated to common shareholders $ 21,433 $ 17,421 Distributed earnings allocated to common stock $ 8,661 $ 7,023 Undistributed earnings allocated to common stock 12,772 10,398 Net earnings allocated to common shareholders $ 21,433 $ 17,421 Average shares outstanding 16,411 15,414 Effect of dilutive securities: Employee stock awards 18 22 Shares for diluted earnings per share 16,429 15,436 Basic earnings per share $ 1.31 $ 1.13 Diluted earnings per share $ 1.30 $ 1.13 Anti-dilutive options — 2 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis | The following table presents assets and liabilities measured at fair value (in thousands): Total Level 1 Level 2 Level 3 Total Gains (Losses) March 31, 2019 Recurring fair value measurements Financial Assets U.S. Government agencies $ 2,300 $ — $ 2,300 $ — Obligations of states and political subdivisions 125,640 — 125,640 — Mortgage-backed securities: U.S. Government agencies 588,698 — 588,698 — Private label 12,115 — 12,115 — Trust preferred securities 4,238 — 3,977 261 Corporate securities 16,879 — 16,879 — Marketable equity securities 10,388 6,050 4,338 — Certificates of deposit held for investment 3,735 3,735 Investment funds 1,476 1,476 — — Derivative assets 13,582 — 13,582 — Financial Liabilities Derivative liabilities 13,482 — 13,482 — Nonrecurring fair value measurements Financial Assets Impaired loans $ 9,468 $ — $ — $ 9,468 $ (74 ) Non-Financial Assets Other real estate owned 3,186 — — 3,186 (213 ) December 31, 2018 Recurring fair value measurements Financial Assets U.S. Government agencies $ 5,733 $ — $ 5,733 $ — Obligations of states and political subdivisions 128,070 — 128,070 — Mortgage-backed securities: U.S. Government agencies 550,758 — 550,758 — Private label 12,043 — 12,043 — Trust preferred securities 4,799 — 4,538 261 Corporate securities 16,658 — 16,658 — Marketable equity securities 10,313 5,907 4,406 — Certificates of deposit held for investment 3,735 3,735 Investment funds 1,458 1,458 — — Derivative assets 17,100 — 17,100 — Financial Liabilities Derivative liabilities 16,905 — 16,905 — Nonrecurring fair value measurements Financial Assets Impaired loans $ 10,078 $ — $ — $ 10,078 $ (428 ) Non-Financial Assets Other real estate owned 4,608 — — 4,608 (838 ) Other assets 600 — — 600 (492 ) |
Schedule Of Level 3 Financial Assets And Liabilities Measured On A Non-Recurring Basis | The table below presents a reconcilement of the Company's financial assets and liabilities measured at fair value on a nonrecurring basis using significant unobservable inputs (Level 3), which solely relates to impaired loans that were remeasured and reported at fair value through a specific valuation allowance allocation of the allowance for loan losses based upon the fair value of the underlying collateral (in thousands). The fair value of impaired loans is estimated using one of several methods, including collateral value, liquidation value and discounted cash flows. The significant unobservable inputs used in the fair value measurement of collateral for collateral-dependent impaired loans primarily relate to discounts applied to the customers’ reported amount of collateral. The amount of collateral discount depends upon the marketability of the underlying collateral. During the three months ended March 31, 2019 and 2018 , collateral discounts ranged from 20% to 30% . During the three months ended March 31, 2019 and 2018 , the Company had no Level 2 financial assets and liabilities that were measured on a nonrecurring basis. Three months ended March 31, 2019 2018 Beginning balance $ 10,078 $ 9,020 Loans classified as impaired during the period — — Specific valuation allowance allocations — — Loans classified as impaired during the period, net of specific valuation allowances — — Reduction in (additional) specific valuation allowance allocations 74 (474 ) Paydowns, payoffs, other activity (684 ) 888 Ending balance $ 9,468 $ 9,434 |
Schedule Of Level 3 Non-Financial Assets and Liabilities Measured On a Non-Recurring Basis | The table below presents OREO that was remeasured and reported at fair value based on significant unobservable inputs (Level 3) (in thousands): Three months ended March 31, 2019 2018 Beginning balance $ 4,608 $ 3,585 OREO remeasured at initial recognition: Carrying value of foreclosed assets prior to remeasurement 706 1,218 Charge-offs recognized in the allowance for loan losses (401 ) (353 ) Fair value 305 865 OREO remeasured subsequent to initial recognition: Carrying value of foreclosed assets prior to remeasurement 1,300 1,362 Fair value 1,087 1,149 Write-downs included in other non-interest expense (213 ) (213 ) Disposed (1,514 ) (325 ) Ending balance $ 3,186 $ 3,912 |
Schedule Of Estimates Of Fair Value Of Financial Instruments | The following table represents the estimates of fair value of financial instruments (in thousands). This table excludes financial instruments for which the carrying amount approximates fair value. For short-term financial assets such as cash and cash equivalents, the carrying amount is a reasonable estimate of fair value due to the relatively short time between the origination of the instrument and its expected realization. For financial liabilities such as noninterest-bearing demand, interest-bearing demand and savings deposits, the carrying amount is a reasonable estimate of fair value due to these products having no stated maturity. Carrying Amount Fair Value Level 1 Level 2 Level 3 March 31, 2019 Assets: Cash and cash equivalents $ 143,850 $ 143,850 $ 143,850 $ — $ — Securities available-for-sale 755,081 755,081 1,476 753,344 261 Securities held-to-maturity 55,326 56,085 — 56,085 — Other securities 26,182 26,182 6,050 20,132 — Net loans 3,544,676 3,513,838 — — 3,513,838 Accrued interest receivable 13,657 13,657 13,657 — — Derivative assets 13,582 13,582 — 13,582 — Liabilities: Deposits 4,043,007 4,057,776 2,661,094 1,396,682 — Short-term debt 194,683 194,683 — 194,683 — Long-term debt 4,053 4,115 — 4,115 — Derivative liabilities 13,482 13,482 — 13,482 — December 31, 2018 Assets: Cash and cash equivalents 122,991 122,991 122,991 — — Securities available-for-sale 723,254 723,254 1,458 721,535 261 Securities held-to-maturity 60,827 60,706 — 60,706 — Other securities 28,810 28,810 5,907 22,903 — Net loans 3,571,642 3,516,557 — — 3,516,557 Accrued interest receivable 12,424 12,424 12,424 — — Derivative assets 17,100 17,100 — 17,100 — Liabilities: Deposits 3,975,559 3,985,534 2,622,905 1,362,629 — Short-term debt 261,911 261,911 — 261,911 — Long-term debt 4,053 4,115 — 4,115 — Derivative liabilities 16,905 16,905 — 16,905 — |
Contracts with Customers (Table
Contracts with Customers (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table illustrates the disaggregation by the Company's major revenue streams (in thousands): Point of Revenue Three months ended March 31, Recognition 2019 2018 Major revenue streams Service charges At a point in time & over time $ 7,321 $ 6,862 Bankcard revenue At a point in time 4,969 4,334 Trust and investment management fee income Over time 1,642 1,568 Other income At a point in time & over time 814 701 Non-interest income from contracts with customers 14,746 13,465 Non-interest income within the scope of other GAAP topics 1,179 1,027 Total non-interest income $ 15,925 $ 14,492 |
Background and Basis of Prese_2
Background and Basis of Presentation (Details) | 3 Months Ended |
Mar. 31, 2019store | |
Entity Location [Line Items] | |
Number of Reportable Segments | 1 |
City National | |
Entity Location [Line Items] | |
Number of Stores | 97 |
WEST VIRGINIA | City National | |
Entity Location [Line Items] | |
Number of Stores | 58 |
KENTUCKY | City National | |
Entity Location [Line Items] | |
Number of Stores | 21 |
VIRGINIA | City National | |
Entity Location [Line Items] | |
Number of Stores | 14 |
OHIO | City National | |
Entity Location [Line Items] | |
Number of Stores | 4 |
Acquisitions and Preliminary _3
Acquisitions and Preliminary Purchase Price Allocation Acquisitions and Preliminary Purchase Price Allocation (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Mar. 31, 2019 | Dec. 07, 2018 | |
Business Acquisition [Line Items] | |||
Goodwill | $ 109,567 | $ 108,977 | |
Farmers Deposit Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Business Acquisition, Share Price | $ 1,174.14 | ||
Payments to Acquire Businesses, Gross | $ 24,900 | ||
Premium on Time Deposits | $ 100 | ||
Core deposit intangible | 3,334 | ||
Goodwill | 4,700 | $ 4,677 | |
Poage Bankshares, Inc. | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 1.1 | ||
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned | $ 82,600 | ||
Business Acquisition, Share Price | $ 24.22 | ||
Payments to Acquire Businesses, Gross | $ 83,936 | ||
Premium on Time Deposits | $ 1,700 | ||
Core deposit intangible | 8,054 | ||
Goodwill | $ 28,100 | 28,105 | |
Poage and Farmers | |||
Business Acquisition [Line Items] | |||
Payments to Acquire Businesses, Gross | $ 108,836 | ||
Premium on Time Deposits Amortization Period | 5 years | ||
Core deposit intangible | 11,388 | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 10 years | ||
Goodwill | $ 32,782 |
Acquisitions and Preliminary _4
Acquisitions and Preliminary Purchase Price Allocation Acquisitions and Preliminary Purchase Price Allocation Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Mar. 31, 2019 | Dec. 07, 2018 | |
Business Acquisition [Line Items] | |||
Goodwill | $ 109,567 | $ 108,977 | |
Poage and Farmers | |||
Business Acquisition [Line Items] | |||
Consideration | 108,836 | ||
Cash and cash equivalents | $ 38,498 | ||
Investment securities | 118,556 | ||
Loans | 362,875 | ||
Bank owned life insurance | 7,439 | ||
Premises and equipment | 5,315 | ||
Deferred tax assets | 2,191 | ||
Other assets | 11,101 | ||
Total identifiable assets | 545,975 | ||
Deposits | 471,526 | ||
Short-term borrowings | 2,025 | ||
Long-term debt | 4,053 | ||
Other liabilities | 3,705 | ||
Total identifiable liabilities | 481,309 | ||
Net identifiable assets | 64,666 | ||
Goodwill | 32,782 | ||
Core deposit intangible | 11,388 | ||
Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net | 108,836 | ||
Farmers Deposit Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Consideration | 24,900 | ||
Cash and cash equivalents | 4,173 | ||
Investment securities | 46,235 | ||
Loans | 58,516 | ||
Bank owned life insurance | 0 | ||
Premises and equipment | 768 | ||
Deferred tax liabilities | 188 | ||
Other assets | 2,302 | ||
Total identifiable assets | 111,806 | ||
Deposits | 92,241 | ||
Short-term borrowings | 2,025 | ||
Long-term debt | 0 | ||
Other liabilities | 651 | ||
Total identifiable liabilities | 94,917 | ||
Net identifiable assets | 16,889 | ||
Goodwill | 4,700 | 4,677 | |
Core deposit intangible | 3,334 | ||
Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net | 24,900 | ||
Poage Bankshares, Inc. | |||
Business Acquisition [Line Items] | |||
Consideration | $ 83,936 | ||
Cash and cash equivalents | 34,325 | ||
Investment securities | 72,321 | ||
Loans | 304,359 | ||
Bank owned life insurance | 7,439 | ||
Premises and equipment | 4,547 | ||
Deferred tax assets | 2,379 | ||
Other assets | 8,799 | ||
Total identifiable assets | 434,169 | ||
Deposits | 379,285 | ||
Short-term borrowings | 0 | ||
Long-term debt | 4,053 | ||
Other liabilities | 3,054 | ||
Total identifiable liabilities | 386,392 | ||
Net identifiable assets | 47,777 | ||
Goodwill | $ 28,100 | 28,105 | |
Core deposit intangible | 8,054 | ||
Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net | $ 83,936 |
Acquisitions and Preliminary _5
Acquisitions and Preliminary Purchase Price Allocation Acquisitions and Preliminary Purchase Price Allocation Loans Acquired (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 07, 2018 |
Poage Bankshares, Inc. | ||
Business Acquisition [Line Items] | ||
Contractually required principal and interest | $ 20,528 | $ 25,315 |
Contractual cash flows not expected to be collected (non-accretable difference) | (10,115) | (13,593) |
Expected cash flows | 10,413 | 11,722 |
Interest component of expected cash flows (accretable difference) | (2,349) | (2,375) |
Carrying value of purchased credit-impaired loans acquired | 8,064 | 9,347 |
Poage and Farmers | ||
Business Acquisition [Line Items] | ||
Outstanding balance | 344,780 | 354,374 |
Less: fair value adjustment | (653) | (846) |
Carrying value of acquired noncredit-impaired loans | $ 344,127 | $ 353,528 |
Acquisitions and Preliminary _6
Acquisitions and Preliminary Purchase Price Allocation Acquisitions and Preliminary Purchase Price Allocation Goodwill Rollforward (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Goodwill [Roll Forward] | |
Balance at December 31, 2018 | $ 109,567 |
Balance at March 31, 2019 | 108,977 |
Poage Bankshares, Inc. | |
Goodwill [Roll Forward] | |
Adjustment to goodwill acquired | (529) |
Balance at March 31, 2019 | 28,100 |
Farmers Deposit Bancorp, Inc. | |
Goodwill [Roll Forward] | |
Adjustment to goodwill acquired | (61) |
Balance at March 31, 2019 | $ 4,700 |
Investments (Narrative) (Detail
Investments (Narrative) (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Schedule of Investments [Line Items] | |||
Credit-related net investment impairment losses | $ 0 | $ 0 | |
Percent of average daily trading volume | 0.20% | 0.20% | 0.20% |
Equity Securities | |||
Schedule of Investments [Line Items] | |||
Equity Securities, FV-NI | $ 10,400,000 | $ 10,300,000 | |
Credit-related investment impairment losses recognized in earnings | 1,800,000 | ||
Federal Home Loan Bank Certificates and Obligations (FHLB) | |||
Schedule of Investments [Line Items] | |||
Securities Owned Not Readily Marketable | $ 15,800,000 | $ 18,500,000 | |
Maximum | First National Corporation (FXNC) | |||
Schedule of Investments [Line Items] | |||
Equity ownership positions in the community bank holding companies | 4.00% | 4.00% | |
Maximum | Eagle Financial Services, Inc. (EFSI) | |||
Schedule of Investments [Line Items] | |||
Equity ownership positions in the community bank holding companies | 1.50% | 1.50% | |
Asset Pledged as Collateral | |||
Schedule of Investments [Line Items] | |||
Debt Securities, Available-for-sale, Restricted | $ 462,000,000 | $ 510,000,000 |
Investments (Aggregate Carrying
Investments (Aggregate Carrying And Approximate Market Values Of Available-For-Sale Securities) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 754,954 | $ 734,378 |
Gross Unrealized Gains | 7,978 | 3,153 |
Gross Unrealized Losses | 7,851 | 14,277 |
Estimated Fair Value | 755,081 | 723,254 |
U.S Treasuries and U.S. Government Agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 2,277 | 5,713 |
Gross Unrealized Gains | 23 | 20 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 2,300 | 5,733 |
Obligations Of States And Political Subdivisions | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 123,293 | 128,089 |
Gross Unrealized Gains | 2,632 | 1,033 |
Gross Unrealized Losses | 285 | 1,052 |
Estimated Fair Value | 125,640 | 128,070 |
U.S. Government Agencies Mortgage-backed Securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 590,773 | 561,799 |
Gross Unrealized Gains | 4,871 | 1,950 |
Gross Unrealized Losses | 6,946 | 12,991 |
Estimated Fair Value | 588,698 | 550,758 |
Private Label | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 11,787 | 11,948 |
Gross Unrealized Gains | 328 | 95 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 12,115 | 12,043 |
Trust Preferred Securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 4,776 | 4,774 |
Gross Unrealized Gains | 31 | 25 |
Gross Unrealized Losses | 569 | 0 |
Estimated Fair Value | 4,238 | 4,799 |
Corporate Securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 16,787 | 16,795 |
Gross Unrealized Gains | 93 | 30 |
Gross Unrealized Losses | 1 | 167 |
Estimated Fair Value | 16,879 | 16,658 |
Debt Securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 749,693 | 729,118 |
Gross Unrealized Gains | 7,978 | 3,153 |
Gross Unrealized Losses | 7,801 | 14,210 |
Estimated Fair Value | 749,870 | 718,061 |
Certificates of Deposit [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 3,735 | 3,735 |
Estimated Fair Value | 3,735 | 3,735 |
Money Market Funds | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 1,526 | 1,525 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 50 | 67 |
Estimated Fair Value | $ 1,476 | $ 1,458 |
Investments (Aggregate Carryi_2
Investments (Aggregate Carrying And Approximate Market Values Of Held-To-Maturity Securities) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Securities Held-to-Maturity, Amortized Cost | $ 55,326 | $ 60,827 |
Securities held-to-maturity, Accumulated Unrecognized Holding Gain | 858 | 173 |
Securities held-to-maturity, Accumulated Unrecognized Holding Loss | 99 | 294 |
Securities held-to-maturity, Estimated Fair Value | 56,085 | 60,706 |
U.S. Government Agencies Mortgage-backed Securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Securities Held-to-Maturity, Amortized Cost | 55,326 | 56,827 |
Securities held-to-maturity, Accumulated Unrecognized Holding Gain | 858 | 173 |
Securities held-to-maturity, Accumulated Unrecognized Holding Loss | 99 | 294 |
Securities held-to-maturity, Estimated Fair Value | $ 56,085 | 56,706 |
Trust Preferred Securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Securities Held-to-Maturity, Amortized Cost | 4,000 | |
Securities held-to-maturity, Accumulated Unrecognized Holding Gain | 0 | |
Securities held-to-maturity, Accumulated Unrecognized Holding Loss | 0 | |
Securities held-to-maturity, Estimated Fair Value | $ 4,000 |
Investments (Gross Unrealized L
Investments (Gross Unrealized Losses And Fair Value Of Investments) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Schedule of Investments [Line Items] | ||
Securities available-for-sale, Less Than Twelve Months, Estimated Fair Value | $ 12,978 | $ 111,307 |
Securities available-for-sale, Less Than Twelve Months, Unrealized Loss | 625 | 2,099 |
Securities available-for-sale, Twelve Months or Greater, Estimated Fair Value | 364,004 | 304,628 |
Securities available-for-sale, Twelve Months or Greater, Unrealized Loss | 7,226 | 12,178 |
Securities available-for-sale, Total, Estimated Fair Value | 376,982 | 415,935 |
Securities available-for-sale, Total, Unrealized Loss | 7,851 | 14,277 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 0 | 28,274 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 126 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 5,896 | 5,960 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 99 | 168 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Fair Value | 5,896 | 34,234 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Accumulated Loss | 99 | 294 |
Obligations Of States And Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Securities available-for-sale, Less Than Twelve Months, Estimated Fair Value | 832 | 11,837 |
Securities available-for-sale, Less Than Twelve Months, Unrealized Loss | 3 | 272 |
Securities available-for-sale, Twelve Months or Greater, Estimated Fair Value | 20,922 | 22,068 |
Securities available-for-sale, Twelve Months or Greater, Unrealized Loss | 282 | 780 |
Securities available-for-sale, Total, Estimated Fair Value | 21,754 | 33,905 |
Securities available-for-sale, Total, Unrealized Loss | 285 | 1,052 |
U.S. Government Agencies Mortgage-backed Securities | ||
Schedule of Investments [Line Items] | ||
Securities available-for-sale, Less Than Twelve Months, Estimated Fair Value | 5,654 | 84,975 |
Securities available-for-sale, Less Than Twelve Months, Unrealized Loss | 2 | 1,593 |
Securities available-for-sale, Twelve Months or Greater, Estimated Fair Value | 343,082 | 282,560 |
Securities available-for-sale, Twelve Months or Greater, Unrealized Loss | 6,944 | 11,398 |
Securities available-for-sale, Total, Estimated Fair Value | 348,736 | 367,535 |
Securities available-for-sale, Total, Unrealized Loss | 6,946 | 12,991 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 0 | 28,274 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | 126 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 5,896 | 5,960 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 99 | 168 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Fair Value | 5,896 | 34,234 |
Debt Securities, Held-to-maturity, Unrealized Loss Position, Accumulated Loss | 99 | 294 |
Corporate Securities | ||
Schedule of Investments [Line Items] | ||
Securities available-for-sale, Less Than Twelve Months, Estimated Fair Value | 1,020 | 12,995 |
Securities available-for-sale, Less Than Twelve Months, Unrealized Loss | 1 | 167 |
Securities available-for-sale, Twelve Months or Greater, Estimated Fair Value | 0 | 0 |
Securities available-for-sale, Twelve Months or Greater, Unrealized Loss | 0 | 0 |
Securities available-for-sale, Total, Estimated Fair Value | 1,020 | 12,995 |
Securities available-for-sale, Total, Unrealized Loss | 1 | 167 |
Money Market Funds | ||
Schedule of Investments [Line Items] | ||
Securities available-for-sale, Less Than Twelve Months, Estimated Fair Value | 1,500 | 1,500 |
Securities available-for-sale, Less Than Twelve Months, Unrealized Loss | 50 | 67 |
Securities available-for-sale, Twelve Months or Greater, Estimated Fair Value | 0 | 0 |
Securities available-for-sale, Twelve Months or Greater, Unrealized Loss | 0 | 0 |
Securities available-for-sale, Total, Estimated Fair Value | 1,500 | 1,500 |
Securities available-for-sale, Total, Unrealized Loss | 50 | $ 67 |
Trust Preferred Securities | ||
Schedule of Investments [Line Items] | ||
Securities available-for-sale, Less Than Twelve Months, Estimated Fair Value | 3,972 | |
Securities available-for-sale, Less Than Twelve Months, Unrealized Loss | 569 | |
Securities available-for-sale, Twelve Months or Greater, Estimated Fair Value | 0 | |
Securities available-for-sale, Twelve Months or Greater, Unrealized Loss | 0 | |
Securities available-for-sale, Total, Estimated Fair Value | 3,972 | |
Securities available-for-sale, Total, Unrealized Loss | $ 569 |
Investments (Amortized Cost And
Investments (Amortized Cost And Estimated Fair Value Of Debt Securities By Contractual Maturity) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Securities Available-for-Sale, Amortized Cost | ||
Securities Available-for-Sale, Due in one year or less, Cost | $ 3,238 | |
Securities Available-for-Sale, Due after one year through five years, Cost | 18,566 | |
Securities Available-for-Sale, Due after five years through ten years, Cost | 156,128 | |
Securities Available-for-Sale, Due after ten years, Cost | 571,761 | |
Securities Available-for-Sale, Cost, Total | 749,693 | |
Securities Available-for-Sale, Estimated Fair Value | ||
Securities Available-for-Sale, Due in one year or less, Estimated Fair Value | 3,241 | |
Securities Available-for-Sale, Due after one year through five years, Estimated Fair Value | 18,776 | |
Securities Available-for-Sale, Due after five years through ten years, Estimated Fair Value | 156,585 | |
Securities Available-for-Sale, Due after ten years, Estimated Fair Value | 571,268 | |
Securities Available-for-Sale, Estimated Fair Value, Total | 749,870 | |
Securities Held-to-Maturity, Amortized Cost | ||
Securities Held-to-Maturity, Due in one year or less, Cost | 0 | |
Securities Held-to-Maturity, Due after one year through five years, Cost | 0 | |
Securities Held-to-Maturity, Due after five years through ten years, Cost | 4,929 | |
Securities Held-to-Maturity, Due after ten years, Cost | 50,397 | |
Securities Held-to-Maturity, Amortized Cost | 55,326 | $ 60,827 |
Securities Held-to-Maturity, Estimated Fair Value | ||
Securities Held-to-Maturity, Due in one year or less, Estimated Fair Value | 0 | |
Securities Held-to-Maturity, Due after one year through five years, Estimated Fair Value | 0 | |
Securities Held-to-Maturity, Due after five years through ten years, Estimated Fair Value | 5,230 | |
Securities Held-to-Maturity, Due after ten years, Estimated Fair Value | 50,855 | |
Securities Held-to-Maturity, Estimated Fair Value | $ 56,085 | $ 60,706 |
Investments (Gross Gains And Lo
Investments (Gross Gains And Losses Realized) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Investments [Abstract] | ||
Equity Securities, FV-NI, Unrealized Gain | $ 143 | $ 283 |
Equity Securities, FV-NI, Unrealized Loss | (68) | (3) |
Net unrealized gains (losses) recognized on securities still held | 75 | 280 |
Gross realized gains on securities sold | 89 | 0 |
Gross realized losses on securities sold | (1) | 0 |
Net investment security gains | $ 88 | $ 0 |
Loans (Summary Of Major Classif
Loans (Summary Of Major Classifications For Loans) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | $ 3,559,322 | $ 3,587,608 |
Allowance for loan losses | (14,646) | (15,966) |
Net Loans | 3,544,676 | 3,571,642 |
Residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 1,625,647 | 1,635,338 |
Allowance for loan losses | (3,820) | (4,116) |
Construction Loan | 22,635 | 21,834 |
Home equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 152,251 | 153,496 |
Allowance for loan losses | (1,248) | (1,268) |
Commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 289,327 | 286,314 |
Allowance for loan losses | (2,970) | (4,060) |
Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 1,436,190 | 1,454,942 |
Allowance for loan losses | (4,640) | (4,495) |
Construction Loan | 56,282 | 37,869 |
Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 52,483 | 51,190 |
Allowance for loan losses | (468) | (319) |
DDA overdrafts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 3,424 | 6,328 |
Allowance for loan losses | $ (1,500) | $ (1,708) |
Allowance For Loan Losses (Narr
Allowance For Loan Losses (Narrative) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Financing Receivable, Impaired [Line Items] | ||
Threshold Period for Discontinuance of Interest Accrual | 90 days | 90 days |
Past due threshold in days | 30 days | 30 days |
Loans and Leases Receivable, Impaired, Commitment to Lend | $ 0 | |
Interest income | $ 100,000 | $ 100,000 |
Residential real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Threshold period past due for write-off of financing receivable | 120 days | 120 days |
Commercial Industrial Loans And Commercial Real Estate | ||
Financing Receivable, Impaired [Line Items] | ||
Threshold period past due for write-off of financing receivable | 120 days | 120 days |
Consumer | ||
Financing Receivable, Impaired [Line Items] | ||
Threshold period past due for write-off of financing receivable | 180 days | 180 days |
Allowance For Loan Losses (Sche
Allowance For Loan Losses (Schedule Of Allowance For Loan Loss By Portfolio Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan loss, Beginning balance | $ 15,966 | $ 18,836 | |
Allowance for loan loss, Charge-offs | (1,229) | (1,433) | |
Allowance for loan loss, Recoveries | 758 | 797 | |
Allowance for loan loss, Provision | (849) | 181 | |
Allowance for loan loss, Ending balance | 14,646 | 18,381 | |
Allowance for loan loss, Evaluated for impairment, Individually | 503 | $ 428 | |
Allowance for loan loss, Evaluated for impairment, Collectively | 14,083 | 15,478 | |
Allowance for loan loss, Total | 14,646 | 15,966 | |
Loans, Evaluated for impairment, Individually | 9,971 | 10,506 | |
Loans, Evaluated for impairment, Collectively | 3,534,705 | 3,561,834 | |
Total | 3,559,322 | 3,587,608 | |
Receivables Acquired with Deteriorated Credit Quality [Domain] | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Acquired with deteriorated credit quality | 60 | 60 | |
Carrying value of purchased credit-impaired loans acquired | 14,646 | 15,268 | |
Commercial and industrial | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan loss, Beginning balance | 4,060 | 4,571 | |
Allowance for loan loss, Charge-offs | 0 | (339) | |
Allowance for loan loss, Recoveries | 135 | 2 | |
Allowance for loan loss, Provision | (1,225) | 529 | |
Allowance for loan loss, Ending balance | 2,970 | 4,763 | |
Allowance for loan loss, Evaluated for impairment, Individually | 0 | 0 | |
Allowance for loan loss, Evaluated for impairment, Collectively | 2,969 | 4,059 | |
Allowance for loan loss, Total | 2,970 | 4,060 | |
Loans, Evaluated for impairment, Individually | 617 | 651 | |
Loans, Evaluated for impairment, Collectively | 287,172 | 284,018 | |
Total | 289,327 | 286,314 | |
Commercial and industrial | Receivables Acquired with Deteriorated Credit Quality [Domain] | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Acquired with deteriorated credit quality | 1 | 1 | |
Carrying value of purchased credit-impaired loans acquired | 1,538 | 1,645 | |
Commercial real estate | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan loss, Beginning balance | 4,495 | 6,183 | |
Allowance for loan loss, Charge-offs | (45) | (157) | |
Allowance for loan loss, Recoveries | 32 | 223 | |
Allowance for loan loss, Provision | 158 | (480) | |
Allowance for loan loss, Ending balance | 4,640 | 5,769 | |
Allowance for loan loss, Evaluated for impairment, Individually | 503 | 428 | |
Allowance for loan loss, Evaluated for impairment, Collectively | 4,085 | 4,015 | |
Allowance for loan loss, Total | 4,640 | 4,495 | |
Loans, Evaluated for impairment, Individually | 9,354 | 9,855 | |
Loans, Evaluated for impairment, Collectively | 1,415,938 | 1,433,674 | |
Total | 1,436,190 | 1,454,942 | |
Commercial real estate | Receivables Acquired with Deteriorated Credit Quality [Domain] | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Acquired with deteriorated credit quality | 52 | 52 | |
Carrying value of purchased credit-impaired loans acquired | 10,898 | 11,413 | |
Residential real estate | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan loss, Beginning balance | 4,116 | 5,212 | |
Allowance for loan loss, Charge-offs | (328) | (131) | |
Allowance for loan loss, Recoveries | 75 | 106 | |
Allowance for loan loss, Provision | (43) | (244) | |
Allowance for loan loss, Ending balance | 3,820 | 4,943 | |
Allowance for loan loss, Evaluated for impairment, Individually | 0 | 0 | |
Allowance for loan loss, Evaluated for impairment, Collectively | 3,820 | 4,116 | |
Allowance for loan loss, Total | 3,820 | 4,116 | |
Loans, Evaluated for impairment, Individually | 0 | 0 | |
Loans, Evaluated for impairment, Collectively | 1,623,550 | 1,633,241 | |
Total | 1,625,647 | 1,635,338 | |
Residential real estate | Receivables Acquired with Deteriorated Credit Quality [Domain] | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Acquired with deteriorated credit quality | 0 | 0 | |
Carrying value of purchased credit-impaired loans acquired | 2,097 | 2,097 | |
Home equity | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan loss, Beginning balance | 1,268 | 1,138 | |
Allowance for loan loss, Charge-offs | (46) | (71) | |
Allowance for loan loss, Recoveries | 0 | 0 | |
Allowance for loan loss, Provision | 26 | 133 | |
Allowance for loan loss, Ending balance | 1,248 | 1,200 | |
Allowance for loan loss, Evaluated for impairment, Individually | 0 | 0 | |
Allowance for loan loss, Evaluated for impairment, Collectively | 1,248 | 1,268 | |
Allowance for loan loss, Total | 1,248 | 1,268 | |
Loans, Evaluated for impairment, Individually | 0 | 0 | |
Loans, Evaluated for impairment, Collectively | 152,251 | 153,496 | |
Total | 152,251 | 153,496 | |
Home equity | Receivables Acquired with Deteriorated Credit Quality [Domain] | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Acquired with deteriorated credit quality | 0 | 0 | |
Carrying value of purchased credit-impaired loans acquired | 0 | 0 | |
Consumer | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan loss, Beginning balance | 319 | 62 | |
Allowance for loan loss, Charge-offs | (185) | (99) | |
Allowance for loan loss, Recoveries | 97 | 46 | |
Allowance for loan loss, Provision | 237 | 203 | |
Allowance for loan loss, Ending balance | 468 | 212 | |
Allowance for loan loss, Evaluated for impairment, Individually | 0 | 0 | |
Allowance for loan loss, Evaluated for impairment, Collectively | 461 | 312 | |
Allowance for loan loss, Total | 468 | 319 | |
Loans, Evaluated for impairment, Individually | 0 | 0 | |
Loans, Evaluated for impairment, Collectively | 52,370 | 51,077 | |
Total | 52,483 | 51,190 | |
Consumer | Receivables Acquired with Deteriorated Credit Quality [Domain] | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Acquired with deteriorated credit quality | 7 | 7 | |
Carrying value of purchased credit-impaired loans acquired | 113 | 113 | |
DDA overdrafts | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Allowance for loan loss, Beginning balance | 1,708 | 1,670 | |
Allowance for loan loss, Charge-offs | (625) | (636) | |
Allowance for loan loss, Recoveries | 419 | 420 | |
Allowance for loan loss, Provision | (2) | 40 | |
Allowance for loan loss, Ending balance | 1,500 | $ 1,494 | |
Allowance for loan loss, Evaluated for impairment, Individually | 0 | 0 | |
Allowance for loan loss, Evaluated for impairment, Collectively | 1,500 | 1,708 | |
Allowance for loan loss, Total | 1,500 | 1,708 | |
Loans, Evaluated for impairment, Individually | 0 | 0 | |
Loans, Evaluated for impairment, Collectively | 3,424 | 6,328 | |
Total | 3,424 | 6,328 | |
DDA overdrafts | Receivables Acquired with Deteriorated Credit Quality [Domain] | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Acquired with deteriorated credit quality | 0 | 0 | |
Carrying value of purchased credit-impaired loans acquired | $ 0 | $ 0 |
Allowance For Loan Losses (Sc_2
Allowance For Loan Losses (Schedule Of Credit Quality Indicators) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total | $ 3,559,322 | $ 3,587,608 |
Commercial Industrial Loans And Commercial Real Estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,725,517 | 1,741,256 |
Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 289,327 | 286,314 |
Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,436,190 | 1,454,942 |
Pass | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,638,840 | 1,653,677 |
Pass | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 258,096 | 250,856 |
Pass | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,380,744 | 1,402,821 |
Special mention | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 35,699 | 33,582 |
Special mention | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 25,457 | 27,886 |
Special mention | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 10,242 | 5,696 |
Substandard | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 50,978 | 53,997 |
Substandard | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 5,774 | 7,572 |
Substandard | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 45,204 | 46,425 |
Doubtful | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 0 | 0 |
Doubtful | Commercial and industrial | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 0 | 0 |
Doubtful | Commercial real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | $ 0 | $ 0 |
Allowance For Loan Losses (Sc_3
Allowance For Loan Losses (Schedule Of Non-Commercial Loans By Payment Performance) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total | $ 3,559,322 | $ 3,587,608 |
Residential real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,625,647 | 1,635,338 |
Residential real estate | Performing [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,622,370 | 1,630,892 |
Residential real estate | Non-Performing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 3,277 | 4,446 |
Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 152,251 | 153,496 |
Home equity | Performing [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 152,208 | 153,334 |
Home equity | Non-Performing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 43 | 162 |
Consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 52,483 | 51,190 |
Consumer | Performing [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 52,429 | 51,188 |
Consumer | Non-Performing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 54 | 2 |
DDA overdrafts | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 3,424 | 6,328 |
DDA overdrafts | Performing [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 3,424 | 6,322 |
DDA overdrafts | Non-Performing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 0 | 6 |
Total | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,833,805 | 1,846,352 |
Total | Performing [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | 1,830,431 | 1,841,736 |
Total | Non-Performing | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total | $ 3,374 | $ 4,616 |
Allowance For Loan Losses (Sc_4
Allowance For Loan Losses (Schedule Of Aging Analysis Of Accruing And Non-Accruing Loans) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | $ 3,536,203 | $ 3,559,926 |
Non-accrual | 12,113 | 14,551 |
Gross loans | 3,559,322 | 3,587,608 |
Residential real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 1,614,413 | 1,621,073 |
Non-accrual | 3,263 | 4,275 |
Gross loans | 1,625,647 | 1,635,338 |
Home equity | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 151,489 | 152,083 |
Non-accrual | 41 | 138 |
Gross loans | 152,251 | 153,496 |
Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 287,700 | 284,140 |
Non-accrual | 1,526 | 1,676 |
Gross loans | 289,327 | 286,314 |
Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 1,427,494 | 1,445,896 |
Non-accrual | 7,282 | 8,461 |
Gross loans | 1,436,190 | 1,454,942 |
Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 52,218 | 50,894 |
Non-accrual | 1 | 1 |
Gross loans | 52,483 | 51,190 |
DDA overdrafts | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Current | 2,889 | 5,840 |
Non-accrual | 0 | 0 |
Gross loans | 3,424 | 6,328 |
30-59 days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 9,936 | 11,451 |
30-59 days | Residential real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 7,245 | 8,607 |
30-59 days | Home equity | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 551 | 1,240 |
30-59 days | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 101 | 397 |
30-59 days | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 1,377 | 487 |
30-59 days | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 129 | 253 |
30-59 days | DDA overdrafts | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 533 | 467 |
60-89 days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 964 | 1,423 |
60-89 days | Residential real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 713 | 1,213 |
60-89 days | Home equity | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 167 | 11 |
60-89 days | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 0 | 49 |
60-89 days | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 0 | 94 |
60-89 days | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 82 | 41 |
60-89 days | DDA overdrafts | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 2 | 15 |
Over 90 days | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 106 | 257 |
Over 90 days | Residential real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 13 | 170 |
Over 90 days | Home equity | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 3 | 24 |
Over 90 days | Commercial and industrial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 0 | 52 |
Over 90 days | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 37 | 4 |
Over 90 days | Consumer | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | 53 | 1 |
Over 90 days | DDA overdrafts | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing receivable, recorded investment, past due | $ 0 | $ 6 |
Allowance For Loan Losses (Sc_5
Allowance For Loan Losses (Schedule Of Impaired Loans) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Impaired [Line Items] | ||
With no related allowance recorded, Recorded investment | $ 6,986 | $ 7,521 |
With no related allowance recorded, Unpaid principal balance | 7,011 | 7,546 |
With an allowance recorded, Recorded investment | 2,985 | 2,985 |
With an allowance recorded, Unpaid principal balance | 2,985 | 2,985 |
Related allowance | 503 | 428 |
Commercial and industrial | ||
Financing Receivable, Impaired [Line Items] | ||
With no related allowance recorded, Recorded investment | 617 | 651 |
With no related allowance recorded, Unpaid principal balance | 617 | 651 |
With an allowance recorded, Recorded investment | 0 | 0 |
With an allowance recorded, Unpaid principal balance | 0 | 0 |
Related allowance | 0 | 0 |
Commercial real estate | ||
Financing Receivable, Impaired [Line Items] | ||
With no related allowance recorded, Recorded investment | 6,369 | 6,870 |
With no related allowance recorded, Unpaid principal balance | 6,394 | 6,895 |
With an allowance recorded, Recorded investment | 2,985 | 2,985 |
With an allowance recorded, Unpaid principal balance | 2,985 | 2,985 |
Related allowance | $ 503 | $ 428 |
Allowance For Loan Losses (Sc_6
Allowance For Loan Losses (Schedule Of Information Related To Average Recorded Investment And Interest Income Recognized On Impaired Loans) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Financing Receivable, Impaired [Line Items] | ||
With no related allowance recorded, Average recorded investment | $ 7,139 | $ 3,782 |
With no related allowance recorded, Interest income recognized | 36 | 3 |
With an allowance recorded, Average recorded investment | 2,985 | 5,750 |
With an allowance recorded, Interest income recognized | 30 | 52 |
Commercial and industrial | ||
Financing Receivable, Impaired [Line Items] | ||
With no related allowance recorded, Average recorded investment | 618 | 774 |
With no related allowance recorded, Interest income recognized | 0 | 0 |
With an allowance recorded, Average recorded investment | 0 | 0 |
With an allowance recorded, Interest income recognized | 0 | 0 |
Commercial real estate | ||
Financing Receivable, Impaired [Line Items] | ||
With no related allowance recorded, Average recorded investment | 6,521 | 3,008 |
With no related allowance recorded, Interest income recognized | 36 | 3 |
With an allowance recorded, Average recorded investment | 2,985 | 5,750 |
With an allowance recorded, Interest income recognized | $ 30 | $ 52 |
Allowance For Loan Losses (Sc_7
Allowance For Loan Losses (Schedule Of Troubled Debt Restructurings) (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019USD ($)contract | Mar. 31, 2018USD ($)contract | Dec. 31, 2018USD ($) | |
Financing Receivable, Modifications [Line Items] | |||
Accruing | $ 34,283 | $ 34,191 | |
Non-Accruing | 469 | 663 | |
Total | $ 34,752 | 34,854 | |
Number of Contracts | contract | 28 | 11 | |
Pre-Modification Outstanding Recorded Investment | $ 1,798 | $ 489 | |
Post Modification Outstanding Recorded Investment | 1,798 | $ 489 | |
Commercial and industrial | |||
Financing Receivable, Modifications [Line Items] | |||
Accruing | 89 | 98 | |
Non-Accruing | 0 | 0 | |
Total | $ 89 | 98 | |
Number of Contracts | contract | 0 | 0 | |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | |
Post Modification Outstanding Recorded Investment | 0 | $ 0 | |
Commercial real estate | |||
Financing Receivable, Modifications [Line Items] | |||
Accruing | 8,164 | 8,205 | |
Non-Accruing | 0 | 0 | |
Total | $ 8,164 | 8,205 | |
Number of Contracts | contract | 0 | 0 | |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | |
Post Modification Outstanding Recorded Investment | 0 | $ 0 | |
Residential real estate | |||
Financing Receivable, Modifications [Line Items] | |||
Accruing | 23,017 | 22,863 | |
Non-Accruing | 464 | 658 | |
Total | $ 23,481 | 23,521 | |
Number of Contracts | contract | 23 | 7 | |
Pre-Modification Outstanding Recorded Investment | $ 1,729 | $ 412 | |
Post Modification Outstanding Recorded Investment | 1,729 | $ 412 | |
Home equity | |||
Financing Receivable, Modifications [Line Items] | |||
Accruing | 3,013 | 3,025 | |
Non-Accruing | 5 | 5 | |
Total | $ 3,018 | 3,030 | |
Number of Contracts | contract | 5 | 4 | |
Pre-Modification Outstanding Recorded Investment | $ 69 | $ 77 | |
Post Modification Outstanding Recorded Investment | 69 | $ 77 | |
Consumer | |||
Financing Receivable, Modifications [Line Items] | |||
Accruing | 0 | 0 | |
Non-Accruing | 0 | 0 | |
Total | $ 0 | $ 0 | |
Number of Contracts | contract | 0 | 0 | |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 0 | |
Post Modification Outstanding Recorded Investment | $ 0 | $ 0 |
Long-Term Debt (Components Of L
Long-Term Debt (Components Of Long-Term Debt) (Details) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019USD ($)consecutive_years$ / shares | Dec. 31, 2018USD ($) | |
Debt Instrument [Line Items] | ||
Long-term debt | $ 4,053,000 | $ 4,053,000 |
Trust Preferred Securities Liquidation Value | $ / shares | $ 1,000 | |
Junior Subordinated Debenture Redemption Multiple | $ 1,000 | |
Repayment Price Junior Subordinated Deferrable Interest Debentures | 100.00% | |
Subordinated Borrowing, Interest Rate Spread Over 3Month LIBOR | 1.83% | 1.83% |
Junior subordinated debentures, interest rate | 4.43% | 4.64% |
Junior subordinated debentures, due date | Dec. 22, 2036 | Dec. 22, 2036 |
Town Square Statutory Trust I | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 4,124,000 | $ 4,124,000 |
Debt Instrument, Unamortized Discount | $ (71,000) | $ (71,000) |
Maximum | ||
Debt Instrument [Line Items] | ||
Threshold Period for Discontinuance of Interest Accrual | consecutive_years | 5 |
Derivative Instruments (Fair Va
Derivative Instruments (Fair Value Of Derivative Instruments) (Details) - Non-hedging interest rate derivatives: - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Customer Counterparties Loan Interest Rate Swap Assets | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | $ 235,217 | $ 132,146 |
Derivative, Fair Value | 6,475 | 3,131 |
Customer Counterparties Loan Interest Rate Swap Liabilities | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 275,227 | 372,223 |
Derivative, Fair Value | 7,007 | 13,774 |
Financial Institution Counterparties Loan Interest Rate Swap Asset | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 280,823 | 403,500 |
Derivative, Fair Value | 7,077 | 13,902 |
Financial Institution Counterparties Loan Interest Rate Swap Liabilities | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 235,217 | 132,146 |
Derivative, Fair Value | $ 6,475 | $ 3,131 |
Derivative Instruments (Change
Derivative Instruments (Change In Fair Value Of Derivative Instruments) (Details) - Non-hedging interest rate derivatives: - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Other Assets | Other Income [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | $ (2,879) | $ 7,101 |
Other Liabilities | Other Income [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 2,879 | (7,101) |
Other Liabilities | Other Expense | ||
Derivatives, Fair Value [Line Items] | ||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | $ 58 | $ 90 |
Derivative Instruments (Derivat
Derivative Instruments (Derivative Assets Offset in The Consolidated Balance Sheets) (Details) - Non-hedging interest rate derivatives: - Interest Rate Swap $ in Thousands | Mar. 31, 2019USD ($) |
Customer Counterparties Loan Interest Rate Swap Assets | |
Offsetting Assets [Line Items] | |
Gross amounts of recognized assets | $ 6,475 |
Net Amounts of Assets presented in the Statement of Financial Position | 6,475 |
Fair Value of collateral | 6,475 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 6,475 |
Derivative Asset, Fair Value, Amount Offset Against Collateral | 0 |
Financial Institution Counterparties Loan Interest Rate Swap Asset | |
Offsetting Assets [Line Items] | |
Gross amounts of recognized assets | 7,077 |
Net Amounts of Assets presented in the Statement of Financial Position | 7,077 |
Derivative Asset, Fair Value, Gross Liability | 5,645 |
Fair Value of collateral | 0 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 5,645 |
Derivative Asset, Fair Value, Amount Offset Against Collateral | $ 1,432 |
Derivative Instruments (Deriv_2
Derivative Instruments (Derivative Liabilities Offset in The consolidated Balance Sheets) (Details) - Non-hedging interest rate derivatives: - Interest Rate Swap $ in Thousands | Mar. 31, 2019USD ($) |
Customer Counterparties Loan Interest Rate Swap Liabilities | |
Offsetting Liabilities [Line Items] | |
Derivative liabilities | $ 7,007 |
Fair Value of collateral | 7,007 |
Total Gross amounts not offset in the statement of financial position including applicable netting agreement and fair value of collateral | 7,007 |
Net Amount | 0 |
Derivative Liability, Fair Value, Gross Liability | 7,007 |
Financial Institution Counterparties Loan Interest Rate Swap Liabilities | |
Offsetting Liabilities [Line Items] | |
Gross amounts of recognized liabilities | 5,645 |
Derivative liabilities | 6,475 |
Fair Value of collateral | 830 |
Total Gross amounts not offset in the statement of financial position including applicable netting agreement and fair value of collateral | 6,475 |
Net Amount | 0 |
Derivative Liability, Fair Value, Gross Liability | $ 6,475 |
Employee Benefit Plans (Summary
Employee Benefit Plans (Summary Of Stock Option Activity) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Options, Exercised (in shares) | (5,638) | (7,388) |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ||
Proceeds from stock option exercises | $ 252 | $ 280 |
Employee Stock Option | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Options Outstanding, beginning balance (in shares) | 57,972 | 87,605 |
Options, Exercised (in shares) | (5,638) | (7,387) |
Options Outstanding, ending balance (in shares) | 52,334 | 80,218 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ||
Weighted-Average Exercise Price, Outstanding, beginning balance (in dollars per share) | $ 51.15 | $ 47.15 |
Weighted-Average Exercise Price, Exercised (in dollars per share) | 44.74 | 37.85 |
Weighted-Average Exercise Price, Outstanding, ending balance (in dollars per share) | $ 51.84 | $ 48 |
Exercisable (shares) | 14,146 | 24,943 |
Exercisable, Weighted average exercise price (US$ per share) | $ 44.70 | $ 40.38 |
Proceeds from stock option exercises | $ 252 | $ 280 |
Intrinsic value of stock options exercised | 177 | 220 |
Stock-based compensation expense associated with stock options | 37 | $ 54 |
Unrecognized stock-based compensation expense associated with stock options | $ 167 | |
Weighted average period (in years) in which the above amount is expected to be recognized | 1 year 11 months |
Employee Benefit Plans (Stock O
Employee Benefit Plans (Stock Options Outstanding And Exercisable) (Details) $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
No. of Options Outstanding (in shares) | shares | 52,334 |
Aggregate Intrinsic Value (in thousands) | $ | $ 1,274 |
No. of Options Currently Exercisable (in shares) | shares | 14,146 |
Aggregate Intrinsic Value of Options Currently Exercisable (in thousands) | $ | $ 445 |
$35.00 - $39.99 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
No. of Options Outstanding (in shares) | shares | 38 |
Weighted-Average Exercise Price (in dollars per share) | $ 37.74 |
Weighted-Average Remaining Contractual Life (Years) | 3 years 11 months |
Aggregate Intrinsic Value (in thousands) | $ | $ 1 |
No. of Options Currently Exercisable (in shares) | shares | 38 |
Weighted-Average Exercise Price of Options Currently Exercisable (in dollars per share) | $ 37.74 |
Weighted-Average Remaining Contractual Life (Years) | 3 years 11 months |
Aggregate Intrinsic Value of Options Currently Exercisable (in thousands) | $ | $ 1 |
$35.00 - $39.99 | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 35 |
$35.00 - $39.99 | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 39.99 |
40.00 - 44.99 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
No. of Options Outstanding (in shares) | shares | 27,016 |
Weighted-Average Exercise Price (in dollars per share) | $ 43.89 |
Weighted-Average Remaining Contractual Life (Years) | 6 years 6 months |
Aggregate Intrinsic Value (in thousands) | $ | $ 873 |
No. of Options Currently Exercisable (in shares) | shares | 10,784 |
Weighted-Average Exercise Price of Options Currently Exercisable (in dollars per share) | $ 44.14 |
Weighted-Average Remaining Contractual Life (Years) | 5 years 9 months |
Aggregate Intrinsic Value of Options Currently Exercisable (in thousands) | $ | $ 346 |
40.00 - 44.99 | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 40 |
40.00 - 44.99 | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 44.99 |
45.00 - 49.99 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
No. of Options Outstanding (in shares) | shares | 7,649 |
Weighted-Average Exercise Price (in dollars per share) | $ 46.61 |
Weighted-Average Remaining Contractual Life (Years) | 5 years 11 months |
Aggregate Intrinsic Value (in thousands) | $ | $ 226 |
No. of Options Currently Exercisable (in shares) | shares | 3,324 |
Weighted-Average Exercise Price of Options Currently Exercisable (in dollars per share) | $ 46.61 |
Weighted-Average Remaining Contractual Life (Years) | 5 years 11 months |
Aggregate Intrinsic Value of Options Currently Exercisable (in thousands) | $ | $ 98 |
45.00 - 49.99 | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 45 |
45.00 - 49.99 | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 49.99 |
65.00 - 70.00 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
No. of Options Outstanding (in shares) | shares | 17,631 |
Weighted-Average Exercise Price (in dollars per share) | $ 66.32 |
Weighted-Average Remaining Contractual Life (Years) | 7 years 11 months |
Aggregate Intrinsic Value (in thousands) | $ | $ 174 |
No. of Options Currently Exercisable (in shares) | shares | 0 |
Weighted-Average Exercise Price of Options Currently Exercisable (in dollars per share) | $ 0 |
Aggregate Intrinsic Value of Options Currently Exercisable (in thousands) | $ | $ 0 |
65.00 - 70.00 | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 65 |
65.00 - 70.00 | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ranges Of Exercise Prices (in dollars per share) | $ 70 |
Employee Benefit Plans (Restric
Employee Benefit Plans (Restricted Shares Activity And Related Information) (Details) - Restricted Stock - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense associated with restricted shares | $ 434 | $ 379 |
Unrecognized stock-based compensation expense associated with restricted shares | $ 4,403 | |
Weighted average period (in years) in which the above amount is expected to be recognized | 3 years 1 month | |
Restricted Awards, Number of Awards [Roll Forward] | ||
Beginning Balance | 152,692 | 170,033 |
Granted | 13,531 | 23,163 |
Vested | (23,667) | (20,864) |
Ending Balance | 142,556 | 172,332 |
Restricted Awards, Number of Awards, Weighted Average Exercise Price [Roll Forward] | ||
Outstanding at January 1 | $ 51.85 | $ 44.34 |
Granted | 79.46 | 68.63 |
Vested | 45.60 | 40.44 |
Outstanding at March 31 | $ 55.51 | $ 48.08 |
Employee Benefit Plans (Net Per
Employee Benefit Plans (Net Periodic Pension Cost Of The Defined Benefit Plan) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Components of net periodic cost: | ||
Interest cost | $ 140 | $ 147 |
Expected return on plan assets | (214) | (270) |
Net amortization and deferral | 229 | 218 |
Net Periodic Pension Cost | 155 | 95 |
401(k) Plan expense | $ 259 | $ 218 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2018USD ($) | |
Other Commitments [Line Items] | ||
VISA Class B Conversion Ratio | 1.6298 | |
Commitments to extend credit: | Home equity | ||
Other Commitments [Line Items] | ||
Contractual obligations | $ 209,455 | $ 207,509 |
Commitments to extend credit: | Commercial real estate | ||
Other Commitments [Line Items] | ||
Contractual obligations | 76,922 | 68,649 |
Commitments to extend credit: | Other commitments | ||
Other Commitments [Line Items] | ||
Contractual obligations | 201,625 | 201,687 |
Standby letters of credit | ||
Other Commitments [Line Items] | ||
Contractual obligations | 7,245 | 7,183 |
Commercial letters of credit | ||
Other Commitments [Line Items] | ||
Contractual obligations | $ 811 | $ 811 |
Common Class B | VISA, Inc. (VISA) | ||
Other Commitments [Line Items] | ||
Investment Owned, Balance, Shares | shares | 86,605 | |
Common Class A | VISA, Inc. (VISA) | ||
Other Commitments [Line Items] | ||
Share Price | $ / shares | $ 156.19 | |
Investment Owned, at Fair Value | $ 22,000 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Schedule of Changes In Each Component of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Equity [Abstract] | ||
Combined Federal and state income tax rate | 23.00% | 23.00% |
Accumulated Other Comprehensive (Loss) Income | ||
Beginning Balance | $ 600,764 | $ 502,507 |
Other comprehensive loss before reclassifications | 8,698 | (8,218) |
Amounts reclassified from other comprehensive loss | (67) | 0 |
Other comprehensive income | 8,631 | (8,218) |
Adoption of new accounting pronouncement | 0 | |
Ending balance | 619,241 | 491,877 |
Defined Benefit Pension Plans | ||
Accumulated Other Comprehensive (Loss) Income | ||
Beginning Balance | (5,871) | (5,033) |
Ending balance | (5,871) | (5,033) |
Unrealized Gain (Losses) on Securities Available-for-Sale | ||
Accumulated Other Comprehensive (Loss) Income | ||
Beginning Balance | (8,611) | (611) |
Other comprehensive loss before reclassifications | 8,698 | (8,218) |
Amounts reclassified from other comprehensive loss | (67) | 0 |
Other comprehensive income | 8,631 | (8,218) |
Ending balance | 20 | (11,486) |
Accumulated Other Comprehensive Income (Loss) | ||
Accumulated Other Comprehensive (Loss) Income | ||
Beginning Balance | (14,482) | (5,644) |
Other comprehensive income | 8,631 | (8,218) |
Ending balance | $ (5,851) | (16,519) |
Accounting Standards Update 2016-01 | ||
Accumulated Other Comprehensive (Loss) Income | ||
Adoption of new accounting pronouncement | 2,657 | |
Accounting Standards Update 2016-01 | Unrealized Gain (Losses) on Securities Available-for-Sale | ||
Accumulated Other Comprehensive (Loss) Income | ||
Adoption of new accounting pronouncement | 2,657 | |
Accounting Standards Update 2016-01 | Accumulated Other Comprehensive Income (Loss) | ||
Accumulated Other Comprehensive (Loss) Income | ||
Adoption of new accounting pronouncement | $ 2,657 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Schedule Of Amounts Reclassified Out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net securities gains reclassified into earnings | $ 163 | $ 280 |
Related income tax expense | (5,810) | (4,405) |
Net Income Available to Common Shareholders | 21,619 | 17,616 |
Unrealized Gain (Losses) on Securities Available-for-Sale | Reclassification out of Accumulated Other Comprehensive Income | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net securities gains reclassified into earnings | 88 | 0 |
Related income tax expense | (21) | 0 |
Net Income Available to Common Shareholders | $ 67 | $ 0 |
Earnings per Share (Details)
Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 2 |
Net income available to common shareholders | $ 21,619 | $ 17,616 |
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic | (186) | (195) |
Distributed earnings allocated to common stock | 8,661 | 7,023 |
Undistributed earnings allocated to common stock | 12,772 | 10,398 |
Net earnings allocated to common shareholders | $ 21,433 | $ 17,421 |
Average shares outstanding (in shares) | 16,411 | 15,414 |
Effect of dilutive securities: | ||
Employee stock awards (in shares) | 18 | 22 |
Average common shares outstanding, diluted (in shares) | 16,429 | 15,436 |
Basic earnings per common share (in dollars per share) | $ 1.31 | $ 1.13 |
Diluted earnings per share (in dollars per share) | $ 1.30 | $ 1.13 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative Credit Risk Valuation Adjustment, Derivative Assets | $ 0 | $ 0 | $ 0 |
Derivative Credit Risk Valuation Adjustment, Derivative Liabilities | $ 0 | $ 0 | $ 0 |
Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Collateral discount | 30.00% | 30.00% | 30.00% |
Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Collateral discount | 20.00% | 20.00% | 20.00% |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019 | Dec. 31, 2018 | |
Impaired Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Provision For Loan Losses on Impaired Loans During Period | $ (74) | $ (428) |
Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Write-downs included in other non-interest expense | (213) | (838) |
Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Write-downs included in other non-interest expense | (492) | |
Other Assets | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 600 | |
Fair Value, Measurements, Recurring | U.S. Government Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 2,300 | 5,733 |
Fair Value, Measurements, Recurring | U.S. Government Agencies | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | U.S. Government Agencies | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 2,300 | 5,733 |
Fair Value, Measurements, Recurring | U.S. Government Agencies | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Obligations Of States And Political Subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 125,640 | 128,070 |
Fair Value, Measurements, Recurring | Obligations Of States And Political Subdivisions | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Obligations Of States And Political Subdivisions | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 125,640 | 128,070 |
Fair Value, Measurements, Recurring | Obligations Of States And Political Subdivisions | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | U.S. Government Agencies Mortgage-backed Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 588,698 | 550,758 |
Fair Value, Measurements, Recurring | U.S. Government Agencies Mortgage-backed Securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | U.S. Government Agencies Mortgage-backed Securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 588,698 | 550,758 |
Fair Value, Measurements, Recurring | U.S. Government Agencies Mortgage-backed Securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Private Label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 12,115 | 12,043 |
Fair Value, Measurements, Recurring | Private Label | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Private Label | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 12,115 | 12,043 |
Fair Value, Measurements, Recurring | Private Label | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Trust Preferred Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 4,238 | 4,799 |
Fair Value, Measurements, Recurring | Trust Preferred Securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Trust Preferred Securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 3,977 | 4,538 |
Fair Value, Measurements, Recurring | Trust Preferred Securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 261 | 261 |
Fair Value, Measurements, Recurring | Corporate Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 16,879 | 16,658 |
Fair Value, Measurements, Recurring | Corporate Securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Corporate Securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 16,879 | 16,658 |
Fair Value, Measurements, Recurring | Corporate Securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Equity Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 10,388 | 10,313 |
Fair Value, Measurements, Recurring | Equity Securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 6,050 | 5,907 |
Fair Value, Measurements, Recurring | Equity Securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 4,338 | 4,406 |
Fair Value, Measurements, Recurring | Equity Securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 1,476 | 1,458 |
Fair Value, Measurements, Recurring | Money Market Funds | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 1,476 | 1,458 |
Fair Value, Measurements, Recurring | Money Market Funds | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Money Market Funds | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Derivative Financial Instruments, Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 13,582 | 17,100 |
Fair Value, Measurements, Recurring | Derivative Financial Instruments, Assets | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Derivative Financial Instruments, Assets | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 13,582 | 17,100 |
Fair Value, Measurements, Recurring | Derivative Financial Instruments, Assets | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Derivative Liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 13,482 | 16,905 |
Fair Value, Measurements, Recurring | Derivative Liabilities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Recurring | Derivative Liabilities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 13,482 | 16,905 |
Fair Value, Measurements, Recurring | Derivative Liabilities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Impaired Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 9,468 | 10,078 |
Fair Value, Measurements, Nonrecurring | Impaired Loans | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Impaired Loans | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Impaired Loans | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 9,468 | 10,078 |
Fair Value, Measurements, Nonrecurring | Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 3,186 | 4,608 |
Fair Value, Measurements, Nonrecurring | Other real estate owned | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Other real estate owned | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Other real estate owned | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | $ 3,186 | 4,608 |
Fair Value, Measurements, Nonrecurring | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 600 | |
Fair Value, Measurements, Nonrecurring | Other Assets | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | |
Fair Value, Measurements, Nonrecurring | Other Assets | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | $ 0 |
Fair Value Measurements (Sche_2
Fair Value Measurements (Schedule Of Level 2 Financial Assets And Liabilities Measured On A Recurring Basis) (Details) - Impaired Loans - Fair Value, Measurements, Nonrecurring - Level 3 - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Fair Value Measurement On Nonrecurring Basis Asset And Liabilities Value [Roll Forward] | ||
Beginning balance | $ 10,078 | $ 9,020 |
Loans classified as impaired during the period | 0 | 0 |
Specific valuation allowance allocations | 0 | 0 |
Fair Value | 0 | 0 |
Reduction in (additional) specific valuation allowance allocations | 74 | (474) |
Paydowns, payoffs, other activity | (684) | 888 |
Ending balance | $ 9,468 | $ 9,434 |
Fair Value Measurements (Sche_3
Fair Value Measurements (Schedule Of OREO Measured And Reported At Fair Value) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Other Real Estate [Roll Forward] | |||
Beginning balance | $ 4,608 | $ 3,585 | $ 3,585 |
Disposed | (1,514) | (325) | |
Ending balance | 3,186 | 3,912 | $ 4,608 |
OREO remeasured at initial recognition: | |||
Other Real Estate [Roll Forward] | |||
Carrying value of foreclosed assets prior to remeasurement | 706 | 1,218 | |
Charge-offs recognized in the allowance for loan losses | (401) | (353) | |
OREO remeasured subsequent to initial recognition: | |||
Other Real Estate [Roll Forward] | |||
Carrying value of foreclosed assets prior to remeasurement | 1,300 | 1,362 | |
Write-downs included in other non-interest expense | (213) | (213) | |
Fair Value, Measurements, Nonrecurring | OREO remeasured at initial recognition: | |||
Other Real Estate [Roll Forward] | |||
Assets, Fair Value Disclosure | 305 | 865 | |
Fair Value, Measurements, Nonrecurring | OREO remeasured subsequent to initial recognition: | |||
Other Real Estate [Roll Forward] | |||
Assets, Fair Value Disclosure | $ 1,087 | $ 1,149 |
Fair Value Measurements (Sche_4
Fair Value Measurements (Schedule Of Estimates Of Fair Value Of Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Assets: | ||
Securities available-for-sale | $ 755,081 | $ 723,254 |
Securities held-to-maturity | 55,326 | 60,827 |
Other securities | 26,182 | 28,810 |
Accrued interest receivable | 13,657 | 12,424 |
Liabilities: | ||
Deposits | 4,043,007 | 3,975,559 |
Carrying Amount | ||
Assets: | ||
Cash and cash equivalents | 143,850 | 122,991 |
Securities available-for-sale | 755,081 | 723,254 |
Securities held-to-maturity | 55,326 | 60,827 |
Other securities | 26,182 | 28,810 |
Net loans | 3,544,676 | 3,571,642 |
Accrued interest receivable | 13,657 | 12,424 |
Derivative assets | 13,582 | 17,100 |
Liabilities: | ||
Deposits | 4,043,007 | 3,975,559 |
Short-term debt | 194,683 | 261,911 |
Long-term debt | 4,053 | 4,053 |
Derivative liabilities | 13,482 | 16,905 |
Fair Value | ||
Assets: | ||
Cash and cash equivalents | 143,850 | 122,991 |
Securities available-for-sale | 755,081 | 723,254 |
Securities held-to-maturity | 56,085 | 60,706 |
Other securities | 26,182 | 28,810 |
Net loans | 3,513,838 | 3,516,557 |
Accrued interest receivable | 13,657 | 12,424 |
Derivative assets | 13,582 | 17,100 |
Liabilities: | ||
Deposits | 4,057,776 | 3,985,534 |
Short-term debt | 194,683 | 261,911 |
Long-term debt | 4,115 | 4,115 |
Derivative liabilities | 13,482 | 16,905 |
Level 1 | ||
Assets: | ||
Cash and cash equivalents | 143,850 | 122,991 |
Securities available-for-sale | 1,476 | 1,458 |
Securities held-to-maturity | 0 | 0 |
Other securities | 6,050 | 5,907 |
Net loans | 0 | 0 |
Accrued interest receivable | 13,657 | 12,424 |
Derivative assets | 0 | 0 |
Liabilities: | ||
Deposits | 2,661,094 | 2,622,905 |
Short-term debt | 0 | 0 |
Long-term debt | 0 | 0 |
Derivative liabilities | 0 | 0 |
Level 2 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Securities available-for-sale | 753,344 | 721,535 |
Securities held-to-maturity | 56,085 | 60,706 |
Other securities | 20,132 | 22,903 |
Net loans | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 13,582 | 17,100 |
Liabilities: | ||
Deposits | 1,396,682 | 1,362,629 |
Short-term debt | 194,683 | 261,911 |
Long-term debt | 4,115 | 4,115 |
Derivative liabilities | 13,482 | 16,905 |
Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Securities available-for-sale | 261 | 261 |
Securities held-to-maturity | 0 | 0 |
Other securities | 0 | 0 |
Net loans | 3,513,838 | 3,516,557 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 0 | 0 |
Liabilities: | ||
Deposits | 0 | 0 |
Short-term debt | 0 | 0 |
Long-term debt | 0 | 0 |
Derivative liabilities | $ 0 | $ 0 |
Contracts with Customers (Detai
Contracts with Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Non-interest income from contracts with customers | $ 14,746 | $ 13,465 |
Non-interest income within the scope of other GAAP topics | 1,179 | 1,027 |
Noninterest Income | 15,925 | 14,492 |
Fees and Commissions, Depositor Accounts | ||
Disaggregation of Revenue [Line Items] | ||
Non-interest income from contracts with customers | 7,321 | 6,862 |
Fees and Commissions, Debit Cards | ||
Disaggregation of Revenue [Line Items] | ||
Non-interest income from contracts with customers | 4,969 | 4,334 |
Fees and Commissions, Fiduciary and Trust Accounts | ||
Disaggregation of Revenue [Line Items] | ||
Non-interest income from contracts with customers | 1,642 | 1,568 |
Other Non-Interest Income | ||
Disaggregation of Revenue [Line Items] | ||
Non-interest income from contracts with customers | $ 814 | $ 701 |