Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Feb. 28, 2021 | Jun. 30, 2020 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2020 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 0-12668 | ||
Entity Registrant Name | Hills Bancorporation | ||
Entity Incorporation, State or Country Code | IA | ||
Entity Tax Identification Number | 42-1208067 | ||
Entity Address, Address Line One | 131 E. Main Street, PO Box 160 | ||
Entity Address, City or Town | Hills | ||
Entity Address, State or Province | IA | ||
Entity Address, Postal Zip Code | 52235 | ||
City Area Code | 319 | ||
Local Phone Number | 679-2291 | ||
Title of 12(g) Security | No par value common stock | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Smaller Reporting Company | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 484,414,063 | ||
Entity Common Stock, Shares Outstanding (in shares) | 9,320,320 | ||
Documents Incorporated by Reference | Portions of the Proxy Statement dated March 19, 2021 for the Annual Meeting of the Shareholders of the Registrant to be held April 19, 2021 (the Proxy Statement) are incorporated by reference in Part III of this Form 10-K. | ||
Entity Central Index Key | 0000732417 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
ASSETS | ||
Cash and cash equivalents | $ 574,310 | $ 241,965 |
Investment securities available for sale at fair value (amortized cost 2020 $396,670; 2019 $351,069) (Notes 1, 2 and 13) | 408,372 | 355,303 |
Stock of Federal Home Loan Bank | 8,172 | 11,065 |
Loans held for sale | 43,947 | 8,400 |
Loans, net of allowance for loan losses (2020 $37,070; 2019 $33,760) (Notes 1, 3, and 12) | 2,674,012 | 2,606,277 |
Property and equipment, net (Note 4) | 35,878 | 37,146 |
Tax credit real estate | 7,273 | 8,280 |
Accrued interest receivable | 12,177 | 12,442 |
Deferred income taxes, net (Note 10) | 6,088 | 8,018 |
Goodwill | 2,500 | 2,500 |
Other assets | 7,882 | 9,491 |
Total Assets | 3,780,611 | 3,300,887 |
Liabilities | ||
Noninterest-bearing deposits | 532,190 | 387,612 |
Interest-bearing deposits (Note 6) | 2,660,378 | 2,273,752 |
Total deposits | 3,192,568 | 2,661,364 |
Federal Home Loan Bank borrowings (Note 7) | 105,000 | 185,000 |
Accrued interest payable | 1,733 | 2,474 |
Other liabilities | 17,905 | 25,012 |
Total Liabilities | 3,317,206 | 2,873,850 |
Commitments and Contingencies (Notes 9 and 15) | ||
Redeemable Common Stock Held By Employee Stock Ownership Plan (ESOP) (Note 9) | 47,329 | 51,826 |
Stockholders' Equity (Note 11) | ||
Common stock, no par value; authorized 20,000,000 shares; issued 2020 10,330,242 shares; 2019 10,327,656 shares | 0 | 0 |
Paid in capital | 60,233 | 55,943 |
Retained earnings | 439,831 | 409,509 |
Accumulated other comprehensive gain (Note 8) | 8,782 | 1,415 |
Treasury stock at cost (2020 999,247 shares; 2019 975,962 shares) | (45,441) | (39,830) |
Total Stockholders' Equity | 463,405 | 427,037 |
Less maximum cash obligation related to ESOP shares (Note 9) | 47,329 | 51,826 |
Total Stockholders' Equity Less Maximum Cash Obligations Related To ESOP Shares | 416,076 | 375,211 |
Total Liabilities & Stockholders' Equity | $ 3,780,611 | $ 3,300,887 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
ASSETS | ||
Investment securities available for sale, amortized cost | $ 396,670 | $ 351,069 |
Loans, allowance for loan losses | $ 37,070 | $ 33,760 |
STOCKHOLDERS' EQUITY | ||
Common stock, no par value (in dollars per share) | $ 0 | $ 0 |
Common stock, authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, issued (in shares) | 10,330,242 | 10,327,656 |
Treasury stock at cost (in shares) | 999,247 | 975,962 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Interest income: | |||
Loans, including fees | $ 120,196 | $ 121,269 | $ 110,588 |
Investment securities: | |||
Taxable | 3,512 | 3,239 | 2,759 |
Nontaxable | 3,876 | 3,844 | 3,511 |
Federal funds sold | 945 | 3,980 | 1,939 |
Total interest income | 128,529 | 132,332 | 118,797 |
Interest expense: | |||
Deposits | 21,553 | 28,540 | 19,531 |
FHLB borrowings | 5,399 | 6,333 | 6,792 |
Total interest expense | 26,952 | 34,873 | 26,323 |
Net interest income | 101,577 | 97,459 | 92,474 |
Provision for loan losses (Note 3) | 4,358 | (2,880) | 8,497 |
Net interest income after provision for loan losses | 97,219 | 100,339 | 83,977 |
Noninterest income: | |||
Net gain on sale of loans | 6,678 | 3,539 | 1,517 |
Other noninterest income | 1,187 | 1,426 | 2,680 |
Gain (loss) on sale of investment securities | 10 | (28) | 0 |
Total other income | 28,336 | 24,792 | 23,818 |
Noninterest expenses: | |||
Salaries and employee benefits | 40,621 | 36,709 | 34,981 |
Occupancy | 4,343 | 4,336 | 4,374 |
Furniture and equipment | 7,357 | 6,795 | 5,741 |
Office supplies and postage | 1,799 | 1,841 | 1,778 |
Advertising and business development | 2,082 | 2,595 | 2,513 |
Outside services | 11,069 | 10,360 | 10,076 |
FDIC insurance assessment | 856 | 194 | 856 |
Other noninterest expenses | 7,504 | 4,434 | 1,804 |
Total other expenses | 75,631 | 67,264 | 62,123 |
Income before income taxes | 49,924 | 57,867 | 45,672 |
Income taxes (Note 10) | 11,277 | 12,549 | 8,905 |
Net income | $ 38,647 | $ 45,318 | $ 36,767 |
Earnings per share: | |||
Basic (in dollars per share) | $ 4.12 | $ 4.85 | $ 3.93 |
Diluted (in dollars per share) | $ 4.12 | $ 4.85 | $ 3.92 |
Trust fees | |||
Noninterest income: | |||
Fee income | $ 10,275 | $ 9,579 | $ 10,007 |
Service charges and fees | |||
Noninterest income: | |||
Fee income | $ 10,186 | $ 10,276 | $ 9,614 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 38,647 | $ 45,318 | $ 36,767 |
Securities: | |||
Net change in unrealized gain (loss) on securities available for sale | 7,478 | 6,940 | (1,593) |
Reclassification adjustment for net (gains) losses realized in net income | (10) | 28 | 0 |
Income taxes | (1,864) | (1,738) | 397 |
Other comprehensive income (loss) on securities available for sale | 5,604 | 5,230 | (1,196) |
Derivatives used in cash flow hedging relationships: | |||
Net change in unrealized (loss) gain on derivatives | (335) | (753) | 1,223 |
Reclassification adjustment for losses realized in net income | 2,684 | 0 | 0 |
Income taxes | (586) | 188 | (305) |
Other comprehensive income (loss) on cash flow hedges | 1,763 | (565) | 918 |
Other comprehensive income (loss), net of tax | 7,367 | 4,665 | (278) |
Comprehensive income | $ 46,014 | $ 49,983 | $ 36,489 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Paid In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Maximum Cash Obligation Related To ESOP Shares [Member] |
Beginning Balance at Dec. 31, 2017 | $ 311,716 | $ 48,930 | $ 341,558 | $ (2,446) | $ (33,018) | $ (43,308) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of 113,373, 101,912 and 110,337 shares of common stock for the years ending 2018, 2019, and 2020, respectively | 6,220 | 3,386 | 0 | 0 | 2,834 | 0 |
Issuance of 8,172, 7,720 and 7,449 shares of common stock under the employee stock purchase plan for the years ending 2018, 2019, and 2020, respectively | 421 | 421 | 0 | 0 | 0 | 0 |
Unearned restricted stock compensation | (463) | (463) | 0 | 0 | 0 | 0 |
Forfeiture of 3,296, 5,255 and 4,863 shares of common stock for the years ending 2018, 2019, and 2020, respectively | (152) | (152) | 0 | 0 | 0 | 0 |
Change related to ESOP shares | (5,562) | 0 | 0 | 0 | 0 | (5,562) |
Net income | 36,767 | 0 | 36,767 | 0 | 0 | 0 |
Cash dividends ($0.75, $0.82, and $0.89 per share) for the years ending 2018, 2019, and 2020, respectively | (7,003) | 0 | (7,003) | 0 | 0 | 0 |
Reclassification of stranded tax effects due to the Tax Cuts and Jobs Act | 0 | 0 | 526 | (526) | 0 | 0 |
Purchase of 116,962, 89,124 and 133,622 shares of common stock for the years ending 2018, 2019, and 2020, respectively | (6,784) | 0 | 0 | 0 | (6,784) | 0 |
Other comprehensive income (loss) | (278) | 0 | 0 | (278) | 0 | 0 |
Ending Balance at Dec. 31, 2018 | 334,882 | 52,122 | 371,848 | (3,250) | (36,968) | (48,870) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of 113,373, 101,912 and 110,337 shares of common stock for the years ending 2018, 2019, and 2020, respectively | 6,221 | 3,549 | 0 | 0 | 2,672 | 0 |
Issuance of 8,172, 7,720 and 7,449 shares of common stock under the employee stock purchase plan for the years ending 2018, 2019, and 2020, respectively | 434 | 434 | 0 | 0 | 0 | 0 |
Unearned restricted stock compensation | 86 | 86 | 0 | 0 | 0 | 0 |
Forfeiture of 3,296, 5,255 and 4,863 shares of common stock for the years ending 2018, 2019, and 2020, respectively | (262) | (262) | 0 | 0 | 0 | 0 |
Share-based compensation | 14 | 14 | 0 | 0 | 0 | 0 |
Change related to ESOP shares | (2,956) | 0 | 0 | 0 | 0 | (2,956) |
Net income | 45,318 | 0 | 45,318 | 0 | 0 | 0 |
Cash dividends ($0.75, $0.82, and $0.89 per share) for the years ending 2018, 2019, and 2020, respectively | (7,657) | 0 | (7,657) | 0 | 0 | 0 |
Purchase of 116,962, 89,124 and 133,622 shares of common stock for the years ending 2018, 2019, and 2020, respectively | (5,534) | 0 | 0 | 0 | (5,534) | 0 |
Other comprehensive income (loss) | 4,665 | 0 | 0 | 4,665 | 0 | 0 |
Ending Balance at Dec. 31, 2019 | 375,211 | 55,943 | 409,509 | 1,415 | (39,830) | (51,826) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of 113,373, 101,912 and 110,337 shares of common stock for the years ending 2018, 2019, and 2020, respectively | 7,116 | 4,177 | 0 | 0 | 2,939 | 0 |
Issuance of 8,172, 7,720 and 7,449 shares of common stock under the employee stock purchase plan for the years ending 2018, 2019, and 2020, respectively | 413 | 413 | 0 | 0 | 0 | 0 |
Unearned restricted stock compensation | (68) | (68) | 0 | 0 | 0 | 0 |
Forfeiture of 3,296, 5,255 and 4,863 shares of common stock for the years ending 2018, 2019, and 2020, respectively | (257) | (257) | 0 | 0 | 0 | 0 |
Share-based compensation | 25 | 25 | 0 | 0 | 0 | 0 |
Change related to ESOP shares | 4,497 | 0 | 0 | 0 | 0 | 4,497 |
Net income | 38,647 | 0 | 38,647 | 0 | 0 | 0 |
Cash dividends ($0.75, $0.82, and $0.89 per share) for the years ending 2018, 2019, and 2020, respectively | (8,325) | 0 | (8,325) | 0 | 0 | 0 |
Purchase of 116,962, 89,124 and 133,622 shares of common stock for the years ending 2018, 2019, and 2020, respectively | (8,550) | 0 | 0 | 0 | (8,550) | 0 |
Other comprehensive income (loss) | 7,367 | 0 | 0 | 7,367 | 0 | 0 |
Ending Balance at Dec. 31, 2020 | $ 416,076 | $ 60,233 | $ 439,831 | $ 8,782 | $ (45,441) | $ (47,329) |
CONSOLIDATED STATEMENTS OF ST_2
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Issuance of common stock (in shares) | 110,337 | 101,912 | 113,373 |
Issuance of common stock purchased under the Employee Stock Purchase Plan (in shares) | 7,449 | 7,720 | 8,172 |
Forfeiture of common stock (in shares) | 4,863 | 5,255 | 3,296 |
Cash dividends (in dollars per share) | $ 0.89 | $ 0.82 | $ 0.75 |
Purchase of common stock (in shares) | 133,622 | 89,124 | 116,962 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | |||
Net income | $ 38,647 | $ 45,318 | $ 36,767 |
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities: | |||
Depreciation | 3,128 | 3,072 | 3,012 |
Provision for loan losses | 4,358 | (2,880) | 8,497 |
Net (gain) loss on sale of investment securities available for sale | (10) | 28 | 0 |
Share-based compensation | 25 | 14 | 0 |
Compensation expensed through issuance of common stock | 1,272 | 1,133 | 1,466 |
Forfeiture of common stock | (257) | (262) | (152) |
Provision for deferred income taxes | (520) | 1,301 | (1,971) |
Net gain on sale of other real estate owned and other repossessed assets | (120) | (94) | (18) |
Decrease (increase) in accrued interest receivable | 265 | (658) | (1,012) |
Amortization of premium on investment securities, net | 818 | 441 | 480 |
Decrease (increase) in other assets | 1,316 | (2,681) | (1,086) |
Amortization of operating lease right of use assets | 386 | 354 | 0 |
(Decrease) increase in accrued interest and other liabilities | (5,615) | 650 | (1,423) |
Loans originated for sale | (475,187) | (299,223) | (136,746) |
Proceeds on sales of loans | 446,318 | 296,346 | 141,441 |
Net gain on sales of loans | (6,678) | (3,539) | (1,517) |
Net cash and cash equivalents provided by operating activities | 8,146 | 39,320 | 47,738 |
Cash Flows from Investing Activities | |||
Proceeds from maturities of investment securities available for sale | 85,530 | 63,301 | 57,284 |
Proceeds from sale of investment securities available for sale | 313 | 12,467 | 0 |
Purchases of investment securities available for sale | (129,359) | (104,539) | (90,295) |
Loans made to customers, net of collections | (72,138) | (13,024) | (168,567) |
Proceeds on sale of other real estate owned and other repossessed assets | 120 | 818 | 168 |
Purchases of property and equipment | (1,860) | (3,167) | (2,206) |
Net changes from tax credit real estate investment | 1,007 | 913 | 883 |
Net cash and cash equivalents used in investing activities | (116,387) | (43,231) | (202,733) |
Cash Flows from Financing Activities | |||
Net increase in deposits | 531,204 | 240,240 | 132,559 |
Net decrease in short-term borrowings | 0 | 0 | 0 |
Net decrease in FHLB borrowings | (80,000) | (30,000) | (80,000) |
Borrowings from FRB | 1 | 1 | 1 |
Payments on FRB borrowings | (1) | (1) | (1) |
Issuance of common stock, net of costs | 5,844 | 5,026 | 4,713 |
Stock options exercised | 0 | 62 | 41 |
Purchase of treasury stock | (8,550) | (5,534) | (6,784) |
Proceeds from the issuance of common stock through the employee stock purchase plan | 413 | 434 | 421 |
Dividends paid | (8,325) | (7,657) | (7,003) |
Net cash and cash equivalents used by financing activities | 440,586 | 202,571 | 43,947 |
Increase (decrease) in cash and cash equivalents | 332,345 | 198,660 | (111,048) |
Cash and cash equivalents: | |||
Beginning of year | 241,965 | 43,305 | 154,353 |
End of year | 574,310 | 241,965 | 43,305 |
Cash payments for: | |||
Interest paid to depositors | 22,294 | 27,878 | 19,009 |
Interest paid on other obligations | 5,399 | 6,333 | 6,792 |
Income taxes paid | 9,874 | 10,784 | 9,924 |
Noncash financing activities: | |||
Increase in maximum cash obligation related to ESOP shares | 4,497 | 2,956 | 5,562 |
Transfers to other real estate owned | 45 | 712 | 150 |
Sale and financing of other real estate owned | 0 | 97 | 96 |
Right of use assets obtained in exchange for operating lease obligations | $ 48 | $ 3,581 | $ 0 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2020 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income | Accumulated Other Comprehensive Income The components of accumulated other comprehensive income (AOCI), included in stockholders’ equity, are as follows: December 31, 2020 2019 (amounts in thousands) Net unrealized gain on available-for-sale securities $ 11,702 $ 4,234 Net unrealized loss on derivatives used for cash flow hedges — (2,349) Tax effect (2,920) (470) Net-of-tax amount $ 8,782 $ 1,415 |
Nature of Activities and Signif
Nature of Activities and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Activities and Significant Accounting Policies | Nature of Activities and Significant Accounting Policies Nature of activities : Hills Bancorporation (the "Company") is a holding company engaged in the business of commercial banking. The Company's subsidiary is Hills Bank and Trust Company, Hills, Iowa (the “Bank”), which is wholly-owned. The Bank is a full-service commercial bank extending its services to individuals, businesses, governmental units and institutional customers primarily in the communities of Hills, Iowa City, Coralville, North Liberty, Lisbon, Mount Vernon, Kalona, Wellman, Cedar Rapids, Marion and Washington, Iowa. The Bank competes with other financial institutions and non-financial institutions providing similar financial products. Although the loan activity of the Bank is diversified with commercial and agricultural loans, real estate loans, automobile, installment and other consumer loans, the Bank's credit is concentrated in real estate loans. All of the Company’s operations are considered to be one reportable operating segment. Accounting estimates : The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Certain significant estimates : The allowance for loan losses, fair values of securities and other financial instruments, and share-based compensation expense involve certain significant estimates made by management. These estimates are reviewed by management routinely and it is reasonably possible that circumstances that exist at December 31, 2020 may change in the near-term and the effect could be material to the consolidated financial statements. Principles of consolidation : The consolidated financial statements include the accounts of the Company and its subsidiary. All significant intercompany balances and transactions have been eliminated in consolidation. Revenue recognition : Accounting Standards Codification ("ASC") 606, Revenue from Contracts with Customers ("ASC 606"), establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the Company’s contracts to provide goods or services to customers. The core principle requires an entity to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration that it expects to be entitled to receive in exchange for those goods or services recognized as performance obligations are satisfied. The majority of the Company’s revenue-generating transactions are not subject to ASC 606, including revenue generated from financial instruments, such as loans, letters of credit and investment securities as these activities are not subject to the requirements of ASC 606. Interest income on loans and investment securities is recognized on the accrual method in accordance with written contracts. Loan origination fees of mortgage loans originated for sale are recognized when the loans are sold. Descriptions of the Company’s revenue-generating activities that are within the scope of ASC 606 are the following: Service charges and fees on deposit accounts represent general service fees for monthly account maintenance and activity- or transaction-based fees and consist of transaction-based revenue which includes interchange income, time-based revenue (service period), item-based revenue or some other individual attribute-based revenue. Revenue is recognized when the Company’s performance obligation is completed which is generally monthly for account maintenance services or when a transaction has been completed (such as a wire transfer). Payment for such performance obligations are generally received at the time the performance obligations are satisfied. Trust income represents monthly fees due from wealth management customers as consideration for managing the customers' assets. Wealth management and trust services include custody of assets, investment management, fees for trust services and similar fiduciary activities. Revenue is recognized when our performance obligation is completed each month, which is generally the time that payment is received. A contract asset balance occurs when an entity performs a service for a customer before the customer pays consideration (resulting in a contract receivable) or before payment is due (resulting in a contract asset). A contract liability balance is an entity's obligation to transfer a service to a customer for which the entity has already received payment (or payment is due) from the customer. As of December 31, 2020 and 2019, the Company did not have any significant contract balances. An entity is required to capitalize, and subsequently amortize into expense, certain incremental costs of obtaining a contract with a customer if these costs are expected to be recovered. The incremental costs of obtaining a contract are those costs that an entity incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained (for example, sales commission). The Company utilizes the practical expedient which allows entities to immediately expense contract acquisition costs when the asset that would have resulted from capitalizing these costs would have been amortized in one year or less. The Company did not capitalize any contract acquisition costs for the years ending December 31, 2020 and 2019. Cash and cash equivalents : The Company considers all investments with original maturities of three months or less to be cash equivalents. At December 31, 2020 and 2019, cash equivalents consisted primarily of deposits with other banks. Investment securities : Available-for-sale securities consist of debt securities not classified as trading or held to maturity. Available-for-sale securities are stated at fair value, and unrealized holding gains and losses, net of the related deferred tax effect, are reported as a separate component of stockholders' equity. There were no trading or held to maturity securities as of December 31, 2020 or 2019. Stock of the Federal Home Loan Bank is carried at cost. The Company has evaluated the stock and determined there is no impairment. Premiums on debt securities are amortized to the earliest call date and discounts on debt securities are accreted over the period to maturity of those securities. The method of amortization results in a constant effective yield on those securities (the interest method). Realized gains and losses on investment securities are included in income, determined on the basis of the cost of the specific securities sold. Declines in the fair value of investment securities available for sale (with certain exceptions for debt securities noted below) that are deemed to be other-than-temporary are charged to earnings as a realized loss, and a new cost basis for the securities is established. In evaluating other-than-temporary impairment, the Company considers the length of time and extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value in the near term. Declines in the fair value of debt securities below amortized cost are deemed to be other-than-temporary in circumstances where: (1) the Company has the intent to sell a security; (2) it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis; or (3) the Company does not expect to recover the entire amortized cost basis of the security. If the Company intends to sell a security or if it is more likely than not that the Company will be required to sell the security before recovery, an other-than-temporary impairment write-down is recognized in earnings equal to the difference between the security’s amortized cost basis and its fair value. If the Company does not intend to sell the security or it is not more likely than not that the Company will be required to sell the security before recovery, the other-than-temporary impairment write-down is separated into an amount representing credit loss, which is recognized in earnings, and an amount related to all other factors, which is recognized in other comprehensive income. Realized securities gains or losses on securities sales (using specific identification method) and declines in value judged to be other-than-temporary are included in investment securities gains (losses), net, in the consolidated statements of income. Loans : Loans are stated at the amount of unpaid principal, reduced by the allowance for loan losses. Interest income is accrued on the unpaid balances as earned. Loans held for sale are stated at the lower of aggregate cost or estimated fair value. Loans are sold on a non-recourse basis with servicing released and gains and losses are recognized based on the difference between sales proceeds and the carrying value of the loan. The Company has had very few experiences of repurchasing loans previously sold into the secondary market. A specific reserve was not considered necessary based on the Company’s historical experience with repurchase activity. The allowance for loan losses is established through a provision for loan losses charged to expense. Loans are charged against the allowance when management believes the collectability of principal is unlikely. The allowance for loan losses is maintained at a level considered adequate to provide for probable losses that can be reasonably anticipated. The allowance is increased by provisions charged to expense and is reduced by net charge-offs. The Bank makes continuous reviews of the loan portfolio and considers current economic conditions, historical loss experience, review of specific problem loans and other factors in determining the adequacy of the allowance. Management classifies loans within the following categories: excellent, good, satisfactory, monitor, special mention and substandard. The policy for charging off loans is consistent throughout all loan categories. A loan is charged off based on criteria that includes but is not limited to: delinquency status, financial condition of the entire customer credit line and underlying collateral coverage, economic or external conditions that might impact full repayment of the loan, legal issues, overdrafts, and the customer’s willingness to work with the Company. Loans are considered impaired when, based on current information and events, it is probable the Bank will not be able to collect all amounts due. An impaired loan includes any loan that has been placed on nonaccrual status, loans greater than 90 days past due and still accruing and TDR loans. They also include loans, based on current information and events, that it is likely the Bank will be unable to collect all amounts due according to the contractual terms of the original loan agreement. The portion of the allowance for loan losses applicable to impaired loans has been computed based on the present value of the estimated future cash flows of interest and principal discounted at the loans effective interest rate or on the fair value of the collateral for collateral dependent loans. The entire change in present value of expected cash flows of impaired loans or of collateral value is reported as provision expense in the same manner in which impairment initially was recognized or as a reduction in the amount of provision expense that otherwise would be reported. Interest income on nonaccrual loans is recognized once principal has been recovered. The accrual of interest income on loans is discontinued when, in the opinion of management, there is reasonable doubt as to the borrower's ability to meet payments of interest or principal when they become due, which is generally when a loan is 90 days or more past due. When a loan is placed on nonaccrual status, all previously accrued and unpaid interest is reversed. Loans are returned to an accrual status when all of the principal and interest amounts contractually due are brought current and repayment of the remaining contractual principal and interest is expected. A loan may also return to accrual status if additional collateral is received from the borrower and, in the opinion of management, the financial position of the borrower indicates that there is no longer any reasonable doubt as to the collection of the amount contractually due. Payment received on nonaccrual loans are applied first to principal. Once principal is recovered, any remaining payments received are applied to interest income. As of December 31, 2020, none of the Company’s nonaccrual loans were earning interest on a cash basis. Nonrefundable loan fees and origination costs are deferred and recognized as a yield adjustment over the life of the related loan. Troubled debt restructurings (“TDR loans”) : A loan is classified as a troubled debt restructuring when a borrower is experiencing financial difficulties that leads to a restructuring of the loan, and the Company grants concessions to the borrower in the restructuring that it would not otherwise consider. These concessions may include rate reductions, principal forgiveness, extension of maturity date and other actions intended to minimize potential losses to the Company. A loan that is modified at a market rate of interest is no longer classified as troubled debt restructuring in the quarter following the modification if the borrower is no longer experiencing financial difficulties. Performance prior to the restructuring is considered when assessing whether the borrower can meet the new terms. At the time of restructuring, loans included in a troubled debt restructuring may be considered nonaccrual loans. TDR loans are returned to accrual status under the same criteria noted under loans above. Section 4013 of the CARES Act, “Temporary Relief From Troubled Debt Restructurings,” allows financial institutions the option to temporarily suspend certain requirements under GAAP related to TDRs for a limited period of time during the COVID-19 pandemic. In March 2020, various regulatory agencies, including the FRB and the FDIC, issued an interagency statement, effective immediately, on loan modifications and reporting for financial institutions working with customers affected by COVID-19. The agencies confirmed with the staff of the FASB that short-term modifications made on a good faith basis in response to COVID-19 to borrowers who were current prior to any relief are not to be considered TDRs. This includes short-term (e.g., six months) modifications, such as payment deferrals, fee waivers, extensions of repayment terms, or other delays in payment that are insignificant. See Note 3 for further discussion. Transfers of financial assets : Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets. Credit related financial instruments : In the ordinary course of business, the Company has entered into commitments to extend credit, including commitments under credit card arrangements, commercial letters of credit and standby letters of credit. Such financial instruments are recorded when they are funded. Tax credit real estate : Tax credit real estate represents two multi-family rental properties, three assisted living rental properties, a multi-tenant rental property for persons with disabilities, and a multi-family senior living rental property, all which are affordable housing projects as of December 31, 2020. The Bank has a 99% or greater limited partnership interest in each limited partnership. The investment in each was completed after the projects had been developed by the general partner. The Company evaluates the recoverability of the carrying value on a regular basis. If the recoverability was determined to be in doubt, a valuation allowance would be established by way of a charge to expense. Depreciation expense is provided on a straight-line basis over the estimated useful life of the assets. Expenditures for normal repairs and maintenance are charged to expense as incurred. In 2016, the Company adopted ASU 2015-02 and the investments in tax credit real estate are recorded for all years presented using the equity method of accounting. The operations of the properties are not expected to contribute significantly to the Company’s income before income taxes. However, the properties do contribute in the form of income tax credits, which lowers the Company’s effective tax rate. Once established, the credits on each property last for ten years and are passed through from the limited partnerships to the Bank and reduces the consolidated federal tax liability of the Company. In February 2019, the Company entered into a Letter of Intent to invest in a limited partnership, as limited partner, which will own and operate an affordable housing property in Iowa City, Iowa. The Company provided construction financing for the project and contributed capital of $4.18 million in February 2021. Property and equipment : Property and equipment is stated at cost less accumulated depreciation. Depreciation is computed using primarily declining-balance methods over the estimated useful lives of 7-40 years for buildings and improvements and 3-10 years for furniture and equipment. Deferred income taxes : Deferred income taxes are provided under the asset and liability method whereby deferred tax assets are recognized for deductible temporary differences and net operating loss, and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Interest and penalties on unrecognized tax benefits are classified as other noninterest expense. As of December 31, 2020, the Company had no material unrecognized tax benefits. Goodwill : Goodwill represents the excess of cost over the fair value of the net assets acquired, and is not subject to amortization, but requires, at a minimum, annual impairment tests for intangibles that are determined to have an indefinite life. Other real estate : Other real estate represents property acquired through foreclosures and settlements of loans. Property acquired is carried at the lower of the principal amount of the loan outstanding at the time of acquisition, plus any acquisition costs, or the estimated fair value of the property, less disposal costs. The Bank will obtain updated appraisals to determine the estimated fair value of the property based on the type of collateral securing the loan and the date of the latest appraisal. Subsequent write downs estimated on the basis of later valuations are charged to net loss on sale of other real estate owned and other repossessed assets. Net operating expenses incurred in maintaining such properties are charged to other non-interest expense. Net capital expenditures incurred are capitalized to the property. Derivative financial instruments : The Bank uses interest rate swaps as part of its interest rate risk management. Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 815 establishes accounting and reporting standards for derivative instruments and hedging activities. The Bank records all interest rate swaps on the balance sheet at fair value. Derivatives used to hedge the exposure to variability in expected future cash flows are considered cash flow hedges. To qualify for hedge accounting, the Bank must comply with the detailed rules and documentation requirements at the inception of the hedge, and hedge effectiveness is assessed at inception and periodically throughout the life of the hedging relationship. As of December 31, 2020, the Bank did not have any outstanding interest rate swaps. For derivatives designated as cash flow hedges, the changes in the fair value of the derivatives is initially reported in other comprehensive income and subsequently reclassified to interest income or expense when the hedged transaction affects earnings. The Bank assesses the effectiveness of each hedging relationship by comparing the cumulative changes in cash flows of the derivative hedging instruments with the cumulative changes in cash flows of the designated hedged item or transaction. No component of the change in the fair value of the hedging instrument is excluded from the assessment of hedge effectiveness. The Bank does not use derivatives for trading or speculative purposes. Earnings per share: Basic earnings per share is computed using the weighted average number of actual common shares outstanding during the period. Diluted earnings per share reflects the potential dilution that would occur from the exercise of common stock options outstanding. ESOP shares are considered outstanding for this calculation unless unearned. The following table presents calculations of earnings per share: Year Ended December 31, 2020 2019 2018 (Amounts In Thousands, except share and per share data) Computation of weighted average number of basic and diluted shares: Common shares outstanding at the beginning of the year 9,351,694 9,336,441 9,335,154 Weighted average number of net shares issued 17,571 19,304 31,160 Weighted average shares outstanding (basic) 9,369,265 9,355,745 9,366,314 Weighted average of potential dilutive shares attributable to stock options granted, computed under the treasury stock method 3,640 4,035 4,027 Weighted average number of shares (diluted) 9,372,905 9,359,780 9,370,341 Net income $ 38,647 $ 45,318 $ 36,767 Earnings per share: Basic $ 4.12 $ 4.85 $ 3.93 Diluted $ 4.12 $ 4.85 $ 3.92 Stock awards and options : Compensation expense for stock issued through the stock award plan is accounted for using the fair value method prescribed by FASB ASC 718, “Share-Based Payment” (“ASC 718”). Under this method, compensation expense is measured and recognized for all stock-based awards made to employees and directors based on the fair value of each award as of the date of the grant. Common stock held by ESOP : The Company's maximum cash obligation related to these shares is classified outside stockholders' equity because the shares are not readily traded and could be put to the Company for cash. Treasury Stock : Treasury stock is accounted for by the cost method, whereby shares of common stock reacquired are recorded at their purchase price. Trust Department Assets : Property held for customers in fiduciary or agency capacities is not included in the accompanying consolidated balance sheets, as such items are not assets of the Company. Effect of New Financial Accounting Standards : In February 2016, the FASB issued ASU No. 2016-02 (Topic 842), Leases . The ASU provides guidance requiring lessees to recognize right-of-use (ROU) assets and lease liabilities for all leases other than those that meet the definition of short-term leases. For short-term leases, lessees may elect an accounting policy by class of underlying asset under which these assets and liabilities are not recognized and lease payments are generally recognized over the lease term on a straight-line basis. Under this new ASU, lessees will recognize right-of use assets and lease liabilities for most leases currently accounted for as operating leases under generally accepted accounting principles. For public companies, ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company adopted the ASU on January 1, 2019 and used the effective date as the 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. We elected the 'package of practical expedients', which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. We did not elect the use-of-hindsight or the practical expedient pertaining to land easements; the latter not being applicable to us. The most significant impact upon adoption relates to the recognition of new ROU assets and lease liabilities on our balance sheet for our equipment and real estate operating leases. Upon adoption, we recognized additional operating liabilities of $3.58 million, with corresponding ROU assets of the same amount based on the present value of the remaining minimum rental payments under current leasing standards for existing operating leases. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments (CECL). The ASU changes the way entities recognize impairment of financial assets by requiring immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets. Under the CECL model, we will be required to present certain financial assets carried at amortized cost, such as loans held for investment and held-to-maturity debt securities, at the net amount expected to be collected. The measurement of expected credit losses is to be based on information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. This measurement will take place at the time the financial asset is first added to the balance sheet and periodically thereafter. This differs significantly from the "incurred loss" model required under current GAAP, which delays recognition until it is probable a loss has been incurred. Accordingly, we expect that the adoption of the CECL model will materially affect how we determine our allowance for loan losses and could require us to significantly increase our allowance. For public companies, ASU 2016-13 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. With the passage of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) , the option to delay CECL was provided until the earlier of the national health emergency being declared over or December 31, 2020. In December 2020, further legislation was passed titled the Coronavirus Response and Relief Supplemental Appropriations Act 2021 which extends the CECL delay until the earlier of 1) the first day of the fiscal year that begins after the national emergency termination date or 2) January 1, 2022. The Company elected to delay implementing CECL and continued to use the incurred loss method to calculate the allowance for loan losses as of and for the period ending December 31, 2020. The Company anticipates adopting CECL effective January 1, 2021 for the first quarter of 2021 based on the options provided under the December 2020 legislation passed. The Company has implemented a software solution provided by a third party vendor to assist in the determination of the CECL model. Our current planned approach for estimating expected life-time credit losses for loans upon adoption includes the following key components: • An initial forecast period of one year for all portfolio segments and off-balance-sheet credit exposures. This period reflects management’s expectation of losses based on forward-looking economic scenarios over that time. • A historical loss forecast period covering the remaining contractual life, adjusted for prepayments, by portfolio segment based on the change in key historical economic variables. • A reversion period of up to 3 years connecting the initial loss forecast to the historical loss forecast based on economic conditions at the measurement date. • We will primarily utilize discounted cash flow (DCF) methods to estimate credit losses by portfolio segment. The DCF methods obtain estimated life-time credit losses using the conceptual components described above. The adjustment upon adoption at January 1, 2021 will be an overall increase in our Allowance for Credit Losses (ACL) for loans of $2.00 million to $4.00 million. We will also record an unfunded commitments liability of $3.00 million to $4.00 million upon adoption. The future effects of CECL on our ACL will depend on the size and composition of our portfolio, the portfolio’s credit quality and economic conditions, as well as any refinements to our model, methodology and other key assumptions. We will recognize a one-time cumulative-effect adjustment to our ACL upon adoption of the new standard. The increase in the ACL will result in a decrease to our regulatory capital amounts and ratios. We estimate the ACL as of December 31, 2020 to be approximately $39 million to $42 million and the unfunded commitments liability to be approximately $2 million to $4 million. In January 2017, the FASB issued ASU No. 2017-03, Accounting Changes and Error Corrections (Topic 250) and Investments - Equity Method and Joint Ventures (Topic 323), Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings. This ASU adds an SEC paragraph and amends other Topics pursuant to an SEC staff Announcement made at the September 22, 2016 Emerging Issues Task Force (EITF) meeting. The SEC paragraph applies to ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606); ASU No. 2016-02, Leases (Topic 842); and ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU provides that a company should evaluate ASUs that have not yet been adopted to determine the appropriate financial statement disclosures about the potential material effects of those ASUs on the financial statements when adopted. If the company does not know or cannot reasonably estimate the impact that adoption of the ASUs referenced in this announcement is expected to have on the financial statements, then in addition to making a statement to that effect, the company should consider additional qualitative financial statement disclosures to assist the reader in assessing the significance of the impact that the standard will have on the financial statements of the company when adopted. Additional qualitative disclosures should include a description of the effect of the accounting policies that the company expects to apply and a comparison to the company's current accounting policies. Also, the company should describe the status of its process to implement the new standards and the significant implementation matters yet to be addressed. In January 2017, the FASB issued ASU No. 2017-04, Intangibles - Goodwill and Other (Topic 250), Simplifying the Test for Goodwill Impairment. The ASU simplifies the goodwill impairment test by requiring a company to perform its annual or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An impairment charge should be recognized when the carrying amount exceeds fair value. For public companies, ASU 2017-04 is effecti |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities The carrying values of investment securities at December 31, 2020 and December 31, 2019 are summarized in the following table (Amounts in Thousands): December 31, 2020 December 31, 2019 Amount Percent Amount Percent Securities available for sale U.S. Treasury $ 148,646 36.40 % $ 128,585 36.19 % Other securities (FHLB, FHLMC and FNMA) 35,160 8.61 % 15,229 4.29 % State and political subdivisions 224,566 54.99 % 211,489 59.52 % Total securities available for sale $ 408,372 100.00 % $ 355,303 100.00 % Investment securities have been classified in the consolidated balance sheets according to management’s intent. Available-for-sale securities consist of debt securities not classified as trading or held to maturity. Available-for-sale securities are stated at fair value, and unrealized holding gains and losses, net of the related deferred tax effect, are reported as a separate component of stockholders’ equity. The Company had no securities designated as trading or held to maturity in its portfolio at December 31, 2020 or 2019. The carrying amount of available-for-sale securities and their approximate fair values were as follows (Amounts in Thousands): Amortized Gross Gross Estimated December 31, 2020: U.S. Treasury $ 143,467 $ 5,179 $ — $ 148,646 Other securities (FHLB, FHLMC and FNMA) 35,195 35 (70) 35,160 State and political subdivisions 218,008 6,674 (116) 224,566 Total $ 396,670 $ 11,888 $ (186) $ 408,372 December 31, 2019: U.S. Treasury $ 127,096 $ 1,626 $ (137) $ 128,585 Other securities (FHLB, FHLMC and FNMA) 15,287 — (58) 15,229 State and political subdivisions 208,686 2,938 (135) 211,489 Total $ 351,069 $ 4,564 $ (330) $ 355,303 The amortized cost and estimated fair value of available-for-sale securities classified according to their contractual maturities at December 31, 2020, were as follows (Amounts in Thousands): Amortized Fair Due in one year or less $ 59,305 $ 59,517 Due after one year through five years 232,753 239,309 Due after five years through ten years 78,124 82,626 Due over ten years 26,488 26,920 Total $ 396,670 $ 408,372 As of December 31, 2020, investment securities with a carrying value of $10.23 million were pledged to collateralize derivative financial instruments and other borrowings. Sales proceeds and gross realized gains and losses on available-for-sale securities were as follows (in thousands): December 31, 2020 December 31, 2019 Sales proceeds $ 313 $ 12,467 Gross realized gains 10 24 Gross realized losses — 52 The following table shows the Company’s investments’ gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2020 and 2019 (Amounts in Thousands): Less than 12 months 12 months or more Total 2020 Description # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % of Securities U.S. Treasury — $ — $ — — % — $ — $ — — % — $ — $ — — % Other securities (FHLB, FHLMC and FNMA) 8 20,019 (70) 0.35 % — — — — % 8 20,019 (70) 0.35 % State and political subdivisions 35 14,168 (110) 0.78 % 4 370 (6) 1.62 % 39 14,538 (116) 0.80 % Total temporarily impaired securities 43 $ 34,187 $ (180) 0.53 % 4 $ 370 $ (6) 1.62 % 47 $ 34,557 $ (186) 0.54 % Less than 12 months 12 months or more Total 2019 Description # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % of Securities U.S. Treasury 11 $ 27,932 $ (136) 0.49 % 1 $ 2,495 $ (1) 0.04 % 12 $ 30,427 $ (137) 0.45 % Other securities (FHLB, FHLMC and FNMA) — — — — % 6 15,229 (58) 0.38 % 6 15,229 (58) 0.38 % State and political subdivisions 66 17,881 (119) 0.67 % 20 3,825 (16) 0.42 % 86 21,706 (135) 0.62 % Total temporarily impaired securities 77 $ 45,813 $ (255) 0.56 % 27 $ 21,549 $ (75) 0.35 % 104 $ 67,362 $ (330) 0.49 % The Company considered the following information in reaching the conclusion that the impairments disclosed in the table above are temporary and not other-than-temporary impairments. None of the unrealized losses in the above table was due to the deterioration in credit quality that might result in the non-collection of contractual principal and interest. The unrealized losses are due to changes in interest rates. The Company has not recognized any unrealized loss in income because management does not have the intent to sell the securities included in the previous table. Management has concluded that it is more likely than not that the Company will not be required to sell these securities prior to recovery of the amortized cost basis. |
Loans
Loans | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
Loans | Loans Classes of loans are as follows: December 31, 2020 2019 (Amounts In Thousands) Agricultural $ 94,842 $ 91,317 Commercial and financial 286,242 221,323 Real estate: Construction, 1 to 4 family residential 71,117 80,209 Construction, land development and commercial 111,913 108,410 Mortgage, farmland 247,142 242,730 Mortgage, 1 to 4 family first liens 892,089 910,742 Mortgage, 1 to 4 family junior liens 127,833 149,227 Mortgage, multi-family 374,014 350,761 Mortgage, commercial 417,139 402,181 Loans to individuals 31,325 32,308 Obligations of state and political subdivisions 56,488 49,896 2,710,144 2,639,104 Net unamortized fees and costs 938 933 2,711,082 2,640,037 Less allowance for loan losses 37,070 33,760 $ 2,674,012 $ 2,606,277 As of December 31, 2020, the Company has outstanding balances of $86.5 million of loans issued under the Paycheck Protection Program (PPP) and $2.12 million of deferred PPP loan fees recorded with commercial and financial loans. For the year ended December 31, 2020, the Company has recognized $2.88 million of deferred PPP loan fees in interest income and has received forgiveness payments totaling $40.4 million from the SBA. Changes in the allowance for loan losses and the allowance for loan loss balance applicable to impaired loans and the related loan balance of impaired loans for the years ended December 31, 2020, 2019 and 2018 are as follows: Agricultural Commercial and Financial Real Estate: Construction Real Estate: Real Estate: Real Estate: Other Total (Amounts In Thousands) 2020 Allowance for loan losses: Beginning balance $ 2,400 $ 4,988 $ 2,599 $ 3,950 $ 10,638 $ 7,859 $ 1,326 $ 33,760 Charge-offs (43) (1,425) (43) (1) (738) (291) (381) (2,922) Recoveries 63 670 118 10 784 49 180 1,874 Provision 88 652 (355) 214 1,684 1,798 277 4,358 Ending balance $ 2,508 $ 4,885 $ 2,319 $ 4,173 $ 12,368 $ 9,415 $ 1,402 $ 37,070 Ending balance, individually evaluated for impairment $ 86 $ 411 $ 7 $ — $ 93 $ 14 $ 51 $ 662 Ending balance, collectively evaluated for impairment $ 2,422 $ 4,474 $ 2,312 $ 4,173 $ 12,275 $ 9,401 $ 1,351 $ 36,408 Loan balances: Ending balance $ 94,842 $ 286,242 $ 183,030 $ 247,142 $ 1,019,922 $ 791,153 $ 87,813 $ 2,710,144 Ending balance, individually evaluated for impairment $ 1,543 $ 2,191 $ 1,266 $ 2,061 $ 7,417 $ 6,200 $ 51 $ 20,729 Ending balance, collectively evaluated for impairment $ 93,299 $ 284,051 $ 181,764 $ 245,081 $ 1,012,505 $ 784,953 $ 87,762 $ 2,689,415 Agricultural Commercial and Financial Real Estate: Construction Real Estate: Real Estate: Real Estate: Other Total (Amounts In Thousands) 2019 Allowance for loan losses: Beginning balance $ 2,789 $ 5,826 $ 3,292 $ 3,972 $ 12,516 $ 8,165 $ 1,250 $ 37,810 Charge-offs (266) (981) (45) (6) (896) (341) (434) (2,969) Recoveries 95 646 8 5 700 180 165 1,799 Provision (218) (503) (656) (21) (1,682) (145) 345 (2,880) Ending balance $ 2,400 $ 4,988 $ 2,599 $ 3,950 $ 10,638 $ 7,859 $ 1,326 $ 33,760 Ending balance, individually evaluated for impairment $ 87 $ 792 $ — $ — $ 111 $ 1 $ 93 $ 1,084 Ending balance, collectively evaluated for impairment $ 2,313 $ 4,196 $ 2,599 $ 3,950 $ 10,527 $ 7,858 $ 1,233 $ 32,676 Loan balances: Ending balance $ 91,317 $ 221,323 $ 188,619 $ 242,730 $ 1,059,969 $ 752,942 $ 82,204 $ 2,639,104 Ending balance, individually evaluated for impairment $ 1,730 $ 2,742 $ 421 $ 4,081 $ 8,670 $ 3,188 $ 93 $ 20,925 Ending balance, collectively evaluated for impairment $ 89,587 $ 218,581 $ 188,198 $ 238,649 $ 1,051,299 $ 749,754 $ 82,111 $ 2,618,179 Agricultural Commercial and Financial Real Estate: Construction Real Estate: Real Estate: Real Estate: Other Total (Amounts In Thousands) 2018 Allowance for loan losses: Beginning balance $ 2,294 $ 4,837 $ 2,989 $ 3,669 $ 8,668 $ 5,700 $ 1,243 $ 29,400 Charge-offs (95) (585) — — (830) (251) (561) (2,322) Recoveries 119 1,057 148 30 612 107 162 2,235 Provision 471 517 155 273 4,066 2,609 406 8,497 Ending balance $ 2,789 $ 5,826 $ 3,292 $ 3,972 $ 12,516 $ 8,165 $ 1,250 $ 37,810 Ending balance, individually evaluated for impairment $ 479 $ 1,189 $ 4 $ — $ 72 $ 306 $ 64 $ 2,114 Ending balance, collectively evaluated for impairment $ 2,310 $ 4,637 $ 3,288 $ 3,972 $ 12,444 $ 7,859 $ 1,186 $ 35,696 Loan balances: Ending balance $ 92,673 $ 229,501 $ 186,086 $ 236,454 $ 1,064,684 $ 735,748 $ 82,797 $ 2,627,943 Ending balance, individually evaluated for impairment $ 2,460 $ 4,162 $ 1,137 $ 3,612 $ 7,012 $ 9,538 $ 64 $ 27,985 Ending balance, collectively evaluated for impairment $ 90,213 $ 225,339 $ 184,949 $ 232,842 $ 1,057,672 $ 726,210 $ 82,733 $ 2,599,958 The Company evaluates the following loans to determine impairment: 1) all nonaccrual and TDR loans, 2) all non consumer and non 1 to 4 family residential loans with prior charge-offs, 3) all non consumer and non 1 to 4 family loan relationships classified as substandard and 4) loans with indications of or suspected deteriorating credit quality. The following table presents the credit quality indicators by type of loans in each category as of December 31, 2020: Agricultural Commercial Real Estate: Real Estate: (Amounts In Thousands) 2020 Grade: Excellent $ 3,761 $ 9,024 $ — $ 227 Good 12,369 62,310 13,675 15,187 Satisfactory 42,015 144,999 41,616 64,301 Monitor 29,381 56,439 13,654 23,368 Special Mention 5,143 8,258 1,857 7,137 Substandard 2,173 5,212 315 1,693 Total $ 94,842 $ 286,242 $ 71,117 $ 111,913 Real Estate: Real Estate: Real Estate: Real Estate: 2020 Grade: Excellent $ 5,706 $ 2,303 $ 204 $ 14,650 Good 41,878 47,233 3,707 57,281 Satisfactory 129,210 701,273 115,731 197,493 Monitor 61,298 114,207 5,153 70,885 Special Mention 6,074 12,890 1,307 15,374 Substandard 2,976 14,183 1,731 18,331 Total $ 247,142 $ 892,089 $ 127,833 $ 374,014 Real Estate: Loans to Obligations of state Total 2020 Grade: Excellent $ 26,940 $ 1 $ 6,752 $ 69,568 Good 92,699 145 13,094 359,578 Satisfactory 196,310 30,487 26,571 1,690,006 Monitor 77,125 479 9,924 461,913 Special Mention 19,731 127 147 78,045 Substandard 4,334 86 — 51,034 Total $ 417,139 $ 31,325 $ 56,488 $ 2,710,144 The following table presents the credit quality indicators by type of loans in each category as of December 31, 2019: Agricultural Commercial Real Estate: Real Estate: (Amounts In Thousands) 2019 Grade: Excellent $ 3,594 $ 3,461 $ 260 $ 190 Good 12,380 47,843 8,868 23,217 Satisfactory 43,308 117,114 51,093 47,987 Monitor 24,857 44,543 17,505 29,009 Special Mention 3,110 5,157 2,483 7,428 Substandard 4,068 3,205 — 579 Total $ 91,317 $ 221,323 $ 80,209 $ 108,410 Real Estate: Real Estate: Real Estate: Real Estate: 2019 Grade: Excellent $ 3,630 $ 3,209 $ 261 $ 18,955 Good 40,118 32,474 4,233 47,871 Satisfactory 134,738 751,215 136,079 189,391 Monitor 53,147 96,353 5,473 60,965 Special Mention 3,033 11,167 1,469 27,559 Substandard 8,064 16,324 1,712 6,020 Total $ 242,730 $ 910,742 $ 149,227 $ 350,761 Real Estate: Loans to Obligations of state Total 2019 Grade: Excellent $ 27,017 $ — $ 7,444 $ 68,021 Good 79,467 221 14,465 311,157 Satisfactory 206,196 31,385 20,274 1,728,780 Monitor 81,381 437 7,323 420,993 Special Mention 4,802 212 390 66,810 Substandard 3,318 53 — 43,343 Total $ 402,181 $ 32,308 $ 49,896 $ 2,639,104 The below are descriptions of the credit quality indicators: Excellent - Excellent rated loans are prime quality loans covered by highly-liquid collateral with generous margins or supported by superior current financial conditions reflecting substantial net worth, relative to total credit extended, and based on assets of a stable and non-speculative nature whose values can be readily verified. Identified repayment source or cash flow is abundant and assured. Good - Good rated loans are adequately secured by readily-marketable collateral or good financial condition characterized by liquidity, flexibility and sound net worth. Loans are supported by sound primary and secondary payment sources and timely and accurate financial information. Satisfactory – Satisfactory rated loans are loans to borrowers of average financial means not especially vulnerable to changes in economic or other circumstances, where the major support for the extension is sufficient collateral of a marketable nature, and the primary source of repayment is seen to be clear and adequate. Monitor – Monitor rated loans are identified by management as warranting special attention for a variety of reasons that may bear on ultimate collectability. This may be due to adverse trends, a particular industry, loan structure, or repayment that is dependent on projections, or a one-time occurrence. Special Mention – Special mention rated loans are supported by a marginal payment capacity and are marginally protected by collateral. There are identified weaknesses that if not monitored and corrected may adversely affect the Company’s credit position. A special mention credit would typically have a weakness in one of the general categories (cash flow, collateral position or payment history) but not in all categories. Substandard – Substandard loans are not adequately supported by the paying capacity of the borrower and may be inadequately collateralized. These loans have a well-defined weakness or weaknesses. For these loans, it is more probable than not that the Company could sustain some loss if the deficiency(ies) is not corrected. Past due loans as of December 31, 2020 and 2019 were as follows: 30 - 59 Days 60 - 89 Days 90 Days Total Past Current Total Accruing Loans (Amounts In Thousands) December 31, 2020 Agricultural $ 438 $ — $ 629 $ 1,067 $ 93,775 $ 94,842 $ 111 Commercial and financial 867 195 140 1,202 285,040 286,242 20 Real estate: Construction, 1 to 4 family residential 190 — 536 726 70,391 71,117 536 Construction, land development and commercial — — — — 111,913 111,913 — Mortgage, farmland 279 28 — 307 246,835 247,142 — Mortgage, 1 to 4 family first liens 4,969 1,342 2,486 8,797 883,292 892,089 342 Mortgage, 1 to 4 family junior liens 436 21 155 612 127,221 127,833 47 Mortgage, multi-family — — — — 374,014 374,014 — Mortgage, commercial 783 — 461 1,244 415,895 417,139 — Loans to individuals 218 59 4 281 31,044 31,325 — Obligations of state and political subdivisions — — — — 56,488 56,488 — $ 8,180 $ 1,645 $ 4,411 $ 14,236 $ 2,695,908 $ 2,710,144 $ 1,056 30 - 59 Days 60 - 89 Days 90 Days Total Past Current Total Accruing Loans (Amounts In Thousands) December 31, 2019 Agricultural $ 163 $ 275 $ 122 $ 560 $ 90,757 $ 91,317 $ 48 Commercial and financial 1,076 229 101 1,406 219,917 221,323 65 Real estate: Construction, 1 to 4 family residential 635 — — 635 79,574 80,209 — Construction, land development and commercial 215 101 — 316 108,094 108,410 — Mortgage, farmland 736 — 610 1,346 241,384 242,730 — Mortgage, 1 to 4 family first liens 5,026 3,100 4,149 12,275 898,467 910,742 354 Mortgage, 1 to 4 family junior liens 813 126 233 1,172 148,055 149,227 139 Mortgage, multi-family — 97 — 97 350,664 350,761 — Mortgage, commercial 321 489 — 810 401,371 402,181 — Loans to individuals 226 55 15 296 32,012 32,308 — Obligations of state and political subdivisions — — — — 49,896 49,896 — $ 9,211 $ 4,472 $ 5,230 $ 18,913 $ 2,620,191 $ 2,639,104 $ 606 The Company does not have a significant amount of loans that are past due less than 90 days where there are serious doubts as to the ability of the borrowers to comply with the loan repayment terms. Accruing loans past due 90 days or more increased $0.45 million from December 31, 2019 to December 31, 2020. As of December 31, 2020 and 2019, accruing loans past due 90 days or more were 0.04% and 0.02% of total loans, respectively. The average balance of the accruing loans past due 90 days or more increased in 2020 as compared to 2019. The average 90 days or more past due accruing loan balance per loan was $0.09 million as of December 31, 2020 compared to $0.08 million as of December 31, 2019. The loans 90 days or more past due and still accruing are believed to be adequately collateralized. Loans are placed on nonaccrual status when management believes the collection of future principal and interest is not reasonably assured. Certain impaired loan information by loan type at December 31, 2020 and 2019 was as follows: December 31, 2020 December 31, 2019 Nonaccrual Accruing loans TDR Nonaccrual Accruing loans TDR (Amounts In Thousands) (Amounts In Thousands) Agricultural $ 1,252 $ 111 $ 85 $ 1,192 $ 48 $ 404 Commercial and financial 479 20 1,263 679 65 1,934 Real estate: Construction, 1 to 4 family residential 315 536 — — — — Construction, land development and commercial 204 — 211 — — 320 Mortgage, farmland 446 — 1,616 1,369 — 2,712 Mortgage, 1 to 4 family first liens 4,331 342 1,751 6,558 354 1,626 Mortgage, 1 to 4 family junior liens 193 47 20 94 139 — Mortgage, multi-family 79 — 1,695 97 — 1,719 Mortgage, commercial 1,550 — 3,610 779 — 593 Loans to individuals — — — — — — $ 8,849 $ 1,056 $ 10,251 $ 10,768 $ 606 $ 9,308 (1) There were $2.97 million and $4.34 million of TDR loans included within nonaccrual loans as of December 31, 2020 and 2019, respectively. The Company may modify the terms of a loan to maximize the collection of amounts due. In most cases, the modification is a reduction in interest rate, conversion to interest only payments or an extension of the maturity date. The borrower is experiencing financial difficulties or is expected to experience financial difficulties in the near-term, so a concessionary modification is granted to the borrower that would otherwise not be considered. TDR loans accrue interest as long as the borrower complies with the revised terms and conditions and has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. Section 4013 of the CARES Act, “Temporary Relief From Troubled Debt Restructurings,” allows financial institutions the option to temporarily suspend certain requirements under GAAP related to TDRs for a limited period of time during the COVID-19 pandemic. In March 2020, various regulatory agencies, including the FRB and the FDIC, issued an interagency statement, effective immediately, on loan modifications and reporting for financial institutions working with customers affected by COVID-19. The agencies confirmed with the staff of the FASB that short-term modifications made on a good faith basis in response to COVID-19 to borrowers who were current prior to any relief are not to be considered TDRs. This includes short-term (e.g., six months) modifications, such as payment deferrals, fee waivers, extensions of repayment terms, or other delays in payment that are insignificant. As of December 31, 2020, the total amount of the eligible loans in deferral (deferral of principal and/or interest) that met the requirements set forth under the interagency statement and therefore were not considered TDRs was 13 loans, totaling $9.4 million. Throughout 2020, COVID-19 related payment deferrals provided for customers totaled approximately 14.82% of total loans. As of December 31, 2020, COVID-19 related payment deferrals were approximately 1.20% of total loans. Below is a summary of information for TDR loans as of December 31, 2020 and 2019: December 31, 2020 Number of Recorded Commitments (Dollar Amounts In Thousands) Agricultural 6 $ 1,028 $ — Commercial and financial 17 1,743 35 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial 1 211 4 Mortgage, farmland 6 2,009 — Mortgage, 1 to 4 family first liens 17 1,898 — Mortgage, 1 to 4 family junior liens 1 20 — Mortgage, multi-family 2 1,695 — Mortgage, commercial 13 4,621 — Loans to individuals — — — 63 $ 13,225 $ 39 December 31, 2019 Number of Recorded Commitments (Dollar Amounts In Thousands) Agricultural 9 $ 1,552 $ 3 Commercial and financial 16 2,641 95 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial 2 320 — Mortgage, farmland 8 4,021 — Mortgage, 1 to 4 family first liens 16 2,083 — Mortgage, 1 to 4 family junior liens — — — Mortgage, multi-family 2 1,719 — Mortgage, commercial 7 1,373 — Loans to individuals — — — 60 $ 13,709 $ 98 A summary of TDR loans that were modified during the year ended December 31, 2020 and 2019 was as follows: December 31, 2020 Number of Pre-modification Post-modification ( Dollar Amounts In Thousands) Agricultural 2 $ 93 $ 93 Commercial and financial 7 623 623 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial — — — Mortgage, farmland — — — Mortgage, 1 to 4 family first liens 6 283 283 Mortgage, 1 to 4 family junior liens 1 20 20 Mortgage, multi-family — — — Mortgage, commercial 7 3,635 3,635 Loans to individuals — — — 23 $ 4,654 $ 4,654 December 31, 2019 Number of Pre-modification Post-modification ( Dollar Amounts In Thousands) Agricultural 4 $ 574 $ 574 Commercial and financial 5 503 503 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial — — — Mortgage, farmland 1 620 620 Mortgage, 1 to 4 family first liens 3 705 705 Mortgage, 1 to 4 family junior liens — — — Mortgage, multi-family 2 1,719 1,719 Mortgage, commercial — — — Loans to individuals — — — 15 $ 4,121 $ 4,121 The Bank has commitments to lend additional borrowings to TDR loan customers. These commitments are in the normal course of business and allow the borrowers to build pre-sold homes and commercial property which increase their overall cash flow. The additional borrowings are not used to facilitate payments on these loans. There were no TDR loans modified during the year that were in payment default (defined as past due 90 days or more) as of December 31, 2020 and one as of December 31, 2019 totaling $0.065 million. Information regarding impaired loans as of and for the year ended December 31, 2020 is as follows: Recorded Unpaid Related Average Interest (Amounts in Thousands) 2020 With no related allowance recorded: Agricultural $ 1,337 $ 1,928 $ — $ 1,518 $ 24 Commercial and financial 1,520 2,907 — 2,054 85 Real estate: Construction, 1 to 4 family residential 315 337 — 475 — Construction, land development and commercial 415 421 — 420 13 Mortgage, farmland 2,061 2,598 — 3,008 120 Mortgage, 1 to 4 family first liens 6,253 8,013 — 6,578 108 Mortgage, 1 to 4 family junior liens 108 350 — 134 — Mortgage, multi-family 1,773 1,898 — 1,795 80 Mortgage, commercial 4,124 4,960 — 4,315 126 Loans to individuals — 47 — — — $ 17,906 $ 23,459 $ — $ 20,297 $ 556 With an allowance recorded: Agricultural $ 206 $ 206 $ 86 $ 141 $ 14 Commercial and financial 671 724 411 755 27 Real estate: Construction, 1 to 4 family residential 536 536 7 486 24 Construction, land development and commercial — — — — — Mortgage, farmland — — — — — Mortgage, 1 to 4 family first liens 924 975 56 955 25 Mortgage, 1 to 4 family junior liens 132 158 37 149 2 Mortgage, multi-family — — — — — Mortgage, commercial 303 304 14 306 3 Loans to individuals 51 51 51 53 3 $ 2,823 $ 2,954 $ 662 $ 2,845 $ 98 Total: Agricultural $ 1,543 $ 2,134 $ 86 $ 1,659 $ 38 Commercial and financial 2,191 3,631 411 2,809 112 Real estate: Construction, 1 to 4 family residential 851 873 7 961 24 Construction, land development and commercial 415 421 — 420 13 Mortgage, farmland 2,061 2,598 — 3,008 120 Mortgage, 1 to 4 family first liens 7,177 8,988 56 7,533 133 Mortgage, 1 to 4 family junior liens 240 508 37 283 2 Mortgage, multi-family 1,773 1,898 — 1,795 80 Mortgage, commercial 4,427 5,264 14 4,621 129 Loans to individuals 51 98 51 53 3 $ 20,729 $ 26,413 $ 662 $ 23,142 $ 654 Information regarding impaired loans as of and for the year ended December 31, 2019 is as follows: Recorded Unpaid Related Average Interest (Amounts in Thousands) 2019 With no related allowance recorded: Agricultural $ 1,596 $ 2,157 $ — $ 1,785 $ 37 Commercial and financial 1,340 2,220 — 1,617 64 Real estate: Construction, 1 to 4 family residential 101 144 — 106 — Construction, land development and commercial 320 336 — 324 18 Mortgage, farmland 4,081 4,613 — 4,144 157 Mortgage, 1 to 4 family first liens 7,157 9,015 — 6,822 51 Mortgage, 1 to 4 family junior liens — 246 — — — Mortgage, multi-family 1,816 1,930 — 1,873 83 Mortgage, commercial 1,302 1,852 — 1,364 26 Loans to individuals — 14 — — — $ 17,713 $ 22,527 $ — $ 18,035 $ 436 With an allowance recorded: Agricultural $ 134 $ 134 $ 87 $ 287 $ 17 Commercial and financial 1,402 1,539 792 1,510 83 Real estate: Construction, 1 to 4 family residential — — — — — Construction, land development and commercial — — — — — Mortgage, farmland — — — — — Mortgage, 1 to 4 family first liens 1,280 1,501 64 1,318 29 Mortgage, 1 to 4 family junior liens 233 233 47 239 6 Mortgage, multi-family — — — — — Mortgage, commercial 70 70 1 73 4 Loans to individuals 93 93 93 62 2 $ 3,212 $ 3,570 $ 1,084 $ 3,489 $ 141 Total: Agricultural $ 1,730 $ 2,291 $ 87 $ 2,072 $ 54 Commercial and financial 2,742 3,759 792 3,127 147 Real estate: Construction, 1 to 4 family residential 101 144 — 106 — Construction, land development and commercial 320 336 — 324 18 Mortgage, farmland 4,081 4,613 — 4,144 157 Mortgage, 1 to 4 family first liens 8,437 10,516 64 8,140 80 Mortgage, 1 to 4 family junior liens 233 479 47 239 6 Mortgage, multi-family 1,816 1,930 — 1,873 83 Mortgage, commercial 1,372 1,922 1 1,437 30 Loans to individuals 93 107 93 62 2 $ 20,925 $ 26,097 $ 1,084 $ 21,524 $ 577 Information regarding impaired loans as of and for the year ended December 31, 2018 is as follows: Recorded Unpaid Related Average Interest (Amounts in Thousands) 2018 With no related allowance recorded: Agricultural $ 1,395 $ 1,663 $ — $ 1,071 $ 23 Commercial and financial 1,650 2,503 — 1,977 58 Real estate: Construction, 1 to 4 family residential 111 148 — 113 — Construction, land development and commercial 328 344 — 333 18 Mortgage, farmland 3,612 4,071 — 3,068 89 Mortgage, 1 to 4 family first liens 6,089 7,819 — 6,435 36 Mortgage, 1 to 4 family junior liens — 254 — — — Mortgage, multi-family 145 213 — 153 — Mortgage, commercial 1,871 2,486 — 1,940 42 Loans to individuals — 14 — — — $ 15,201 $ 19,515 $ — $ 15,090 $ 266 With an allowance recorded: Agricultural $ 1,065 $ 1,229 $ 479 $ 980 $ 7 Commercial and financial 2,512 2,512 1,189 2,793 107 Real estate: Construction, 1 to 4 family residential 698 698 4 622 28 Construction, land development and commercial — — — — — Mortgage, farmland — — — — — Mortgage, 1 to 4 family first liens 899 974 70 888 25 Mortgage, 1 to 4 family junior liens 24 24 2 25 1 Mortgage, multi-family 7,447 7,447 305 7,543 346 Mortgage, commercial 75 75 1 77 4 Loans to individuals 64 64 64 77 9 $ 12,784 $ 13,023 $ 2,114 $ 13,005 $ 527 Total: Agricultural $ 2,460 $ 2,892 $ 479 $ 2,051 $ 30 Commercial and financial 4,162 5,015 1,189 4,770 165 Real estate: Construction, 1 to 4 family residential 809 846 4 735 28 Construction, land development and commercial 328 344 — 333 18 Mortgage, farmland 3,612 4,071 — 3,068 89 Mortgage, 1 to 4 family first liens 6,988 8,793 70 7,323 61 Mortgage, 1 to 4 family junior liens 24 278 2 25 1 Mortgage, multi-family 7,592 7,660 305 7,696 346 Mortgage, commercial 1,946 2,561 1 2,017 46 Loans to individuals 64 78 64 77 9 $ 27,985 $ 32,538 $ 2,114 $ 28,095 $ 793 Impaired loans decreased by $0.20 million from December 31, 2019 to December 31, 2020. Impaired loans include any loan that has been placed on nonaccrual status, accruing loans past due 90 days or more, TDR loans and specific reserve loans. Impaired loans also include loans that, based on management’s evaluation of current information and events, the Bank expects to be unable to collect in full according to the contractual terms of the original loan agreement. Impaired loans were 0.76% and 0.79% of loans held for investment as of December 31, 2020 and 2019, respectively. The decrease in impaired loans is due mainly to a decrease in nonaccrual loans of $1.92 million and offset by an increase of accruing loans past due 90 days or more of $0.45 million, an increase of $0.43 million in specific reserve loans and an increase in TDR loans of $0.94 million from December 31, 2019 to December 31, 2020. For loans that are collateral dependent, losses are evaluated based on the portion of a loan that exceeds the fair market value of the collateral that can be identified as uncollectible. In general, this is the amount that the carrying value of the loan exceeds the related appraised value. Generally, it is the Company’s policy not to rely on appraisals that are older than one year prior to the date the impairment is being measured. The most recent appraisal values may be adjusted if, in the Company’s judgment, experience and other market data indicate that the property’s value, use, condition, exit market or other variable affecting its value may have changed since the appraisal was performed, consistent with the December 2006 joint interagency guidance on the allowance for loan losses. The charge-off or loss adjustment supported by an appraisal is considered the minimum charge-off. Any adjustments made to the appraised value are to provide additional charge-off or loss allocations based on the applicable facts and circumstances. In instances where there is an estimated decline in value, either a loss allocation is provided or a charge-off taken pending confirmation of the amount of the loss from an updated appraisal. Upon receipt of the new appraisals, an additional loss allocation may be provided or charge-off taken based on the appraised value of the collateral. On average, appraisals are obtained within one month of order. The Company has not experienced any significant time lapses in recognizing the required provisions for collateral dependent loans, nor has the Company delayed appropriate charge-offs. When an updated appraisal value has been obtained, the Company has used the appraisal amount in helping to determine the appropriate charge-off or required reserve. The Company also evaluates any changes in the financial condition of the borrower and guarantors (if applicable), economic conditions, and the Company’s loss experience with the type of property in question. Any information utilized in addition to the appraisal is intended to identify additional charge-offs or provisions, not to override the appraised value. The Company separates its portfolio loans and leases into segments for determining the allowance for loan losses. The Company's portfolio segments includes agricultural, commercial and financial, real estate, loans to individuals and obligations of state and political subdivisions. The Company further separates its portfolio into classes for purposes of monitoring and assessing credit quality based on certain risk characteristics. Classes with the real estate portfolio segment includes 1 to 4 family residential constructions, land development and commercial construction, farmland, 1 to 4 family first liens, 1 to 4 family junior liens, multi-family and commercial. Loans that exhibit probable or observed credit weaknesses, as well as loans that have been modified in a TDR, are subject to individual review for impairment. When individual loans are reviewed for impairment, the Company determines allowances based on management's estimate of the borrower's ability to repay the loan given the availability of the collateral, other sources of cash flow, as well as evaluation of legal options available. Allowances for impaired loans are measured based on the present value of expected future cash flows discounted at the loan's effective interest rate or the fair value of the underlying collateral. Historical loss rates are applied to loans that are not individually reviewed for impairment. The 20 quarter migration analysis performed by management uses loan level attributes to track the movement of loans through the various credit risk rating categories in order to estimate the percentage of historical loss to apply to each specific credit risk rating in each loan category. The credit risk rating system currently utilized for allowance analysis purposes encompasses six categories. The Company's allowance for loan loss methodology incorporates a variety of risk considerations, both quantitative and qualitative, in establishing an allowance for loan losses that management believes is appropriate at each reporting date. Quantitative factors include the Company's historical loss experience, delinquency and charge-off trends, collateral values, changes in impaired loans, and other factors. Quantitative factors also incorporate known information about individual loans, including borrowers' sensitivity to interest rate movements. Qualitative factors include changes in lending policies and procedures; changes in national and local economic and business conditions; changes in the nature and volume of the loan portfolio; changes in the experience, ability and depth of lending management and staff; changes in the quality of the Bank's loan review system; the existence and effect of concentrations of credit; and the effect of any other identified external factors. Determinations relating to the possible level of future loan losses are based in part on subjective judgments by management. Future loan losses in excess of current estimates, could materially adversely affect our results of operations or financial position. As the Company adds new products and increases the complexity of its loan portfolio, it will enhance its methodology accordingly. Although management believes the levels of the allowance for loan losses as of December 31, 2020 and 2019 were adequate to absorb probable losses inherent in the loan portfolio, a decline in local economic conditions, or other factors, could result in increasing losses that cannot be reasonably predicted at this time. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment The major classes of property and equipment and the total accumulated depreciation are as follows: December 31, 2020 2019 (Amounts In Thousands) Land $ 11,266 $ 11,261 Buildings and improvements 37,512 37,261 Furniture and equipment 40,053 38,449 88,831 86,971 Less accumulated depreciation 52,953 49,825 Net $ 35,878 $ 37,146 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Leases | Leases The Bank leases branch offices, parking facilities and certain equipment under operating leases. The leases have remaining lease terms of 1 year to 15 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the leases within 1 year. As the options are reasonably certain to be exercised, they are recognized as part of the right-of-use assets and lease liabilities. For the years ended December 31, 2020 and 2019, total operating lease expense was $0.56 million and $0.62 million, respectively, and is included in occupancy expenses in the consolidated statement of income. Included in this were $0.47 million and $0.53 million of operating lease costs, respectively, $0.03 million and $0.03 million of short term lease costs, respectively, and $0.06 million and $0.06 million of variable lease costs, respectively. For the years ended December 31, 2020 and 2019, cash paid for amounts included in the measurement of operating lease liabilities was $0.47 million and $0.53 million, respectively, and right-of-use assets obtained in exchange for lease obligations was $0.05 million and $3.58 million, respectively. As of December 31, 2020 and 2019, operating lease right-of-use assets included in other assets was $2.86 million and $3.20 million, respectively. Operating lease liabilities was $2.91 million and $3.23 million, respectively. The weighted average remaining lease term for operating leases was 10.27 years and 10.86 years, respectively, and the weighted average discount rate for operating leases was 3.45% and 3.46%, respectively. Discount rates used were determined from FHLB borrowing rates for comparable terms. As of December 31, 2020, maturities of lease liabilities were as follows: Year ending December 31: (Amounts In Thousands) 2021 472 2022 464 2023 317 2024 250 2025 253 Thereafter 1,756 Total lease payments 3,512 Less imputed interest (601) Total operating lease liabilities $ 2,911 |
Interest-Bearing Deposits
Interest-Bearing Deposits | 12 Months Ended |
Dec. 31, 2020 | |
Interest-bearing Deposit Liabilities [Abstract] | |
Interest-Bearing Deposits | Interest - Bearing Deposits A summary of these deposits is as follows: December 31, 2020 2019 (Amounts In Thousands) NOW and other demand $ 801,550 $ 610,271 Savings 1,161,324 981,827 Time, $100,000 and over 327,861 292,982 Other time 369,643 388,672 $ 2,660,378 $ 2,273,752 Brokered deposits totaled $74.08 million and $109.29 million as of December 31, 2020 and 2019, respectively, with an average interest rate of 0.34% and 1.65% as of December 31, 2020 and 2019, respectively. As of December 31, 2020, brokered deposits of $74.08 million are included in savings deposits. At December 31, 2019, brokered deposits of $109.29 million were included in savings deposits. Time deposits have a maturity as follows: December 31, 2020 2019 (Amounts In Thousands) Due in one year or less $ 307,962 $ 324,554 Due after one year through two years 190,763 124,527 Due after two years through three years 150,275 90,009 Due after three years through four years 39,089 130,252 Due over four years 9,415 12,312 $ 697,504 $ 681,654 |
Federal Home Loan Bank Borrowin
Federal Home Loan Bank Borrowings | 12 Months Ended |
Dec. 31, 2020 | |
Federal Home Loan Banks [Abstract] | |
Federal Home Loan Bank Borrowings | Federal Home Loan Bank Borrowings As of December 31, 2020 and 2019, the borrowings were as follows: 2020 2019 (Effective interest rates as of December 31, 2020) (Amounts In Thousands) Due 2020, 3.05% $ — $ 25,000 Due 2023, 3.77% — 25,000 Due 2024, 2.38% — 15,000 Due 2025, 2.81% to 2.94% 45,000 60,000 Due 2026, 2.52% to 2.86% 30,000 30,000 Due 2027, 2.76% to 2.95% 30,000 30,000 $ 105,000 $ 185,000 On November 9, 2020 the Company paid $25.00 million in FHLB Borrowings due in 2020. On December 30, 2020 the Company paid $25.00 million in FHLB Borrowings that were due in 2023, $15.00 million in FHLB Borrowings due in 2024 and $15.00 million in FHLB Borrowings due in 2025. Fees incurred with the 2020 prepayments were $2.53 million and recorded in other noninterest expenses. On December 13, 2019 the Company paid $30.00 million in FHLB Borrowings due in 2025 and incurred prepayment fees of $2.09 million which were recorded in other noninterest expenses. The remaining borrowings with the FHLB may have prepayment fees based on the current FHLB borrowing rate. To participate in the FHLB advance program, the Company is required to have an investment in FHLB stock. The Company’s investment in FHLB stock was $8.17 million and $11.06 million at December 31, 2020 and 2019, respectively. Collateral is provided by the Company’s 1 to 4 family mortgage loans totaling $141.75 million at December 31, 2020 and $249.75 million at December 31, 2019. The Company also has the ability to borrow against agricultural real estate, commercial real estate and multi-family loans totaling $315.86 million as of December 31, 2020 and $306.86 million as of December 31, 2019 and there was $0 borrowed against this collateral as of December 31, 2020 or 2019. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit PlansThe Company has an Employee Stock Purchase Plan (the “ESPP”). For each quarterly offering period, eligible employees can elect to contribute from 1% to 15% of his or her compensation. The purchase price is the lesser of 90% of the fair market value on the first day of the offering period or the last day of the offering period. The maximum dollar amount any one employee can elect to contribute in a year is $9,000. During the year ended December 31, 2020, 7,449 shares of stock were purchased by employees of the Bank through the ESPP. 7,720 shares of stock were purchased by employees of the Bank through the ESPP for the year ended December 31, 2019. The Company has an Employee Stock Ownership Plan (the "ESOP") to which it makes discretionary cash contributions. The Company's contribution to the ESOP totaled $1.27 million, $1.08 million and $1.05 million for the years ended December 31, 2020, 2019 and 2018, respectively. The 2020, 2019 and 2018 discretionary contribution rate was 4.5% of qualified salaries. In the event a terminated plan participant desires to sell his or her shares of the Company stock, or for certain employees who elect to diversify their account balances, the Company may be required to purchase the shares from the participant at their fair value. To the extent that shares of common stock held by the ESOP are not readily traded, a sponsor must reflect the maximum cash obligation related to those securities outside of stockholders' equity. The Company obtains a quarterly independent appraisal of the shares of stock. As of December 31, 2020 and 2019, the shares held by the ESOP, fair value and maximum cash obligation were as follows: 2020 2019 Shares held by the ESOP 757,262 797,317 Fair value per share $ 62.50 $ 65.00 Maximum cash obligation $ 47,329,000 $ 51,826,000 The Company has a profit-sharing plan with a 401(k) feature, which provides for discretionary annual contributions in amounts to be determined by the Board of Directors. The Company made a 4.50% or $1.27 million contribution to the profit sharing plan for the year ended December 31, 2020. The Company made a 4.50% or $1.08 million contribution to the profit sharing plan for the year ended December 31, 2019. The Company made a 4.50% or $1.05 million contribution to the profit sharing plan for the year ended December 31, 2018. The Company made matching contributions under its 401(k) plan of $0.26 million in 2020, $0.22 million in 2019, and $0.21 million in 2018 and each such amount is included in salaries and employee benefits expense. The Company provides a deferred compensation program for executive officers. This program allows executive officers to elect to defer a portion of their salaried compensation for payment by the Company at a subsequent date. The executive officers can defer up to 30% of their base compensation and up to 100% of any bonus into the deferral plan. Any amount so deferred is credited to the executive officer’s deferred compensation account and converted to units equivalent in value to the fair market value of a share of stock in Hills Bancorporation. The “stock units” are book entry only and do not represent an actual purchase of stock. The executive officer’s account is adjusted each year for dividends paid and the change in the market value of Hills Bancorporation stock. The deferrals and earnings grow tax deferred until withdrawn from the plan. Earnings credited to the individual’s accounts are recorded as compensation expense when earned. The deferred compensation liability is recorded in other liabilities and totals $3.31 million and $4.89 million at December 31, 2020 and 2019, respectively. Expense related to the deferred compensation plan was $(0.02) million for 2020, $0.42 million for 2019 and $0.85 million for 2018 and is included in salaries and employee benefits expense. The Company also provides a deferred compensation program for its Board of Directors. Under the plan, each director may elect to defer up to 50% of such director’s cash compensation from retainers and meeting fees for payment by the Company at a subsequent date. Any amount so deferred is credited to the director’s deferred compensation account and converted to units equivalent in value to the fair market value of a share of stock in Hills Bancorporation. The “stock units” are book entry only and do not represent an actual purchase of stock. The director’s account is adjusted each year for dividends paid and the change in the market value of Hills Bancorporation stock. The deferred compensation liability for the directors’ plan is recorded in other liabilities and totaled $3.78 million and $3.94 million at December 31, 2020 and 2019, respectively. Expense related to the directors’ deferred compensation plan was $(0.09) million for 2020, $0.28 million for 2019 and $0.43 million for 2018 and is included in other noninterest expense. The Company has a Stock Option and Incentive Plan for certain key employees and directors whereby shares of common stock have been reserved for awards in the form of stock options or restricted stock awards. Under the plan, the aggregate number of options and shares granted cannot exceed 250,000 shares. A Stock Option Committee may grant options at prices equal to the fair value of the stock at the date of the grant. Options expire 10 years from the date of the grant. Director options and officers' rights under the plan vest over a five-year period from the date of the grant. The fair value of each option is estimated as of the date of grant using a Black Scholes option pricing model. The expected lives of options granted incorporate historical employee exercise behavior. The risk-free rate for periods that coincide with the expected life of the options is based on the ten year interest rate swap rate as published by the Federal Reserve Bank on the date of issuance. Expected volatility is based on volatility levels of the Company’s peers’ common stock as the Company’s stock has limited trading activity. Expected dividend yield was based on historical dividend rates. Significant assumptions at the date of grant on May 14, 2019 include the risk-free interest rate of 2.39%, expected option life of 7.5 years, expected volatility of 33% and expected dividends of 1.23%. There were no stock options granted in 2020, 5,805 in 2019 and none in 2018. The weighted-average fair value of options granted in 2019 was $21.31 per share. The intrinsic value of options exercised was $0.00 million, $0.06 million and $0.03 million for 2020, 2019 and 2018, respectively. A summary of the stock options is as follows: Number of Shares Weighted- Weighted-Average Aggregate Balance, December 31, 2017 10,220 $ 33.44 4.45 $ 342 Granted — Exercised (1,200) Balance, December 31, 2018 9,020 $ 33.30 3.41 250 Granted 5,805 Exercised (1,800) Balance, December 31, 2019 13,025 $ 45.92 5.47 248 Granted — Exercised — Balance, December 31, 2020 13,025 $ 45.92 4.47 $ 216 Other pertinent information related to the options outstanding at December 31, 2020 is as follows: Exercise Price Number Outstanding Remaining Contractual Life Number Exercisable 33.00 7,220 16 months 7,220 62.00 5,805 101 months — 13,025 7,220 As of December 31, 2020, the outstanding options have a weighted-average exercise price of $45.92 per share and a weighted average remaining contractual term of 4.47 years. There was $0.09 million in unrecognized compensation cost for stock options granted under the plan as of December 31, 2020. The cost is expected to be recognized over a weighted-average period of 3.40 years. As of December 31, 2020, the vested options totaled 7,220 shares with a weighted-average exercise price of $33.00 per share. As of December 31, 2020, 231,425 shares were available for stock options and awards under the 2020 Stock Option and Incentive Plan (2020 Plan). The 2010 Stock Option and Incentive Plan (2010 Plan) was discontinued upon the approval of the 2020 Plan in April 2020. No stock options or stock awards will be issued from the 2010 Plan after April 2020. The Compensation and Incentive Stock Committee is also authorized to grant awards of restricted common stock. A summary of the restricted stock option activity for the year ended December 31, 2020 is as follows: 2020 Stock Option and Incentive Plan 2010 Stock Option and Incentive Plan Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Balance, December 31, 2019 — 19,853 Authorization of shares 250,000 — Granted 19,063 $62.26 1,364 $62.26 Forfeited 488 $52.93 4,375 $52.93 Balance, December 31, 2020 231,425 22,864 The Company authorized the issuance of 20,427 shares in 2020, 23,527 shares in 2019, and 24,899 shares in 2018 to certain employees. The vesting period for these awards is five years and the Bank amortizes the expense on a straight line basis during the vesting period. The expense relating to these awards for the years ended December 31, 2020, 2019 and 2018 was $0.95 million, $0.96 million and $0.85 million, respectively. 10,800, 7,200 and 15,200 shares of the restricted common stock shares awarded in December 31, 2020, 2019 and 2018, are subject to forfeiture upon termination of the employee's employment with the Company within eight years of the award. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income taxes for the years ended December 31, 2020, 2019 and 2018 are summarized as follows: 2020 2019 2018 (Amounts In Thousands) Current: Federal $ 9,124 $ 8,857 $ 7,783 State 2,673 2,391 3,093 Deferred: Federal (417) 1,068 (1,560) State (103) 233 (411) $ 11,277 $ 12,549 $ 8,905 Temporary differences between the amounts reported in the consolidated financial statements and the tax basis of assets and liabilities result in deferred taxes. Deferred tax assets and liabilities at December 31, 2020 and 2019 were as follows: December 31, 2020 2019 (Amounts In Thousands) Deferred income tax assets: Allowance for loan losses $ 9,249 $ 8,423 Deferred compensation 1,619 2,047 Unrealized losses on interest rate swaps — 586 Accrued expenses 589 716 State net operating loss 1,011 929 Gross deferred tax assets $ 12,468 $ 12,701 Valuation allowance (1,011) (929) Deferred tax asset, net of valuation allowance $ 11,457 $ 11,772 Deferred income tax liabilities: Property and equipment 1,941 1,955 Unrealized gains on investment securities 2,920 1,056 Goodwill 407 407 Other 101 336 Gross deferred tax liabilities $ 5,369 $ 3,754 Net deferred tax assets $ 6,088 $ 8,018 The Company has recorded a deferred tax asset for the future tax benefits of Iowa net operating loss carry-forwards. The net operating loss carry-forwards are generated by the Company largely from its investment in tax credit real estate properties. The Company is required to file a separate Iowa tax return and cannot be consolidated with the Bank. The net operating loss carry-forwards will expire, if not utilized, between 2021 and 2039. The Company has recorded a valuation allowance to reduce the deferred tax asset attributable to the net operating loss carry-forwards. At December 31, 2020 and 2019, the Company believes it is more likely than not that the Iowa net operating loss carry-forwards will not be realized. A valuation allowance related to the remaining deferred tax assets has not been provided because management believes it is more likely than not that the results of future operations will generate sufficient taxable income to realize the deferred tax assets. The valuation allowance increased by $82,000 and $134,000 for the years ended December 31, 2020 and 2019, respectively. The net change in the deferred income taxes for the years ended December 31, 2020, 2019 and 2018 is reflected in the consolidated financial statements as follows: Year Ended December 31, 2020 2019 2018 (Amounts In Thousands) Consolidated statements of income $ (520) $ 1,301 $ 1,971 Consolidated statements of stockholders' equity 2,450 1,550 92 $ 1,930 $ 2,851 $ 2,063 Income tax expense for the years ended December 31, 2020, 2019 and 2018 are less than the amounts computed by applying the maximum effective federal income tax rate to the income before income taxes because of the following items: 2020 2019 2018 Amount % Of Amount % Of Amount % Of (Amounts In Thousands) Expected tax expense $ 10,484 21.0 % $ 12,152 20.9 % $ 9,591 21.0 % Tax-exempt interest (1,219) (2.4) (1,201) (2.1) (1,122) (2.5) Interest expense limitation 79 0.1 109 0.2 87 0.2 State income taxes, net of federal income tax benefit 2,030 4.1 2,073 3.5 2,119 4.6 Income tax credits (51) (0.1) (531) (0.9) (1,292) (2.8) Other (46) (0.1) (53) 0.1 (478) (1.0) $ 11,277 22.6 % $ 12,549 21.7 % $ 8,905 19.5 % Federal income tax expense for the years ended December 31, 2020, 2019 and 2018 was computed using the consolidated effective federal tax rate. The Company also recognized income tax expense pertaining to state franchise taxes payable individually by the subsidiary bank. The Company files a consolidated tax return for federal purposes and separate tax returns for the State of Iowa purposes. The tax years ended December 31, 2020, 2019, 2018 and 2017, remain subject to examination by the Internal Revenue Service. For state tax purposes, the tax years ended December 31, 2020, 2019, 2018 and 2017, remain open for examination. There were no material unrecognized tax benefits at December 31, 2020 and December 31, 2019. No interest or penalties on these unrecognized tax benefits has been recorded. As of December 31, 2020, the Company does not anticipate any significant increase or decrease in unrecognized tax benefits during the twelve month period ending December 31, 2021. |
Regulatory Capital Requirements
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions | 12 Months Ended |
Dec. 31, 2020 | |
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions [Abstract] | |
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions | Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions The Company and the Bank are subject to various regulatory capital requirements administered by the federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial results. Under capital adequacy guidelines and the regulatory frameworks for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. Capital amounts and classifications of the Company and the Bank are also subject to qualitative judgments by the regulators about components, risk weightings and other factors.Quantitative measures established by the regulations to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios of capital. Under the BASEL III rules, the minimum capital ratios are 4% for Tier 1 Leverage Capital Ratio, 4.5% for the Common Equity Tier 1 Capital Ratio, 6% for the Tier 1 Risk-Based Capital Ratio and 8% for the Total Risk-Based Capital Ratio. A capital conservation buffer of 2.5% of risk-weighted assets was completely phased in beginning January 1, 2019. As of March 31, 2020, the Bank elected to use the Community Bank Leverage Ratio (CBLR) framework as provided for in the Economic Growth, Regulatory Relief and Consumer Protection Act. Under the CBLR framework, the Bank is required to maintain a CBLR of greater than 9%. The Coronavirus Aid, Relief and Economic Security ("CARES") Act reduced the minimum ratio to 8% beginning in the 2nd quarter of 2020 through December 31, 2020, increasing to 8.5% for 2021 and returning to 9% beginning January 1, 2022. Management believes that, as of December 31, 2020 and 2019, the Company and the Bank met all capital adequacy requirements to which they are subject. As of December 31, 2020 and 2019, the most recent notifications from the Federal Reserve System categorized the Bank as well-capitalized under the regulatory framework for prompt corrective action. To be categorized as well-capitalized, the Bank must maintain minimum total risk-based, Tier 1 risk-based, Tier 1 common equity and Tier 1 leverage ratios as set forth in the table that follows. There are no conditions or events since that notification that management believes have changed the Bank's category. The actual amounts and capital ratios as of December 31, 2020 and 2019, with the minimum regulatory requirements for the Company and Bank are presented below (amounts in thousands): Actual For Capital Adequacy Purposes Amount Ratio Ratio As of December 31, 2020: Company: Community Bank Leverage Ratio $ 452,123 11.91 % 8.00 % Bank: Community Bank Leverage Ratio 453,073 11.94 8.00 Actual For Capital Adequacy Purposes To Be Well-Capitalized Under Prompt Corrective Action Provisions Amount Ratio Ratio Ratio As of December 31, 2019: Company: Total risk-based capital $ 454,452 18.15 % 8.00 % 10.00 % Tier 1 risk-based capital 423,122 16.90 6.00 8.00 Tier 1 common equity 423,122 16.90 4.50 6.50 Leverage ratio 423,122 12.77 4.00 5.00 Bank: Total risk-based capital 455,440 18.20 8.00 10.00 Tier 1 risk-based capital 424,127 16.95 6.00 8.00 Tier 1 common equity 424,127 16.95 4.50 6.50 Leverage ratio 424,127 12.81 4.00 5.00 The ability of the Company to pay dividends to its stockholders is dependent upon dividends paid by the Bank. The Bank is subject to certain statutory and regulatory restrictions on the amount it may pay in dividends. To maintain acceptable capital ratios in the Bank, certain of its retained earnings are not available for the payment of dividends. To maintain a ratio of capital to assets of 8.00%, retained earnings of $243.57 million as of December 31, 2020 are available for the payment of dividends to the Company. The Bank is required to maintain reserve balances in cash or with the Federal Reserve Bank. Reserve balances totaled $541.05 million and $221.18 million as of December 31, 2020 and 2019, respectively. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party TransactionsCertain directors of the Company and the Bank, companies with which the directors are affiliated, and certain principal officers are customers of, and have banking transactions with, the Bank in the ordinary course of business. Such indebtedness has been incurred on substantially the same terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with unrelated persons. The following is an analysis of the changes in the loans to related parties during the years ended December 31, 2020 and 2019: Year Ended December 31, 2020 2019 (Amounts In Thousands) Balance, beginning $ 55,717 $ 51,216 Net increase (decrease) due to change in related parties — 2,481 Advances 14,406 17,243 Collections (16,070) (15,223) Balance, ending $ 54,053 $ 55,717 Deposits from these related parties totaled $13.18 million and $11.16 million as of December 31, 2020 and 2019, respectively. Deposits from related parties are accepted subject to the same interest rates and terms as those from nonrelated parties. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The carrying value and estimated fair values of the Company’s financial instruments as of December 31, 2020 are as follows: December 31, 2020 Carrying Estimated Readily Observable Company (Amounts In Thousands) Financial instrument assets: Cash and cash equivalents $ 574,310 $ 574,310 $ 574,310 $ — $ — Investment securities 416,544 416,544 148,646 267,898 — Loans held for sale 43,947 43,947 — 43,947 — Loans Agricultural 92,334 92,922 — — 92,922 Commercial and financial 281,357 282,015 — — 282,015 Real estate: Construction, 1 to 4 family residential 70,210 70,432 — — 70,432 Construction, land development and commercial 110,501 110,039 — — 110,039 Mortgage, farmland 242,969 242,978 — — 242,978 Mortgage, 1 to 4 family first liens 882,156 890,409 — — 890,409 Mortgage, 1 to 4 family junior liens 126,336 124,945 — — 124,945 Mortgage, multi-family 369,552 370,538 — — 370,538 Mortgage, commercial 412,186 413,409 — — 413,409 Loans to individuals 30,573 31,164 — — 31,164 Obligations of state and political subdivisions 55,838 59,300 — — 59,300 Accrued interest receivable 12,177 12,177 — 12,177 — Total financial instrument assets $ 3,720,990 $ 3,735,129 $ 722,956 $ 324,022 $ 2,688,151 Financial instrument liabilities: Deposits Noninterest-bearing deposits $ 532,190 $ 532,190 $ — $ 532,190 $ — Interest-bearing deposits 2,660,378 2,673,815 — 2,673,815 — Federal Home Loan Bank borrowings 105,000 115,259 — 115,259 — Interest rate swaps — — — — — Accrued interest payable 1,733 1,733 — 1,733 — Total financial instrument liabilities $ 3,299,301 $ 3,322,997 $ — $ 3,322,997 $ — Face Amount Financial instrument with off-balance sheet risk: Loan commitments $ 483,602 $ — $ — $ — $ — Letters of credit 8,056 — — — — Total financial instrument liabilities with off-balance-sheet risk $ 491,658 $ — $ — $ — $ — (1) Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. The carrying value and estimated fair values of the Company’s financial instruments as of December 31, 2019 are as follows: December 31, 2019 Carrying Estimated Readily Observable Company (Amounts In Thousands) Financial instrument assets: Cash and cash equivalents $ 241,965 $ 241,965 $ 241,965 $ — $ — Investment securities 366,368 366,368 128,585 237,783 — Loans held for sale 8,400 8,400 — 8,400 — Loans Agricultural 88,917 90,118 — — 90,118 Commercial and financial 216,335 217,640 — — 217,640 Real estate: Construction, 1 to 4 family residential 79,096 79,954 — — 79,954 Construction, land development and commercial 106,924 107,276 — — 107,276 Mortgage, farmland 238,780 239,521 — — 239,521 Mortgage, 1 to 4 family first liens 902,630 896,676 — — 896,676 Mortgage, 1 to 4 family junior liens 147,634 143,261 — — 143,261 Mortgage, multi-family 346,938 349,663 — — 349,663 Mortgage, commercial 398,145 395,838 — — 395,838 Loans to individuals 31,455 32,722 — — 32,722 Obligations of state and political subdivisions 49,423 50,564 — — 50,564 Accrued interest receivable 12,442 12,442 — 12,442 — Total financial instrument assets $ 3,235,452 $ 3,232,408 $ 370,550 $ 258,625 $ 2,603,233 Financial instrument liabilities: Deposits Noninterest-bearing deposits $ 387,612 $ 387,612 $ — $ 387,612 $ — Interest-bearing deposits 2,273,752 2,292,332 — 2,292,332 — Federal Home Loan Bank Borrowings 185,000 186,091 — 186,091 — Interest rate swaps 2,349 2,349 — 2,349 — Accrued interest payable 2,474 2,474 — 2,474 — Total financial instrument liabilities $ 2,851,187 $ 2,870,858 $ — $ 2,870,858 $ — Face Amount Financial instrument with off-balance sheet risk: Loan commitments $ 424,165 $ — $ — $ — $ — Letters of credit 8,569 — — — — Total financial instrument liabilities with off-balance-sheet risk $ 432,734 $ — $ — $ — $ — (1) Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market Fair value of financial instruments : FASB ASC 820, Fair Value Measurements and Disclosures (“ASC 820”) provides a single definition for fair value, a framework for measuring fair value and expanded disclosures concerning fair value. Fair value is defined under ASC 820 as the exchange price that would be received for an asset or paid to transfer a 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. The Company determines the fair market value of its financial instruments based on the fair value hierarchy established in ASC 820. There are three levels of inputs that may be used to measure fair value as follows: Level 1 Quoted prices in active markets for identical assets or liabilities. Level 2 Observable inputs other than quoted prices included within Level 1. Observable inputs include the quoted prices for similar assets or liabilities in markets that are not active and inputs other than quoted prices that are observable for the asset or liability. Level 3 Unobservable inputs supported by little or no market activity for financial instruments. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. It is the Company’s policy to maximize the use of observable inputs and minimize the use of unobservable inputs when developing fair value measurements. The Company is required to use observable inputs, to the extent available, in the fair value estimation process unless that data results from forced liquidations or distressed sales. The following is a description of valuation methodologies used for assets and liabilities recorded at fair value. ASSETS Investment securities available for sale : Investment securities available for sale are recorded at fair value on a recurring basis. Fair value measurement is based upon quoted prices, if available. If a quoted price is not available, the fair value is obtained from benchmarking the security against similar securities. U.S. Treasury securities are considered Level 1 with the remaining securities considered Level 2. The pricing for investment securities is obtained from an independent source. There are no Level 3 investment securities owned by the Company. The Company obtains an understanding of the independent source’s valuation methodologies used to determine fair value by level of security. The Company validates assigned fair values on a sample basis using an additional third-party provider pricing service to determine if the fair value measurement is reasonable. Due to the nature of our investment portfolio, we do not expect significant and unusual fluctuations as fair value changes primarily relate to interest rate changes. No unusual fluctuations were identified during the year ended December 31, 2020. If a fluctuation requiring investigation was identified, the Company would research the change with the independent source or other available information. Loans held for sale and Loans : ASU 2016-1, Financial Instruments -Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. Methodologies utilized for this financial statement period are as follows: •Income Approach: Fair value is determined based on a discounted cash flow analysis. The discounted cash flow analysis was based on the contractual maturity of the loan and market indications of rates, prepayment speeds, defaults and credit risk. •Asset Approach: Fair value is determined based on the estimated values of the underlying collateral or individual analysis of receipts. This provides a better indication of value than the contractual income streams as these loans are not performing or exhibit strong signs indicative of non-performance. Fair value has been estimated in accordance with ASC 820, Fair Value Measurements and Disclosures, and is intended to represent the price that would be received in an orderly transaction between market participants as of the measurement date. In general, fair value is based upon quoted market prices, where available. If such quoted market prices are not available, at least one significant assumption not observable in the market was utilized. These unobservable assumptions reflect estimates that market participants would use in pricing the asset or liability. Inputs to these valuation techniques are subjective in nature, involve uncertainties and require significant judgment and therefore cannot be determined with precision. Accordingly, the fair value estimates presented are not necessarily indicative of the amounts to be realized in a current market exchange. Loans are classified as Level 3. Loans held for sale are carried at historical cost. The carrying amount is a reasonable estimate of fair value because of the short time between origination of the loan and its sale on the secondary market (Level 2). The market is active for these loans and as a result prices for similar assets are available. The Company does record nonrecurring fair value adjustments to impaired loans to reflect (1) partial write-downs that are based on the observable market price or appraised value of the collateral or (2) the full charge-off of the loan carrying value (Level 3). A loan is considered to be impaired when it is probable that all of the principal and interest due may not be collected according to its contractual terms. Generally, when a loan is considered impaired, the amount of reserve required under ASC 310, Receivables, is measured based on the fair value of the underlying collateral. The Company makes such measurements on all material loans deemed impaired using the fair value of the collateral for collateral dependent loans or based on the present value of the estimated future cash flows of interest and principal discounted at the loans effective interest rate or the fair value of the loan if determinable. The fair value of collateral used by the Company is determined by obtaining an observable market price or by obtaining an appraised value from an independent, licensed or certified appraiser, using observable market data. This data includes information such as selling price of similar properties and capitalization rates of similar properties sold within the market, expected future cash flows or earnings of the subject property based on current market expectations, and other relevant factors. All appraised values are adjusted for market-related trends based on the Company's experience in sales and other appraisals of similar property types as well as estimated selling costs. Each quarter management reviews all collateral dependent impaired loans on a loan-by-loan basis to determine whether updated appraisals are necessary based on loan performance, collateral type and guarantor support. At times, the Company measures the fair value of collateral dependent impaired loans using appraisals with dates prior to one year from the date of review. These appraisals are discounted by applying current, observable market data about similar property types such as sales contracts, estimations of value by individuals familiar with the market, other appraisals, sales or collateral assessments based on current market activity until updated appraisals are obtained. Depending on the length of time since an appraisal was performed, the data provided through reviews and estimated selling costs, collateral values are typically discounted by 0-35%. These loans are considered Level 3 as the instruments used to determine fair market value require significant management judgment and estimation. Foreclosed assets : The Company does not record foreclosed assets at fair value on a recurring basis. Foreclosed assets consist mainly of other real estate owned but may include other types of assets repossessed by the Company. Foreclosed assets are adjusted to the lower of carrying value or fair value less the costs of disposal. Fair value is generally based upon independent market prices or appraised values of the collateral, and may include a marketability discount as deemed necessary by management based on its experience with similar types of real estate. The value of foreclosed assets is evaluated periodically as a nonrecurring fair value adjustment. Foreclosed assets are classified as Level 3. Off-balance sheet instruments : Fair values for outstanding letters of credit are based on fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties' credit standing. The fair value of the outstanding letters of credit is not significant. Unfunded loan commitments are not valued since the loans are generally priced at market at the time of funding (Level 2). LIABILITIES Interest Rate Swap Agreements : The fair value is estimated using forward-looking interest rate curves and is calculated using discounted cash flows that are observable or that can be corroborated by observable market data (Level 2). Assets and Liabilities Recorded at Fair Value on a Recurring Basis The table below represents the balances of assets and liabilities measured at fair value on a recurring basis: December 31, 2020 Readily Available Observable Company Total at Securities available for sale (Amounts in Thousands) U.S. Treasury $ 148,646 $ — $ — $ 148,646 State and political subdivisions — 224,566 — 224,566 Other securities (FHLB, FHLMC and FNMA) — 35,160 — 35,160 Derivative Financial Instruments Interest rate swaps — — — — Total $ 148,646 $ 259,726 $ — $ 408,372 December 31, 2019 Readily Available Observable Company Total at Securities available for sale (Amounts in Thousands) U.S. Treasury $ 128,585 $ — $ — $ 128,585 State and political subdivisions — 211,489 — 211,489 Other securities (FHLB, FHLMC and FNMA) — 15,229 — 15,229 Derivative Financial Instruments Interest rate swaps — (2,349) — (2,349) Total $ 128,585 $ 224,369 $ — $ 352,954 (1) Considered Level 1 under ASC 820. (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. There were no transfers between Levels 1, 2 or 3 during the years ended December 31, 2020 and 2019. Assets and Liabilities Recorded at Fair Value on a Nonrecurring Basis The Company is required to measure certain assets at fair value on a nonrecurring basis in accordance with GAAP. These adjustments to fair value usually result from application of lower-of-cost-or-market accounting or write-downs of individual assets. The valuation methodologies used to measure these fair value adjustments are described above. For assets measured at fair value on a nonrecurring basis that were still held on the balance sheet at December 31, 2020 and 2019, the following tables provide the level of valuation assumptions used to determine the adjustment and the carrying value of the related individual assets at year end. December 31, 2020 Year Ended December 31, 2020 Readily Observable Company Total at Total (Amounts in Thousands) Loans (4) Agricultural $ — $ — $ 1,081 $ 1,081 $ — Commercial and financial — — 1,692 1,692 385 Real Estate: Construction, 1 to 4 family residential — — 414 414 — Construction, land development and commercial — — 315 315 — Mortgage, farmland — — 1,718 1,718 — Mortgage, 1 to 4 family first liens — — 5,906 5,906 252 Mortgage, 1 to 4 family junior liens — — 176 176 19 Mortgage, multi-family — — 1,773 1,773 — Mortgage, commercial — — 5,082 5,082 250 Loans to individuals — — — — — Foreclosed assets (5) — — — — — Total $ — $ — $ 18,157 $ 18,157 $ 906 (1) Considered Level 1 under ASC 820. (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. (4) Represents carrying value and related write-downs of loans for which adjustments are based on the value of the collateral. The carrying value of loans fully charged off is zero. (5) Represents the fair value and related losses of foreclosed real estate and other collateral owned that were measured at fair value subsequent to their initial classification as foreclosed assets. December 31, 2019 Year Ended December 31, 2019 Readily Observable Company Total at Total (Amounts in Thousands) Loans (4) Agricultural $ — $ — $ 1,272 $ 1,272 $ 36 Commercial and financial — — 1,803 1,803 499 Real Estate: Construction, 1 to 4 family residential — — — — — Construction, land development and commercial — — 215 215 8 Mortgage, farmland — — 3,576 3,576 — Mortgage, 1 to 4 family first liens — — 7,986 7,986 370 Mortgage, 1 to 4 family junior liens — — 49 49 — Mortgage, multi-family — — 1,816 1,816 — Mortgage, commercial — — 1,237 1,237 125 Loans to individuals — — — — — Foreclosed assets (5) — — — — — Total $ — $ — $ 17,954 $ 17,954 $ 1,038 (1) Considered Level 1 under ASC 820. (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. (4) Represents carrying value and related write-downs of loans for which adjustments are based on the value of the collateral. The carrying value of loans fully charged off is zero. (5) Represents the fair value and related losses of foreclosed real estate and other collateral owned that were measured at fair value subsequent to their initial classification as foreclosed assets. |
Parent Company Only Financial I
Parent Company Only Financial Information | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Only Financial Information | Parent Company Only Financial Information Following is condensed financial information of the Company (parent company only): CONDENSED BALANCE SHEETS December 31, 2020 and 2019 (Amounts In Thousands) ASSETS 2020 2019 Cash and cash equivalents at subsidiary bank $ 1,100 $ 5,114 Investment in subsidiary bank 464,355 428,042 Other assets 1,846 1,331 Total assets $ 467,301 $ 434,487 LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities $ 3,896 $ 7,450 Redeemable common stock held by ESOP 47,329 51,826 Stockholders' equity: Capital stock 60,233 55,943 Retained earnings 439,831 409,509 Accumulated other comprehensive gain 8,782 1,415 Treasury stock at cost (45,441) (39,830) 463,405 427,037 Less maximum cash obligation related to ESOP shares 47,329 51,826 Total stockholders' equity 416,076 375,211 Total liabilities and stockholders' equity $ 467,301 $ 434,487 CONDENSED STATEMENTS OF INCOME Years Ended December 31, 2020, 2019 and 2018 (Amounts In Thousands) 2020 2019 2018 Dividends received from subsidiary $ 14,822 $ 7,657 $ 11,502 Other expenses (362) (708) (786) Income before income tax benefit and equity in undistributed income of subsidiary 14,460 6,949 10,716 Income tax benefit 173 271 273 14,633 7,220 10,989 Equity in undistributed income of subsidiary 24,014 38,098 25,778 Net income $ 38,647 $ 45,318 $ 36,767 CONDENSED STATEMENTS OF CASH FLOWS Years Ended December 31, 2020, 2019 and 2018 (Amounts In Thousands) 2020 2019 2018 Cash flows from operating activities: Net income $ 38,647 $ 45,318 $ 36,767 Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: Equity in undistributed income of subsidiary (24,014) (38,098) (25,778) Share-based compensation 25 14 — Compensation expensed through issuance of common stock 1,272 1,133 1,466 Forfeiture of common stock (257) (262) (152) (Increase) decrease in other assets (515) (100) 162 (Decrease) increase in other liabilities (3,554) 1,036 574 Net cash and cash equivalents provided by operating activities 11,604 9,041 13,039 Cash flows from financing activities: Issuance of common stock, net of costs 5,844 5,026 4,713 Stock options exercised — 62 41 Purchase of treasury stock (8,550) (5,534) (6,784) Proceeds from the issuance of common stock through the employee stock purchase plan 413 434 421 Capital contribution to subsidiary (5,000) — (4,700) Dividends paid (8,325) (7,657) (7,003) Net cash and cash equivalents used by financing activities (15,618) (7,669) (13,312) (Decrease) increase in cash and cash equivalents (4,014) 1,372 (273) Cash and cash equivalents: Beginning of year 5,114 3,742 4,015 Ending of year $ 1,100 $ 5,114 $ 3,742 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Concentrations of credit risk : The Bank’s loans, commitments to extend credit, unused lines of credit and outstanding letters of credit have been granted to customers within the Bank's market area. Investments in securities issued by state and political subdivisions within the state of Iowa totaled approximately $91.33 million. The concentrations of credit by type of loan are set forth in Note 3 to the Consolidated Financial Statements. Outstanding letters of credit were granted primarily to commercial borrowers. Although the Bank has a diversified loan portfolio, a substantial portion of its debtors' ability to honor their contracts is dependent upon the economic conditions in Johnson, Linn and Washington Counties, Iowa. Contingencies : In the normal course of business, the Company and its subsidiaries are subject to pending and threatened legal actions, some of which seek substantial relief or damages. While the ultimate outcome of such legal proceedings cannot be predicted with certainty, after reviewing pending and threatened litigation with counsel, management believes at this time that the outcome of such litigation will not have a material adverse effect on the Company’s business, financial conditions, or results of operations. The outbreak of Coronavirus Disease 2019 (“COVID-19”) has and will continue to adversely impact a broad range of industries in which the Company’s customers operate and impair their ability to fulfill their financial obligations to the Company. The World Health Organization has declared COVID-19 to be a global pandemic indicating that almost all public commerce and related business activities must be, to varying degrees, curtailed with the goal of decreasing the rate of new infections. The spread of the outbreak has caused significant disruptions in the U.S. economy and is highly likely to disrupt banking and other financial activity in the areas in which the Company operates and could also potentially create widespread business continuity issues for the Company. The Company’s business is dependent upon the willingness and ability of its employees and customers to conduct banking and other financial transactions. If the global response to contain COVID-19 escalates or is unsuccessful, the Company could experience a material adverse effect on its business, financial condition, results of operations and cash flows. See Note 3 for further discussion regarding the financial impact of COVID-19. Financial instruments with off-balance sheet risk : The Bank is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, credit card participations and standby letters of credit. These instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated balance sheets. The Bank’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit, credit card participations and standby letters of credit is represented by the contractual amount of those instruments. The Bank uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet instruments. A summary of the Bank’s commitments at December 31, 2020 and 2019 is as follows: 2020 2019 (Amounts In Thousands) Firm loan commitments and unused portion of lines of credit: Home equity loans $ 69,974 $ 65,203 Credit cards 60,535 57,421 Commercial, real estate and home construction 118,186 94,490 Commercial lines and real estate purchase loans 234,907 207,051 Outstanding letters of credit 8,056 8,569 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer's credit worthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon extension of credit, is based on management's credit evaluation of the party. Collateral held varies, but may include accounts receivable, crops, livestock, inventory, property and equipment, residential real estate and income-producing commercial properties. Credit card commitments are the unused portion of the holders' credit limits. Such amounts represent the maximum amount of additional unsecured borrowings. Standby letters of credit are conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. Those guarantees are primarily issued to support public and private borrowing arrangements and, generally, have terms of one year or less. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. The Bank holds collateral, which may include accounts receivable, inventory, property, equipment, and income-producing properties, supporting those commitments if deemed necessary. In the event the customer does not perform in accordance with the terms of the agreement with the third party, the Bank would be required to fund the commitment. The maximum potential amount of future payments the Bank could be required to make is represented by the contractual amount shown in the summary above. If the commitment is funded the Bank would be entitled to seek recovery from the customer. At December 31, 2020 and 2019, no amounts have been recorded as liabilities for the Bank’s potential obligations under these guarantees. Lease commitments: The Company leases certain facilities under operating leases. The minimum future rental commitments as of December 31, 2020 for all non-cancelable leases relating to Bank premises were as follows: Year ending December 31: (Amounts In Thousands) 2021 $ 375 2022 319 2023 316 2024 82 2025 1 Thereafter 4 $ 1,097 Rent expense was $0.38 million, $0.40 million and $0.36 million for the years ended December 31, 2020, 2019 and 2018, respectively. |
Quarterly Results of Operations
Quarterly Results of Operations (unaudited, amounts in thousands, except per share amounts) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Results of Operations (unaudited, amounts in thousands, except per share amounts) | Quarterly Results of Operations (unaudited, amounts in thousands, except per share amounts) Quarter Ended March June September December Year 2020 Interest income $ 32,452 $ 32,246 $ 31,675 $ 32,156 $ 128,529 Interest expense 7,862 6,645 6,465 5,980 26,952 Net interest income $ 24,590 $ 25,601 $ 25,210 $ 26,176 $ 101,577 Provision for loan losses 4,649 8 (157) (142) 4,358 Other income 6,167 6,531 7,510 8,128 28,336 Other expense 17,227 16,872 18,055 23,477 75,631 Income before income taxes $ 8,881 $ 15,252 $ 14,822 $ 10,969 $ 49,924 Income taxes 1,806 3,541 3,392 2,538 11,277 Net income $ 7,075 $ 11,711 $ 11,430 $ 8,431 $ 38,647 Basic earnings per share $ 0.75 $ 1.25 $ 1.22 $ 0.90 $ 4.12 Diluted earnings per share 0.75 1.25 1.22 0.90 4.12 2019 Interest income $ 31,847 $ 33,236 $ 33,969 $ 33,280 $ 132,332 Interest expense 8,074 8,848 9,274 8,677 34,873 Net interest income $ 23,773 $ 24,388 $ 24,695 $ 24,603 $ 97,459 Provision for loan losses (1,246) (540) 144 (1,238) (2,880) Other income 5,250 5,851 6,638 7,053 24,792 Other expense 16,049 16,360 16,604 18,251 67,264 Income before income taxes $ 14,220 $ 14,419 $ 14,585 $ 14,643 $ 57,867 Income taxes 3,017 3,199 3,303 3,030 12,549 Net income $ 11,203 $ 11,220 $ 11,282 $ 11,613 $ 45,318 Basic earnings per share $ 1.20 $ 1.20 $ 1.21 $ 1.24 $ 4.85 Diluted earnings per share 1.20 1.20 1.21 1.24 4.85 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial InstrumentsIn the normal course of business, the Bank may use derivative financial instruments to manage its interest rate risk. These instruments carry varying degrees of credit, interest rate and market or liquidity risks. Derivative instruments are recognized as either assets or liabilities in the accompanying consolidated financial statements and are measured at fair value. The Bank’s objectives are to add stability to its net interest margin and to manage its exposure to movements in interest rates. The contract or notional amount of a derivative is used to determine, along with the other terms of the derivative, the amount to be exchanged between the counterparties. The Bank is exposed to credit risk in the event of nonperformance by counterparties to financial instruments. The Bank minimizes this risk by entering into derivative contracts with large, stable financial institutions. The Bank has not experienced any losses from nonperformance by counterparties. The Bank monitors counterparty risk in accordance with the provisions of ASC 815. In addition, the Bank’s interest rate-related derivative instruments contain language outlining collateral pledging requirements for each counterparty. Collateral must be posted when the market value exceeds certain threshold limits which are determined by credit ratings of each counterparty. The Bank determined to terminate one interest rate swap in December 2020 and the other matured in November 2020, therefore the Bank was required to pledge no collateral as of December 31, 2020. Cash Flow Hedges: The Bank executed two forward-starting interest rate swap transactions on November 7, 2013. One of the interest rate swap transactions had an effective date of November 9, 2015, and an expiration date of November 9, 2020, effectively converting $25.00 million of variable rate debt to fixed rate debt. The other interest rate swap transaction had an effective date of November 7, 2016 and an expiration date of November 7, 2023, effectively converting $25.00 million of variable rate debt to fixed rate debt. For accounting purposes, these swap transactions are designated as a cash flow hedge of the changes in cash flows attributable to changes in three-month LIBOR, the benchmark interest rate being hedged, associated with the interest payments made on an amount of the Bank’s debt principal equal to the then-outstanding swap notional amount. At inception, the Bank asserted that the underlying principal balance would remain outstanding throughout the hedge transaction making it probable that sufficient LIBOR-based interest payments would exist through the maturity date of the swaps. The Bank determined to terminate the remaining interest rate swap in December 2020 and in connection with the termination paid $2.684 million to the counterparty. The losses realized on the interest rate swap were reclassified into the income statement from other comprehensive income. In connection with the termination of the swap, the related FHLB borrowing was paid off as described in Note 7. The table below identifies the balance sheet category and fair values of the Bank’s derivative instruments designated as cash flow hedges as of December 31, 2020 and 2019: Notional Fair Value Balance Maturity (Amounts in Thousands) December 31, 2020 Interest rate swap $ — $ — Other Liabilities Interest rate swap — — Other Liabilities December 31, 2019 Interest rate swap $ 25,000 $ (279) Other Liabilities 11/9/2020 Interest rate swap 25,000 (2,070) Other Liabilities 11/7/2023 The table below identifies the gains and losses recognized on the Bank’s derivative instruments designated as cash flow hedges for the years ended December 31, 2020 and 2019: Recognized in OCI Reclassified from AOCI into Income Recognized in Income on Derivatives Amount of Gain (Loss) Category Amount of Gain (Loss) Category Amount of Gain (Loss) (Amounts in Thousands) December 31, 2020 Interest rate swap $ 209 Interest Expense $ — Other Income $ — Interest rate swap (438) Interest Expense (1,992) Other Income — December 31, 2019 Interest rate swap $ (119) Interest Expense $ — Other Income $ — Interest rate swap (446) Interest Expense — Other Income — |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events The Company is currently finalizing the CECL model and upon adoption of ASU 2016-13 (CECL) in the first quarter of 2021 anticipates an increase to the allowance for credit losses for loans of approximately $2 to $4 million and an unfunded commitment liability of approximately $3 to $4 million. See Note 1 for further discussion. Subsequent events have been evaluated through March 5, 2021. |
Nature of Activities and Sign_2
Nature of Activities and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of activities | Nature of activities : Hills Bancorporation (the "Company") is a holding company engaged in the business of commercial banking. The Company's subsidiary is Hills Bank and Trust Company, Hills, Iowa (the “Bank”), which is wholly-owned. The Bank is a full-service commercial bank extending its services to individuals, businesses, governmental units and institutional customers primarily in the communities of Hills, Iowa City, Coralville, North Liberty, Lisbon, Mount Vernon, Kalona, Wellman, Cedar Rapids, Marion and Washington, Iowa. The Bank competes with other financial institutions and non-financial institutions providing similar financial products. Although the loan activity of the Bank is diversified with commercial and agricultural loans, real estate loans, automobile, installment and other consumer loans, the Bank's credit is concentrated in real estate loans. All of the Company’s operations are considered to be one reportable operating segment. |
Accounting estimates | Accounting estimates : The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Certain significant estimates | Certain significant estimates : The allowance for loan losses, fair values of securities and other financial instruments, and share-based compensation expense involve certain significant estimates made by management. These estimates are reviewed by management routinely and it is reasonably possible that circumstances that exist at December 31, 2020 may change in the near-term and the effect could be material to the consolidated financial statements. |
Principles of consolidation | Principles of consolidation : The consolidated financial statements include the accounts of the Company and its subsidiary. All significant intercompany balances and transactions have been eliminated in consolidation. |
Revenue recognition | Revenue recognition : Accounting Standards Codification ("ASC") 606, Revenue from Contracts with Customers ("ASC 606"), establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the Company’s contracts to provide goods or services to customers. The core principle requires an entity to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration that it expects to be entitled to receive in exchange for those goods or services recognized as performance obligations are satisfied. The majority of the Company’s revenue-generating transactions are not subject to ASC 606, including revenue generated from financial instruments, such as loans, letters of credit and investment securities as these activities are not subject to the requirements of ASC 606. Interest income on loans and investment securities is recognized on the accrual method in accordance with written contracts. Loan origination fees of mortgage loans originated for sale are recognized when the loans are sold. Descriptions of the Company’s revenue-generating activities that are within the scope of ASC 606 are the following: Service charges and fees on deposit accounts represent general service fees for monthly account maintenance and activity- or transaction-based fees and consist of transaction-based revenue which includes interchange income, time-based revenue (service period), item-based revenue or some other individual attribute-based revenue. Revenue is recognized when the Company’s performance obligation is completed which is generally monthly for account maintenance services or when a transaction has been completed (such as a wire transfer). Payment for such performance obligations are generally received at the time the performance obligations are satisfied. Trust income represents monthly fees due from wealth management customers as consideration for managing the customers' assets. Wealth management and trust services include custody of assets, investment management, fees for trust services and similar fiduciary activities. Revenue is recognized when our performance obligation is completed each month, which is generally the time that payment is received. A contract asset balance occurs when an entity performs a service for a customer before the customer pays consideration (resulting in a contract receivable) or before payment is due (resulting in a contract asset). A contract liability balance is an entity's obligation to transfer a service to a customer for which the entity has already received payment (or payment is due) from the customer. As of December 31, 2020 and 2019, the Company did not have any significant contract balances. An entity is required to capitalize, and subsequently amortize into expense, certain incremental costs of obtaining a contract with a customer if these costs are expected to be recovered. The incremental costs of obtaining a contract are those costs that an |
Cash and cash equivalents | Cash and cash equivalents : The Company considers all investments with original maturities of three months or less to be cash equivalents. At December 31, 2020 and 2019, cash equivalents consisted primarily of deposits with other banks. |
Investment securities | Investment securities : Available-for-sale securities consist of debt securities not classified as trading or held to maturity. Available-for-sale securities are stated at fair value, and unrealized holding gains and losses, net of the related deferred tax effect, are reported as a separate component of stockholders' equity. There were no trading or held to maturity securities as of December 31, 2020 or 2019. Stock of the Federal Home Loan Bank is carried at cost. The Company has evaluated the stock and determined there is no impairment. Premiums on debt securities are amortized to the earliest call date and discounts on debt securities are accreted over the period to maturity of those securities. The method of amortization results in a constant effective yield on those securities (the interest method). Realized gains and losses on investment securities are included in income, determined on the basis of the cost of the specific securities sold. Declines in the fair value of investment securities available for sale (with certain exceptions for debt securities noted below) that are deemed to be other-than-temporary are charged to earnings as a realized loss, and a new cost basis for the securities is established. In evaluating other-than-temporary impairment, the Company considers the length of time and extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value in the near term. Declines in the fair value of debt securities below amortized cost are deemed to be other-than-temporary in circumstances where: (1) the Company has the intent to sell a security; (2) it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis; or (3) the Company does not expect to recover the entire amortized cost basis of the security. If the Company intends to sell a security or if it is more likely than not that the Company will be required to sell the security before recovery, an other-than-temporary impairment write-down is recognized in earnings equal to the difference between the security’s amortized cost basis and its fair value. If the Company does not intend to sell the security or it is not more likely than not that the Company will be required to sell the security before recovery, the other-than-temporary impairment write-down is separated into an amount representing credit loss, which is recognized in earnings, and an amount related to all other factors, which is recognized in other comprehensive income. Realized securities gains or losses on securities sales (using specific identification method) and declines in value judged to be other-than-temporary are included in investment securities gains (losses), net, in the consolidated statements of income. |
Loans | Loans : Loans are stated at the amount of unpaid principal, reduced by the allowance for loan losses. Interest income is accrued on the unpaid balances as earned. Loans held for sale are stated at the lower of aggregate cost or estimated fair value. Loans are sold on a non-recourse basis with servicing released and gains and losses are recognized based on the difference between sales proceeds and the carrying value of the loan. The Company has had very few experiences of repurchasing loans previously sold into the secondary market. A specific reserve was not considered necessary based on the Company’s historical experience with repurchase activity. The allowance for loan losses is established through a provision for loan losses charged to expense. Loans are charged against the allowance when management believes the collectability of principal is unlikely. The allowance for loan losses is maintained at a level considered adequate to provide for probable losses that can be reasonably anticipated. The allowance is increased by provisions charged to expense and is reduced by net charge-offs. The Bank makes continuous reviews of the loan portfolio and considers current economic conditions, historical loss experience, review of specific problem loans and other factors in determining the adequacy of the allowance. Management classifies loans within the following categories: excellent, good, satisfactory, monitor, special mention and substandard. The policy for charging off loans is consistent throughout all loan categories. A loan is charged off based on criteria that includes but is not limited to: delinquency status, financial condition of the entire customer credit line and underlying collateral coverage, economic or external conditions that might impact full repayment of the loan, legal issues, overdrafts, and the customer’s willingness to work with the Company. Loans are considered impaired when, based on current information and events, it is probable the Bank will not be able to collect all amounts due. An impaired loan includes any loan that has been placed on nonaccrual status, loans greater than 90 days past due and still accruing and TDR loans. They also include loans, based on current information and events, that it is likely the Bank will be unable to collect all amounts due according to the contractual terms of the original loan agreement. The portion of the allowance for loan losses applicable to impaired loans has been computed based on the present value of the estimated future cash flows of interest and principal discounted at the loans effective interest rate or on the fair value of the collateral for collateral dependent loans. The entire change in present value of expected cash flows of impaired loans or of collateral value is reported as provision expense in the same manner in which impairment initially was recognized or as a reduction in the amount of provision expense that otherwise would be reported. Interest income on nonaccrual loans is recognized once principal has been recovered. The accrual of interest income on loans is discontinued when, in the opinion of management, there is reasonable doubt as to the borrower's ability to meet payments of interest or principal when they become due, which is generally when a loan is 90 days or more past due. When a loan is placed on nonaccrual status, all previously accrued and unpaid interest is reversed. Loans are returned to an accrual status when all of the principal and interest amounts contractually due are brought current and repayment of the remaining contractual principal and interest is expected. A loan may also return to accrual status if additional collateral is received from the borrower and, in the opinion of management, the financial position of the borrower indicates that there is no longer any reasonable doubt as to the collection of the amount contractually due. Payment received on nonaccrual loans are applied first to principal. Once principal is recovered, any remaining payments received are applied to interest income. As of December 31, 2020, none of the Company’s nonaccrual loans were earning interest on a cash basis. Nonrefundable loan fees and origination costs are deferred and recognized as a yield adjustment over the life of the related loan. |
Troubled debt restructurings (TDR loans) | Troubled debt restructurings (“TDR loans”) : A loan is classified as a troubled debt restructuring when a borrower is experiencing financial difficulties that leads to a restructuring of the loan, and the Company grants concessions to the borrower in the restructuring that it would not otherwise consider. These concessions may include rate reductions, principal forgiveness, extension of maturity date and other actions intended to minimize potential losses to the Company. A loan that is modified at a market rate of interest is no longer classified as troubled debt restructuring in the quarter following the modification if the borrower is no longer experiencing financial difficulties. Performance prior to the restructuring is considered when assessing whether the borrower can meet the new terms. At the time of restructuring, loans included in a troubled debt restructuring may be considered nonaccrual loans. TDR loans are returned to accrual status under the same criteria noted under loans above. Section 4013 of the CARES Act, “Temporary Relief From Troubled Debt Restructurings,” allows financial institutions the option to temporarily suspend certain requirements under GAAP related to TDRs for a limited period of time during the COVID-19 pandemic. In March 2020, various regulatory agencies, including the FRB and the FDIC, issued an interagency statement, effective immediately, on loan modifications and reporting for financial institutions working with customers affected by COVID-19. The agencies confirmed with the staff of the FASB that short-term modifications made on a good faith basis in response to COVID-19 to borrowers who were current prior to any relief are not to be considered TDRs. This includes short-term (e.g., six months) modifications, such as payment deferrals, fee waivers, extensions of repayment terms, or other delays in payment that are insignificant. See Note 3 for further discussion. |
Transfers of financial assets | Transfers of financial assets : Transfers of financial assets are accounted for as sales, when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets. |
Credit related financial instruments | Credit related financial instruments : In the ordinary course of business, the Company has entered into commitments to extend credit, including commitments under credit card arrangements, commercial letters of credit and standby letters of credit. Such financial instruments are recorded when they are funded. |
Tax credit real estate | Tax credit real estate : Tax credit real estate represents two multi-family rental properties, three assisted living rental properties, a multi-tenant rental property for persons with disabilities, and a multi-family senior living rental property, all which are affordable housing projects as of December 31, 2020. The Bank has a 99% or greater limited partnership interest in each limited partnership. The investment in each was completed after the projects had been developed by the general partner. The Company evaluates the recoverability of the carrying value on a regular basis. If the recoverability was determined to be in doubt, a valuation allowance would be established by way of a charge to expense. Depreciation expense is provided on a straight-line basis over the estimated useful life of the assets. Expenditures for normal repairs and maintenance are charged to expense as incurred. In 2016, the Company adopted ASU 2015-02 and the investments in tax credit real estate are recorded for all years presented using the equity method of accounting. The operations of the properties are not expected to contribute significantly to the Company’s income before income taxes. However, the properties do contribute in the form of income tax credits, which lowers the Company’s effective tax rate. Once established, the credits on each property last for ten years and are passed through from the limited partnerships to the Bank and reduces the consolidated federal tax liability of the Company. In February 2019, the Company entered into a Letter of Intent to invest in a limited partnership, as limited partner, which will own and operate an affordable housing property in Iowa City, Iowa. The Company provided construction financing for the project and contributed capital of $4.18 million in February 2021. |
Property and equipment | Property and equipment : Property and equipment is stated at cost less accumulated depreciation. Depreciation is computed using primarily declining-balance methods over the estimated useful lives of 7-40 years for buildings and improvements and 3-10 years for furniture and equipment. |
Deferred income taxes | Deferred income taxes: Deferred income taxes are provided under the asset and liability method whereby deferred tax assets are recognized for deductible temporary differences and net operating loss, and tax credit carryforwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Interest and penalties on unrecognized tax benefits are classified as other noninterest expense. |
Goodwill | Goodwill : Goodwill represents the excess of cost over the fair value of the net assets acquired, and is not subject to amortization, but requires, at a minimum, annual impairment tests for intangibles that are determined to have an indefinite life. |
Other real estate | Other real estate: Other real estate represents property acquired through foreclosures and settlements of loans. Property acquired is carried at the lower of the principal amount of the loan outstanding at the time of acquisition, plus any acquisition costs, or the estimated fair value of the property, less disposal costs. The Bank will obtain updated appraisals to determine the estimated fair value of the property based on the type of collateral securing the loan and the date of the latest appraisal. Subsequent write downs estimated on the basis of later valuations are charged to net loss on sale of other real estate owned and other repossessed assets. Net operating expenses incurred in maintaining such properties are charged to other non-interest expense. Net capital expenditures incurred are capitalized to the property. |
Derivative financial instruments | Derivative financial instruments : The Bank uses interest rate swaps as part of its interest rate risk management. Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 815 establishes accounting and reporting standards for derivative instruments and hedging activities. The Bank records all interest rate swaps on the balance sheet at fair value. Derivatives used to hedge the exposure to variability in expected future cash flows are considered cash flow hedges. To qualify for hedge accounting, the Bank must comply with the detailed rules and documentation requirements at the inception of the hedge, and hedge effectiveness is assessed at inception and periodically throughout the life of the hedging relationship. As of December 31, 2020, the Bank did not have any outstanding interest rate swaps. For derivatives designated as cash flow hedges, the changes in the fair value of the derivatives is initially reported in other comprehensive income and subsequently reclassified to interest income or expense when the hedged transaction affects earnings. The Bank assesses the effectiveness of each hedging relationship by comparing the cumulative changes in cash flows of the derivative hedging instruments with the cumulative changes in cash flows of the designated hedged item or transaction. No component of the change in the fair value of the hedging instrument is excluded from the assessment of hedge effectiveness. The Bank does not use derivatives for trading or speculative purposes. |
Earnings per share | Earnings per share: Basic earnings per share is computed using the weighted average number of actual common shares outstanding during the period. Diluted earnings per share reflects the potential dilution that would occur from the exercise of common stock options outstanding. ESOP shares are considered outstanding for this calculation unless unearned. |
Stock awards and options | Stock awards and options : Compensation expense for stock issued through the stock award plan is accounted for using the fair value method prescribed by FASB ASC 718, “Share-Based Payment” (“ASC 718”). Under this method, compensation expense is measured and recognized for all stock-based awards made to employees and directors based on the fair value of each award as of the date of the grant. |
Common stock held by ESOP | Common stock held by ESOP : The Company's maximum cash obligation related to these shares is classified outside stockholders' equity because the shares are not readily traded and could be put to the Company for cash. |
Treasury Stock | Treasury Stock : Treasury stock is accounted for by the cost method, whereby shares of common stock reacquired are recorded at their purchase price. |
Trust Department Assets | Trust Department Assets : Property held for customers in fiduciary or agency capacities is not included in the accompanying consolidated balance sheets, as such items are not assets of the Company. |
Effect of New Financial Accounting Standards | Effect of New Financial Accounting Standards : In February 2016, the FASB issued ASU No. 2016-02 (Topic 842), Leases . The ASU provides guidance requiring lessees to recognize right-of-use (ROU) assets and lease liabilities for all leases other than those that meet the definition of short-term leases. For short-term leases, lessees may elect an accounting policy by class of underlying asset under which these assets and liabilities are not recognized and lease payments are generally recognized over the lease term on a straight-line basis. Under this new ASU, lessees will recognize right-of use assets and lease liabilities for most leases currently accounted for as operating leases under generally accepted accounting principles. For public companies, ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company adopted the ASU on January 1, 2019 and used the effective date as the 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. We elected the 'package of practical expedients', which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. We did not elect the use-of-hindsight or the practical expedient pertaining to land easements; the latter not being applicable to us. The most significant impact upon adoption relates to the recognition of new ROU assets and lease liabilities on our balance sheet for our equipment and real estate operating leases. Upon adoption, we recognized additional operating liabilities of $3.58 million, with corresponding ROU assets of the same amount based on the present value of the remaining minimum rental payments under current leasing standards for existing operating leases. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments (CECL). The ASU changes the way entities recognize impairment of financial assets by requiring immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets. Under the CECL model, we will be required to present certain financial assets carried at amortized cost, such as loans held for investment and held-to-maturity debt securities, at the net amount expected to be collected. The measurement of expected credit losses is to be based on information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. This measurement will take place at the time the financial asset is first added to the balance sheet and periodically thereafter. This differs significantly from the "incurred loss" model required under current GAAP, which delays recognition until it is probable a loss has been incurred. Accordingly, we expect that the adoption of the CECL model will materially affect how we determine our allowance for loan losses and could require us to significantly increase our allowance. For public companies, ASU 2016-13 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. With the passage of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) , the option to delay CECL was provided until the earlier of the national health emergency being declared over or December 31, 2020. In December 2020, further legislation was passed titled the Coronavirus Response and Relief Supplemental Appropriations Act 2021 which extends the CECL delay until the earlier of 1) the first day of the fiscal year that begins after the national emergency termination date or 2) January 1, 2022. The Company elected to delay implementing CECL and continued to use the incurred loss method to calculate the allowance for loan losses as of and for the period ending December 31, 2020. The Company anticipates adopting CECL effective January 1, 2021 for the first quarter of 2021 based on the options provided under the December 2020 legislation passed. The Company has implemented a software solution provided by a third party vendor to assist in the determination of the CECL model. Our current planned approach for estimating expected life-time credit losses for loans upon adoption includes the following key components: • An initial forecast period of one year for all portfolio segments and off-balance-sheet credit exposures. This period reflects management’s expectation of losses based on forward-looking economic scenarios over that time. • A historical loss forecast period covering the remaining contractual life, adjusted for prepayments, by portfolio segment based on the change in key historical economic variables. • A reversion period of up to 3 years connecting the initial loss forecast to the historical loss forecast based on economic conditions at the measurement date. • We will primarily utilize discounted cash flow (DCF) methods to estimate credit losses by portfolio segment. The DCF methods obtain estimated life-time credit losses using the conceptual components described above. The adjustment upon adoption at January 1, 2021 will be an overall increase in our Allowance for Credit Losses (ACL) for loans of $2.00 million to $4.00 million. We will also record an unfunded commitments liability of $3.00 million to $4.00 million upon adoption. The future effects of CECL on our ACL will depend on the size and composition of our portfolio, the portfolio’s credit quality and economic conditions, as well as any refinements to our model, methodology and other key assumptions. We will recognize a one-time cumulative-effect adjustment to our ACL upon adoption of the new standard. The increase in the ACL will result in a decrease to our regulatory capital amounts and ratios. We estimate the ACL as of December 31, 2020 to be approximately $39 million to $42 million and the unfunded commitments liability to be approximately $2 million to $4 million. In January 2017, the FASB issued ASU No. 2017-03, Accounting Changes and Error Corrections (Topic 250) and Investments - Equity Method and Joint Ventures (Topic 323), Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings. This ASU adds an SEC paragraph and amends other Topics pursuant to an SEC staff Announcement made at the September 22, 2016 Emerging Issues Task Force (EITF) meeting. The SEC paragraph applies to ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606); ASU No. 2016-02, Leases (Topic 842); and ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU provides that a company should evaluate ASUs that have not yet been adopted to determine the appropriate financial statement disclosures about the potential material effects of those ASUs on the financial statements when adopted. If the company does not know or cannot reasonably estimate the impact that adoption of the ASUs referenced in this announcement is expected to have on the financial statements, then in addition to making a statement to that effect, the company should consider additional qualitative financial statement disclosures to assist the reader in assessing the significance of the impact that the standard will have on the financial statements of the company when adopted. Additional qualitative disclosures should include a description of the effect of the accounting policies that the company expects to apply and a comparison to the company's current accounting policies. Also, the company should describe the status of its process to implement the new standards and the significant implementation matters yet to be addressed. In January 2017, the FASB issued ASU No. 2017-04, Intangibles - Goodwill and Other (Topic 250), Simplifying the Test for Goodwill Impairment. The ASU simplifies the goodwill impairment test by requiring a company to perform its annual or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An impairment charge should be recognized when the carrying amount exceeds fair value. For public companies, ASU 2017-04 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The adoption of ASU No. 2017-04 by the Company on January 1, 2020 did not have a material impact on the 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 ASU requires companies to change the recognition and presentation of the effects of hedge accounting by eliminating the requirement to separately measure and report hedge ineffectiveness and requiring companies to present all of the elements of hedge accounting that affect earnings in the same income statement line as the hedged item. Furthermore, the standard eases the requirements for effectiveness testing, hedge documentation and applying the critical terms match method and introduces new alternatives that will permit companies to reduce the risk of material error corrections if they misapply the shortcut method. For public companies, ASU 2017-12 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2018. The Company adopted ASU 2017-12 for the period ending March 31, 2019. There was no material impact on the financial statements. In February 2018, the FASB issued ASU No. 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220), Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. This ASU allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. ASU 2018-02 is effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The Company adopted ASU 2018-02 for the period ending March 31, 2018 and elected the specific identification method accounting policy. Upon adoption, there was a $0.53 million reclassification recorded in stockholders' equity. In June 2018, the FASB issued ASU No. 2018-07, Compensation - Stock Compensation (Topic 718), Improvements to Nonemployee Share-Based Payment Accounting . The amendments in this ASU expand the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. ASU 2018-07 is effective for public business entities for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. The Company adopted ASU 2018-07 for the period ending March 31, 2019. There was no material impact on the 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 . The amendments in this ASU modify the disclosure requirements on fair value measurements in Topic 820, Fair Value Measurement, including removal of the requirement to disclose the valuation processes for Level 3 fair value measurements and the additional requirement to disclose the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements. ASU 2018-13 is effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. Early adoption is permitted upon issuance of this ASU. An entity is permitted to early adopt any removed or modified disclosures upon issuance of this ASU and delay adoption of the additional disclosures until their effective date. The adoption of ASU 2018-13 by the Company on January 1, 2020 did not have a material impact on the financial statements. In August 2018, the FASB issued ASU No. 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40), Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangements That Is a Service Contract . The amendments in this ASU align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). ASU 2018-15 is effective for public business entities for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption of the amendments in this ASU is permitted, including adoption in any interim period, for all entities. The amendments in this ASU should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The adoption of ASU 2018-15 by the Company on January 1, 2020 did not have a material impact on the 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 . The amendments in this ASU permit 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 interest rates on direct Treasury obligations of the U.S. government, the London Interbank Offered Rate (LIBOR) swap rate, the Overnight Index Swap (OIS) Rate based on the Fed Funds Effective Rate and the Securities Industry and Financial Markets Association (SIFMA) Municipal Swap Rate. The amendments in this ASU are required to be adopted concurrently with the amendments in ASU 2017-12. For public companies, this would be for fiscal years, and interim periods within those fiscal years beginning after December 15, 2018. The Company adopted ASU No. 2018-16 for the period ending March 31, 2019 concurrently with ASU 2017-12. There was no material impact on the financial statements. In July 2019, the FASB issued ASU No. 2019-07, Codification Updates to SEC Sections, Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 33-10532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization, and Miscellaneous Updates . The amendments in this ASU update the Codification to reflect the amendments of various SEC disclosure requirements that the agency determined were redundant, duplicative, overlapping, outdated or superseded. The SEC amended its disclosure rules in 2018 with the aim of providing investors with useful disclosure information and to simplify compliance without significantly altering the mix of the information being provided. This ASU was effective upon release and there was no material impact on the financial statements. In November 2019, the FASB issued ASU No. 2019-08, Compensation - Stock Compensation (Topic 718) and Revenue from Contracts with Customers (Topic 606), Codification Improvements - Share-Based Consideration Payable to a Customer. The amendments in this ASU require that an entity measure and classify share-based payment awards granted to a customer by applying the guidance in Topic 718. The amount recorded as a reduction of the transaction price is required to be measured on the basis of the grant-date fair value of the share-based payment award in accordance with Topic 718. The grant date is the date at which a grantor (supplier) and a grantee (customer) reach a mutual understanding of the key terms and conditions of a share-based payment award. The classification and subsequent measurement of the award are subject to the guidance in Topic 718 unless the share-based payment award is subsequently modified and the grantee is no longer a customer. The Company adopted ASU 2019-08 for the period ending December 31, 2019. There was no material impact on the financial statements. In November 2019, the FASB issued ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments - Credit Losses. The amendments in this ASU clarify or address stakeholders' specific issues about certain aspects of the amendments in ASU 2016-13 in the following areas: expected recoveries for purchased financial assets with credit deterioration, transition relief for troubled debt restructurings, disclosures related to accrued interest receivables and financial assets secured by collateral maintenance provisions. For public companies, ASU 2019-11 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019 and will be adopted concurrently with ASU 2016-13. As noted above, we have elected to delay the adoption of ASU 2016-13 as permitted by the CARES Act and related extension. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes. The amendments in this ASU simplify the accounting for income taxes by removing specific exceptions included in Topic 740, introducing other simplifications and making technical corrections. For public business entities, the amendments in this ASU are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption is permitted. The adoption of the ASU by the Company on January 1, 2021 is not expected to have a material impact on the financial statements. In October 2020, the FASB issued ASU 2020-08, Codification Improvements to Subtopic 310-20, Receivables - Nonrefundable Fees and Other Costs . The amendments in this Update clarify that an entity should reevaluate whether a callable debt security is within the scope of paragraph 310-20-35-33 for each reporting period. For each reporting period, to the extent that the amortized cost basis of an individual callable debt security exceeds the amount repayable by the issuer at the next call date, the excess (that is, the premium) shall be amortized to the next call date, unless the guidance in paragraph 310-20-35-26 is applied to consider estimated prepayments. For public business entities, the amendments in this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early application is not permitted. The adoption of the ASU by the Company on January 1, 2021 is not expected to have a material impact on the financial statements. |
Nature of Activities and Sign_3
Nature of Activities and Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Calculations of earnings per share | The following table presents calculations of earnings per share: Year Ended December 31, 2020 2019 2018 (Amounts In Thousands, except share and per share data) Computation of weighted average number of basic and diluted shares: Common shares outstanding at the beginning of the year 9,351,694 9,336,441 9,335,154 Weighted average number of net shares issued 17,571 19,304 31,160 Weighted average shares outstanding (basic) 9,369,265 9,355,745 9,366,314 Weighted average of potential dilutive shares attributable to stock options granted, computed under the treasury stock method 3,640 4,035 4,027 Weighted average number of shares (diluted) 9,372,905 9,359,780 9,370,341 Net income $ 38,647 $ 45,318 $ 36,767 Earnings per share: Basic $ 4.12 $ 4.85 $ 3.93 Diluted $ 4.12 $ 4.85 $ 3.92 |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Carrying values of investment securities | The carrying values of investment securities at December 31, 2020 and December 31, 2019 are summarized in the following table (Amounts in Thousands): December 31, 2020 December 31, 2019 Amount Percent Amount Percent Securities available for sale U.S. Treasury $ 148,646 36.40 % $ 128,585 36.19 % Other securities (FHLB, FHLMC and FNMA) 35,160 8.61 % 15,229 4.29 % State and political subdivisions 224,566 54.99 % 211,489 59.52 % Total securities available for sale $ 408,372 100.00 % $ 355,303 100.00 % |
Carrying amount of available-for-sale securities and approximate fair values | The carrying amount of available-for-sale securities and their approximate fair values were as follows (Amounts in Thousands): Amortized Gross Gross Estimated December 31, 2020: U.S. Treasury $ 143,467 $ 5,179 $ — $ 148,646 Other securities (FHLB, FHLMC and FNMA) 35,195 35 (70) 35,160 State and political subdivisions 218,008 6,674 (116) 224,566 Total $ 396,670 $ 11,888 $ (186) $ 408,372 December 31, 2019: U.S. Treasury $ 127,096 $ 1,626 $ (137) $ 128,585 Other securities (FHLB, FHLMC and FNMA) 15,287 — (58) 15,229 State and political subdivisions 208,686 2,938 (135) 211,489 Total $ 351,069 $ 4,564 $ (330) $ 355,303 Sales proceeds and gross realized gains and losses on available-for-sale securities were as follows (in thousands): December 31, 2020 December 31, 2019 Sales proceeds $ 313 $ 12,467 Gross realized gains 10 24 Gross realized losses — 52 |
Available-for-sale securities classified as per contractual maturities | The amortized cost and estimated fair value of available-for-sale securities classified according to their contractual maturities at December 31, 2020, were as follows (Amounts in Thousands): Amortized Fair Due in one year or less $ 59,305 $ 59,517 Due after one year through five years 232,753 239,309 Due after five years through ten years 78,124 82,626 Due over ten years 26,488 26,920 Total $ 396,670 $ 408,372 |
Available-for-sale securities, continuous unrealized loss position, fair value | The following table shows the Company’s investments’ gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2020 and 2019 (Amounts in Thousands): Less than 12 months 12 months or more Total 2020 Description # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % of Securities U.S. Treasury — $ — $ — — % — $ — $ — — % — $ — $ — — % Other securities (FHLB, FHLMC and FNMA) 8 20,019 (70) 0.35 % — — — — % 8 20,019 (70) 0.35 % State and political subdivisions 35 14,168 (110) 0.78 % 4 370 (6) 1.62 % 39 14,538 (116) 0.80 % Total temporarily impaired securities 43 $ 34,187 $ (180) 0.53 % 4 $ 370 $ (6) 1.62 % 47 $ 34,557 $ (186) 0.54 % Less than 12 months 12 months or more Total 2019 Description # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % # Fair Value Unrealized Loss % of Securities U.S. Treasury 11 $ 27,932 $ (136) 0.49 % 1 $ 2,495 $ (1) 0.04 % 12 $ 30,427 $ (137) 0.45 % Other securities (FHLB, FHLMC and FNMA) — — — — % 6 15,229 (58) 0.38 % 6 15,229 (58) 0.38 % State and political subdivisions 66 17,881 (119) 0.67 % 20 3,825 (16) 0.42 % 86 21,706 (135) 0.62 % Total temporarily impaired securities 77 $ 45,813 $ (255) 0.56 % 27 $ 21,549 $ (75) 0.35 % 104 $ 67,362 $ (330) 0.49 % |
Loans (Tables)
Loans (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
Schedule of classes of loans | Classes of loans are as follows: December 31, 2020 2019 (Amounts In Thousands) Agricultural $ 94,842 $ 91,317 Commercial and financial 286,242 221,323 Real estate: Construction, 1 to 4 family residential 71,117 80,209 Construction, land development and commercial 111,913 108,410 Mortgage, farmland 247,142 242,730 Mortgage, 1 to 4 family first liens 892,089 910,742 Mortgage, 1 to 4 family junior liens 127,833 149,227 Mortgage, multi-family 374,014 350,761 Mortgage, commercial 417,139 402,181 Loans to individuals 31,325 32,308 Obligations of state and political subdivisions 56,488 49,896 2,710,144 2,639,104 Net unamortized fees and costs 938 933 2,711,082 2,640,037 Less allowance for loan losses 37,070 33,760 $ 2,674,012 $ 2,606,277 |
Schedule of changes in allowance for loan losses | Changes in the allowance for loan losses and the allowance for loan loss balance applicable to impaired loans and the related loan balance of impaired loans for the years ended December 31, 2020, 2019 and 2018 are as follows: Agricultural Commercial and Financial Real Estate: Construction Real Estate: Real Estate: Real Estate: Other Total (Amounts In Thousands) 2020 Allowance for loan losses: Beginning balance $ 2,400 $ 4,988 $ 2,599 $ 3,950 $ 10,638 $ 7,859 $ 1,326 $ 33,760 Charge-offs (43) (1,425) (43) (1) (738) (291) (381) (2,922) Recoveries 63 670 118 10 784 49 180 1,874 Provision 88 652 (355) 214 1,684 1,798 277 4,358 Ending balance $ 2,508 $ 4,885 $ 2,319 $ 4,173 $ 12,368 $ 9,415 $ 1,402 $ 37,070 Ending balance, individually evaluated for impairment $ 86 $ 411 $ 7 $ — $ 93 $ 14 $ 51 $ 662 Ending balance, collectively evaluated for impairment $ 2,422 $ 4,474 $ 2,312 $ 4,173 $ 12,275 $ 9,401 $ 1,351 $ 36,408 Loan balances: Ending balance $ 94,842 $ 286,242 $ 183,030 $ 247,142 $ 1,019,922 $ 791,153 $ 87,813 $ 2,710,144 Ending balance, individually evaluated for impairment $ 1,543 $ 2,191 $ 1,266 $ 2,061 $ 7,417 $ 6,200 $ 51 $ 20,729 Ending balance, collectively evaluated for impairment $ 93,299 $ 284,051 $ 181,764 $ 245,081 $ 1,012,505 $ 784,953 $ 87,762 $ 2,689,415 Agricultural Commercial and Financial Real Estate: Construction Real Estate: Real Estate: Real Estate: Other Total (Amounts In Thousands) 2019 Allowance for loan losses: Beginning balance $ 2,789 $ 5,826 $ 3,292 $ 3,972 $ 12,516 $ 8,165 $ 1,250 $ 37,810 Charge-offs (266) (981) (45) (6) (896) (341) (434) (2,969) Recoveries 95 646 8 5 700 180 165 1,799 Provision (218) (503) (656) (21) (1,682) (145) 345 (2,880) Ending balance $ 2,400 $ 4,988 $ 2,599 $ 3,950 $ 10,638 $ 7,859 $ 1,326 $ 33,760 Ending balance, individually evaluated for impairment $ 87 $ 792 $ — $ — $ 111 $ 1 $ 93 $ 1,084 Ending balance, collectively evaluated for impairment $ 2,313 $ 4,196 $ 2,599 $ 3,950 $ 10,527 $ 7,858 $ 1,233 $ 32,676 Loan balances: Ending balance $ 91,317 $ 221,323 $ 188,619 $ 242,730 $ 1,059,969 $ 752,942 $ 82,204 $ 2,639,104 Ending balance, individually evaluated for impairment $ 1,730 $ 2,742 $ 421 $ 4,081 $ 8,670 $ 3,188 $ 93 $ 20,925 Ending balance, collectively evaluated for impairment $ 89,587 $ 218,581 $ 188,198 $ 238,649 $ 1,051,299 $ 749,754 $ 82,111 $ 2,618,179 Agricultural Commercial and Financial Real Estate: Construction Real Estate: Real Estate: Real Estate: Other Total (Amounts In Thousands) 2018 Allowance for loan losses: Beginning balance $ 2,294 $ 4,837 $ 2,989 $ 3,669 $ 8,668 $ 5,700 $ 1,243 $ 29,400 Charge-offs (95) (585) — — (830) (251) (561) (2,322) Recoveries 119 1,057 148 30 612 107 162 2,235 Provision 471 517 155 273 4,066 2,609 406 8,497 Ending balance $ 2,789 $ 5,826 $ 3,292 $ 3,972 $ 12,516 $ 8,165 $ 1,250 $ 37,810 Ending balance, individually evaluated for impairment $ 479 $ 1,189 $ 4 $ — $ 72 $ 306 $ 64 $ 2,114 Ending balance, collectively evaluated for impairment $ 2,310 $ 4,637 $ 3,288 $ 3,972 $ 12,444 $ 7,859 $ 1,186 $ 35,696 Loan balances: Ending balance $ 92,673 $ 229,501 $ 186,086 $ 236,454 $ 1,064,684 $ 735,748 $ 82,797 $ 2,627,943 Ending balance, individually evaluated for impairment $ 2,460 $ 4,162 $ 1,137 $ 3,612 $ 7,012 $ 9,538 $ 64 $ 27,985 Ending balance, collectively evaluated for impairment $ 90,213 $ 225,339 $ 184,949 $ 232,842 $ 1,057,672 $ 726,210 $ 82,733 $ 2,599,958 |
Schedule of credit quality indicators by type of loans | The following table presents the credit quality indicators by type of loans in each category as of December 31, 2020: Agricultural Commercial Real Estate: Real Estate: (Amounts In Thousands) 2020 Grade: Excellent $ 3,761 $ 9,024 $ — $ 227 Good 12,369 62,310 13,675 15,187 Satisfactory 42,015 144,999 41,616 64,301 Monitor 29,381 56,439 13,654 23,368 Special Mention 5,143 8,258 1,857 7,137 Substandard 2,173 5,212 315 1,693 Total $ 94,842 $ 286,242 $ 71,117 $ 111,913 Real Estate: Real Estate: Real Estate: Real Estate: 2020 Grade: Excellent $ 5,706 $ 2,303 $ 204 $ 14,650 Good 41,878 47,233 3,707 57,281 Satisfactory 129,210 701,273 115,731 197,493 Monitor 61,298 114,207 5,153 70,885 Special Mention 6,074 12,890 1,307 15,374 Substandard 2,976 14,183 1,731 18,331 Total $ 247,142 $ 892,089 $ 127,833 $ 374,014 Real Estate: Loans to Obligations of state Total 2020 Grade: Excellent $ 26,940 $ 1 $ 6,752 $ 69,568 Good 92,699 145 13,094 359,578 Satisfactory 196,310 30,487 26,571 1,690,006 Monitor 77,125 479 9,924 461,913 Special Mention 19,731 127 147 78,045 Substandard 4,334 86 — 51,034 Total $ 417,139 $ 31,325 $ 56,488 $ 2,710,144 The following table presents the credit quality indicators by type of loans in each category as of December 31, 2019: Agricultural Commercial Real Estate: Real Estate: (Amounts In Thousands) 2019 Grade: Excellent $ 3,594 $ 3,461 $ 260 $ 190 Good 12,380 47,843 8,868 23,217 Satisfactory 43,308 117,114 51,093 47,987 Monitor 24,857 44,543 17,505 29,009 Special Mention 3,110 5,157 2,483 7,428 Substandard 4,068 3,205 — 579 Total $ 91,317 $ 221,323 $ 80,209 $ 108,410 Real Estate: Real Estate: Real Estate: Real Estate: 2019 Grade: Excellent $ 3,630 $ 3,209 $ 261 $ 18,955 Good 40,118 32,474 4,233 47,871 Satisfactory 134,738 751,215 136,079 189,391 Monitor 53,147 96,353 5,473 60,965 Special Mention 3,033 11,167 1,469 27,559 Substandard 8,064 16,324 1,712 6,020 Total $ 242,730 $ 910,742 $ 149,227 $ 350,761 Real Estate: Loans to Obligations of state Total 2019 Grade: Excellent $ 27,017 $ — $ 7,444 $ 68,021 Good 79,467 221 14,465 311,157 Satisfactory 206,196 31,385 20,274 1,728,780 Monitor 81,381 437 7,323 420,993 Special Mention 4,802 212 390 66,810 Substandard 3,318 53 — 43,343 Total $ 402,181 $ 32,308 $ 49,896 $ 2,639,104 |
Schedule of past due loans | Past due loans as of December 31, 2020 and 2019 were as follows: 30 - 59 Days 60 - 89 Days 90 Days Total Past Current Total Accruing Loans (Amounts In Thousands) December 31, 2020 Agricultural $ 438 $ — $ 629 $ 1,067 $ 93,775 $ 94,842 $ 111 Commercial and financial 867 195 140 1,202 285,040 286,242 20 Real estate: Construction, 1 to 4 family residential 190 — 536 726 70,391 71,117 536 Construction, land development and commercial — — — — 111,913 111,913 — Mortgage, farmland 279 28 — 307 246,835 247,142 — Mortgage, 1 to 4 family first liens 4,969 1,342 2,486 8,797 883,292 892,089 342 Mortgage, 1 to 4 family junior liens 436 21 155 612 127,221 127,833 47 Mortgage, multi-family — — — — 374,014 374,014 — Mortgage, commercial 783 — 461 1,244 415,895 417,139 — Loans to individuals 218 59 4 281 31,044 31,325 — Obligations of state and political subdivisions — — — — 56,488 56,488 — $ 8,180 $ 1,645 $ 4,411 $ 14,236 $ 2,695,908 $ 2,710,144 $ 1,056 30 - 59 Days 60 - 89 Days 90 Days Total Past Current Total Accruing Loans (Amounts In Thousands) December 31, 2019 Agricultural $ 163 $ 275 $ 122 $ 560 $ 90,757 $ 91,317 $ 48 Commercial and financial 1,076 229 101 1,406 219,917 221,323 65 Real estate: Construction, 1 to 4 family residential 635 — — 635 79,574 80,209 — Construction, land development and commercial 215 101 — 316 108,094 108,410 — Mortgage, farmland 736 — 610 1,346 241,384 242,730 — Mortgage, 1 to 4 family first liens 5,026 3,100 4,149 12,275 898,467 910,742 354 Mortgage, 1 to 4 family junior liens 813 126 233 1,172 148,055 149,227 139 Mortgage, multi-family — 97 — 97 350,664 350,761 — Mortgage, commercial 321 489 — 810 401,371 402,181 — Loans to individuals 226 55 15 296 32,012 32,308 — Obligations of state and political subdivisions — — — — 49,896 49,896 — $ 9,211 $ 4,472 $ 5,230 $ 18,913 $ 2,620,191 $ 2,639,104 $ 606 |
Schedule of impaired loan information | Certain impaired loan information by loan type at December 31, 2020 and 2019 was as follows: December 31, 2020 December 31, 2019 Nonaccrual Accruing loans TDR Nonaccrual Accruing loans TDR (Amounts In Thousands) (Amounts In Thousands) Agricultural $ 1,252 $ 111 $ 85 $ 1,192 $ 48 $ 404 Commercial and financial 479 20 1,263 679 65 1,934 Real estate: Construction, 1 to 4 family residential 315 536 — — — — Construction, land development and commercial 204 — 211 — — 320 Mortgage, farmland 446 — 1,616 1,369 — 2,712 Mortgage, 1 to 4 family first liens 4,331 342 1,751 6,558 354 1,626 Mortgage, 1 to 4 family junior liens 193 47 20 94 139 — Mortgage, multi-family 79 — 1,695 97 — 1,719 Mortgage, commercial 1,550 — 3,610 779 — 593 Loans to individuals — — — — — — $ 8,849 $ 1,056 $ 10,251 $ 10,768 $ 606 $ 9,308 (1) There were $2.97 million and $4.34 million of TDR loans included within nonaccrual loans as of December 31, 2020 and 2019, respectively. |
Schedule of information for TDR loans | Below is a summary of information for TDR loans as of December 31, 2020 and 2019: December 31, 2020 Number of Recorded Commitments (Dollar Amounts In Thousands) Agricultural 6 $ 1,028 $ — Commercial and financial 17 1,743 35 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial 1 211 4 Mortgage, farmland 6 2,009 — Mortgage, 1 to 4 family first liens 17 1,898 — Mortgage, 1 to 4 family junior liens 1 20 — Mortgage, multi-family 2 1,695 — Mortgage, commercial 13 4,621 — Loans to individuals — — — 63 $ 13,225 $ 39 December 31, 2019 Number of Recorded Commitments (Dollar Amounts In Thousands) Agricultural 9 $ 1,552 $ 3 Commercial and financial 16 2,641 95 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial 2 320 — Mortgage, farmland 8 4,021 — Mortgage, 1 to 4 family first liens 16 2,083 — Mortgage, 1 to 4 family junior liens — — — Mortgage, multi-family 2 1,719 — Mortgage, commercial 7 1,373 — Loans to individuals — — — 60 $ 13,709 $ 98 A summary of TDR loans that were modified during the year ended December 31, 2020 and 2019 was as follows: December 31, 2020 Number of Pre-modification Post-modification ( Dollar Amounts In Thousands) Agricultural 2 $ 93 $ 93 Commercial and financial 7 623 623 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial — — — Mortgage, farmland — — — Mortgage, 1 to 4 family first liens 6 283 283 Mortgage, 1 to 4 family junior liens 1 20 20 Mortgage, multi-family — — — Mortgage, commercial 7 3,635 3,635 Loans to individuals — — — 23 $ 4,654 $ 4,654 December 31, 2019 Number of Pre-modification Post-modification ( Dollar Amounts In Thousands) Agricultural 4 $ 574 $ 574 Commercial and financial 5 503 503 Real estate: Construction, 1 to 4 family residential — — — Construction, land development and commercial — — — Mortgage, farmland 1 620 620 Mortgage, 1 to 4 family first liens 3 705 705 Mortgage, 1 to 4 family junior liens — — — Mortgage, multi-family 2 1,719 1,719 Mortgage, commercial — — — Loans to individuals — — — 15 $ 4,121 $ 4,121 |
Schedule of impaired loans | Information regarding impaired loans as of and for the year ended December 31, 2020 is as follows: Recorded Unpaid Related Average Interest (Amounts in Thousands) 2020 With no related allowance recorded: Agricultural $ 1,337 $ 1,928 $ — $ 1,518 $ 24 Commercial and financial 1,520 2,907 — 2,054 85 Real estate: Construction, 1 to 4 family residential 315 337 — 475 — Construction, land development and commercial 415 421 — 420 13 Mortgage, farmland 2,061 2,598 — 3,008 120 Mortgage, 1 to 4 family first liens 6,253 8,013 — 6,578 108 Mortgage, 1 to 4 family junior liens 108 350 — 134 — Mortgage, multi-family 1,773 1,898 — 1,795 80 Mortgage, commercial 4,124 4,960 — 4,315 126 Loans to individuals — 47 — — — $ 17,906 $ 23,459 $ — $ 20,297 $ 556 With an allowance recorded: Agricultural $ 206 $ 206 $ 86 $ 141 $ 14 Commercial and financial 671 724 411 755 27 Real estate: Construction, 1 to 4 family residential 536 536 7 486 24 Construction, land development and commercial — — — — — Mortgage, farmland — — — — — Mortgage, 1 to 4 family first liens 924 975 56 955 25 Mortgage, 1 to 4 family junior liens 132 158 37 149 2 Mortgage, multi-family — — — — — Mortgage, commercial 303 304 14 306 3 Loans to individuals 51 51 51 53 3 $ 2,823 $ 2,954 $ 662 $ 2,845 $ 98 Total: Agricultural $ 1,543 $ 2,134 $ 86 $ 1,659 $ 38 Commercial and financial 2,191 3,631 411 2,809 112 Real estate: Construction, 1 to 4 family residential 851 873 7 961 24 Construction, land development and commercial 415 421 — 420 13 Mortgage, farmland 2,061 2,598 — 3,008 120 Mortgage, 1 to 4 family first liens 7,177 8,988 56 7,533 133 Mortgage, 1 to 4 family junior liens 240 508 37 283 2 Mortgage, multi-family 1,773 1,898 — 1,795 80 Mortgage, commercial 4,427 5,264 14 4,621 129 Loans to individuals 51 98 51 53 3 $ 20,729 $ 26,413 $ 662 $ 23,142 $ 654 Information regarding impaired loans as of and for the year ended December 31, 2019 is as follows: Recorded Unpaid Related Average Interest (Amounts in Thousands) 2019 With no related allowance recorded: Agricultural $ 1,596 $ 2,157 $ — $ 1,785 $ 37 Commercial and financial 1,340 2,220 — 1,617 64 Real estate: Construction, 1 to 4 family residential 101 144 — 106 — Construction, land development and commercial 320 336 — 324 18 Mortgage, farmland 4,081 4,613 — 4,144 157 Mortgage, 1 to 4 family first liens 7,157 9,015 — 6,822 51 Mortgage, 1 to 4 family junior liens — 246 — — — Mortgage, multi-family 1,816 1,930 — 1,873 83 Mortgage, commercial 1,302 1,852 — 1,364 26 Loans to individuals — 14 — — — $ 17,713 $ 22,527 $ — $ 18,035 $ 436 With an allowance recorded: Agricultural $ 134 $ 134 $ 87 $ 287 $ 17 Commercial and financial 1,402 1,539 792 1,510 83 Real estate: Construction, 1 to 4 family residential — — — — — Construction, land development and commercial — — — — — Mortgage, farmland — — — — — Mortgage, 1 to 4 family first liens 1,280 1,501 64 1,318 29 Mortgage, 1 to 4 family junior liens 233 233 47 239 6 Mortgage, multi-family — — — — — Mortgage, commercial 70 70 1 73 4 Loans to individuals 93 93 93 62 2 $ 3,212 $ 3,570 $ 1,084 $ 3,489 $ 141 Total: Agricultural $ 1,730 $ 2,291 $ 87 $ 2,072 $ 54 Commercial and financial 2,742 3,759 792 3,127 147 Real estate: Construction, 1 to 4 family residential 101 144 — 106 — Construction, land development and commercial 320 336 — 324 18 Mortgage, farmland 4,081 4,613 — 4,144 157 Mortgage, 1 to 4 family first liens 8,437 10,516 64 8,140 80 Mortgage, 1 to 4 family junior liens 233 479 47 239 6 Mortgage, multi-family 1,816 1,930 — 1,873 83 Mortgage, commercial 1,372 1,922 1 1,437 30 Loans to individuals 93 107 93 62 2 $ 20,925 $ 26,097 $ 1,084 $ 21,524 $ 577 Information regarding impaired loans as of and for the year ended December 31, 2018 is as follows: Recorded Unpaid Related Average Interest (Amounts in Thousands) 2018 With no related allowance recorded: Agricultural $ 1,395 $ 1,663 $ — $ 1,071 $ 23 Commercial and financial 1,650 2,503 — 1,977 58 Real estate: Construction, 1 to 4 family residential 111 148 — 113 — Construction, land development and commercial 328 344 — 333 18 Mortgage, farmland 3,612 4,071 — 3,068 89 Mortgage, 1 to 4 family first liens 6,089 7,819 — 6,435 36 Mortgage, 1 to 4 family junior liens — 254 — — — Mortgage, multi-family 145 213 — 153 — Mortgage, commercial 1,871 2,486 — 1,940 42 Loans to individuals — 14 — — — $ 15,201 $ 19,515 $ — $ 15,090 $ 266 With an allowance recorded: Agricultural $ 1,065 $ 1,229 $ 479 $ 980 $ 7 Commercial and financial 2,512 2,512 1,189 2,793 107 Real estate: Construction, 1 to 4 family residential 698 698 4 622 28 Construction, land development and commercial — — — — — Mortgage, farmland — — — — — Mortgage, 1 to 4 family first liens 899 974 70 888 25 Mortgage, 1 to 4 family junior liens 24 24 2 25 1 Mortgage, multi-family 7,447 7,447 305 7,543 346 Mortgage, commercial 75 75 1 77 4 Loans to individuals 64 64 64 77 9 $ 12,784 $ 13,023 $ 2,114 $ 13,005 $ 527 Total: Agricultural $ 2,460 $ 2,892 $ 479 $ 2,051 $ 30 Commercial and financial 4,162 5,015 1,189 4,770 165 Real estate: Construction, 1 to 4 family residential 809 846 4 735 28 Construction, land development and commercial 328 344 — 333 18 Mortgage, farmland 3,612 4,071 — 3,068 89 Mortgage, 1 to 4 family first liens 6,988 8,793 70 7,323 61 Mortgage, 1 to 4 family junior liens 24 278 2 25 1 Mortgage, multi-family 7,592 7,660 305 7,696 346 Mortgage, commercial 1,946 2,561 1 2,017 46 Loans to individuals 64 78 64 77 9 $ 27,985 $ 32,538 $ 2,114 $ 28,095 $ 793 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Major classes of property and equipment and the total accumulated depreciation | The major classes of property and equipment and the total accumulated depreciation are as follows: December 31, 2020 2019 (Amounts In Thousands) Land $ 11,266 $ 11,261 Buildings and improvements 37,512 37,261 Furniture and equipment 40,053 38,449 88,831 86,971 Less accumulated depreciation 52,953 49,825 Net $ 35,878 $ 37,146 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Schedule of maturities of lease liabilities | As of December 31, 2020, maturities of lease liabilities were as follows: Year ending December 31: (Amounts In Thousands) 2021 472 2022 464 2023 317 2024 250 2025 253 Thereafter 1,756 Total lease payments 3,512 Less imputed interest (601) Total operating lease liabilities $ 2,911 |
Interest-Bearing Deposits (Tabl
Interest-Bearing Deposits (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Interest-bearing Deposit Liabilities [Abstract] | |
Deposits | A summary of these deposits is as follows: December 31, 2020 2019 (Amounts In Thousands) NOW and other demand $ 801,550 $ 610,271 Savings 1,161,324 981,827 Time, $100,000 and over 327,861 292,982 Other time 369,643 388,672 $ 2,660,378 $ 2,273,752 |
Time Deposits | Time deposits have a maturity as follows: December 31, 2020 2019 (Amounts In Thousands) Due in one year or less $ 307,962 $ 324,554 Due after one year through two years 190,763 124,527 Due after two years through three years 150,275 90,009 Due after three years through four years 39,089 130,252 Due over four years 9,415 12,312 $ 697,504 $ 681,654 |
Federal Home Loan Bank Borrow_2
Federal Home Loan Bank Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Federal Home Loan Banks [Abstract] | |
Schedule of federal home loan bank borrowings | As of December 31, 2020 and 2019, the borrowings were as follows: 2020 2019 (Effective interest rates as of December 31, 2020) (Amounts In Thousands) Due 2020, 3.05% $ — $ 25,000 Due 2023, 3.77% — 25,000 Due 2024, 2.38% — 15,000 Due 2025, 2.81% to 2.94% 45,000 60,000 Due 2026, 2.52% to 2.86% 30,000 30,000 Due 2027, 2.76% to 2.95% 30,000 30,000 $ 105,000 $ 185,000 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Components of accumulated other comprehensive income (AOCI) | The components of accumulated other comprehensive income (AOCI), included in stockholders’ equity, are as follows: December 31, 2020 2019 (amounts in thousands) Net unrealized gain on available-for-sale securities $ 11,702 $ 4,234 Net unrealized loss on derivatives used for cash flow hedges — (2,349) Tax effect (2,920) (470) Net-of-tax amount $ 8,782 $ 1,415 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
Schedule of Employee Stock Ownership Plan (ESOP) | As of December 31, 2020 and 2019, the shares held by the ESOP, fair value and maximum cash obligation were as follows: 2020 2019 Shares held by the ESOP 757,262 797,317 Fair value per share $ 62.50 $ 65.00 Maximum cash obligation $ 47,329,000 $ 51,826,000 |
Schedule of stock options activity | A summary of the stock options is as follows: Number of Shares Weighted- Weighted-Average Aggregate Balance, December 31, 2017 10,220 $ 33.44 4.45 $ 342 Granted — Exercised (1,200) Balance, December 31, 2018 9,020 $ 33.30 3.41 250 Granted 5,805 Exercised (1,800) Balance, December 31, 2019 13,025 $ 45.92 5.47 248 Granted — Exercised — Balance, December 31, 2020 13,025 $ 45.92 4.47 $ 216 |
Schedule of pertinent information related to the options outstanding | Other pertinent information related to the options outstanding at December 31, 2020 is as follows: Exercise Price Number Outstanding Remaining Contractual Life Number Exercisable 33.00 7,220 16 months 7,220 62.00 5,805 101 months — 13,025 7,220 |
Schedule of Restricted Stock Activity | A summary of the restricted stock option activity for the year ended December 31, 2020 is as follows: 2020 Stock Option and Incentive Plan 2010 Stock Option and Incentive Plan Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Balance, December 31, 2019 — 19,853 Authorization of shares 250,000 — Granted 19,063 $62.26 1,364 $62.26 Forfeited 488 $52.93 4,375 $52.93 Balance, December 31, 2020 231,425 22,864 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Components of income tax | Income taxes for the years ended December 31, 2020, 2019 and 2018 are summarized as follows: 2020 2019 2018 (Amounts In Thousands) Current: Federal $ 9,124 $ 8,857 $ 7,783 State 2,673 2,391 3,093 Deferred: Federal (417) 1,068 (1,560) State (103) 233 (411) $ 11,277 $ 12,549 $ 8,905 |
Schedule of deferred tax assets and liabilities | Deferred tax assets and liabilities at December 31, 2020 and 2019 were as follows: December 31, 2020 2019 (Amounts In Thousands) Deferred income tax assets: Allowance for loan losses $ 9,249 $ 8,423 Deferred compensation 1,619 2,047 Unrealized losses on interest rate swaps — 586 Accrued expenses 589 716 State net operating loss 1,011 929 Gross deferred tax assets $ 12,468 $ 12,701 Valuation allowance (1,011) (929) Deferred tax asset, net of valuation allowance $ 11,457 $ 11,772 Deferred income tax liabilities: Property and equipment 1,941 1,955 Unrealized gains on investment securities 2,920 1,056 Goodwill 407 407 Other 101 336 Gross deferred tax liabilities $ 5,369 $ 3,754 Net deferred tax assets $ 6,088 $ 8,018 |
Summary of change in deferred income tax | The net change in the deferred income taxes for the years ended December 31, 2020, 2019 and 2018 is reflected in the consolidated financial statements as follows: Year Ended December 31, 2020 2019 2018 (Amounts In Thousands) Consolidated statements of income $ (520) $ 1,301 $ 1,971 Consolidated statements of stockholders' equity 2,450 1,550 92 $ 1,930 $ 2,851 $ 2,063 |
Schedule of effective income tax rate reconciliation | Income tax expense for the years ended December 31, 2020, 2019 and 2018 are less than the amounts computed by applying the maximum effective federal income tax rate to the income before income taxes because of the following items: 2020 2019 2018 Amount % Of Amount % Of Amount % Of (Amounts In Thousands) Expected tax expense $ 10,484 21.0 % $ 12,152 20.9 % $ 9,591 21.0 % Tax-exempt interest (1,219) (2.4) (1,201) (2.1) (1,122) (2.5) Interest expense limitation 79 0.1 109 0.2 87 0.2 State income taxes, net of federal income tax benefit 2,030 4.1 2,073 3.5 2,119 4.6 Income tax credits (51) (0.1) (531) (0.9) (1,292) (2.8) Other (46) (0.1) (53) 0.1 (478) (1.0) $ 11,277 22.6 % $ 12,549 21.7 % $ 8,905 19.5 % |
Regulatory Capital Requiremen_2
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions [Abstract] | |
Schedule of minimum regulatory requirements | The actual amounts and capital ratios as of December 31, 2020 and 2019, with the minimum regulatory requirements for the Company and Bank are presented below (amounts in thousands): Actual For Capital Adequacy Purposes Amount Ratio Ratio As of December 31, 2020: Company: Community Bank Leverage Ratio $ 452,123 11.91 % 8.00 % Bank: Community Bank Leverage Ratio 453,073 11.94 8.00 Actual For Capital Adequacy Purposes To Be Well-Capitalized Under Prompt Corrective Action Provisions Amount Ratio Ratio Ratio As of December 31, 2019: Company: Total risk-based capital $ 454,452 18.15 % 8.00 % 10.00 % Tier 1 risk-based capital 423,122 16.90 6.00 8.00 Tier 1 common equity 423,122 16.90 4.50 6.50 Leverage ratio 423,122 12.77 4.00 5.00 Bank: Total risk-based capital 455,440 18.20 8.00 10.00 Tier 1 risk-based capital 424,127 16.95 6.00 8.00 Tier 1 common equity 424,127 16.95 4.50 6.50 Leverage ratio 424,127 12.81 4.00 5.00 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | The following is an analysis of the changes in the loans to related parties during the years ended December 31, 2020 and 2019: Year Ended December 31, 2020 2019 (Amounts In Thousands) Balance, beginning $ 55,717 $ 51,216 Net increase (decrease) due to change in related parties — 2,481 Advances 14,406 17,243 Collections (16,070) (15,223) Balance, ending $ 54,053 $ 55,717 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Carrying value and estimated fair values of entity's financial instruments | The carrying value and estimated fair values of the Company’s financial instruments as of December 31, 2020 are as follows: December 31, 2020 Carrying Estimated Readily Observable Company (Amounts In Thousands) Financial instrument assets: Cash and cash equivalents $ 574,310 $ 574,310 $ 574,310 $ — $ — Investment securities 416,544 416,544 148,646 267,898 — Loans held for sale 43,947 43,947 — 43,947 — Loans Agricultural 92,334 92,922 — — 92,922 Commercial and financial 281,357 282,015 — — 282,015 Real estate: Construction, 1 to 4 family residential 70,210 70,432 — — 70,432 Construction, land development and commercial 110,501 110,039 — — 110,039 Mortgage, farmland 242,969 242,978 — — 242,978 Mortgage, 1 to 4 family first liens 882,156 890,409 — — 890,409 Mortgage, 1 to 4 family junior liens 126,336 124,945 — — 124,945 Mortgage, multi-family 369,552 370,538 — — 370,538 Mortgage, commercial 412,186 413,409 — — 413,409 Loans to individuals 30,573 31,164 — — 31,164 Obligations of state and political subdivisions 55,838 59,300 — — 59,300 Accrued interest receivable 12,177 12,177 — 12,177 — Total financial instrument assets $ 3,720,990 $ 3,735,129 $ 722,956 $ 324,022 $ 2,688,151 Financial instrument liabilities: Deposits Noninterest-bearing deposits $ 532,190 $ 532,190 $ — $ 532,190 $ — Interest-bearing deposits 2,660,378 2,673,815 — 2,673,815 — Federal Home Loan Bank borrowings 105,000 115,259 — 115,259 — Interest rate swaps — — — — — Accrued interest payable 1,733 1,733 — 1,733 — Total financial instrument liabilities $ 3,299,301 $ 3,322,997 $ — $ 3,322,997 $ — Face Amount Financial instrument with off-balance sheet risk: Loan commitments $ 483,602 $ — $ — $ — $ — Letters of credit 8,056 — — — — Total financial instrument liabilities with off-balance-sheet risk $ 491,658 $ — $ — $ — $ — (1) Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. The carrying value and estimated fair values of the Company’s financial instruments as of December 31, 2019 are as follows: December 31, 2019 Carrying Estimated Readily Observable Company (Amounts In Thousands) Financial instrument assets: Cash and cash equivalents $ 241,965 $ 241,965 $ 241,965 $ — $ — Investment securities 366,368 366,368 128,585 237,783 — Loans held for sale 8,400 8,400 — 8,400 — Loans Agricultural 88,917 90,118 — — 90,118 Commercial and financial 216,335 217,640 — — 217,640 Real estate: Construction, 1 to 4 family residential 79,096 79,954 — — 79,954 Construction, land development and commercial 106,924 107,276 — — 107,276 Mortgage, farmland 238,780 239,521 — — 239,521 Mortgage, 1 to 4 family first liens 902,630 896,676 — — 896,676 Mortgage, 1 to 4 family junior liens 147,634 143,261 — — 143,261 Mortgage, multi-family 346,938 349,663 — — 349,663 Mortgage, commercial 398,145 395,838 — — 395,838 Loans to individuals 31,455 32,722 — — 32,722 Obligations of state and political subdivisions 49,423 50,564 — — 50,564 Accrued interest receivable 12,442 12,442 — 12,442 — Total financial instrument assets $ 3,235,452 $ 3,232,408 $ 370,550 $ 258,625 $ 2,603,233 Financial instrument liabilities: Deposits Noninterest-bearing deposits $ 387,612 $ 387,612 $ — $ 387,612 $ — Interest-bearing deposits 2,273,752 2,292,332 — 2,292,332 — Federal Home Loan Bank Borrowings 185,000 186,091 — 186,091 — Interest rate swaps 2,349 2,349 — 2,349 — Accrued interest payable 2,474 2,474 — 2,474 — Total financial instrument liabilities $ 2,851,187 $ 2,870,858 $ — $ 2,870,858 $ — Face Amount Financial instrument with off-balance sheet risk: Loan commitments $ 424,165 $ — $ — $ — $ — Letters of credit 8,569 — — — — Total financial instrument liabilities with off-balance-sheet risk $ 432,734 $ — $ — $ — $ — (1) Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market |
Schedule of assets and liabilities measured at fair value on a recurring basis | The table below represents the balances of assets and liabilities measured at fair value on a recurring basis: December 31, 2020 Readily Available Observable Company Total at Securities available for sale (Amounts in Thousands) U.S. Treasury $ 148,646 $ — $ — $ 148,646 State and political subdivisions — 224,566 — 224,566 Other securities (FHLB, FHLMC and FNMA) — 35,160 — 35,160 Derivative Financial Instruments Interest rate swaps — — — — Total $ 148,646 $ 259,726 $ — $ 408,372 December 31, 2019 Readily Available Observable Company Total at Securities available for sale (Amounts in Thousands) U.S. Treasury $ 128,585 $ — $ — $ 128,585 State and political subdivisions — 211,489 — 211,489 Other securities (FHLB, FHLMC and FNMA) — 15,229 — 15,229 Derivative Financial Instruments Interest rate swaps — (2,349) — (2,349) Total $ 128,585 $ 224,369 $ — $ 352,954 (1) Considered Level 1 under ASC 820. (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. |
Schedule of assets measured at fair value on a nonrecurring basis | For assets measured at fair value on a nonrecurring basis that were still held on the balance sheet at December 31, 2020 and 2019, the following tables provide the level of valuation assumptions used to determine the adjustment and the carrying value of the related individual assets at year end. December 31, 2020 Year Ended December 31, 2020 Readily Observable Company Total at Total (Amounts in Thousands) Loans (4) Agricultural $ — $ — $ 1,081 $ 1,081 $ — Commercial and financial — — 1,692 1,692 385 Real Estate: Construction, 1 to 4 family residential — — 414 414 — Construction, land development and commercial — — 315 315 — Mortgage, farmland — — 1,718 1,718 — Mortgage, 1 to 4 family first liens — — 5,906 5,906 252 Mortgage, 1 to 4 family junior liens — — 176 176 19 Mortgage, multi-family — — 1,773 1,773 — Mortgage, commercial — — 5,082 5,082 250 Loans to individuals — — — — — Foreclosed assets (5) — — — — — Total $ — $ — $ 18,157 $ 18,157 $ 906 (1) Considered Level 1 under ASC 820. (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. (4) Represents carrying value and related write-downs of loans for which adjustments are based on the value of the collateral. The carrying value of loans fully charged off is zero. (5) Represents the fair value and related losses of foreclosed real estate and other collateral owned that were measured at fair value subsequent to their initial classification as foreclosed assets. December 31, 2019 Year Ended December 31, 2019 Readily Observable Company Total at Total (Amounts in Thousands) Loans (4) Agricultural $ — $ — $ 1,272 $ 1,272 $ 36 Commercial and financial — — 1,803 1,803 499 Real Estate: Construction, 1 to 4 family residential — — — — — Construction, land development and commercial — — 215 215 8 Mortgage, farmland — — 3,576 3,576 — Mortgage, 1 to 4 family first liens — — 7,986 7,986 370 Mortgage, 1 to 4 family junior liens — — 49 49 — Mortgage, multi-family — — 1,816 1,816 — Mortgage, commercial — — 1,237 1,237 125 Loans to individuals — — — — — Foreclosed assets (5) — — — — — Total $ — $ — $ 17,954 $ 17,954 $ 1,038 (1) Considered Level 1 under ASC 820. (2) Considered Level 2 under ASC 820. (3) Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. (4) Represents carrying value and related write-downs of loans for which adjustments are based on the value of the collateral. The carrying value of loans fully charged off is zero. (5) Represents the fair value and related losses of foreclosed real estate and other collateral owned that were measured at fair value subsequent to their initial classification as foreclosed assets. |
Parent Company Only Financial_2
Parent Company Only Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Information Disclosure [Abstract] | |
CONDENSED BALANCE SHEETS | ASSETS 2020 2019 Cash and cash equivalents at subsidiary bank $ 1,100 $ 5,114 Investment in subsidiary bank 464,355 428,042 Other assets 1,846 1,331 Total assets $ 467,301 $ 434,487 LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities $ 3,896 $ 7,450 Redeemable common stock held by ESOP 47,329 51,826 Stockholders' equity: Capital stock 60,233 55,943 Retained earnings 439,831 409,509 Accumulated other comprehensive gain 8,782 1,415 Treasury stock at cost (45,441) (39,830) 463,405 427,037 Less maximum cash obligation related to ESOP shares 47,329 51,826 Total stockholders' equity 416,076 375,211 Total liabilities and stockholders' equity $ 467,301 $ 434,487 |
CONDENSED STATEMENTS OF INCOME | 2020 2019 2018 Dividends received from subsidiary $ 14,822 $ 7,657 $ 11,502 Other expenses (362) (708) (786) Income before income tax benefit and equity in undistributed income of subsidiary 14,460 6,949 10,716 Income tax benefit 173 271 273 14,633 7,220 10,989 Equity in undistributed income of subsidiary 24,014 38,098 25,778 Net income $ 38,647 $ 45,318 $ 36,767 |
CONDENSED STATEMENTS OF CASH FLOWS | 2020 2019 2018 Cash flows from operating activities: Net income $ 38,647 $ 45,318 $ 36,767 Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: Equity in undistributed income of subsidiary (24,014) (38,098) (25,778) Share-based compensation 25 14 — Compensation expensed through issuance of common stock 1,272 1,133 1,466 Forfeiture of common stock (257) (262) (152) (Increase) decrease in other assets (515) (100) 162 (Decrease) increase in other liabilities (3,554) 1,036 574 Net cash and cash equivalents provided by operating activities 11,604 9,041 13,039 Cash flows from financing activities: Issuance of common stock, net of costs 5,844 5,026 4,713 Stock options exercised — 62 41 Purchase of treasury stock (8,550) (5,534) (6,784) Proceeds from the issuance of common stock through the employee stock purchase plan 413 434 421 Capital contribution to subsidiary (5,000) — (4,700) Dividends paid (8,325) (7,657) (7,003) Net cash and cash equivalents used by financing activities (15,618) (7,669) (13,312) (Decrease) increase in cash and cash equivalents (4,014) 1,372 (273) Cash and cash equivalents: Beginning of year 5,114 3,742 4,015 Ending of year $ 1,100 $ 5,114 $ 3,742 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of banks commitments | A summary of the Bank’s commitments at December 31, 2020 and 2019 is as follows: 2020 2019 (Amounts In Thousands) Firm loan commitments and unused portion of lines of credit: Home equity loans $ 69,974 $ 65,203 Credit cards 60,535 57,421 Commercial, real estate and home construction 118,186 94,490 Commercial lines and real estate purchase loans 234,907 207,051 Outstanding letters of credit 8,056 8,569 |
Non-cancelable leases relating to Bank premises | The minimum future rental commitments as of December 31, 2020 for all non-cancelable leases relating to Bank premises were as follows: Year ending December 31: (Amounts In Thousands) 2021 $ 375 2022 319 2023 316 2024 82 2025 1 Thereafter 4 $ 1,097 |
Quarterly Results of Operatio_2
Quarterly Results of Operations (unaudited, amounts in thousands, except per share amounts) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Results of Operations | Quarter Ended March June September December Year 2020 Interest income $ 32,452 $ 32,246 $ 31,675 $ 32,156 $ 128,529 Interest expense 7,862 6,645 6,465 5,980 26,952 Net interest income $ 24,590 $ 25,601 $ 25,210 $ 26,176 $ 101,577 Provision for loan losses 4,649 8 (157) (142) 4,358 Other income 6,167 6,531 7,510 8,128 28,336 Other expense 17,227 16,872 18,055 23,477 75,631 Income before income taxes $ 8,881 $ 15,252 $ 14,822 $ 10,969 $ 49,924 Income taxes 1,806 3,541 3,392 2,538 11,277 Net income $ 7,075 $ 11,711 $ 11,430 $ 8,431 $ 38,647 Basic earnings per share $ 0.75 $ 1.25 $ 1.22 $ 0.90 $ 4.12 Diluted earnings per share 0.75 1.25 1.22 0.90 4.12 2019 Interest income $ 31,847 $ 33,236 $ 33,969 $ 33,280 $ 132,332 Interest expense 8,074 8,848 9,274 8,677 34,873 Net interest income $ 23,773 $ 24,388 $ 24,695 $ 24,603 $ 97,459 Provision for loan losses (1,246) (540) 144 (1,238) (2,880) Other income 5,250 5,851 6,638 7,053 24,792 Other expense 16,049 16,360 16,604 18,251 67,264 Income before income taxes $ 14,220 $ 14,419 $ 14,585 $ 14,643 $ 57,867 Income taxes 3,017 3,199 3,303 3,030 12,549 Net income $ 11,203 $ 11,220 $ 11,282 $ 11,613 $ 45,318 Basic earnings per share $ 1.20 $ 1.20 $ 1.21 $ 1.24 $ 4.85 Diluted earnings per share 1.20 1.20 1.21 1.24 4.85 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Identification of the balance sheet category and fair values of the derivative instruments designated as cash flow hedges | The table below identifies the balance sheet category and fair values of the Bank’s derivative instruments designated as cash flow hedges as of December 31, 2020 and 2019: Notional Fair Value Balance Maturity (Amounts in Thousands) December 31, 2020 Interest rate swap $ — $ — Other Liabilities Interest rate swap — — Other Liabilities December 31, 2019 Interest rate swap $ 25,000 $ (279) Other Liabilities 11/9/2020 Interest rate swap 25,000 (2,070) Other Liabilities 11/7/2023 |
Identification of the gains and losses recognized on the derivative instruments designated as cash flow hedges | The table below identifies the gains and losses recognized on the Bank’s derivative instruments designated as cash flow hedges for the years ended December 31, 2020 and 2019: Recognized in OCI Reclassified from AOCI into Income Recognized in Income on Derivatives Amount of Gain (Loss) Category Amount of Gain (Loss) Category Amount of Gain (Loss) (Amounts in Thousands) December 31, 2020 Interest rate swap $ 209 Interest Expense $ — Other Income $ — Interest rate swap (438) Interest Expense (1,992) Other Income — December 31, 2019 Interest rate swap $ (119) Interest Expense $ — Other Income $ — Interest rate swap (446) Interest Expense — Other Income — |
Nature of Activities and Sign_4
Nature of Activities and Significant Accounting Policies - Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||
Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($)propertysegment | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Jan. 01, 2021USD ($) | Apr. 30, 2020USD ($) | Jan. 01, 2019USD ($) | Dec. 31, 2017USD ($) | |
Nature of activities | ||||||||
Number of Reportable Segments | segment | 1 | |||||||
Loans | ||||||||
Period of past due loans considered as impaired | 90 days | |||||||
Tax credit real estate | ||||||||
Number of multi family rental properties | property | 2 | |||||||
Number of assisted living rental properties | property | 3 | |||||||
Number of multi tenant rental properties for persons with disabilities | property | 1 | |||||||
Number of multi family senior living rental properties | property | 1 | |||||||
Limited partnership, capital contribution | $ 4,180 | |||||||
Duration of tax credit of each property | 10 years | |||||||
Deferred income taxes | ||||||||
Recognized income tax positions, maximum realized (in hundredths) | 50.00% | |||||||
Effect of New Financial Accounting Standards | ||||||||
Estimated increase to allowance for credit losses for loans | $ 37,070 | $ 33,760 | $ 37,810 | $ 29,400 | ||||
Reclassification of stranded tax effects due to the Tax Cuts and Jobs Act | $ 0 | |||||||
Each Limited Partnership | ||||||||
Tax credit real estate | ||||||||
Ownership interest in each limited partnership (or greater) | 99.00% | |||||||
Accounting Standards Update 2016-02 | ||||||||
Effect of New Financial Accounting Standards | ||||||||
Operating Lease, Liability, Noncurrent | $ 3,580 | |||||||
Minimum [Member] | ||||||||
Effect of New Financial Accounting Standards | ||||||||
Estimated increase to allowance for credit losses for loans | $ 39,000 | |||||||
Estimated unfunded commitments liability | 2,000 | |||||||
Maximum [Member] | ||||||||
Effect of New Financial Accounting Standards | ||||||||
Estimated increase to allowance for credit losses for loans | 42,000 | |||||||
Estimated unfunded commitments liability | $ 4,000 | |||||||
Subsequent Event [Member] | Minimum [Member] | Scenario, Forecast [Member] | Cumulative Effect, Period Of Adoption, Adjustment | ||||||||
Effect of New Financial Accounting Standards | ||||||||
Estimated increase to allowance for credit losses for loans | $ 2,000 | |||||||
Estimated unfunded commitments liability | 3,000 | |||||||
Subsequent Event [Member] | Maximum [Member] | Scenario, Forecast [Member] | Cumulative Effect, Period Of Adoption, Adjustment | ||||||||
Effect of New Financial Accounting Standards | ||||||||
Estimated increase to allowance for credit losses for loans | 4,000 | |||||||
Estimated unfunded commitments liability | $ 4,000 | |||||||
Building and Improvements [Member] | Minimum [Member] | ||||||||
Property and equipment | ||||||||
Estimated useful lives | 7 years | 7 years | ||||||
Building and Improvements [Member] | Maximum [Member] | ||||||||
Property and equipment | ||||||||
Estimated useful lives | 40 years | 40 years | ||||||
Furniture and Equipment [Member] | Minimum [Member] | ||||||||
Property and equipment | ||||||||
Estimated useful lives | 3 years | 3 years | ||||||
Furniture and Equipment [Member] | Maximum [Member] | ||||||||
Property and equipment | ||||||||
Estimated useful lives | 10 years | 10 years | ||||||
New Accounting Pronouncement, Early Adoption, Effect [Member] | Accounting Standards Update 2018-02 [Member] | ||||||||
Effect of New Financial Accounting Standards | ||||||||
Reclassification of stranded tax effects due to the Tax Cuts and Jobs Act | $ 530 |
Nature of Activities and Sign_5
Nature of Activities and Significant Accounting Policies - Earning per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Computation of weighted average number of basic and diluted shares: | |||||||||||
Common shares outstanding at the beginning of the year | 9,351,694 | 9,336,441 | 9,335,154 | ||||||||
Weighted average number of net shares issued | 17,571 | 19,304 | 31,160 | ||||||||
Weighted average shares outstanding (basic) | 9,369,265 | 9,355,745 | 9,366,314 | ||||||||
Weighted average of potential dilutive shares attributable to stock options granted, computed under the treasury stock method | 3,640 | 4,035 | 4,027 | ||||||||
Weighted average number of shares (diluted) | 9,372,905 | 9,359,780 | 9,370,341 | ||||||||
Net income | $ 8,431 | $ 11,430 | $ 11,711 | $ 7,075 | $ 11,613 | $ 11,282 | $ 11,220 | $ 11,203 | $ 38,647 | $ 45,318 | $ 36,767 |
Earnings per share: | |||||||||||
Basic (in dollars per share) | $ 0.90 | $ 1.22 | $ 1.25 | $ 0.75 | $ 1.24 | $ 1.21 | $ 1.20 | $ 1.20 | $ 4.12 | $ 4.85 | $ 3.93 |
Diluted (in dollars per share) | $ 0.90 | $ 1.22 | $ 1.25 | $ 0.75 | $ 1.24 | $ 1.21 | $ 1.20 | $ 1.20 | $ 4.12 | $ 4.85 | $ 3.92 |
Investment Securities - Carryin
Investment Securities - Carrying Values of Investment Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale [Abstract] | ||
Investment in subsidiary bank | $ 408,372 | $ 355,303 |
Securities available for sale, Percent | 100.00% | 100.00% |
US Treasury [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Investment in subsidiary bank | $ 148,646 | $ 128,585 |
Securities available for sale, Percent | 36.40% | 36.19% |
Other securities (FHLB, FHLMC and FNMA) [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Investment in subsidiary bank | $ 35,160 | $ 15,229 |
Securities available for sale, Percent | 8.61% | 4.29% |
State and political subdivisions [Member] | ||
Debt Securities, Available-for-sale [Abstract] | ||
Investment in subsidiary bank | $ 224,566 | $ 211,489 |
Securities available for sale, Percent | 54.99% | 59.52% |
Investment Securities - Carry_2
Investment Securities - Carrying Amount of Available-for-Sale Securities and Approximate Fair Values (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 396,670 | $ 351,069 |
Gross Unrealized Gains | 11,888 | 4,564 |
Gross Unrealized (Losses) | (186) | (330) |
Estimated Fair Value | 408,372 | 355,303 |
US Treasury [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 143,467 | 127,096 |
Gross Unrealized Gains | 5,179 | 1,626 |
Gross Unrealized (Losses) | 0 | (137) |
Estimated Fair Value | 148,646 | 128,585 |
Other securities (FHLB, FHLMC and FNMA) [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 35,195 | 15,287 |
Gross Unrealized Gains | 35 | 0 |
Gross Unrealized (Losses) | (70) | (58) |
Estimated Fair Value | 35,160 | 15,229 |
State and political subdivisions [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 218,008 | 208,686 |
Gross Unrealized Gains | 6,674 | 2,938 |
Gross Unrealized (Losses) | (116) | (135) |
Estimated Fair Value | $ 224,566 | $ 211,489 |
Investment Securities - Availab
Investment Securities - Available-for-Sale Securities Classified as per Contractual Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Amortized Cost | ||
Due in one year or less | $ 59,305 | |
Due after one year through five years | 232,753 | |
Due after five years through ten years | 78,124 | |
Due over ten years | 26,488 | |
Amortized Cost | 396,670 | $ 351,069 |
Fair Value | ||
Due in one year or less | 59,517 | |
Due after one year through five years | 239,309 | |
Due after five years through ten years | 82,626 | |
Due over ten years | 26,920 | |
Total | $ 408,372 | $ 355,303 |
Investment Securities Available
Investment Securities Available-for-sale, debt securities, summary of proceeds, gains and losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Available-for-sale, debt securities, realized gains (loss) [Abstract] | |||
Sales proceeds | $ 313 | $ 12,467 | $ 0 |
Gross realized gains | 10 | 24 | |
Gross realized losses | $ 0 | $ 52 |
Investment Securities - Narrati
Investment Securities - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale [Line Items] | ||
Investment in subsidiary bank | $ 408,372 | $ 355,303 |
Collateralized Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Investment in subsidiary bank | $ 10,230 |
Investment Securities - Avail_2
Investment Securities - Available-for-Sale Securities, Continuous Unrealized Loss Position, Fair Value (Details) $ in Thousands | Dec. 31, 2020USD ($)security | Dec. 31, 2019USD ($)security |
Less than 12 months | ||
Number of securities | security | 43 | 77 |
Fair Value | $ 34,187 | $ 45,813 |
Unrealized Loss | $ (180) | $ (255) |
Percent of Unrealized Loss | 0.53% | 0.56% |
12 months or more | ||
Number of securities | security | 4 | 27 |
Fair Value | $ 370 | $ 21,549 |
Unrealized Loss | $ (6) | $ (75) |
Percent of Unrealized Loss | 1.62% | 0.35% |
Total | ||
Number of securities | security | 47 | 104 |
Fair Value | $ 34,557 | $ 67,362 |
Unrealized Loss | $ (186) | $ (330) |
Percent of Unrealized Loss | 0.54% | 0.49% |
US Treasury Securities [Member] | ||
Less than 12 months | ||
Number of securities | security | 0 | 11 |
Fair Value | $ 0 | $ 27,932 |
Unrealized Loss | $ 0 | $ (136) |
Percent of Unrealized Loss | 0.00% | 0.49% |
12 months or more | ||
Number of securities | security | 0 | 1 |
Fair Value | $ 0 | $ 2,495 |
Unrealized Loss | $ 0 | $ (1) |
Percent of Unrealized Loss | 0.00% | 0.04% |
Total | ||
Number of securities | security | 0 | 12 |
Fair Value | $ 0 | $ 30,427 |
Unrealized Loss | $ 0 | $ (137) |
Percent of Unrealized Loss | 0.00% | 0.45% |
Other securities (FHLB, FHLMC and FNMA) [Member] | ||
Less than 12 months | ||
Number of securities | security | 8 | 0 |
Fair Value | $ 20,019 | $ 0 |
Unrealized Loss | $ (70) | $ 0 |
Percent of Unrealized Loss | 0.35% | 0.00% |
12 months or more | ||
Number of securities | security | 0 | 6 |
Fair Value | $ 0 | $ 15,229 |
Unrealized Loss | $ 0 | $ (58) |
Percent of Unrealized Loss | 0.00% | 0.38% |
Total | ||
Number of securities | security | 8 | 6 |
Fair Value | $ 20,019 | $ 15,229 |
Unrealized Loss | $ (70) | $ (58) |
Percent of Unrealized Loss | 0.35% | 0.38% |
State and political subdivisions [Member] | ||
Less than 12 months | ||
Number of securities | security | 35 | 66 |
Fair Value | $ 14,168 | $ 17,881 |
Unrealized Loss | $ (110) | $ (119) |
Percent of Unrealized Loss | 0.78% | 0.67% |
12 months or more | ||
Number of securities | security | 4 | 20 |
Fair Value | $ 370 | $ 3,825 |
Unrealized Loss | $ (6) | $ (16) |
Percent of Unrealized Loss | 1.62% | 0.42% |
Total | ||
Number of securities | security | 39 | 86 |
Fair Value | $ 14,538 | $ 21,706 |
Unrealized Loss | $ (116) | $ (135) |
Percent of Unrealized Loss | 0.80% | 0.62% |
Loans - Classes of Loans (Detai
Loans - Classes of Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Summary of classes of loans [Abstract] | |||
Loans and receivable | $ 2,710,144 | $ 2,639,104 | $ 2,627,943 |
Net unamortized fees and costs | 938 | 933 | |
Loans and receivable, gross | 2,711,082 | 2,640,037 | |
Less allowance for loan losses | 37,070 | 33,760 | |
Loans and receivable, net | 2,674,012 | 2,606,277 | |
Agricultural [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 94,842 | 91,317 | 92,673 |
Commercial and financial [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 286,242 | 221,323 | 229,501 |
Commercial and financial [Member] | Small Business Administration SBA, CARES Act, Paycheck Protection Program | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 86,500 | ||
Construction, 1 to 4 family residential [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 71,117 | 80,209 | |
Construction, land development and commercial [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 111,913 | 108,410 | |
Mortgage, farmland [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 247,142 | 242,730 | $ 236,454 |
Mortgage, 1 to 4 family first liens [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 892,089 | 910,742 | |
Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 127,833 | 149,227 | |
Mortgage, multi-family [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 374,014 | 350,761 | |
Mortgage, commercial [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 417,139 | 402,181 | |
Loans to individuals [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | 31,325 | 32,308 | |
Obligations of state and political subdivisions [Member] | |||
Summary of classes of loans [Abstract] | |||
Loans and receivable | $ 56,488 | $ 49,896 |
Loans - Allowance For Credit Lo
Loans - Allowance For Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Allowance for loan losses: | |||
Beginning balance | $ 33,760 | $ 37,810 | $ 29,400 |
Charge-offs | (2,922) | (2,969) | (2,322) |
Recoveries | 1,874 | 1,799 | 2,235 |
Provision | 4,358 | (2,880) | 8,497 |
Ending balance | 37,070 | 33,760 | 37,810 |
Ending balance, individually evaluated for impairment | 662 | 1,084 | 2,114 |
Ending balance, collectively evaluated for impairment | 36,408 | 32,676 | 35,696 |
Loan balances: | |||
Ending balance | 2,710,144 | 2,639,104 | 2,627,943 |
Ending balance, individually evaluated for impairment | 20,729 | 20,925 | 27,985 |
Ending balance, collectively evaluated for impairment | 2,689,415 | 2,618,179 | 2,599,958 |
Agricultural [Member] | |||
Allowance for loan losses: | |||
Beginning balance | 2,400 | 2,789 | 2,294 |
Charge-offs | (43) | (266) | (95) |
Recoveries | 63 | 95 | 119 |
Provision | 88 | (218) | 471 |
Ending balance | 2,508 | 2,400 | 2,789 |
Ending balance, individually evaluated for impairment | 86 | 87 | 479 |
Ending balance, collectively evaluated for impairment | 2,422 | 2,313 | 2,310 |
Loan balances: | |||
Ending balance | 94,842 | 91,317 | 92,673 |
Ending balance, individually evaluated for impairment | 1,543 | 1,730 | 2,460 |
Ending balance, collectively evaluated for impairment | 93,299 | 89,587 | 90,213 |
Commercial and Financial [Member] | |||
Allowance for loan losses: | |||
Beginning balance | 4,988 | 5,826 | 4,837 |
Charge-offs | (1,425) | (981) | (585) |
Recoveries | 670 | 646 | 1,057 |
Provision | 652 | (503) | 517 |
Ending balance | 4,885 | 4,988 | 5,826 |
Ending balance, individually evaluated for impairment | 411 | 792 | 1,189 |
Ending balance, collectively evaluated for impairment | 4,474 | 4,196 | 4,637 |
Loan balances: | |||
Ending balance | 286,242 | 221,323 | 229,501 |
Ending balance, individually evaluated for impairment | 2,191 | 2,742 | 4,162 |
Ending balance, collectively evaluated for impairment | 284,051 | 218,581 | 225,339 |
Real Estate: Construction and land development [Member] | |||
Allowance for loan losses: | |||
Beginning balance | 2,599 | 3,292 | 2,989 |
Charge-offs | (43) | (45) | 0 |
Recoveries | 118 | 8 | 148 |
Provision | (355) | (656) | 155 |
Ending balance | 2,319 | 2,599 | 3,292 |
Ending balance, individually evaluated for impairment | 7 | 0 | 4 |
Ending balance, collectively evaluated for impairment | 2,312 | 2,599 | 3,288 |
Loan balances: | |||
Ending balance | 183,030 | 188,619 | 186,086 |
Ending balance, individually evaluated for impairment | 1,266 | 421 | 1,137 |
Ending balance, collectively evaluated for impairment | 181,764 | 188,198 | 184,949 |
Real Estate: Mortgage, farmland [Member] | |||
Allowance for loan losses: | |||
Beginning balance | 3,950 | 3,972 | 3,669 |
Charge-offs | (1) | (6) | 0 |
Recoveries | 10 | 5 | 30 |
Provision | 214 | (21) | 273 |
Ending balance | 4,173 | 3,950 | 3,972 |
Ending balance, individually evaluated for impairment | 0 | 0 | 0 |
Ending balance, collectively evaluated for impairment | 4,173 | 3,950 | 3,972 |
Loan balances: | |||
Ending balance | 247,142 | 242,730 | 236,454 |
Ending balance, individually evaluated for impairment | 2,061 | 4,081 | 3,612 |
Ending balance, collectively evaluated for impairment | 245,081 | 238,649 | 232,842 |
Real Estate: Mortgage, 1 to 4 family [Member] | |||
Allowance for loan losses: | |||
Beginning balance | 10,638 | 12,516 | 8,668 |
Charge-offs | (738) | (896) | (830) |
Recoveries | 784 | 700 | 612 |
Provision | 1,684 | (1,682) | 4,066 |
Ending balance | 12,368 | 10,638 | 12,516 |
Ending balance, individually evaluated for impairment | 93 | 111 | 72 |
Ending balance, collectively evaluated for impairment | 12,275 | 10,527 | 12,444 |
Loan balances: | |||
Ending balance | 1,019,922 | 1,059,969 | 1,064,684 |
Ending balance, individually evaluated for impairment | 7,417 | 8,670 | 7,012 |
Ending balance, collectively evaluated for impairment | 1,012,505 | 1,051,299 | 1,057,672 |
Real Estate: Mortgage, multi-family and commercial [Member] | |||
Allowance for loan losses: | |||
Beginning balance | 7,859 | 8,165 | 5,700 |
Charge-offs | (291) | (341) | (251) |
Recoveries | 49 | 180 | 107 |
Provision | 1,798 | (145) | 2,609 |
Ending balance | 9,415 | 7,859 | 8,165 |
Ending balance, individually evaluated for impairment | 14 | 1 | 306 |
Ending balance, collectively evaluated for impairment | 9,401 | 7,858 | 7,859 |
Loan balances: | |||
Ending balance | 791,153 | 752,942 | 735,748 |
Ending balance, individually evaluated for impairment | 6,200 | 3,188 | 9,538 |
Ending balance, collectively evaluated for impairment | 784,953 | 749,754 | 726,210 |
Others [Member] | |||
Allowance for loan losses: | |||
Beginning balance | 1,326 | 1,250 | 1,243 |
Charge-offs | (381) | (434) | (561) |
Recoveries | 180 | 165 | 162 |
Provision | 277 | 345 | 406 |
Ending balance | 1,402 | 1,326 | 1,250 |
Ending balance, individually evaluated for impairment | 51 | 93 | 64 |
Ending balance, collectively evaluated for impairment | 1,351 | 1,233 | 1,186 |
Loan balances: | |||
Ending balance | 87,813 | 82,204 | 82,797 |
Ending balance, individually evaluated for impairment | 51 | 93 | 64 |
Ending balance, collectively evaluated for impairment | $ 87,762 | $ 82,111 | $ 82,733 |
Loans - Credit Quality Indicato
Loans - Credit Quality Indicators (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | $ 2,710,144 | $ 2,639,104 | $ 2,627,943 |
Agricultural [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 94,842 | 91,317 | 92,673 |
Commercial and Financial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 286,242 | 221,323 | 229,501 |
Real Estate: Construction, 1 to 4 family residential [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 71,117 | 80,209 | |
Real Estate: Construction, land development and commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 111,913 | 108,410 | |
Real Estate: Mortgage, farmland [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 247,142 | 242,730 | $ 236,454 |
Real Estate: Mortgage, 1 to 4 family first liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 892,089 | 910,742 | |
Real Estate: Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 127,833 | 149,227 | |
Real Estate: Mortgage, multi-family [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 374,014 | 350,761 | |
Real Estate: Mortgage, commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 417,139 | 402,181 | |
Loans to individuals [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 31,325 | 32,308 | |
Obligations of state and political subdivisions [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 56,488 | 49,896 | |
Excellent [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 69,568 | 68,021 | |
Excellent [Member] | Agricultural [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 3,761 | 3,594 | |
Excellent [Member] | Commercial and Financial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 9,024 | 3,461 | |
Excellent [Member] | Real Estate: Construction, 1 to 4 family residential [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 0 | 260 | |
Excellent [Member] | Real Estate: Construction, land development and commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 227 | 190 | |
Excellent [Member] | Real Estate: Mortgage, farmland [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 5,706 | 3,630 | |
Excellent [Member] | Real Estate: Mortgage, 1 to 4 family first liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 2,303 | 3,209 | |
Excellent [Member] | Real Estate: Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 204 | 261 | |
Excellent [Member] | Real Estate: Mortgage, multi-family [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 14,650 | 18,955 | |
Excellent [Member] | Real Estate: Mortgage, commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 26,940 | 27,017 | |
Excellent [Member] | Loans to individuals [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 1 | 0 | |
Excellent [Member] | Obligations of state and political subdivisions [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 6,752 | 7,444 | |
Good [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 359,578 | 311,157 | |
Good [Member] | Agricultural [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 12,369 | 12,380 | |
Good [Member] | Commercial and Financial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 62,310 | 47,843 | |
Good [Member] | Real Estate: Construction, 1 to 4 family residential [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 13,675 | 8,868 | |
Good [Member] | Real Estate: Construction, land development and commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 15,187 | 23,217 | |
Good [Member] | Real Estate: Mortgage, farmland [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 41,878 | 40,118 | |
Good [Member] | Real Estate: Mortgage, 1 to 4 family first liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 47,233 | 32,474 | |
Good [Member] | Real Estate: Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 3,707 | 4,233 | |
Good [Member] | Real Estate: Mortgage, multi-family [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 57,281 | 47,871 | |
Good [Member] | Real Estate: Mortgage, commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 92,699 | 79,467 | |
Good [Member] | Loans to individuals [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 145 | 221 | |
Good [Member] | Obligations of state and political subdivisions [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 13,094 | 14,465 | |
Satisfactory [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 1,690,006 | 1,728,780 | |
Satisfactory [Member] | Agricultural [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 42,015 | 43,308 | |
Satisfactory [Member] | Commercial and Financial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 144,999 | 117,114 | |
Satisfactory [Member] | Real Estate: Construction, 1 to 4 family residential [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 41,616 | 51,093 | |
Satisfactory [Member] | Real Estate: Construction, land development and commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 64,301 | 47,987 | |
Satisfactory [Member] | Real Estate: Mortgage, farmland [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 129,210 | 134,738 | |
Satisfactory [Member] | Real Estate: Mortgage, 1 to 4 family first liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 701,273 | 751,215 | |
Satisfactory [Member] | Real Estate: Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 115,731 | 136,079 | |
Satisfactory [Member] | Real Estate: Mortgage, multi-family [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 197,493 | 189,391 | |
Satisfactory [Member] | Real Estate: Mortgage, commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 196,310 | 206,196 | |
Satisfactory [Member] | Loans to individuals [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 30,487 | 31,385 | |
Satisfactory [Member] | Obligations of state and political subdivisions [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 26,571 | 20,274 | |
Monitor [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 461,913 | 420,993 | |
Monitor [Member] | Agricultural [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 29,381 | 24,857 | |
Monitor [Member] | Commercial and Financial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 56,439 | 44,543 | |
Monitor [Member] | Real Estate: Construction, 1 to 4 family residential [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 13,654 | 17,505 | |
Monitor [Member] | Real Estate: Construction, land development and commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 23,368 | 29,009 | |
Monitor [Member] | Real Estate: Mortgage, farmland [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 61,298 | 53,147 | |
Monitor [Member] | Real Estate: Mortgage, 1 to 4 family first liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 114,207 | 96,353 | |
Monitor [Member] | Real Estate: Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 5,153 | 5,473 | |
Monitor [Member] | Real Estate: Mortgage, multi-family [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 70,885 | 60,965 | |
Monitor [Member] | Real Estate: Mortgage, commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 77,125 | 81,381 | |
Monitor [Member] | Loans to individuals [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 479 | 437 | |
Monitor [Member] | Obligations of state and political subdivisions [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 9,924 | 7,323 | |
Special Mention [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 78,045 | 66,810 | |
Special Mention [Member] | Agricultural [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 5,143 | 3,110 | |
Special Mention [Member] | Commercial and Financial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 8,258 | 5,157 | |
Special Mention [Member] | Real Estate: Construction, 1 to 4 family residential [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 1,857 | 2,483 | |
Special Mention [Member] | Real Estate: Construction, land development and commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 7,137 | 7,428 | |
Special Mention [Member] | Real Estate: Mortgage, farmland [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 6,074 | 3,033 | |
Special Mention [Member] | Real Estate: Mortgage, 1 to 4 family first liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 12,890 | 11,167 | |
Special Mention [Member] | Real Estate: Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 1,307 | 1,469 | |
Special Mention [Member] | Real Estate: Mortgage, multi-family [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 15,374 | 27,559 | |
Special Mention [Member] | Real Estate: Mortgage, commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 19,731 | 4,802 | |
Special Mention [Member] | Loans to individuals [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 127 | 212 | |
Special Mention [Member] | Obligations of state and political subdivisions [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 147 | 390 | |
Substandard [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 51,034 | 43,343 | |
Substandard [Member] | Agricultural [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 2,173 | 4,068 | |
Substandard [Member] | Commercial and Financial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 5,212 | 3,205 | |
Substandard [Member] | Real Estate: Construction, 1 to 4 family residential [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 315 | 0 | |
Substandard [Member] | Real Estate: Construction, land development and commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 1,693 | 579 | |
Substandard [Member] | Real Estate: Mortgage, farmland [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 2,976 | 8,064 | |
Substandard [Member] | Real Estate: Mortgage, 1 to 4 family first liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 14,183 | 16,324 | |
Substandard [Member] | Real Estate: Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 1,731 | 1,712 | |
Substandard [Member] | Real Estate: Mortgage, multi-family [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 18,331 | 6,020 | |
Substandard [Member] | Real Estate: Mortgage, commercial [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 4,334 | 3,318 | |
Substandard [Member] | Loans to individuals [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | 86 | 53 | |
Substandard [Member] | Obligations of state and political subdivisions [Member] | |||
Summary of credit quality indicators by type of loans [Abstract] | |||
Loans and receivable | $ 0 | $ 0 |
Loans - Past Due Receivables (D
Loans - Past Due Receivables (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of past due loans [Abstract] | |||
Total Past Due | $ 14,236 | $ 18,913 | |
Current | 2,695,908 | 2,620,191 | |
Ending balance | 2,710,144 | 2,639,104 | $ 2,627,943 |
Accruing Loans Past Due 90 Days or More | 1,056 | 606 | |
Agricultural [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 1,067 | 560 | |
Current | 93,775 | 90,757 | |
Ending balance | 94,842 | 91,317 | 92,673 |
Accruing Loans Past Due 90 Days or More | 111 | 48 | |
Commercial and financial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 1,202 | 1,406 | |
Current | 285,040 | 219,917 | |
Ending balance | 286,242 | 221,323 | 229,501 |
Accruing Loans Past Due 90 Days or More | 20 | 65 | |
Construction, 1 to 4 family residential [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 726 | 635 | |
Current | 70,391 | 79,574 | |
Ending balance | 71,117 | 80,209 | |
Accruing Loans Past Due 90 Days or More | 536 | 0 | |
Construction, land development and commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 316 | |
Current | 111,913 | 108,094 | |
Ending balance | 111,913 | 108,410 | |
Accruing Loans Past Due 90 Days or More | 0 | 0 | |
Mortgage, farmland [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 307 | 1,346 | |
Current | 246,835 | 241,384 | |
Ending balance | 247,142 | 242,730 | $ 236,454 |
Accruing Loans Past Due 90 Days or More | 0 | 0 | |
Mortgage, 1 to 4 family first liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 8,797 | 12,275 | |
Current | 883,292 | 898,467 | |
Ending balance | 892,089 | 910,742 | |
Accruing Loans Past Due 90 Days or More | 342 | 354 | |
Mortgage, 1 to 4 family junior liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 612 | 1,172 | |
Current | 127,221 | 148,055 | |
Ending balance | 127,833 | 149,227 | |
Accruing Loans Past Due 90 Days or More | 47 | 139 | |
Mortgage, multi-family [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 97 | |
Current | 374,014 | 350,664 | |
Ending balance | 374,014 | 350,761 | |
Accruing Loans Past Due 90 Days or More | 0 | 0 | |
Mortgage, commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 1,244 | 810 | |
Current | 415,895 | 401,371 | |
Ending balance | 417,139 | 402,181 | |
Accruing Loans Past Due 90 Days or More | 0 | 0 | |
Loans to individuals [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 281 | 296 | |
Current | 31,044 | 32,012 | |
Ending balance | 31,325 | 32,308 | |
Accruing Loans Past Due 90 Days or More | 0 | 0 | |
Obligations of state and political subdivisions [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 0 | |
Current | 56,488 | 49,896 | |
Ending balance | 56,488 | 49,896 | |
Accruing Loans Past Due 90 Days or More | 0 | 0 | |
30 - 59 Days Past Due | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 8,180 | 9,211 | |
30 - 59 Days Past Due | Agricultural [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 438 | 163 | |
30 - 59 Days Past Due | Commercial and financial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 867 | 1,076 | |
30 - 59 Days Past Due | Construction, 1 to 4 family residential [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 190 | 635 | |
30 - 59 Days Past Due | Construction, land development and commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 215 | |
30 - 59 Days Past Due | Mortgage, farmland [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 279 | 736 | |
30 - 59 Days Past Due | Mortgage, 1 to 4 family first liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 4,969 | 5,026 | |
30 - 59 Days Past Due | Mortgage, 1 to 4 family junior liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 436 | 813 | |
30 - 59 Days Past Due | Mortgage, multi-family [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 0 | |
30 - 59 Days Past Due | Mortgage, commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 783 | 321 | |
30 - 59 Days Past Due | Loans to individuals [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 218 | 226 | |
30 - 59 Days Past Due | Obligations of state and political subdivisions [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 0 | |
60 - 89 Days Past Due | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 1,645 | 4,472 | |
60 - 89 Days Past Due | Agricultural [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 275 | |
60 - 89 Days Past Due | Commercial and financial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 195 | 229 | |
60 - 89 Days Past Due | Construction, 1 to 4 family residential [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 0 | |
60 - 89 Days Past Due | Construction, land development and commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 101 | |
60 - 89 Days Past Due | Mortgage, farmland [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 28 | 0 | |
60 - 89 Days Past Due | Mortgage, 1 to 4 family first liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 1,342 | 3,100 | |
60 - 89 Days Past Due | Mortgage, 1 to 4 family junior liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 21 | 126 | |
60 - 89 Days Past Due | Mortgage, multi-family [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 97 | |
60 - 89 Days Past Due | Mortgage, commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 489 | |
60 - 89 Days Past Due | Loans to individuals [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 59 | 55 | |
60 - 89 Days Past Due | Obligations of state and political subdivisions [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 0 | |
90 Days or More Past Due | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 4,411 | 5,230 | |
90 Days or More Past Due | Agricultural [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 629 | 122 | |
90 Days or More Past Due | Commercial and financial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 140 | 101 | |
90 Days or More Past Due | Construction, 1 to 4 family residential [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 536 | 0 | |
90 Days or More Past Due | Construction, land development and commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 0 | |
90 Days or More Past Due | Mortgage, farmland [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 610 | |
90 Days or More Past Due | Mortgage, 1 to 4 family first liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 2,486 | 4,149 | |
90 Days or More Past Due | Mortgage, 1 to 4 family junior liens [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 155 | 233 | |
90 Days or More Past Due | Mortgage, multi-family [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 0 | 0 | |
90 Days or More Past Due | Mortgage, commercial [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 461 | 0 | |
90 Days or More Past Due | Loans to individuals [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | 4 | 15 | |
90 Days or More Past Due | Obligations of state and political subdivisions [Member] | |||
Schedule of past due loans [Abstract] | |||
Total Past Due | $ 0 | $ 0 |
Loans - Narrative (Details)
Loans - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)contractloan | Dec. 31, 2019USD ($)contractloan | Dec. 31, 2018USD ($) | |
Receivables [Abstract] | |||
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | loan | 0 | 1 | |
Accruing loans past due 90 days or more increased | $ 450 | ||
Accruing loans past due 90 days or more percentage of total loans (in hundredths) | 0.04% | 0.02% | |
Average 90 days or more past due loan balance | $ 90 | $ 80 | |
Impaired loans increase | $ 200 | ||
Percentages of impaired loans to loans held for investment (in hundredths) | 0.76% | 0.79% | |
Decrease Specific Reserve Loans Financing Receivable Unpaid Principal Balance | $ 430 | ||
Increase in nonaccrual loans | 1,920 | ||
Decrease in TDR loans | 940 | ||
Increase (Decrease) Accruing Loans Past days or More Financing Receivable Unpaid Principal Balance | $ 450 | ||
Prior period within which impairment is being measured | 1 year | ||
Number of period within which average appraisals obtained | 1 month | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Loans and receivable | $ 2,710,144 | $ 2,639,104 | $ 2,627,943 |
TDR loans default payment | $ 65 | ||
Financing Receivable Modifications Number Of Contracts During Period | contract | 23 | 15 | |
COVID-19 related | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Financing Receivable, Modifications, Principal Deferred, Number Of Contracts | loan | 13 | ||
Financing Receivable, Modifications, Principal Deferred | $ 9,400 | ||
Financing Receivable, Modifications, Payment Deferrals, Total Loans, Percent | 14.82% | ||
Financing Receivable, Modifications, Payment Deferrals At Period End, Total Loans, Percent | 1.20% | ||
Commercial and Financial [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Loans and receivable | $ 286,242 | $ 221,323 | $ 229,501 |
Financing Receivable Modifications Number Of Contracts During Period | contract | 7 | 5 | |
Small Business Administration SBA, CARES Act, Paycheck Protection Program | Commercial and Financial [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Loans and receivable | $ 86,500 | ||
Loans and Leases Receivable, Deferred Loan Fees included with Loans | 2,120 | ||
Interest and fee income, Loans and Leases, PPP Loan fees recognized in income | 2,880 | ||
Payment for (Proceeds from) Loans and Leases, Payment of PPP loans forgiven | $ 40,400 |
Loans - Impaired Financing Rece
Loans - Impaired Financing Receivable Loan Type (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | $ 8,849 | [1] | $ 10,768 |
Accruing loans past due 90 days or more | 1,056 | 606 | |
TDR loans | 10,251 | 9,308 | |
Agricultural [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 1,252 | [1] | 1,192 |
Accruing loans past due 90 days or more | 111 | 48 | |
TDR loans | 85 | 404 | |
Commercial and financial [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 479 | [1] | 679 |
Accruing loans past due 90 days or more | 20 | 65 | |
TDR loans | 1,263 | 1,934 | |
Construction, 1 to 4 family residential [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 315 | [1] | 0 |
Accruing loans past due 90 days or more | 536 | 0 | |
TDR loans | 0 | 0 | |
Construction, land development and commercial [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 204 | [1] | 0 |
Accruing loans past due 90 days or more | 0 | 0 | |
TDR loans | 211 | 320 | |
Mortgage, farmland [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 446 | [1] | 1,369 |
Accruing loans past due 90 days or more | 0 | 0 | |
TDR loans | 1,616 | 2,712 | |
Mortgage, 1 to 4 family first liens [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 4,331 | [1] | 6,558 |
Accruing loans past due 90 days or more | 342 | 354 | |
TDR loans | 1,751 | 1,626 | |
Mortgage, 1 to 4 family junior liens [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 193 | [1] | 94 |
Accruing loans past due 90 days or more | 47 | 139 | |
TDR loans | 20 | 0 | |
Mortgage, multi-family [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 79 | [1] | 97 |
Accruing loans past due 90 days or more | 0 | 0 | |
TDR loans | 1,695 | 1,719 | |
Mortgage, commercial [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 1,550 | [1] | 779 |
Accruing loans past due 90 days or more | 0 | 0 | |
TDR loans | 3,610 | 593 | |
Loans to individuals [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
Non-accrual loans | 0 | [1] | 0 |
Accruing loans past due 90 days or more | 0 | 0 | |
TDR loans | 0 | 0 | |
Troubled Debt Restructuring [Member] | |||
Summary of certain impaired loan information [Abstract] | |||
TDR Loans included within nonaccrual loans | $ 2,970 | $ 4,340 | |
[1] | There were $2.97 million and $4.34 million of TDR loans included within nonaccrual loans as of December 31, 2020 and 2019, respectively. |
Loans - Troubled Debt Restructu
Loans - Troubled Debt Restructuring (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)contract | Dec. 31, 2019USD ($)contract | |
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 63 | 60 |
Recorded investment | $ 13,225 | $ 13,709 |
Commitments outstanding | $ 39 | $ 98 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 23 | 15 |
Pre-modification recorded investment | $ 4,654 | $ 4,121 |
Post-modification recorded investment | $ 4,654 | $ 4,121 |
Agricultural [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 6 | 9 |
Recorded investment | $ 1,028 | $ 1,552 |
Commitments outstanding | $ 0 | $ 3 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 2 | 4 |
Pre-modification recorded investment | $ 93 | $ 574 |
Post-modification recorded investment | $ 93 | $ 574 |
Commercial and financial [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 17 | 16 |
Recorded investment | $ 1,743 | $ 2,641 |
Commitments outstanding | $ 35 | $ 95 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 7 | 5 |
Pre-modification recorded investment | $ 623 | $ 503 |
Post-modification recorded investment | $ 623 | $ 503 |
Construction, 1 to 4 family residential [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 0 | 0 |
Recorded investment | $ 0 | $ 0 |
Commitments outstanding | $ 0 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 0 | 0 |
Pre-modification recorded investment | $ 0 | $ 0 |
Post-modification recorded investment | $ 0 | $ 0 |
Construction, land development and commercial [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 1 | 2 |
Recorded investment | $ 211 | $ 320 |
Commitments outstanding | $ 4 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 0 | 0 |
Pre-modification recorded investment | $ 0 | $ 0 |
Post-modification recorded investment | $ 0 | $ 0 |
Mortgage, farmland [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 6 | 8 |
Recorded investment | $ 2,009 | $ 4,021 |
Commitments outstanding | $ 0 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 0 | 1 |
Pre-modification recorded investment | $ 0 | $ 620 |
Post-modification recorded investment | $ 0 | $ 620 |
Mortgage, 1 to 4 family first liens [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 17 | 16 |
Recorded investment | $ 1,898 | $ 2,083 |
Commitments outstanding | $ 0 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 6 | 3 |
Pre-modification recorded investment | $ 283 | $ 705 |
Post-modification recorded investment | $ 283 | $ 705 |
Mortgage, 1 to 4 family junior liens [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 1 | 0 |
Recorded investment | $ 20 | $ 0 |
Commitments outstanding | $ 0 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 1 | 0 |
Pre-modification recorded investment | $ 20 | $ 0 |
Post-modification recorded investment | $ 20 | $ 0 |
Mortgage, multi-family [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 2 | 2 |
Recorded investment | $ 1,695 | $ 1,719 |
Commitments outstanding | $ 0 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 0 | 2 |
Pre-modification recorded investment | $ 0 | $ 1,719 |
Post-modification recorded investment | $ 0 | $ 1,719 |
Mortgage, commercial [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 13 | 7 |
Recorded investment | $ 4,621 | $ 1,373 |
Commitments outstanding | $ 0 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 7 | 0 |
Pre-modification recorded investment | $ 3,635 | $ 0 |
Post-modification recorded investment | $ 3,635 | $ 0 |
Loans to individuals [Member] | ||
Summary of information for TDR loans [Abstract] | ||
Number of contracts | contract | 0 | 0 |
Recorded investment | $ 0 | $ 0 |
Commitments outstanding | $ 0 | $ 0 |
Summary of TDR loans were modified [Abstract] | ||
Number of Contracts | contract | 0 | 0 |
Pre-modification recorded investment | $ 0 | $ 0 |
Post-modification recorded investment | $ 0 | $ 0 |
Loans - Impaired Financing Re_2
Loans - Impaired Financing Receivables Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Recorded Investment | |||
With no related allowance recorded | $ 17,906 | $ 17,713 | $ 15,201 |
With a related allowance recorded | 2,823 | 3,212 | 12,784 |
Total | 20,729 | 20,925 | 27,985 |
Unpaid Principal Balance | |||
With no related allowance recorded | 23,459 | 22,527 | 19,515 |
With a related allowance recorded | 2,954 | 3,570 | 13,023 |
Total | 26,413 | 26,097 | 32,538 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 662 | 1,084 | 2,114 |
Total | 662 | 1,084 | 2,114 |
Average Recorded Investment | |||
With no related allowance recorded | 20,297 | 18,035 | 15,090 |
With an related allowance recorded | 2,845 | 3,489 | 13,005 |
Total | 23,142 | 21,524 | 28,095 |
Interest Income Recognized | |||
With no related allowance recorded | 556 | 436 | 266 |
With an related allowance recorded | 98 | 141 | 527 |
Total | 654 | 577 | 793 |
Agricultural [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 1,337 | 1,596 | 1,395 |
With a related allowance recorded | 206 | 134 | 1,065 |
Total | 1,543 | 1,730 | 2,460 |
Unpaid Principal Balance | |||
With no related allowance recorded | 1,928 | 2,157 | 1,663 |
With a related allowance recorded | 206 | 134 | 1,229 |
Total | 2,134 | 2,291 | 2,892 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 86 | 87 | 479 |
Total | 86 | 87 | 479 |
Average Recorded Investment | |||
With no related allowance recorded | 1,518 | 1,785 | 1,071 |
With an related allowance recorded | 141 | 287 | 980 |
Total | 1,659 | 2,072 | 2,051 |
Interest Income Recognized | |||
With no related allowance recorded | 24 | 37 | 23 |
With an related allowance recorded | 14 | 17 | 7 |
Total | 38 | 54 | 30 |
Commercial and financial [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 1,520 | 1,340 | 1,650 |
With a related allowance recorded | 671 | 1,402 | 2,512 |
Total | 2,191 | 2,742 | 4,162 |
Unpaid Principal Balance | |||
With no related allowance recorded | 2,907 | 2,220 | 2,503 |
With a related allowance recorded | 724 | 1,539 | 2,512 |
Total | 3,631 | 3,759 | 5,015 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 411 | 792 | 1,189 |
Total | 411 | 792 | 1,189 |
Average Recorded Investment | |||
With no related allowance recorded | 2,054 | 1,617 | 1,977 |
With an related allowance recorded | 755 | 1,510 | 2,793 |
Total | 2,809 | 3,127 | 4,770 |
Interest Income Recognized | |||
With no related allowance recorded | 85 | 64 | 58 |
With an related allowance recorded | 27 | 83 | 107 |
Total | 112 | 147 | 165 |
Construction, 1 to 4 family residential [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 315 | 101 | 111 |
With a related allowance recorded | 536 | 0 | 698 |
Total | 851 | 101 | 809 |
Unpaid Principal Balance | |||
With no related allowance recorded | 337 | 144 | 148 |
With a related allowance recorded | 536 | 0 | 698 |
Total | 873 | 144 | 846 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 7 | 0 | 4 |
Total | 7 | 0 | 4 |
Average Recorded Investment | |||
With no related allowance recorded | 475 | 106 | 113 |
With an related allowance recorded | 486 | 0 | 622 |
Total | 961 | 106 | 735 |
Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 24 | 0 | 28 |
Total | 24 | 0 | 28 |
Construction, land development and commercial [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 415 | 320 | 328 |
With a related allowance recorded | 0 | 0 | 0 |
Total | 415 | 320 | 328 |
Unpaid Principal Balance | |||
With no related allowance recorded | 421 | 336 | 344 |
With a related allowance recorded | 0 | 0 | 0 |
Total | 421 | 336 | 344 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 0 | 0 | 0 |
Total | 0 | 0 | 0 |
Average Recorded Investment | |||
With no related allowance recorded | 420 | 324 | 333 |
With an related allowance recorded | 0 | 0 | 0 |
Total | 420 | 324 | 333 |
Interest Income Recognized | |||
With no related allowance recorded | 13 | 18 | 18 |
With an related allowance recorded | 0 | 0 | 0 |
Total | 13 | 18 | 18 |
Mortgage, farmland [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 2,061 | 4,081 | 3,612 |
With a related allowance recorded | 0 | 0 | 0 |
Total | 2,061 | 4,081 | 3,612 |
Unpaid Principal Balance | |||
With no related allowance recorded | 2,598 | 4,613 | 4,071 |
With a related allowance recorded | 0 | 0 | 0 |
Total | 2,598 | 4,613 | 4,071 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 0 | 0 | 0 |
Total | 0 | 0 | 0 |
Average Recorded Investment | |||
With no related allowance recorded | 3,008 | 4,144 | 3,068 |
With an related allowance recorded | 0 | 0 | 0 |
Total | 3,008 | 4,144 | 3,068 |
Interest Income Recognized | |||
With no related allowance recorded | 120 | 157 | 89 |
With an related allowance recorded | 0 | 0 | 0 |
Total | 120 | 157 | 89 |
Mortgage, 1 to 4 family first liens [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 6,253 | 7,157 | 6,089 |
With a related allowance recorded | 924 | 1,280 | 899 |
Total | 7,177 | 8,437 | 6,988 |
Unpaid Principal Balance | |||
With no related allowance recorded | 8,013 | 9,015 | 7,819 |
With a related allowance recorded | 975 | 1,501 | 974 |
Total | 8,988 | 10,516 | 8,793 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 56 | 64 | 70 |
Total | 56 | 64 | 70 |
Average Recorded Investment | |||
With no related allowance recorded | 6,578 | 6,822 | 6,435 |
With an related allowance recorded | 955 | 1,318 | 888 |
Total | 7,533 | 8,140 | 7,323 |
Interest Income Recognized | |||
With no related allowance recorded | 108 | 51 | 36 |
With an related allowance recorded | 25 | 29 | 25 |
Total | 133 | 80 | 61 |
Mortgage, 1 to 4 family junior liens [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 108 | 0 | 0 |
With a related allowance recorded | 132 | 233 | 24 |
Total | 240 | 233 | 24 |
Unpaid Principal Balance | |||
With no related allowance recorded | 350 | 246 | 254 |
With a related allowance recorded | 158 | 233 | 24 |
Total | 508 | 479 | 278 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 37 | 47 | 2 |
Total | 37 | 47 | 2 |
Average Recorded Investment | |||
With no related allowance recorded | 134 | 0 | 0 |
With an related allowance recorded | 149 | 239 | 25 |
Total | 283 | 239 | 25 |
Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 2 | 6 | 1 |
Total | 2 | 6 | 1 |
Mortgage, multi-family [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 1,773 | 1,816 | 145 |
With a related allowance recorded | 0 | 0 | 7,447 |
Total | 1,773 | 1,816 | 7,592 |
Unpaid Principal Balance | |||
With no related allowance recorded | 1,898 | 1,930 | 213 |
With a related allowance recorded | 0 | 0 | 7,447 |
Total | 1,898 | 1,930 | 7,660 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 0 | 0 | 305 |
Total | 0 | 0 | 305 |
Average Recorded Investment | |||
With no related allowance recorded | 1,795 | 1,873 | 153 |
With an related allowance recorded | 0 | 0 | 7,543 |
Total | 1,795 | 1,873 | 7,696 |
Interest Income Recognized | |||
With no related allowance recorded | 80 | 83 | 0 |
With an related allowance recorded | 0 | 0 | 346 |
Total | 80 | 83 | 346 |
Real Estate: Mortgage, commercial [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 4,124 | 1,302 | 1,871 |
With a related allowance recorded | 303 | 70 | 75 |
Total | 4,427 | 1,372 | 1,946 |
Unpaid Principal Balance | |||
With no related allowance recorded | 4,960 | 1,852 | 2,486 |
With a related allowance recorded | 304 | 70 | 75 |
Total | 5,264 | 1,922 | 2,561 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 14 | 1 | 1 |
Total | 14 | 1 | 1 |
Average Recorded Investment | |||
With no related allowance recorded | 4,315 | 1,364 | 1,940 |
With an related allowance recorded | 306 | 73 | 77 |
Total | 4,621 | 1,437 | 2,017 |
Interest Income Recognized | |||
With no related allowance recorded | 126 | 26 | 42 |
With an related allowance recorded | 3 | 4 | 4 |
Total | 129 | 30 | 46 |
Loans to individuals [Member] | |||
Recorded Investment | |||
With no related allowance recorded | 0 | 0 | 0 |
With a related allowance recorded | 51 | 93 | 64 |
Total | 51 | 93 | 64 |
Unpaid Principal Balance | |||
With no related allowance recorded | 47 | 14 | 14 |
With a related allowance recorded | 51 | 93 | 64 |
Total | 98 | 107 | 78 |
Related Allowance | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 51 | 93 | 64 |
Total | 51 | 93 | 64 |
Average Recorded Investment | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 53 | 62 | 77 |
Total | 53 | 62 | 77 |
Interest Income Recognized | |||
With no related allowance recorded | 0 | 0 | 0 |
With an related allowance recorded | 3 | 2 | 9 |
Total | $ 3 | $ 2 | $ 9 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment [Line Items] | ||
Gross | $ 88,831 | $ 86,971 |
Less accumulated depreciation | 52,953 | 49,825 |
Net | 35,878 | 37,146 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross | 11,266 | 11,261 |
Building and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross | 37,512 | 37,261 |
Furniture and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross | $ 40,053 | $ 38,449 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Lessee, Lease, Description [Line Items] | |||
Lease term, option to extend (up to) | 10 years | ||
Lease term, option to terminate (within) | 1 year | ||
Total operating lease expense | $ 560 | $ 620 | |
Operating lease costs | 470 | 530 | |
Short-term lease costs | 30 | 30 | |
Variable lease costs | 60 | 60 | |
Operating lease liabilities | 470 | 530 | |
Right of use assets obtained in exchange for operating lease obligations | 48 | $ 3,581 | $ 0 |
Total operating lease liabilities | $ 2,911 | ||
Lease term for operating leases | 10 years 3 months 7 days | 10 years 10 months 9 days | |
Weighted average discount rate for operating leases | 3.45% | 3.46% | |
Other Assets [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease right-of-use assets included in other assets | $ 2,860 | $ 3,200 | |
Other Liabilities [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Total operating lease liabilities | $ 2,910 | $ 3,230 | |
Minimum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lease term | 1 year | ||
Maximum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lease term | 15 years |
Leases - Schedule of maturities
Leases - Schedule of maturities of lease liabilities (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Leases [Abstract] | |
2021 | $ 472 |
2022 | 464 |
2023 | 317 |
2024 | 250 |
2025 | 253 |
Thereafter | 1,756 |
Total lease payments | 3,512 |
Less imputed interest | (601) |
Total operating lease liabilities | $ 2,911 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilities |
Interest-Bearing Deposits - Sum
Interest-Bearing Deposits - Summary of Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Interest-bearing Deposit Liabilities [Abstract] | ||
NOW and other demand | $ 801,550 | $ 610,271 |
Savings | 1,161,324 | 981,827 |
Time, $100,000 and over | 327,861 | 292,982 |
Other time | 369,643 | 388,672 |
Total deposits | $ 2,660,378 | $ 2,273,752 |
Interest-Bearing Deposits (Narr
Interest-Bearing Deposits (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Interest-bearing Deposit Liabilities [Abstract] | ||
Total brokered deposits | $ 74,080 | $ 109,290 |
Average interest rate of brokered deposits | 0.34% | 1.65% |
Brokered deposits included in savings deposits | $ 74,080 | $ 109,290 |
Interest-Bearing Deposits - Tim
Interest-Bearing Deposits - Time Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Interest-bearing Deposit Liabilities [Abstract] | ||
Due in one year or less | $ 307,962 | $ 324,554 |
Due after one year through two years | 190,763 | 124,527 |
Due after two years through three years | 150,275 | 90,009 |
Due after three years through four years | 39,089 | 130,252 |
Due over four years | 9,415 | 12,312 |
Time Deposits | $ 697,504 | $ 681,654 |
Federal Home Loan Bank Borrow_3
Federal Home Loan Bank Borrowings (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 105,000,000 | $ 185,000,000 |
Loan borrowed against collateral | 0 | 0 |
Federal Home Loan Bank Borrowings Due year three [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 0 | |
Effective interest rates | 3.05% | |
Federal Home Loan Bank Borrowings Due year four [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | 25,000,000 | |
Federal Home Loan Bank Borrowings Due year seven [Member] [Domain] [Domain] [Domain] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 0 | |
Effective interest rates | 3.77% | |
Federal Home Loan Bank Borrowings Due year seven [Member] [Domain] [Domain] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 0 | 25,000,000 |
Effective interest rates | 2.38% | |
Federal Home Loan Bank Borrowings Due year eight [Member] [Domain] [Domain] [Domain] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 45,000,000 | 15,000,000 |
Federal Home Loan Bank Borrowings Due year eight [Member] [Domain] [Domain] [Domain] | Minimum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Effective interest rates | 2.81% | |
Federal Home Loan Bank Borrowings Due year eight [Member] [Domain] [Domain] [Domain] | Maximum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Effective interest rates | 2.94% | |
Federal Home Loan Bank Borrowings Due year nine [Member] [Domain] [Domain] [Domain] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 30,000,000 | 60,000,000 |
Federal Home Loan Bank Borrowings Due year nine [Member] [Domain] [Domain] [Domain] | Minimum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Effective interest rates | 2.52% | |
Federal Home Loan Bank Borrowings Due year nine [Member] [Domain] [Domain] [Domain] | Maximum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Effective interest rates | 2.86% | |
Federal Home Loan Bank Borrowings Due year ten [Member] [Domain] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 30,000,000 | 30,000,000 |
Federal Home Loan Bank Borrowings Due year ten [Member] [Domain] | Minimum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Effective interest rates | 2.76% | |
Federal Home Loan Bank Borrowings Due year ten [Member] [Domain] | Maximum [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Effective interest rates | 2.95% | |
Federal Home Loan Bank Borrowings Due thereafter [Member] | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Federal home loan bank borrowings | $ 30,000,000 |
Federal Home Loan Bank Borrow_4
Federal Home Loan Bank Borrowings (Narrative) (Details) - USD ($) | Dec. 30, 2020 | Nov. 09, 2020 | Dec. 13, 2019 | Dec. 31, 2020 | Dec. 31, 2019 |
Federal Home Loan Bank, Advances [Line Items] | |||||
FHLB, prepayment borrowings due 2025 | $ 15,000,000 | ||||
FHLB, prepayment borrowings due 2019 | $ 25,000,000 | $ 30,000,000 | |||
FHLB, prepayment borrowings due 2021 | 25,000,000 | ||||
FHLB, prepayment borrowings due 2022 | $ 15,000,000 | ||||
FHLB, prepayment fee | $ 2,530,000 | $ 2,090,000 | |||
Federal home loan bank stock | 8,172,000 | 11,065,000 | |||
Loans receivable 1 to 4 family mortgage loans Pledged As Collateral | 141,750,000 | 249,750,000 | |||
Loans receivable commercial real estate and multi family mortgage loans pledged as collateral | 315,860,000 | 306,860,000 | |||
Loan borrowed against collateral | $ 0 | $ 0 | |||
Federal Home Loan Bank Borrowings Due year three [Member] | |||||
Federal Home Loan Bank, Advances [Line Items] | |||||
Effective interest rates | 3.05% | ||||
Minimum [Member] | Federal Home Loan Bank Borrowings Due year eight [Member] [Domain] [Domain] [Domain] | |||||
Federal Home Loan Bank, Advances [Line Items] | |||||
Effective interest rates | 2.81% | ||||
Maximum [Member] | Federal Home Loan Bank Borrowings Due year eight [Member] [Domain] [Domain] [Domain] | |||||
Federal Home Loan Bank, Advances [Line Items] | |||||
Effective interest rates | 2.94% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income - Components of AOCI (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Tax effect | $ (2,920) | $ (470) |
Net-of-tax amount | 8,782 | 1,415 |
Net unrealized gain on available-for-sale securities [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated Other Comprehensive Income (Loss), before Tax | 11,702 | 4,234 |
Net unrealized (loss) gain on derivatives used for cash flow hedges [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated Other Comprehensive Income (Loss), before Tax | $ 0 | $ (2,349) |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) - USD ($) | May 14, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Percentage of employee cash contributions to ESPP, Minimum | 1.00% | |||
Percentage of employee cash contributions to ESPP, Maximum | 15.00% | |||
Maximum contribution to ESPP per offering period | $ 9,000 | |||
Employee Stock Purchase Plan (ESPP) number of shares purchased | 7,449 | 7,720 | ||
Cash contributions to ESOP | $ 1,270,000 | $ 1,080,000 | $ 1,050,000 | |
Employee Stock Ownership Plan (ESOP), Discretionary Cash Contributions to ESOP Percentage | 4.50% | 4.50% | 4.50% | |
Restricted common stock shares subject to forfeiture upon termination | 10,800 | 7,200 | 15,200 | |
Percentage of cash contributions to profit sharing | 4.50% | 4.50% | 4.50% | |
Employer discretionary contribution amount | $ 1,270,000 | $ 1,080,000 | $ 1,050,000 | |
Employer matching contribution | $ 260,000 | 220,000 | 210,000 | |
Maximum number of options and shares granted | 250,000 | |||
Award expiration period | 10 years | |||
Directors' and officers' rights under the plan vesting period | 5 years | |||
Intrinsic Value, option exercised | $ 0 | $ 60,000 | $ 30,000 | |
Period of interest rate swap used to calculate expected life of options | 10 years | |||
Stock options granted (in shares) | 0 | 5,805 | 0 | |
Weighted-average fair value of options granted (in dollars per share) | $ 21.31 | |||
Stock option outstanding weighted-average exercise price (in dollars per share) | $ 45.92 | |||
Stock options outstanding, weighted average remaining contractual life | 4 years 5 months 19 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost | $ 90,000 | |||
Unrecognized compensation, stock options, weighted-average period | 3 years 4 months 24 days | |||
Number of exercisable stock options | 7,220 | |||
Stock options exercisable, weighted average exercise price (in dollars per share) | $ 33 | |||
Number of shares available for stock options (in shares) | 231,425 | |||
Number of years of employment subject to forfeiture | 8 years | 8 years | 8 years | |
Employee Stock Option [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Risk-free interest rate | 2.39% | |||
Expected option life | 7 years 6 months | |||
Expected volatility | 33.00% | |||
Expected dividends | $ 0.0123 | |||
Restricted Stock Options [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Directors' and officers' rights under the plan vesting period | 5 years | |||
Number of restricted shares authorized | 20,427 | 23,527 | 24,899 | |
Expense relating to awards | $ 950,000 | $ 960,000 | $ 850,000 | |
Director [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Deferred compensation liability recorded in other liabilities | 3,780,000 | 3,940,000 | ||
Deferred compensation expenses included in other noninterest expense | $ (90,000) | 280,000 | 430,000 | |
Director [Member] | Maximum [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Percentage of cash contributions to profit sharing | 50.00% | |||
Executive Officer [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Deferred compensation liability recorded in other liabilities | $ 3,310,000 | 4,890,000 | ||
Deferred compensation expenses included in salaries and employee benefits expense | $ (20,000) | $ 420,000 | $ 850,000 | |
Executive Officer [Member] | Maximum [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Percentage of deferment of base compensation | 30.00% | |||
Percentage of deferment of bonus | 100.00% |
Employee Benefit Plans - Shares
Employee Benefit Plans - Shares Held by ESOP (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Retirement Benefits [Abstract] | ||
Shares held by the ESOP | 757,262 | 797,317 |
Fair value per share | $ 62.50 | $ 65 |
Maximum cash obligation | $ 47,329,000 | $ 51,826,000 |
Employee Benefit Plans - Summar
Employee Benefit Plans - Summary of Stock Options (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Shares | ||||
Options Outstanding Beginning Balance (in shares) | 13,025 | 9,020 | 10,220 | |
Granted (in shares) | 0 | 5,805 | 0 | |
Exercised (in shares) | 0 | (1,800) | (1,200) | |
Options Outstanding Ending Balance (in shares) | 13,025 | 13,025 | 9,020 | 10,220 |
Weighted- Average Exercise Price | ||||
Options Outstanding Weighted Average Exercise Price Beginning Balance (in dollars per share) | $ 45.92 | $ 33.30 | $ 33.44 | |
Options Outstanding Weighted Average Exercise Price Ending Balance (in dollars per share) | $ 45.92 | $ 45.92 | $ 33.30 | $ 33.44 |
Weighted-Average Remaining Contractual Term (Years) | ||||
Weighted-Average Remaining Contractual Term | 4 years 5 months 19 days | 5 years 5 months 19 days | 3 years 4 months 28 days | 4 years 5 months 12 days |
Aggregate Intrinsic Value (In Thousands) | ||||
Aggregate Intrinsic Value | $ 216 | $ 248 | $ 250 | $ 342 |
Employee Benefit Plans - Summ_2
Employee Benefit Plans - Summary of Restricted Stock Options (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Number of Shares | |||
Options Outstanding Beginning Balance (in shares) | 13,025 | 9,020 | 10,220 |
Granted (in shares) | 0 | 5,805 | 0 |
Options Outstanding Ending Balance (in shares) | 13,025 | 13,025 | 9,020 |
Restricted Stock Options [Member] | 2020 Stock Option and Incentive Plan | |||
Number of Shares | |||
Options Outstanding Beginning Balance (in shares) | 0 | ||
Authorized (in shares) | 250,000 | ||
Granted (in shares) | 19,063 | ||
Forfeitures (in shares) | 488 | ||
Options Outstanding Ending Balance (in shares) | 231,425 | 0 | |
Weighted Average Grant Date Fair Value | |||
Weighted Average Grant Date Fair Value, Granted (in dollars per share) | $ 62.26 | ||
Weighted Average Grant Date Fair Value, Forfeitures (in dollars per share) | $ 52.93 | ||
Restricted Stock Options [Member] | 2010 Stock Option and Incentive Plan | |||
Number of Shares | |||
Options Outstanding Beginning Balance (in shares) | 19,853 | ||
Authorized (in shares) | 0 | ||
Granted (in shares) | 1,364 | ||
Forfeitures (in shares) | 4,375 | ||
Options Outstanding Ending Balance (in shares) | 22,864 | 19,853 | |
Weighted Average Grant Date Fair Value | |||
Weighted Average Grant Date Fair Value, Granted (in dollars per share) | $ 62.26 | ||
Weighted Average Grant Date Fair Value, Forfeitures (in dollars per share) | $ 52.93 |
Employee Benefit Plans - Other
Employee Benefit Plans - Other Pertinent Information Related to Options (Details) | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Defined Benefit Plan Disclosure [Line Items] | |
Stock option outstanding weighted-average exercise price (in dollars per share) | $ / shares | $ 45.92 |
Number Outstanding (in shares) | 13,025 |
Remaining Contractual Life | 4 years 5 months 19 days |
Number of exercisable stock options | 7,220 |
Exercise Price 33.00 [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Stock option outstanding weighted-average exercise price (in dollars per share) | $ / shares | $ 33 |
Number Outstanding (in shares) | 7,220 |
Remaining Contractual Life | 16 months |
Number of exercisable stock options | 7,220 |
Exercise Price 34.50 [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Stock option outstanding weighted-average exercise price (in dollars per share) | $ / shares | $ 62 |
Number Outstanding (in shares) | 5,805 |
Remaining Contractual Life | 101 months |
Number of exercisable stock options | 0 |
Income Taxes - Summary of Incom
Income Taxes - Summary of Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Current: | |||||||||||
Federal | $ 9,124 | $ 8,857 | $ 7,783 | ||||||||
State | 2,673 | 2,391 | 3,093 | ||||||||
Deferred: | |||||||||||
Federal | (417) | 1,068 | (1,560) | ||||||||
State | (103) | 233 | (411) | ||||||||
Total | $ 2,538 | $ 3,392 | $ 3,541 | $ 1,806 | $ 3,030 | $ 3,303 | $ 3,199 | $ 3,017 | $ 11,277 | $ 12,549 | $ 8,905 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred income tax assets: | ||
Allowance for loan losses | $ 9,249 | $ 8,423 |
Deferred compensation | 1,619 | 2,047 |
Unrealized losses on interest rate swaps | 0 | 586 |
Accrued expenses | 589 | 716 |
State net operating loss | 1,011 | 929 |
Gross deferred tax assets | 12,468 | 12,701 |
Valuation allowance | (1,011) | (929) |
Deferred tax asset, net of valuation allowance | 11,457 | 11,772 |
Deferred income tax liabilities: | ||
Property and equipment | 1,941 | 1,955 |
Unrealized gains on investment securities | 2,920 | 1,056 |
Goodwill | 407 | 407 |
Other | 101 | 336 |
Gross deferred tax liabilities | 5,369 | 3,754 |
Net deferred tax assets | $ 6,088 | $ 8,018 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Operating Loss Carryforwards [Line Items] | |||
Valuation allowance (decrease) increase | $ (82,000) | $ 134,000 | |
Effective income tax rate | 22.60% | 21.70% | 19.50% |
Unrecognized tax benefits | $ 0 | $ 0 | |
Interest or penalties on unrecognized tax benefits | 0 | $ 0 | |
Anticipated increase in unrecognized tax benefits next twelve months | 0 | ||
Anticipated decrease in unrecognized tax benefits next twelve months | $ 0 | ||
Internal Revenue Service (IRS) [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Income tax year, under examination | December 31, 2020, 2019, 2018 and 2017 | ||
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Income tax year, under examination | December 31, 2020, 2019, 2018 and 2017 |
Income Taxes - Summary of Chang
Income Taxes - Summary of Change in Deferred Income Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||
Consolidated statements of income | $ 520 | $ (1,301) | $ 1,971 |
Consolidated statements of stockholders' equity | 2,450 | 1,550 | 92 |
Net change in deferred income tax | $ 1,930 | $ 2,851 | $ 2,063 |
Income Taxes - Effective Income
Income Taxes - Effective Income Tax Rate Reconciliation (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of effective income tax rate with federal statutory tax rate | |||||||||||
Expected tax expense, Amount | $ 10,484,000 | $ 12,152,000 | $ 9,591,000 | ||||||||
Expected tax expense, Percent Of Pretax Income | 21.00% | 20.90% | 21.00% | ||||||||
Tax-exempt interest, Amount | $ (1,219,000) | $ (1,201,000) | $ (1,122,000) | ||||||||
Tax-exempt interest, Percent Of Pretax Income | (2.40%) | (2.10%) | (2.50%) | ||||||||
Interest expense limitation, Amount | $ 79,000 | $ 109,000 | $ 87,000 | ||||||||
Interest expenses limitation, Percent Of Pretax Income | 0.10% | 0.20% | 0.20% | ||||||||
State income taxes, net of federal income tax benefit, Amount | $ 2,030,000 | $ 2,073,000 | $ 2,119,000 | ||||||||
State income taxes, net of federal income tax benefit, Percent Of Pretax Income | 4.10% | 3.50% | 4.60% | ||||||||
Income tax credits, Amount | $ (51,000) | $ (531,000) | $ (1,292,000) | ||||||||
Income tax credits, Percent Of Pretax Income | (0.10%) | (0.90%) | (2.80%) | ||||||||
Other, Amount | $ (46,000) | $ (53,000) | $ (478,000) | ||||||||
Other, Percent Of Pretax Income | (0.10%) | 0.10% | (1.00%) | ||||||||
Total | $ 2,538,000 | $ 3,392,000 | $ 3,541,000 | $ 1,806,000 | $ 3,030,000 | $ 3,303,000 | $ 3,199,000 | $ 3,017,000 | $ 11,277,000 | $ 12,549,000 | $ 8,905,000 |
Total, Percent Of Pretax Income | 22.60% | 21.70% | 19.50% | ||||||||
Unrecognized tax benefits | $ 0 | $ 0 | $ 0 | $ 0 | |||||||
Income Tax Examination, Penalties and Interest Expense | $ 0 | $ 0 |
Regulatory Capital Requiremen_3
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Parent Company [Member] | ||
Minimum regulatory requirements [Abstract] | ||
Total risk-based capital, Actual Amount | $ 452,123 | $ 454,452 |
Total risk-based capital, Actual Ratio | 11.91% | 18.15% |
Total risk-based capital, For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Total risk-based capital, To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 10.00% | |
Tier 1 risk-based capital, Actual Amount | $ 423,122 | |
Tier 1 risk-based capital, Actual Ratio | 16.90% | |
Tier 1 risk-based capital, For Capital Adequacy Purposes, Ratio | 6.00% | |
Tier 1 risk-based capital, To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 8.00% | |
Tier one common equity capital, Actual Amount | $ 423,122 | |
Tier one common equity capital to risk weighted assets | 16.90% | |
Tier One Minimum Capital Requirement to Common Equity | 4.50% | |
Tier One Common Equity Capital to be Well Capitalized | 6.50% | |
Leverage ratio, Actual Amount | $ 423,122 | |
Leverage ratio, Actual Ratio | 12.77% | |
Leverage ratio, For Capital Adequacy Purposes, Ratio | 4.00% | |
Leverage ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 5.00% | |
Bank [Member] | ||
Minimum regulatory requirements [Abstract] | ||
Total risk-based capital, Actual Amount | $ 453,073 | $ 455,440 |
Total risk-based capital, Actual Ratio | 11.94% | 18.20% |
Total risk-based capital, For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Total risk-based capital, To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 10.00% | |
Tier 1 risk-based capital, Actual Amount | $ 424,127 | |
Tier 1 risk-based capital, Actual Ratio | 16.95% | |
Tier 1 risk-based capital, For Capital Adequacy Purposes, Ratio | 6.00% | |
Tier 1 risk-based capital, To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 8.00% | |
Tier one common equity capital, Actual Amount | $ 424,127 | |
Tier one common equity capital to risk weighted assets | 16.95% | |
Tier One Minimum Capital Requirement to Common Equity | 4.50% | |
Tier One Common Equity Capital to be Well Capitalized | 6.50% | |
Leverage ratio, Actual Amount | $ 424,127 | |
Leverage ratio, Actual Ratio | 12.81% | |
Leverage ratio, For Capital Adequacy Purposes, Ratio | 4.00% | |
Leverage ratio, To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 5.00% |
Regulatory Capital Requiremen_4
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Regulatory Capital Requirements, Restrictions on Subsidiary Dividends and Cash Restrictions [Abstract] | ||
Retained Earnings, available for payment of dividends | $ 243,570 | |
Cash reserve balances | $ 541,050 | $ 221,180 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Changes in loans to related parties [Roll Forward] | ||
Balance, beginning | $ 55,717 | $ 51,216 |
Net increase (decrease) due to change in related parties | 0 | 2,481 |
Advances | 14,406 | 17,243 |
Collections | (16,070) | (15,223) |
Balance, ending | 54,053 | 55,717 |
Related Party Deposits | $ 13,180 | $ 11,160 |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying Value and Estimated Fair Values (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |||
Readily Available Market Prices [Member] | |||||
Financial instrument assets: | |||||
Cash and cash equivalents | $ 574,310 | [1] | $ 241,965 | [2] | |
Investment securities | 148,646 | [1] | 128,585 | [2] | |
Loans held for sale | 0 | [1] | 0 | [2] | |
Loans | |||||
Agricultural | 0 | [1] | 0 | [2] | |
Commercial and financial | 0 | [1] | 0 | [2] | |
Real estate: | |||||
Construction, 1 to 4 family residential | 0 | [1] | 0 | [2] | |
Construction, land development and commercial | 0 | [1] | 0 | [2] | |
Mortgage, farmland | 0 | [1] | 0 | [2] | |
Mortgage, 1 to 4 family first liens | 0 | [1] | 0 | [2] | |
Mortgage, 1 to 4 family junior liens | 0 | [1] | 0 | [2] | |
Mortgage, multi-family | 0 | [1] | 0 | [2] | |
Mortgage, commercial | 0 | [1] | 0 | [2] | |
Loans to individuals | 0 | [1] | 0 | [2] | |
Obligations of state and political subdivisions | 0 | [1] | 0 | [2] | |
Accrued interest receivable | 0 | [1] | 0 | [2] | |
Total financial instrument assets | 722,956 | [1] | 370,550 | [2] | |
Deposits | |||||
Noninterest-bearing deposits | 0 | [1] | 0 | [2] | |
Interest-bearing deposits | 0 | [1] | 0 | [2] | |
Federal Home Loan Bank borrowings | 0 | [1] | 0 | [2] | |
Interest rate swaps | [1] | 0 | 0 | ||
Accrued interest payable | 0 | [1] | 0 | [2] | |
Total financial instrument liabilities | 0 | [1] | 0 | [2] | |
Financial instrument with off-balance sheet risk: | |||||
Loan commitments | 0 | [1] | 0 | [2] | |
Letters of credit | 0 | [1] | 0 | [2] | |
Total financial instrument liabilities with off-balance-sheet risk | 0 | [1] | 0 | [2] | |
Observable Market Prices [Member] | |||||
Financial instrument assets: | |||||
Cash and cash equivalents | 0 | [3] | 0 | [4] | |
Investment securities | 267,898 | [3] | 237,783 | [4] | |
Loans held for sale | 43,947 | [3] | 8,400 | [4] | |
Loans | |||||
Agricultural | 0 | [3] | 0 | [4] | |
Commercial and financial | 0 | [3] | 0 | [4] | |
Real estate: | |||||
Construction, 1 to 4 family residential | 0 | [3] | 0 | [4] | |
Construction, land development and commercial | 0 | [3] | 0 | [4] | |
Mortgage, farmland | 0 | [3] | 0 | [4] | |
Mortgage, 1 to 4 family first liens | 0 | [3] | 0 | [4] | |
Mortgage, 1 to 4 family junior liens | 0 | [3] | 0 | [4] | |
Mortgage, multi-family | 0 | [3] | 0 | [4] | |
Mortgage, commercial | 0 | [3] | 0 | [4] | |
Loans to individuals | 0 | [3] | 0 | [4] | |
Obligations of state and political subdivisions | 0 | [3] | 0 | [4] | |
Accrued interest receivable | 12,177 | [3] | 12,442 | [4] | |
Total financial instrument assets | 324,022 | [3] | 258,625 | [4] | |
Deposits | |||||
Noninterest-bearing deposits | 532,190 | [3] | 387,612 | [4] | |
Interest-bearing deposits | 2,673,815 | [3] | 2,292,332 | [4] | |
Federal Home Loan Bank borrowings | 115,259 | [3] | 186,091 | [4] | |
Interest rate swaps | [3] | 0 | 2,349 | ||
Accrued interest payable | 1,733 | [3] | 2,474 | [4] | |
Total financial instrument liabilities | 3,322,997 | [3] | 2,870,858 | [4] | |
Financial instrument with off-balance sheet risk: | |||||
Loan commitments | 0 | [3] | 0 | [4] | |
Letters of credit | 0 | [3] | 0 | [4] | |
Total financial instrument liabilities with off-balance-sheet risk | 0 | [3] | 0 | [4] | |
Company Determined Market Prices [Member] | |||||
Financial instrument assets: | |||||
Cash and cash equivalents | 0 | [5] | 0 | [6] | |
Investment securities | 0 | [5] | 0 | [6] | |
Loans held for sale | 0 | [5] | 0 | [6] | |
Loans | |||||
Agricultural | 92,922 | [5] | 90,118 | [6] | |
Commercial and financial | 282,015 | [5] | 217,640 | [6] | |
Real estate: | |||||
Construction, 1 to 4 family residential | 70,432 | [5] | 79,954 | [6] | |
Construction, land development and commercial | 110,039 | [5] | 107,276 | [6] | |
Mortgage, farmland | 242,978 | [5] | 239,521 | [6] | |
Mortgage, 1 to 4 family first liens | 890,409 | [5] | 896,676 | [6] | |
Mortgage, 1 to 4 family junior liens | 124,945 | [5] | 143,261 | [6] | |
Mortgage, multi-family | 370,538 | [5] | 349,663 | [6] | |
Mortgage, commercial | 413,409 | [5] | 395,838 | [6] | |
Loans to individuals | 31,164 | [5] | 32,722 | [6] | |
Obligations of state and political subdivisions | 59,300 | [5] | 50,564 | [6] | |
Accrued interest receivable | 0 | [5] | 0 | [6] | |
Total financial instrument assets | 2,688,151 | [5] | 2,603,233 | [6] | |
Deposits | |||||
Noninterest-bearing deposits | 0 | [5] | 0 | [6] | |
Interest-bearing deposits | 0 | [5] | 0 | [6] | |
Federal Home Loan Bank borrowings | 0 | [5] | 0 | [6] | |
Interest rate swaps | [5] | 0 | 0 | ||
Accrued interest payable | 0 | [5] | 0 | [6] | |
Total financial instrument liabilities | 0 | [5] | 0 | [6] | |
Financial instrument with off-balance sheet risk: | |||||
Loan commitments | 0 | [5] | 0 | [6] | |
Letters of credit | 0 | [5] | 0 | [6] | |
Total financial instrument liabilities with off-balance-sheet risk | 0 | [5] | 0 | [6] | |
Carrying Amount [Member] | |||||
Financial instrument assets: | |||||
Cash and cash equivalents | 574,310 | 241,965 | |||
Investment securities | 416,544 | 366,368 | |||
Loans held for sale | 43,947 | 8,400 | |||
Loans | |||||
Agricultural | 92,334 | 88,917 | |||
Commercial and financial | 281,357 | 216,335 | |||
Real estate: | |||||
Construction, 1 to 4 family residential | 70,210 | 79,096 | |||
Construction, land development and commercial | 110,501 | 106,924 | |||
Mortgage, farmland | 242,969 | 238,780 | |||
Mortgage, 1 to 4 family first liens | 882,156 | 902,630 | |||
Mortgage, 1 to 4 family junior liens | 126,336 | 147,634 | |||
Mortgage, multi-family | 369,552 | 346,938 | |||
Mortgage, commercial | 412,186 | 398,145 | |||
Loans to individuals | 30,573 | 31,455 | |||
Obligations of state and political subdivisions | 55,838 | 49,423 | |||
Accrued interest receivable | 12,177 | 12,442 | |||
Total financial instrument assets | 3,720,990 | 3,235,452 | |||
Deposits | |||||
Noninterest-bearing deposits | 532,190 | 387,612 | |||
Interest-bearing deposits | 2,660,378 | 2,273,752 | |||
Federal Home Loan Bank borrowings | 105,000 | 185,000 | |||
Interest rate swaps | 0 | 2,349 | |||
Accrued interest payable | 1,733 | 2,474 | |||
Total financial instrument liabilities | 3,299,301 | 2,851,187 | |||
Financial instrument with off-balance sheet risk: | |||||
Loan commitments | 483,602 | 424,165 | |||
Letters of credit | 8,056 | 8,569 | |||
Total financial instrument liabilities with off-balance-sheet risk | 491,658 | 432,734 | |||
Estimated Fair Value [Member] | |||||
Financial instrument assets: | |||||
Cash and cash equivalents | 574,310 | 241,965 | |||
Investment securities | 416,544 | 366,368 | |||
Loans held for sale | 43,947 | 8,400 | |||
Loans | |||||
Agricultural | 92,922 | 90,118 | |||
Commercial and financial | 282,015 | 217,640 | |||
Real estate: | |||||
Construction, 1 to 4 family residential | 70,432 | 79,954 | |||
Construction, land development and commercial | 110,039 | 107,276 | |||
Mortgage, farmland | 242,978 | 239,521 | |||
Mortgage, 1 to 4 family first liens | 890,409 | 896,676 | |||
Mortgage, 1 to 4 family junior liens | 124,945 | 143,261 | |||
Mortgage, multi-family | 370,538 | 349,663 | |||
Mortgage, commercial | 413,409 | 395,838 | |||
Loans to individuals | 31,164 | 32,722 | |||
Obligations of state and political subdivisions | 59,300 | 50,564 | |||
Accrued interest receivable | 12,177 | 12,442 | |||
Total financial instrument assets | 3,735,129 | 3,232,408 | |||
Deposits | |||||
Noninterest-bearing deposits | 532,190 | 387,612 | |||
Interest-bearing deposits | 2,673,815 | 2,292,332 | |||
Federal Home Loan Bank borrowings | 115,259 | 186,091 | |||
Interest rate swaps | 0 | 2,349 | |||
Accrued interest payable | 1,733 | 2,474 | |||
Total financial instrument liabilities | 3,322,997 | 2,870,858 | |||
Financial instrument with off-balance sheet risk: | |||||
Loan commitments | 0 | 0 | |||
Letters of credit | 0 | 0 | |||
Total financial instrument liabilities with off-balance-sheet risk | $ 0 | $ 0 | |||
[1] | Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). | ||||
[2] | Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). | ||||
[3] | Considered Level 2 under ASC 820. | ||||
[4] | Considered Level 2 under ASC 820. | ||||
[5] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. | ||||
[6] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | $ 408,372 | $ 355,303 | |
US Treasury Securities [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | 148,646 | 128,585 | |
State and political subdivisions [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | 224,566 | 211,489 | |
Readily Available Market Prices [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Interest rate swaps, derivative liability | [1] | 0 | 0 |
Observable Market Prices [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Interest rate swaps, derivative liability | [2] | 0 | (2,349) |
Company Determined Market Prices [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Interest rate swaps, derivative liability | [3] | 0 | 0 |
Recurring Basis [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Total | 408,372 | 352,954 | |
Recurring Basis [Member] | US Treasury Securities [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | 148,646 | 128,585 | |
Recurring Basis [Member] | State and political subdivisions [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | 224,566 | 211,489 | |
Recurring Basis [Member] | Other securities (FHLB, FHLMC and FNMA) [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | 35,160 | 15,229 | |
Recurring Basis [Member] | Derivative Financial Instruments, Assets [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Interest rate swaps, derivative asset | (2,349) | ||
Recurring Basis [Member] | Readily Available Market Prices [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Total | [4] | 148,646 | 128,585 |
Recurring Basis [Member] | Readily Available Market Prices [Member] | US Treasury Securities [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [4] | 148,646 | 128,585 |
Recurring Basis [Member] | Readily Available Market Prices [Member] | State and political subdivisions [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [4] | 0 | 0 |
Recurring Basis [Member] | Readily Available Market Prices [Member] | Other securities (FHLB, FHLMC and FNMA) [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [4] | 0 | 0 |
Recurring Basis [Member] | Readily Available Market Prices [Member] | Derivative Financial Instruments, Assets [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Interest rate swaps, derivative asset | [4] | 0 | |
Recurring Basis [Member] | Observable Market Prices [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Total | [5] | 259,726 | 224,369 |
Recurring Basis [Member] | Observable Market Prices [Member] | US Treasury Securities [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [5] | 0 | 0 |
Recurring Basis [Member] | Observable Market Prices [Member] | State and political subdivisions [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [5] | 224,566 | 211,489 |
Recurring Basis [Member] | Observable Market Prices [Member] | Other securities (FHLB, FHLMC and FNMA) [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [5] | 35,160 | 15,229 |
Recurring Basis [Member] | Observable Market Prices [Member] | Derivative Financial Instruments, Assets [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Interest rate swaps, derivative asset | [5] | (2,349) | |
Recurring Basis [Member] | Company Determined Market Prices [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Total | [6] | 0 | 0 |
Recurring Basis [Member] | Company Determined Market Prices [Member] | US Treasury Securities [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [6] | 0 | 0 |
Recurring Basis [Member] | Company Determined Market Prices [Member] | State and political subdivisions [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [6] | 0 | 0 |
Recurring Basis [Member] | Company Determined Market Prices [Member] | Other securities (FHLB, FHLMC and FNMA) [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Estimated Fair Value | [6] | $ 0 | 0 |
Recurring Basis [Member] | Company Determined Market Prices [Member] | Derivative Financial Instruments, Assets [Member] | |||
Summary of assets and liabilities measured at fair value on a recurring basis [Abstract] | |||
Interest rate swaps, derivative asset | [6] | $ 0 | |
[1] | Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). | ||
[2] | Considered Level 2 under ASC 820. | ||
[3] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. | ||
[4] | Considered Level 1 under ASC 820. | ||
[5] | Considered Level 2 under ASC 820. | ||
[6] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. |
Fair Value Measurements - Ass_2
Fair Value Measurements - Assets and Liabilities on a Nonrecurring Basis (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | |||
Readily Available Market Prices [Member] | ||||
Loans | ||||
Agricultural | $ 0 | [1] | $ 0 | [2] |
Commercial and financial | 0 | [1] | 0 | [2] |
Real Estate: | ||||
Construction, land development and commercial | 0 | [1] | 0 | [2] |
Mortgage, farmland | 0 | [1] | 0 | [2] |
Mortgage, 1 to 4 family first liens | 0 | [1] | 0 | [2] |
Mortgage, 1 to 4 family junior liens | 0 | [1] | 0 | [2] |
Mortgage, multi-family | 0 | [1] | 0 | [2] |
Mortgage, commercial | 0 | [1] | 0 | [2] |
Loans to individuals | 0 | [1] | 0 | [2] |
Total financial instrument assets | 722,956 | [1] | 370,550 | [2] |
Observable Market Prices [Member] | ||||
Loans | ||||
Agricultural | 0 | [3] | 0 | [4] |
Commercial and financial | 0 | [3] | 0 | [4] |
Real Estate: | ||||
Construction, land development and commercial | 0 | [3] | 0 | [4] |
Mortgage, farmland | 0 | [3] | 0 | [4] |
Mortgage, 1 to 4 family first liens | 0 | [3] | 0 | [4] |
Mortgage, 1 to 4 family junior liens | 0 | [3] | 0 | [4] |
Mortgage, multi-family | 0 | [3] | 0 | [4] |
Mortgage, commercial | 0 | [3] | 0 | [4] |
Loans to individuals | 0 | [3] | 0 | [4] |
Total financial instrument assets | 324,022 | [3] | 258,625 | [4] |
Company Determined Market Prices [Member] | ||||
Loans | ||||
Agricultural | 92,922 | [5] | 90,118 | [6] |
Commercial and financial | 282,015 | [5] | 217,640 | [6] |
Real Estate: | ||||
Construction, land development and commercial | 110,039 | [5] | 107,276 | [6] |
Mortgage, farmland | 242,978 | [5] | 239,521 | [6] |
Mortgage, 1 to 4 family first liens | 890,409 | [5] | 896,676 | [6] |
Mortgage, 1 to 4 family junior liens | 124,945 | [5] | 143,261 | [6] |
Mortgage, multi-family | 370,538 | [5] | 349,663 | [6] |
Mortgage, commercial | 413,409 | [5] | 395,838 | [6] |
Loans to individuals | 31,164 | [5] | 32,722 | [6] |
Total financial instrument assets | 2,688,151 | [5] | 2,603,233 | [6] |
Nonrecurring Basis [Member] | ||||
Loans | ||||
Agricultural | 1,081 | [7] | 1,272 | [8] |
Commercial and financial | 1,692 | [7] | 1,803 | [8] |
Real Estate: | ||||
Construction, 1 to 4 family residential | 414 | [7] | 0 | [8] |
Construction, land development and commercial | 315 | [7] | 215 | [8] |
Mortgage, farmland | 1,718 | [7] | 3,576 | [8] |
Mortgage, 1 to 4 family first liens | 5,906 | [7] | 7,986 | [8] |
Mortgage, 1 to 4 family junior liens | 176 | [7] | 49 | [8] |
Mortgage, multi-family | 1,773 | [7] | 1,816 | [8] |
Mortgage, commercial | 5,082 | [7] | 1,237 | [8] |
Loans to individuals | 0 | [7] | 0 | [8] |
Foreclosed assets | 0 | [9] | 0 | [10] |
Total financial instrument assets | 18,157 | [7] | 17,954 | [8] |
Total Losses | 906 | [7] | 1,038 | [8] |
Nonrecurring Basis [Member] | Readily Available Market Prices [Member] | ||||
Loans | ||||
Agricultural | 0 | [7],[11] | 0 | [8],[12] |
Commercial and financial | 0 | [7],[11] | 0 | [8],[12] |
Real Estate: | ||||
Construction, 1 to 4 family residential | 0 | [7],[11] | 0 | [8],[12] |
Construction, land development and commercial | 0 | [7],[11] | 0 | [8],[12] |
Mortgage, farmland | 0 | [7],[11] | 0 | [8],[12] |
Mortgage, 1 to 4 family first liens | 0 | [7],[11] | 0 | [8],[12] |
Mortgage, 1 to 4 family junior liens | 0 | [7],[11] | 0 | [8],[12] |
Mortgage, multi-family | 0 | [7],[11] | 0 | [8],[12] |
Mortgage, commercial | 0 | [7],[11] | 0 | [8],[12] |
Loans to individuals | 0 | [7],[11] | 0 | [8],[12] |
Foreclosed assets | 0 | [9],[11] | 0 | [10],[12] |
Total financial instrument assets | 0 | [11] | 0 | [12] |
Nonrecurring Basis [Member] | Observable Market Prices [Member] | ||||
Loans | ||||
Agricultural | 0 | [7],[13] | 0 | [8],[14] |
Commercial and financial | 0 | [7],[13] | 0 | [8],[14] |
Real Estate: | ||||
Construction, 1 to 4 family residential | 0 | [7],[13] | 0 | [8],[14] |
Construction, land development and commercial | 0 | [7],[13] | 0 | [8],[14] |
Mortgage, farmland | 0 | [7],[13] | 0 | [8],[14] |
Mortgage, 1 to 4 family first liens | 0 | [7],[13] | 0 | [8],[14] |
Mortgage, 1 to 4 family junior liens | 0 | [7],[13] | 0 | [8],[14] |
Mortgage, multi-family | 0 | [7],[13] | 0 | [8],[14] |
Mortgage, commercial | 0 | [7],[13] | 0 | [8],[14] |
Loans to individuals | 0 | [7],[13] | 0 | [8],[14] |
Foreclosed assets | 0 | [9],[13] | 0 | [10],[14] |
Total financial instrument assets | 0 | [13] | 0 | [14] |
Nonrecurring Basis [Member] | Company Determined Market Prices [Member] | ||||
Loans | ||||
Agricultural | 1,081 | [7],[15] | 1,272 | [8],[16] |
Commercial and financial | 1,692 | [7],[15] | 1,803 | [8],[16] |
Real Estate: | ||||
Construction, 1 to 4 family residential | 414 | [7],[15] | 0 | [8],[16] |
Construction, land development and commercial | 315 | [7],[15] | 215 | [8],[16] |
Mortgage, farmland | 1,718 | [7],[15] | 3,576 | [8],[16] |
Mortgage, 1 to 4 family first liens | 5,906 | [7],[15] | 7,986 | [8],[16] |
Mortgage, 1 to 4 family junior liens | 176 | [7],[15] | 49 | [8],[16] |
Mortgage, multi-family | 1,773 | [7],[15] | 1,816 | [8],[16] |
Mortgage, commercial | 5,082 | [7],[15] | 1,237 | [8],[16] |
Loans to individuals | 0 | [7],[15] | 0 | [8],[16] |
Foreclosed assets | 0 | [9],[15] | 0 | [10],[16] |
Total financial instrument assets | 18,157 | [15] | 17,954 | [16] |
Agricultural [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 0 | [7] | 36 | [8] |
Commercial and financial [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 385 | [7] | 499 | [8] |
Construction, 1 to 4 family residential [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 0 | [7] | 0 | [8] |
Construction, land development and commercial [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 0 | [7] | 8 | [8] |
Mortgage, farmland [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 0 | [7] | 0 | [8] |
Mortgage, 1 to 4 family first liens [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 252 | [7] | 370 | [8] |
Mortgage, 1 to 4 family junior liens [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 19 | [7] | 0 | [8] |
Mortgage, multi-family [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 0 | [7] | 0 | [8] |
Real Estate: Mortgage, commercial [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 250 | [7] | 125 | [8] |
Loans to individuals [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | 0 | [7] | 0 | [8] |
Foreclosed assets [Member] | Nonrecurring Basis [Member] | ||||
Real Estate: | ||||
Total Losses | $ 0 | [9] | $ 0 | [10] |
[1] | Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). | |||
[2] | Considered Level 1 under Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures (“ASC 820”). | |||
[3] | Considered Level 2 under ASC 820. | |||
[4] | Considered Level 2 under ASC 820. | |||
[5] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. | |||
[6] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market | |||
[7] | Represents carrying value and related write-downs of loans for which adjustments are based on the value of the collateral. The carrying value of loans fully charged off is zero. | |||
[8] | Represents carrying value and related write-downs of loans for which adjustments are based on the value of the collateral. The carrying value of loans fully charged off is zero. | |||
[9] | Represents the fair value and related losses of foreclosed real estate and other collateral owned that were measured at fair value subsequent to their initial classification as foreclosed assets. | |||
[10] | Represents the fair value and related losses of foreclosed real estate and other collateral owned that were measured at fair value subsequent to their initial classification as foreclosed assets. | |||
[11] | Considered Level 1 under ASC 820. | |||
[12] | Considered Level 1 under ASC 820. | |||
[13] | Considered Level 2 under ASC 820. | |||
[14] | Considered Level 2 under ASC 820. | |||
[15] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. | |||
[16] | Considered Level 3 under ASC 820 and are based on valuation models that use significant assumptions that are not observable in an active market. |
Parent Company Only Financial_3
Parent Company Only Financial Information - Condensed Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
ASSETS | ||||
Cash and cash equivalents at subsidiary bank | $ 574,310 | $ 241,965 | ||
Investment in subsidiary bank | 408,372 | 355,303 | ||
Other assets | 7,882 | 9,491 | ||
Total Assets | 3,780,611 | 3,300,887 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Liabilities | 3,317,206 | 2,873,850 | ||
Stockholders' equity: | ||||
Capital stock | 0 | 0 | ||
Retained earnings | 439,831 | 409,509 | ||
Accumulated other comprehensive gain | 8,782 | 1,415 | ||
Treasury stock at cost | (45,441) | (39,830) | ||
Total Stockholders' Equity | 463,405 | 427,037 | ||
Total Stockholders' Equity Less Maximum Cash Obligations Related To ESOP Shares | 416,076 | 375,211 | $ 334,882 | $ 311,716 |
Total Liabilities & Stockholders' Equity | 3,780,611 | 3,300,887 | ||
Parent Company [Member] | ||||
ASSETS | ||||
Cash and cash equivalents at subsidiary bank | 1,100 | 5,114 | ||
Investment in subsidiary bank | 464,355 | 428,042 | ||
Other assets | 1,846 | 1,331 | ||
Total Assets | 467,301 | 434,487 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Liabilities | 3,896 | 7,450 | ||
Redeemable common stock held by ESOP | 47,329 | 51,826 | ||
Stockholders' equity: | ||||
Capital stock | 60,233 | 55,943 | ||
Retained earnings | 439,831 | 409,509 | ||
Accumulated other comprehensive gain | 8,782 | 1,415 | ||
Treasury stock at cost | (45,441) | (39,830) | ||
Total Stockholders' Equity | 463,405 | 427,037 | ||
Less maximum cash obligation related to ESOP shares | 47,329 | 51,826 | ||
Total Stockholders' Equity Less Maximum Cash Obligations Related To ESOP Shares | 416,076 | 375,211 | ||
Total Liabilities & Stockholders' Equity | $ 467,301 | $ 434,487 |
Parent Company Only Financial_4
Parent Company Only Financial Information - Condensed Statements of Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Income before income taxes | $ 10,969 | $ 14,822 | $ 15,252 | $ 8,881 | $ 14,643 | $ 14,585 | $ 14,419 | $ 14,220 | $ 49,924 | $ 57,867 | $ 45,672 |
Income tax benefit | (2,538) | (3,392) | (3,541) | (1,806) | (3,030) | (3,303) | (3,199) | (3,017) | (11,277) | (12,549) | (8,905) |
Net income | $ 8,431 | $ 11,430 | $ 11,711 | $ 7,075 | $ 11,613 | $ 11,282 | $ 11,220 | $ 11,203 | 38,647 | 45,318 | 36,767 |
Parent Company [Member] | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Dividends received from subsidiary | 14,822 | 7,657 | 11,502 | ||||||||
Other expenses | (362) | (708) | (786) | ||||||||
Income before income taxes | 14,460 | 6,949 | 10,716 | ||||||||
Income tax benefit | 173 | 271 | 273 | ||||||||
Total income after tax benefit | 14,633 | 7,220 | 10,989 | ||||||||
Equity in undistributed income of subsidiary | 24,014 | 38,098 | 25,778 | ||||||||
Net income | $ 38,647 | $ 45,318 | $ 36,767 |
Parent Company Only Financial_5
Parent Company Only Financial Information - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | |||||||||||
Net income | $ 8,431 | $ 11,430 | $ 11,711 | $ 7,075 | $ 11,613 | $ 11,282 | $ 11,220 | $ 11,203 | $ 38,647 | $ 45,318 | $ 36,767 |
Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: | |||||||||||
Share-based compensation | 25 | 14 | 0 | ||||||||
Compensation expensed through issuance of common stock | 1,272 | 1,133 | 1,466 | ||||||||
Forfeiture of common stock | (257) | (262) | (152) | ||||||||
Decrease (increase) in other assets | 1,316 | (2,681) | (1,086) | ||||||||
Net cash and cash equivalents provided by operating activities | 8,146 | 39,320 | 47,738 | ||||||||
Cash Flows from Financing Activities | |||||||||||
Issuance of common stock, net of costs | 5,844 | 5,026 | 4,713 | ||||||||
Stock options exercised | 0 | 62 | 41 | ||||||||
Purchase of treasury stock | (8,550) | (5,534) | (6,784) | ||||||||
Proceeds from the issuance of common stock through the employee stock purchase plan | 413 | 434 | 421 | ||||||||
Dividends paid | (8,325) | (7,657) | (7,003) | ||||||||
Net cash and cash equivalents used by financing activities | 440,586 | 202,571 | 43,947 | ||||||||
Increase (decrease) in cash and cash equivalents | 332,345 | 198,660 | (111,048) | ||||||||
Cash and cash equivalents: | |||||||||||
Beginning of year | 241,965 | 43,305 | 241,965 | 43,305 | 154,353 | ||||||
End of year | 574,310 | 241,965 | 574,310 | 241,965 | 43,305 | ||||||
Parent Company [Member] | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income | 38,647 | 45,318 | 36,767 | ||||||||
Adjustments to reconcile net income to cash and cash equivalents provided by operating activities: | |||||||||||
Equity in undistributed income of subsidiary | (24,014) | (38,098) | (25,778) | ||||||||
Share-based compensation | 25 | 14 | 0 | ||||||||
Compensation expensed through issuance of common stock | 1,272 | 1,133 | 1,466 | ||||||||
Forfeiture of common stock | (257) | (262) | (152) | ||||||||
Decrease (increase) in other assets | (515) | (100) | 162 | ||||||||
(Decrease) increase in other liabilities | (3,554) | 1,036 | 574 | ||||||||
Net cash and cash equivalents provided by operating activities | 11,604 | 9,041 | 13,039 | ||||||||
Cash Flows from Financing Activities | |||||||||||
Issuance of common stock, net of costs | 5,844 | 5,026 | 4,713 | ||||||||
Stock options exercised | 0 | 62 | 41 | ||||||||
Purchase of treasury stock | (8,550) | (5,534) | (6,784) | ||||||||
Proceeds from the issuance of common stock through the employee stock purchase plan | 413 | 434 | 421 | ||||||||
Capital contribution to subsidiary | (5,000) | 0 | (4,700) | ||||||||
Dividends paid | (8,325) | (7,657) | (7,003) | ||||||||
Net cash and cash equivalents used by financing activities | (15,618) | (7,669) | (13,312) | ||||||||
Increase (decrease) in cash and cash equivalents | (4,014) | 1,372 | (273) | ||||||||
Cash and cash equivalents: | |||||||||||
Beginning of year | $ 5,114 | $ 3,742 | 5,114 | 3,742 | 4,015 | ||||||
End of year | $ 1,100 | $ 5,114 | $ 1,100 | $ 5,114 | $ 3,742 |
Commitments and Contingencies_2
Commitments and Contingencies (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Investment in securities issued by state and political subdivisions within the state of Iowa | $ 91,330,000 | ||
Liabilities for potential obligations from standby letters of credit issued | 0 | $ 0 | |
Rent expense | $ 380,000 | $ 400,000 | $ 360,000 |
Commitments and Contingencies -
Commitments and Contingencies - Summary of Bank's Commitments (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Home equity loans [Member] | ||
Firm loan commitments and unused portion of lines of credit: | ||
Total financial instrument liabilities with off-balance-sheet risk | $ 69,974 | $ 65,203 |
Credit cards [Member] | ||
Firm loan commitments and unused portion of lines of credit: | ||
Total financial instrument liabilities with off-balance-sheet risk | 60,535 | 57,421 |
Commercial, real estate and home construction [Member] | ||
Firm loan commitments and unused portion of lines of credit: | ||
Total financial instrument liabilities with off-balance-sheet risk | 118,186 | 94,490 |
Commercial lines and real estate purchase loans [Member] | ||
Firm loan commitments and unused portion of lines of credit: | ||
Total financial instrument liabilities with off-balance-sheet risk | 234,907 | 207,051 |
Outstanding letters of credit [Member] | ||
Firm loan commitments and unused portion of lines of credit: | ||
Total financial instrument liabilities with off-balance-sheet risk | $ 8,056 | $ 8,569 |
Commitments and Contingencies_3
Commitments and Contingencies - Minimum Future Rental Commitments (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2021 | $ 375 |
2022 | 319 |
2023 | 316 |
2024 | 82 |
2025 | 1 |
Thereafter | 4 |
Total | $ 1,097 |
Quarterly Results of Operatio_3
Quarterly Results of Operations (unaudited, amounts in thousands, except per share amounts) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest income | $ 32,156 | $ 31,675 | $ 32,246 | $ 32,452 | $ 33,280 | $ 33,969 | $ 33,236 | $ 31,847 | $ 128,529 | $ 132,332 | $ 118,797 |
Interest expense | 5,980 | 6,465 | 6,645 | 7,862 | 8,677 | 9,274 | 8,848 | 8,074 | 26,952 | 34,873 | 26,323 |
Net interest income | 26,176 | 25,210 | 25,601 | 24,590 | 24,603 | 24,695 | 24,388 | 23,773 | 101,577 | 97,459 | 92,474 |
Provision for loan losses | (142) | (157) | 8 | 4,649 | (1,238) | 144 | (540) | (1,246) | 4,358 | (2,880) | 8,497 |
Other income | 8,128 | 7,510 | 6,531 | 6,167 | 7,053 | 6,638 | 5,851 | 5,250 | 28,336 | 24,792 | 23,818 |
Other expense | 23,477 | 18,055 | 16,872 | 17,227 | 18,251 | 16,604 | 16,360 | 16,049 | 75,631 | 67,264 | 62,123 |
Income before income taxes | 10,969 | 14,822 | 15,252 | 8,881 | 14,643 | 14,585 | 14,419 | 14,220 | 49,924 | 57,867 | 45,672 |
Income taxes | 2,538 | 3,392 | 3,541 | 1,806 | 3,030 | 3,303 | 3,199 | 3,017 | 11,277 | 12,549 | 8,905 |
Net income | $ 8,431 | $ 11,430 | $ 11,711 | $ 7,075 | $ 11,613 | $ 11,282 | $ 11,220 | $ 11,203 | $ 38,647 | $ 45,318 | $ 36,767 |
Basic earnings per share (in dollars per share) | $ 0.90 | $ 1.22 | $ 1.25 | $ 0.75 | $ 1.24 | $ 1.21 | $ 1.20 | $ 1.20 | $ 4.12 | $ 4.85 | $ 3.93 |
Diluted earnings per share (in dollars per share) | $ 0.90 | $ 1.22 | $ 1.25 | $ 0.75 | $ 1.24 | $ 1.21 | $ 1.20 | $ 1.20 | $ 4.12 | $ 4.85 | $ 3.92 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Narrative) (Details) | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2020USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Nov. 07, 2013USD ($)derivative | |
Derivatives, Fair Value [Line Items] | ||||
Collateral required by the bank | $ 0 | $ 0 | ||
Interest Rate Swap 1 [Member] | Other Liabilities [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Notional amount | $ 25,000,000 | |||
Interest Rate Swap 2 [Member] | Other Liabilities [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Notional amount | $ 25,000,000 | |||
Designated as Hedging Instrument [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Number of interest rate swaps held | derivative | 2 | |||
Description of terms | three-month LIBOR | |||
Designated as Hedging Instrument [Member] | Interest Rate Swap 1 [Member] | Other Assets [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Maturity date | Nov. 9, 2020 | |||
Designated as Hedging Instrument [Member] | Interest Rate Swap 1 [Member] | Other Liabilities [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Notional amount | 0 | $ 0 | $ 25,000,000 | |
Designated as Hedging Instrument [Member] | Interest Rate Swap 2 [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Termination fee paid | 2,684,000 | |||
Designated as Hedging Instrument [Member] | Interest Rate Swap 2 [Member] | Other Assets [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Maturity date | Nov. 7, 2023 | |||
Designated as Hedging Instrument [Member] | Interest Rate Swap 2 [Member] | Other Liabilities [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Notional amount | $ 0 | $ 0 | $ 25,000,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Balance Sheet Category and Fair Value for Cash Flow Hedges (Details) - Other Liabilities [Member] - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 | Nov. 07, 2013 |
Interest Rate Swap 1 [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional Amount | $ 25,000,000 | ||
Interest Rate Swap 2 [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional Amount | $ 25,000,000 | ||
Designated as Hedging Instrument [Member] | Interest Rate Swap 1 [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional Amount | $ 0 | $ 25,000,000 | |
Fair Value | 0 | (279,000) | |
Designated as Hedging Instrument [Member] | Interest Rate Swap 2 [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional Amount | 0 | 25,000,000 | |
Fair Value | $ 0 | $ (2,070,000) |
Derivative Financial Instrume_5
Derivative Financial Instruments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Gain (Loss) Recognized in Other Comprehensive Income, Net [Abstract] | |||
Net change in unrealized (loss) gain on derivatives | $ (335) | $ (753) | $ 1,223 |
Designated as Hedging Instrument [Member] | Interest Rate Swap 1 [Member] | Interest Expense [Member] | |||
Gain (Loss) Recognized in Other Comprehensive Income, Net [Abstract] | |||
Net change in unrealized (loss) gain on derivatives | 209 | (119) | |
Amount of Gain (Loss), Reclassified from AOCI into Income, Effective Portion | 0 | 0 | |
Designated as Hedging Instrument [Member] | Interest Rate Swap 1 [Member] | Other Income [Member] | |||
Gain (Loss) Recognized in Other Comprehensive Income, Net [Abstract] | |||
Amount of Gain (Loss), Recognized in Income on Derivatives, Ineffective Portion | 0 | 0 | |
Designated as Hedging Instrument [Member] | Interest Rate Swap 2 [Member] | Interest Expense [Member] | |||
Gain (Loss) Recognized in Other Comprehensive Income, Net [Abstract] | |||
Net change in unrealized (loss) gain on derivatives | (438) | (446) | |
Amount of Gain (Loss), Reclassified from AOCI into Income, Effective Portion | (1,992) | 0 | |
Designated as Hedging Instrument [Member] | Interest Rate Swap 2 [Member] | Other Income [Member] | |||
Gain (Loss) Recognized in Other Comprehensive Income, Net [Abstract] | |||
Amount of Gain (Loss), Recognized in Income on Derivatives, Ineffective Portion | $ 0 | $ 0 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ in Thousands | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Subsequent Event [Line Items] | |||||
Estimated increase to allowance for credit losses for loans | $ 37,070 | $ 33,760 | $ 37,810 | $ 29,400 | |
Minimum [Member] | |||||
Subsequent Event [Line Items] | |||||
Estimated increase to allowance for credit losses for loans | 39,000 | ||||
Estimated unfunded commitments liability | 2,000 | ||||
Maximum [Member] | |||||
Subsequent Event [Line Items] | |||||
Estimated increase to allowance for credit losses for loans | 42,000 | ||||
Estimated unfunded commitments liability | $ 4,000 | ||||
Subsequent Event [Member] | Minimum [Member] | Scenario, Forecast [Member] | Cumulative Effect, Period Of Adoption, Adjustment | |||||
Subsequent Event [Line Items] | |||||
Estimated increase to allowance for credit losses for loans | $ 2,000 | ||||
Estimated unfunded commitments liability | 3,000 | ||||
Subsequent Event [Member] | Maximum [Member] | Scenario, Forecast [Member] | Cumulative Effect, Period Of Adoption, Adjustment | |||||
Subsequent Event [Line Items] | |||||
Estimated increase to allowance for credit losses for loans | 4,000 | ||||
Estimated unfunded commitments liability | $ 4,000 |