Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 31, 2020 | |
Document and Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2020 | |
Entity File Number | 001-13349 | |
Entity Registrant Name | BAR HARBOR BANKSHARES | |
Entity Incorporation, State or Country Code | ME | |
Entity Tax Identification Number | 01-0393663 | |
Entity Address, Address Line One | 82 Main Street | |
Entity Address, City or Town | Bar Harbor | |
Entity Address, State or Province | ME | |
Entity Address, Postal Zip Code | 04609-0400 | |
City Area Code | 207 | |
Local Phone Number | 288-3314 | |
Title of 12(b) Security | Common Stock, par value $2.00 per share | |
Trading Symbol | BHB | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 15,084,031 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0000743367 | |
Amendment Flag | false | |
Entity Address, Country | US |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Assets | ||
Cash and due from banks | $ 52,776 | $ 37,261 |
Interest-bearing deposit with the Federal Reserve Bank | 17,897 | 19,649 |
Total cash and cash equivalents | 70,673 | 56,910 |
Securities: | ||
Securities available for sale, at fair value | 641,574 | 663,230 |
Federal Home Loan Bank stock | 20,265 | 20,679 |
Total securities | 661,839 | 683,909 |
Loans: | ||
Loans | 2,729,417 | 2,641,092 |
Less: Allowance for loan losses | (16,509) | (15,353) |
Net loans | 2,712,908 | 2,625,739 |
Premises and equipment, net | 50,464 | 51,205 |
Other real estate owned | 2,318 | 2,236 |
Goodwill | 119,477 | 118,649 |
Other intangible assets | 8,155 | 8,641 |
Cash surrender value of bank-owned life insurance | 76,896 | 75,863 |
Deferred tax assets, net | 2,451 | 3,865 |
Other assets | 75,084 | 42,111 |
Total assets | 3,780,265 | 3,669,128 |
Deposits: | ||
Demand | 504,325 | 414,534 |
NOW | 642,908 | 575,809 |
Savings | 466,668 | 388,683 |
Money market | 402,835 | 384,090 |
Time | 678,126 | 932,635 |
Total deposits | 2,694,862 | 2,695,751 |
Borrowings: | ||
Senior | 546,863 | 471,396 |
Subordinated | 59,879 | 59,920 |
Total borrowings | 606,742 | 531,316 |
Other liabilities | 74,487 | 45,654 |
Total liabilities | 3,376,091 | 3,272,721 |
Shareholders' equity | ||
Capital stock, par value $2.00; authorized 20,000,000 shares; issued 16,428,388 shares at June 30, 2020 and December 31, 2019 | 32,857 | 32,857 |
Additional paid-in capital | 189,526 | 188,536 |
Retained earnings | 185,163 | 175,780 |
Accumulated other comprehensive income (loss) | 8,521 | 3,911 |
Less: 1,214,440 and 870,257 shares of treasury stock at June 30, 2020 and December 31, 2019, respectively | (11,893) | (4,677) |
Total shareholders' equity | 404,174 | 396,407 |
Total liabilities and shareholders' equity | 3,780,265 | 3,669,128 |
Commercial real estate | ||
Loans: | ||
Loans | 982,070 | 930,661 |
Total commercial and industrial | ||
Loans: | ||
Loans | 539,442 | 423,291 |
Residential real estate | ||
Loans: | ||
Loans | 1,083,708 | 1,151,857 |
Consumer | ||
Loans: | ||
Loans | $ 124,197 | $ 135,283 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Capital stock, par value (in dollars per share) | $ 2 | $ 2 |
Capital stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Capital stock, shares issued (in shares) | 16,428,388 | 16,428,388 |
Treasury stock (in shares) | 1,214,440 | 870,257 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Interest and dividend income | ||||
Loans | $ 26,493 | $ 27,660 | $ 54,480 | $ 54,524 |
Securities and other | 4,942 | 6,125 | 10,449 | 12,488 |
Total interest and dividend income | 31,435 | 33,785 | 64,929 | 67,012 |
Interest expense | ||||
Deposits | 4,548 | 6,886 | 10,568 | 13,193 |
Borrowings | 2,297 | 5,403 | 5,208 | 10,558 |
Total interest expense | 6,845 | 12,289 | 15,776 | 23,751 |
Net interest income | 24,590 | 21,496 | 49,153 | 43,261 |
Provision for loan losses | 1,354 | 562 | 2,465 | 886 |
Net interest income after provision for loan losses | 23,236 | 20,934 | 46,688 | 42,375 |
Non-interest income | ||||
Trust and investment management fee income | 3,159 | 3,066 | 6,528 | 5,823 |
Customer service fees | 2,439 | 2,618 | 5,551 | 4,783 |
Gain on sales of securities, net | 1,351 | 1,486 | 0 | |
Mortgage banking income | 1,124 | 420 | 1,581 | 642 |
Bank-owned life insurance income | 496 | 519 | 1,033 | 1,061 |
Customer derivative income | 513 | 696 | 1,101 | 725 |
Other income | 628 | 134 | 851 | 586 |
Total non-interest income | 9,710 | 7,453 | 18,131 | 13,620 |
Non-interest expense | ||||
Salaries and employee benefits | 11,909 | 11,685 | 23,793 | 22,204 |
Occupancy and equipment | 3,860 | 3,300 | 8,280 | 6,686 |
(Gain) loss on premises and equipment, net | (2) | 21 | 90 | 21 |
Outside services | 442 | 443 | 976 | 854 |
Professional services | 337 | 570 | 1,009 | 1,114 |
Communication | 194 | 283 | 483 | 518 |
Marketing | 282 | 511 | 670 | 806 |
Amortization of intangible assets | 256 | 207 | 512 | 414 |
Loss on debt extinguishment | 1,351 | 1,351 | 0 | |
Acquisition, restructuring and other expenses | 158 | 280 | 261 | 280 |
Other expenses | 3,479 | 3,606 | 7,200 | 6,633 |
Total non-interest expense | 22,266 | 20,906 | 44,625 | 39,530 |
Income before income taxes | 10,680 | 7,481 | 20,194 | 16,465 |
Income tax expense | 2,199 | 1,364 | 3,992 | 3,067 |
Net income | $ 8,481 | $ 6,117 | $ 16,202 | $ 13,398 |
Earnings per share: | ||||
Basic (in dollars per share) | $ 0.55 | $ 0.39 | $ 1.05 | $ 0.86 |
Diluted (in dollars per share) | $ 0.55 | $ 0.39 | $ 1.04 | $ 0.86 |
Weighted average common shares outstanding: | ||||
Basic (in shares) | 15,423,997 | 15,538,282 | 15,500,033 | 15,530,893 |
Diluted (in shares) | 15,441,278 | 15,585,581 | 15,522,993 | 15,582,233 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 8,481 | $ 6,117 | $ 16,202 | $ 13,398 |
Other comprehensive income, before tax: | ||||
Changes in unrealized gain on securities available-for-sale | 2,421 | 9,646 | 7,662 | 18,546 |
Changes in unrealized loss on cash flow hedging derivatives | 626 | (1,157) | (1,639) | (2,002) |
Changes in unrealized loss on pension | 0 | 0 | 0 | 0 |
Income taxes related to other comprehensive income: | ||||
Changes in unrealized gain on securities available-for-sale | (569) | (2,255) | (1,709) | (4,334) |
Changes in unrealized loss on cash flow hedging derivatives | (147) | 271 | 296 | 469 |
Changes in unrealized loss on pension | 0 | 0 | 0 | 0 |
Total other comprehensive income | 2,331 | 6,505 | 4,610 | 12,679 |
Total comprehensive income | $ 10,812 | $ 12,622 | $ 20,812 | $ 26,077 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common stock amount | Additional paid-in capital | Retained earnings | Accumulated other comprehensive income (loss) | Treasury stock | Total |
Balance at beginning of period at Dec. 31, 2018 | $ 32,857 | $ 187,653 | $ 166,526 | $ (11,802) | $ (4,655) | $ 370,579 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 0 | 0 | 7,281 | 0 | 0 | 7,281 |
Other comprehensive income | 0 | 0 | 0 | 6,174 | 0 | 6,174 |
Cash dividends declared | 0 | 0 | (3,105) | 0 | 0 | (3,105) |
Net issuance to employee stock plans, including related tax effects | 0 | (173) | 0 | 0 | 4 | (169) |
Recognition of stock based compensation | 0 | 263 | 0 | 0 | 0 | 263 |
Balance at end of period at Mar. 31, 2019 | 32,857 | 187,743 | 170,702 | (5,628) | (4,651) | 381,023 |
Balance at beginning of period at Dec. 31, 2018 | 32,857 | 187,653 | 166,526 | (11,802) | (4,655) | 370,579 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 13,398 | |||||
Other comprehensive income | 12,679 | |||||
Balance at end of period at Jun. 30, 2019 | 32,857 | 188,144 | 173,400 | 877 | (4,716) | 390,562 |
Balance at beginning of period at Mar. 31, 2019 | 32,857 | 187,743 | 170,702 | (5,628) | (4,651) | 381,023 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 0 | 0 | 6,117 | 0 | 0 | 6,117 |
Other comprehensive income | 0 | 0 | 0 | 6,505 | 0 | 6,505 |
Cash dividends declared | 0 | 0 | (3,419) | 0 | 0 | (3,419) |
Treasury stock purchased | 0 | 0 | 0 | 0 | (210) | (210) |
Net issuance to employee stock plans, including related tax effects | 0 | 104 | 0 | 0 | 145 | 249 |
Recognition of stock based compensation | 0 | 297 | 0 | 0 | 0 | 297 |
Balance at end of period at Jun. 30, 2019 | 32,857 | 188,144 | 173,400 | 877 | (4,716) | 390,562 |
Balance at beginning of period at Dec. 31, 2019 | 32,857 | 188,536 | 175,780 | 3,911 | (4,677) | 396,407 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 0 | 0 | 7,721 | 0 | 0 | 7,721 |
Other comprehensive income | 0 | 0 | 0 | 2,279 | 0 | 2,279 |
Cash dividends declared | 0 | 0 | (3,429) | 0 | 0 | (3,429) |
Treasury stock purchased | 0 | 0 | 0 | 0 | (130) | (130) |
Net issuance to employee stock plans, including related tax effects | 0 | 660 | 0 | 0 | 129 | 789 |
Recognition of stock based compensation | 0 | 118 | 0 | 0 | 0 | 118 |
Balance at end of period at Mar. 31, 2020 | 32,857 | 189,314 | 180,072 | 6,190 | (4,678) | 403,755 |
Balance at beginning of period at Dec. 31, 2019 | 32,857 | 188,536 | 175,780 | 3,911 | (4,677) | 396,407 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 16,202 | |||||
Other comprehensive income | 4,610 | |||||
Balance at end of period at Jun. 30, 2020 | 32,857 | 189,526 | 185,163 | 8,521 | (11,893) | 404,174 |
Balance at beginning of period at Mar. 31, 2020 | 32,857 | 189,314 | 180,072 | 6,190 | (4,678) | 403,755 |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 0 | 0 | 8,481 | 0 | 0 | 8,481 |
Other comprehensive income | 0 | 0 | 0 | 2,331 | 0 | 2,331 |
Cash dividends declared | 0 | 0 | (3,390) | 0 | 0 | (3,390) |
Common stock purchased | 0 | 0 | 0 | 0 | (7,337) | (7,337) |
Net issuance to employee stock plans, including related tax effects | 0 | (254) | 0 | 0 | 122 | (132) |
Recognition of stock based compensation | 0 | 466 | 0 | 0 | 0 | 466 |
Balance at end of period at Jun. 30, 2020 | $ 32,857 | $ 189,526 | $ 185,163 | $ 8,521 | $ (11,893) | $ 404,174 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares shares in Thousands | 3 Months Ended | |||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||||
Cash dividends declared (in dollars per share) | $ 0.22 | $ 0.22 | $ 0.22 | $ 0.20 |
Common stock purchased (in shares) | 399,622 | |||
Treasury stock purchased (in shares) | 6,069 | 8,010 | ||
Net issuance (in shares) | 30,987 | 27,786 | 20,678 | 441 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 16,202 | $ 13,398 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Provision for loan losses | 2,465 | 886 |
Net amortization of securities | 1,603 | 1,735 |
Change in unamortized net loan costs and premiums | 3,449 | (190) |
Premises and equipment depreciation | 2,380 | 1,905 |
Stock-based compensation expense | 584 | 560 |
Accretion of purchase accounting entries, net | (1,742) | (1,017) |
Amortization of other intangibles | 512 | 414 |
Income from cash surrender value of bank-owned life insurance policies | (1,033) | (1,061) |
Gain on sales of securities, net | (1,486) | |
Loss on other real estate owned | 82 | |
Loss on premises and equipment, net | 90 | 21 |
Net change in other assets and liabilities | (5,787) | (3,052) |
Net cash provided by operating activities | 17,319 | 13,599 |
Cash flows from investing activities: | ||
Proceeds from sales of securities available for sale | 87,521 | |
Proceeds from maturities, calls and prepayments of securities available for sale | 63,096 | 50,546 |
Purchases of securities available for sale | (120,405) | (56,831) |
Net change in loans | (91,857) | (86,745) |
Purchase of FHLB stock | (4,044) | (9,720) |
Proceeds from sale of FHLB stock | 4,458 | 10,159 |
Purchase of premises and equipment, net | (2,221) | (3,352) |
Acquisitions, net of cash acquired | (340) | |
Increase in right of use asset from new operating lease | (578) | |
Net cash used in investing activities | (64,370) | (95,943) |
Cash flows from financing activities: | ||
Net decrease in deposits | (420) | (1,448) |
Net change in short-term senior borrowings | (119,774) | (62,510) |
Proceeds from long-term senior borrowings | 273,436 | 114,062 |
Repayments of long-term senior borrowings | (67,188) | |
Net change in short-term other borrowings | (10,986) | |
Increase in lease liability from new operating lease | (625) | |
Exercise of stock options | 657 | 80 |
Purchase of treasury and common stock | (7,467) | (210) |
Cash dividends paid on common stock | (6,819) | (6,524) |
Net cash provided by financing activities | 60,814 | 43,450 |
Net change in cash and cash equivalents | 13,763 | (38,894) |
Cash and cash equivalents at beginning of year | 56,910 | 98,754 |
Cash and cash equivalents at end of period | 70,673 | 59,860 |
Supplemental cash flow information: | ||
Interest paid | 16,275 | 22,577 |
Income taxes paid, net | 3,112 | $ 1,685 |
Acquisition of non-cash assets and liabilities: | ||
Assets acquired | 1,171 | |
Liabilities acquired | $ (343) |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | NOTE 1. BASIS OF PRESENTATION The consolidated financial statements (the “financial statements”) of Bar Harbor Bankshares and its subsidiaries (the “Company” or “Bar Harbor”) have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Bar Harbor Bankshares is a Maine Financial Institution Holding Company for the purposes of the laws of the state of Maine, and as such is subject to the jurisdiction of the Superintendent of the Maine Bureau of Financial Institutions. These financial statements include the accounts of the Company, its wholly owned subsidiary Bar Harbor Bank & Trust (the "Bank") and the Bank’s consolidated subsidiaries. The results of operations of companies or assets acquired are included only from the dates of acquisition. All material wholly owned and majority owned subsidiaries are consolidated unless GAAP requires otherwise. In addition, these interim financial statements have been prepared in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X, and accordingly, certain information and footnote disclosures normally included in financial statements prepared according to GAAP have been omitted. The results for any interim period are not necessarily indicative of results for the full year. These consolidated financial statements should be read in conjunction with the audited financial statements and note disclosures for the Company's Annual Report on Form 10-K for the year ended December 31, 2019 previously filed with the Securities and Exchange Commission (the "SEC"). In management's opinion, all adjustments necessary for a fair statement are reflected in the interim periods presented. Reclassifications: Summary of Significant Accounting Policies The disclosures below supplement the accounting policies previously disclosed in NOTE 1 – Summary of Significant Accounting Policies Operating, Accounting and Reporting Considerations related to COVID-19: The COVID-19 pandemic has negatively impacted the global economy. In response to this crisis, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was passed by Congress and signed into law on March 27, 2020. The CARES Act provides an estimated $2.2 trillion to fight the COVID-19 pandemic and stimulate the economy by supporting individuals and businesses through loans, grants, tax changes, and other types of relief. Some of the provisions applicable to the Company include, but are not limited to: ● Accounting for Loan Modifications - The CARES Act provides that a financial institution may elect to suspend (1) the requirements under GAAP for certain loan modifications that may otherwise be categorized as a TDR and (2) any determination that such loan modifications would be considered a TDR, including the related impairment for accounting purposes. ● Paycheck Protection Program - The CARES Act established the Paycheck Protection Program (“PPP”), an expansion of the Small Business Administration’s 7(a) loan program and the Economic Injury Disaster Loan Program (“EIDL”), administered directly by the SBA. ● Mortgage Forbearance - Under the CARES Act, through the earlier of December 31, 2020, or the termination date of the COVID-19 national emergency, a borrower with a federally backed mortgage loan that is experiencing financial hardship due to COVID-19 may request a forbearance. A multifamily borrower with a federally backed multifamily mortgage loan that was current as of February 1, 2020, and is experiencing financial hardship due to COVID-19 may request forbearance on the loan for up to 30 days, with up to two additional 30-day periods at the borrower’s request. Also in response to the COVID-19 pandemic, the Board of Governors of the Federal Reserve System (“FRB”), the Federal Deposit Insurance Corporation (“FDIC”), the National Credit Union Administration (“NCUA”), the Office of the Comptroller of the Currency (“OCC”), and the Consumer Financial Protection Bureau (“CFPB”), in consultation with the state financial regulators (collectively, the “agencies”) issued a joint interagency statement (issued March 22, 2020; revised statement issued April 7, 2020). Some of the provisions applicable to the Company include, but are not limited to: ● Accounting for Loan Modifications - Loan modifications that do not meet the conditions of the CARES Act may still qualify as a modification that does not need to be accounted for as a TDR. The agencies confirmed with FASB staff 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 TDRs. This includes short-term (e.g., six months) modifications such as payment deferrals, fee waivers, extensions of repayment terms, or insignificant delays in payment. ● Past Due Reporting - With regard to loans not otherwise reportable as past due, financial institutions are not expected to designate loans with deferrals granted due to COVID-19 as past due because of the deferral. A loan’s payment date is governed by the due date stipulated in the legal agreement. If a financial institution agrees to a payment deferral, these loans would not be considered past due during the period of the deferral. ● Nonaccrual Status and Risk Rating - For short-term COVID-19 modifications, these loans generally should not be reported as nonaccrual or as having a classified risk rating. Recent Accounting Pronouncements The following table provides a brief description of recent accounting standards updates ("ASU") that could have a material impact to the Company’s consolidated financial statements upon adoption: Standard Description Required Date Effect on financial statements Standards Adopted in 2020 ASU 2017-04, Simplifying the Test for Goodwill Impairment This ASU amends Topic 350, Intangibles-Goodwill and Other, and eliminates Step 2 from the goodwill impairment test. The Company still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary January 1, 2020 The Company has adopted ASU 2017-04 effective January 1, 2020, as required, and the ASU did not have a material impact on its financial statements. Goodwill testing is normally scheduled to be completed during the fourth quarter, but was evaluated quarterly in 2020 in light of the economic impacts of COVID-19. The Company recognized no impairments to goodwill in the second quarter of 2020. See management’s discussion and analysis for further details. ASU 2018-13 Changes to Disclosure Requirements Fair Value Measurement, Topic 820 This ASU eliminates, adds and modifies certain disclosure requirements for fair value measurements. Among the changes, entities will no longer be required to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, but will be required to disclose the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. January 1, 2020 The Company has adopted ASU 2018-13, as of January 1, 2020, as required, and the ASU did not have a material impact to the disclosures as a result of the adoption. Standard Description Required Date Effect on financial statements Standards Not Yet Adopted ASU 2016-13, Measurement of Credit Losses on Financial Instruments ASU 2018‑19, Codification Improvements to ASU 2016-13 This ASU amends Topic 326, Financial Instruments- Credit Losses to replace the current incurred loss accounting model with a current expected credit loss approach ("CECL") for financial instruments measured at amortized cost and other commitments to extend credit. The amendments require entities to consider all available relevant information when estimating current expected credit losses, including details about past events, current conditions, and reasonable and supportable forecasts. The resulting allowance for credit losses is to reflect the portion of the amortized cost basis that the entity does not expect to collect. The amendments also eliminate the current accounting model for purchased credit impaired loans and certain off-balance sheet exposures. Additional quantitative and qualitative disclosures are required upon adoption. January 1, 2020 Adoption of this ASU is expected to primarily change how the Company estimates credit losses with the application of the expected credit loss model. The Company will apply the standard's provisions as a cumulative effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (i.e., modified retrospective approach). The Company's CECL implementation efforts in the second quarter focused on model validation, continueing to develop new disclosures and establish formal policies and procedures and other governance and control documentation. Certain elements of the calculation were finalized in the second quarter, including refinement of the model assumptions, the qualitative framework, internal control design, model validation, and the operational control framework to support the new process. Furthermore, changes to the economic forecasts within the model could positively or negatively impact the actual results. million over the balance reported as of December 31, 2019. ASU 2018-14 Compensation- Disclosure Requirements for Defined Pension Plans Topic 715-20 This ASU makes minor changes to the disclosure requirements for employers that sponsor defined benefit pension and/or other post-retirement benefit plans. January 1, 2021 Adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements. Standard Description Required Date Effect on financial statements Standards Not Yet Adopted (continued) ASU 2020-04 Facilitation of the Effects of Reference Rate Reform, Topic 848 This ASU provides temporary optional expedients and exceptions to GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens of the expected market transition from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate ("SOFR"). For instance, companies can (1) elect not to apply certain modification accounting requirements to contracts affected by reference rate reform, if certain criteria are met. A company that makes this election would not have to re-measure the contracts at the modification date or reassess a previous accounting determination. Companies, can also (2) elect various optional expedients that would allow them to continue applying hedge accounting for hedging relationships affected by reference rate reform, if certain criteria are met. Finally, companies can (3) make a one-time election to sell and/or reclassify held-to-maturity debt securities that reference an interest rate affected by reference rate reform. May be elected through December 31, 2022. The Company is currently evaluating all of its contracts, hedging relationships and other transactions that will be effected by reference rates that are being discontinued and determining which elections need to be made. |
SECURITIES AVAILABLE FOR SALE
SECURITIES AVAILABLE FOR SALE | 6 Months Ended |
Jun. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
SECURITIES AVAILABLE FOR SALE | NOTE 2. SECURITIES AVAILABLE FOR SALE The following is a summary of securities available for sale: Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value June 30, 2020 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 258,169 $ 9,701 $ (426) $ 267,444 US Government agency 94,894 3,845 (84) 98,655 Private label 20,200 41 (874) 19,367 Obligations of states and political subdivisions thereof 153,802 5,514 (29) 159,287 Corporate bonds 98,248 1,141 (2,568) 96,821 Total securities available for sale $ 625,313 $ 20,242 $ (3,981) $ 641,574 Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value December 31, 2019 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 319,064 $ 4,985 $ (2,080) $ 321,969 US Government agency 98,568 1,640 (547) 99,661 Private label 20,212 68 (747) 19,533 Obligations of states and political subdivisions thereof 139,240 3,034 (268) 142,006 Corporate bonds 78,804 1,478 (221) 80,061 Total securities available for sale $ 655,888 $ 11,205 $ (3,863) $ 663,230 The amortized cost and estimated fair value of available for sale (“AFS”) securities segregated by contractual maturity at June 30, 2020 are presented below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. Mortgage-backed securities are shown in total, as their maturities are highly variable. Available for sale (in thousands) Amortized Cost Fair Value Within 1 year $ — $ — Over 1 year to 5 years 26,069 26,368 Over 5 years to 10 years 70,676 69,548 Over 10 years 155,305 160,192 Total bonds and obligations 252,050 256,108 Mortgage-backed securities 373,263 385,466 Total securities available for sale $ 625,313 $ 641,574 The following table presents the gains and losses from the sale of AFS securities for the periods presented: Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Gross gains on sales of available for sale securities $ 1,362 $ — $ 1,508 $ — Gross losses on sales of available for sale securities (11) — (22) — Net gains on sale of available for sale securities $ 1,351 $ — $ 1,486 $ — Securities with unrealized losses, segregated by the duration of their continuous unrealized loss positions, are summarized as follows: Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (In thousands) Losses Value Losses Value Losses Value June 30, 2020 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 187 $ 39,157 $ 239 $ 4,047 $ 426 $ 43,204 US Government agency 57 5,177 27 1,674 84 6,851 Private label 3 112 871 19,133 874 19,245 Obligations of states and political subdivisions thereof 29 11,564 — — 29 11,564 Corporate bonds 2,332 45,854 236 4,765 2,568 50,619 Total securities available for sale $ 2,608 $ 101,864 $ 1,373 $ 29,619 $ 3,981 $ 131,483 Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (In thousands) Losses Value Losses Value Losses Value December 31, 2019 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 1,074 $ 43,429 $ 1,006 $ 49,712 $ 2,080 $ 93,141 US Government agency 432 19,717 115 9,120 547 28,837 Private label 380 9,843 367 9,411 747 19,254 Obligations of states and political subdivisions thereof 137 29,355 131 1,682 268 31,037 Corporate bonds 142 9,888 79 12,276 221 22,164 Total securities available for sale $ 2,165 $ 112,232 $ 1,698 $ 82,201 $ 3,863 $ 194,433 Securities Impairment: The following table presents the changes in estimated credit losses recognized by the Company for the periods presented: Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Estimated credit losses as of prior year-end $ 1,697 $ 1,697 $ 1,697 $ 1,697 Reductions for securities paid off during the period — — — — Estimated credit losses at end of the period $ 1,697 $ 1,697 $ 1,697 $ 1,697 The Company expects to recover its amortized cost basis on all securities in its AFS portfolio. Furthermore, the Company does not intend to sell nor does it anticipate that it will be required to sell any of its securities in an unrealized loss position as of June 30, 2020, prior to this recovery. The Company’s ability and intent to hold these securities until recovery is supported by the Company’s strong capital and liquidity positions as well as its historically low portfolio turnover. The following summarizes, by investment security type, the basis for the conclusion that securities in an unrealized loss position were not OTTI at June 30, 2020: US Government-sponsored enterprises 42 out of the total 618 securities in the Company’s portfolios of AFS US Government-sponsored enterprises were in unrealized loss positions. Aggregate unrealized losses represented 0.98% of the amortized cost of securities in unrealized loss positions. The Federal National Mortgage Association and Federal Home Loan Mortgage Corporation guarantee the contractual cash flows of all of the Company’s US Government-sponsored enterprises. The securities are investment grade rated and there were no material underlying credit downgrades during the quarter. All securities are performing. US Government agency 12 out of the total 170 securities in the Company’s portfolios of AFS US Government agency securities were in unrealized loss positions. Aggregate unrealized losses represented 1.21% of the amortized cost of securities in unrealized loss positions. The Government National Mortgage Association guarantees the contractual cash flows of all of the Company’s US Government agency securities. The securities are investment grade rated and there were no material underlying credit downgrades during the quarter. All securities are performing. Private label 11 of the total 18 securities in the Company’s portfolio of AFS private label mortgage-backed securities were in unrealized loss positions. Aggregate unrealized losses represented 4.34% of the amortized cost of securities in unrealized loss positions. Based upon the expectation that the Company will receive all of the future contractual cash flows related to the amortized cost on these securities, the Company does not consider there to be any additional other-than-temporary impairment with respect to these securities. Obligations of states and political subdivisions thereof 3 of the total 190 securities in the Company’s portfolio of AFS municipal bonds and obligations were in unrealized loss positions. Aggregate unrealized losses represented 0.25% of the amortized cost of securities in unrealized loss positions. The Company continually monitors the municipal bond sector of the market carefully and periodically evaluates the appropriate level of exposure to the market. At this time, the Company feels the bonds in this portfolio carry minimal risk of default and the Company is appropriately compensated for the risk. There were no material underlying credit downgrades during the quarter. All securities are performing. Corporate bonds 16 out of the total 33 securities in the Company’s portfolio of AFS corporate bonds were in an unrealized loss position. The aggregate unrealized loss represents 4.89% of the amortized cost of bonds in unrealized loss positions. The Company reviews the financial strength of all of these bonds and has concluded that the amortized cost remains supported by the expected future cash flows of these securities. The most recent review includes all bond issuers and their current credit ratings, financial performance and capitalization. |
LOANS
LOANS | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
LOANS | NOTE 3. LOANS The Company’s loan portfolio is comprised of the following segments: commercial real estate, commercial and industrial, residential real estate, and consumer loans. Commercial real estate loans include multi-family, commercial construction and land development, and other commercial real estate classes. Commercial and industrial loans include loans to commercial and agricultural businesses and tax exempt entities. Residential real estate loans consist of mortgages for 1-to-4 family housing. Consumer loans include home equity loans, auto and other installment loans. The Company’s lending activities are principally conducted in Maine, New Hampshire, and Vermont. Total loans include business activity loans and acquired loans. Acquired loans are those loans previously acquired from other institutions. The following is a summary of total loans: June 30, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 60,096 $ 2,377 $ 62,473 $ 31,387 $ 2,903 $ 34,290 Other commercial real estate 722,949 196,648 919,597 666,051 230,320 896,371 Total commercial real estate 783,045 199,025 982,070 697,438 233,223 930,661 Commercial and industrial: Commercial 384,390 69,949 454,339 239,692 59,072 298,764 Agricultural 18,026 159 18,185 20,018 206 20,224 Tax exempt 40,593 26,325 66,918 66,860 37,443 104,303 Total commercial and industrial 443,009 96,433 539,442 326,570 96,721 423,291 Total commercial loans 1,226,054 295,458 1,521,512 1,024,008 329,944 1,353,952 Residential real estate: Residential mortgages 725,450 358,258 1,083,708 740,687 411,170 1,151,857 Total residential real estate 725,450 358,258 1,083,708 740,687 411,170 1,151,857 Consumer: Home equity 59,413 54,686 114,099 59,368 63,033 122,401 Other consumer 8,685 1,413 10,098 11,167 1,715 12,882 Total consumer 68,098 56,099 124,197 70,535 64,748 135,283 Total loans $ 2,019,602 $ 709,815 $ 2,729,417 $ 1,835,230 $ 805,862 $ 2,641,092 The carrying amount of the acquired loans at June 30, 2020 totaled $709.8 million. A subset of these loans was determined to have evidence of credit deterioration at acquisition date, which is accounted for in accordance with ASC 310-30, Accounting for Certain Loans or Debt Securities Acquired in a Transfer The following table summarizes activity in the accretable yield for the acquired loan portfolio that falls under the purview of ASC 310-30, Accounting for Certain Loans or Debt Securities Acquired in a Transfer: Three Months Ended June 30, (in thousands) 2020 2019 Balance at beginning of period $ 6,839 $ 4,150 Reclassification from nonaccretable difference for loans with improved cash flows 370 402 Accretion (982) (357) Balance at end of period $ 6,227 $ 4,195 Six Months Ended June 30, (in thousands) 2020 2019 Balance at beginning of period $ 7,367 $ 4,377 Reclassification from nonaccretable difference for loans with improved cash flows 424 624 Accretion (1,564) (806) Balance at end of period $ 6,227 $ 4,195 The following is a summary of past due loans at June 30, 2020 and December 31, 2019: Business Activities Loans 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing June 30, 2020 Commercial real estate: Construction and land development $ — $ — $ 267 $ 267 $ 59,829 $ 60,096 $ — Other commercial real estate 1,450 23 720 2,193 720,756 722,949 — Total commercial real estate 1,450 23 987 2,460 780,585 783,045 — Commercial and industrial: Commercial 152 295 646 1,093 383,297 384,390 49 Agricultural 20 — 158 178 17,848 18,026 16 Tax exempt — — — — 40,593 40,593 — Total commercial and industrial 172 295 804 1,271 441,738 443,009 65 Total commercial loans 1,622 318 1,791 3,731 1,222,323 1,226,054 65 Residential real estate: Residential mortgages 320 1,820 1,950 4,090 721,360 725,450 270 Total residential real estate 320 1,820 1,950 4,090 721,360 725,450 270 Consumer: Home equity 40 153 384 577 58,836 59,413 — Other consumer 5 — 2 7 8,678 8,685 — Total consumer 45 153 386 584 67,514 68,098 — Total loans $ 1,987 $ 2,291 $ 4,127 $ 8,405 $ 2,011,197 $ 2,019,602 $ 335 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing June 30, 2020 Commercial real estate: Construction and land development $ — $ — $ — $ — $ 269 $ 2,377 $ — Other commercial real estate 113 1,495 960 2,568 6,993 196,648 298 Total commercial real estate 113 1,495 960 2,568 7,262 199,025 298 Commercial and industrial: Commercial 48 97 409 554 1,821 69,949 387 Agricultural — — — — 159 159 — Tax exempt — — — — — 26,325 — Total commercial and industrial 48 97 409 554 1,980 96,433 387 Total commercial loans 161 1,592 1,369 3,122 9,242 295,458 685 Residential real estate: Residential mortgages 433 530 1,033 1,996 4,715 358,258 60 Total residential real estate 433 530 1,033 1,996 4,715 358,258 60 Consumer: Home equity 273 369 285 927 766 54,686 25 Other consumer — — — — 47 1,413 — Total consumer 273 369 285 927 813 56,099 25 Total loans $ 867 $ 2,491 $ 2,687 $ 6,045 $ 14,770 $ 709,815 $ 770 Business Activities Loans ` 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ 205 $ 53 $ — $ 258 $ 31,129 $ 31,387 $ — Other commercial real estate 40 1,534 1,810 3,384 662,667 666,051 — Total commercial real estate 245 1,587 1,810 3,642 693,796 697,438 — Commercial and industrial: Commercial 452 50 894 1,396 238,296 239,692 — Agricultural 62 34 96 192 19,826 20,018 — Tax exempt — — — — 66,860 66,860 — Total commercial and industrial 514 84 990 1,588 324,982 326,570 — Total commercial loans 759 1,671 2,800 5,230 1,018,778 1,024,008 — Residential real estate: Residential mortgages 7,293 1,243 668 9,204 731,483 740,687 — Total residential real estate 7,293 1,243 668 9,204 731,483 740,687 — Consumer: Home equity 597 43 429 1,069 58,299 59,368 50 Other consumer 36 12 — 48 11,119 11,167 — Total consumer 633 55 429 1,117 69,418 70,535 50 Total loans $ 8,685 $ 2,969 $ 3,897 $ 15,551 $ 1,819,679 $ 1,835,230 $ 50 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ — $ 12 $ — $ 12 $ 384 $ 2,903 $ — Other commercial real estate 2,029 245 231 2,505 8,289 230,320 — Total commercial real estate 2,029 257 231 2,517 8,673 233,223 — Commercial and industrial: Commercial 440 335 140 915 2,723 59,072 — Agricultural — — — — 173 206 — Tax exempt — — — — 36 37,443 — Total commercial and industrial 440 335 140 915 2,932 96,721 — Total commercial loans 2,469 592 371 3,432 11,605 329,944 — Residential real estate: Residential mortgages 3,185 864 1,015 5,064 5,591 411,170 — Total residential real estate 3,185 864 1,015 5,064 5,591 411,170 — Consumer: Home equity 208 548 217 973 1,291 63,033 217 Other consumer 2 9 — 11 66 1,715 — Total consumer 210 557 217 984 1,357 64,748 217 Total loans $ 5,864 $ 2,013 $ 1,603 $ 9,480 $ 18,553 $ 805,862 $ 217 Non-Accrual Loans The following is summary information pertaining to non-accrual loans at June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 267 $ — $ 267 $ 258 $ — $ 258 Other commercial real estate 1,487 2,227 3,714 2,888 343 3,231 Total commercial real estate 1,754 2,227 3,981 3,146 343 3,489 Commercial and industrial: Commercial 803 459 1,262 932 626 1,558 Agricultural 528 — 528 278 — 278 Tax exempt — — — — — — Total commercial and industrial 1,331 459 1,790 1,210 626 1,836 Total commercial loans 3,085 2,686 5,771 4,356 969 5,325 Residential real estate: Residential mortgages 4,041 3,153 7,194 3,362 1,973 5,335 Total residential real estate 4,041 3,153 7,194 3,362 1,973 5,335 Consumer: Home equity 618 388 1,006 615 254 869 Other consumer 17 — 17 21 — 21 Total consumer 635 388 1,023 636 254 890 Total loans $ 7,761 $ 6,227 $ 13,988 $ 8,354 $ 3,196 $ 11,550 Loans evaluated for impairment as of June 30, 2020 and December 31, 2019 are, as follows: Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total June 30, 2020 Balance at end of period Individually evaluated for impairment $ 2,482 $ 1,049 $ 2,396 $ 13 $ 5,940 Collectively evaluated 780,563 441,960 723,054 68,085 2,013,662 Total $ 783,045 $ 443,009 $ 725,450 $ 68,098 $ 2,019,602 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total June 30, 2020 Balance at end of period Individually evaluated for impairment $ 2,402 $ 356 $ 925 $ — $ 3,683 Purchased credit impaired 7,262 1,980 4,715 813 14,770 Collectively evaluated 189,361 94,097 352,618 55,286 691,362 Total $ 199,025 $ 96,433 $ 358,258 $ 56,099 $ 709,815 Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 3,964 $ 1,353 $ 2,620 $ 13 $ 7,950 Collectively evaluated 693,474 325,217 738,067 70,522 1,827,280 Total $ 697,438 $ 326,570 $ 740,687 $ 70,535 $ 1,835,230 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 258 $ 385 $ 1,032 $ — $ 1,675 Purchased credit impaired 8,673 2,932 5,591 1,357 18,553 Collectively evaluated 224,292 93,404 404,547 63,391 785,634 Total $ 233,223 $ 96,721 $ 411,170 $ 64,748 $ 805,862 The following is a summary of impaired loans at June 30, 2020 and December 31, 2019: Business Activities Loans June 30, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,344 1,449 — Commercial 625 714 — Agricultural 290 428 — Tax exempt loans — — — Residential real estate 1,875 2,036 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 267 265 213 Other commercial real estate 871 924 474 Commercial 134 134 18 Agricultural — — — Tax exempt loans — — — Residential real estate 521 587 60 Home equity 13 13 1 Other consumer — — — Total Commercial real estate 2,482 2,638 687 Commercial and industrial 1,049 1,276 18 Residential real estate 2,396 2,623 60 Consumer 13 13 1 Total impaired loans $ 5,940 $ 6,550 $ 766 Acquired Loans June 30, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,518 1,525 — Commercial 284 373 — Agricultural — — — Tax exempt loans — — — Residential real estate 401 590 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 884 907 365 Commercial 72 74 9 Agricultural — — — Tax exempt loans — — — Residential real estate 524 707 67 Home equity — — — Other consumer — — — Total Commercial real estate 2,402 2,432 365 Commercial and industrial 356 447 9 Residential real estate 925 1,297 67 Consumer — — — Total impaired loans $ 3,683 $ 4,176 $ 441 Business Activities Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,911 1,957 — Commercial 710 773 — Agricultural 361 261 — Tax exempt loans — — — Residential real estate 2,067 2,227 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 258 258 205 Other commercial real estate 1,795 1,940 1,026 Commercial 282 289 164 Agricultural — — — Tax exempt loans — — — Residential real estate 553 590 57 Home equity 13 13 — Other consumer — — — Total Commercial real estate 3,964 4,155 1,231 Commercial and industrial 1,353 1,423 164 Residential real estate 2,620 2,817 57 Consumer 13 13 — Total impaired loans $ 7,950 $ 8,408 $ 1,452 Acquired Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 90 90 — Commercial 385 481 — Agricultural — — — Tax exempt — — — Residential mortgages 678 938 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 168 168 12 Commercial — — — Agricultural — — — Tax exempt — — — Residential mortgages 354 376 49 Home equity — — — Other consumer — — — Total Commercial real estate 258 258 12 Commercial and industrial 385 481 — Residential real estate 1,032 1,314 49 Consumer — — — Total impaired loans $ 1,675 $ 2,053 $ 61 The following is a summary of the average recorded investment and interest income recognized on impaired loans for the three and six months ended June 30, 2020 and 2019: Business Activities Loans Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,347 3 7,499 20 Commercial 652 1 940 2 Agricultural 382 — — — Tax exempt loans — — — — Residential real estate 1,875 4 2,104 16 Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development 265 — 1 — Other commercial real estate 871 — 1,396 — Commercial 134 — 412 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 546 — 572 3 Home equity 13 — 13 — Other consumer — — — — Total Commercial real estate 2,483 3 8,896 20 Commercial and industrial 1,168 1 1,352 2 Residential real estate 2,421 4 2,676 19 Consumer 13 — 13 — Total impaired loans $ 6,085 $ 8 $ 12,937 $ 41 Business Activities Loans Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,286 6 7,219 46 Commercial 657 2 931 4 Agricultural 406 — — — Tax exempt loans — — — — Residential real estate 1,880 16 2,113 31 Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development 264 — 3 — Other commercial real estate 874 — 1,497 — Commercial 134 — 417 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 547 2 534 5 Home equity 13 — 13 — Other consumer — — — — Total Commercial real estate 2,424 6 8,719 46 Commercial and industrial 1,197 2 1,348 4 Residential real estate 2,427 18 2,647 36 Consumer 13 — 13 — Total impaired loans $ 6,061 $ 26 $ 12,727 $ 86 Acquired Loans Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,527 — 187 — Commercial 295 — 412 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 446 — 426 — Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development — — — — Other commercial real estate 906 3 71 — Commercial 75 — — — Agricultural — — — — Tax exempt loans — — — — Residential real estate 596 — 363 — Home equity — — — — Other consumer — — — — Total Commercial real estate 2,433 3 258 — Commercial and industrial 370 — 412 — Residential real estate 1,042 — 789 — Consumer — — — — Total impaired loans $ 3,845 $ 3 $ 1,459 $ — Acquired Loans Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 763 — 157 — Commercial 345 — 446 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 456 — 431 — Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development — — — — Other commercial real estate 663 3 36 — Commercial 80 — — — Agricultural — — — — Tax exempt loans — — — — Residential real estate 601 — 365 — Home equity — — — — Other consumer — — — — Total Commercial real estate 1,426 3 193 — Commercial and industrial 425 — 446 — Residential real estate 1,057 — 796 — Consumer — — — — Total impaired loans $ 2,908 $ 3 $ 1,435 $ — Troubled Debt Restructuring Loans The Company’s loan portfolio also includes certain loans that have been modified in a Troubled Debt Restructuring ("TDR"), where economic concessions have been granted to borrowers who have experienced or are expected to experience financial difficulties. These concessions typically result from the Company’s loss mitigation activities and could include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance, or other actions. Certain TDRs are classified as non-performing at the time of restructure and may only be returned to performing status after considering the borrower’s sustained repayment performance for a reasonable period, generally six months. TDRs are evaluated individually for impairment and may result in a specific allowance amount allocated to an individual loan. The following tables include the recorded investment and number of modifications identified during the three and six months ended June 30, 2020 and 2019, respectively. The table includes the recorded investment in the loans prior to a modification and also the recorded investment in the loans after the loans were restructured. Modifications may include adjustments to interest rates, payment amounts, extensions of maturity, court ordered concessions or other actions intended to minimize economic loss and avoid foreclosure or repossession of collateral. There were no modifactions qualifying as TDR’s for the three months ended June 30, 2020. The following tables include the recorded investment and number of modifications identified during the three and six months ended June 30, 2020 and 2019, respectively. The table includes the recorded investment in the loans prior to a modification and also the recorded investment in the loans after the loans were restructured. Modifications may include adjustments to interest rates, payment amounts, extensions of maturity, court ordered concessions or other actions intended to minimize economic loss and avoid foreclosure or repossession of collateral. There were no modifications qualifying as TDR’s for the three months ended June 30, 2020. Three Months Ended June 30, 2019 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded (in thousands, except modifications) Modifications Investment Investment Troubled Debt Restructurings Other commercial real estate 2 186 177 Commercial 1 12 12 Residential mortgages 2 152 116 Total 5 $ 350 $ 305 Six Months Ended June 30, 2020 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded (in thousands, except modifications) Modifications Investment Investment Troubled Debt Restructurings Other commercial real estate 1 $ 54 $ 252 Other commercial 3 41 196 Home equity 1 26 25 Other consumer 1 9 9 Total 6 $ 130 $ 482 Six Months Ended June 30, 2019 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded (in thousands, except modifications) Modifications Investment Investment Troubled Debt Restructurings Other commercial real estate 5 $ 299 $ 290 Other commercial 3 43 43 Residential mortgages 8 682 644 Total 16 $ 1,024 $ 977 The following tables summarize the types of loan concessions made for the periods presented: Three Months Ended June 30, 2020 2019 Post-Modification Post-Modification Outstanding Outstanding Number of Recorded Number of Recorded (in thousands, except modifications) Modifications Investment Modifications Investment Troubled Debt Restructurings Interest only payments and maturity concession — $ — 1 $ 70 Forbearance and interest only payments — — 2 131 Forbearance and maturity concession — — 1 46 Other — — 1 58 Total — $ — 5 $ 305 Six Months Ended June 30, 2020 2019 Post-Modification Post-Modification Outstanding outstanding Number of Recorded Number of Recorded (in thousands, except modifications) Modifications Investment Modifications Investment Troubled Debt Restructurings Interest rate and maturity concession — $ — — $ — Interest only payments and maturity concession — — 2 75 Interest rate, forbearance and maturity concession 4 448 — — Amortization and maturity concession — — 4 275 Forbearance — — 1 77 Forbearance and interest only payments 1 25 4 243 Forbearance and maturity concession — — 4 249 Maturity concession 1 9 — — Other — — 1 58 Total 6 $ 482 16 $ 977 For the three and six months ended June 30, 2020, there were no loans that were restructured that had subsequently defaulted during the period. The evaluation of certain loans individually for specific impairment includes loans that were previously classified as TDRs or continue to be classified as TDRs. Modifications in response to COVID-19 The Company began offering short-term loan modifications to assist borrowers during the COVID-19 national emergency. The CARES Act along with a joint agency statement issued by banking agencies, provides that short-term modifications made in response to COVID-19 do not need to be accounted for as a TDR. Accordingly, the Company does not account for such loan modifications as TDRs. See Note 1 - Basis of Presentation Foreclosure As of June 30, 2020 and December 31, 2019, the Company maintained bank-owned residential real estate with a fair value of $2.3 million. Additionally, residential mortgage loans collateralized by real estate that are in the process of foreclosure as of June 30, 2020 and December 31, 2019 totaled $537 thousand and $810 thousand, respectively. Mortgage Banking The Bank sells loans in the secondary market and retains the ability to service many of these loans. The Bank earns fees for the servicing provided. Loans serviced for others are not included in the accompanying consolidated balance sheets. The risks inherent in servicing assets relate primarily to changes in prepayments that result from shifts in interest rates. Servicing rights activity during the three and six months ended June 30, 2020 and 2019, included in other assets, was as follows: At or for the Three Months Ended June 30, At or for the Six Months Ended June 30, (in thousands) 2020 2019 2020 2019 Balance at beginning of year $ 2,939 $ 3,025 $ 3,001 $ 3,086 Acquired — — — — Additions 164 51 253 107 Amortization (192) (135) (343) (252) Balance at end of year $ 2,911 $ 2,941 $ 2,911 $ 2,941 Total residential loans included held for sale loans of $23.0 million and $6.5 million at June 30, 2020 and December 31, 2019, respectively. |
ALLOWANCE FOR LOAN LOSSES
ALLOWANCE FOR LOAN LOSSES | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
ALLOWANCE FOR LOAN LOSSES | NOTE 4. ALLOWANCE FOR LOAN LOSSES The allowance for loan losses is maintained at a level considered adequate to provide for an estimate of probable credit losses inherent in the loan portfolio. The allowance is increased by the provision charged to operating expense and reduced by net charge-offs. Loans are charged against the allowance for loan losses when the Company believes collectability has declined to a point where there is a distinct possibility of some loss of principal and interest. While the Company uses the best information available to make the evaluation, future adjustments may be necessary if there are significant changes in conditions. The allowance is comprised of four distinct reserve components: (1) specific reserves related to loans individually evaluated; (2) quantitative reserves related to loans collectively evaluated; (3) qualitative reserves related to loans collectively evaluated; and (4) a temporal estimate is made for incurred loss emergence period for each loan category within the collectively evaluated pools. A summary of the methodology employed on a quarterly basis with respect to each of these components in order to evaluate the overall adequacy of the Company's allowance for loan losses is as follows: Specific Reserve for Loans Individually Evaluated First, the Company identifies loan relationships having aggregate balances in excess of $150 thousand with potential credit weaknesses. Such loan relationships are identified primarily through the Company's analysis of internal loan evaluations, past due loan reports, TDRs and loans adversely classified. Each loan so identified is then individually evaluated for impairment. Loans are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the original loan agreement. Substantially all impaired loans have historically been collateral dependent, meaning repayment of the loan is expected or is considered to be provided solely from the sale of the loan's underlying collateral. For such loans, the Company measures impairment based on the fair value of the loan's collateral, which is generally determined utilizing current appraisals. A specific reserve is established in an amount equal to the excess, if any, of the recorded investment in each impaired loan over the fair value of its underlying collateral, less estimated costs to sell. The Company's policy is to re-evaluate the fair value of collateral dependent loans at least every twelve months unless there is a known deterioration in the collateral's value, in which case a new appraisal is obtained. Purchase credit impaired (“PCI”) loans are collectively evaluated, but are not included in the general reserve as described below. The evaluation of the PCI loans requires continued quarterly assessment of key assumptions and estimates similar to the initial fair value estimate, including changes in the severity of loss, timing and speed of payments, collateral value changes, expected cash flows and other relevant factors. The quarterly assessment is compared to the initial fair value estimate and a determination is made if an adjustment to the allowance for loan loss is deemed necessary. Quantitative Reserve for Loans Collectively Evaluated Second, the Company stratifies the loan portfolio into two general business loan pools: substandard (7 risk-rated) and pass-rated (0 to 6 risk-rated) by loan type. Substandard rated loans are subject to higher credit loss rates in the allowance for loan loss calculation. The Company utilizes historical loss rates for commercial real estate and commercial and industrial loans assessed by internal risk rating. Historical loss rates on residential real estate and consumer loans are not risk graded. Residential real estate and consumer loans are considered as part of the pass-rated portfolio unless removed due to specific reserve evaluation based on past due status and/or other indications of credit deterioration. Quantitative reserves relative to each loan pool are established as follows: for all loan segments an allocation equaling 100% of the respective pool's average 3-year historical net loan charge-off rate (determined based upon the most recent 12 quarters) is applied to the aggregate recorded investment in the pool of loans. Purchased performing loans are collectively evaluated as their own separate category within each loan pool. Qualitative Reserve for Loans Collectively Evaluated Third, the Company considers the necessity to adjust the average historical net loan charge-off rates relative to each of the above two loan pools for potential risks factors that could result in actual losses deviating from prior loss experience. Such qualitative risk factors considered are: (1) lending policies and procedures, (2) business conditions, (3) volume and nature of the loan portfolio, (4) experience, ability and depth of lending management, (5) problem loan trends, (6) quality of the Company’s loan review system, (7) concentrations in the loan portfolio, (8) competition, legal, and regulatory environment and (9) collateral coverage and loan-to-value. Loss Emergence Period for Loans Collectively Evaluated Fourth, the general allowance related to loans collectively evaluated includes an estimate of incurred losses over an estimated loss emergence period ("LEP"). The LEP is generated utilizing a charge-off look-back analysis, which evaluates the time from the first indication of elevated risk of repayment (or other early event indicating a problem) to eventual charge-off to support the LEP considered in the allowance calculation. This reserving methodology establishes the approximate number of months of LEP that represents incurred losses for each loan portfolio within each portfolio segment in addition to the qualitative reserves. Activity in the allowance for loan losses for the three and six months ended June 30, 2020 and 2019 are, as follows: Business Activities Loans At or for the Three Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 7,661 $ 3,543 $ 3,513 $ 384 $ 15,101 Charged-off loans — (153) (21) (35) (209) Recoveries on charged-off loans 71 1 — 2 74 Provision (release) for loan losses 684 (150) 453 25 1,012 Balance at end of period $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Individually evaluated for impairment 687 18 60 1 766 Collectively evaluated 7,729 3,223 3,885 375 15,212 Total $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Business Activities Loans At or for the Six Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Charged-off loans (771) (304) (21) (185) (1,281) Recoveries on charged-off loans 78 1 — 2 81 Provision (release) for loan losses 1,441 (64) 564 180 2,121 Balance at end of period $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Individually evaluated for impairment 687 18 60 1 766 Collectively evaluated 7,729 3,223 3,885 375 15,212 Total $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Acquired Loans At or for the Three Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 64 $ 3 $ 129 $ — $ 196 Charged-off loans — (3) (3) (5) (11) Recoveries on charged-off loans — — 4 — 4 Provision (release) for loan losses 337 12 (12) 5 342 Balance at end of period $ 401 $ 12 $ 118 $ — $ 531 Individually evaluated for impairment 365 9 67 — 441 Collectively evaluated 36 3 51 — 90 Total $ 401 $ 12 $ 118 $ — $ 531 Acquired Loans At or for the Six Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 147 $ 6 $ 143 $ — $ 296 Charged-off loans (101) (33) (11) (6) (151) Recoveries on charged-off loans 18 9 11 4 42 Provision (release) for loan losses 337 30 (25) 2 344 Balance at end of period $ 401 $ 12 $ 118 $ — $ 531 Individually evaluated for impairment 365 9 67 — 441 Collectively evaluated 36 3 51 — 90 Total $ 401 $ 12 $ 118 $ — $ 531 Business Activities Loans At or for the Three Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,575 $ 2,778 $ 3,953 $ 396 $ 13,702 Charged-off loans — (13) — (22) (35) Recoveries on charged-off loans 114 1 — 2 117 Provision (release) for loan losses 517 (18) (11) 18 506 Balance at end of period $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Individually evaluated for impairment 449 39 75 1 564 Collectively evaluated 6,757 2,709 3,867 393 13,726 Total $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Business Activities Loans At or for the Six Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Charged-off loans (57) (13) — (75) (145) Recoveries on charged-off loans 130 1 18 6 155 Provision (release) for loan losses 322 380 (58) 55 699 Balance at end of period $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Individually evaluated for impairment 449 39 75 1 564 Collectively evaluated 6,757 2,709 3,867 393 13,726 Total $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Acquired Loans At or for the Three Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 161 $ 29 $ 105 $ — $ 295 Charged-off loans — — (65) (4) (69) Recoveries on charged-off loans — — — — — Provision (release) for loan losses (2) (7) 61 4 56 Balance at end of period $ 159 $ 22 $ 101 $ — $ 282 Individually evaluated for impairment 12 — 35 — 47 Collectively evaluated 147 22 66 — 235 Total $ 159 $ 22 $ 101 $ — $ 282 Acquired Loans At or for the Six Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 173 $ 35 $ 77 $ — $ 285 Charged-off loans — (15) (170) (5) (190) Recoveries on charged-off loans — — — — — Provision (releases) for loan losses (14) 2 194 5 187 Balance at end of period $ 159 $ 22 $ 101 $ — $ 282 Individually evaluated for impairment 12 — 35 — 47 Collectively evaluated 147 22 66 — 235 Total $ 159 $ 22 $ 101 $ — $ 282 Loan Origination/Risk Management: Credit Quality Indicators/Classified Loans: The following are the definitions of the Company’s credit quality indicators: Pass: Special Mention: Substandard: Doubtful: until its more exact status is determined. Pending factors include proposed merger, acquisition, or liquidation procedures, capital injection, perfecting liens on additional collateral and refinancing plans. The entire amount of the loan might not be classified as doubtful when collection of a specific portion appears highly probable. Loans are generally not classified doubtful for an extended period of time (i.e., over a year). Loss: The following tables present the Company’s loans by risk rating at June 30, 2020 and December 31, 2019: Business Activities Loans Commercial Real Estate Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 59,829 $ 31,057 $ 699,720 $ 646,886 $ 759,549 $ 677,943 Special mention — — 9,011 5,483 9,011 5,483 Substandard — 330 13,257 11,974 13,257 12,304 Doubtful 267 — 961 1,708 1,228 1,708 Total $ 60,096 $ 31,387 $ 722,949 $ 666,051 $ 783,045 $ 697,438 Acquired Loans Commercial Real Estate Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 2,014 $ 2,412 $ 185,970 $ 218,491 $ 187,984 $ 220,903 Special mention — 12 1,499 2,261 1,499 2,273 Substandard 363 479 7,617 9,400 7,980 9,879 Doubtful — — 1,562 168 1,562 168 Total $ 2,377 $ 2,903 $ 196,648 $ 230,320 $ 199,025 $ 233,223 Business Activities Loans Commercial and Industrial Commercial Agricultural Tax exempt loans Total commercial (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 366,761 $ 221,329 $ 17,138 $ 18,940 $ 40,593 $ 66,860 $ 424,492 $ 307,129 Special mention 3,544 2,744 219 298 — — 3,763 3,042 Substandard 13,363 14,866 444 780 — — 13,807 15,646 Doubtful 722 753 225 — — — 947 753 Total $ 384,390 $ 239,692 $ 18,026 $ 20,018 $ 40,593 $ 66,860 $ 443,009 $ 326,570 Acquired Loans Commercial and Industrial Commercial Agricultural Tax exempt loans Total commercial (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 67,501 $ 51,184 $ 23 $ 58 $ 26,325 $ 37,407 $ 93,849 $ 88,649 Special mention 831 5,432 — — — — 831 5,432 Substandard 1,047 2,115 136 148 — 36 1,183 2,299 Doubtful 570 341 — — — — 570 341 Total $ 69,949 $ 59,072 $ 159 $ 206 $ 26,325 $ 37,443 $ 96,433 $ 96,721 Business Activities Loans Residential Real Estate and Consumer Loans Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Performing $ 721,409 $ 737,325 $ 58,795 $ 58,753 $ 8,668 $ 11,146 $ 788,872 $ 807,224 Nonperforming 4,041 3,362 618 615 17 21 4,676 3,998 Total $ 725,450 $ 740,687 $ 59,413 $ 59,368 $ 8,685 $ 11,167 $ 793,548 $ 811,222 Acquired Loans Residential Real Estate and Consumer Loans Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Performing $ 353,736 $ 407,811 $ 54,101 $ 62,504 $ 1,413 $ 1,707 $ 409,250 $ 472,022 Nonperforming 4,522 3,359 585 529 — 8 5,107 3,896 Total $ 358,258 $ 411,170 $ 54,686 $ 63,033 $ 1,413 $ 1,715 $ 414,357 $ 475,918 The following table summarizes total classified and criticized loans as of June 30, 2020 and December 31, 2019: June 30, 2020 December 31, 2019 Business Business (in thousands) Activities Loans Acquired Loans Total Activities Loans Acquired Loans Total Non-accrual $ 7,761 $ 6,227 $ 13,988 $ 8,354 $ 3,196 $ 11,550 Substandard accruing 26,154 10,175 36,329 26,055 13,387 39,442 Total classified 33,915 16,402 50,317 34,409 16,583 50,992 Special mention 12,774 2,330 15,104 8,525 7,705 16,230 Total Criticized $ 46,689 $ 18,732 $ 65,421 $ 42,934 $ 24,288 $ 67,222 |
BORROWED FUNDS
BORROWED FUNDS | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
BORROWED FUNDS | NOTE 5. BORROWED FUNDS Borrowed funds at June 30, 2020 and December 31, 2019 are summarized, as follows: June 30, 2020 December 31, 2019 Weighted Weighted (dollars in thousands) Carrying Value Average Rate Carrying Value Average Rate Short-term borrowings Advances from the FHLB $ 194,169 0.84 % $ 303,286 1.83 % Other borrowings 33,846 0.68 44,832 0.99 Total short-term borrowings 228,015 0.75 348,118 1.73 Long-term borrowings Advances from the FHLB 187,612 1.73 123,278 1.93 Advances from the FRB PPPLF 131,236 0.34 — — Subordinated borrowings 59,879 4.54 59,920 5.53 Total long-term borrowings 378,727 2.58 183,198 2.87 Total $ 606,742 1.66 % $ 531,316 2.11 % Short-term debt includes Federal Home Loan Bank of Boston (“FHLB”) advances with a maturity of less than one year. The Company also maintains a $1.0 million secured line of credit with the FHLB that bears a daily adjustable rate calculated by the FHLB. There was no outstanding balance on the FHLB line of credit for the periods ended June 30, 2020 and December 31, 2019. The Company has the capacity to borrow funds on a secured basis utilizing the Borrower in Custody program and the Discount Window at the Federal Reserve Bank of Boston (the “FRB”). At June 30, 2020, the Company’s available secured line of credit at the FRB was $82.4 million. The Company has pledged certain loans and securities to the FRB to support this arrangement. There were no outstanding advances with the FRB for the periods ended June 30, 2020 and December 31, 2019. In the second quarter 2020, the FRB provided a Paycheck Protection Program Lending Facility (“PPPLF”) that the Company used to fund most of its PPP loans totaling $131.2 million as of June 30, 2020. The Company maintains, with a correspondent bank, an unused unsecured federal funds line of credit that has an aggregate overnight borrowing capacity of $50.0 million as of June 30, 2020 and December 31, 2019. There was no outstanding balance on the line of credit as of June 30, 2020 and December 31, 2019. Long-term FHLB advances consist of advances with a maturity of more than one year. The advances outstanding at June 30, 2020 and December 31, 2019 include no callable advances and $312 thousand of amortizing advances. All FHLB borrowings, including the line of credit, are secured by a blanket security agreement on certain qualified collateral, principally all residential first mortgage loans and certain securities. A summary of maturities of FHLB advances as of June 30, 2020 is, as follows: June 30, 2020 Weighted Average (in thousands, except rates) Carrying Value Rate Fixed rate advances maturing: 2020 $ 158,500 0.65 % 2021 40,669 1.67 2022 75,000 1.87 2023 80,000 1.77 2024 7,300 1.16 2025 and thereafter 20,312 1.23 Total FHLB advances $ 381,781 1.27 % On November 26, 2019, the Company executed a Subordinated Note Purchase Agreement with an aggregate of $40.0 million of subordinated notes (the "Notes") to accredited investors. The Notes have a maturity date of December 1, 2029 and bear a fixed interest rate of 4.625% through December 1, 2024 payable semi-annually in arrears. From December 1, 2024 and thereafter the interest rate shall be reset quarterly to an interest rate per annum equal to the then current three-month SOFR plus 3.27%. The Company has the option beginning with the interest payment date of December 1, 2024, and on any scheduled payment date thereafter, to redeem the Notes, in whole or in part upon prior approval of the Federal Reserve. Netted with subordinated borrowings is amortized subordinated debt issuance costs of $741 thousand as of June 30, 2020. The Company also has $20.6 million in floating Junior Subordinated Deferrable Interest Debentures ("Debentures") issued by NHTB Capital Trust II ("Trust II") and NHTB Capital Trust III ("Trust III"), which are both Connecticut statutory trusts. The Debentures were issued on March 30, 2004, carry a variable interest rate of 3-month LIBOR plus 2.79%, and mature in 2034. The debt is callable by the Company at the time when any interest payment is made. Trust II and Trust III are considered variable interest entities for which the Company is not the primary beneficiary. Accordingly, Trust II and Trust III are not consolidated into the Company’s financial statements. |
DEPOSITS
DEPOSITS | 6 Months Ended |
Jun. 30, 2020 | |
Deposits [Abstract] | |
DEPOSITS | NOTE 6. DEPOSITS A summary of time deposits is, as follows: (in thousands) June 30, 2020 December 31, 2019 Time less than $100,000 $ 378,100 $ 600,747 Time $100,000 through $250,000 182,727 225,505 Time $250,000 or more 117,299 106,383 Total time deposits $ 678,126 $ 932,635 At June 30, 2020 and December 31, 2019, the scheduled maturities by year for time deposits are, as follows: (in thousands) June 30, 2020 December 31, 2019 Within 1 year $ 475,130 $ 555,074 Over 1 year to 2 years 131,479 287,934 Over 2 years to 3 years 34,812 51,444 Over 3 years to 4 years 27,096 31,262 Over 4 years to 5 years 9,057 6,883 Over 5 years 552 38 Total $ 678,126 $ 932,635 Included in time deposits are brokered deposits of $201.2 million and $526.9 million at June 30, 2020 and December 31, 2019, respectively. Also included in time deposits are reciprocal deposits of $95.0 million and $64.1 million at June 30, 2020 and December 31, 2019, respectively. |
CAPITAL RATIOS AND SHAREHOLDERS
CAPITAL RATIOS AND SHAREHOLDERS' EQUITY | 6 Months Ended |
Jun. 30, 2020 | |
Stockholders' Equity Note [Abstract] | |
SHAREHOLDERS' EQUITY AND EARNINGS PER SHARE | NOTE 7. CAPITAL RATIOS AND SHAREHOLDERS’ EQUITY The actual and required capital ratios are, as follows: Regulatory Regulatory June 30, Minimum to be December 31, Minimum to be 2020 "Well-Capitalized" 2019 "Well-Capitalized" Company (consolidated) Total capital to risk-weighted assets 13.41 % 10.50 % 13.61 % 10.50 % Common equity tier 1 capital to risk-weighted assets 10.41 7.00 10.57 7.00 Tier 1 capital to risk-weighted assets 11.21 8.50 11.39 8.50 Tier 1 capital to average assets 8.11 5.00 8.13 5.00 Bank Total capital to risk-weighted assets 12.85 % 10.50 % 12.42 % 10.50 % Common equity tier 1 capital to risk-weighted assets 12.19 7.00 11.79 7.00 Tier 1 capital to risk-weighted assets 12.19 8.50 11.79 8.50 Tier 1 capital to average assets 8.82 5.00 8.39 5.00 At each date shown, the Company and the Bank met the conditions to be classified as “well-capitalized” under the relevant regulatory framework. To be categorized as "well-capitalized," an institution must maintain minimum total risk-based, Tier 1 risk-based, and Tier 1 leverage ratios as set forth in the table above. The Company and the Bank are subject to the Basel III rule that requires the Company and the Bank to assess their Common equity tier 1 capital to risk-weighted assets and the Company and the Bank each exceed the minimum to be "well-capitalized." Effective January 1, 2019 all banking organizations must maintain a minimum Common equity tier 1 risk-based capital ratio of 7.0%, a minimum Tier 1 risk-based capital ratio of 8.5% and a minimum Total risk-based capital ratio of 10.5%. Accumulated other comprehensive income (loss) Components of accumulated other comprehensive income is, as follows: (in thousands) June 30, 2020 December 31, 2019 Other accumulated comprehensive income, before tax: Net unrealized gain on AFS securities $ 14,913 $ 7,342 Net unrealized loss on hedging derivatives (2,266) (718) Net unrealized loss on post-retirement plans (1,512) (1,512) Income taxes related to items of accumulated other comprehensive income: Net unrealized gain on AFS securities (3,501) (1,793) Net unrealized loss on hedging derivatives 532 237 Net unrealized loss on post-retirement plans 355 355 Accumulated other comprehensive income $ 8,521 $ 3,911 The following table presents the components of other comprehensive income (loss) for the three and six months ended June 30, 2020 and 2019: (in thousands) Before Tax Tax Effect Net of Tax Three Months Ended June 30, 2020 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 3,772 $ (891) $ 2,881 Less: reclassification adjustment for gains (losses) realized in net income 1,351 (322) 1,029 Net unrealized gain on AFS securities 2,421 (569) 1,852 Net unrealized loss on cash flow hedging derivatives: Net unrealized loss arising during the period 626 (147) 479 Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on cash flow hedging derivatives 626 (147) 479 Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 3,047 $ (716) $ 2,331 Three Months Ended June 30, 2019 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 9,646 $ (2,255) $ 7,391 Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on AFS securities 9,646 (2,255) 7,391 Net unrealized loss on cash flow hedging derivatives: Net unrealized loss arising during the period (1,157) 271 (886) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on cash flow hedging derivatives (1,157) 271 (886) Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 8,489 $ (1,984) $ 6,505 (in thousands) Before Tax Tax Effect Net of Tax Six Months Ended June 30, 2020 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 9,148 $ (2,064) $ 7,084 Less: reclassification adjustment for gains (losses) realized in net income 1,486 (355) 1,131 Net unrealized gain on AFS securities 7,662 (1,709) 5,953 Net unrealized loss on derivative hedges: Net unrealized loss arising during the period (1,639) 296 (1,343) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on derivative hedges (1,639) 296 (1,343) Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 6,023 $ (1,413) $ 4,610 Six Months Ended June 30, 2019 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 18,546 $ (4,334) $ 14,212 Less: reclassification adjustment for gains realized in net income — — — Net unrealized gain on AFS securities 18,546 (4,334) 14,212 Net unrealized loss on cash flow hedging derivatives: Net unrealized loss arising during the period (2,002) 469 (1,533) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on cash flow hedging derivatives (2,002) 469 (1,533) Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 16,544 $ (3,865) $ 12,679 The following table presents the changes in each component of accumulated other comprehensive income (loss), net of tax impacts, for the three and six months ended June 30, 2020 and 2019: Net unrealized Net loss on Net unrealized gain (loss) effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Three Months Ended June 30, 2020 Balance at beginning of period $ 9,560 $ (2,213) $ (1,157) $ 6,190 Other comprehensive gain (loss) before reclassifications 2,881 479 — 3,360 Less: amounts reclassified from accumulated other comprehensive income 1,029 — — 1,029 Total other comprehensive income (loss) 1,852 479 — 2,331 Balance at end of period $ 11,412 $ (1,734) $ (1,157) $ 8,521 Three Months Ended June 30, 2019 Balance at beginning of period $ (1,844) $ (2,896) $ (888) $ (5,628) Other comprehensive gain (loss) before reclassifications 7,391 (886) — 6,505 Less: amounts reclassified from accumulated other comprehensive income — — — — Total other comprehensive income (loss) 7,391 (886) — 6,505 Balance at end of period $ 5,547 $ (3,782) $ (888) $ 877 Six Months Ended June 30, 2020 Balance at beginning of period $ 5,459 $ (391) $ (1,157) $ 3,911 Other comprehensive gain (loss) before reclassifications 7,084 (1,343) — 5,741 Less: amounts reclassified from accumulated other comprehensive income 1,131 — — 1,131 Total other comprehensive income (loss) 5,953 (1,343) — 4,610 Balance at end of period $ 11,412 $ (1,734) $ (1,157) $ 8,521 Six Months Ended June 30, 2019 Balance at beginning of period $ (8,665) $ (2,249) $ (888) $ (11,802) Other comprehensive gain (loss) before reclassifications 14,212 (1,533) — 12,679 Less: amounts reclassified from accumulated other comprehensive income — — — — Total other comprehensive income (loss) 14,212 (1,533) — 12,679 Less: amounts reclassified from accumulated other comprehensive income for ASU 2018-02 — — — — Balance at end of period $ 5,547 $ (3,782) $ (888) $ 877 The following tables presents the amounts reclassified out of each component of accumulated other comprehensive income for three and six months ended June 30, 2020 and 2019: Three Months Ended June 30, Six Months Ended June 30, Affected Line Item where (in thousands) 2020 2019 2020 2019 Net Income is Presented Net realized gains on AFS securities: Before tax (1) $ 1,351 $ — $ 1,486 $ — Non-interest income Tax effect (322) — (355) — Tax expense Total reclassifications for the period $ 1,029 $ — $ 1,131 $ — Net of tax (1) Net realized gains before tax include gross realized gains $1.4 million and realized losses of $11 thousand for the three months ended June 30, 2020 and gross realized gains of $1.5 million and realized losses of $22 thousand for the six months ended June 30, 2020. .. |
EARNING PER SHARE
EARNING PER SHARE | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | NOTE 8. EARNINGS PER SHARE The following table presents the calculation of earnings per share: Three Months Ended Six Months Ended June 30, June 30, (in thousands, except per share and share data) 2020 2019 2020 2019 Net income $ 8,481 $ 6,117 $ 16,202 $ 13,398 Average number of basic common shares outstanding 15,423,997 15,538,282 15,500,033 15,530,893 Plus: dilutive effect of stock options and awards outstanding (1) 17,281 47,299 22,960 51,340 Average number of diluted common shares outstanding (1) 15,441,278 15,585,581 15,522,993 15,582,233 Earnings per share: Basic $ 0.55 $ 0.39 $ 1.05 $ 0.86 Diluted $ 0.55 $ 0.39 $ 1.04 $ 0.86 (1) Average diluted shares outstanding are computed using the treasury stock method. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES | NOTE 9. DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES The Company uses derivative instruments to minimize fluctuations in earnings and cash flows caused by interest rate volatility. The Company’s interest rate risk management strategy involves modifying the re-pricing characteristics of certain assets or liabilities so the changes in interest rates do not have a significant effect on net interest income. Thus, all of the Company's derivative contracts are considered to be interest rate contracts. The Company recognizes its derivative instruments on the consolidated balance sheet at fair value. On the date the derivative instrument is entered into, the Company designates whether the derivative is part of a hedging relationship (i.e., cash flow or fair value hedge). The Company formally documents relationships between hedging instruments and hedged items, as well as its risk management objective and strategy for undertaking hedge transactions. The Company also assesses, both at the hedge’s inception and on an ongoing basis, whether the derivatives used in hedging transactions are highly effective in offsetting the changes in cash flows or fair values of hedged items. Changes in fair value of derivative instruments that are highly effective and qualify as cash flow hedges are recorded in other comprehensive income or loss. The Company offers derivative products in the form of interest rate swaps, to commercial loan customers to facilitate their risk management strategies. These instruments are executed through Master Netting Arrangements ("MNA") with financial institution counterparties or Risk Participation Agreements ("RPA") with commercial bank counterparties, for which the Company assumes a pro rata share of the credit exposure associated with a borrower's performance related to the derivative contract with the counterparty. The following tables present information about derivative assets and liabilities at June 30, 2020 and December 31, 2019: June 30, 2020 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale funding $ 125,000 4.5 $ (7,308) Other liabilities Total cash flow hedges 125,000 4.5 (7,308) Fair value hedges: Interest rate swap on securities 37,190 9.3 3,694 Other liabilities Total fair value hedges 37,190 9.3 3,694 Economic hedges: Forward sale commitments 43,967 0.1 (126) Other liabilities Customer Loan Swaps-MNA Counterparty 159,215 7.7 (17,129) Other liabilities Customer Loan Swaps-RPA Counterparty 103,391 8.1 (11,624) Other liabilities Customer Loan Swaps-Customer 262,606 7.8 28,753 Other assets Total economic hedges 569,179 (126) Non-hedging derivatives: Interest rate lock commitments 19,540 0.1 63 Other assets Total non-hedging derivatives 19,540 0.1 63 Total $ 750,909 $ (3,677) December 31, 2019 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale funding $ 100,000 4.6 $ (1,311) Other liabilities Total cash flow hedges 100,000 (1,311) Fair value hedges: Interest rate swap on securities 37,190 9.6 593 Other liabilities Total fair value hedges 37,190 593 Economic hedges: Forward sale commitments 11,228 0.1 (84) Other liabilities Customer Loan Swaps-MNA Counterparty 135,598 7.5 (4,669) (1) Customer Loan Swaps-RPA Counterparty 69,505 8.8 (3,377) (1) Customer Loan Swaps-Customer 205,103 8.1 8,046 (1) Total economic hedges 421,434 (84) Non-hedging derivatives: Interest rate lock commitments 21,748 0.1 59 Other assets Total non-hedging derivatives 21,748 59 Total $ 580,372 $ (743) (1) Customer loan derivatives are subject to MNA or RPA arrangements with financial institution counterparties, thus assets and liabilities with the counterparty are netted for financial statement presentation. As June 30, 2020 and Cumulative Amount of Fair Location of Hedged Item on Carrying Amount of Hedged Value Hedging Adjustment in Balance Sheet Assets (Liabilities) Carrying Amount June 30, 2020 Fair value hedges: Interest rate swap on securities Securities Available for Sale $ 42,232 $ 5,042 December 31, 2019 Fair value hedges: Interest rate swap on securities Securities Available for Sale $ 39,026 $ 523 Information about derivative assets and liabilities for June 30, 2020 and December 31, 2019, follows: Six Months Ended June 30, 2020 Amount of Amount of Gain (Loss) Gain (Loss) Recognized in Reclassified Location of Amount of Other Location of Gain (Loss) from Other Gain (Loss) Gain (Loss) Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income (1) Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ 5,592 Other income $ — Interest expense $ (216) Total cash flow hedges 5,592 — (216) Fair value hedges: Interest rate swap on securities (3,858) Interest income — Interest income 41 Total fair value hedges (3,858) — 41 Economic hedges: Forward commitments — Other income — Other income (43) Total economic hedges — — (43) Non-hedging derivatives: Interest rate lock commitments — Other Income — Other Income 4 Total non-hedging derivatives — — 4 Total $ 1,734 $ — $ (214) (1) As of June 30, 2020 the Company does not expect any reclassifications from accumulated other comprehensive income into earnings within the next 12 months. Years Ended December 31, 2019 Amount of Amount of Gain (Loss) Gain (Loss) Amount of Recognized in Reclassified Location of Gain (Loss) Other Location of Gain (Loss) from Other Gain (Loss) Recognized Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ — Acquisition, restructuring, and other expenses $ 3,156 Interest expense $ (603) Interest rate cap agreements 2,291 Interest expense — Interest expense (2) Total cash flow hedges 2,291 3,156 (605) Fair value hedges: Interest rate swap on securities (523) Interest income — Interest expense 7 Total economic hedges (523) — 7 Economic hedges: Forward commitments — Other income — Other income (84) Total economic hedges — — (84) Non-hedging derivatives: Interest rate lock commitments — Other income — Other Income 52 Total non-hedging derivatives — — 52 Total $ 1,768 $ 3,156 $ (630) Cash flow hedges Interest rate cap agreements In 2014, interest rate cap agreements were purchased to limit the Company’s exposure to rising interest rates on four rolling, three-month borrowings indexed to three-month LIBOR. Under the terms of the agreements, the Company paid total premiums of $4.6 million for the right to receive cash flow payments if three-month LIBOR rises above the caps of 3.00%, thus effectively ensuring interest expense on the borrowings at maximum rates of 3.00% for the duration of the agreements. The interest rate cap agreements were designated as cash flow hedges; however, the caps were terminated in the fourth quarter of 2019 and the unamortized premium totaling $3.2 million was recognized in acquisition, restructuring and other expenses. Interest rate swaps on wholesale funding In March and November 2019 and April 2020, the Company entered into interest rate swaps on wholesale borrowings (the "SWAPS") to limit its exposure to rising interest rates over a five year term on 3-month FHLB borrowings or brokered certificates, or a combination thereof at each maturity date. Under the terms of the agreement, the Company has two swaps each with a $50.0 million notional amount and pays a fixed interest rate of 2.46% and 1.53% respectively and one swap with a $25.0 million notional amount and pays a fixed rate of 0.58%. The financial institution counterparty pays the Company interest on the three-month LIBOR rate. The Company designated the swap as a cash flow hedge. Fair value hedges Interest rate swap on securities For derivative instruments that are designated and qualify as a fair value hedge, the gain or loss on the derivative instrument as well as the offsetting loss or gain on the hedged asset or liability attributable to the hedged risk are recognized in current earnings. The Company utilizes interest rate swaps designated as fair value hedges to mitigate the effect of changing interest rates on the fair values of fixed rate callable securities available-for-sale. The hedging strategy on securities converts the fixed interest rates to LIBOR-based variable interest rates. These derivatives are designated as partial term hedges of selected cash flows covering specified periods of time prior to the call dates of the hedged securities. During 2019, the Company entered into eight swap transactions with a notional amount of $37.2 million designated as fair value hedges. These derivatives are intended to protect against the effects of changing interest rates on the fair values of fixed rate securities. The fixed rates on the transactions have a weighted average of 1.696%. Economic hedges Forward sale commitments The Company utilizes forward sale commitments on residential mortgage loans to hedge interest rate risk and the associated effects on the fair value of interest rate lock commitments and loans originated for sale. The forward sale commitments are accounted for as derivatives. The Company typically uses a combination of best efforts and mandatory delivery contracts. The contracts are loan sale agreements where the Company commits to deliver a certain principal amount of mortgage loans to an investor at a specified price on or before a specified date. Generally, the Company may enter into contracts just prior to the loan closing with a customer. Customer loan derivatives The Company enters into customer loan derivatives to facilitate the risk management strategies for commercial banking customers. The Company mitigates this risk by entering into equal and offsetting loan swap agreements with highly rated third-party financial institutions. The loan swap agreements are free standing derivatives and are recorded at fair value in the Company's consolidated balance sheet. The Company is party to master netting arrangements with its financial institutional counterparties; however, the Company does not offset assets and liabilities under these arrangements for financial statement presentation purposes. The master netting arrangements provide for a single net settlement of all loan swap agreements, as well as collateral or cash funds, in the event of default on, or termination of, any one contract. Collateral is provided by cash or securities received or posted by the counterparty with net liability positions, respectively, in accordance with contract thresholds. Currently, the Company has posted cash of $28.4 million with counterparties. Gross Amounts Offset in the Consolidated Balance Sheet Derivative Cash Collateral (in thousands) Liabilities Derivative Assets Pledged Net Amount As of June 30, 2020 Customer Loan Derivatives: MNA counterparty $ (17,129) $ 17,129 $ 28,350 $ — RPA counterparty (11,624) 11,624 — — Total $ (28,753) $ 28,753 $ 28,350 $ — Gross Amounts Offset in the Consolidated Balance Sheet Derivative Cash Collateral (in thousands) Liabilities Derivative Assets Pledged Net Amount As of December 31, 2019 Customer Loan Derivatives: MNA counterparty $ (4,669) $ 4,669 $ 10,700 $ — RPA counterparty (3,377) 3,377 — — Total $ (8,046) $ 8,046 $ 10,700 $ — Non-hedging derivatives Interest rate lock commitments The Company enters into interest rate lock commitments (“IRLCs”) for residential mortgage loans, which commit the Company to lend funds to a potential borrower at a specific interest rate and within a specified period of time. IRLCs relate to the origination of residential mortgage loans that are held for sale are considered derivative financial instruments under applicable accounting guidance. Outstanding IRLCs expose the Company to the risk that the price of the mortgage loans underlying the commitments may decline due to increases in mortgage interest rates from inception of the rate lock to the funding of the loan. The IRLCs are free standing derivatives which are carried at fair value with changes recorded in non-interest income in the Company’s Consolidated Statements of Income. Changes in the fair value of IRLCs subsequent to inception are based on; (i) changes in the fair value of the underlying loan resulting from the fulfillment of the commitment and (ii) changes in the probability when the loan will fund within the terms of the commitment, which is affected primarily by changes in interest rates and the passage of time. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 10. FAIR VALUE MEASUREMENTS A description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. These valuation methodologies were applied to all of the Company’s financial assets and financial liabilities that are carried at fair value. Recurring Fair Value Measurements The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: June 30, 2020 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 267,444 $ — $ 267,444 US Government agency — 98,655 — 98,655 Private label — 19,367 — 19,367 Obligations of states and political subdivisions thereof — 159,287 — 159,287 Corporate bonds — 96,821 — 96,821 Derivative assets — 28,753 63 28,816 Derivative liabilities — (32,367) (126) (32,493) December 31, 2019 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 321,969 $ — $ 321,969 US Government agency — 99,661 — 99,661 Private label — 19,533 — 19,533 Obligations of states and political subdivisions thereof — 142,006 — 142,006 Corporate bonds — 80,061 — 80,061 Derivative assets — 6,791 59 6,850 Derivative liabilities — (8,102) (84) (8,186) Securities Available for Sale: Derivative Assets and Liabilities Cash Flow and Fair Value Hedges. Interest Rate Lock Commitments. Forward Sale Commitments . Customer Loan Derivatives. Although the Company has determined that the majority of the inputs used to value its customer loan derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with its derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. However, as of June 30, 2020, the Company assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and determined that the credit valuation adjustments are not significant to the overall valuation of its derivatives. As a result, the Company determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. The table below presents the changes in Level 3 assets and liabilities that were measured at fair value on a recurring basis for the three and six months ended June 30, 2020: Assets (Liabilities) Interest Rate Lock Forward (in thousands) Commitments Commitments Three Months Ended June 30, 2020 Balance at beginning of period $ 93 $ (73) Realized gain recognized in non-interest income (30) (53) Balance at end of period $ 63 $ (126) Six Months Ended June 30, 2020 Balance at beginning of period $ 59 $ (84) Realized gain (loss) recognized in non-interest income 4 (42) Balance at end of period $ 63 $ (126) Quantitative information about the significant unobservable inputs within Level 3 recurring assets and liabilities is, as follows: Fair Value Fair Value (in thousands, June 30, December 31, Valuation Unobservable Unobservable except ratios) 2020 2019 Techniques Inputs Input Value Assets (Liabilities) Interest Rate Lock Commitment $ 63 $ 59 Historical trend Closing Ratio 90 % Pricing Model Origination Costs, per loan $ 1.7 Forward Commitments (126) (84) Quoted prices for similar loans in active markets. Freddie Mac pricing system Pair-off contract price Total $ (63) $ (25) Non-Recurring Fair Value Measurements The Company is required, on a non-recurring basis, to adjust the carrying value or provide valuation allowances for certain assets using fair value measurements in accordance with GAAP. The following is a summary of applicable non-recurring fair value measurements: Fair Value Three Months Ended Six Months Ended Measurement Date as of June 30, 2020 December 31, 2019 June 30, 2020 June 30, 2020 June 30, 2020 Level 3 Level 3 Total Total Level 3 (in thousands) Inputs Inputs Gains (Losses) Gains (Losses) Inputs Assets Impaired loans $ 9,623 $ 9,625 $ (1,288) $ 2 June 2020 Capitalized servicing rights 3,234 4,301 (663) (1,067) June 2020 Other real estate owned 2,318 2,236 113 82 August 2019 Premises held for sale 1,764 1,764 — — September 2019 Total $ 16,939 $ 17,926 $ (1,838) $ (983) There are no liabilities measured at fair value on a non-recurring basis in 2020 and 2019. Quantitative information about the significant unobservable inputs within Level 3 non-recurring assets is, as follows: (in thousands, Fair Value Range except ratios) June 30, 2020 Valuation Techniques Unobservable Inputs (Weighted Average) (a) Assets Impaired loans $ 6,924 Fair value of collateral-appraised value Loss severity 0% to 70% Appraised value $0 to $1,730 Impaired loans 2,699 Discount cash flow Discount rate 3.50% to 9.50% Cash flows $21 to $1,002 Capitalized servicing rights 3,234 Discounted cash flow Constant prepayment rate (CPR) 15.95 % Discount rate 10.07 % Other real estate owned 2,318 Fair value of collateral less selling costs Appraised value $ 2,695 Selling Costs 6% to 10% Premises held for sale (b) 1,764 Fair value of asset less selling costs Appraised value $136 to $527 Selling Costs 6 % Total $ 16,939 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individual properties. (b) The carrying value of premises held for sale was $1.8 million as of June 30, 2020. (in thousands, Fair Value Range except ratios) Dec 31, 2019 Valuation Techniques Unobservable Inputs (Weighted Average) (a) Assets Impaired loans $ 6,137 Fair value of collateral-appraised value Loss severity 0% to 55.00% Appraised value $0 to $6,915 Impaired loans 3,488 Discount cash flow Discount rate 2.88% to 9.50% Cash flows $22 to $1,002 Capitalized servicing rights 4,301 Discounted cash flow Constant prepayment rate (CPR) 9.95 % Discount rate 10.07 % Other real estate owned 2,236 Fair value of collateral less selling costs Appraised value $ 2,695 Selling Costs 10% to 20% Premises held for sale (b) 1,764 Fair value of asset less selling costs Appraised value $ $136 to $527 Selling Costs 6.00 % Total $ 17,926 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individual properties. (b) The carrying value of premises held for sale was $1.8 million as of December 31, 2019. There were no Level 1 or Level 2 non-recurring fair value measurements for the periods ended June 30, 2020 and December 31, 2019. Impaired loans. Capitalized loan servicing rights . Other real estate owned (“OREO”). Premises held for sale. Summary of Estimated Fair Values of Financial Instruments The estimated fair values, and related carrying amounts, of the Company’s financial instruments are included in the table below. Certain financial instruments and all non-financial instruments are excluded from disclosure requirements. Accordingly, the aggregate fair value amounts presented herein may not necessarily represent the underlying fair value of the Company. June 30, 2020 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 70,673 $ 70,763 $ 70,763 $ — $ — Securities available for sale 641,574 641,574 — 641,574 — FHLB stock 20,265 20,265 — 20,265 — Net loans 2,712,908 2,698,382 — — 2,698,382 Accrued interest receivable 3,215 3,215 — 3,215 — Cash surrender value of bank-owned life insurance policies 76,896 76,896 — 76,896 — Derivative assets 28,816 28,816 — 28,753 63 Financial Liabilities Non-maturity deposits $ 2,016,736 $ 2,090,727 $ — $ 2,090,727 $ — Time deposits 678,126 668,803 — 668,803 — Short-term other borrowings 33,846 33,846 — 33,846 — FHLB advances 381,781 387,053 — 387,053 — FRB PPPLF 131,236 131,236 — 131,236 — Subordinated borrowings 59,879 59,879 — 59,879 — Derivative liabilities (32,493) (32,493) — (32,367) (126) December 31, 2019 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 56,910 $ 56,910 $ 56,910 $ — $ — Securities available for sale 663,230 663,230 — 663,230 — FHLB stock 20,679 20,679 — 20,679 — Net loans 2,625,739 2,634,147 — — 2,634,147 Accrued interest receivable 3,294 3,294 — 3,294 — Cash surrender value of bank-owned life insurance policies 75,863 75,863 — 75,863 — Derivative assets 6,850 6,850 — 6,791 59 Financial Liabilities Non-maturity deposits $ 1,763,116 $ 1,751,481 $ — $ 1,751,481 $ — Time deposits 932,635 932,886 — 932,886 — Short-term other borrowings 44,832 44,831 — 44,831 — FHLB advances 426,564 425,989 — 425,989 — Subordinated borrowings 59,920 59,920 — 59,920 — Derivative liabilities 8,186 8,186 — 8,102 84 |
REVENUE FROM CONTRACTS WITH CUS
REVENUE FROM CONTRACTS WITH CUSTOMERS | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE FROM CONTRACTS WITH CUSTOMERS | NOTE 11. REVENUE FROM CONTRACTS WITH CUSTOMER The Company has accounted for the various non-interest revenue streams and related contracts under ASC 606. Disaggregation of Revenue The following tables present disaggregation of the Company’s non-interest revenue by major business line and timing of revenue recognition for the transfer of products or services: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2020 2019 2020 2019 Major Products/Service Lines Trust management fees $ 2,892 $ 2,794 $ 5,938 $ 5,319 Financial services fees 267 272 590 505 Interchange fees 1,463 1,213 3,200 2,244 Customer deposit fees 789 1,026 1,899 1,933 Other customer service fees 187 379 452 605 Total $ 5,598 $ 5,684 $ 12,079 $ 10,606 Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2020 2019 2020 2019 Timing of Revenue Recognition Products and services transferred at a point in time $ 2,620 $ 2,767 $ 5,892 $ 5,034 Products and services transferred over time 2,978 2,917 6,187 5,572 Total $ 5,598 $ 5,684 $ 12,079 $ 10,606 Trust Management Fees The trust management business generates revenue through a range of fiduciary services including trust and estate administration, wealth advisory, and investment management to individuals, businesses, not-for-profit organizations, and municipalities. Revenue from these services are generally recognized over time and is typically based on a time elapsed measure of service. Certain fees, such as bill paying fees, distribution fees, real estate sale fees, and supplemental tax service fees, are recorded as revenue at a point in time upon the completion of the service. Financial Services Fees Bar Harbor Financial Services is a branch office of Infinex, an independent registered broker dealer offering securities and insurance products not affiliated with the Company or its subsidiaries. The Company has a revenue sharing agreement with Infinex for any financial service fee income generated. Financial services fees are recognized at a point in time upon the completion of service requirements. Interchange Fees The Company earns interchange fees from transaction fees that merchants pay whenever a customer uses a debit card to make a purchase from their store. The fees are paid to the card-issuing bank to cover handling costs, fraud, bad debt costs and the risk involved in approving the payment. Interchange fees are generally recognized as revenue at a point in time upon the completion of a debit card transaction. Customer Deposit Fees The Customer Deposit business offers a variety of deposit accounts with a range of interest rates, fee schedules and other terms, which are designed to meet the customer's financial needs. Additional depositor-related services provided to customers include ATM, bank-by-phone, internet banking, internet bill pay, mobile banking, and other cash management services which include remote deposit capture, ACH origination, and wire transfers. These customer deposit fees are generally recognized by the Company at a point in time upon the completion of the service. Other Customer Service Fees The Company has certain incentive and referral fee arrangements with independent third parties in which fees are earned for new account activity, product sales, or transaction volume generated for the respective third parties. The Company also earns a percentage of the fees generated from third-party credit card plans promoted through the Bank. Revenue from these incentive and referral fee arrangements are recognized over time using the right to invoice measure of progress. Contract Balances from Contracts with Customers The following table provides information about contract assets or receivables and contract liabilities or deferred revenues from contracts with customers: Balance at Balance at (in thousands) June 30, 2020 December 31, 2019 Balances from contracts with customers only: Other Assets $ 2,842 $ 1,703 Other Liabilities 3,027 3,114 The timing of revenue recognition, billings and cash collections results in contract assets or receivables and contract liabilities or deferred revenue on the consolidated balance sheets. For most customer contracts, fees are deducted directly from customer accounts and, therefore, there is no associated impact on the accounts receivable balance. For certain types of service contracts, the Company has an unconditional right to consideration under the service contract and an accounts receivable balance is recorded for services completed. When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded. Contract liabilities are recognized as revenue after control of the products or services is transferred to the customer and all revenue recognition criteria have been met. Costs to Obtain and Fulfill a Contract The Company currently expenses contract costs for processing and administrative fees for debit card transactions. The Company also expenses custody fees and transactional costs associated with securities transactions as well as third party tax preparation fees. The Company has elected the practical expedient in ASC 340-40-25-4, whereby the Company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets the Company otherwise would have recognized is one year |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
LEASES | NOTE 12. LEASES A lease is defined as a contract, or part of a contract, that conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. On January 1, 2019, the Company adopted ASU No. 2016-02 “Leases” The Company elected the following practical expedients in conjunction with implementation of ASC 842 as follows: ● Package of practical expedients : o Lease classification as an operating lease under the prior standards is grandfathered. o Re-evaluation of embedded leases evaluated under the prior standards is not required. o No re-assessment of previously recorded initial direct lease costs. ● Election to exclude short-term leases (i.e., leases with initial terms of twelve months or less), from capitalization on the consolidated balance sheets. The following table presents the consolidated statements of condition classification of the Company’s ROU assets and lease liabilities as of June 30, 2020: (in thousands) June 30, 2020 December 31, 2019 Lease Right-of-Use Assets Classification Operating lease right-of-use assets Other assets $ 9,866 $ 9,623 Lease Liabilities Operating lease liabilities Other liabilities 9,968 9,651 The calculated amount of the ROU assets and lease liabilities in the table above are impacted by the length of the lease term and the discount rate used for the present value of the minimum lease payments. The Company’s lease agreements often include one or more options to renew at the Company’s discretion. If at lease inception, the Company considers the exercising of a renewal option to be reasonably certain, the Company will include the extended term in the calculation of the ROU asset and lease liability. If there are multiple renewals typically only the next lease renewal is considered. Regarding the discount rate, ASC 842 requires the use of the rate implicit in the lease whenever this rate is readily determinable. As this rate is rarely determinable, the Company utilizes its incremental borrowing rate at lease inception, on a collateralized basis, over a similar term. The following table presents the weighted average lease term and discount rate of the Company’s leases: June 30, 2020 December 31, 2019 Weighted-average remaining lease term (in years) Operating leases 9.27 8.96 Weighted-average discount rate Operating leases 3.30 % 3.27 % The following table represents lease costs and other lease information. As the Company elected, for all classes of underlying assets, not to separate lease and non-lease components and instead to account for them as a single lease component, the variable lease cost primarily represents variable payments such as real estate taxes, common area maintenance and utilities. Three Months Ended Six Months Ended (in thousands) June 30, 2020 June 30, 2020 Lease Costs Operating lease cost $ 323 $ 644 Variable lease cost 62 118 Total lease cost $ 385 $ 762 Future minimum payments for operating leases with initial or remaining terms of one year or more as of June 30, 2020 are, as follows: (in thousands) Operating Leases Twelve Months Ended: June 30, 2021 $ 1,284 June 30, 2022 1,307 June 30, 2023 1,319 June 30, 2024 1,327 June 30, 2025 1,176 Thereafter 6,549 Total future minimum lease payments 12,962 Amounts representing interest (2,994) Present value of net future minimum lease payments $ 9,968 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation | The consolidated financial statements (the “financial statements”) of Bar Harbor Bankshares and its subsidiaries (the “Company” or “Bar Harbor”) have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Bar Harbor Bankshares is a Maine Financial Institution Holding Company for the purposes of the laws of the state of Maine, and as such is subject to the jurisdiction of the Superintendent of the Maine Bureau of Financial Institutions. These financial statements include the accounts of the Company, its wholly owned subsidiary Bar Harbor Bank & Trust (the "Bank") and the Bank’s consolidated subsidiaries. The results of operations of companies or assets acquired are included only from the dates of acquisition. All material wholly owned and majority owned subsidiaries are consolidated unless GAAP requires otherwise. |
Reclassifications | Reclassifications: |
Operating, Accounting and Reporting Considerations related to COVID-19 | Operating, Accounting and Reporting Considerations related to COVID-19: The COVID-19 pandemic has negatively impacted the global economy. In response to this crisis, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was passed by Congress and signed into law on March 27, 2020. The CARES Act provides an estimated $2.2 trillion to fight the COVID-19 pandemic and stimulate the economy by supporting individuals and businesses through loans, grants, tax changes, and other types of relief. Some of the provisions applicable to the Company include, but are not limited to: ● Accounting for Loan Modifications - The CARES Act provides that a financial institution may elect to suspend (1) the requirements under GAAP for certain loan modifications that may otherwise be categorized as a TDR and (2) any determination that such loan modifications would be considered a TDR, including the related impairment for accounting purposes. ● Paycheck Protection Program - The CARES Act established the Paycheck Protection Program (“PPP”), an expansion of the Small Business Administration’s 7(a) loan program and the Economic Injury Disaster Loan Program (“EIDL”), administered directly by the SBA. ● Mortgage Forbearance - Under the CARES Act, through the earlier of December 31, 2020, or the termination date of the COVID-19 national emergency, a borrower with a federally backed mortgage loan that is experiencing financial hardship due to COVID-19 may request a forbearance. A multifamily borrower with a federally backed multifamily mortgage loan that was current as of February 1, 2020, and is experiencing financial hardship due to COVID-19 may request forbearance on the loan for up to 30 days, with up to two additional 30-day periods at the borrower’s request. Also in response to the COVID-19 pandemic, the Board of Governors of the Federal Reserve System (“FRB”), the Federal Deposit Insurance Corporation (“FDIC”), the National Credit Union Administration (“NCUA”), the Office of the Comptroller of the Currency (“OCC”), and the Consumer Financial Protection Bureau (“CFPB”), in consultation with the state financial regulators (collectively, the “agencies”) issued a joint interagency statement (issued March 22, 2020; revised statement issued April 7, 2020). Some of the provisions applicable to the Company include, but are not limited to: ● Accounting for Loan Modifications - Loan modifications that do not meet the conditions of the CARES Act may still qualify as a modification that does not need to be accounted for as a TDR. The agencies confirmed with FASB staff 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 TDRs. This includes short-term (e.g., six months) modifications such as payment deferrals, fee waivers, extensions of repayment terms, or insignificant delays in payment. ● Past Due Reporting - With regard to loans not otherwise reportable as past due, financial institutions are not expected to designate loans with deferrals granted due to COVID-19 as past due because of the deferral. A loan’s payment date is governed by the due date stipulated in the legal agreement. If a financial institution agrees to a payment deferral, these loans would not be considered past due during the period of the deferral. ● Nonaccrual Status and Risk Rating - For short-term COVID-19 modifications, these loans generally should not be reported as nonaccrual or as having a classified risk rating. |
SECURITIES AVAILABLE FOR SALE (
SECURITIES AVAILABLE FOR SALE (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Securities Available for Sale | Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value June 30, 2020 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 258,169 $ 9,701 $ (426) $ 267,444 US Government agency 94,894 3,845 (84) 98,655 Private label 20,200 41 (874) 19,367 Obligations of states and political subdivisions thereof 153,802 5,514 (29) 159,287 Corporate bonds 98,248 1,141 (2,568) 96,821 Total securities available for sale $ 625,313 $ 20,242 $ (3,981) $ 641,574 Gross Gross Unrealized Unrealized (in thousands) Amortized Cost Gains Losses Fair Value December 31, 2019 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 319,064 $ 4,985 $ (2,080) $ 321,969 US Government agency 98,568 1,640 (547) 99,661 Private label 20,212 68 (747) 19,533 Obligations of states and political subdivisions thereof 139,240 3,034 (268) 142,006 Corporate bonds 78,804 1,478 (221) 80,061 Total securities available for sale $ 655,888 $ 11,205 $ (3,863) $ 663,230 |
Schedule of Amortized Cost and Estimated Fair Value of Available for Sale (AFS) Securities, Segregated by Contractual Maturity | Available for sale (in thousands) Amortized Cost Fair Value Within 1 year $ — $ — Over 1 year to 5 years 26,069 26,368 Over 5 years to 10 years 70,676 69,548 Over 10 years 155,305 160,192 Total bonds and obligations 252,050 256,108 Mortgage-backed securities 373,263 385,466 Total securities available for sale $ 625,313 $ 641,574 |
Schedule of Gains and Losses from Sale of AFS Securities | Three Months Ended Six Months Ended June 30, June 30, (In thousands) 2020 2019 2020 2019 Gross gains on sales of available for sale securities $ 1,362 $ — $ 1,508 $ — Gross losses on sales of available for sale securities (11) — (22) — Net gains on sale of available for sale securities $ 1,351 $ — $ 1,486 $ — |
Schedule of Securities with Unrealized Losses, Segregated by the Duration of Continuous Unrealized Loss Positions | Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (In thousands) Losses Value Losses Value Losses Value June 30, 2020 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 187 $ 39,157 $ 239 $ 4,047 $ 426 $ 43,204 US Government agency 57 5,177 27 1,674 84 6,851 Private label 3 112 871 19,133 874 19,245 Obligations of states and political subdivisions thereof 29 11,564 — — 29 11,564 Corporate bonds 2,332 45,854 236 4,765 2,568 50,619 Total securities available for sale $ 2,608 $ 101,864 $ 1,373 $ 29,619 $ 3,981 $ 131,483 Less Than Twelve Months Over Twelve Months Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair (In thousands) Losses Value Losses Value Losses Value December 31, 2019 Debt securities: Mortgage-backed securities: US Government-sponsored enterprises $ 1,074 $ 43,429 $ 1,006 $ 49,712 $ 2,080 $ 93,141 US Government agency 432 19,717 115 9,120 547 28,837 Private label 380 9,843 367 9,411 747 19,254 Obligations of states and political subdivisions thereof 137 29,355 131 1,682 268 31,037 Corporate bonds 142 9,888 79 12,276 221 22,164 Total securities available for sale $ 2,165 $ 112,232 $ 1,698 $ 82,201 $ 3,863 $ 194,433 |
Schedule of Other Than Temporary Impairment Losses | Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Estimated credit losses as of prior year-end $ 1,697 $ 1,697 $ 1,697 $ 1,697 Reductions for securities paid off during the period — — — — Estimated credit losses at end of the period $ 1,697 $ 1,697 $ 1,697 $ 1,697 |
LOANS (Tables)
LOANS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
Schedule of Loans | June 30, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 60,096 $ 2,377 $ 62,473 $ 31,387 $ 2,903 $ 34,290 Other commercial real estate 722,949 196,648 919,597 666,051 230,320 896,371 Total commercial real estate 783,045 199,025 982,070 697,438 233,223 930,661 Commercial and industrial: Commercial 384,390 69,949 454,339 239,692 59,072 298,764 Agricultural 18,026 159 18,185 20,018 206 20,224 Tax exempt 40,593 26,325 66,918 66,860 37,443 104,303 Total commercial and industrial 443,009 96,433 539,442 326,570 96,721 423,291 Total commercial loans 1,226,054 295,458 1,521,512 1,024,008 329,944 1,353,952 Residential real estate: Residential mortgages 725,450 358,258 1,083,708 740,687 411,170 1,151,857 Total residential real estate 725,450 358,258 1,083,708 740,687 411,170 1,151,857 Consumer: Home equity 59,413 54,686 114,099 59,368 63,033 122,401 Other consumer 8,685 1,413 10,098 11,167 1,715 12,882 Total consumer 68,098 56,099 124,197 70,535 64,748 135,283 Total loans $ 2,019,602 $ 709,815 $ 2,729,417 $ 1,835,230 $ 805,862 $ 2,641,092 |
Schedule of Activity in the Accretable Yield for the Acquired Loan Portfolio that Falls Under the Review of ASC 310-30, Accounting for Certain Loans or Debt Securities Acquired in a Transfer | Three Months Ended June 30, (in thousands) 2020 2019 Balance at beginning of period $ 6,839 $ 4,150 Reclassification from nonaccretable difference for loans with improved cash flows 370 402 Accretion (982) (357) Balance at end of period $ 6,227 $ 4,195 Six Months Ended June 30, (in thousands) 2020 2019 Balance at beginning of period $ 7,367 $ 4,377 Reclassification from nonaccretable difference for loans with improved cash flows 424 624 Accretion (1,564) (806) Balance at end of period $ 6,227 $ 4,195 |
Summary of Past Due Loans | Business Activities Loans 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing June 30, 2020 Commercial real estate: Construction and land development $ — $ — $ 267 $ 267 $ 59,829 $ 60,096 $ — Other commercial real estate 1,450 23 720 2,193 720,756 722,949 — Total commercial real estate 1,450 23 987 2,460 780,585 783,045 — Commercial and industrial: Commercial 152 295 646 1,093 383,297 384,390 49 Agricultural 20 — 158 178 17,848 18,026 16 Tax exempt — — — — 40,593 40,593 — Total commercial and industrial 172 295 804 1,271 441,738 443,009 65 Total commercial loans 1,622 318 1,791 3,731 1,222,323 1,226,054 65 Residential real estate: Residential mortgages 320 1,820 1,950 4,090 721,360 725,450 270 Total residential real estate 320 1,820 1,950 4,090 721,360 725,450 270 Consumer: Home equity 40 153 384 577 58,836 59,413 — Other consumer 5 — 2 7 8,678 8,685 — Total consumer 45 153 386 584 67,514 68,098 — Total loans $ 1,987 $ 2,291 $ 4,127 $ 8,405 $ 2,011,197 $ 2,019,602 $ 335 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing June 30, 2020 Commercial real estate: Construction and land development $ — $ — $ — $ — $ 269 $ 2,377 $ — Other commercial real estate 113 1,495 960 2,568 6,993 196,648 298 Total commercial real estate 113 1,495 960 2,568 7,262 199,025 298 Commercial and industrial: Commercial 48 97 409 554 1,821 69,949 387 Agricultural — — — — 159 159 — Tax exempt — — — — — 26,325 — Total commercial and industrial 48 97 409 554 1,980 96,433 387 Total commercial loans 161 1,592 1,369 3,122 9,242 295,458 685 Residential real estate: Residential mortgages 433 530 1,033 1,996 4,715 358,258 60 Total residential real estate 433 530 1,033 1,996 4,715 358,258 60 Consumer: Home equity 273 369 285 927 766 54,686 25 Other consumer — — — — 47 1,413 — Total consumer 273 369 285 927 813 56,099 25 Total loans $ 867 $ 2,491 $ 2,687 $ 6,045 $ 14,770 $ 709,815 $ 770 Business Activities Loans ` 90 Days or Past Due > 30-59 Days 60-89 Days Greater Total Past 90 days and (in thousands) Past Due Past Due Past Due Due Current Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ 205 $ 53 $ — $ 258 $ 31,129 $ 31,387 $ — Other commercial real estate 40 1,534 1,810 3,384 662,667 666,051 — Total commercial real estate 245 1,587 1,810 3,642 693,796 697,438 — Commercial and industrial: Commercial 452 50 894 1,396 238,296 239,692 — Agricultural 62 34 96 192 19,826 20,018 — Tax exempt — — — — 66,860 66,860 — Total commercial and industrial 514 84 990 1,588 324,982 326,570 — Total commercial loans 759 1,671 2,800 5,230 1,018,778 1,024,008 — Residential real estate: Residential mortgages 7,293 1,243 668 9,204 731,483 740,687 — Total residential real estate 7,293 1,243 668 9,204 731,483 740,687 — Consumer: Home equity 597 43 429 1,069 58,299 59,368 50 Other consumer 36 12 — 48 11,119 11,167 — Total consumer 633 55 429 1,117 69,418 70,535 50 Total loans $ 8,685 $ 2,969 $ 3,897 $ 15,551 $ 1,819,679 $ 1,835,230 $ 50 Acquired Loans 90 Days or Acquired Past Due > 30-59 Days 60-89 Days Greater Total Past Credit 90 days and (in thousands) Past Due Past Due Past Due Due Impaired Total Loans Accruing December 31, 2019 Commercial real estate: Construction and land development $ — $ 12 $ — $ 12 $ 384 $ 2,903 $ — Other commercial real estate 2,029 245 231 2,505 8,289 230,320 — Total commercial real estate 2,029 257 231 2,517 8,673 233,223 — Commercial and industrial: Commercial 440 335 140 915 2,723 59,072 — Agricultural — — — — 173 206 — Tax exempt — — — — 36 37,443 — Total commercial and industrial 440 335 140 915 2,932 96,721 — Total commercial loans 2,469 592 371 3,432 11,605 329,944 — Residential real estate: Residential mortgages 3,185 864 1,015 5,064 5,591 411,170 — Total residential real estate 3,185 864 1,015 5,064 5,591 411,170 — Consumer: Home equity 208 548 217 973 1,291 63,033 217 Other consumer 2 9 — 11 66 1,715 — Total consumer 210 557 217 984 1,357 64,748 217 Total loans $ 5,864 $ 2,013 $ 1,603 $ 9,480 $ 18,553 $ 805,862 $ 217 |
Summary of Information Pertaining to Non-Accrual Loans | June 30, 2020 December 31, 2019 Business Business Activities Acquired Activities Acquired (in thousands) Loans Loans Total Loans Loans Total Commercial real estate: Construction and land development $ 267 $ — $ 267 $ 258 $ — $ 258 Other commercial real estate 1,487 2,227 3,714 2,888 343 3,231 Total commercial real estate 1,754 2,227 3,981 3,146 343 3,489 Commercial and industrial: Commercial 803 459 1,262 932 626 1,558 Agricultural 528 — 528 278 — 278 Tax exempt — — — — — — Total commercial and industrial 1,331 459 1,790 1,210 626 1,836 Total commercial loans 3,085 2,686 5,771 4,356 969 5,325 Residential real estate: Residential mortgages 4,041 3,153 7,194 3,362 1,973 5,335 Total residential real estate 4,041 3,153 7,194 3,362 1,973 5,335 Consumer: Home equity 618 388 1,006 615 254 869 Other consumer 17 — 17 21 — 21 Total consumer 635 388 1,023 636 254 890 Total loans $ 7,761 $ 6,227 $ 13,988 $ 8,354 $ 3,196 $ 11,550 |
Schedule of Loans Evaluated for Impairment | Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total June 30, 2020 Balance at end of period Individually evaluated for impairment $ 2,482 $ 1,049 $ 2,396 $ 13 $ 5,940 Collectively evaluated 780,563 441,960 723,054 68,085 2,013,662 Total $ 783,045 $ 443,009 $ 725,450 $ 68,098 $ 2,019,602 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total June 30, 2020 Balance at end of period Individually evaluated for impairment $ 2,402 $ 356 $ 925 $ — $ 3,683 Purchased credit impaired 7,262 1,980 4,715 813 14,770 Collectively evaluated 189,361 94,097 352,618 55,286 691,362 Total $ 199,025 $ 96,433 $ 358,258 $ 56,099 $ 709,815 Business Activities Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 3,964 $ 1,353 $ 2,620 $ 13 $ 7,950 Collectively evaluated 693,474 325,217 738,067 70,522 1,827,280 Total $ 697,438 $ 326,570 $ 740,687 $ 70,535 $ 1,835,230 Acquired Loans Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total December 31, 2019 Balance at end of period Individually evaluated for impairment $ 258 $ 385 $ 1,032 $ — $ 1,675 Purchased credit impaired 8,673 2,932 5,591 1,357 18,553 Collectively evaluated 224,292 93,404 404,547 63,391 785,634 Total $ 233,223 $ 96,721 $ 411,170 $ 64,748 $ 805,862 |
Summary of Impaired Loans | Business Activities Loans June 30, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,344 1,449 — Commercial 625 714 — Agricultural 290 428 — Tax exempt loans — — — Residential real estate 1,875 2,036 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 267 265 213 Other commercial real estate 871 924 474 Commercial 134 134 18 Agricultural — — — Tax exempt loans — — — Residential real estate 521 587 60 Home equity 13 13 1 Other consumer — — — Total Commercial real estate 2,482 2,638 687 Commercial and industrial 1,049 1,276 18 Residential real estate 2,396 2,623 60 Consumer 13 13 1 Total impaired loans $ 5,940 $ 6,550 $ 766 Acquired Loans June 30, 2020 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,518 1,525 — Commercial 284 373 — Agricultural — — — Tax exempt loans — — — Residential real estate 401 590 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 884 907 365 Commercial 72 74 9 Agricultural — — — Tax exempt loans — — — Residential real estate 524 707 67 Home equity — — — Other consumer — — — Total Commercial real estate 2,402 2,432 365 Commercial and industrial 356 447 9 Residential real estate 925 1,297 67 Consumer — — — Total impaired loans $ 3,683 $ 4,176 $ 441 Business Activities Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 1,911 1,957 — Commercial 710 773 — Agricultural 361 261 — Tax exempt loans — — — Residential real estate 2,067 2,227 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development 258 258 205 Other commercial real estate 1,795 1,940 1,026 Commercial 282 289 164 Agricultural — — — Tax exempt loans — — — Residential real estate 553 590 57 Home equity 13 13 — Other consumer — — — Total Commercial real estate 3,964 4,155 1,231 Commercial and industrial 1,353 1,423 164 Residential real estate 2,620 2,817 57 Consumer 13 13 — Total impaired loans $ 7,950 $ 8,408 $ 1,452 Acquired Loans December 31, 2019 Recorded Unpaid Principal Related (in thousands) Investment Balance Allowance With no related allowance: Construction and land development $ — $ — $ — Other commercial real estate 90 90 — Commercial 385 481 — Agricultural — — — Tax exempt — — — Residential mortgages 678 938 — Home equity — — — Other consumer — — — With an allowance recorded: Construction and land development — — — Other commercial real estate 168 168 12 Commercial — — — Agricultural — — — Tax exempt — — — Residential mortgages 354 376 49 Home equity — — — Other consumer — — — Total Commercial real estate 258 258 12 Commercial and industrial 385 481 — Residential real estate 1,032 1,314 49 Consumer — — — Total impaired loans $ 1,675 $ 2,053 $ 61 |
Summary of the Average Recorded Investment and Interest Income Recognized on Impaired Loans | Business Activities Loans Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,347 3 7,499 20 Commercial 652 1 940 2 Agricultural 382 — — — Tax exempt loans — — — — Residential real estate 1,875 4 2,104 16 Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development 265 — 1 — Other commercial real estate 871 — 1,396 — Commercial 134 — 412 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 546 — 572 3 Home equity 13 — 13 — Other consumer — — — — Total Commercial real estate 2,483 3 8,896 20 Commercial and industrial 1,168 1 1,352 2 Residential real estate 2,421 4 2,676 19 Consumer 13 — 13 — Total impaired loans $ 6,085 $ 8 $ 12,937 $ 41 Business Activities Loans Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,286 6 7,219 46 Commercial 657 2 931 4 Agricultural 406 — — — Tax exempt loans — — — — Residential real estate 1,880 16 2,113 31 Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development 264 — 3 — Other commercial real estate 874 — 1,497 — Commercial 134 — 417 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 547 2 534 5 Home equity 13 — 13 — Other consumer — — — — Total Commercial real estate 2,424 6 8,719 46 Commercial and industrial 1,197 2 1,348 4 Residential real estate 2,427 18 2,647 36 Consumer 13 — 13 — Total impaired loans $ 6,061 $ 26 $ 12,727 $ 86 Acquired Loans Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 1,527 — 187 — Commercial 295 — 412 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 446 — 426 — Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development — — — — Other commercial real estate 906 3 71 — Commercial 75 — — — Agricultural — — — — Tax exempt loans — — — — Residential real estate 596 — 363 — Home equity — — — — Other consumer — — — — Total Commercial real estate 2,433 3 258 — Commercial and industrial 370 — 412 — Residential real estate 1,042 — 789 — Consumer — — — — Total impaired loans $ 3,845 $ 3 $ 1,459 $ — Acquired Loans Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Average Recorded Interest Average Recorded Interest (in thousands) Investment Income Recognized Investment Income Recognized With no related allowance: Construction and land development $ — $ — $ — $ — Other commercial real estate 763 — 157 — Commercial 345 — 446 — Agricultural — — — — Tax exempt loans — — — — Residential real estate 456 — 431 — Home equity — — — — Other consumer — — — — With an allowance recorded: Construction and land development — — — — Other commercial real estate 663 3 36 — Commercial 80 — — — Agricultural — — — — Tax exempt loans — — — — Residential real estate 601 — 365 — Home equity — — — — Other consumer — — — — Total Commercial real estate 1,426 3 193 — Commercial and industrial 425 — 446 — Residential real estate 1,057 — 796 — Consumer — — — — Total impaired loans $ 2,908 $ 3 $ 1,435 $ — |
Schedule of Recorded Investment and Number of Modifications for TDRs | The following tables include the recorded investment and number of modifications identified during the three and six months ended June 30, 2020 and 2019, respectively. The table includes the recorded investment in the loans prior to a modification and also the recorded investment in the loans after the loans were restructured. Modifications may include adjustments to interest rates, payment amounts, extensions of maturity, court ordered concessions or other actions intended to minimize economic loss and avoid foreclosure or repossession of collateral. There were no modifications qualifying as TDR’s for the three months ended June 30, 2020. Three Months Ended June 30, 2019 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded (in thousands, except modifications) Modifications Investment Investment Troubled Debt Restructurings Other commercial real estate 2 186 177 Commercial 1 12 12 Residential mortgages 2 152 116 Total 5 $ 350 $ 305 Six Months Ended June 30, 2020 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded (in thousands, except modifications) Modifications Investment Investment Troubled Debt Restructurings Other commercial real estate 1 $ 54 $ 252 Other commercial 3 41 196 Home equity 1 26 25 Other consumer 1 9 9 Total 6 $ 130 $ 482 Six Months Ended June 30, 2019 Pre-Modification Post-Modification Number of Outstanding Recorded Outstanding Recorded (in thousands, except modifications) Modifications Investment Investment Troubled Debt Restructurings Other commercial real estate 5 $ 299 $ 290 Other commercial 3 43 43 Residential mortgages 8 682 644 Total 16 $ 1,024 $ 977 The following tables summarize the types of loan concessions made for the periods presented: Three Months Ended June 30, 2020 2019 Post-Modification Post-Modification Outstanding Outstanding Number of Recorded Number of Recorded (in thousands, except modifications) Modifications Investment Modifications Investment Troubled Debt Restructurings Interest only payments and maturity concession — $ — 1 $ 70 Forbearance and interest only payments — — 2 131 Forbearance and maturity concession — — 1 46 Other — — 1 58 Total — $ — 5 $ 305 Six Months Ended June 30, 2020 2019 Post-Modification Post-Modification Outstanding outstanding Number of Recorded Number of Recorded (in thousands, except modifications) Modifications Investment Modifications Investment Troubled Debt Restructurings Interest rate and maturity concession — $ — — $ — Interest only payments and maturity concession — — 2 75 Interest rate, forbearance and maturity concession 4 448 — — Amortization and maturity concession — — 4 275 Forbearance — — 1 77 Forbearance and interest only payments 1 25 4 243 Forbearance and maturity concession — — 4 249 Maturity concession 1 9 — — Other — — 1 58 Total 6 $ 482 16 $ 977 |
Schedule of Servicing Rights Activity | At or for the Three Months Ended June 30, At or for the Six Months Ended June 30, (in thousands) 2020 2019 2020 2019 Balance at beginning of year $ 2,939 $ 3,025 $ 3,001 $ 3,086 Acquired — — — — Additions 164 51 253 107 Amortization (192) (135) (343) (252) Balance at end of year $ 2,911 $ 2,941 $ 2,911 $ 2,941 |
ALLOWANCE FOR LOAN LOSSES (Tabl
ALLOWANCE FOR LOAN LOSSES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
Schedule of Activity in the Allowance for Loan Losses | Business Activities Loans At or for the Three Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 7,661 $ 3,543 $ 3,513 $ 384 $ 15,101 Charged-off loans — (153) (21) (35) (209) Recoveries on charged-off loans 71 1 — 2 74 Provision (release) for loan losses 684 (150) 453 25 1,012 Balance at end of period $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Individually evaluated for impairment 687 18 60 1 766 Collectively evaluated 7,729 3,223 3,885 375 15,212 Total $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Business Activities Loans At or for the Six Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 7,668 $ 3,608 $ 3,402 $ 379 $ 15,057 Charged-off loans (771) (304) (21) (185) (1,281) Recoveries on charged-off loans 78 1 — 2 81 Provision (release) for loan losses 1,441 (64) 564 180 2,121 Balance at end of period $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Individually evaluated for impairment 687 18 60 1 766 Collectively evaluated 7,729 3,223 3,885 375 15,212 Total $ 8,416 $ 3,241 $ 3,945 $ 376 $ 15,978 Acquired Loans At or for the Three Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 64 $ 3 $ 129 $ — $ 196 Charged-off loans — (3) (3) (5) (11) Recoveries on charged-off loans — — 4 — 4 Provision (release) for loan losses 337 12 (12) 5 342 Balance at end of period $ 401 $ 12 $ 118 $ — $ 531 Individually evaluated for impairment 365 9 67 — 441 Collectively evaluated 36 3 51 — 90 Total $ 401 $ 12 $ 118 $ — $ 531 Acquired Loans At or for the Six Months Ended June 30, 2020 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 147 $ 6 $ 143 $ — $ 296 Charged-off loans (101) (33) (11) (6) (151) Recoveries on charged-off loans 18 9 11 4 42 Provision (release) for loan losses 337 30 (25) 2 344 Balance at end of period $ 401 $ 12 $ 118 $ — $ 531 Individually evaluated for impairment 365 9 67 — 441 Collectively evaluated 36 3 51 — 90 Total $ 401 $ 12 $ 118 $ — $ 531 Business Activities Loans At or for the Three Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,575 $ 2,778 $ 3,953 $ 396 $ 13,702 Charged-off loans — (13) — (22) (35) Recoveries on charged-off loans 114 1 — 2 117 Provision (release) for loan losses 517 (18) (11) 18 506 Balance at end of period $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Individually evaluated for impairment 449 39 75 1 564 Collectively evaluated 6,757 2,709 3,867 393 13,726 Total $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Business Activities Loans At or for the Six Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 6,811 $ 2,380 $ 3,982 $ 408 $ 13,581 Charged-off loans (57) (13) — (75) (145) Recoveries on charged-off loans 130 1 18 6 155 Provision (release) for loan losses 322 380 (58) 55 699 Balance at end of period $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Individually evaluated for impairment 449 39 75 1 564 Collectively evaluated 6,757 2,709 3,867 393 13,726 Total $ 7,206 $ 2,748 $ 3,942 $ 394 $ 14,290 Acquired Loans At or for the Three Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 161 $ 29 $ 105 $ — $ 295 Charged-off loans — — (65) (4) (69) Recoveries on charged-off loans — — — — — Provision (release) for loan losses (2) (7) 61 4 56 Balance at end of period $ 159 $ 22 $ 101 $ — $ 282 Individually evaluated for impairment 12 — 35 — 47 Collectively evaluated 147 22 66 — 235 Total $ 159 $ 22 $ 101 $ — $ 282 Acquired Loans At or for the Six Months Ended June 30, 2019 Commercial Commercial Residential (in thousands) real estate and industrial real estate Consumer Total Balance at beginning of period $ 173 $ 35 $ 77 $ — $ 285 Charged-off loans — (15) (170) (5) (190) Recoveries on charged-off loans — — — — — Provision (releases) for loan losses (14) 2 194 5 187 Balance at end of period $ 159 $ 22 $ 101 $ — $ 282 Individually evaluated for impairment 12 — 35 — 47 Collectively evaluated 147 22 66 — 235 Total $ 159 $ 22 $ 101 $ — $ 282 |
Schedule of Loans by Risk Rating | Business Activities Loans Commercial Real Estate Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 59,829 $ 31,057 $ 699,720 $ 646,886 $ 759,549 $ 677,943 Special mention — — 9,011 5,483 9,011 5,483 Substandard — 330 13,257 11,974 13,257 12,304 Doubtful 267 — 961 1,708 1,228 1,708 Total $ 60,096 $ 31,387 $ 722,949 $ 666,051 $ 783,045 $ 697,438 Acquired Loans Commercial Real Estate Commercial construction and land development Commercial real estate other Total commercial real estate (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 2,014 $ 2,412 $ 185,970 $ 218,491 $ 187,984 $ 220,903 Special mention — 12 1,499 2,261 1,499 2,273 Substandard 363 479 7,617 9,400 7,980 9,879 Doubtful — — 1,562 168 1,562 168 Total $ 2,377 $ 2,903 $ 196,648 $ 230,320 $ 199,025 $ 233,223 Business Activities Loans Commercial and Industrial Commercial Agricultural Tax exempt loans Total commercial (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 366,761 $ 221,329 $ 17,138 $ 18,940 $ 40,593 $ 66,860 $ 424,492 $ 307,129 Special mention 3,544 2,744 219 298 — — 3,763 3,042 Substandard 13,363 14,866 444 780 — — 13,807 15,646 Doubtful 722 753 225 — — — 947 753 Total $ 384,390 $ 239,692 $ 18,026 $ 20,018 $ 40,593 $ 66,860 $ 443,009 $ 326,570 Acquired Loans Commercial and Industrial Commercial Agricultural Tax exempt loans Total commercial (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Grade: Pass $ 67,501 $ 51,184 $ 23 $ 58 $ 26,325 $ 37,407 $ 93,849 $ 88,649 Special mention 831 5,432 — — — — 831 5,432 Substandard 1,047 2,115 136 148 — 36 1,183 2,299 Doubtful 570 341 — — — — 570 341 Total $ 69,949 $ 59,072 $ 159 $ 206 $ 26,325 $ 37,443 $ 96,433 $ 96,721 Business Activities Loans Residential Real Estate and Consumer Loans Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Performing $ 721,409 $ 737,325 $ 58,795 $ 58,753 $ 8,668 $ 11,146 $ 788,872 $ 807,224 Nonperforming 4,041 3,362 618 615 17 21 4,676 3,998 Total $ 725,450 $ 740,687 $ 59,413 $ 59,368 $ 8,685 $ 11,167 $ 793,548 $ 811,222 Acquired Loans Residential Real Estate and Consumer Loans Residential real estate Home equity Other consumer Total residential real estate and consumer (in thousands) Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Jun 30, 2020 Dec 31, 2019 Performing $ 353,736 $ 407,811 $ 54,101 $ 62,504 $ 1,413 $ 1,707 $ 409,250 $ 472,022 Nonperforming 4,522 3,359 585 529 — 8 5,107 3,896 Total $ 358,258 $ 411,170 $ 54,686 $ 63,033 $ 1,413 $ 1,715 $ 414,357 $ 475,918 |
Summary of Information About Total Loans Rated Special Mention or Lower | June 30, 2020 December 31, 2019 Business Business (in thousands) Activities Loans Acquired Loans Total Activities Loans Acquired Loans Total Non-accrual $ 7,761 $ 6,227 $ 13,988 $ 8,354 $ 3,196 $ 11,550 Substandard accruing 26,154 10,175 36,329 26,055 13,387 39,442 Total classified 33,915 16,402 50,317 34,409 16,583 50,992 Special mention 12,774 2,330 15,104 8,525 7,705 16,230 Total Criticized $ 46,689 $ 18,732 $ 65,421 $ 42,934 $ 24,288 $ 67,222 |
BORROWED FUNDS (Tables)
BORROWED FUNDS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Borrowed Funds | June 30, 2020 December 31, 2019 Weighted Weighted (dollars in thousands) Carrying Value Average Rate Carrying Value Average Rate Short-term borrowings Advances from the FHLB $ 194,169 0.84 % $ 303,286 1.83 % Other borrowings 33,846 0.68 44,832 0.99 Total short-term borrowings 228,015 0.75 348,118 1.73 Long-term borrowings Advances from the FHLB 187,612 1.73 123,278 1.93 Advances from the FRB PPPLF 131,236 0.34 — — Subordinated borrowings 59,879 4.54 59,920 5.53 Total long-term borrowings 378,727 2.58 183,198 2.87 Total $ 606,742 1.66 % $ 531,316 2.11 % |
Summary of Maturities of FHLB Advances | June 30, 2020 Weighted Average (in thousands, except rates) Carrying Value Rate Fixed rate advances maturing: 2020 $ 158,500 0.65 % 2021 40,669 1.67 2022 75,000 1.87 2023 80,000 1.77 2024 7,300 1.16 2025 and thereafter 20,312 1.23 Total FHLB advances $ 381,781 1.27 % |
DEPOSITS (Tables)
DEPOSITS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Deposits [Abstract] | |
Summary of Time Deposits | (in thousands) June 30, 2020 December 31, 2019 Time less than $100,000 $ 378,100 $ 600,747 Time $100,000 through $250,000 182,727 225,505 Time $250,000 or more 117,299 106,383 Total time deposits $ 678,126 $ 932,635 |
Time Deposit Maturities | (in thousands) June 30, 2020 December 31, 2019 Within 1 year $ 475,130 $ 555,074 Over 1 year to 2 years 131,479 287,934 Over 2 years to 3 years 34,812 51,444 Over 3 years to 4 years 27,096 31,262 Over 4 years to 5 years 9,057 6,883 Over 5 years 552 38 Total $ 678,126 $ 932,635 |
CAPITAL RATIOS AND SHAREHOLDE_2
CAPITAL RATIOS AND SHAREHOLDERS' EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Actual and Required Capital Ratios | Regulatory Regulatory June 30, Minimum to be December 31, Minimum to be 2020 "Well-Capitalized" 2019 "Well-Capitalized" Company (consolidated) Total capital to risk-weighted assets 13.41 % 10.50 % 13.61 % 10.50 % Common equity tier 1 capital to risk-weighted assets 10.41 7.00 10.57 7.00 Tier 1 capital to risk-weighted assets 11.21 8.50 11.39 8.50 Tier 1 capital to average assets 8.11 5.00 8.13 5.00 Bank Total capital to risk-weighted assets 12.85 % 10.50 % 12.42 % 10.50 % Common equity tier 1 capital to risk-weighted assets 12.19 7.00 11.79 7.00 Tier 1 capital to risk-weighted assets 12.19 8.50 11.79 8.50 Tier 1 capital to average assets 8.82 5.00 8.39 5.00 |
Schedule of Components of Accumulated Other Comprehensive Income | (in thousands) June 30, 2020 December 31, 2019 Other accumulated comprehensive income, before tax: Net unrealized gain on AFS securities $ 14,913 $ 7,342 Net unrealized loss on hedging derivatives (2,266) (718) Net unrealized loss on post-retirement plans (1,512) (1,512) Income taxes related to items of accumulated other comprehensive income: Net unrealized gain on AFS securities (3,501) (1,793) Net unrealized loss on hedging derivatives 532 237 Net unrealized loss on post-retirement plans 355 355 Accumulated other comprehensive income $ 8,521 $ 3,911 |
Schedule of Components of Other Comprehensive Income (Loss) | The following table presents the components of other comprehensive income (loss) for the three and six months ended June 30, 2020 and 2019: (in thousands) Before Tax Tax Effect Net of Tax Three Months Ended June 30, 2020 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 3,772 $ (891) $ 2,881 Less: reclassification adjustment for gains (losses) realized in net income 1,351 (322) 1,029 Net unrealized gain on AFS securities 2,421 (569) 1,852 Net unrealized loss on cash flow hedging derivatives: Net unrealized loss arising during the period 626 (147) 479 Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on cash flow hedging derivatives 626 (147) 479 Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 3,047 $ (716) $ 2,331 Three Months Ended June 30, 2019 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 9,646 $ (2,255) $ 7,391 Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on AFS securities 9,646 (2,255) 7,391 Net unrealized loss on cash flow hedging derivatives: Net unrealized loss arising during the period (1,157) 271 (886) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on cash flow hedging derivatives (1,157) 271 (886) Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 8,489 $ (1,984) $ 6,505 (in thousands) Before Tax Tax Effect Net of Tax Six Months Ended June 30, 2020 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 9,148 $ (2,064) $ 7,084 Less: reclassification adjustment for gains (losses) realized in net income 1,486 (355) 1,131 Net unrealized gain on AFS securities 7,662 (1,709) 5,953 Net unrealized loss on derivative hedges: Net unrealized loss arising during the period (1,639) 296 (1,343) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized loss on derivative hedges (1,639) 296 (1,343) Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 6,023 $ (1,413) $ 4,610 Six Months Ended June 30, 2019 Net unrealized gain on AFS securities: Net unrealized gain arising during the period $ 18,546 $ (4,334) $ 14,212 Less: reclassification adjustment for gains realized in net income — — — Net unrealized gain on AFS securities 18,546 (4,334) 14,212 Net unrealized loss on cash flow hedging derivatives: Net unrealized loss arising during the period (2,002) 469 (1,533) Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on cash flow hedging derivatives (2,002) 469 (1,533) Net unrealized gain on post-retirement plans: Net unrealized gain arising during the period — — — Less: reclassification adjustment for gains (losses) realized in net income — — — Net unrealized gain on post-retirement plans — — — Other comprehensive income $ 16,544 $ (3,865) $ 12,679 |
Schedule of Changes in Components of Accumulated Other Comprehensive Income | Net unrealized Net loss on Net unrealized gain (loss) effective cash loss on AFS flow hedging on pension (in thousands) Securities derivatives plans Total Three Months Ended June 30, 2020 Balance at beginning of period $ 9,560 $ (2,213) $ (1,157) $ 6,190 Other comprehensive gain (loss) before reclassifications 2,881 479 — 3,360 Less: amounts reclassified from accumulated other comprehensive income 1,029 — — 1,029 Total other comprehensive income (loss) 1,852 479 — 2,331 Balance at end of period $ 11,412 $ (1,734) $ (1,157) $ 8,521 Three Months Ended June 30, 2019 Balance at beginning of period $ (1,844) $ (2,896) $ (888) $ (5,628) Other comprehensive gain (loss) before reclassifications 7,391 (886) — 6,505 Less: amounts reclassified from accumulated other comprehensive income — — — — Total other comprehensive income (loss) 7,391 (886) — 6,505 Balance at end of period $ 5,547 $ (3,782) $ (888) $ 877 Six Months Ended June 30, 2020 Balance at beginning of period $ 5,459 $ (391) $ (1,157) $ 3,911 Other comprehensive gain (loss) before reclassifications 7,084 (1,343) — 5,741 Less: amounts reclassified from accumulated other comprehensive income 1,131 — — 1,131 Total other comprehensive income (loss) 5,953 (1,343) — 4,610 Balance at end of period $ 11,412 $ (1,734) $ (1,157) $ 8,521 Six Months Ended June 30, 2019 Balance at beginning of period $ (8,665) $ (2,249) $ (888) $ (11,802) Other comprehensive gain (loss) before reclassifications 14,212 (1,533) — 12,679 Less: amounts reclassified from accumulated other comprehensive income — — — — Total other comprehensive income (loss) 14,212 (1,533) — 12,679 Less: amounts reclassified from accumulated other comprehensive income for ASU 2018-02 — — — — Balance at end of period $ 5,547 $ (3,782) $ (888) $ 877 |
Reclassification out of Accumulated Other Comprehensive Income | Three Months Ended June 30, Six Months Ended June 30, Affected Line Item where (in thousands) 2020 2019 2020 2019 Net Income is Presented Net realized gains on AFS securities: Before tax (1) $ 1,351 $ — $ 1,486 $ — Non-interest income Tax effect (322) — (355) — Tax expense Total reclassifications for the period $ 1,029 $ — $ 1,131 $ — Net of tax (1) Net realized gains before tax include gross realized gains $1.4 million and realized losses of $11 thousand for the three months ended June 30, 2020 and gross realized gains of $1.5 million and realized losses of $22 thousand for the six months ended June 30, 2020. |
Schedule of Earnings Per Share | Three Months Ended Six Months Ended June 30, June 30, (in thousands, except per share and share data) 2020 2019 2020 2019 Net income $ 8,481 $ 6,117 $ 16,202 $ 13,398 Average number of basic common shares outstanding 15,423,997 15,538,282 15,500,033 15,530,893 Plus: dilutive effect of stock options and awards outstanding (1) 17,281 47,299 22,960 51,340 Average number of diluted common shares outstanding (1) 15,441,278 15,585,581 15,522,993 15,582,233 Earnings per share: Basic $ 0.55 $ 0.39 $ 1.05 $ 0.86 Diluted $ 0.55 $ 0.39 $ 1.04 $ 0.86 (1) Average diluted shares outstanding are computed using the treasury stock method. |
EARNING PER SHARE (Tables)
EARNING PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Six Months Ended June 30, June 30, (in thousands, except per share and share data) 2020 2019 2020 2019 Net income $ 8,481 $ 6,117 $ 16,202 $ 13,398 Average number of basic common shares outstanding 15,423,997 15,538,282 15,500,033 15,530,893 Plus: dilutive effect of stock options and awards outstanding (1) 17,281 47,299 22,960 51,340 Average number of diluted common shares outstanding (1) 15,441,278 15,585,581 15,522,993 15,582,233 Earnings per share: Basic $ 0.55 $ 0.39 $ 1.05 $ 0.86 Diluted $ 0.55 $ 0.39 $ 1.04 $ 0.86 (1) Average diluted shares outstanding are computed using the treasury stock method. |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Information About Derivative Assets and Liabilities | June 30, 2020 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale funding $ 125,000 4.5 $ (7,308) Other liabilities Total cash flow hedges 125,000 4.5 (7,308) Fair value hedges: Interest rate swap on securities 37,190 9.3 3,694 Other liabilities Total fair value hedges 37,190 9.3 3,694 Economic hedges: Forward sale commitments 43,967 0.1 (126) Other liabilities Customer Loan Swaps-MNA Counterparty 159,215 7.7 (17,129) Other liabilities Customer Loan Swaps-RPA Counterparty 103,391 8.1 (11,624) Other liabilities Customer Loan Swaps-Customer 262,606 7.8 28,753 Other assets Total economic hedges 569,179 (126) Non-hedging derivatives: Interest rate lock commitments 19,540 0.1 63 Other assets Total non-hedging derivatives 19,540 0.1 63 Total $ 750,909 $ (3,677) December 31, 2019 Weighted Notional Average Fair Value Location Fair Amount Maturity Asset (Liability) Value Asset (in thousands) (in years) (in thousands) (Liability) Cash flow hedges: Interest rate swap on wholesale funding $ 100,000 4.6 $ (1,311) Other liabilities Total cash flow hedges 100,000 (1,311) Fair value hedges: Interest rate swap on securities 37,190 9.6 593 Other liabilities Total fair value hedges 37,190 593 Economic hedges: Forward sale commitments 11,228 0.1 (84) Other liabilities Customer Loan Swaps-MNA Counterparty 135,598 7.5 (4,669) (1) Customer Loan Swaps-RPA Counterparty 69,505 8.8 (3,377) (1) Customer Loan Swaps-Customer 205,103 8.1 8,046 (1) Total economic hedges 421,434 (84) Non-hedging derivatives: Interest rate lock commitments 21,748 0.1 59 Other assets Total non-hedging derivatives 21,748 59 Total $ 580,372 $ (743) (1) Customer loan derivatives are subject to MNA or RPA arrangements with financial institution counterparties, thus assets and liabilities with the counterparty are netted for financial statement presentation. |
Schedule of Amounts Recorded On The Balance Sheet | Cumulative Amount of Fair Location of Hedged Item on Carrying Amount of Hedged Value Hedging Adjustment in Balance Sheet Assets (Liabilities) Carrying Amount June 30, 2020 Fair value hedges: Interest rate swap on securities Securities Available for Sale $ 42,232 $ 5,042 December 31, 2019 Fair value hedges: Interest rate swap on securities Securities Available for Sale $ 39,026 $ 523 |
Schedule of Derivative Instruments Gain (Loss) | Six Months Ended June 30, 2020 Amount of Amount of Gain (Loss) Gain (Loss) Recognized in Reclassified Location of Amount of Other Location of Gain (Loss) from Other Gain (Loss) Gain (Loss) Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income (1) Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ 5,592 Other income $ — Interest expense $ (216) Total cash flow hedges 5,592 — (216) Fair value hedges: Interest rate swap on securities (3,858) Interest income — Interest income 41 Total fair value hedges (3,858) — 41 Economic hedges: Forward commitments — Other income — Other income (43) Total economic hedges — — (43) Non-hedging derivatives: Interest rate lock commitments — Other Income — Other Income 4 Total non-hedging derivatives — — 4 Total $ 1,734 $ — $ (214) (1) As of June 30, 2020 the Company does not expect any reclassifications from accumulated other comprehensive income into earnings within the next 12 months. Years Ended December 31, 2019 Amount of Amount of Gain (Loss) Gain (Loss) Amount of Recognized in Reclassified Location of Gain (Loss) Other Location of Gain (Loss) from Other Gain (Loss) Recognized Comprehensive Reclassified from Other Comprehensive Recognized in Recognized (in thousands) Income Comprehensive Income Income Income in Income Cash flow hedges: Interest rate swap on wholesale funding $ — Acquisition, restructuring, and other expenses $ 3,156 Interest expense $ (603) Interest rate cap agreements 2,291 Interest expense — Interest expense (2) Total cash flow hedges 2,291 3,156 (605) Fair value hedges: Interest rate swap on securities (523) Interest income — Interest expense 7 Total economic hedges (523) — 7 Economic hedges: Forward commitments — Other income — Other income (84) Total economic hedges — — (84) Non-hedging derivatives: Interest rate lock commitments — Other income — Other Income 52 Total non-hedging derivatives — — 52 Total $ 1,768 $ 3,156 $ (630) |
Schedule of Offsetting Liabilities | Gross Amounts Offset in the Consolidated Balance Sheet Derivative Cash Collateral (in thousands) Liabilities Derivative Assets Pledged Net Amount As of June 30, 2020 Customer Loan Derivatives: MNA counterparty $ (17,129) $ 17,129 $ 28,350 $ — RPA counterparty (11,624) 11,624 — — Total $ (28,753) $ 28,753 $ 28,350 $ — Gross Amounts Offset in the Consolidated Balance Sheet Derivative Cash Collateral (in thousands) Liabilities Derivative Assets Pledged Net Amount As of December 31, 2019 Customer Loan Derivatives: MNA counterparty $ (4,669) $ 4,669 $ 10,700 $ — RPA counterparty (3,377) 3,377 — — Total $ (8,046) $ 8,046 $ 10,700 $ — |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | June 30, 2020 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 267,444 $ — $ 267,444 US Government agency — 98,655 — 98,655 Private label — 19,367 — 19,367 Obligations of states and political subdivisions thereof — 159,287 — 159,287 Corporate bonds — 96,821 — 96,821 Derivative assets — 28,753 63 28,816 Derivative liabilities — (32,367) (126) (32,493) December 31, 2019 Level 1 Level 2 Level 3 Total (in thousands) Inputs Inputs Inputs Fair Value Available for sale securities: Mortgage-backed securities: US Government-sponsored enterprises $ — $ 321,969 $ — $ 321,969 US Government agency — 99,661 — 99,661 Private label — 19,533 — 19,533 Obligations of states and political subdivisions thereof — 142,006 — 142,006 Corporate bonds — 80,061 — 80,061 Derivative assets — 6,791 59 6,850 Derivative liabilities — (8,102) (84) (8,186) |
Schedule of Changes in Level 3 Assets Measured on a Recurring Basis | Assets (Liabilities) Interest Rate Lock Forward (in thousands) Commitments Commitments Three Months Ended June 30, 2020 Balance at beginning of period $ 93 $ (73) Realized gain recognized in non-interest income (30) (53) Balance at end of period $ 63 $ (126) Six Months Ended June 30, 2020 Balance at beginning of period $ 59 $ (84) Realized gain (loss) recognized in non-interest income 4 (42) Balance at end of period $ 63 $ (126) |
Schedule of Changes in Level 3 Liabilities Measured on a Recurring Basis | Assets (Liabilities) Interest Rate Lock Forward (in thousands) Commitments Commitments Three Months Ended June 30, 2020 Balance at beginning of period $ 93 $ (73) Realized gain recognized in non-interest income (30) (53) Balance at end of period $ 63 $ (126) Six Months Ended June 30, 2020 Balance at beginning of period $ 59 $ (84) Realized gain (loss) recognized in non-interest income 4 (42) Balance at end of period $ 63 $ (126) |
Schedule of Quantitative Information, Valuation, Recurring | Fair Value Fair Value (in thousands, June 30, December 31, Valuation Unobservable Unobservable except ratios) 2020 2019 Techniques Inputs Input Value Assets (Liabilities) Interest Rate Lock Commitment $ 63 $ 59 Historical trend Closing Ratio 90 % Pricing Model Origination Costs, per loan $ 1.7 Forward Commitments (126) (84) Quoted prices for similar loans in active markets. Freddie Mac pricing system Pair-off contract price Total $ (63) $ (25) |
Summary of Applicable Non-Recurring Fair Value Measurements | Fair Value Three Months Ended Six Months Ended Measurement Date as of June 30, 2020 December 31, 2019 June 30, 2020 June 30, 2020 June 30, 2020 Level 3 Level 3 Total Total Level 3 (in thousands) Inputs Inputs Gains (Losses) Gains (Losses) Inputs Assets Impaired loans $ 9,623 $ 9,625 $ (1,288) $ 2 June 2020 Capitalized servicing rights 3,234 4,301 (663) (1,067) June 2020 Other real estate owned 2,318 2,236 113 82 August 2019 Premises held for sale 1,764 1,764 — — September 2019 Total $ 16,939 $ 17,926 $ (1,838) $ (983) |
Schedule of Quantitative Information, Valuation, Non-recurring | (in thousands, Fair Value Range except ratios) June 30, 2020 Valuation Techniques Unobservable Inputs (Weighted Average) (a) Assets Impaired loans $ 6,924 Fair value of collateral-appraised value Loss severity 0% to 70% Appraised value $0 to $1,730 Impaired loans 2,699 Discount cash flow Discount rate 3.50% to 9.50% Cash flows $21 to $1,002 Capitalized servicing rights 3,234 Discounted cash flow Constant prepayment rate (CPR) 15.95 % Discount rate 10.07 % Other real estate owned 2,318 Fair value of collateral less selling costs Appraised value $ 2,695 Selling Costs 6% to 10% Premises held for sale (b) 1,764 Fair value of asset less selling costs Appraised value $136 to $527 Selling Costs 6 % Total $ 16,939 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individual properties. (b) The carrying value of premises held for sale was $1.8 million as of June 30, 2020. (in thousands, Fair Value Range except ratios) Dec 31, 2019 Valuation Techniques Unobservable Inputs (Weighted Average) (a) Assets Impaired loans $ 6,137 Fair value of collateral-appraised value Loss severity 0% to 55.00% Appraised value $0 to $6,915 Impaired loans 3,488 Discount cash flow Discount rate 2.88% to 9.50% Cash flows $22 to $1,002 Capitalized servicing rights 4,301 Discounted cash flow Constant prepayment rate (CPR) 9.95 % Discount rate 10.07 % Other real estate owned 2,236 Fair value of collateral less selling costs Appraised value $ 2,695 Selling Costs 10% to 20% Premises held for sale (b) 1,764 Fair value of asset less selling costs Appraised value $ $136 to $527 Selling Costs 6.00 % Total $ 17,926 (a) Where dollar amounts are disclosed, the amounts represent the lowest and highest fair value of the respective assets in the population except for adjustments for market/property conditions, which represents the range of adjustments to individual properties. (b) The carrying value of premises held for sale was $1.8 million as of December 31, 2019. |
Summary of Estimated Fair Values, and Related Carrying Amounts, of Financial Instruments | June 30, 2020 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 70,673 $ 70,763 $ 70,763 $ — $ — Securities available for sale 641,574 641,574 — 641,574 — FHLB stock 20,265 20,265 — 20,265 — Net loans 2,712,908 2,698,382 — — 2,698,382 Accrued interest receivable 3,215 3,215 — 3,215 — Cash surrender value of bank-owned life insurance policies 76,896 76,896 — 76,896 — Derivative assets 28,816 28,816 — 28,753 63 Financial Liabilities Non-maturity deposits $ 2,016,736 $ 2,090,727 $ — $ 2,090,727 $ — Time deposits 678,126 668,803 — 668,803 — Short-term other borrowings 33,846 33,846 — 33,846 — FHLB advances 381,781 387,053 — 387,053 — FRB PPPLF 131,236 131,236 — 131,236 — Subordinated borrowings 59,879 59,879 — 59,879 — Derivative liabilities (32,493) (32,493) — (32,367) (126) December 31, 2019 Carrying Fair (in thousands) Amount Value Level 1 Level 2 Level 3 Financial Assets Cash and cash equivalents $ 56,910 $ 56,910 $ 56,910 $ — $ — Securities available for sale 663,230 663,230 — 663,230 — FHLB stock 20,679 20,679 — 20,679 — Net loans 2,625,739 2,634,147 — — 2,634,147 Accrued interest receivable 3,294 3,294 — 3,294 — Cash surrender value of bank-owned life insurance policies 75,863 75,863 — 75,863 — Derivative assets 6,850 6,850 — 6,791 59 Financial Liabilities Non-maturity deposits $ 1,763,116 $ 1,751,481 $ — $ 1,751,481 $ — Time deposits 932,635 932,886 — 932,886 — Short-term other borrowings 44,832 44,831 — 44,831 — FHLB advances 426,564 425,989 — 425,989 — Subordinated borrowings 59,920 59,920 — 59,920 — Derivative liabilities 8,186 8,186 — 8,102 84 |
REVENUE FROM CONTRACTS WITH C_2
REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2020 2019 2020 2019 Major Products/Service Lines Trust management fees $ 2,892 $ 2,794 $ 5,938 $ 5,319 Financial services fees 267 272 590 505 Interchange fees 1,463 1,213 3,200 2,244 Customer deposit fees 789 1,026 1,899 1,933 Other customer service fees 187 379 452 605 Total $ 5,598 $ 5,684 $ 12,079 $ 10,606 Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2020 2019 2020 2019 Timing of Revenue Recognition Products and services transferred at a point in time $ 2,620 $ 2,767 $ 5,892 $ 5,034 Products and services transferred over time 2,978 2,917 6,187 5,572 Total $ 5,598 $ 5,684 $ 12,079 $ 10,606 |
Contract Balances from Contracts with Customers | Balance at Balance at (in thousands) June 30, 2020 December 31, 2019 Balances from contracts with customers only: Other Assets $ 2,842 $ 1,703 Other Liabilities 3,027 3,114 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
ROU Assets and Liabilities | (in thousands) June 30, 2020 December 31, 2019 Lease Right-of-Use Assets Classification Operating lease right-of-use assets Other assets $ 9,866 $ 9,623 Lease Liabilities Operating lease liabilities Other liabilities 9,968 9,651 |
Additional Information Regarding Leases | June 30, 2020 December 31, 2019 Weighted-average remaining lease term (in years) Operating leases 9.27 8.96 Weighted-average discount rate Operating leases 3.30 % 3.27 % Three Months Ended Six Months Ended (in thousands) June 30, 2020 June 30, 2020 Lease Costs Operating lease cost $ 323 $ 644 Variable lease cost 62 118 Total lease cost $ 385 $ 762 |
Future Minimum Payments for Leases | (in thousands) Operating Leases Twelve Months Ended: June 30, 2021 $ 1,284 June 30, 2022 1,307 June 30, 2023 1,319 June 30, 2024 1,327 June 30, 2025 1,176 Thereafter 6,549 Total future minimum lease payments 12,962 Amounts representing interest (2,994) Present value of net future minimum lease payments $ 9,968 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - Scenario under which CECL ASU had been adopted [Member] $ in Millions | Dec. 31, 2019USD ($) |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Increase in allowance for credit loss | $ 5 |
Allowance for credit loss | $ 10 |
SECURITIES AVAILABLE FOR SALE -
SECURITIES AVAILABLE FOR SALE - Summary of Securities Available for Sale (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Investment Holdings [Line Items] | ||
Amortized Cost | $ 625,313 | $ 655,888 |
Gross Unrealized Gains | 20,242 | 11,205 |
Gross Unrealized Losses | 3,981 | 3,863 |
Available for sale securities | 641,574 | 663,230 |
US Government-sponsored enterprises | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 258,169 | 319,064 |
Gross Unrealized Gains | 9,701 | 4,985 |
Gross Unrealized Losses | 426 | 2,080 |
Available for sale securities | 267,444 | 321,969 |
US Government agency | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 94,894 | 98,568 |
Gross Unrealized Gains | 3,845 | 1,640 |
Gross Unrealized Losses | 84 | 547 |
Available for sale securities | 98,655 | 99,661 |
Private label | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 20,200 | 20,212 |
Gross Unrealized Gains | 41 | 68 |
Gross Unrealized Losses | 874 | 747 |
Available for sale securities | 19,367 | 19,533 |
Obligations of states and political subdivisions thereof | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 153,802 | 139,240 |
Gross Unrealized Gains | 5,514 | 3,034 |
Gross Unrealized Losses | 29 | 268 |
Available for sale securities | 159,287 | 142,006 |
Corporate bonds | ||
Investment Holdings [Line Items] | ||
Amortized Cost | 98,248 | 78,804 |
Gross Unrealized Gains | 1,141 | 1,478 |
Gross Unrealized Losses | 2,568 | 221 |
Available for sale securities | $ 96,821 | $ 80,061 |
SECURITIES AVAILABLE FOR SALE_2
SECURITIES AVAILABLE FOR SALE - Maturity of Available for Sale Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Amortized Cost | ||
Over 1 year to 5 years | $ 26,069 | |
Over 5 years to 10 years | 70,676 | |
Over 10 years | 155,305 | |
Total bonds and obligations | 252,050 | |
Mortgage-backed securities | 373,263 | |
Amortized Cost | 625,313 | $ 655,888 |
Fair Value | ||
Over 1 year to 5 years | 26,368 | |
Over 5 years to 10 years | 69,548 | |
Over 10 years | 160,192 | |
Total bonds and obligations | 256,108 | |
Mortgage-backed securities | 385,466 | |
Total securities available for sale | $ 641,574 | $ 663,230 |
SECURITIES AVAILABLE FOR SALE_3
SECURITIES AVAILABLE FOR SALE - Gains and Losses from AFS Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |||
Gross gains on sales of available for sale securities | $ 1,362 | $ 1,508 | |
Gross losses on sales of available for sale securities | (11) | (22) | |
Net gains on sale of available for sale securities | $ 1,351 | $ 1,486 | $ 0 |
SECURITIES AVAILABLE FOR SALE_4
SECURITIES AVAILABLE FOR SALE - Summary of Securities with Unrealized Losses (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Gross Unrealized Losses | ||
Less Than Twelve Months | $ 2,608 | $ 2,165 |
Over Twelve Months | 1,373 | 1,698 |
Total | 3,981 | 3,863 |
Fair Value | ||
Less Than Twelve Months | 101,864 | 112,232 |
Over Twelve Months | 29,619 | 82,201 |
Total | 131,483 | 194,433 |
US Government-sponsored enterprises | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 187 | 1,074 |
Over Twelve Months | 239 | 1,006 |
Total | 426 | 2,080 |
Fair Value | ||
Less Than Twelve Months | 39,157 | 43,429 |
Over Twelve Months | 4,047 | 49,712 |
Total | 43,204 | 93,141 |
US Government agency | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 57 | 432 |
Over Twelve Months | 27 | 115 |
Total | 84 | 547 |
Fair Value | ||
Less Than Twelve Months | 5,177 | 19,717 |
Over Twelve Months | 1,674 | 9,120 |
Total | 6,851 | 28,837 |
Private label | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 3 | 380 |
Over Twelve Months | 871 | 367 |
Total | 874 | 747 |
Fair Value | ||
Less Than Twelve Months | 112 | 9,843 |
Over Twelve Months | 19,133 | 9,411 |
Total | 19,245 | 19,254 |
Obligations of states and political subdivisions thereof | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 29 | 137 |
Over Twelve Months | 131 | |
Total | 29 | 268 |
Fair Value | ||
Less Than Twelve Months | 11,564 | 29,355 |
Over Twelve Months | 1,682 | |
Total | 11,564 | 31,037 |
Corporate bonds | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 2,332 | 142 |
Over Twelve Months | 236 | 79 |
Total | 2,568 | 221 |
Fair Value | ||
Less Than Twelve Months | 45,854 | 9,888 |
Over Twelve Months | 4,765 | 12,276 |
Total | $ 50,619 | $ 22,164 |
SECURITIES AVAILABLE FOR SALE_5
SECURITIES AVAILABLE FOR SALE - Securities Impairment (Details) - Available-for-sale Securities - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings | ||
Estimated credit losses as of prior year-end | $ 1,697 | $ 1,697 |
Reductions for securities paid off during the period | 0 | 0 |
Estimated credit losses at end of the period | $ 1,697 | $ 1,697 |
SECURITIES AVAILABLE FOR SALE_6
SECURITIES AVAILABLE FOR SALE - Basis for Impairment Conclusion (Details) | 6 Months Ended |
Jun. 30, 2020security | |
US Government-sponsored enterprises | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 42 |
Available for sale securities portfolio, number of securities (security) | 618 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 0.98% |
US Government agency | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 12 |
Available for sale securities portfolio, number of securities (security) | 170 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 1.21% |
Private label | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 11 |
Available for sale securities portfolio, number of securities (security) | 18 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 4.34% |
Obligations of states and political subdivisions thereof | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 3 |
Available for sale securities portfolio, number of securities (security) | 190 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 0.25% |
Corporate bonds | |
Investment Holdings [Line Items] | |
Available-for-sale, securities in unrealized loss positions (security) | 16 |
Available for sale securities portfolio, number of securities (security) | 33 |
Available for sale and held to maturity securities, continuous unrealized loss position, aggregate losses (percentage) | 4.89% |
LOANS - Summary of Total Loans
LOANS - Summary of Total Loans (Details) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020USD ($)item | Dec. 31, 2019USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 2,729,417 | $ 2,641,092 |
Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 2,019,602 | 1,835,230 |
Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 709,815 | 805,862 |
Acquired Loans | Financial Asset Acquired with Credit Deterioration [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 14,800 | |
Total note balances | 18,700 | |
Acquired Loans | Financial Asset Acquired and No Credit Deterioration [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 695,000 | |
Total commercial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 1,521,512 | 1,353,952 |
Total commercial loans | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 1,226,054 | 1,024,008 |
Total commercial loans | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 295,458 | 329,944 |
Total commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 982,070 | 930,661 |
Total commercial real estate | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 783,045 | 697,438 |
Total commercial real estate | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 199,025 | 233,223 |
Total commercial real estate | Construction and land development | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 62,473 | 34,290 |
Total commercial real estate | Construction and land development | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 60,096 | 31,387 |
Total commercial real estate | Construction and land development | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 2,377 | 2,903 |
Total commercial real estate | Other commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 919,597 | 896,371 |
Total commercial real estate | Other commercial real estate | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 722,949 | 666,051 |
Total commercial real estate | Other commercial real estate | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 196,648 | 230,320 |
Total commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 539,442 | 423,291 |
Total commercial and industrial | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 443,009 | 326,570 |
Total commercial and industrial | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 96,433 | 96,721 |
Total commercial and industrial | Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 454,339 | 298,764 |
Total commercial and industrial | Commercial | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 384,390 | 239,692 |
Total commercial and industrial | Commercial | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 69,949 | 59,072 |
Total commercial and industrial | Agricultural | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 18,185 | 20,224 |
Total commercial and industrial | Agricultural | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 18,026 | 20,018 |
Total commercial and industrial | Agricultural | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 159 | 206 |
Total commercial and industrial | Tax exempt | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 66,918 | 104,303 |
Total commercial and industrial | Tax exempt | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 40,593 | 66,860 |
Total commercial and industrial | Tax exempt | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 26,325 | 37,443 |
Total residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 1,083,708 | 1,151,857 |
Total residential real estate | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of families | item | 4 | |
Total residential real estate | Minimum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of families | item | 1 | |
Total residential real estate | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 725,450 | 740,687 |
Total residential real estate | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 358,258 | 411,170 |
Total residential real estate | Residential mortgages | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 1,083,708 | 1,151,857 |
Total residential real estate | Residential mortgages | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 725,450 | 740,687 |
Total residential real estate | Residential mortgages | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 358,258 | 411,170 |
Total consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 124,197 | 135,283 |
Total consumer | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 68,098 | 70,535 |
Total consumer | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 56,099 | 64,748 |
Total consumer | Home equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 114,099 | 122,401 |
Total consumer | Home equity | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 59,413 | 59,368 |
Total consumer | Home equity | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 54,686 | 63,033 |
Total consumer | Other consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 10,098 | 12,882 |
Total consumer | Other consumer | Business Activities Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 8,685 | 11,167 |
Total consumer | Other consumer | Acquired Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 1,413 | $ 1,715 |
LOANS - Pledged, Purchased cred
LOANS - Pledged, Purchased credit impaired, Accretable yield (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans | $ 2,729,417 | $ 2,729,417 | $ 2,641,092 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule | |||||
Balance at beginning of period | 6,839 | $ 4,150 | 7,367 | $ 4,377 | |
Reclassification from nonaccretable difference for loans with improved cash flows | 370 | 402 | 424 | 624 | |
Accretion | (982) | (357) | (1,564) | (806) | |
Balance at end of period | 6,227 | $ 4,195 | 6,227 | $ 4,195 | |
Acquired Loans | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans | $ 709,815 | $ 709,815 | $ 805,862 |
LOANS - Summary of Past Due Loa
LOANS - Summary of Past Due Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 2,729,417 | $ 2,641,092 |
Total commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1,521,512 | 1,353,952 |
Total commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 982,070 | 930,661 |
Total commercial real estate | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 62,473 | 34,290 |
Total commercial real estate | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 919,597 | 896,371 |
Total commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 539,442 | 423,291 |
Total commercial and industrial | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 454,339 | 298,764 |
Total commercial and industrial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 18,185 | 20,224 |
Total commercial and industrial | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 66,918 | 104,303 |
Total residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1,083,708 | 1,151,857 |
Total residential real estate | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1,083,708 | 1,151,857 |
Total consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 124,197 | 135,283 |
Total consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 114,099 | 122,401 |
Total consumer | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 10,098 | 12,882 |
Business Activities Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 8,405 | 15,551 |
Current | 2,011,197 | 1,819,679 |
Total loans | 2,019,602 | 1,835,230 |
Past Due More Than 90 days and Accruing | 335 | 50 |
Business Activities Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,987 | 8,685 |
Business Activities Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,291 | 2,969 |
Business Activities Loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 4,127 | 3,897 |
Business Activities Loans | Total commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 3,731 | 5,230 |
Current | 1,222,323 | 1,018,778 |
Total loans | 1,226,054 | 1,024,008 |
Past Due More Than 90 days and Accruing | 65 | |
Business Activities Loans | Total commercial loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,622 | 759 |
Business Activities Loans | Total commercial loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 318 | 1,671 |
Business Activities Loans | Total commercial loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,791 | 2,800 |
Business Activities Loans | Total commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,460 | 3,642 |
Current | 780,585 | 693,796 |
Total loans | 783,045 | 697,438 |
Past Due More Than 90 days and Accruing | 0 | |
Business Activities Loans | Total commercial real estate | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 267 | 258 |
Current | 59,829 | 31,129 |
Total loans | 60,096 | 31,387 |
Past Due More Than 90 days and Accruing | 0 | |
Business Activities Loans | Total commercial real estate | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,193 | 3,384 |
Current | 720,756 | 662,667 |
Total loans | 722,949 | 666,051 |
Past Due More Than 90 days and Accruing | 0 | |
Business Activities Loans | Total commercial real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,450 | 245 |
Business Activities Loans | Total commercial real estate | 30-59 Days Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 205 |
Business Activities Loans | Total commercial real estate | 30-59 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,450 | 40 |
Business Activities Loans | Total commercial real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 23 | 1,587 |
Business Activities Loans | Total commercial real estate | 60-89 Days Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 53 |
Business Activities Loans | Total commercial real estate | 60-89 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 23 | 1,534 |
Business Activities Loans | Total commercial real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 987 | 1,810 |
Business Activities Loans | Total commercial real estate | 90 Days or Greater Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 267 | |
Business Activities Loans | Total commercial real estate | 90 Days or Greater Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 720 | 1,810 |
Business Activities Loans | Total commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,271 | 1,588 |
Current | 441,738 | 324,982 |
Total loans | 443,009 | 326,570 |
Past Due More Than 90 days and Accruing | 65 | |
Business Activities Loans | Total commercial and industrial | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,093 | 1,396 |
Current | 383,297 | 238,296 |
Total loans | 384,390 | 239,692 |
Past Due More Than 90 days and Accruing | 49 | |
Business Activities Loans | Total commercial and industrial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 178 | 192 |
Current | 17,848 | 19,826 |
Total loans | 18,026 | 20,018 |
Past Due More Than 90 days and Accruing | 16 | |
Business Activities Loans | Total commercial and industrial | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | |
Current | 40,593 | 66,860 |
Total loans | 40,593 | 66,860 |
Past Due More Than 90 days and Accruing | 0 | |
Business Activities Loans | Total commercial and industrial | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 172 | 514 |
Business Activities Loans | Total commercial and industrial | 30-59 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 152 | 452 |
Business Activities Loans | Total commercial and industrial | 30-59 Days Past Due | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 20 | 62 |
Business Activities Loans | Total commercial and industrial | 30-59 Days Past Due | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | |
Business Activities Loans | Total commercial and industrial | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 295 | 84 |
Business Activities Loans | Total commercial and industrial | 60-89 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 295 | 50 |
Business Activities Loans | Total commercial and industrial | 60-89 Days Past Due | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 34 |
Business Activities Loans | Total commercial and industrial | 60-89 Days Past Due | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | |
Business Activities Loans | Total commercial and industrial | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 804 | 990 |
Business Activities Loans | Total commercial and industrial | 90 Days or Greater Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 646 | 894 |
Business Activities Loans | Total commercial and industrial | 90 Days or Greater Past Due | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 158 | 96 |
Business Activities Loans | Total commercial and industrial | 90 Days or Greater Past Due | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | |
Business Activities Loans | Total residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 4,090 | 9,204 |
Current | 721,360 | 731,483 |
Total loans | 725,450 | 740,687 |
Past Due More Than 90 days and Accruing | 270 | |
Business Activities Loans | Total residential real estate | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 4,090 | 9,204 |
Current | 721,360 | 731,483 |
Total loans | 725,450 | 740,687 |
Past Due More Than 90 days and Accruing | 270 | |
Business Activities Loans | Total residential real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 320 | 7,293 |
Business Activities Loans | Total residential real estate | 30-59 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 320 | 7,293 |
Business Activities Loans | Total residential real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,820 | 1,243 |
Business Activities Loans | Total residential real estate | 60-89 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,820 | 1,243 |
Business Activities Loans | Total residential real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,950 | 668 |
Business Activities Loans | Total residential real estate | 90 Days or Greater Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,950 | 668 |
Business Activities Loans | Total consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 584 | 1,117 |
Current | 67,514 | 69,418 |
Total loans | 68,098 | 70,535 |
Past Due More Than 90 days and Accruing | 0 | 50 |
Business Activities Loans | Total consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 577 | 1,069 |
Current | 58,836 | 58,299 |
Total loans | 59,413 | 59,368 |
Past Due More Than 90 days and Accruing | 0 | 50 |
Business Activities Loans | Total consumer | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 7 | 48 |
Current | 8,678 | 11,119 |
Total loans | 8,685 | 11,167 |
Past Due More Than 90 days and Accruing | 0 | |
Business Activities Loans | Total consumer | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 45 | 633 |
Business Activities Loans | Total consumer | 30-59 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 40 | 597 |
Business Activities Loans | Total consumer | 30-59 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 5 | 36 |
Business Activities Loans | Total consumer | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 153 | 55 |
Business Activities Loans | Total consumer | 60-89 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 153 | 43 |
Business Activities Loans | Total consumer | 60-89 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 0 | 12 |
Business Activities Loans | Total consumer | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 386 | 429 |
Business Activities Loans | Total consumer | 90 Days or Greater Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 384 | 429 |
Business Activities Loans | Total consumer | 90 Days or Greater Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2 | |
Acquired Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 6,045 | 9,480 |
Acquired Credit Impaired | 14,770 | 18,553 |
Total loans | 709,815 | 805,862 |
Past Due More Than 90 days and Accruing | 770 | 217 |
Acquired Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 867 | 5,864 |
Acquired Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,491 | 2,013 |
Acquired Loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,687 | 1,603 |
Acquired Loans | Total commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 3,122 | 3,432 |
Acquired Credit Impaired | 9,242 | 11,605 |
Total loans | 295,458 | 329,944 |
Past Due More Than 90 days and Accruing | 685 | |
Acquired Loans | Total commercial loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 161 | 2,469 |
Acquired Loans | Total commercial loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,592 | 592 |
Acquired Loans | Total commercial loans | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,369 | 371 |
Acquired Loans | Total commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,568 | 2,517 |
Acquired Credit Impaired | 7,262 | 8,673 |
Total loans | 199,025 | 233,223 |
Past Due More Than 90 days and Accruing | 298 | |
Acquired Loans | Total commercial real estate | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 12 | |
Acquired Credit Impaired | 269 | 384 |
Total loans | 2,377 | 2,903 |
Acquired Loans | Total commercial real estate | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2,568 | 2,505 |
Acquired Credit Impaired | 6,993 | 8,289 |
Total loans | 196,648 | 230,320 |
Past Due More Than 90 days and Accruing | 298 | |
Acquired Loans | Total commercial real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 113 | 2,029 |
Acquired Loans | Total commercial real estate | 30-59 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 113 | 2,029 |
Acquired Loans | Total commercial real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,495 | 257 |
Acquired Loans | Total commercial real estate | 60-89 Days Past Due | Construction and land development | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 12 | |
Acquired Loans | Total commercial real estate | 60-89 Days Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,495 | 245 |
Acquired Loans | Total commercial real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 960 | 231 |
Acquired Loans | Total commercial real estate | 90 Days or Greater Past Due | Other commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 960 | 231 |
Acquired Loans | Total commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 554 | 915 |
Acquired Credit Impaired | 1,980 | 2,932 |
Total loans | 96,433 | 96,721 |
Past Due More Than 90 days and Accruing | 387 | |
Acquired Loans | Total commercial and industrial | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 554 | 915 |
Acquired Credit Impaired | 1,821 | 2,723 |
Total loans | 69,949 | 59,072 |
Past Due More Than 90 days and Accruing | 387 | |
Acquired Loans | Total commercial and industrial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Acquired Credit Impaired | 159 | 173 |
Total loans | 159 | 206 |
Acquired Loans | Total commercial and industrial | Tax exempt | ||
Financing Receivable, Past Due [Line Items] | ||
Acquired Credit Impaired | 36 | |
Total loans | 26,325 | 37,443 |
Acquired Loans | Total commercial and industrial | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 48 | 440 |
Acquired Loans | Total commercial and industrial | 30-59 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 48 | 440 |
Acquired Loans | Total commercial and industrial | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 97 | 335 |
Acquired Loans | Total commercial and industrial | 60-89 Days Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 97 | 335 |
Acquired Loans | Total commercial and industrial | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 409 | 140 |
Acquired Loans | Total commercial and industrial | 90 Days or Greater Past Due | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 409 | 140 |
Acquired Loans | Total residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,996 | 5,064 |
Acquired Credit Impaired | 4,715 | 5,591 |
Total loans | 358,258 | 411,170 |
Past Due More Than 90 days and Accruing | 60 | |
Acquired Loans | Total residential real estate | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,996 | 5,064 |
Acquired Credit Impaired | 4,715 | 5,591 |
Total loans | 358,258 | 411,170 |
Past Due More Than 90 days and Accruing | 60 | |
Acquired Loans | Total residential real estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 433 | 3,185 |
Acquired Loans | Total residential real estate | 30-59 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 433 | 3,185 |
Acquired Loans | Total residential real estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 530 | 864 |
Acquired Loans | Total residential real estate | 60-89 Days Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 530 | 864 |
Acquired Loans | Total residential real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,033 | 1,015 |
Acquired Loans | Total residential real estate | 90 Days or Greater Past Due | Residential mortgages | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 1,033 | 1,015 |
Acquired Loans | Total consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 927 | 984 |
Acquired Credit Impaired | 813 | 1,357 |
Total loans | 56,099 | 64,748 |
Past Due More Than 90 days and Accruing | 25 | 217 |
Acquired Loans | Total consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 927 | 973 |
Acquired Credit Impaired | 766 | 1,291 |
Total loans | 54,686 | 63,033 |
Past Due More Than 90 days and Accruing | 25 | 217 |
Acquired Loans | Total consumer | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 11 | |
Acquired Credit Impaired | 47 | 66 |
Total loans | 1,413 | 1,715 |
Acquired Loans | Total consumer | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 273 | 210 |
Acquired Loans | Total consumer | 30-59 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 273 | 208 |
Acquired Loans | Total consumer | 30-59 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 2 | |
Acquired Loans | Total consumer | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 369 | 557 |
Acquired Loans | Total consumer | 60-89 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 369 | 548 |
Acquired Loans | Total consumer | 60-89 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 9 | |
Acquired Loans | Total consumer | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | 285 | 217 |
Acquired Loans | Total consumer | 90 Days or Greater Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total Past Due | $ 285 | $ 217 |
LOANS - Non-accrual Loans (Deta
LOANS - Non-accrual Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Non-accrual loans | ||
Total loans | $ 13,988 | $ 11,550 |
Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 7,761 | 8,354 |
Acquired Loans | ||
Non-accrual loans | ||
Total loans | 6,227 | 3,196 |
Total commercial loans | ||
Non-accrual loans | ||
Total loans | 5,771 | 5,325 |
Total commercial loans | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 3,085 | 4,356 |
Total commercial loans | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 2,686 | 969 |
Total commercial real estate | ||
Non-accrual loans | ||
Total loans | 3,981 | 3,489 |
Total commercial real estate | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 1,754 | 3,146 |
Total commercial real estate | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 2,227 | 343 |
Total commercial real estate | Construction and land development | ||
Non-accrual loans | ||
Total loans | 267 | 258 |
Total commercial real estate | Construction and land development | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 267 | 258 |
Total commercial real estate | Construction and land development | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 0 | 0 |
Total commercial real estate | Other commercial real estate | ||
Non-accrual loans | ||
Total loans | 3,714 | 3,231 |
Total commercial real estate | Other commercial real estate | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 1,487 | 2,888 |
Total commercial real estate | Other commercial real estate | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 2,227 | 343 |
Total commercial and industrial | ||
Non-accrual loans | ||
Total loans | 1,790 | 1,836 |
Total commercial and industrial | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 1,331 | 1,210 |
Total commercial and industrial | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 459 | 626 |
Total commercial and industrial | Commercial | ||
Non-accrual loans | ||
Total loans | 1,262 | 1,558 |
Total commercial and industrial | Commercial | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 803 | 932 |
Total commercial and industrial | Commercial | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 459 | 626 |
Total commercial and industrial | Agricultural | ||
Non-accrual loans | ||
Total loans | 528 | 278 |
Total commercial and industrial | Agricultural | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 528 | 278 |
Total commercial and industrial | Agricultural | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 0 | 0 |
Total commercial and industrial | Tax exempt | ||
Non-accrual loans | ||
Total loans | 0 | 0 |
Total commercial and industrial | Tax exempt | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 0 | 0 |
Total commercial and industrial | Tax exempt | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 0 | 0 |
Total residential real estate | ||
Non-accrual loans | ||
Total loans | 7,194 | 5,335 |
Total residential real estate | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 4,041 | 3,362 |
Total residential real estate | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 3,153 | 1,973 |
Total residential real estate | Residential mortgages | ||
Non-accrual loans | ||
Total loans | 7,194 | 5,335 |
Total residential real estate | Residential mortgages | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 4,041 | 3,362 |
Total residential real estate | Residential mortgages | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 3,153 | 1,973 |
Total consumer | ||
Non-accrual loans | ||
Total loans | 1,023 | 890 |
Total consumer | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 635 | 636 |
Total consumer | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 388 | 254 |
Total consumer | Home equity | ||
Non-accrual loans | ||
Total loans | 1,006 | 869 |
Total consumer | Home equity | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 618 | 615 |
Total consumer | Home equity | Acquired Loans | ||
Non-accrual loans | ||
Total loans | 388 | 254 |
Total consumer | Other consumer | ||
Non-accrual loans | ||
Total loans | 17 | 21 |
Total consumer | Other consumer | Business Activities Loans | ||
Non-accrual loans | ||
Total loans | 17 | 21 |
Total consumer | Other consumer | Acquired Loans | ||
Non-accrual loans | ||
Total loans | $ 0 | $ 0 |
LOANS - Loans Evaluated for Imp
LOANS - Loans Evaluated for Impairment (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Allowance for loan losses | ||
Total loans | $ 2,729,417 | $ 2,641,092 |
Total commercial real estate | ||
Allowance for loan losses | ||
Total loans | 982,070 | 930,661 |
Total commercial and industrial | ||
Allowance for loan losses | ||
Total loans | 539,442 | 423,291 |
Total residential real estate | ||
Allowance for loan losses | ||
Total loans | 1,083,708 | 1,151,857 |
Total consumer | ||
Allowance for loan losses | ||
Total loans | 124,197 | 135,283 |
Business Activities Loans | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 5,940 | 7,950 |
Collectively evaluated | 2,013,662 | 1,827,280 |
Total loans | 2,019,602 | 1,835,230 |
Business Activities Loans | Total commercial real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 2,482 | 3,964 |
Collectively evaluated | 780,563 | 693,474 |
Total loans | 783,045 | 697,438 |
Business Activities Loans | Total commercial and industrial | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 1,049 | 1,353 |
Collectively evaluated | 441,960 | 325,217 |
Total loans | 443,009 | 326,570 |
Business Activities Loans | Total residential real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 2,396 | 2,620 |
Collectively evaluated | 723,054 | 738,067 |
Total loans | 725,450 | 740,687 |
Business Activities Loans | Total consumer | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 13 | 13 |
Collectively evaluated | 68,085 | 70,522 |
Total loans | 68,098 | 70,535 |
Acquired Loans | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 3,683 | 1,675 |
Purchased credit impaired | 14,770 | 18,553 |
Collectively evaluated | 691,362 | 785,634 |
Total loans | 709,815 | 805,862 |
Acquired Loans | Total commercial real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 2,402 | 258 |
Purchased credit impaired | 7,262 | 8,673 |
Collectively evaluated | 189,361 | 224,292 |
Total loans | 199,025 | 233,223 |
Acquired Loans | Total commercial and industrial | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 356 | 385 |
Purchased credit impaired | 1,980 | 2,932 |
Collectively evaluated | 94,097 | 93,404 |
Total loans | 96,433 | 96,721 |
Acquired Loans | Total residential real estate | ||
Allowance for loan losses | ||
Individually evaluated for impairment | 925 | 1,032 |
Purchased credit impaired | 4,715 | 5,591 |
Collectively evaluated | 352,618 | 404,547 |
Total loans | 358,258 | 411,170 |
Acquired Loans | Total consumer | ||
Allowance for loan losses | ||
Purchased credit impaired | 813 | 1,357 |
Collectively evaluated | 55,286 | 63,391 |
Total loans | $ 56,099 | $ 64,748 |
LOANS - Impaired Loans (Details
LOANS - Impaired Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Business Activities Loans | ||
Recorded Investment | ||
Total | $ 5,940 | $ 7,950 |
Unpaid Principal Balance | ||
Total | 6,550 | 8,408 |
Related Allowance | ||
With an allowance recorded | 766 | 1,452 |
Business Activities Loans | Construction and land development | ||
Recorded Investment | ||
With no related allowance | 0 | |
With an allowance recorded | 267 | 258 |
Unpaid Principal Balance | ||
With no related allowance | 0 | |
With an allowance recorded | 265 | 258 |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 213 | 205 |
Business Activities Loans | Other commercial real estate | ||
Recorded Investment | ||
With no related allowance | 1,344 | 1,911 |
With an allowance recorded | 871 | 1,795 |
Unpaid Principal Balance | ||
With no related allowance | 1,449 | 1,957 |
With an allowance recorded | 924 | 1,940 |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 474 | 1,026 |
Business Activities Loans | Commercial | ||
Recorded Investment | ||
With no related allowance | 625 | 710 |
With an allowance recorded | 134 | 282 |
Unpaid Principal Balance | ||
With no related allowance | 714 | 773 |
With an allowance recorded | 134 | 289 |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 18 | 164 |
Business Activities Loans | Agricultural | ||
Recorded Investment | ||
With no related allowance | 290 | 361 |
With an allowance recorded | 0 | |
Unpaid Principal Balance | ||
With no related allowance | 428 | 261 |
With an allowance recorded | 0 | |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 0 | |
Business Activities Loans | Tax exempt | ||
Recorded Investment | ||
With no related allowance | 0 | |
With an allowance recorded | 0 | |
Unpaid Principal Balance | ||
With no related allowance | 0 | |
With an allowance recorded | 0 | |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 0 | |
Business Activities Loans | Residential mortgages | ||
Recorded Investment | ||
With no related allowance | 1,875 | 2,067 |
With an allowance recorded | 521 | 553 |
Unpaid Principal Balance | ||
With no related allowance | 2,036 | 2,227 |
With an allowance recorded | 587 | 590 |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 60 | 57 |
Business Activities Loans | Home equity | ||
Recorded Investment | ||
With no related allowance | 0 | |
With an allowance recorded | 13 | 13 |
Unpaid Principal Balance | ||
With no related allowance | 0 | |
With an allowance recorded | 13 | 13 |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 1 | |
Business Activities Loans | Other consumer | ||
Recorded Investment | ||
With no related allowance | 0 | |
With an allowance recorded | 0 | |
Unpaid Principal Balance | ||
With no related allowance | 0 | |
With an allowance recorded | 0 | |
Related Allowance | ||
Impaired Financing Receivable No Allowance | 0 | |
With an allowance recorded | 0 | |
Business Activities Loans | Total commercial real estate | ||
Recorded Investment | ||
Total | 2,482 | 3,964 |
Unpaid Principal Balance | ||
Total | 2,638 | 4,155 |
Related Allowance | ||
With an allowance recorded | 687 | 1,231 |
Business Activities Loans | Total commercial and industrial | ||
Recorded Investment | ||
Total | 1,049 | 1,353 |
Unpaid Principal Balance | ||
Total | 1,276 | 1,423 |
Related Allowance | ||
With an allowance recorded | 18 | 164 |
Business Activities Loans | Total residential real estate | ||
Recorded Investment | ||
Total | 2,396 | 2,620 |
Unpaid Principal Balance | ||
Total | 2,623 | 2,817 |
Related Allowance | ||
With an allowance recorded | 60 | 57 |
Business Activities Loans | Total consumer | ||
Recorded Investment | ||
Total | 13 | 13 |
Unpaid Principal Balance | ||
Total | 13 | 13 |
Related Allowance | ||
With an allowance recorded | 1 | |
Acquired Loans | ||
Recorded Investment | ||
Total | 3,683 | 1,675 |
Unpaid Principal Balance | ||
Total | 4,176 | 2,053 |
Related Allowance | ||
With an allowance recorded | 441 | 61 |
Acquired Loans | Other commercial real estate | ||
Recorded Investment | ||
With no related allowance | 1,518 | 90 |
With an allowance recorded | 884 | 168 |
Unpaid Principal Balance | ||
With no related allowance | 1,525 | 90 |
With an allowance recorded | 907 | 168 |
Related Allowance | ||
With an allowance recorded | 365 | 12 |
Acquired Loans | Commercial | ||
Recorded Investment | ||
With no related allowance | 284 | 385 |
With an allowance recorded | 72 | |
Unpaid Principal Balance | ||
With no related allowance | 373 | 481 |
With an allowance recorded | 74 | |
Related Allowance | ||
With an allowance recorded | 9 | |
Acquired Loans | Residential mortgages | ||
Recorded Investment | ||
With no related allowance | 401 | 678 |
With an allowance recorded | 524 | 354 |
Unpaid Principal Balance | ||
With no related allowance | 590 | 938 |
With an allowance recorded | 707 | 376 |
Related Allowance | ||
With an allowance recorded | 67 | 49 |
Acquired Loans | Total commercial real estate | ||
Recorded Investment | ||
Total | 2,402 | 258 |
Unpaid Principal Balance | ||
Total | 2,432 | 258 |
Related Allowance | ||
With an allowance recorded | 365 | 12 |
Acquired Loans | Total commercial and industrial | ||
Recorded Investment | ||
Total | 356 | 385 |
Unpaid Principal Balance | ||
Total | 447 | 481 |
Related Allowance | ||
With an allowance recorded | 9 | |
Acquired Loans | Total residential real estate | ||
Recorded Investment | ||
Total | 925 | 1,032 |
Unpaid Principal Balance | ||
Total | 1,297 | 1,314 |
Related Allowance | ||
With an allowance recorded | $ 67 | $ 49 |
LOANS - Average Recorded Invest
LOANS - Average Recorded Investment and Interest Income Recognized on Impaired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Business Activities Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | $ 6,085 | $ 12,937 | $ 6,061 | $ 12,727 |
Interest Income Recognized | 8 | 41 | 26 | 86 |
Business Activities Loans | Construction and land development | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with related allowance | 265 | 1 | 264 | 3 |
Business Activities Loans | Other commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with no related allowance | 1,347 | 7,499 | 1,286 | 7,219 |
Interest income recognized, with no related allowance | 3 | 20 | 6 | 46 |
Average recorded investment, with related allowance | 871 | 1,396 | 874 | 1,497 |
Business Activities Loans | Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with no related allowance | 652 | 940 | 657 | 931 |
Interest income recognized, with no related allowance | 1 | 2 | 2 | 4 |
Average recorded investment, with related allowance | 134 | 412 | 134 | 417 |
Business Activities Loans | Agricultural | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with no related allowance | 382 | 406 | ||
Business Activities Loans | Residential mortgages | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with no related allowance | 1,875 | 2,104 | 1,880 | 2,113 |
Interest income recognized, with no related allowance | 4 | 16 | 16 | 31 |
Average recorded investment, with related allowance | 546 | 572 | 547 | 534 |
Interest income recognized, with related allowance | 3 | 2 | 5 | |
Business Activities Loans | Home equity | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with related allowance | 13 | 13 | 13 | 13 |
Business Activities Loans | Total commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | 2,483 | 8,896 | 2,424 | 8,719 |
Interest Income Recognized | 3 | 20 | 6 | 46 |
Business Activities Loans | Total commercial and industrial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | 1,168 | 1,352 | 1,197 | 1,348 |
Interest Income Recognized | 1 | 2 | 2 | 4 |
Business Activities Loans | Total residential real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | 2,421 | 2,676 | 2,427 | 2,647 |
Interest Income Recognized | 4 | 19 | 18 | 36 |
Business Activities Loans | Total consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | 13 | 13 | 13 | 13 |
Acquired Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | 3,845 | 1,459 | 2,908 | 1,435 |
Interest Income Recognized | 3 | 3 | ||
Acquired Loans | Other commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with no related allowance | 1,527 | 187 | 763 | 157 |
Average recorded investment, with related allowance | 906 | 71 | 663 | 36 |
Interest income recognized, with related allowance | 3 | 3 | ||
Acquired Loans | Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with no related allowance | 295 | 412 | 345 | 446 |
Average recorded investment, with related allowance | 75 | 80 | ||
Acquired Loans | Residential mortgages | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average recorded investment, with no related allowance | 446 | 426 | 456 | 431 |
Average recorded investment, with related allowance | 596 | 363 | 601 | 365 |
Acquired Loans | Total commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | 2,433 | 258 | 1,426 | 193 |
Interest Income Recognized | 3 | 3 | ||
Acquired Loans | Total commercial and industrial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | 370 | 412 | 425 | 446 |
Acquired Loans | Total residential real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Average Recorded Investment | $ 1,042 | $ 789 | $ 1,057 | $ 796 |
LOANS - TDR, Recorded Investmen
LOANS - TDR, Recorded Investment and Number of Modifications (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2020USD ($)item | Jun. 30, 2019USD ($)item | Jun. 30, 2020USD ($)item | Jun. 30, 2019USD ($)item | Dec. 31, 2019USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Borrower's sustained repayment performance period | 6 months | ||||
Number of Modifications | item | 0 | 5 | 6 | 16 | |
Pre-Modification Outstanding Recorded Investment | $ 350 | $ 130 | $ 1,024 | ||
Post-Modification Outstanding Recorded Investment | $ 305 | $ 482 | $ 977 | ||
Number of modifications which subsequently defaulted | item | 0 | ||||
Interest rate and maturity concession | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 0 | 0 | |||
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | |||
Amortization and maturity concession | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 0 | 4 | |||
Post-Modification Outstanding Recorded Investment | $ 0 | $ 275 | |||
Forbearance | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 0 | 1 | |||
Post-Modification Outstanding Recorded Investment | $ 0 | $ 77 | |||
Forbearance and interest only payments | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 2 | 1 | 4 | ||
Post-Modification Outstanding Recorded Investment | $ 131 | $ 25 | $ 243 | ||
Forbearance and maturity concession | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 1 | 0 | 4 | ||
Post-Modification Outstanding Recorded Investment | $ 46 | $ 0 | $ 249 | ||
Maturity concession | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 1 | 0 | |||
Post-Modification Outstanding Recorded Investment | $ 9 | $ 0 | |||
Other | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 1 | 0 | 1 | ||
Post-Modification Outstanding Recorded Investment | $ 58 | $ 0 | $ 58 | ||
Interest only payments and maturity concession | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 1 | 0 | 2 | ||
Post-Modification Outstanding Recorded Investment | $ 70 | $ 0 | $ 75 | ||
Interest rate, forbearance and maturity concession | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 4 | 0 | |||
Post-Modification Outstanding Recorded Investment | $ 448 | $ 0 | |||
Other commercial real estate | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 2 | 1 | 5 | ||
Pre-Modification Outstanding Recorded Investment | $ 186 | $ 54 | $ 299 | ||
Post-Modification Outstanding Recorded Investment | $ 177 | $ 252 | $ 290 | ||
Commercial | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 1 | 3 | 3 | ||
Pre-Modification Outstanding Recorded Investment | $ 12 | $ 41 | $ 43 | ||
Post-Modification Outstanding Recorded Investment | $ 12 | $ 196 | $ 43 | ||
Residential mortgages | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 2 | 8 | |||
Pre-Modification Outstanding Recorded Investment | $ 152 | $ 682 | |||
Post-Modification Outstanding Recorded Investment | $ 116 | $ 644 | |||
Home equity | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 1 | ||||
Pre-Modification Outstanding Recorded Investment | $ 26 | ||||
Post-Modification Outstanding Recorded Investment | $ 25 | ||||
Other consumer | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of Modifications | item | 1 | ||||
Pre-Modification Outstanding Recorded Investment | $ 9 | ||||
Post-Modification Outstanding Recorded Investment | 9 | ||||
Total residential real estate | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Fair value of bank-owned residential real estate property | $ 2,300 | 2,300 | $ 2,300 | ||
Total residential real estate | Residential mortgages | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Residential mortgage loans collateralized by real estate property in the process of foreclosure | $ 537 | $ 810 |
LOANS - Mortgage Banking (Detai
LOANS - Mortgage Banking (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |||||
Balance at beginning of year | $ 2,939 | $ 3,025 | $ 3,001 | $ 3,086 | |
Additions | 164 | 51 | 253 | 107 | |
Amortization | (192) | (135) | (343) | (252) | |
Balance at end of year | 2,911 | $ 2,941 | 2,911 | $ 2,941 | |
Total residential loans included in held for sale loans | $ 23,000 | $ 23,000 | $ 6,500 |
ALLOWANCE FOR LOAN LOSSES (Deta
ALLOWANCE FOR LOAN LOSSES (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2020USD ($)item | |
Receivables [Abstract] | |
Number of reserve components | 4 |
Specific reserve for loans individually evaluated, threshold | $ | $ 150 |
Number of business pools | 2 |
Quantitative reserve, percent of historical charge-off rate | 100.00% |
ALLOWANCE FOR LOAN LOSSES - All
ALLOWANCE FOR LOAN LOSSES - Allowance Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | $ 15,353 | |||||
Provision (release) for loan losses | $ 1,354 | $ 562 | 2,465 | $ 886 | ||
Balance at end of period | 16,509 | 16,509 | ||||
Allowance For Loan Losses | ||||||
Total | 16,509 | 15,353 | $ 16,509 | |||
Business Activities Loans | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 15,101 | 13,702 | 15,057 | 13,581 | ||
Charged-off loans | (209) | (35) | (1,281) | (145) | ||
Recoveries on charged-off loans | 74 | 117 | 81 | 155 | ||
Provision (release) for loan losses | 1,012 | 506 | 2,121 | 699 | ||
Balance at end of period | 15,978 | 14,290 | 15,978 | 14,290 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 766 | $ 564 | ||||
Collectively evaluated | 15,212 | 13,726 | ||||
Total | 15,978 | 14,290 | 15,057 | 14,290 | 15,978 | 14,290 |
Business Activities Loans | Total commercial real estate | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 7,661 | 6,575 | 7,668 | 6,811 | ||
Charged-off loans | (771) | (57) | ||||
Recoveries on charged-off loans | 71 | 114 | 78 | 130 | ||
Provision (release) for loan losses | 684 | 517 | 1,441 | 322 | ||
Balance at end of period | 8,416 | 7,206 | 8,416 | 7,206 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 687 | 449 | ||||
Collectively evaluated | 7,729 | 6,757 | ||||
Total | 8,416 | 7,206 | 8,416 | 6,811 | 8,416 | 7,206 |
Business Activities Loans | Total commercial and industrial | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 3,543 | 2,778 | 3,608 | 2,380 | ||
Charged-off loans | (153) | (13) | (304) | (13) | ||
Recoveries on charged-off loans | 1 | 1 | 1 | 1 | ||
Provision (release) for loan losses | (150) | (18) | (64) | 380 | ||
Balance at end of period | 3,241 | 2,748 | 3,241 | 2,748 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 18 | 39 | ||||
Collectively evaluated | 3,223 | 2,709 | ||||
Total | 3,241 | 2,748 | 3,241 | 2,380 | 3,241 | 2,748 |
Business Activities Loans | Total residential real estate | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 3,513 | 3,953 | 3,402 | 3,982 | ||
Charged-off loans | (21) | (21) | ||||
Recoveries on charged-off loans | 18 | |||||
Provision (release) for loan losses | 453 | (11) | 564 | (58) | ||
Balance at end of period | 3,945 | 3,942 | 3,945 | 3,942 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 60 | 75 | ||||
Collectively evaluated | 3,885 | 3,867 | ||||
Total | 3,945 | 3,942 | 3,945 | 3,982 | 3,945 | 3,942 |
Business Activities Loans | Total consumer | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 384 | 396 | 379 | 408 | ||
Charged-off loans | (35) | (22) | (185) | (75) | ||
Recoveries on charged-off loans | 2 | 2 | 2 | 6 | ||
Provision (release) for loan losses | 25 | 18 | 180 | 55 | ||
Balance at end of period | 376 | 394 | 376 | 394 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 1 | 1 | ||||
Collectively evaluated | 375 | 393 | ||||
Total | 376 | 394 | 376 | 408 | 376 | 394 |
Acquired Loans | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 196 | 295 | 296 | 285 | ||
Charged-off loans | (11) | (69) | (151) | (190) | ||
Recoveries on charged-off loans | 4 | 42 | ||||
Provision (release) for loan losses | 342 | 56 | 344 | 187 | ||
Balance at end of period | 531 | 282 | 531 | 282 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 441 | 47 | ||||
Collectively evaluated | 90 | 235 | ||||
Total | 531 | 282 | 296 | 285 | 531 | 282 |
Acquired Loans | Total commercial real estate | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 64 | 161 | 147 | 173 | ||
Charged-off loans | (101) | |||||
Recoveries on charged-off loans | 18 | |||||
Provision (release) for loan losses | 337 | (2) | 337 | (14) | ||
Balance at end of period | 401 | 159 | 401 | 159 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 365 | 12 | ||||
Collectively evaluated | 36 | 147 | ||||
Total | 401 | 159 | 147 | 173 | 401 | 159 |
Acquired Loans | Total commercial and industrial | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 3 | 29 | 6 | 35 | ||
Charged-off loans | (3) | (33) | (15) | |||
Recoveries on charged-off loans | 9 | |||||
Provision (release) for loan losses | 12 | (7) | 30 | 2 | ||
Balance at end of period | 12 | 22 | 12 | 22 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 9 | |||||
Collectively evaluated | 3 | 22 | ||||
Total | 12 | 22 | 6 | 35 | 12 | 22 |
Acquired Loans | Total residential real estate | ||||||
Activity in the allowance for loan losses | ||||||
Balance at beginning of period | 129 | 105 | 143 | 77 | ||
Charged-off loans | (3) | (65) | (11) | (170) | ||
Recoveries on charged-off loans | 4 | 11 | ||||
Provision (release) for loan losses | (12) | 61 | (25) | 194 | ||
Balance at end of period | 118 | 101 | 118 | 101 | ||
Allowance For Loan Losses | ||||||
Individually evaluated for impairment | 67 | 35 | ||||
Collectively evaluated | 51 | 66 | ||||
Total | 118 | 101 | 143 | 77 | $ 118 | $ 101 |
Acquired Loans | Total consumer | ||||||
Activity in the allowance for loan losses | ||||||
Charged-off loans | (5) | (4) | (6) | (5) | ||
Recoveries on charged-off loans | 4 | |||||
Provision (release) for loan losses | $ 5 | $ 4 | $ 2 | $ 5 |
ALLOWANCE FOR LOAN LOSSES - Loa
ALLOWANCE FOR LOAN LOSSES - Loans by Credit Risk Rating (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Credit quality information | ||
Loans | $ 2,729,417 | $ 2,641,092 |
Total commercial real estate | ||
Credit quality information | ||
Loans | 982,070 | 930,661 |
Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 62,473 | 34,290 |
Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 919,597 | 896,371 |
Total commercial and industrial | ||
Credit quality information | ||
Loans | 539,442 | 423,291 |
Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 454,339 | 298,764 |
Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 18,185 | 20,224 |
Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 66,918 | 104,303 |
Special mention | ||
Credit quality information | ||
Loans | 15,104 | 16,230 |
Substandard | ||
Credit quality information | ||
Loans | 36,329 | 39,442 |
Non-accrual | ||
Credit quality information | ||
Loans | 13,988 | 11,550 |
Total classified | ||
Credit quality information | ||
Loans | 50,317 | 50,992 |
Total Criticized | ||
Credit quality information | ||
Loans | 65,421 | 67,222 |
Business Activities Loans | ||
Credit quality information | ||
Loans | 2,019,602 | 1,835,230 |
Business Activities Loans | Total commercial real estate | ||
Credit quality information | ||
Loans | 783,045 | 697,438 |
Business Activities Loans | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 60,096 | 31,387 |
Business Activities Loans | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 722,949 | 666,051 |
Business Activities Loans | Total commercial and industrial | ||
Credit quality information | ||
Loans | 443,009 | 326,570 |
Business Activities Loans | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 384,390 | 239,692 |
Business Activities Loans | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 18,026 | 20,018 |
Business Activities Loans | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 40,593 | 66,860 |
Business Activities Loans | Residential real estate and consumer | ||
Credit quality information | ||
Loans | 793,548 | 811,222 |
Business Activities Loans | Residential real estate and consumer | Residential mortgages | ||
Credit quality information | ||
Loans | 725,450 | 740,687 |
Business Activities Loans | Residential real estate and consumer | Home equity | ||
Credit quality information | ||
Loans | 59,413 | 59,368 |
Business Activities Loans | Residential real estate and consumer | Other consumer | ||
Credit quality information | ||
Loans | 8,685 | 11,167 |
Business Activities Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Loans | 788,872 | 807,224 |
Business Activities Loans | Performing | Residential real estate and consumer | Residential mortgages | ||
Credit quality information | ||
Loans | 721,409 | 737,325 |
Business Activities Loans | Performing | Residential real estate and consumer | Home equity | ||
Credit quality information | ||
Loans | 58,795 | 58,753 |
Business Activities Loans | Performing | Residential real estate and consumer | Other consumer | ||
Credit quality information | ||
Loans | 8,668 | 11,146 |
Business Activities Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Loans | 4,676 | 3,998 |
Business Activities Loans | Nonperforming | Residential real estate and consumer | Residential mortgages | ||
Credit quality information | ||
Loans | 4,041 | 3,362 |
Business Activities Loans | Nonperforming | Residential real estate and consumer | Home equity | ||
Credit quality information | ||
Loans | 618 | 615 |
Business Activities Loans | Nonperforming | Residential real estate and consumer | Other consumer | ||
Credit quality information | ||
Loans | 17 | 21 |
Business Activities Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Loans | 759,549 | 677,943 |
Business Activities Loans | Pass | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 59,829 | 31,057 |
Business Activities Loans | Pass | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 699,720 | 646,886 |
Business Activities Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Loans | 424,492 | 307,129 |
Business Activities Loans | Pass | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 366,761 | 221,329 |
Business Activities Loans | Pass | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 17,138 | 18,940 |
Business Activities Loans | Pass | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 40,593 | 66,860 |
Business Activities Loans | Special mention | ||
Credit quality information | ||
Loans | 12,774 | 8,525 |
Business Activities Loans | Special mention | Total commercial real estate | ||
Credit quality information | ||
Loans | 9,011 | 5,483 |
Business Activities Loans | Special mention | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 0 | 0 |
Business Activities Loans | Special mention | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 9,011 | 5,483 |
Business Activities Loans | Special mention | Total commercial and industrial | ||
Credit quality information | ||
Loans | 3,763 | 3,042 |
Business Activities Loans | Special mention | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 3,544 | 2,744 |
Business Activities Loans | Special mention | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 219 | 298 |
Business Activities Loans | Special mention | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 0 | 0 |
Business Activities Loans | Substandard | ||
Credit quality information | ||
Loans | 26,154 | 26,055 |
Business Activities Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Loans | 13,257 | 12,304 |
Business Activities Loans | Substandard | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 330 | |
Business Activities Loans | Substandard | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 13,257 | 11,974 |
Business Activities Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Loans | 13,807 | 15,646 |
Business Activities Loans | Substandard | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 13,363 | 14,866 |
Business Activities Loans | Substandard | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 444 | 780 |
Business Activities Loans | Substandard | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 0 | 0 |
Business Activities Loans | Doubtful | Total commercial real estate | ||
Credit quality information | ||
Loans | 1,228 | 1,708 |
Business Activities Loans | Doubtful | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 267 | 0 |
Business Activities Loans | Doubtful | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 961 | 1,708 |
Business Activities Loans | Doubtful | Total commercial and industrial | ||
Credit quality information | ||
Loans | 947 | 753 |
Business Activities Loans | Doubtful | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 722 | 753 |
Business Activities Loans | Doubtful | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 225 | 0 |
Business Activities Loans | Doubtful | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 0 | 0 |
Business Activities Loans | Non-accrual | ||
Credit quality information | ||
Loans | 7,761 | 8,354 |
Business Activities Loans | Total classified | ||
Credit quality information | ||
Loans | 33,915 | 34,409 |
Business Activities Loans | Total Criticized | ||
Credit quality information | ||
Loans | 46,689 | 42,934 |
Business Activities Loans | Total Criticized | Total commercial real estate | ||
Credit quality information | ||
Loans | 783,045 | 697,438 |
Business Activities Loans | Total Criticized | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 60,096 | 31,387 |
Business Activities Loans | Total Criticized | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 722,949 | 666,051 |
Business Activities Loans | Total Criticized | Total commercial and industrial | ||
Credit quality information | ||
Loans | 443,009 | 326,570 |
Business Activities Loans | Total Criticized | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 384,390 | 239,692 |
Business Activities Loans | Total Criticized | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 18,026 | 20,018 |
Business Activities Loans | Total Criticized | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 40,593 | 66,860 |
Acquired Loans | ||
Credit quality information | ||
Loans | 709,815 | 805,862 |
Acquired Loans | Total commercial real estate | ||
Credit quality information | ||
Loans | 199,025 | 233,223 |
Acquired Loans | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 2,377 | 2,903 |
Acquired Loans | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 196,648 | 230,320 |
Acquired Loans | Total commercial and industrial | ||
Credit quality information | ||
Loans | 96,433 | 96,721 |
Acquired Loans | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 69,949 | 59,072 |
Acquired Loans | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 159 | 206 |
Acquired Loans | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 26,325 | 37,443 |
Acquired Loans | Residential real estate and consumer | ||
Credit quality information | ||
Loans | 414,357 | 475,918 |
Acquired Loans | Residential real estate and consumer | Residential mortgages | ||
Credit quality information | ||
Loans | 358,258 | 411,170 |
Acquired Loans | Residential real estate and consumer | Home equity | ||
Credit quality information | ||
Loans | 54,686 | 63,033 |
Acquired Loans | Residential real estate and consumer | Other consumer | ||
Credit quality information | ||
Loans | 1,413 | 1,715 |
Acquired Loans | Performing | Residential real estate and consumer | ||
Credit quality information | ||
Loans | 409,250 | 472,022 |
Acquired Loans | Performing | Residential real estate and consumer | Residential mortgages | ||
Credit quality information | ||
Loans | 353,736 | 407,811 |
Acquired Loans | Performing | Residential real estate and consumer | Home equity | ||
Credit quality information | ||
Loans | 54,101 | 62,504 |
Acquired Loans | Performing | Residential real estate and consumer | Other consumer | ||
Credit quality information | ||
Loans | 1,413 | 1,707 |
Acquired Loans | Nonperforming | Residential real estate and consumer | ||
Credit quality information | ||
Loans | 5,107 | 3,896 |
Acquired Loans | Nonperforming | Residential real estate and consumer | Residential mortgages | ||
Credit quality information | ||
Loans | 4,522 | 3,359 |
Acquired Loans | Nonperforming | Residential real estate and consumer | Home equity | ||
Credit quality information | ||
Loans | 585 | 529 |
Acquired Loans | Nonperforming | Residential real estate and consumer | Other consumer | ||
Credit quality information | ||
Loans | 8 | |
Acquired Loans | Pass | Total commercial real estate | ||
Credit quality information | ||
Loans | 187,984 | 220,903 |
Acquired Loans | Pass | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 2,014 | 2,412 |
Acquired Loans | Pass | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 185,970 | 218,491 |
Acquired Loans | Pass | Total commercial and industrial | ||
Credit quality information | ||
Loans | 93,849 | 88,649 |
Acquired Loans | Pass | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 67,501 | 51,184 |
Acquired Loans | Pass | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 23 | 58 |
Acquired Loans | Pass | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 26,325 | 37,407 |
Acquired Loans | Special mention | ||
Credit quality information | ||
Loans | 2,330 | 7,705 |
Acquired Loans | Special mention | Total commercial real estate | ||
Credit quality information | ||
Loans | 1,499 | 2,273 |
Acquired Loans | Special mention | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 12 | |
Acquired Loans | Special mention | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 1,499 | 2,261 |
Acquired Loans | Special mention | Total commercial and industrial | ||
Credit quality information | ||
Loans | 831 | 5,432 |
Acquired Loans | Special mention | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 831 | 5,432 |
Acquired Loans | Substandard | ||
Credit quality information | ||
Loans | 10,175 | 13,387 |
Acquired Loans | Substandard | Total commercial real estate | ||
Credit quality information | ||
Loans | 7,980 | 9,879 |
Acquired Loans | Substandard | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 363 | 479 |
Acquired Loans | Substandard | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 7,617 | 9,400 |
Acquired Loans | Substandard | Total commercial and industrial | ||
Credit quality information | ||
Loans | 1,183 | 2,299 |
Acquired Loans | Substandard | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 1,047 | 2,115 |
Acquired Loans | Substandard | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 136 | 148 |
Acquired Loans | Substandard | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 36 | |
Acquired Loans | Doubtful | Total commercial real estate | ||
Credit quality information | ||
Loans | 1,562 | 168 |
Acquired Loans | Doubtful | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 1,562 | 168 |
Acquired Loans | Doubtful | Total commercial and industrial | ||
Credit quality information | ||
Loans | 570 | 341 |
Acquired Loans | Doubtful | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 570 | 341 |
Acquired Loans | Non-accrual | ||
Credit quality information | ||
Loans | 6,227 | 3,196 |
Acquired Loans | Total classified | ||
Credit quality information | ||
Loans | 16,402 | 16,583 |
Acquired Loans | Total classified | Total commercial real estate | ||
Credit quality information | ||
Loans | 199,025 | 233,223 |
Acquired Loans | Total classified | Total commercial real estate | Construction and land development | ||
Credit quality information | ||
Loans | 2,377 | 2,903 |
Acquired Loans | Total classified | Total commercial real estate | Other commercial real estate | ||
Credit quality information | ||
Loans | 196,648 | 230,320 |
Acquired Loans | Total classified | Total commercial and industrial | ||
Credit quality information | ||
Loans | 96,433 | 96,721 |
Acquired Loans | Total classified | Total commercial and industrial | Commercial | ||
Credit quality information | ||
Loans | 69,949 | 59,072 |
Acquired Loans | Total classified | Total commercial and industrial | Agricultural | ||
Credit quality information | ||
Loans | 159 | 206 |
Acquired Loans | Total classified | Total commercial and industrial | Tax exempt | ||
Credit quality information | ||
Loans | 26,325 | 37,443 |
Acquired Loans | Total Criticized | ||
Credit quality information | ||
Loans | $ 18,732 | $ 24,288 |
BORROWED FUNDS - Summary of Bor
BORROWED FUNDS - Summary of Borrowed Funds (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Short-term borrowings | ||
Carrying Value | $ 228,015 | $ 348,118 |
Weighted Average Rate | 0.75% | 1.73% |
Long-term borrowings | ||
Carrying Value | $ 378,727 | $ 183,198 |
Weighted Average Rate | 2.58% | 2.87% |
Total borrowings | $ 606,742 | $ 531,316 |
Weighted Average Rate | 1.66% | 2.11% |
Advances from the FHLB | ||
Short-term borrowings | ||
Carrying Value | $ 194,169 | $ 303,286 |
Weighted Average Rate | 0.84% | 1.83% |
Long-term borrowings | ||
Carrying Value | $ 187,612 | $ 123,278 |
Weighted Average Rate | 1.73% | 1.93% |
Federal Reserve Bank Advances | ||
Short-term borrowings | ||
Carrying Value | $ 0 | |
Long-term borrowings | ||
Carrying Value | $ 131,236 | |
Weighted Average Rate | 0.34% | |
Other borrowings | ||
Short-term borrowings | ||
Carrying Value | $ 33,846 | $ 44,832 |
Weighted Average Rate | 0.68% | 0.99% |
Subordinated borrowings | ||
Long-term borrowings | ||
Carrying Value | $ 59,879 | $ 59,920 |
Weighted Average Rate | 4.54% | 5.53% |
BORROWED FUNDS - Additional Inf
BORROWED FUNDS - Additional Information (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Debt Instrument [Line Items] | ||
Outstanding amount | $ 378,727,000 | $ 183,198,000 |
Financial Guarantee | NHTB Capital Trust II and NHTB Capital Trust III | ||
Debt Instrument [Line Items] | ||
Debentures issued by variable interest entities | $ 20,600,000 | |
LIBOR | Financial Guarantee | ||
Debt Instrument [Line Items] | ||
Interest rate margin | 2.79% | |
Advances from the FHLB | ||
Debt Instrument [Line Items] | ||
Line of credit maintained | $ 1,000,000 | |
Outstanding balance on the FHLB line of credit | 0 | 0 |
Outstanding amount | 187,612,000 | 123,278,000 |
Federal Home Loan Bank Certificates and Obligations FHLB Callable Advances | ||
Debt Instrument [Line Items] | ||
Outstanding amount | 0 | 0 |
Federal Home Loan Bank Certificates and Obligations FHLB Amortizing Advances | ||
Debt Instrument [Line Items] | ||
Outstanding amount | 312,000 | 312,000 |
Federal Reserve Bank Advances | ||
Debt Instrument [Line Items] | ||
Line of credit maintained | 82,400,000 | |
Outstanding amount | 131,236,000 | |
Federal Reserve Bank Advances | Unsecured Debt | ||
Debt Instrument [Line Items] | ||
Line of credit maintained | 50,000,000 | 50,000,000 |
Outstanding balance on unused unsecured federal funds line of credit | $ 0 | $ 0 |
BORROWED FUNDS - Maturities of
BORROWED FUNDS - Maturities of FHLB Advances (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Carrying Value | |
2020 | $ 158,500 |
2021 | 40,669 |
2022 | 75,000 |
2023 | 80,000 |
2024 | 7,300 |
2025 and thereafter | 20,312 |
Total FHLB advances | $ 381,781 |
Weighted Average Rate | |
2020 | 0.65% |
2021 | 1.67% |
2022 | 1.87% |
2023 | 1.77% |
2024 | 1.16% |
2025 and thereafter | 1.23% |
Total FHLB advances | 1.27% |
BORROWED FUNDS - Subordinated a
BORROWED FUNDS - Subordinated and Junior Subordinated Borrowings (Details) - Subordinated Notes - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Nov. 26, 2019 | |
Debt Instrument [Line Items] | ||
Principal amount of debt issued | $ 40,000 | |
Fixed interest rate | 4.625% | |
Debt issuance costs | $ 741 | |
SOFR | ||
Debt Instrument [Line Items] | ||
Interest rate margin | 3.27% |
DEPOSITS - Components (Details)
DEPOSITS - Components (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Deposits [Abstract] | ||
Time less than $100,000 | $ 378,100 | $ 600,747 |
Time $100,000 through $250,000 | 182,727 | 225,505 |
Time $250,000 or more | 117,299 | 106,383 |
Total time deposits | $ 678,126 | $ 932,635 |
DEPOSITS - Maturities, Brokered
DEPOSITS - Maturities, Brokered, Reciprocal (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Time Deposits, Fiscal Year Maturity [Abstract] | ||
Within 1 year | $ 475,130 | $ 555,074 |
Over 1 year to 2 years | 131,479 | 287,934 |
Over 2 years to 3 years | 34,812 | 51,444 |
Over 3 years to 4 years | 27,096 | 31,262 |
Over 4 years to 5 years | 9,057 | 6,883 |
Over 5 years | 552 | 38 |
Total time deposits | 678,126 | 932,635 |
Brokered deposits | 201,200 | 526,900 |
Reciprocal deposits | $ 95,000 | $ 64,100 |
CAPITAL RATIOS AND SHAREHOLDE_3
CAPITAL RATIOS AND SHAREHOLDERS' EQUITY - Actual and Required Capital Ratios (Details) | Jun. 30, 2020 | Dec. 31, 2019 | Jan. 01, 2019 |
Actual | |||
Total capital to risk-weighted assets, ratio | 13.41 | 13.61 | |
Common equity tier 1 capital to risk-weighted assets, ratio | 10.41 | 10.57 | |
Tier 1 capital to risk-weighted assets, ratio | 11.21 | 11.39 | |
Tier 1 capital to average assets, ratio | 8.11 | 8.13 | |
Capital Required For Capital Adequacy [Abstract] | |||
Regulatory minimum to be well capitalized, Total capital to risk-weighted assets, ratio | 10.50 | 10.50 | |
Regulatory minimum to be well capitalized, Common equity tier 1 capital to risk-weighted assets, ratio | 7.00% | 7.00% | |
Regulatory minimum to be well capitalized, Tier 1 capital to risk-weighted assets, ratio | 8.50 | 8.50 | |
Regulatory minimum to be well capitalized, Tier 1 capital to average assets, ratio | 5 | 5 | |
Bank | |||
Actual | |||
Total capital to risk-weighted assets, ratio | 12.85 | 12.42 | |
Common equity tier 1 capital to risk-weighted assets, ratio | 12.19 | 11.79 | |
Tier 1 capital to risk-weighted assets, ratio | 12.19 | 11.79 | |
Tier 1 capital to average assets, ratio | 8.82 | 8.39 | |
Capital Required For Capital Adequacy [Abstract] | |||
Regulatory minimum to be well capitalized, Total capital to risk-weighted assets, ratio | 10.50 | 10.50 | |
Regulatory minimum to be well capitalized, Common equity tier 1 capital to risk-weighted assets, ratio | 7.00% | 7.00% | 7.00% |
Regulatory minimum to be well capitalized, Tier 1 capital to risk-weighted assets, ratio | 8.50 | 8.50 | 8.5 |
Regulatory minimum to be well capitalized, Tier 1 capital to average assets, ratio | 5 | 5 | 10.5 |
CAPITAL RATIOS AND SHAREHOLDE_4
CAPITAL RATIOS AND SHAREHOLDERS' EQUITY - Components of AOCI (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Accumulated other comprehensive income (loss) | $ 8,521 | $ 3,911 | $ 877 | $ (11,802) | ||
Net unrealized gain on AFS securities | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Other accumulated comprehensive income (loss), before tax: | 14,913 | 7,342 | ||||
Income taxes related to items of accumulated other comprehensive (income) loss: | (3,501) | (1,793) | ||||
Accumulated other comprehensive income (loss) | 11,412 | $ 9,560 | 5,459 | 5,547 | $ (1,844) | (8,665) |
Net unrealized loss on effective cash flow hedging derivatives | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Other accumulated comprehensive income (loss), before tax: | (2,266) | (718) | ||||
Income taxes related to items of accumulated other comprehensive (income) loss: | 532 | 237 | ||||
Accumulated other comprehensive income (loss) | (1,734) | (2,213) | (391) | (3,782) | (2,896) | (2,249) |
Net unrealized gain (loss) on post-retirement plans | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Other accumulated comprehensive income (loss), before tax: | (1,512) | (1,512) | ||||
Income taxes related to items of accumulated other comprehensive (income) loss: | 355 | 355 | ||||
Accumulated other comprehensive income (loss) | $ (1,157) | $ (1,157) | $ (1,157) | $ (888) | $ (888) | $ (888) |
CAPITAL RATIOS AND SHAREHOLDE_5
CAPITAL RATIOS AND SHAREHOLDERS' EQUITY - Components of OCI (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Net unrealized gain (loss) arising during the period | |||||||
Before Tax | $ 1,734 | $ 1,768 | |||||
Net of Tax | $ 3,360 | $ 6,505 | 5,741 | $ 12,679 | |||
Less: reclassification adjustment for gains (losses) realized in net income | |||||||
Before Tax | $ 3,156 | ||||||
Net of Tax | 1,029 | 0 | 1,131 | 0 | |||
Other comprehensive income (loss) | |||||||
Before Tax | 3,047 | 8,489 | 6,023 | 16,544 | |||
Tax Effect | (716) | (1,984) | (1,413) | (3,865) | |||
Total other comprehensive income | 2,331 | $ 2,279 | 6,505 | $ 6,174 | 4,610 | 12,679 | |
Net unrealized gain on AFS securities | |||||||
Net unrealized gain (loss) arising during the period | |||||||
Before Tax | 3,772 | 9,646 | 9,148 | 18,546 | |||
Tax Effect | (891) | (2,255) | (2,064) | (4,334) | |||
Net of Tax | 2,881 | 7,391 | 7,084 | 14,212 | |||
Less: reclassification adjustment for gains (losses) realized in net income | |||||||
Before Tax | 1,351 | 1,486 | |||||
Tax Effect | (322) | (355) | |||||
Net of Tax | 1,029 | 0 | 1,131 | 0 | |||
Other comprehensive income (loss) | |||||||
Before Tax | 2,421 | 9,646 | 7,662 | 18,546 | |||
Tax Effect | (569) | (2,255) | (1,709) | (4,334) | |||
Total other comprehensive income | 1,852 | 7,391 | 5,953 | 14,212 | |||
Net unrealized loss on effective cash flow hedging derivatives | |||||||
Net unrealized gain (loss) arising during the period | |||||||
Before Tax | 626 | (1,157) | (1,639) | (2,002) | |||
Tax Effect | (147) | 271 | 296 | 469 | |||
Net of Tax | 479 | (886) | (1,343) | (1,533) | |||
Less: reclassification adjustment for gains (losses) realized in net income | |||||||
Net of Tax | 0 | 0 | 0 | 0 | |||
Other comprehensive income (loss) | |||||||
Before Tax | 626 | (1,157) | (1,639) | (2,002) | |||
Tax Effect | (147) | 271 | 296 | 469 | |||
Total other comprehensive income | 479 | (886) | (1,343) | (1,533) | |||
Net unrealized gain (loss) on post-retirement plans | |||||||
Net unrealized gain (loss) arising during the period | |||||||
Net of Tax | 0 | 0 | 0 | 0 | |||
Less: reclassification adjustment for gains (losses) realized in net income | |||||||
Net of Tax | 0 | 0 | 0 | 0 | |||
Other comprehensive income (loss) | |||||||
Total other comprehensive income | $ 0 | $ 0 | $ 0 | $ 0 |
CAPITAL RATIOS AND SHAREHOLDE_6
CAPITAL RATIOS AND SHAREHOLDERS' EQUITY - Changes in AOCI (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Balance at beginning of period | $ 3,911 | $ (11,802) | $ 3,911 | $ (11,802) | ||||
Other comprehensive gain (loss) before reclassifications | $ 3,360 | $ 6,505 | 5,741 | 12,679 | ||||
Less: amounts reclassified from accumulated other comprehensive income | 1,029 | 0 | 1,131 | 0 | ||||
Total other comprehensive income | 2,331 | 2,279 | 6,505 | 6,174 | 4,610 | 12,679 | ||
Balance at end of period | 3,911 | (11,802) | 3,911 | (11,802) | $ 8,521 | $ 877 | ||
Net unrealized gain on AFS securities | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Balance at beginning of period | 9,560 | 5,459 | (1,844) | (8,665) | 5,459 | (8,665) | ||
Other comprehensive gain (loss) before reclassifications | 2,881 | 7,391 | 7,084 | 14,212 | ||||
Less: amounts reclassified from accumulated other comprehensive income | 1,029 | 0 | 1,131 | 0 | ||||
Total other comprehensive income | 1,852 | 7,391 | 5,953 | 14,212 | ||||
Balance at end of period | 9,560 | 5,459 | (1,844) | (8,665) | 5,459 | (8,665) | 11,412 | 5,547 |
Net unrealized loss on effective cash flow hedging derivatives | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Balance at beginning of period | (2,213) | (391) | (2,896) | (2,249) | (391) | (2,249) | ||
Other comprehensive gain (loss) before reclassifications | 479 | (886) | (1,343) | (1,533) | ||||
Less: amounts reclassified from accumulated other comprehensive income | 0 | 0 | 0 | 0 | ||||
Total other comprehensive income | 479 | (886) | (1,343) | (1,533) | ||||
Balance at end of period | (2,213) | (391) | (2,896) | (2,249) | (391) | (2,249) | (1,734) | (3,782) |
Net unrealized gain (loss) on post-retirement plans | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Balance at beginning of period | (1,157) | (1,157) | (888) | (888) | (1,157) | (888) | ||
Other comprehensive gain (loss) before reclassifications | 0 | 0 | 0 | 0 | ||||
Less: amounts reclassified from accumulated other comprehensive income | 0 | 0 | 0 | 0 | ||||
Total other comprehensive income | 0 | 0 | 0 | 0 | ||||
Balance at end of period | (1,157) | (1,157) | (888) | (888) | $ (1,157) | (888) | (1,157) | (888) |
Accumulated other comprehensive income (loss) | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Balance at beginning of period | 6,190 | (5,628) | ||||||
Total other comprehensive income | 2,331 | $ 2,279 | 6,505 | $ 6,174 | ||||
Balance at end of period | $ 6,190 | $ (5,628) | $ 8,521 | $ 877 | ||||
Accounting Standards Update 2018-02 | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Less: amounts reclassified from accumulated other comprehensive income | 0 | |||||||
Accounting Standards Update 2018-02 | Net unrealized gain on AFS securities | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Less: amounts reclassified from accumulated other comprehensive income | 0 | |||||||
Accounting Standards Update 2018-02 | Net unrealized loss on effective cash flow hedging derivatives | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Less: amounts reclassified from accumulated other comprehensive income | 0 | |||||||
Accounting Standards Update 2018-02 | Net unrealized gain (loss) on post-retirement plans | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ||||||||
Less: amounts reclassified from accumulated other comprehensive income | $ 0 |
CAPITAL RATIOS AND SHAREHOLDE_7
CAPITAL RATIOS AND SHAREHOLDERS' EQUITY - Amounts Reclassified Out of AOCI (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Non-interest income | $ 9,710 | $ 7,453 | $ 18,131 | $ 13,620 |
Non-interest expense | (22,266) | (20,906) | (44,625) | (39,530) |
Salaries and employee benefits | (11,909) | (11,685) | (23,793) | (22,204) |
Tax expense | (2,199) | $ (1,364) | (3,992) | (3,067) |
Available-for-sale Securities, Gross Realized Gains | 1,400 | 1,500 | ||
Available-for-sale Securities, Gross Realized Losses | 11 | 22 | ||
Reclassification out of AOCI | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Non-interest income | 1,351 | 1,486 | 0 | |
Tax expense | (322) | (355) | 0 | |
Net of tax | $ 1,029 | $ 1,131 | $ 0 |
EARNING PER SHARE (Details)
EARNING PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | ||||||
Net income | $ 8,481 | $ 7,721 | $ 6,117 | $ 7,281 | $ 16,202 | $ 13,398 |
Average number of basic common shares outstanding (in shares) | 15,423,997 | 15,538,282 | 15,500,033 | 15,530,893 | ||
Plus: dilutive effect of stock options and awards outstanding (in shares) | 17,281 | 47,299 | 22,960 | 51,340 | ||
Average number of diluted common shares outstanding (in shares) | 15,441,278 | 15,585,581 | 15,522,993 | 15,582,233 | ||
Earnings Per Share, Basic and Diluted [Abstract] | ||||||
Earnings Per Share, Basic | $ 0.55 | $ 0.39 | $ 1.05 | $ 0.86 | ||
Earnings Per Share, Diluted | $ 0.55 | $ 0.39 | $ 1.04 | $ 0.86 |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | Apr. 30, 2020 | |
Derivative [Line Items] | |||
Notional Amount | $ 750,909 | $ 580,372 | |
Estimated Fair Value Asset (Liability) | (3,677) | (743) | |
Interest rate swap | |||
Derivative [Line Items] | |||
Notional Amount | 50,000 | $ 25,000 | |
Designated as hedging instrument | Cash flow hedges | |||
Derivative [Line Items] | |||
Notional Amount | $ 125,000 | 100,000 | |
Weighted Average Maturity (in years) | 4 years 6 months | ||
Estimated Fair Value Asset (Liability) | $ (7,308) | (1,311) | |
Designated as hedging instrument | Cash flow hedges | Interest rate cap agreements | |||
Derivative [Line Items] | |||
Notional Amount | $ 125,000 | $ 100,000 | |
Weighted Average Maturity (in years) | 4 years 6 months | 4 years 7 months 6 days | |
Estimated Fair Value Asset (Liability) | $ (7,308) | $ (1,311) | |
Designated as hedging instrument | Fair value hedges | |||
Derivative [Line Items] | |||
Notional Amount | $ 37,190 | 37,190 | |
Weighted Average Maturity (in years) | 9 years 3 months 18 days | ||
Estimated Fair Value Asset (Liability) | $ 3,694 | 593 | |
Designated as hedging instrument | Fair value hedges | Interest rate swap | |||
Derivative [Line Items] | |||
Notional Amount | $ 37,190 | $ 37,190 | |
Weighted Average Maturity (in years) | 9 years 3 months 18 days | 9 years 7 months 6 days | |
Estimated Fair Value Asset (Liability) | $ 3,694 | $ 593 | |
Hedged Asset, Fair Value Hedge | 42,232 | 39,026 | |
Cumulative amount of fair value hedging adjustment in carrying amount | 5,042 | 523 | |
Designated as hedging instrument | Economic hedges | |||
Derivative [Line Items] | |||
Notional Amount | 569,179 | 421,434 | |
Estimated Fair Value Asset (Liability) | (126) | (84) | |
Designated as hedging instrument | Economic hedges | Forward sale commitments | |||
Derivative [Line Items] | |||
Notional Amount | $ 43,967 | $ 11,228 | |
Weighted Average Maturity (in years) | 1 month 6 days | 1 month 6 days | |
Estimated Fair Value Asset (Liability) | $ (126) | $ (84) | |
Designated as hedging instrument | Economic hedges | Customer loan derivative liability | MNA counterparty | |||
Derivative [Line Items] | |||
Notional Amount | $ 159,215 | $ 135,598 | |
Weighted Average Maturity (in years) | 7 years 8 months 12 days | 7 years 6 months | |
Estimated Fair Value Asset (Liability) | $ (17,129) | $ (4,669) | |
Designated as hedging instrument | Economic hedges | Customer loan derivative liability | RPA counterparty | |||
Derivative [Line Items] | |||
Notional Amount | $ 103,391 | $ 69,505 | |
Weighted Average Maturity (in years) | 8 years 1 month 6 days | 8 years 9 months 18 days | |
Estimated Fair Value Asset (Liability) | $ (11,624) | $ (3,377) | |
Designated as hedging instrument | Economic hedges | Customer loan derivative liability | Customer | |||
Derivative [Line Items] | |||
Notional Amount | $ 262,606 | $ 205,103 | |
Weighted Average Maturity (in years) | 7 years 9 months 18 days | 8 years 1 month 6 days | |
Estimated Fair Value Asset (Liability) | $ 28,753 | $ 8,046 | |
Not designated as hedging instrument | |||
Derivative [Line Items] | |||
Notional Amount | $ 19,540 | 21,748 | |
Weighted Average Maturity (in years) | 1 month 6 days | ||
Estimated Fair Value Asset (Liability) | $ 63 | 59 | |
Not designated as hedging instrument | Interest Rate Lock Commitment | |||
Derivative [Line Items] | |||
Notional Amount | $ 19,540 | $ 21,748 | |
Weighted Average Maturity (in years) | 1 month 6 days | 1 month 6 days | |
Estimated Fair Value Asset (Liability) | $ 63 | $ 59 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Amount of Gain (Loss) recognized in Other Comprehensive Income (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | $ 1,734 | $ 1,768 |
Amount of Gain (Loss) Reclassified from Other Comprehensive Income | 3,156 | |
Amount of Gain (Loss) Recognized in Income | (214) | (630) |
Designated as hedging instrument | Cash flow hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | 5,592 | 2,291 |
Amount of Gain (Loss) Reclassified from Other Comprehensive Income | 3,156 | |
Amount of Gain (Loss) Recognized in Income | (216) | (605) |
Designated as hedging instrument | Cash flow hedges | Interest rate swap | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | 5,592 | |
Amount of Gain (Loss) Reclassified from Other Comprehensive Income | 3,156 | |
Amount of Gain (Loss) Recognized in Income | (216) | (603) |
Designated as hedging instrument | Cash flow hedges | Interest rate cap agreements | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | 2,291 | |
Amount of Gain (Loss) Recognized in Income | (2) | |
Designated as hedging instrument | Fair value hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | (3,858) | (523) |
Amount of Gain (Loss) Recognized in Income | 41 | 7 |
Designated as hedging instrument | Fair value hedges | Interest rate swap | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Other Comprehensive Income | (3,858) | (523) |
Amount of Gain (Loss) Recognized in Income | 41 | 7 |
Designated as hedging instrument | Economic hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | (43) | (84) |
Designated as hedging instrument | Economic hedges | Forward sale commitments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | (43) | (84) |
Not designated as hedging instrument | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | 4 | 52 |
Not designated as hedging instrument | Interest Rate Lock Commitment | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Recognized in Income | $ 4 | $ 52 |
DERIVATIVE FINANCIAL INSTRUME_5
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Additional information (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||
Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($)item | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($)item | Apr. 30, 2020USD ($)item | Nov. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2014USD ($)item | |
Derivative [Line Items] | ||||||||||
Acquisition, restructuring and other expenses | $ 158 | $ 280 | $ 261 | $ 280 | ||||||
Notional amount of interest rate swap | 750,909 | $ 580,372 | 750,909 | $ 580,372 | ||||||
Interest rate cap agreements | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, Number of Instruments Held | item | 4 | |||||||||
Premiums paid | $ 4,600 | |||||||||
Cap interest rate | 3.00% | |||||||||
Effective percentage interest rate, maximum | 3.00% | |||||||||
Acquisition, restructuring and other expenses | $ 3,200 | |||||||||
Interest rate swap | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, Number of Instruments Held | item | 2 | 2 | 1 | |||||||
Term of interest rate swap | 5 years | |||||||||
Fixed rate of interest rate swap | 0.58% | 1.53% | 2.46% | |||||||
Notional amount of interest rate swap | $ 50,000 | $ 50,000 | $ 25,000 | |||||||
Designated as hedging instrument | Cash flow hedges | ||||||||||
Derivative [Line Items] | ||||||||||
Notional amount of interest rate swap | 125,000 | 100,000 | 125,000 | 100,000 | ||||||
Designated as hedging instrument | Cash flow hedges | Interest rate cap agreements | ||||||||||
Derivative [Line Items] | ||||||||||
Notional amount of interest rate swap | 125,000 | 100,000 | 125,000 | 100,000 | ||||||
Designated as hedging instrument | Fair value hedges | ||||||||||
Derivative [Line Items] | ||||||||||
Notional amount of interest rate swap | 37,190 | $ 37,190 | 37,190 | $ 37,190 | ||||||
Designated as hedging instrument | Fair value hedges | Interest rate swap | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, Number of Instruments Held | item | 8 | 8 | ||||||||
Notional amount of interest rate swap | $ 37,190 | $ 37,190 | $ 37,190 | $ 37,190 | ||||||
Fixed interest rate, weighted average | 1.696% | 1.696% |
DERIVATIVE FINANCIAL INSTRUME_6
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES - Offsetting Assets and Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Cash Collateral Pledged | $ 28,350 | $ 10,700 |
MNA counterparty | ||
Derivative [Line Items] | ||
Cash Collateral Pledged | 28,350 | 10,700 |
Customer loan derivative liability | ||
Derivative [Line Items] | ||
Derivative liabilities | (28,753) | (8,046) |
Customer loan derivative liability | MNA counterparty | ||
Derivative [Line Items] | ||
Derivative liabilities | (17,129) | (4,669) |
Customer loan derivative liability | RPA counterparty | ||
Derivative [Line Items] | ||
Derivative liabilities | (11,624) | (3,377) |
Customer loan derivative asset | ||
Derivative [Line Items] | ||
Derivative Assets | 28,753 | 8,046 |
Customer loan derivative asset | MNA counterparty | ||
Derivative [Line Items] | ||
Derivative Assets | 17,129 | 4,669 |
Customer loan derivative asset | RPA counterparty | ||
Derivative [Line Items] | ||
Derivative Assets | $ 11,624 | $ 3,377 |
FAIR VALUE MEASUREMENTS - Measu
FAIR VALUE MEASUREMENTS - Measured on Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | $ 641,574 | $ 663,230 |
US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 267,444 | 321,969 |
US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 98,655 | 99,661 |
Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 19,367 | 19,533 |
Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 159,287 | 142,006 |
Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 96,821 | 80,061 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | |
Derivative assets | 0 | |
Derivative liabilities | 0 | |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 641,574 | 663,230 |
Derivative assets | 28,753 | 6,791 |
Derivative liabilities | 32,367 | (8,102) |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | |
Derivative assets | 63 | 59 |
Derivative liabilities | 126 | (84) |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 28,816 | 6,850 |
Derivative liabilities | (32,493) | (8,186) |
Recurring | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 267,444 | 321,969 |
Recurring | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 98,655 | 99,661 |
Recurring | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 19,367 | 19,533 |
Recurring | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 159,287 | 142,006 |
Recurring | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 96,821 | 80,061 |
Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Derivative liabilities | 0 | |
Recurring | Level 1 | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 1 | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 1 | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 1 | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | |
Recurring | Level 1 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | |
Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 28,753 | 6,791 |
Derivative liabilities | (32,367) | (8,102) |
Recurring | Level 2 | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 267,444 | 321,969 |
Recurring | Level 2 | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 98,655 | 99,661 |
Recurring | Level 2 | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 19,367 | 19,533 |
Recurring | Level 2 | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 159,287 | 142,006 |
Recurring | Level 2 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 96,821 | 80,061 |
Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 63 | 59 |
Derivative liabilities | (126) | $ (84) |
Recurring | Level 3 | US Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 3 | US Government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 3 | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage-backed securities available for sale | 0 | |
Recurring | Level 3 | Obligations of states and political subdivisions thereof | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | |
Recurring | Level 3 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | $ 0 |
FAIR VALUE MEASUREMENTS - Chang
FAIR VALUE MEASUREMENTS - Changes in Level 3 (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Fair Value, Recurring Basis, Unobservable Input Reconciliation, Net Derivative Asset (Liability), Gain (Loss), Statement of Income [Extensible List] | Noninterest Income | Noninterest Income |
Interest Rate Lock Commitment | ||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Beginning balance | $ 93 | $ 59 |
Realized gain (loss) recognized in non-interest income | (30) | 4 |
Ending balance | 63 | 63 |
Forward Commitments | ||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Beginning balance | (73) | (84) |
Realized gain (loss) recognized in non-interest income | (53) | (42) |
Ending balance | $ (126) | $ (126) |
FAIR VALUE MEASUREMENTS - Unobs
FAIR VALUE MEASUREMENTS - Unobservable Inputs Recurring (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Derivative asset (liability), fair value | $ (3,677,000) | $ (743,000) |
Recurring | Level 3 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Total | (63,000) | (25,000) |
Recurring | Level 3 | Interest Rate Lock Commitment | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Derivative asset (liability), fair value | $ 63,000 | 59,000 |
Closing Ratio | 90.00% | |
Origination Costs, per loan | $ 1,700 | |
Recurring | Level 3 | Forward Commitments | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Derivative asset (liability), fair value | $ (126,000) | $ (84,000) |
FAIR VALUE MEASUREMENTS - Mea_2
FAIR VALUE MEASUREMENTS - Measured on Non-recurring Basis (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | |
Assets | |||
Other real estate owned | $ 2,318 | $ 2,318 | $ 2,236 |
Non-recurring | Level 1 | |||
Assets | |||
Total | 0 | 0 | 0 |
Non-recurring | Level 2 | |||
Assets | |||
Total | 0 | 0 | 0 |
Non-recurring | Level 3 | |||
Assets | |||
Impaired loans | 9,623 | 9,623 | 9,625 |
Capitalized servicing rights | 3,234 | 3,234 | 4,301 |
Other real estate owned | 2,318 | 2,318 | 2,236 |
Premises held for sale | 1,764 | 1,764 | 1,764 |
Total | 16,939 | 16,939 | 17,926 |
Total Gains (Losses) | (1,838) | (983) | |
Non-recurring | Level 3 | Impaired loans | |||
Assets | |||
Total Gains (Losses) | (1,288) | 2 | |
Non-recurring | Level 3 | Capitalized servicing rights | |||
Assets | |||
Total Gains (Losses) | (663) | (1,067) | |
Non-recurring | Level 3 | Other real estate owned | |||
Assets | |||
Total Gains (Losses) | 113 | 82 | |
Non-recurring | Level 3 | Assets held for sale | |||
Assets | |||
Premises held for sale | $ 1,764 | $ 1,764 | $ 1,764 |
FAIR VALUE MEASUREMENTS - Uno_2
FAIR VALUE MEASUREMENTS - Unobservable Inputs Non-recurring (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Other real estate owned | $ 2,318 | $ 2,236 |
Non-recurring | Level 3 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | 9,623 | 9,625 |
Capitalized servicing rights | 3,234 | 4,301 |
Other real estate owned | 2,318 | 2,236 |
Carrying value of assets held for sale | 1,764 | 1,764 |
Total | 16,939 | 17,926 |
Non-recurring | Level 3 | Fair value of collateral -appraised value | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | 6,924 | 6,137 |
Non-recurring | Level 3 | Discount cash flow | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Impaired loans | $ 2,699 | $ 3,488 |
Non-recurring | Level 3 | Impaired loans | Minimum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Loss severity | 0.00% | 0.00% |
Appraised value | $ 0 | $ 0 |
Cash flows | $ 21 | $ 22 |
Discount rate | 3.50% | 2.88% |
Non-recurring | Level 3 | Impaired loans | Maximum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Loss severity | 70.00% | 55.00% |
Appraised value | $ 1,730 | $ 6,915 |
Cash flows | $ 1,002 | $ 1,002 |
Discount rate | 9.50% | 9.50% |
Non-recurring | Level 3 | Capitalized servicing rights | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Constant prepayment rate (CPR) | 15.95% | 9.95% |
Discount rate | 10.07% | 10.07% |
Non-recurring | Level 3 | Other real estate owned | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Appraised value | $ 2,695 | $ 2,695 |
Non-recurring | Level 3 | Other real estate owned | Minimum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Selling Costs | 6.00% | 10.00% |
Non-recurring | Level 3 | Other real estate owned | Maximum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Selling Costs | 10.00% | 20.00% |
Non-recurring | Level 3 | Assets held for sale | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Carrying value of assets held for sale | $ 1,764 | $ 1,764 |
Selling Costs | 6.00% | 6.00% |
Non-recurring | Level 3 | Assets held for sale | Minimum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Appraised value | $ 136 | $ 136 |
Non-recurring | Level 3 | Assets held for sale | Maximum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items} | ||
Appraised value | $ 527 | $ 527 |
FAIR VALUE MEASUREMENTS - Fair
FAIR VALUE MEASUREMENTS - Fair Values and Carrying Amounts (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Financial Assets | ||
Securities available for sale | $ 641,574 | $ 663,230 |
Financial Liabilities | ||
FRB PPPLF | 228,015 | 348,118 |
Level 1 | ||
Financial Assets | ||
Cash and cash equivalents | 70,763 | 56,910 |
Securities available for sale | 0 | |
FHLB stock | 0 | |
Net loans | 0 | |
Accrued interest receivable | 0 | |
Cash surrender value of bank-owned life insurance policies | 0 | |
Derivative assets | 0 | |
Financial Liabilities | ||
Short-term other borrowings | 0 | |
FHLB advances | 0 | |
Derivative liabilities | 0 | |
Level 1 | Bank Non-maturity Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 0 | |
Level 1 | Bank Time Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 0 | |
Level 1 | Federal Reserve Bank Advances | ||
Financial Liabilities | ||
FRB PPPLF | 0 | |
Level 1 | Subordinated borrowings | ||
Financial Liabilities | ||
Subordinated borrowings | 0 | |
Level 2 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | |
Securities available for sale | 641,574 | 663,230 |
FHLB stock | 20,265 | 20,679 |
Net loans | 0 | |
Accrued interest receivable | 3,215 | 3,294 |
Cash surrender value of bank-owned life insurance policies | 76,896 | 75,863 |
Derivative assets | 28,753 | 6,791 |
Financial Liabilities | ||
Short-term other borrowings | 33,846 | 44,831 |
FHLB advances | 387,053 | 425,989 |
Derivative liabilities | (32,367) | 8,102 |
Level 2 | Bank Non-maturity Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 2,090,727 | 1,751,481 |
Level 2 | Bank Time Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 668,803 | 932,886 |
Level 2 | Federal Reserve Bank Advances | ||
Financial Liabilities | ||
FRB PPPLF | 131,236 | |
Level 2 | Subordinated borrowings | ||
Financial Liabilities | ||
Subordinated borrowings | 59,879 | 59,920 |
Level 3 | ||
Financial Assets | ||
Cash and cash equivalents | 0 | |
Securities available for sale | 0 | |
FHLB stock | 0 | |
Net loans | 2,698,382 | 2,634,147 |
Accrued interest receivable | 0 | |
Cash surrender value of bank-owned life insurance policies | 0 | |
Derivative assets | 63 | 59 |
Financial Liabilities | ||
Short-term other borrowings | 0 | |
FHLB advances | 0 | |
Derivative liabilities | (126) | 84 |
Level 3 | Bank Non-maturity Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 0 | |
Level 3 | Bank Time Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 0 | |
Level 3 | Federal Reserve Bank Advances | ||
Financial Liabilities | ||
FRB PPPLF | 0 | |
Level 3 | Subordinated borrowings | ||
Financial Liabilities | ||
Subordinated borrowings | 0 | |
Carrying Amount | ||
Financial Assets | ||
Cash and cash equivalents | 70,673 | 56,910 |
Securities available for sale | 641,574 | 663,230 |
FHLB stock | 20,265 | 20,679 |
Net loans | 2,712,908 | 2,625,739 |
Accrued interest receivable | 3,215 | 3,294 |
Cash surrender value of bank-owned life insurance policies | 76,896 | 75,863 |
Derivative assets | 28,816 | 6,850 |
Financial Liabilities | ||
Short-term other borrowings | 33,846 | 44,832 |
FHLB advances | 381,781 | 426,564 |
Derivative liabilities | (32,493) | 8,186 |
Carrying Amount | Bank Non-maturity Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 2,016,736 | 1,763,116 |
Carrying Amount | Bank Time Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 678,126 | 932,635 |
Carrying Amount | Federal Reserve Bank Advances | ||
Financial Liabilities | ||
FRB PPPLF | 131,236 | |
Carrying Amount | Subordinated borrowings | ||
Financial Liabilities | ||
Subordinated borrowings | 59,879 | 59,920 |
Total Fair Value | ||
Financial Assets | ||
Cash and cash equivalents | 70,763 | 56,910 |
Securities available for sale | 641,574 | 663,230 |
FHLB stock | 20,265 | 20,679 |
Net loans | 2,698,382 | 2,634,147 |
Accrued interest receivable | 3,215 | 3,294 |
Cash surrender value of bank-owned life insurance policies | 76,896 | 75,863 |
Derivative assets | 28,816 | 6,850 |
Financial Liabilities | ||
Short-term other borrowings | 33,846 | 44,831 |
FHLB advances | 387,053 | 425,989 |
Derivative liabilities | (32,493) | 8,186 |
Total Fair Value | Bank Non-maturity Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 2,090,727 | 1,751,481 |
Total Fair Value | Bank Time Deposits [Member] | ||
Financial Liabilities | ||
Deposits | 668,803 | 932,886 |
Total Fair Value | Federal Reserve Bank Advances | ||
Financial Liabilities | ||
FRB PPPLF | 131,236 | |
Total Fair Value | Subordinated borrowings | ||
Financial Liabilities | ||
Subordinated borrowings | $ 59,879 | $ 59,920 |
REVENUE FROM CONTRACTS WITH C_3
REVENUE FROM CONTRACTS WITH CUSTOMERS - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 5,598 | $ 5,684 | $ 12,079 | $ 10,606 |
Products and services transferred at a point in time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 2,620 | 2,767 | 5,892 | 5,034 |
Products and services transferred over time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 2,978 | 2,917 | 6,187 | 5,572 |
Trust management fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 2,892 | 2,794 | 5,938 | 5,319 |
Financial services fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 267 | 272 | 590 | 505 |
Interchange fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,463 | 1,213 | 3,200 | 2,244 |
Customer deposit fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 789 | 1,026 | 1,899 | 1,933 |
Other customer service fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 187 | $ 379 | $ 452 | $ 605 |
REVENUE FROM CONTRACTS WITH C_4
REVENUE FROM CONTRACTS WITH CUSTOMERS - Contract Balances from Contracts with Customers (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Balances from contracts with customers only: | ||
Other Assets | $ 2,842 | $ 1,703 |
Other Liabilities | $ 3,027 | $ 3,114 |
Revenue, Practical Expedient, Incremental Cost of Obtaining Contract [true false] | true |
LEASES - Assets and liabilities
LEASES - Assets and liabilities (Details) - USD ($) $ in Thousands | Jan. 01, 2019 | Jun. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | |||
Operating lease right-of-use assets | $ 9,866 | $ 9,623 | |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other Assets | ||
Operating lease liabilities | $ 9,968 | $ 9,651 | |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Other Liabilities | ||
Lease, Practical Expedients, Package [true false] | true |
LEASES - Lease Term and Cost (D
LEASES - Lease Term and Cost (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Leases [Abstract] | |||
Weighted-average remaining lease term (in years) | 9 years 3 months 7 days | 8 years 11 months 15 days | |
Weighted-average discount rate | 3.30% | 3.27% | |
Operating lease cost | $ 323 | $ 644 | |
Variable lease cost | 62 | 118 | |
Total lease cost | $ 385 | $ 762 |
LEASES - Future Minimum Payment
LEASES - Future Minimum Payments for Leases (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Lessee, Operating Lease, Liability, Payment, Due, Rolling Maturity [Abstract] | ||
June 30, 2021 | $ 1,284 | |
June 30, 2022 | 1,307 | |
June 30, 2023 | 1,319 | |
June 30, 2024 | 1,327 | |
June 30, 2025 | 1,176 | |
Thereafter | 6,549 | |
Total future minimum lease payments | 12,962 | |
Amounts representing interest | (2,994) | |
Operating lease liabilities | $ 9,968 | $ 9,651 |