Document and Entity Information
Document and Entity Information - $ / shares | Jun. 30, 2016 | Sep. 30, 2017 | Nov. 03, 2017 |
Details | |||
Registrant Name | GREAT SOUTHERN BANCORP, INC. | ||
Registrant CIK | 854,560 | ||
SEC Form | 10-Q | ||
Period End date | Sep. 30, 2017 | ||
Fiscal Year End | --12-31 | ||
Trading Symbol | GSBC | ||
Tax Identification Number (TIN) | 431,524,856 | ||
Number of common stock shares outstanding | 14,058,343 | ||
Filer Category | Accelerated Filer | ||
Current with reporting | Yes | ||
Voluntary filer | No | ||
Well-known Seasoned Issuer | No | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | Q3 | ||
Entity Incorporation, State Country Name | Maryland | ||
Entity Address, Address Line One | 1451 E. Battlefield | ||
Entity Address, City or Town | Springfield | ||
Entity Address, State or Province | Missouri | ||
Entity Address, Postal Zip Code | 65,804 | ||
City Area Code | 417 | ||
Local Phone Number | 887-4400 | ||
Entity Listing, Par Value Per Share | $ 0.01 |
Statement of Financial Position
Statement of Financial Position - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash | $ 112,145 | $ 120,203 |
Interest-bearing deposits in other financial institutions | 144,527 | 159,566 |
Cash and cash equivalents | 256,672 | 279,769 |
Available-for-sale securities | 183,968 | 213,872 |
Mortgage Loans Held for Sale | 11,133 | 16,445 |
Loans receivable, net of allowance for loan losses of $36,243 - September 2017; $37,400 - December 2016 | 3,800,988 | 3,759,966 |
FDIC indemnification asset | 0 | 13,145 |
Interest receivable | 11,206 | 11,875 |
Prepaid expenses and other assets | 42,762 | 45,649 |
Other real estate owned, net | 30,116 | 32,658 |
Premises and equipment, net | 137,537 | 140,596 |
Goodwill and other intangible assets | 11,263 | 12,500 |
Investment in Federal Home Loan Bank stock | 13,282 | 13,034 |
Current and deferred income taxes | 13,554 | 10,907 |
Total Assets | 4,512,611 | 4,550,663 |
Held-to-maturity securities (fair value $133 - September 2017; $258 - December 2016) | 130 | 247 |
Liabilities: | ||
Deposits | 3,598,213 | 3,677,230 |
Federal Home Loan Bank advances | 174,000 | 31,452 |
Securities sold under reverse repurchase agreements with customers | 130,934 | 113,700 |
Short-term borrowings | 22,665 | 172,323 |
Subordinated debentures issued to capital trusts | 25,774 | 25,774 |
Subordinated notes | 73,651 | 73,537 |
Accrued interest payable | 1,693 | 2,723 |
Advances from borrowers for taxes and insurance | 8,825 | 4,643 |
Accounts payable and accrued expenses | 14,736 | 19,475 |
Total Liabilities | 4,050,491 | 4,120,857 |
Capital Stock | ||
Serial preferred stock - $.01 par value; authorized 1,000,000 shares; issued and outstanding September 2017 and December 2016 - -0- shares | 0 | 0 |
Common stock, $.01 par value; authorized 20,000,000 shares; issued and outstanding September 2017 -14,044,910 shares; December 2016 - 13,968,386 shares | 140 | 140 |
Additional paid-in capital | 27,384 | 25,942 |
Retained earnings | 432,691 | 402,166 |
Accumulated other comprehensive income | 1,905 | 1,558 |
Total Stockholders' Equity | 462,120 | 429,806 |
Total Liabilities and Stockholders' Equity | $ 4,512,611 | $ 4,550,663 |
Statement of Financial Positio3
Statement of Financial Position - Parenthetical - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Details | ||
Held-to-maturity Securities, Fair Value | $ 133 | $ 258 |
Loans and Leases Receivable, Allowance | $ 36,243 | $ 37,400 |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | |
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | |
Common Stock, Shares Authorized | 20,000,000 | |
Common Stock, Shares, Issued | 14,044,910 | 13,968,386 |
Common Stock, Shares, Outstanding | 14,044,910 | 13,968,386 |
Income Statement
Income Statement - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
INTEREST INCOME | ||||
Loans | $ 44,824 | $ 45,335 | $ 131,734 | $ 133,460 |
Investment securities and other | 1,544 | 1,521 | 4,791 | 4,779 |
TOTAL INTEREST INCOME | 46,368 | 46,856 | 136,525 | 138,239 |
INTEREST EXPENSE | ||||
Deposits | 5,131 | 4,423 | 15,100 | 12,480 |
Federal Home Loan Bank advances | 546 | 259 | 1,045 | 955 |
Short-term borrowings and repurchase agreements | 118 | 450 | 662 | 936 |
Subordinated debentures issued to capital trusts | 267 | 209 | 760 | 573 |
Subordinated notes | 1,025 | 487 | 3,075 | 487 |
TOTAL INTEREST EXPENSE | 7,087 | 5,828 | 20,642 | 15,431 |
NET INTEREST INCOME | 39,281 | 41,028 | 115,883 | 122,808 |
Provision for Loan Losses | 2,950 | 2,500 | 7,150 | 6,901 |
Net Interest Income After Provision for Loan Losses | 36,331 | 38,528 | 108,733 | 115,907 |
NON-INTEREST INCOME | ||||
Commissions | 279 | 245 | 851 | 763 |
Service charges and ATM fees | 5,533 | 5,548 | 16,195 | 16,201 |
Net realized gains on sales of loans | 719 | 1,217 | 2,343 | 3,062 |
Net realized gains on sales of available-for-sale securities | 0 | 144 | 0 | 2,881 |
Late charges and fees on loans | 436 | 435 | 1,922 | 1,315 |
Loss on derivative interest rate products | 8 | 58 | 5 | 179 |
Amortization of Income Expense Related to Business Acquisitions | 0 | (1,215) | (486) | (5,503) |
Other income | 680 | 658 | 2,627 | 3,025 |
Loss on derivative interest rate products | (8) | (58) | (5) | (179) |
Gain (Loss) on Termination of Loss Sharing Agreements | 7,704 | (584) | ||
TOTAL NON-INTEREST INCOME | 7,655 | 7,090 | 31,151 | 20,981 |
NON-INTEREST EXPENSE | ||||
Salaries and employee benefits | 14,664 | 15,062 | 44,495 | 45,671 |
Net occupancy and equipment expense | 6,079 | 6,335 | 18,419 | 19,556 |
Postage | 845 | 923 | 2,651 | 2,881 |
Insurance | 755 | 961 | 2,300 | 2,944 |
Advertising | 587 | 803 | 1,656 | 1,767 |
Office supplies and printing | 279 | 575 | 1,208 | 1,435 |
Telephone | 790 | 823 | 2,389 | 2,649 |
Legal, audit and other professional fees | 610 | 748 | 1,991 | 2,399 |
Expense on Other Real Estate Owned | 1,343 | 1,298 | 2,595 | 3,083 |
Partnership Tax Credit Investment Amortization | 217 | 420 | 713 | 1,260 |
Acquired Deposit Intangible Asset Amortization | 412 | 464 | 1,237 | 1,497 |
Other operating expenses | 1,453 | 2,245 | 5,322 | 6,242 |
TOTAL NON-INTEREST EXPENSE | 28,034 | 30,657 | 84,976 | 91,384 |
Income Before Income Taxes | 15,952 | 14,961 | 54,908 | 45,504 |
Provision for Income Taxes | 4,289 | 3,740 | 15,550 | 11,956 |
Net income available to common stockholders | $ 11,663 | $ 11,221 | $ 39,358 | $ 33,548 |
Basic Earnings Per Common Share | $ 0.83 | $ 0.81 | $ 2.81 | $ 2.41 |
Diluted Earnings Per Common Share | 0.82 | 0.80 | 2.77 | 2.39 |
Dividends Declared Per Common Share | $ 0.24 | $ 0.22 | $ 0.70 | $ 0.66 |
Statement of Comprehensive Inco
Statement of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Details | ||||
Net Income | $ 11,663 | $ 11,221 | $ 39,358 | $ 33,548 |
Unrealized Appreciation (Depreciation) on Available for Sale Securities, Net | (177) | (798) | 186 | 35 |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, before Tax | 0 | (91) | 0 | (1,835) |
Change in Fair Value of Cash Flow Hedge, Net | 64 | 53 | 161 | 37 |
Comprehensive Income | $ 11,550 | $ 10,385 | $ 39,705 | $ 31,785 |
Statement of Comprehensive Inc6
Statement of Comprehensive Income - Parenthetical - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Details | ||||
Tax effect of unrealized appreciation (depreciation) on available-for-sale securities, taxes (credit) | $ (101) | $ (454) | $ 106 | $ 21 |
Tax effect reclassification adjustment for gains included in net income, taxes | 0 | (53) | 0 | (1,046) |
Tax effect of change in fair value of cash flow hedge, taxes (credit) | $ 38 | $ 30 | $ 93 | $ 21 |
Statement of Cash Flows
Statement of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 39,358 | $ 33,548 |
Proceeds from Sale of Loans Held-for-sale | 104,175 | 118,629 |
Originations of loans held for sale | (95,384) | (115,039) |
Items not requiring (providing) cash: | ||
Depreciation | 6,901 | 7,416 |
Amortization | 2,064 | 2,784 |
Compensation expense for stock option grants | 412 | 348 |
Provision for loan losses | 7,150 | 6,901 |
Net gains on loan sales | (2,343) | (3,062) |
Net realized gains on sale of available-for-sale investment securities | 0 | (2,881) |
Net (gains) losses on sale of premises and equipment | 183 | (248) |
Net Loss on Sale Write-Down of Other Real Estate Owned | 211 | 38 |
Gain on sale of business units | 0 | (368) |
Net Gain (Loss) on Termination of Loss Sharing Agreements | (7,704) | 584 |
Amortization (accretion) of deferred income, premiums, discounts and other | (1,492) | 4,797 |
Loss on derivative interest rate products | 5 | 179 |
Deferred income taxes | (3,686) | (3,070) |
Changes In: | ||
Interest receivable | 669 | 665 |
Prepaid expenses and other assets | (271) | 10,284 |
Accrued expenses and other liabilities | 787 | (1,834) |
Income taxes refundable/payable | 841 | 6,702 |
Net cash provided by operating activities | 51,876 | 66,373 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Net change in loans | 136,205 | (69,439) |
Purchase of loans | (203,294) | (136,769) |
Cash received from purchase of additional business units | 0 | 44,363 |
Cash Received from FDIC Loss Sharing Reimbursements | 16,245 | (51) |
Cash paid for sale of business units | 0 | (17,821) |
Purchase of premises and equipment | (4,546) | (8,221) |
Proceeds from sale of premises and equipment | 521 | 1,078 |
Proceeds from sale of other real estate owned | 22,788 | 19,923 |
Capitalized costs on other real estate owned | (117) | (86) |
Proceeds from sales of available-for-sale securities | 0 | 49,615 |
Proceeds from maturities and calls of held-to-maturity securities | 117 | 0 |
Proceeds from maturities and calls of available-for-sale securities | 9,579 | 28,016 |
Principal reductions on mortgage-backed securities | 19,834 | 25,390 |
Purchase of available-for-sale securities | 0 | (45,661) |
Redemption (purchase) of Federal Home Loan Bank stock | (248) | 3,028 |
Net cash used in investing activities | (2,916) | (106,635) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Net increase (decrease) in certificates of deposit | (121,438) | 115,632 |
Net increase (decrease) in checking and savings deposits | 42,563 | (32,279) |
Proceeds from Federal Home Loan Bank advances | 889,000 | 1,793,000 |
Repayments of Federal Home Loan Bank advances | (746,435) | (2,025,052) |
Net increase (decrease) in short-term borrowings | (132,424) | 174,627 |
Advances from borrowers for taxes and insurance | 4,182 | 4,472 |
Proceeds from issuance of subordinated notes | 0 | 73,472 |
Dividends paid | (9,523) | (9,171) |
Stock options exercised | 2,018 | 947 |
Net cash provided by (used in) financing activities | (72,057) | 95,648 |
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | (23,097) | 55,386 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 279,769 | 199,183 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | $ 256,672 | $ 254,569 |
NOTE 1_ BASIS OF PRESENTATION
NOTE 1: BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
NOTE 1: BASIS OF PRESENTATION | NOTE 1: BASIS OF PRESENTATION The accompanying unaudited interim consolidated financial statements of Great Southern Bancorp, Inc. (the "Company" or "Great Southern") have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. The financial statements presented herein reflect all adjustments which are, in the opinion of management, necessary to fairly present the financial condition, results of operations and cash flows of the Company as of the dates and for the periods presented. Those adjustments consist only of normal recurring adjustments. Operating results for the three and nine months ended September 30, 2017 are not necessarily indicative of the results that may be expected for the full year. The consolidated statement of financial condition of the Company as of December 31, 2016, has been derived from the audited consolidated statement of financial condition of the Company as of that date. Certain prior period amounts have been reclassified to conform to the current period presentation. These reclassifications had no effect on net income. Certain information and note disclosures normally included in the Company's annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K |
NOTE 2_ NATURE OF OPERATIONS AN
NOTE 2: NATURE OF OPERATIONS AND OPERATING SEGMENTS | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
NOTE 2: NATURE OF OPERATIONS AND OPERATING SEGMENTS | NOTE 2: NATURE OF OPERATIONS AND OPERATING SEGMENTS The Company operates as a one-bank holding company. The Company’s business primarily consists of the operations of Great Southern Bank (the “Bank”), which provides a full range of financial services to customers primarily located in Missouri, Iowa, Kansas, Minnesota, Nebraska and Arkansas. In addition, the Company operates commercial loan production offices in Dallas, Texas, Tulsa, Oklahoma and Chicago, Illinois. The Company and the Bank are subject to the regulations of certain federal and state agencies and undergo periodic examinations by those regulatory agencies. The Company’s banking operation is its only reportable segment. The banking operation is principally engaged in the business of originating residential and commercial real estate loans, construction loans, commercial business loans and consumer loans and funding these loans through attracting deposits from the general public, accepting brokered deposits and borrowing from the Federal Home Loan Bank and others. The operating results of this segment are regularly reviewed by management to make decisions about resource allocations and to assess performance. Selected information is not presented separately for the Company’s reportable segment, as there is no material difference between that information and the corresponding information in the consolidated financial statements. |
NOTE 3_ RECENT ACCOUNTING PRONO
NOTE 3: RECENT ACCOUNTING PRONOUNCEMENTS | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
NOTE 3: RECENT ACCOUNTING PRONOUNCEMENTS | NOTE 3: RECENT ACCOUNTING PRONOUNCEMENTS In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date Revenue from Contracts with Customers (Topic 606): Summary and Amendments that Create Revenue from Contracts with Customers (Topic 606) and Other Assets and Deferred Costs--Contracts with Customers (Subtopic 340-40) Revenue Recognition In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments – Overall (Topic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU No. 2016-09, Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In September 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326) In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230) In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740) In January 2017, the FASB issued ASU No. 2017-01, Business Combinations - Clarifying the Definition of a Business (Topic 805) In January 2017, the FASB issued ASU No. 2017-04, Intangibles: Goodwill and Other: Simplifying the Test for Goodwill Impairment (Topic 350) In March 2017, the FASB issued ASU No. 2017-08, Premium Amortization on Purchased Callable Debt Securities. In May 2017, the FASB issued ASU 2017-09, Compensation --Stock Compensation (Topic 718): Scope of Modification Accounting In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities |
NOTE 4_ EARNINGS PER SHARE
NOTE 4: EARNINGS PER SHARE | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
NOTE 4: EARNINGS PER SHARE | NOTE 4: EARNINGS PER SHARE Three Months Ended September 30, 2017 2016 (In Thousands, Except Per Share Data) Basic: Average shares outstanding 14,038 13,914 Net income available to common stockholders $ 11,663 $ 11,221 Per common share amount $ 0.83 $ 0.81 Diluted: Average shares outstanding 14,038 13,914 Net effect of dilutive stock options – based on the treasury stock method using average market price 186 140 Diluted shares 14,224 14,054 Net income available to common stockholders $ 11,663 $ 11,221 Per common share amount $ 0.82 $ 0.80 Nine Months Ended September 30, 2017 2016 (In Thousands, Except Per Share Data) Basic: Average shares outstanding 14,007 13,906 Net income available to common stockholders $ 39,358 $ 33,548 Per common share amount $ 2.81 $ 2.41 Diluted: Average shares outstanding 14,007 13,906 Net effect of dilutive stock options – based on the treasury stock method using average market price 186 140 Diluted shares 14,193 14,046 Net income available to common stockholders $ 39,358 $ 33,548 Per common share amount $ 2.77 $ 2.39 Options outstanding at September 30, 2017 and 2016, to purchase 114,300 and 111,425 shares of common stock, respectively, were not included in the computation of diluted earnings per common share for each of the three and nine month periods because the exercise prices of such options were greater than the average market prices of the common stock for the three and nine months ended September 30, 2017 and 2016, respectively. |
NOTE 5_ INVESTMENT SECURITIES
NOTE 5: INVESTMENT SECURITIES | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
NOTE 5: INVESTMENT SECURITIES | NOTE 5: INVESTMENT SECURITIES September 30, 2017 Gross Gross Tax Amortized Unrealized Unrealized Fair Equivalent Cost Gains Losses Value Yield (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Mortgage-backed securities $ 125,924 $ 999 $ 1,113 $ 125,810 2.08% States and political subdivisions 55,053 3,105 -- 58,158 5.60 $ 180,977 $ 4,104 $ 1,113 $ 183,968 3.15% HELD-TO-MATURITY SECURITIES: States and political subdivisions $ 130 $ 3 $ -- $ 133 7.37% December 31, 2016 Gross Gross Tax Amortized Unrealized Unrealized Fair Equivalent Cost Gains Losses Value Yield (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Mortgage-backed securities $ 146,491 $ 1,045 $ 1,501 $ 146,035 2.03% States and political subdivisions 64,682 3,163 8 67,837 5.73 $ 211,173 $ 4,208 $ 1,509 $ 213,872 3.16% HELD-TO-MATURITY SECURITIES: States and political subdivisions $ 247 $ 11 $ -- $ 258 7.36% The amortized cost and fair value of available-for-sale securities at September 30, 2017, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value (In Thousands) One year or less $ -- $ -- After one through five years 803 904 After five through ten years 6,405 6,684 After ten years 47,845 50,570 Securities not due on a single maturity date 125,924 125,810 $ 180,977 $ 183,968 The held-to-maturity securities at September 30, 2017, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value (In Thousands) One year or less $ 130 $ 133 Certain investments in debt securities categorized as available-for-sale are reported in the financial statements at an amount less than their historical cost. Total fair value of these investments at September 30, 2017 and December 31, 2016, respectively, was approximately $90.6 million and $104.5 million, which is approximately 49.2% and 48.8% of the Company’s combined available-for-sale and held-to-maturity investment portfolio, respectively. Based on an evaluation of available evidence, including recent changes in market interest rates, credit rating information and information obtained from regulatory filings, management believes the declines in fair value for these debt securities below their historical cost are temporary at September 30, 2017. The following table shows the Company’s gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at September 30, 2017 and December 31, 2016: September 30, 2017 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) Mortgage-backed securities $ 69,870 $ (689) $ 20,706 $ (424) $ 90,576 $ (1,113) State and political subdivisions -- -- -- -- -- -- $ 69,870 $ (689) $ 20,706 $ (424) $ 90,576 $ (1,113) December 31, 2016 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) Mortgage-backed securities $ 102,296 $ (1,501) $ -- $ -- $ 102,296 $ (1,501) State and political subdivisions 2,164 (8) -- -- 2,164 (8) $ 104,460 $ (1,509) $ -- $ -- $ 104,460 $ (1,509) There were “0” sales of available-for-sale securities during the three and nine months ended September 30, 2017. Gross gains of $158,000 and $3.0 million and gross losses of $15,000 and $103,000 resulting from sales of available-for-sale securities were realized during the three and nine months ended September 30, 2016. Gains and losses on sales of securities are determined on the specific-identification method. Other-than-temporary Impairment. The accounting guidance for beneficial interests in securitized financial assets provides incremental impairment guidance for a subset of the debt securities within the scope of the guidance for investments in debt and equity securities. Where the security is a beneficial interest in securitized financial assets, the Company uses the beneficial interests in securitized financial asset impairment model. Where the security is not a beneficial interest in securitized financial assets, the Company uses the debt and equity securities impairment model. The Company does not currently have securities within the scope of this guidance for beneficial interests in securitized financial assets. The Company conducts periodic reviews to identify and evaluate each investment security to determine whether an other-than-temporary impairment has occurred. The Company considers the length of time a security has been in an unrealized loss position, the relative amount of the unrealized loss compared to the carrying value of the security, the type of security and other factors. If certain criteria are met, the Company performs additional reviews and evaluations using observable market values or various inputs in economic models to determine if an unrealized loss is other-than-temporary. The Company uses quoted market prices for marketable equity securities and uses broker pricing quotes based on observable inputs for equity investments that are not traded on a stock exchange. For non-agency collateralized mortgage obligations, to determine if the unrealized loss is other-than-temporary, the Company projects total estimated defaults of the underlying assets (mortgages) and multiplies that calculated amount by an estimate of realizable value upon sale in the marketplace (severity) in order to determine the projected collateral loss. The Company also evaluates any current credit enhancement underlying these securities to determine the impact on cash flows. If the Company determines that a given security position will be subject to a write-down or loss, the Company records the expected credit loss as a charge to earnings. During the three and nine months ended September 30, 2017, “0” securities were determined to have impairment that had become other than temporary. Credit Losses Recognized on Investments. Amounts Reclassified Out of Accumulated Other Comprehensive Income. Amounts Reclassified from Accumulated Other Comprehensive Income Three Months Ended September 30, Affected Line Item in the 2017 2016 Statements of Income (In Thousands) Unrealized gains on available- Net realized gains on sales of for-sale securities $ -- $ 144 available-for-sale securities (Total reclassified amount before tax) Income Taxes -- (53) Provision for income taxes Total reclassifications out of accumulated other comprehensive income $ -- $ 91 Amounts Reclassified from Accumulated Other Comprehensive Income Nine Months Ended September 30, Affected Line Item in the 2017 2016 Statements of Income (In Thousands) Unrealized gains on available- Net realized gains on sales of for-sale securities $ -- $ 2,881 available-for-sale securities (Total reclassified amount before tax) Income Taxes -- (1,046) Provision for income taxes Total reclassifications out of accumulated other comprehensive income $ -- $ 1,835 |
NOTE 6_ LOANS AND ALLOWANCE FOR
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES | NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES September 30, December 31, 2017 2016 (In Thousands) One- to four-family residential construction $ 20,059 $ 21,737 Subdivision construction 17,838 17,186 Land development 45,340 50,624 Commercial construction 984,329 780,614 Owner occupied one- to four-family residential 189,825 200,340 Non-owner occupied one- to four-family residential 123,462 136,924 Commercial real estate 1,235,497 1,186,906 Other residential 762,457 663,378 Commercial business 364,038 348,628 Industrial revenue bonds 22,614 25,065 Consumer auto 394,324 494,233 Consumer other 63,743 70,001 Home equity lines of credit 110,237 108,753 Acquired FDIC-covered loans, net of discounts -- 134,356 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 165,632 72,569 Acquired non-covered loans, net of discounts 61,520 76,234 4,560,915 4,387,548 Undisbursed portion of loans in process (717,776) (585,313) Allowance for loan losses (36,243) (37,400) Deferred loan fees and gains, net (5,908) (4,869) $ 3,800,988 $ 3,759,966 Weighted average interest rate 4.68% 4.58% Classes of loans by aging were as follows: September 30, 2017 Total Loans Past Due > 90 Days 30-59 Days 60-89 Days 90 Days Total Past Total Loans Past Due and Past Due Past Due or More Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- $ 20,059 $ 20,059 $ -- Subdivision construction -- -- 102 102 17,736 17,838 -- Land development 41 -- 34 75 45,265 45,340 -- Commercial construction 15 -- -- 15 984,314 984,329 -- Owner occupied one- to four- family residential 362 238 916 1,516 188,309 189,825 -- Non-owner occupied one- to four-family residential -- -- 1,840 1,840 121,622 123,462 -- Commercial real estate 4,154 2,167 568 6,889 1,228,608 1,235,497 -- Other residential -- -- 77 77 762,380 762,457 77 Commercial business 80 1,494 2,180 3,754 360,284 364,038 -- Industrial revenue bonds -- -- -- -- 22,614 22,614 -- Consumer auto 4,736 1,301 2,425 8,462 385,862 394,324 13 Consumer other 409 119 809 1,337 62,406 63,743 -- Home equity lines of credit 338 25 508 871 109,366 110,237 16 Acquired loans no longer covered by loss sharing agreements, net of discounts 715 1,016 1,984 3,715 161,917 165,632 -- Acquired non-covered loans, net of discounts 503 57 2,731 3,291 58,229 61,520 -- 11,353 6,417 14,174 31,944 4,528,971 4,560,915 106 Less FDIC-assisted acquired loans, net of discounts 1,218 1,073 4,715 7,006 220,146 227,152 -- Total $ 10,135 $ 5,344 $ 9,459 $ 24,938 $ 4,308,825 $ 4,333,763 $ 106 December 31, 2016 Total Loans Total > 90 Days Past 30-59 Days 60-89 Days Over 90 Total Past Loans Due and Past Due Past Due Days Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- $ 21,737 $ 21,737 $ -- Subdivision construction -- -- 109 109 17,077 17,186 -- Land development 413 584 1,718 2,715 47,909 50,624 -- Commercial construction -- -- -- -- 780,614 780,614 -- Owner occupied one- to four- family residential 1,760 388 1,125 3,273 197,067 200,340 -- Non-owner occupied one- to four-family residential 309 278 404 991 135,933 136,924 -- Commercial real estate 1,969 1,988 4,404 8,361 1,178,545 1,186,906 -- Other residential 4,632 -- 162 4,794 658,584 663,378 -- Commercial business 1,741 24 3,088 4,853 343,775 348,628 -- Industrial revenue bonds -- -- -- -- 25,065 25,065 -- Consumer auto 8,252 2,451 1,989 12,692 481,541 494,233 -- Consumer other 1,103 278 649 2,030 67,971 70,001 -- Home equity lines of credit 136 158 433 727 108,026 108,753 -- Acquired FDIC-covered loans, net of discounts 4,476 1,201 8,226 13,903 120,453 134,356 301 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 1,356 552 1,401 3,309 69,260 72,569 222 Acquired non-covered loans, net of discounts 851 173 2,854 3,878 72,356 76,234 -- 26,998 8,075 26,562 61,635 4,325,913 4,387,548 523 Less FDIC-supported loans, and acquired non-covered loans, net of discounts 6,683 1,926 12,481 21,090 262,069 283,159 523 Total $ 20,315 $ 6,149 $ 14,081 $ 40,545 $ 4,063,844 $ 4,104,389 $ -- Nonaccruing loans (excluding FDIC-assisted acquired loans, net of discount) are summarized as follows: September 30, December 31, 2017 2016 (In Thousands) One- to four-family residential construction $ -- $ -- Subdivision construction 102 109 Land development 34 1,718 Commercial construction -- -- Owner occupied one- to four-family residential 916 1,125 Non-owner occupied one- to four-family residential 1,840 404 Commercial real estate 568 4,404 Other residential -- 162 Commercial business 2,180 3,088 Industrial revenue bonds -- -- Consumer auto 2,412 1,989 Consumer other 809 649 Home equity lines of credit 492 433 Total $ 9,353 $ 14,081 The following table presents the activity in the allowance for loan losses by portfolio segment for the three and nine months ended September 30, 2017. Also presented are the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of September 30, 2017: One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for loan losses Balance July 1, 2017 $ 2,413 $ 3,655 $ 15,442 $ 1,711 $ 4,365 $ 8,947 $ 36,533 Provision (benefit) charged to expense 285 190 643 298 562 972 2,950 Losses charged off (74) (10) (357) -- (1,090) (3,151) (4,682) Recoveries 46 89 74 129 66 1,038 1,442 Balance September 30, 2017 $ 2,670 $ 3,924 $ 15,802 $ 2,138 $ 3,903 $ 7,806 $ 36,243 Balance January 1, 2017 $ 2,322 $ 5,486 $ 15,938 $ 2,284 $ 3,015 $ 8,355 $ 37,400 Provision (benefit) charged to expense 407 (1,708) 1,413 74 1,786 5,178 7,150 Losses charged off (150) (12) (1,649) (386) (1,365) (9,120) (12,682) Recoveries 91 158 100 166 467 3,393 4,375 Balance September 30, 2017 $ 2,670 $ 3,924 $ 15,802 $ 2,138 $ 3,903 $ 7,806 $ 36,243 Ending balance: Individually evaluated for impairment $ 571 $ -- $ 599 $ -- $ 2,396 $ 747 $ 4,313 Collectively evaluated for impairment $ 2,056 $ 3,887 $ 15,002 $ 2,040 $ 1,482 $ 6,993 $ 31,460 Loans acquired and accounted for under ASC 310-30 $ 43 $ 37 $ 201 $ 98 $ 25 $ 66 $ 470 Loans Individually evaluated for impairment $ 7,168 $ 3,390 $ 9,358 $ 315 $ 3,141 $ 4,429 $ 27,801 Collectively evaluated for impairment $ 344,016 $ 759,067 $ 1,226,139 $ 1,029,354 $ 383,511 $ 563,875 $ 4,305,962 Loans acquired and accounted for under ASC 310-30 $ 127,495 $ 20,655 $ 41,518 $ 4,175 $ 4,943 $ 28,366 $ 227,152 The following table presents the activity in the allowance for loan losses by portfolio segment for the three and nine months ended September 30, 2016: One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for loan losses Balance July 1, 2016 $ 4,184 $ 3,698 $ 16,157 $ 3,013 $ 3,531 $ 7,550 $ 38,133 Provision (benefit) charged to expense (738) 1,702 1,130 (1,238) (425) 2,069 2,500 Losses charged off (38) -- (1,815) (1) (191) (2,548) (4,593) Recoveries 23 15 17 80 33 794 962 Balance September 30, 2016 $ 3,431 $ 5,415 $ 15,489 $ 1,854 $ 2,948 $ 7,865 $ 37,002 Balance January 1, 2016 $ 4,900 $ 3,190 $ 14,738 $ 3,019 $ 4,203 $ 8,099 $ 38,149 Provision (benefit) charged to expense (1,387) 2,186 5,114 (1,252) (1,093) 3,333 6,901 Losses charged off (129) -- (5,546) (31) (383) (6,047) (12,136) Recoveries 47 39 1,183 118 221 2,480 4,088 Balance September 30, 2016 $ 3,431 $ 5,415 $ 15,489 $ 1,854 $ 2,948 $ 7,865 $ 37,002 The following table presents the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2016: One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for loan losses Individually evaluated for impairment $ 570 $ -- $ 2,209 $ 1,291 $ 1,295 $ 997 $ 6,362 Collectively evaluated for impairment $ 1,628 $ 5,396 $ 13,507 $ 953 $ 1,681 $ 7,248 $ 30,413 Loans acquired and accounted for under ASC 310-30 $ 124 $ 90 $ 222 $ 40 $ 39 $ 110 $ 625 Loans Individually evaluated for impairment $ 6,015 $ 3,812 $ 10,507 $ 6,023 $ 4,539 $ 3,385 $ 34,281 Collectively evaluated for impairment $ 370,172 $ 659,566 $ 1,176,399 $ 825,215 $ 369,154 $ 669,602 $ 4,070,108 Loans acquired and accounted for under ASC 310-30 $ 155,378 $ 29,600 $ 54,208 $ 2,191 $ 6,429 $ 35,353 $ 283,159 The portfolio segments used in the preceding three tables correspond to the loan classes used in all other tables in Note 6 as follows: · · · · · · A loan is considered impaired, in accordance with the impairment accounting guidance (FASB ASC 310-10-35-16), when based on current information and events, it is probable the Company will be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans include not only nonperforming loans but also include loans modified in troubled debt restructurings where concessions have been granted to borrowers experiencing financial difficulties. Impaired loans (excluding FDIC-assisted loans, net of discount), are summarized as follows: September 30, 2017 Unpaid Recorded Principal Specific Balance Balance Allowance (In Thousands) One- to four-family residential construction $ -- $ -- $ -- Subdivision construction 434 450 116 Land development 315 319 -- Commercial construction -- -- -- Owner occupied one- to four- family residential 3,441 3,740 351 Non-owner occupied one- to four- family residential 3,293 3,560 104 Commercial real estate 9,358 9,581 599 Other residential 3,390 3,390 -- Commercial business 3,141 4,311 2,396 Industrial revenue bonds -- -- -- Consumer auto 2,740 2,936 491 Consumer other 1,042 1,148 156 Home equity lines of credit 647 725 100 Total $ 27,801 $ 30,160 $ 4,313 Three Months Ended Nine Months Ended September 30, 2017 September 30, 2017 Average Average Investment Interest Investment Interest in Impaired Income in Impaired Income Loans Recognized Loans Recognized (In Thousands) One- to four-family residential construction $ -- $ -- $ 258 $ -- Subdivision construction 444 9 652 21 Land development 424 12 2,319 33 Commercial construction -- -- -- -- Owner occupied one- to four- family residential 3,440 44 3,384 124 Non-owner occupied one- to four- family residential 2,550 80 2,183 128 Commercial real estate 6,819 266 9,068 425 Other residential 3,457 27 3,660 102 Commercial business 5,580 35 6,148 161 Industrial revenue bonds -- -- -- -- Consumer auto 2,548 79 2,323 156 Consumer other 1,005 26 886 65 Home equity lines of credit 633 14 456 32 Total $ 26,900 $ 592 $ 31,337 $ 1,247 At or for the Year Ended December 31, 2016 Average Unpaid Investment Interest Recorded Principal Specific in Impaired Income Balance Balance Allowance Loans Recognized (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- $ -- Subdivision construction 818 829 131 948 46 Land development 6,023 6,120 1,291 8,020 304 Commercial construction -- -- -- -- -- Owner occupied one- to four- family residential 3,290 3,555 374 3,267 182 Non-owner occupied one- to four- family residential 1,907 2,177 65 1,886 113 Commercial real estate 10,507 12,121 2,209 23,928 984 Other residential 3,812 3,812 -- 6,813 258 Commercial business 4,539 4,652 1,295 2,542 185 Industrial revenue bonds -- -- -- -- -- Consumer auto 2,097 2,178 629 1,307 141 Consumer other 812 887 244 884 70 Home equity lines of credit 476 492 124 417 32 Total $ 34,281 $ 36,823 $ 6,362 $ 50,012 $ 2,315 September 30, 2016 Unpaid Recorded Principal Specific Balance Balance Allowance (In Thousands) One- to four-family residential construction $ -- $ -- $ -- Subdivision construction 851 860 133 Land development 9,051 9,146 1,079 Commercial construction -- -- -- Owner occupied one- to four- family residential 3,170 3,450 382 Non-owner occupied one- to four- family residential 1,865 2,119 51 Commercial real estate 13,369 16,269 2,280 Other residential 3,977 3,977 -- Commercial business 2,326 2,438 1,046 Industrial revenue bonds -- -- -- Consumer auto 1,632 1,751 245 Consumer other 886 959 133 Home equity lines of credit 383 396 63 Total $ 37,510 $ 41,365 $ 5,412 Three Months Ended Nine months Ended September 30, 2016 September 30, 2016 Average Average Investment Interest Investment Interest in Impaired Income in Impaired Income Loans Recognized Loans Recognized (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- Subdivision construction 924 6 987 36 Land development 9,066 120 8,016 266 Commercial construction -- -- -- -- Owner occupied one- to four- family residential 3,181 50 3,252 129 Non-owner occupied one- to four- family residential 1,947 31 1,877 83 Commercial real estate 22,325 223 28,133 847 Other residential 6,321 44 7,779 219 Commercial business 2,190 39 2,174 87 Industrial revenue bonds -- -- -- -- Consumer auto 1,434 55 1,123 93 Consumer other 864 27 876 56 Home equity lines of credit 395 3 422 22 Total $ 48,647 $ 598 $ 54,639 $ 1,838 At September 30, 2017, $13.5 million of impaired loans had specific valuation allowances totaling $4.3 million. At December 31, 2016, $18.1 million of impaired loans had specific valuation allowances totaling $6.4 million. Included in certain loan categories in the impaired loans are troubled debt restructurings that were classified as impaired. Troubled debt restructurings are loans that are modified by granting concessions to borrowers experiencing financial difficulties. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance or other actions intended to maximize collection. The types of concessions made are factored into the estimation of the allowance for loan losses for troubled debt restructurings primarily using a discounted cash flows or collateral adequacy approach. The following tables present newly restructured loans during the three and nine months ended September 30, 2017 and 2016, respectively, by type of modification: Three Months Ended September 30, 2017 Total Interest Only Term Combination Modification (In Thousands) Mortgage loans on real estate: Commercial $ -- $ -- $ 5,759 $ 5,759 Consumer -- 194 -- 194 $ -- $ 194 $ 5,759 $ 5,953 Nine Months Ended September 30, 2017 Total Interest Only Term Combination Modification (In Thousands) Mortgage loans on real estate: Commercial $ -- $ -- $ 5,759 $ 5,759 Commercial business -- -- 274 274 Consumer -- 199 -- 199 $ -- $ 199 $ 6,033 $ 6,232 Three Months Ended September 30, 2016 Total Interest Only Term Combination Modification (In Thousands) Consumer $ -- $ 18 $ -- $ 18 $ -- $ 18 $ -- $ 18 Nine Months Ended September 30, 2016 Total Interest Only Term Combination Modification (In Thousands) Mortgage loans on real estate: One -to four- family residential $ 429 $ -- $ -- $ 429 Commercial 60 -- -- 60 Construction and land development 2,946 -- -- 2,946 Commercial business -- 22 -- 22 Consumer -- 58 -- 58 $ 3,435 $ 80 $ -- $ 3,515 At September 30, 2017, the Company had $17.7 million of loans that were modified in troubled debt restructurings and impaired, as follows: $613,000 of construction and land development loans, $6.9 million of single family and multi-family residential mortgage loans, $8.7 million of commercial real estate loans, $863,000 of commercial business loans and $604,000 of consumer loans. Of the total troubled debt restructurings at September 30, 2017, $17.0 million were accruing interest and $7.3 million were classified as substandard using the Company’s internal grading system, which is described below. The Company had “0” troubled debt restructurings which were modified in the previous 12 months and subsequently defaulted during the nine months ended September 30, 2017. When loans modified as troubled debt restructurings have subsequent payment defaults, the defaults are factored into the determination of the allowance for loan losses to ensure specific valuation allowances reflect amounts considered uncollectible. At December 31, 2016, the Company had $21.1 million of loans that were modified in troubled debt restructurings and impaired, as follows: $5.0 million of construction and land development loans, $7.4 million of single family and multi-family residential mortgage loans, $7.1 million of commercial real estate loans, $1.3 million of commercial business loans and $296,000 of consumer loans. Of the total troubled debt restructurings at December 31, 2016, $18.9 million were accruing interest and $7.9 million were classified as substandard using the Company’s internal grading system. During the three months ended September 30, 2017, loans designated as troubled debt restructurings totaling $327,000 met the criteria for placement back on accrual status. The $327,000 consisted of $285,000 of commercial real estate loans and $42,000 of consumer loans. During the nine months ended September 30, 2017, loans designated as troubled debt restructurings totaling $672,000 met the criteria for placement back on accrual status. The $672,000 consisted of $345,000 of one- to four- family residential loans, $285,000 of commercial real estate loans and $42,000 of consumer loans. The criteria is generally a minimum of six months of consistent and timely payment performance under original or modified terms. During the three months ended September 30, 2016, no loans designated as troubled debt restructurings met the criteria for placement back on accrual status. During the nine months ended September 30, 2016, loans designated as troubled debt restructurings totaling $424,000 met the criteria for placement back on accrual status. The $424,000 consisted of $235,000 of one- to four- family residential loans, $100,000 of commercial real estate loans and $89,000 of consumer loans. The Company reviews the credit quality of its loan portfolio using an internal grading system that classifies loans as “Satisfactory,” “Watch,” “Special Mention,” “Substandard” and “Doubtful.” Loans classified as watch are being monitored because of indications of potential weaknesses or deficiencies that may require future classification as special mention or substandard. Special mention loans possess potential weaknesses that deserve management’s close attention but do not expose the Bank to a degree of risk that warrants substandard classification. Substandard loans are characterized by the distinct possibility that the Bank will sustain some loss if certain deficiencies are not corrected. Doubtful loans are those having all the weaknesses inherent to those classified Substandard with the added characteristics that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. Loans not meeting any of the criteria previously described are considered satisfactory. The FDIC-assisted acquired loans are evaluated using this internal grading system. These loans are accounted for in pools. Minimal adverse classification in these acquired loan pools was identified as of September 30, 2017 and December 31, 2016, respectively. See Note 7 for further discussion of the acquired loan pools and the termination of the loss sharing agreements. The Company evaluates the loan risk internal grading system definitions and allowance for loan loss methodology on an ongoing basis. In the fourth quarter of 2014, the Company began using a three-year average of historical losses for the general component of the allowance for loan loss calculation. The Company had previously used a five-year average. For interim periods, the Company uses three full years plus the interim period’s annualized average losses for the general component of the allowance for loan loss calculation. The Company believes that the three-year average provides a better representation of the current risks in the loan portfolio. This change was made after consultation with our regulators and other third-party consultants, as well as a review of the practices used by the Company’s peers. This change did not materially affect the level of the allowance for loan losses. The general component of the allowance for loan losses is affected by several factors, including, but not limited to, average historical losses, average life of the loan, the current composition of the loan portfolio, current and expected economic conditions, collateral values and internal risk ratings. Management considers all these factors in determining the adequacy of the Company’s allowance for loan losses. No other significant changes were made to the loan risk grading system definitions and allowance for loan loss methodology during the past year. The loan grading system is presented by loan class below: September 30, 2017 Special Satisfactory Watch Mention Substandard Doubtful Total (In Thousands) One- to four-family residential construction $ 19,645 $ 414 $ -- $ -- $ -- $ 20,059 Subdivision construction 15,346 2,356 -- 136 -- 17,838 Land development 40,540 4,800 -- -- -- 45,340 Commercial construction 984,329 -- -- -- -- 984,329 Owner occupied one- to four- family residential 188,106 37 -- 1,682 -- 189,825 Non-owner occupied one- to four- family residential 121,006 392 -- 2,064 -- 123,462 Commercial real estate 1,216,971 11,848 -- 6,678 -- 1,235,497 Other residential 758,347 4,110 -- -- -- 762,457 Commercial business 356,535 4,808 -- 2,695 -- 364,038 Industrial revenue bonds 22,614 -- -- -- -- 22,614 Consumer auto 391,732 -- -- 2,592 -- 394,324 Consumer other 62,842 -- -- 901 -- 63,743 Home equity lines of credit 109,602 -- -- 635 -- 110,237 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 165,618 -- -- 14 -- 165,632 Acquired non-covered loans, net of discounts 61,520 -- -- -- -- 61,520 Total $ 4,514,753 $ 28,765 $ -- $ 17,397 $ -- $ 4,560,915 December 31, 2016 Special Satisfactory Watch Mention Substandard Doubtful Total (In Thousands) One- to four-family residential construction $ 20,771 $ 966 $ -- $ -- $ -- $ 21,737 Subdivision construction 14,059 2,729 -- 398 -- 17,186 Land development 39,925 5,140 -- 5,559 -- 50,624 Commercial construction 780,614 -- -- -- -- 780,614 Owner occupied one- to-four- family residential 198,835 67 -- 1,438 -- 200,340 Non-owner occupied one- to- four-family residential 135,930 465 -- 529 -- 136,924 Commercial real estate 1,160,280 20,154 -- 6,472 -- 1,186,906 Other residential 658,846 4,370 -- 162 -- 663,378 Commercial business 342,685 2,651 -- 3,292 -- 348,628 Industrial revenue bonds 25,065 -- -- -- -- 25,065 Consumer auto 492,165 -- -- 2,068 -- 494,233 Consumer other 69,338 -- -- 663 -- 70,001 Home equity lines of credit 108,290 -- -- 463 -- 108,753 Acquired FDIC-covered loans, net of discounts 134,356 -- -- -- -- 134,356 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 72,552 -- -- 17 -- 72,569 Acquired non-covered loans, net of discounts 76,234 -- -- -- -- 76,234 Total $ 4,329,945 $ 36,542 $ -- $ 21,061 $ -- $ 4,387,548 |
NOTE 7_ ACQUIRED LOANS, LOSS SH
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS | NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS On March 20, 2009, Great Southern Bank entered into a purchase and assumption agreement with loss share with the Federal Deposit Insurance Corporation (FDIC) to assume all of the deposits (excluding brokered deposits) and acquire certain assets of TeamBank, N.A., a full service commercial bank headquartered in Paola, Kansas. The loans, commitments and foreclosed assets purchased in the TeamBank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the Bank shared in the losses on assets covered under the agreement (referred to as covered assets). On losses up to $115.0 million, the FDIC agreed to reimburse the Bank for 80% of the losses. On losses exceeding $115.0 million, the FDIC agreed to reimburse the Bank for 95% of the losses. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by the Bank. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans. The five-year period ended March 31, 2014 and the ten-year period was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. On September 4, 2009, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Vantus Bank, a full service thrift headquartered in Sioux City, Iowa. The loans, commitments and foreclosed assets purchased in the Vantus Bank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the Bank shared in the losses on assets covered under the agreement (referred to as covered assets). On losses up to $102.0 million, the FDIC agreed to reimburse the Bank for 80% of the losses. On losses exceeding $102.0 million, the FDIC agreed to reimburse the Bank for 95% of the losses. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by the Bank. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans. The five year period ended on September 30, 2014 and the ten-year period was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. On October 7, 2011, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Sun Security Bank, a full service bank headquartered in Ellington, Missouri. The loans and foreclosed assets purchased in the Sun Security Bank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the FDIC agreed to cover 80% of the losses on the loans (excluding approximately $4 million of consumer loans at the date of the acquisition) and foreclosed assets purchased subject to certain limitations. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by Great Southern. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans but was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. On April 27, 2012, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Inter Savings Bank, FSB (“InterBank”), a full service bank headquartered in Maple Grove, Minnesota. The loans and foreclosed assets purchased in the InterBank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the FDIC agreed to cover 80% of the losses on the loans (excluding approximately $60,000 of consumer loans) and foreclosed assets purchased subject to certain limitations. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by Great Southern. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans but was terminated early, effective June 9, 2017, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. A premium was recorded at the time of acquisition in conjunction with the fair value of the acquired loans and the amount amortized to yield during the three months ended September 30, 2017 and 2016 was $64,000 and $87,000, respectively. The amount amortized to yield during the nine months ended September 30, 2017 and 2016 was $210,000 and $278,000, respectively. On September 20, 2014, Great Southern Bank entered into a purchase and assumption agreement with the FDIC to purchase a substantial portion of the loans and investment securities, as well as certain other assets, and assume all of the deposits, as well as certain other liabilities, of Valley Bank (“Valley”), a full-service bank headquartered in Moline, Illinois, with significant operations in Iowa. This transaction did not include a loss sharing agreement. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. A premium was recorded in conjunction with the fair value of the acquired loans and the amount amortized to yield during the three months ended September 30, 2017 and 2016 was $47,000 and $114,000, respectively. The amount amortized to yield during the nine months ended September 30, 2017 and 2016 was $189,000 and $394,000, respectively. Loss Sharing Agreements. On June 9, 2017, Great Southern Bank executed an agreement with the FDIC to terminate the loss sharing agreements for InterBank, effective immediately. Pursuant to the termination agreement, the FDIC paid $15.0 million to the Bank to settle all outstanding items related to the terminated loss sharing agreements. The Company recorded a pre-tax gain on the termination of $7.7 million. As a result of entering into the termination agreement, assets that were covered by the terminated loss sharing arrangements, including covered loans in the amount of $138.8 million and covered other real estate owned in the amount of $2.9 million as of March 31, 2017, were reclassified as non-covered assets effective June 9, 2017. All rights and obligations of the Bank and the FDIC under the terminated loss sharing agreements, including the settlement of all existing loss sharing and expense reimbursement claims, have been resolved and terminated. The termination of the loss sharing agreements for the TeamBank, Vantus Bank, Sun Security Bank and InterBank transactions have no impact on the yields for the loans that were previously covered under these agreements. All post-termination recoveries, gains, losses and expenses related to these previously covered assets are recognized entirely by Great Southern Bank since the FDIC no longer shares in such gains or losses. Accordingly, the Company’s earnings are positively impacted to the extent the Company recognizes gains on any sales or recoveries in excess of the carrying value of such assets. Similarly, the Company’s future earnings will be negatively impacted to the extent the Company recognizes expenses, losses or charge-offs related to such assets. Fair Value and Expected Cash Flows. The amount of the estimated cash flows expected to be received from the acquired loan pools in excess of the fair values recorded for the loan pools is referred to as the accretable yield. The accretable yield is recognized as interest income over the estimated lives of the loans. The Company continues to evaluate the fair value of the loans including cash flows expected to be collected. Increases in the Company’s cash flow expectations are recognized as increases to the accretable yield while decreases are recognized as impairments through the allowance for loan losses. During the three and nine months ended September 30, 2017, improvements in expected cash flows related to the acquired loan portfolios resulted in adjustments of $472,000 and $627,000, respectively, to the accretable yield to be spread over the estimated remaining lives of the loans on a level-yield basis. During the three and nine months ended September 30, 2016, similar such adjustments totaling $3.4 million and $8.9 million, respectively, were made to the accretable yield. The increases in expected cash flows also reduced the amount of expected reimbursements under the loss sharing agreements, when applicable, until they were terminated or expired. During the three and nine months ended September 30, 2017, this resulted in corresponding adjustments of $-0- and $-0-, respectively, to the indemnification assets (which have now been reduced to $-0- due to the termination of the loss sharing agreements). During the three and nine months ended September 30, 2016, corresponding adjustments of $552,000 and $2.4 million, respectively, were made to the indemnification assets. Because these adjustments will be recognized generally over the remaining lives of the loan pools, they will impact future periods as well. The remaining accretable yield adjustment that will affect interest income is $2.7 million. The $2.7 million of accretable yield adjustment relates to Team Bank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank. As there is no longer, nor will there be in the future, indemnification asset amortization related to Team Bank, Vantus Bank, Sun Security Bank or InterBank due to the termination or expiration of the related loss sharing agreements for those transactions, there is no remaining indemnification asset or related adjustments that will affect non-interest income (expense). Of the remaining adjustments affecting interest income, we expect to recognize $576,000 of interest income during the remainder of 2017. Additional adjustments may be recorded in future periods from the FDIC-assisted transactions, as the Company continues to estimate expected cash flows from the acquired loan pools. The impact of adjustments on the Company’s financial results is shown below: Three Months Ended Three Months Ended September 30, 2017 September 30, 2016 (In Thousands, Except Per Share Data and Basis Points Data) Impact on net interest income/ net interest margin (in basis points) $ 975 9 bps $ 4,010 38 bps Non-interest income -- (1,310) Net impact to pre-tax income $ 975 $ 2,700 Net impact net of taxes $ 621 $ 1,755 Impact to diluted earnings per common share $ 0.04 $ 0.12 Nine Months Ended Nine Months Ended September 30, 2017 September 30, 2016 (In Thousands, Except Per Share Data and Basis Points Data) Impact on net interest income/ net interest margin (in basis points) $ 4,237 14 bps $ 13,251 44 bps Non-interest income (634) (6,019) Net impact to pre-tax income $ 3,603 $ 7,232 Net impact net of taxes $ 2,295 $ 4,701 Impact to diluted earnings per common share $ 0.16 $ 0.33 The loss sharing asset was measured separately from the loan portfolio because it was not contractually embedded in the loans and was not transferable with the loans should the Bank have chosen to dispose of them. Fair value was estimated using projected cash flows available for loss sharing based on the credit adjustments estimated for each loan pool (as discussed above) and the loss sharing percentages outlined in the applicable Purchase and Assumption Agreement with the FDIC. These cash flows were discounted to reflect the uncertainty of the timing and receipt of the loss sharing reimbursement from the FDIC. The loss sharing asset was also separately measured from the related foreclosed real estate. The loss sharing agreement on the InterBank transaction included a clawback provision whereby if credit loss performance was better than certain pre-established thresholds, then a portion of the monetary benefit was to be shared with the FDIC. The pre-established threshold for credit losses was $115.7 million for this transaction. The monetary benefit required to be paid to the FDIC under the clawback provision, if any, was to occur shortly after the termination of the loss sharing agreement, which in the case of InterBank was to be 10 years from the acquisition date. At December 31, 2016, the Bank’s internal estimate of credit performance was expected to be better than the threshold set by the FDIC in the loss sharing agreement. Therefore, a separate clawback liability totaling $6.6 million was recorded in accounts payable and accrued expenses at December 31, 2016. This clawback liability was included in the calculation of the final settlement payment related to the termination of the InterBank loss sharing agreements. TeamBank Loans and Foreclosed Assets. September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 14,520 $ -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (649) -- Original estimated fair value of assets, net of activity since acquisition date (13,721) -- Expected loss remaining $ 150 $ -- December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 18,838 $ 14 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (846) -- Original estimated fair value of assets, net of activity since acquisition date (17,833) (14) Expected loss remaining $ 159 $ -- Vantus Bank Loans and Foreclosed Assets. September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 19,789 $ 15 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (153) -- Original estimated fair value of assets, net of activity since acquisition date (19,406) (15) Expected loss remaining $ 230 $ -- December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 23,712 $ 15 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (239) -- Original estimated fair value of assets, net of activity since acquisition date (23,232) (15) Expected loss remaining $ 241 $ -- Sun Security Bank Loans and Foreclosed Assets. September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 27,908 $ 330 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (590) -- Original estimated fair value of assets, net of activity since acquisition date (26,317) (323) Expected loss remaining $ 1,001 $ 7 December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 33,579 $ 365 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (1,086) -- Original estimated fair value of assets, net of activity since acquisition date (31,499) (286) Expected loss remaining $ 994 $ 79 InterBank Loans, Foreclosed Assets and Indemnification Asset. September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 120,439 $ 2,782 Non-credit premium/(discount), net of activity since acquisition date 333 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (736) -- Original estimated fair value of assets, net of activity since acquisition date (106,185) (2,523) Expected loss remaining $ 13,851 $ 259 December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 149,657 $ 1,417 Non-credit premium/(discount), net of activity since acquisition date 543 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (1,984) -- Original estimated fair value of assets, net of activity since acquisition date (134,355) (1,417) Expected loss remaining 13,861 -- Assumed loss sharing recovery percentage 84% -- Estimated loss sharing value 11,644 -- FDIC loss share clawback 953 -- Indemnification asset to be amortized resulting from change in expected losses 1,586 -- Accretable discount on FDIC indemnification asset (1,038) -- FDIC indemnification asset $ 13,145 $ -- Valley Bank Loans and Foreclosed Assets. September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis, net of activity since acquisition date $ 67,346 $ 1,780 Non-credit premium/(discount), net of activity since acquisition date 39 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (537) -- Original estimated fair value of assets, net of activity since acquisition date (61,517) (1,773) Expected loss remaining $ 5,331 $ 7 December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis, net of activity since acquisition date $ 84,283 $ 1,973 Non-credit premium/(discount), net of activity since acquisition date 228 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (2,121) -- Original estimated fair value of assets, net of activity since acquisition date (76,231) (1,952) Expected loss remaining $ 6,159 $ 21 Changes in the accretable yield for acquired loan pools were as follows for the three and nine months ended September 30, 2017 and 2016: Sun Security TeamBank Vantus Bank Bank InterBank Valley Bank (In Thousands) Balance, July 1, 2016 $ 2,886 $ 3,217 $ 5,014 $ 11,818 $ 6,524 Accretion (461) (415) (854) (3,163) (3,311) Change in expected accretable yield (1) 301 (72) 587 1,454 2,838 Balance, September 30, 2016 $ 2,726 $ 2,730 $ 4,747 $ 10,109 $ 6,051 Balance, July 1, 2017 $ 2,303 $ 2,180 $ 3,686 $ 5,414 $ 3,313 Accretion (352) (310) (561) (1,688) (1,378) Change in expected accretable yield (1) 287 211 (270) 625 889 Balance, September 30, 2017 $ 2,238 $ 2,081 $ 2,855 $ 4,351 $ 2,824 (1) Represents increases in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit losses. The amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the three months ended September 30, 2017, totaling $268,000, $204,000, $(270,000), $625,000 and $444,000, respectively, and for the three months ended September 30, 2016, totaling $301,000, $(87,000), $373,000, $764,000 and $326,000, respectively. Sun Security TeamBank Vantus Bank Bank InterBank Valley Bank (In Thousands) Balance, January 1, 2016 $ 3,805 $ 3,360 $ 5,924 $ 16,347 $ 8,316 Accretion (1,492) (1,406) (2,904) (11,279) (9,174) Change in expected accretable yield (1) 413 776 1,727 5,041 6,909 Balance, September 30, 2016 $ 2,726 $ 2,730 $ 4,747 $ 10,109 $ 6,051 Balance, January 1, 2017 $ 2,477 $ 2,547 $ 4,277 $ 8,512 $ 4,797 Accretion (1,319) (1,048) (1,757) (5,850) (4,772) Change in expected accretable yield (1) 1,080 582 335 1,689 2,799 Balance, September 30, 2017 $ 2,238 $ 2,081 $ 2,855 $ 4,351 $ 2,824 (1) Represents increases in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit losses. The amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the nine months ended September 30, 2017, totaling $1.1 million, $569,000, $335,000, $1.7 million and $2.2 million, respectively, and for the nine months ended September 30, 2016, totaling $414,000, $760,000, $1.3 million, $2.0 million and $1.4 million, respectively. |
Note 8_ Other Real Estate Owned
Note 8: Other Real Estate Owned | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 8: Other Real Estate Owned | NOTE 8: OTHER REAL ESTATE OWNED Major classifications of other real estate owned were as follows: September 30, December 31, 2017 2016 (In Thousands) Foreclosed assets held for sale One- to four-family construction $ -- $ -- Subdivision construction 5,118 6,360 Land development 10,052 10,886 Commercial construction -- -- One- to four-family residential 203 1,217 Other residential 161 954 Commercial real estate 3,214 3,841 Commercial business 2,876 -- Consumer 1,793 1,991 23,417 25,249 FDIC-supported foreclosed assets, net of discounts -- 1,426 Acquired foreclosed assets no longer covered by FDIC loss sharing agreements, net of discounts 2,861 316 Acquired foreclosed assets not covered by FDIC loss sharing agreements, net of discounts 1,774 1,952 Foreclosed assets held for sale, net 28,052 28,943 Other real estate owned not acquired through foreclosure 2,064 3,715 Other real estate owned $ 30,116 $ 32,658 At September 30, 2017, other real estate owned not acquired through foreclosure includes 12 properties, 11 of which were branch locations that have been closed and are held for sale, and one of which is land acquired for a potential branch location. During the nine months ended September 30, 2017, three former branch locations were sold at an aggregate gain of $236,000, which is included in the gain on sales of other real estate owned amount in the table below. There was no activity during the three months ended September 30, 2017. At September 30, 2017, residential mortgage loans totaling $2.1 million were in the process of foreclosure, $2.0 million of which were acquired loans. Expenses applicable to other real estate owned included the following: Three Months Ended September 30, 2017 2016 (In Thousands) Net (gain) loss on sales of other real estate owned $ (110) $ 43 Valuation write-downs 462 338 Operating expenses, net of rental income 991 917 $ 1,343 $ 1,298 Nine Months Ended September 30, 2017 2016 (In Thousands) Net gain on sales of other real estate owned $ (576) $ (168) Valuation write-downs -- 430 Operating expenses, net of rental income 3,171 2,821 $ 2,595 $ 3,083 |
Note 9_ Deposits
Note 9: Deposits | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 9: Deposits | NOTE 9: DEPOSITS September 30, December 31, 2017 2016 (In Thousands) Time Deposits: 0.00% - 0.99% $ 337,641 $ 695,738 1.00% - 1.99% 927,464 737,649 2.00% - 2.99% 95,953 48,777 3.00% - 3.99% 696 1,119 4.00% - 4.99% 1,119 1,171 5.00% and above 272 272 Total time deposits (1.17% - 1.01%) 1,363,145 1,484,726 Non-interest-bearing demand deposits 668,164 653,288 Interest-bearing demand and savings deposits (0.31% - 0.26%) 1,566,904 1,539,216 Total Deposits $ 3,598,213 $ 3,677,230 |
Note 10_ Advances From Federal
Note 10: Advances From Federal Home Loan Bank | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 10: Advances From Federal Home Loan Bank | NOTE 10: ADVANCES FROM FEDERAL HOME LOAN BANK Advances from the Federal Home Loan Bank (FHLBank advances) at September 30, 2017 and December 31, 2016 consisted of the following: September 30, 2017 December 31, 2016 Weighted Weighted Average Average Interest Interest Due In Amount Rate Amount Rate (In Thousands) (In Thousands) 2017 $ 174,000 1.26% $ 30,826 3.26% 2018 -- -- 81 5.14 2019 -- -- 28 5.14 2020 -- -- -- -- 2021 -- -- -- -- 2022 and thereafter -- -- 500 5.54 174,000 1.26 31,435 3.30 Unamortized fair value adjustment -- 17 $ 174,000 $ 31,452 |
Note 11_ Securities Sold Under
Note 11: Securities Sold Under Reverse Repurchase Agreements and Short-term Borrowings | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 11: Securities Sold Under Reverse Repurchase Agreements and Short-term Borrowings | NOTE 11: SECURITIES SOLD UNDER REVERSE REPURCHASE AGREEMENTS AND SHORT-TERM BORROWINGS September 30, 2017 December 31, 2016 (In Thousands) Notes payable – Community Development Equity Funds $ 1,665 $ 1,323 Overnight borrowings from the Federal Home Loan Bank 21,000 171,000 Securities sold under reverse repurchase agreements 130,934 113,700 $ 153,599 $ 286,023 The Bank enters into sales of securities under agreements to repurchase (reverse repurchase agreements). Reverse repurchase agreements are treated as financings, and the obligations to repurchase securities sold are reflected as a liability in the statements of financial condition. The dollar amount of securities underlying the agreements remains in the asset accounts. Securities underlying the agreements are held by the Bank during the agreement period. All agreements are written on a term of one-month or less. The following table represents the Company’s securities sold under reverse repurchase agreements, by collateral type and remaining contractual maturity. September 30, 2017 December 31, 2016 Overnight and Overnight and Continuous Continuous (In Thousands) FHLBank CD $ 9,631 $ 16,202 Mortgage-backed securities – GNMA, FNMA, FHLMC 121,303 97,498 $ 130,934 $ 113,700 |
Note 12_ Subordinated Notes
Note 12: Subordinated Notes | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 12: Subordinated Notes | NOTE 12: SUBORDINATED NOTES On August 8, 2016, the Company completed the public offering and sale of $75.0 million of its subordinated notes. The notes are due August 15, 2026, and have a fixed interest rate of 5.25% until August 15, 2021, at which time the rate becomes floating at a rate equal to three-month LIBOR plus 4.087%. The Company may call the notes at par beginning on August 15, 2021, and on any scheduled interest payment date thereafter. The notes were sold at par, resulting in net proceeds, after underwriting discounts and commissions, legal, accounting and other professional fees, of approximately $73.5 million. The debt issuance costs, totaling approximately $1.5 million, were deferred and are being amortized over the expected life of the notes, which is 10 years. Amortization of the debt issuance costs during the three and nine months ended September 30, 2017 totaled $38,000 and $114,000, respectively, and is included in interest expense on subordinated notes in the consolidated statements of income, resulting in an imputed interest rate of 5.47%. Amortization of the debt issuance costs during the three and nine months ended September 30, 2016 totaled $27,000 and $27,000, respectively, and is included in interest expense on subordinated notes in the consolidated statements of income, resulting in an imputed interest rate of 5.47%. At September 30, 2017 and December 31, 2016, Subordinated Notes are summarized as follows: September 30, 2017 December 31, 2016 (In Thousands) Subordinated notes $ 75,000 $ 75,000 Less: unamortized debt issuance costs 1,349 1,463 $ 73,651 $ 73,537 |
Note 13_ Income Taxes
Note 13: Income Taxes | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 13: Income Taxes | NOTE 13: INCOME TAXES Reconciliations of the CompanyÂ’s effective tax rates to the statutory corporate tax rates were as follows: Three Months Ended September 30, 2017 2016 Tax at statutory rate 35.0% 35.0% Nontaxable interest and dividends (1.6) (2.1) Tax credits (7.8) (7.6) State taxes 1.1 1.1 Other 0.2 (1.4) 26.9% 25.0% Nine Months Ended September 30, 2017 2016 Tax at statutory rate 35.0% 35.0% Nontaxable interest and dividends (1.5) (2.1) Tax credits (5.9) (7.5) State taxes 1.3 1.1 Other (0.6) (0.2) 28.3% 26.3% The Company and its consolidated subsidiaries have not been audited recently by the Internal Revenue Service (IRS) and, as such, tax years through December 31, 2005, have been closed without audit. The Company, through one of its subsidiaries, is a partner in two partnerships currently under IRS examination for 2006 and 2007. As a result, the CompanyÂ’s 2006 and subsequent tax years remain open for examination. The examinations of the partnerships have been advanced during 2016 and 2017. One of the partnerships has advanced to Tax Court and has entered a Motion for Entry of Decision with an agreed upon settlement. The other partnership is at the IRS appeals level. The Company does not currently expect significant adjustments to its financial statements from these partnership examinations. The Company is currently under State of Missouri income and franchise tax examinations for its 2014 through 2015 tax years. The Company does not currently expect significant adjustments to its financial statements from this state examination. The Company was previously engaged in administrative appeals with the State of Kansas for its 2010 through 2012 tax years. During the three months ended September 30, 2017, the Company settled its appeal with the Kansas Department of Revenue. The settlement did not result in any significant adjustments to the CompanyÂ’s financial statements. |
Note 14_ Disclosures About Fair
Note 14: Disclosures About Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 14: Disclosures About Fair Value of Financial Instruments | NOTE 14: DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS ASC Topic 820, Fair Value Measurements · · · Financial instruments are broken down as follows by recurring or nonrecurring measurement status. Recurring assets are initially measured at fair value and are required to be remeasured at fair value in the financial statements at each reporting date. Assets measured on a nonrecurring basis are assets that, due to an event or circumstance, were required to be remeasured at fair value after initial recognition in the financial statements at some time during the reporting period. The Company considers transfers between the levels of the hierarchy to be recognized at the end of related reporting periods. From December 31, 2016 to September 30, 2017, no assets for which fair value is measured on a recurring basis transferred between any levels of the hierarchy. Recurring Measurements The following table presents the fair value measurements of assets recognized in the accompanying statements of financial condition measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fell at September 30, 2017 and December 31, 2016: Fair value measurements using Quoted prices in active markets Other Significant for identical observable unobservable assets inputs inputs Fair value (Level 1) (Level 2) (Level 3) (In Thousands) September 30, 2017 Mortgage-backed securities $ 125,810 $ -- $ 125,810 $ -- States and political subdivisions 58,158 -- 58,158 -- Interest rate derivative asset 1,360 -- 1,360 -- Interest rate derivative liability (1,441) -- (1,441) -- December 31, 2016 Mortgage-backed securities $ 146,035 $ -- $ 146,035 $ -- States and political subdivisions 67,837 -- 67,837 -- Interest rate derivative asset 1,663 -- 1,663 -- Interest rate derivative liability (1,699) -- (1,699) -- The following is a description of inputs and valuation methodologies used for assets recorded at fair value on a recurring basis and recognized in the accompanying statements of financial condition at September 30, 2017 and December 31, 2016, as well as the general classification of such assets pursuant to the valuation hierarchy. There have been no significant changes in the valuation techniques during the nine-month period ended September 30, 2017. For assets classified within Level 3 of the fair value hierarchy, the process used to develop the reported fair value is described below. Available-for-Sale Securities. Interest Rate Derivatives. Nonrecurring Measurements The following tables present the fair value measurements of assets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at September 30, 2017 and December 31, 2016: Fair Value Measurements Using Quoted prices in active markets Other Significant for identical observable unobservable assets inputs inputs Fair value (Level 1) (Level 2) (Level 3) (In Thousands) September 30, 2017 Impaired loans $ 1,573 $ -- $ -- $ 1,573 Foreclosed assets held for sale $ 2,700 $ -- $ -- $ 2,700 December 31, 2016 Impaired loans $ 8,280 $ -- $ -- $ 8,280 Foreclosed assets held for sale $ 1,604 $ -- $ -- $ 1,604 The following is a description of valuation methodologies used for assets measured at fair value on a nonrecurring basis and recognized in the accompanying statements of financial condition, as well as the general classification of such assets pursuant to the valuation hierarchy. For assets classified within Level 3 of the fair value hierarchy, the process used to develop the reported fair value is described below. Loans Held for Sale. Impaired Loans. Receivables The Company records impaired loans as Nonrecurring Level 3. If a loan’s fair value as estimated by the Company is less than its carrying value, the Company either records a charge-off of the portion of the loan that exceeds the fair value or establishes a reserve within the allowance for loan losses specific to the loan. Loans for which such charge-offs or reserves were recorded during the nine months ended September 30, 2017 or the year ended December 31, 2016, are shown in the table above (net of reserves). Foreclosed Assets Held for Sale. The following disclosure relates to financial assets for which it is not practicable for the Company to estimate the fair value at September 30, 2017 and December 31, 2016. FDIC Indemnification Asset Due to the termination of those loss sharing agreements, the carrying value of the indemnification asset for each of those transactions was $-0- at September 30, 2017. The InterBank loss sharing agreement was still in effect at December 31, 2016. The carrying value of the FDIC indemnification asset for that transaction was $13.1 million at December 31, 2016. From the dates of acquisition, each of the loss sharing agreements were scheduled to extend ten years for 1-4 family real estate loans and five years for other loans. The loss sharing assets are measured separately from the loan portfolios because they are not contractually embedded in the loans and are not transferable with the loans should the Bank choose to dispose of them. Fair values on the acquisition dates were estimated using projected cash flows available for loss sharing based on the credit adjustments estimated for each loan pool and the loss sharing percentages. These cash flows were discounted to reflect the uncertainty of the timing and receipt of the loss sharing reimbursements from the FDIC. The loss sharing assets are also separately measured from the related foreclosed real estate. Although the assets are contractual receivables from the FDIC, they do not have effective interest rates. The Bank collects the assets over several years. The amount ultimately collected depends on the timing and amount of collections and charge-offs on the acquired assets covered by the loss sharing agreements. While the assets were recorded at their estimated fair values on the acquisition dates, it is not practicable to complete fair value analyses on a quarterly or annual basis. Estimating the fair value of the FDIC indemnification asset would involve preparing fair value analyses of the entire portfolios of loans and foreclosed assets covered by the loss sharing agreements from all four acquisitions on a quarterly or annual basis. The loss sharing agreements for Team Bank, Vantus Bank and Sun Security Bank were terminated on April 26, 2016, and the carrying value of the related indemnification assets became $-0-. The loss sharing agreements for InterBank were terminated on June 9, 2017, and the carrying value of the related indemnification asset became $-0-. The termination of the loss sharing agreements is discussed in Note 7. Fair Value of Financial Instruments The following methods were used to estimate the fair value of all other financial instruments recognized in the accompanying statements of financial condition at amounts other than fair value. Cash and Cash Equivalents and Federal Home Loan Bank Stock. Loans and Interest Receivable. Deposits and Accrued Interest Payable. Federal Home Loan Bank Advances. Short-Term Borrowings. Subordinated Debentures Issued to Capital Trusts. Subordinated Notes. Commitments to Originate Loans, Letters of Credit and Lines of Credit. The following table presents estimated fair values of the Company’s financial instruments not recorded at fair value on the statements of financial condition. The fair values of certain of these instruments were calculated by discounting expected cash flows, which method involves significant judgments by management and uncertainties. Fair value is the estimated amount at which financial assets or liabilities could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. Because no market exists for certain of these financial instruments and because management does not intend to sell these financial instruments, the Company does not know whether the fair values shown below represent values at which the respective financial instruments could be sold individually or in the aggregate. September 30, 2017 December 31, 2016 Carrying Fair Hierarchy Carrying Fair Hierarchy Amount Value Level Amount Value Level (In Thousands) Financial assets Cash and cash equivalents $ 256,672 $ 256,672 1 $ 279,769 $ 279,769 1 Held-to-maturity securities 130 133 2 247 258 2 Mortgage loans held for sale 11,133 11,133 2 16,445 16,445 2 Loans, net of allowance for loan losses 3,800,988 3,809,339 3 3,759,966 3,766,709 3 Accrued interest receivable 11,206 11,206 3 11,875 11,875 3 Investment in FHLBank stock 13,282 13,282 3 13,034 13,034 3 Financial liabilities Deposits 3,598,213 3,606,276 3 3,677,230 3,683,751 3 FHLBank advances 174,000 174,000 3 31,452 32,379 3 Short-term borrowings 153,599 153,599 3 286,023 286,023 3 Subordinated debentures 25,774 25,774 3 25,774 25,774 3 Subordinated notes 73,651 76,125 2 73,537 76,031 2 Accrued interest payable 1,693 1,693 3 2,723 2,723 3 Unrecognized financial instruments (net of contractual value) Commitments to originate loans -- -- 3 -- -- 3 Letters of credit 74 74 3 92 92 3 Lines of credit -- -- 3 -- -- 3 |
Note 15_ Derivatives and Hedgin
Note 15: Derivatives and Hedging Activities | 9 Months Ended |
Sep. 30, 2017 | |
Notes | |
Note 15: Derivatives and Hedging Activities | NOTE 15: DERIVATIVES AND HEDGING ACTIVITIES Risk Management Objective of Using Derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity and credit risk, primarily by managing the amount, sources and duration of its assets and liabilities. In the normal course of business, the Company may use derivative financial instruments (primarily interest rate swaps) from time to time to assist in its interest rate risk management. The Company has interest rate derivatives that result from a service provided to certain qualifying loan customers that are not used to manage interest rate risk in the CompanyÂ’s assets or liabilities and are not designated in a qualifying hedging relationship. The Company manages a matched book with respect to its derivative instruments in order to minimize its net risk exposure resulting from such transactions. In addition, the Company has interest rate derivatives that are designated in a qualified hedging relationship. Nondesignated Hedges The Company has interest rate swaps that are not designated in qualifying hedging relationships. Derivatives not designated as hedges are not speculative and result from a service the Company provides to certain loan customers, which the Company began offering during 2011. The Company executes interest rate swaps with commercial banking customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously hedged by offsetting interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer swaps and the offsetting swaps are recognized directly in earnings. As part of the Valley Bank FDIC-assisted acquisition, the Company acquired seven loans with related interest rate swaps. ValleyÂ’s swap program differed from the CompanyÂ’s in that Valley did not have back to back swaps with the customer and a counterparty. Two of the seven acquired loans with interest rate swaps have paid off. The notional amount of the five remaining Valley swaps was $3.6 million at September 30, 2017. As of September 30, 2017, excluding the Valley Bank swaps, the Company had 24 interest rate swaps totaling $100.1 million in notional amount with commercial customers, and 24 interest rate swaps with the same notional amount with third parties related to its program. As of December 31, 2016, excluding the Valley Bank swaps, the Company had 26 interest rate swaps totaling $110.7 million in notional amount with commercial customers, and 26 interest rate swaps with the same notional amount with third parties related to its program. During the three months ended September 30, 2017 and 2016, the Company recognized net gains of $8,000 and $58,000, respectively, in noninterest income related to changes in the fair value of these swaps. During the nine months ended September 30, 2017 and 2016, the Company recognized net losses of $5,000 and $179,000, respectively, in noninterest income related to changes in the fair value of these swaps. Cash Flow Hedges As a strategy to maintain acceptable levels of exposure to the risk of changes in future cash flows due to interest rate fluctuations, the Company entered into an interest rate cap agreement for a portion of its floating rate debt associated with its trust preferred securities. The agreement, with a notional amount of $25 million, states that the Company will pay interest on its trust preferred debt in accordance with the original debt terms at a rate of 3-month LIBOR + 1.60%. Should interest rates rise above a certain threshold, the counterparty will reimburse the Company for interest paid such that the Company will have an effective interest rate on that portion of its trust preferred securities no higher than 2.37%. The agreement, which became effective on August 1, 2013, had a term of four years and terminated during the three months ended September 30, 2017. The effective portion of the gain or loss on the derivative is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. During each of the three and nine months ended September 30, 2017 and 2016, the Company recognized $-0- in noninterest income related to changes in the fair value of these derivatives. During the three months ended September 30, 2017 and 2016, the Company recognized $110,000 and $62,000, respectively, in interest expense related to the amortization of the cost of these interest rate caps. During the nine months ended September 30, 2017 and 2016, the Company recognized $293,000 and $150,000, respectively, in interest expense related to the amortization of the cost of these interest rate caps. The table below presents the fair value of the CompanyÂ’s derivative financial instruments as well as their classification on the Consolidated Statements of Financial Condition: Location in Fair Value Consolidated Statements September 30, December 31, of Financial Condition 2017 2016 (In Thousands) Derivatives designated as hedging instruments Interest rate caps Prepaid expenses and other assets $ -- $ 40 Total derivatives designated as hedging instruments $ -- $ 40 Derivatives not designated as hedging instruments Asset Derivatives Interest rate products Prepaid expenses and other assets $ 1,360 $ 1,623 Total derivatives not designated as hedging instruments $ 1,360 $ 1,623 Liability Derivatives Interest rate products Accrued expenses and other liabilities $ 1,441 $ 1,699 Total derivatives not designated as hedging instruments $ 1,441 $ 1,699 The following table presents the effect of derivative instruments on the statements of comprehensive income for the three and nine months ended September 30, 2017 and 2016: Amount of Gain (Loss) Recognized in AOCI Three Months Ended September 30, Cash Flow Hedges 2017 2016 (In Thousands) Interest rate cap, net of income taxes $ 64 $ 53 Amount of Gain (Loss) Recognized in AOCI Nine Months Ended September 30, Cash Flow Hedges 2017 2016 (In Thousands) Interest rate cap, net of income taxes $ 161 $ 37 Agreements with Derivative Counterparties The Company has agreements with its derivative counterparties. If the Company defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. If the Bank fails to maintain its status as a well-capitalized institution, then the counterparty could terminate the derivative positions and the Company would be required to settle its obligations under the agreements. Similarly, the Company could be required to settle its obligations under certain of its agreements if certain regulatory events occurred, such as the issuance of a formal directive, or if the CompanyÂ’s credit rating is downgraded below a specified level. As of September 30, 2017, the termination value of derivatives in a net liability position, which included accrued interest but excluded any adjustment for nonperformance risk, related to these agreements was $1.2 million. The Company has minimum collateral posting thresholds with its derivative counterparties. At September 30, 2017, the CompanyÂ’s activity with its derivative counterparties met the level in which the minimum collateral posting thresholds take effect and the Company posted $3.8 million of collateral to satisfy the agreements. As of December 31, 2016, the termination value of derivatives in a net liability position, which included accrued interest but excluded any adjustment for nonperformance risk, related to these agreements was $1.6 million. At December 31, 2016, the CompanyÂ’s activity with its derivative counterparties met the level in which the minimum collateral posting thresholds take effect and the Company posted $6.0 million of collateral to satisfy the agreements. If the Company had breached any of these provisions at September 30, 2017 or December 31, 2016, it could have been required to settle its obligations under the agreements at the termination value. |
NOTE 1_ BASIS OF PRESENTATION_
NOTE 1: BASIS OF PRESENTATION: Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies | The accompanying unaudited interim consolidated financial statements of Great Southern Bancorp, Inc. (the "Company" or "Great Southern") have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. The financial statements presented herein reflect all adjustments which are, in the opinion of management, necessary to fairly present the financial condition, results of operations and cash flows of the Company as of the dates and for the periods presented. Those adjustments consist only of normal recurring adjustments. Operating results for the three and nine months ended September 30, 2017 are not necessarily indicative of the results that may be expected for the full year. The consolidated statement of financial condition of the Company as of December 31, 2016, has been derived from the audited consolidated statement of financial condition of the Company as of that date. Certain prior period amounts have been reclassified to conform to the current period presentation. These reclassifications had no effect on net income. Certain information and note disclosures normally included in the Company's annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K |
NOTE 2_ NATURE OF OPERATIONS 24
NOTE 2: NATURE OF OPERATIONS AND OPERATING SEGMENTS: Segment Reporting, Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Segment Reporting, Policy | The CompanyÂ’s banking operation is its only reportable segment. The banking operation is principally engaged in the business of originating residential and commercial real estate loans, construction loans, commercial business loans and consumer loans and funding these loans through attracting deposits from the general public, accepting brokered deposits and borrowing from the Federal Home Loan Bank and others. The operating results of this segment are regularly reviewed by management to make decisions about resource allocations and to assess performance. Selected information is not presented separately for the CompanyÂ’s reportable segment, as there is no material difference between that information and the corresponding information in the consolidated financial statements. |
NOTE 4_ EARNINGS PER SHARE_ Ear
NOTE 4: EARNINGS PER SHARE: Earnings Per Share, Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Earnings Per Share, Policy | Options outstanding at September 30, 2017 and 2016, to purchase 114,300 and 111,425 shares of common stock, respectively, were not included in the computation of diluted earnings per common share for each of the three and nine month periods because the exercise prices of such options were greater than the average market prices of the common stock for the three and nine months ended September 30, 2017 and 2016, respectively. |
NOTE 5_ INVESTMENT SECURITIES_
NOTE 5: INVESTMENT SECURITIES: Investment, Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Investment, Policy | Certain investments in debt securities categorized as available-for-sale are reported in the financial statements at an amount less than their historical cost. Total fair value of these investments at September 30, 2017 and December 31, 2016, respectively, was approximately $90.6 million and $104.5 million, which is approximately 49.2% and 48.8% of the CompanyÂ’s combined available-for-sale and held-to-maturity investment portfolio, respectively. Based on an evaluation of available evidence, including recent changes in market interest rates, credit rating information and information obtained from regulatory filings, management believes the declines in fair value for these debt securities below their historical cost are temporary at September 30, 2017. |
NOTE 6_ LOANS AND ALLOWANCE F27
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Loan Portfolio Credit Quality Internal Grading System Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Loan Portfolio Credit Quality Internal Grading System Policy | The Company reviews the credit quality of its loan portfolio using an internal grading system that classifies loans as “Satisfactory,” “Watch,” “Special Mention,” “Substandard” and “Doubtful.” Loans classified as watch are being monitored because of indications of potential weaknesses or deficiencies that may require future classification as special mention or substandard. Special mention loans possess potential weaknesses that deserve management’s close attention but do not expose the Bank to a degree of risk that warrants substandard classification. Substandard loans are characterized by the distinct possibility that the Bank will sustain some loss if certain deficiencies are not corrected. Doubtful loans are those having all the weaknesses inherent to those classified Substandard with the added characteristics that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. Loans not meeting any of the criteria previously described are considered satisfactory. The FDIC-assisted acquired loans are evaluated using this internal grading system. These loans are accounted for in pools. Minimal adverse classification in these acquired loan pools was identified as of September 30, 2017 and December 31, 2016, respectively. See Note 7 for further discussion of the acquired loan pools and the termination of the loss sharing agreements. The Company evaluates the loan risk internal grading system definitions and allowance for loan loss methodology on an ongoing basis. In the fourth quarter of 2014, the Company began using a three-year average of historical losses for the general component of the allowance for loan loss calculation. The Company had previously used a five-year average. For interim periods, the Company uses three full years plus the interim period’s annualized average losses for the general component of the allowance for loan loss calculation. The Company believes that the three-year average provides a better representation of the current risks in the loan portfolio. This change was made after consultation with our regulators and other third-party consultants, as well as a review of the practices used by the Company’s peers. This change did not materially affect the level of the allowance for loan losses. The general component of the allowance for loan losses is affected by several factors, including, but not limited to, average historical losses, average life of the loan, the current composition of the loan portfolio, current and expected economic conditions, collateral values and internal risk ratings. Management considers all these factors in determining the adequacy of the Company’s allowance for loan losses. No other significant changes were made to the loan risk grading system definitions and allowance for loan loss methodology during the past year. |
NOTE 7_ ACQUIRED LOANS, LOSS 28
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Business Combinations Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
TeamBank | |
Business Combinations Policy | On March 20, 2009, Great Southern Bank entered into a purchase and assumption agreement with loss share with the Federal Deposit Insurance Corporation (FDIC) to assume all of the deposits (excluding brokered deposits) and acquire certain assets of TeamBank, N.A., a full service commercial bank headquartered in Paola, Kansas. The loans, commitments and foreclosed assets purchased in the TeamBank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the Bank shared in the losses on assets covered under the agreement (referred to as covered assets). On losses up to $115.0 million, the FDIC agreed to reimburse the Bank for 80% of the losses. On losses exceeding $115.0 million, the FDIC agreed to reimburse the Bank for 95% of the losses. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by the Bank. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans. The five-year period ended March 31, 2014 and the ten-year period was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. |
Vantus Bank | |
Business Combinations Policy | On September 4, 2009, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Vantus Bank, a full service thrift headquartered in Sioux City, Iowa. The loans, commitments and foreclosed assets purchased in the Vantus Bank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the Bank shared in the losses on assets covered under the agreement (referred to as covered assets). On losses up to $102.0 million, the FDIC agreed to reimburse the Bank for 80% of the losses. On losses exceeding $102.0 million, the FDIC agreed to reimburse the Bank for 95% of the losses. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by the Bank. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans. The five year period ended on September 30, 2014 and the ten-year period was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. |
Sun Security Bank | |
Business Combinations Policy | On October 7, 2011, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Sun Security Bank, a full service bank headquartered in Ellington, Missouri. The loans and foreclosed assets purchased in the Sun Security Bank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the FDIC agreed to cover 80% of the losses on the loans (excluding approximately $4 million of consumer loans at the date of the acquisition) and foreclosed assets purchased subject to certain limitations. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by Great Southern. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans but was terminated early, effective April 26, 2016, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. |
InterBank | |
Business Combinations Policy | On April 27, 2012, Great Southern Bank entered into a purchase and assumption agreement with loss share with the FDIC to assume all of the deposits and acquire certain assets of Inter Savings Bank, FSB (“InterBank”), a full service bank headquartered in Maple Grove, Minnesota. The loans and foreclosed assets purchased in the InterBank transaction were covered by a loss sharing agreement between the FDIC and Great Southern Bank. Under the loss sharing agreement, the FDIC agreed to cover 80% of the losses on the loans (excluding approximately $60,000 of consumer loans) and foreclosed assets purchased subject to certain limitations. Realized losses covered by the loss sharing agreement included loan contractual balances (and related unfunded commitments that were acquired), accrued interest on loans for up to 90 days, the book value of foreclosed real estate acquired, and certain direct costs, less cash or other consideration received by Great Southern. This agreement originally was to extend for ten years for 1-4 family real estate loans and for five years for other loans but was terminated early, effective June 9, 2017, by mutual agreement of Great Southern Bank and the FDIC. See “Loss Sharing Agreements” below. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. A premium was recorded at the time of acquisition in conjunction with the fair value of the acquired loans and the amount amortized to yield during the three months ended September 30, 2017 and 2016 was $64,000 and $87,000, respectively. The amount amortized to yield during the nine months ended September 30, 2017 and 2016 was $210,000 and $278,000, respectively. |
Valley Bank | |
Business Combinations Policy | On September 20, 2014, Great Southern Bank entered into a purchase and assumption agreement with the FDIC to purchase a substantial portion of the loans and investment securities, as well as certain other assets, and assume all of the deposits, as well as certain other liabilities, of Valley Bank (“Valley”), a full-service bank headquartered in Moline, Illinois, with significant operations in Iowa. This transaction did not include a loss sharing agreement. Based upon the acquisition date fair values of the net assets acquired, no goodwill was recorded. A premium was recorded in conjunction with the fair value of the acquired loans and the amount amortized to yield during the three months ended September 30, 2017 and 2016 was $47,000 and $114,000, respectively. The amount amortized to yield during the nine months ended September 30, 2017 and 2016 was $189,000 and $394,000, respectively. |
NOTE 7_ ACQUIRED LOANS, LOSS 29
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Loss Sharing Agreement Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Loss Sharing Agreement Policy | Loss Sharing Agreements. On June 9, 2017, Great Southern Bank executed an agreement with the FDIC to terminate the loss sharing agreements for InterBank, effective immediately. Pursuant to the termination agreement, the FDIC paid $15.0 million to the Bank to settle all outstanding items related to the terminated loss sharing agreements. The Company recorded a pre-tax gain on the termination of $7.7 million. As a result of entering into the termination agreement, assets that were covered by the terminated loss sharing arrangements, including covered loans in the amount of $138.8 million and covered other real estate owned in the amount of $2.9 million as of March 31, 2017, were reclassified as non-covered assets effective June 9, 2017. All rights and obligations of the Bank and the FDIC under the terminated loss sharing agreements, including the settlement of all existing loss sharing and expense reimbursement claims, have been resolved and terminated. The termination of the loss sharing agreements for the TeamBank, Vantus Bank, Sun Security Bank and InterBank transactions have no impact on the yields for the loans that were previously covered under these agreements. All post-termination recoveries, gains, losses and expenses related to these previously covered assets are recognized entirely by Great Southern Bank since the FDIC no longer shares in such gains or losses. Accordingly, the CompanyÂ’s earnings are positively impacted to the extent the Company recognizes gains on any sales or recoveries in excess of the carrying value of such assets. Similarly, the CompanyÂ’s future earnings will be negatively impacted to the extent the Company recognizes expenses, losses or charge-offs related to such assets. |
NOTE 7_ ACQUIRED LOANS, LOSS 30
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Business Acquisition Fair Value and Expected Cash Flows Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Business Acquisition Fair Value and Expected Cash Flows Policy | Fair Value and Expected Cash Flows. The amount of the estimated cash flows expected to be received from the acquired loan pools in excess of the fair values recorded for the loan pools is referred to as the accretable yield. The accretable yield is recognized as interest income over the estimated lives of the loans. The Company continues to evaluate the fair value of the loans including cash flows expected to be collected. Increases in the CompanyÂ’s cash flow expectations are recognized as increases to the accretable yield while decreases are recognized as impairments through the allowance for loan losses. During the three and nine months ended September 30, 2017, improvements in expected cash flows related to the acquired loan portfolios resulted in adjustments of $472,000 and $627,000, respectively, to the accretable yield to be spread over the estimated remaining lives of the loans on a level-yield basis. During the three and nine months ended September 30, 2016, similar such adjustments totaling $3.4 million and $8.9 million, respectively, were made to the accretable yield. The increases in expected cash flows also reduced the amount of expected reimbursements under the loss sharing agreements, when applicable, until they were terminated or expired. During the three and nine months ended September 30, 2017, this resulted in corresponding adjustments of $-0- and $-0-, respectively, to the indemnification assets (which have now been reduced to $-0- due to the termination of the loss sharing agreements). During the three and nine months ended September 30, 2016, corresponding adjustments of $552,000 and $2.4 million, respectively, were made to the indemnification assets. Because these adjustments will be recognized generally over the remaining lives of the loan pools, they will impact future periods as well. The remaining accretable yield adjustment that will affect interest income is $2.7 million. The $2.7 million of accretable yield adjustment relates to Team Bank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank. As there is no longer, nor will there be in the future, indemnification asset amortization related to Team Bank, Vantus Bank, Sun Security Bank or InterBank due to the termination or expiration of the related loss sharing agreements for those transactions, there is no remaining indemnification asset or related adjustments that will affect non-interest income (expense). Of the remaining adjustments affecting interest income, we expect to recognize $576,000 of interest income during the remainder of 2017. Additional adjustments may be recorded in future periods from the FDIC-assisted transactions, as the Company continues to estimate expected cash flows from the acquired loan pools. |
NOTE 7_ ACQUIRED LOANS, LOSS 31
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: FDIC Indemnification Asset Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
TeamBank | |
FDIC Indemnification Asset Policy | TeamBank Loans and Foreclosed Assets. |
Vantus Bank | |
FDIC Indemnification Asset Policy | Vantus Bank Loans and Foreclosed Assets. |
Sun Security Bank | |
FDIC Indemnification Asset Policy | Sun Security Bank Loans and Foreclosed Assets. |
InterBank | |
FDIC Indemnification Asset Policy | InterBank Loans, Foreclosed Assets and Indemnification Asset. |
Valley Bank | |
FDIC Indemnification Asset Policy | Valley Bank Loans and Foreclosed Assets. |
Note 13_ Income Taxes_ Income T
Note 13: Income Taxes: Income Tax, Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Income Tax, Policy | The Company and its consolidated subsidiaries have not been audited recently by the Internal Revenue Service (IRS) and, as such, tax years through December 31, 2005, have been closed without audit. The Company, through one of its subsidiaries, is a partner in two partnerships currently under IRS examination for 2006 and 2007. As a result, the CompanyÂ’s 2006 and subsequent tax years remain open for examination. The examinations of the partnerships have been advanced during 2016 and 2017. One of the partnerships has advanced to Tax Court and has entered a Motion for Entry of Decision with an agreed upon settlement. The other partnership is at the IRS appeals level. The Company does not currently expect significant adjustments to its financial statements from these partnership examinations. The Company is currently under State of Missouri income and franchise tax examinations for its 2014 through 2015 tax years. The Company does not currently expect significant adjustments to its financial statements from this state examination. The Company was previously engaged in administrative appeals with the State of Kansas for its 2010 through 2012 tax years. During the three months ended September 30, 2017, the Company settled its appeal with the Kansas Department of Revenue. The settlement did not result in any significant adjustments to the CompanyÂ’s financial statements. |
Note 14_ Disclosures About Fa33
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Measurement, Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Measurement, Policy | ASC Topic 820, Fair Value Measurements · · · Financial instruments are broken down as follows by recurring or nonrecurring measurement status. Recurring assets are initially measured at fair value and are required to be remeasured at fair value in the financial statements at each reporting date. Assets measured on a nonrecurring basis are assets that, due to an event or circumstance, were required to be remeasured at fair value after initial recognition in the financial statements at some time during the reporting period. The Company considers transfers between the levels of the hierarchy to be recognized at the end of related reporting periods. From December 31, 2016 to September 30, 2017, no assets for which fair value is measured on a recurring basis transferred between any levels of the hierarchy. Recurring Measurements The following table presents the fair value measurements of assets recognized in the accompanying statements of financial condition measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fell at September 30, 2017 and December 31, 2016: Fair value measurements using Quoted prices in active markets Other Significant for identical observable unobservable assets inputs inputs Fair value (Level 1) (Level 2) (Level 3) (In Thousands) September 30, 2017 Mortgage-backed securities $ 125,810 $ -- $ 125,810 $ -- States and political subdivisions 58,158 -- 58,158 -- Interest rate derivative asset 1,360 -- 1,360 -- Interest rate derivative liability (1,441) -- (1,441) -- December 31, 2016 Mortgage-backed securities $ 146,035 $ -- $ 146,035 $ -- States and political subdivisions 67,837 -- 67,837 -- Interest rate derivative asset 1,663 -- 1,663 -- Interest rate derivative liability (1,699) -- (1,699) -- The following is a description of inputs and valuation methodologies used for assets recorded at fair value on a recurring basis and recognized in the accompanying statements of financial condition at September 30, 2017 and December 31, 2016, as well as the general classification of such assets pursuant to the valuation hierarchy. There have been no significant changes in the valuation techniques during the nine-month period ended September 30, 2017. For assets classified within Level 3 of the fair value hierarchy, the process used to develop the reported fair value is described below. Available-for-Sale Securities. Interest Rate Derivatives. Nonrecurring Measurements The following tables present the fair value measurements of assets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at September 30, 2017 and December 31, 2016: Fair Value Measurements Using Quoted prices in active markets Other Significant for identical observable unobservable assets inputs inputs Fair value (Level 1) (Level 2) (Level 3) (In Thousands) September 30, 2017 Impaired loans $ 1,573 $ -- $ -- $ 1,573 Foreclosed assets held for sale $ 2,700 $ -- $ -- $ 2,700 December 31, 2016 Impaired loans $ 8,280 $ -- $ -- $ 8,280 Foreclosed assets held for sale $ 1,604 $ -- $ -- $ 1,604 |
Note 14_ Disclosures About Fa34
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Loans Held for Sale Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Loans Held for Sale Policy | Loans Held for Sale. |
Note 14_ Disclosures About Fa35
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Impaired Loans Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Impaired Loans Policy | Impaired Loans. Receivables The Company records impaired loans as Nonrecurring Level 3. If a loanÂ’s fair value as estimated by the Company is less than its carrying value, the Company either records a charge-off of the portion of the loan that exceeds the fair value or establishes a reserve within the allowance for loan losses specific to the loan. Loans for which such charge-offs or reserves were recorded during the nine months ended September 30, 2017 or the year ended December 31, 2016, are shown in the table above (net of reserves). |
Note 14_ Disclosures About Fa36
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Foreclosed Assets Held for Sale Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Foreclosed Assets Held for Sale Policy | Foreclosed Assets Held for Sale. The following disclosure relates to financial assets for which it is not practicable for the Company to estimate the fair value at September 30, 2017 and December 31, 2016. |
Note 14_ Disclosures About Fa37
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value FDIC Indemnification Asset Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value FDIC Indemnification Asset Policy | FDIC Indemnification Asset Due to the termination of those loss sharing agreements, the carrying value of the indemnification asset for each of those transactions was $-0- at September 30, 2017. The InterBank loss sharing agreement was still in effect at December 31, 2016. The carrying value of the FDIC indemnification asset for that transaction was $13.1 million at December 31, 2016. From the dates of acquisition, each of the loss sharing agreements were scheduled to extend ten years for 1-4 family real estate loans and five years for other loans. The loss sharing assets are measured separately from the loan portfolios because they are not contractually embedded in the loans and are not transferable with the loans should the Bank choose to dispose of them. Fair values on the acquisition dates were estimated using projected cash flows available for loss sharing based on the credit adjustments estimated for each loan pool and the loss sharing percentages. These cash flows were discounted to reflect the uncertainty of the timing and receipt of the loss sharing reimbursements from the FDIC. The loss sharing assets are also separately measured from the related foreclosed real estate. Although the assets are contractual receivables from the FDIC, they do not have effective interest rates. The Bank collects the assets over several years. The amount ultimately collected depends on the timing and amount of collections and charge-offs on the acquired assets covered by the loss sharing agreements. While the assets were recorded at their estimated fair values on the acquisition dates, it is not practicable to complete fair value analyses on a quarterly or annual basis. Estimating the fair value of the FDIC indemnification asset would involve preparing fair value analyses of the entire portfolios of loans and foreclosed assets covered by the loss sharing agreements from all four acquisitions on a quarterly or annual basis. The loss sharing agreements for Team Bank, Vantus Bank and Sun Security Bank were terminated on April 26, 2016, and the carrying value of the related indemnification assets became $-0-. The loss sharing agreements for InterBank were terminated on June 9, 2017, and the carrying value of the related indemnification asset became $-0-. The termination of the loss sharing agreements is discussed in Note 7. |
Note 14_ Disclosures About Fa38
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Financial Instruments Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Financial Instruments Policy | Fair Value of Financial Instruments The following methods were used to estimate the fair value of all other financial instruments recognized in the accompanying statements of financial condition at amounts other than fair value. |
Note 14_ Disclosures About Fa39
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Cash and Cash Equivalents and Federal home Loan Bank Stock Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Cash and Cash Equivalents and Federal home Loan Bank Stock Policy | Cash and Cash Equivalents and Federal Home Loan Bank Stock. |
Note 14_ Disclosures About Fa40
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Loans and Interest Receivable Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Loans and Interest Receivable Policy | Loans and Interest Receivable. |
Note 14_ Disclosures About Fa41
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Deposits and Accrued Interest Payable Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Deposits and Accrued Interest Payable Policy | Deposits and Accrued Interest Payable. |
Note 14_ Disclosures About Fa42
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Federal Home Loan Bank Advance Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Federal Home Loan Bank Advance Policy | Federal Home Loan Bank Advances. |
Note 14_ Disclosures About Fa43
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Short Term Borrowings Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Short Term Borrowings Policy | Short-Term Borrowings. |
Note 14_ Disclosures About Fa44
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Subordinated Debentures Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Subordinated Debentures Policy | Subordinated Debentures Issued to Capital Trusts. |
Note 14_ Disclosures About Fa45
Note 14: Disclosures About Fair Value of Financial Instruments: Subordinated Notes Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Subordinated Notes Policy | Subordinated Notes. |
Note 14_ Disclosures About Fa46
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Commitments to Originate Loans, Letters of Credit and Lines of Credit Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Policies | |
Fair Value Commitments to Originate Loans, Letters of Credit and Lines of Credit Policy | Commitments to Originate Loans, Letters of Credit and Lines of Credit. |
NOTE 4_ EARNINGS PER SHARE_ Sch
NOTE 4: EARNINGS PER SHARE: Schedule of Earnings Per Share, Basic and Diluted (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Earnings Per Share, Basic and Diluted | Three Months Ended September 30, 2017 2016 (In Thousands, Except Per Share Data) Basic: Average shares outstanding 14,038 13,914 Net income available to common stockholders $ 11,663 $ 11,221 Per common share amount $ 0.83 $ 0.81 Diluted: Average shares outstanding 14,038 13,914 Net effect of dilutive stock options – based on the treasury stock method using average market price 186 140 Diluted shares 14,224 14,054 Net income available to common stockholders $ 11,663 $ 11,221 Per common share amount $ 0.82 $ 0.80 Nine Months Ended September 30, 2017 2016 (In Thousands, Except Per Share Data) Basic: Average shares outstanding 14,007 13,906 Net income available to common stockholders $ 39,358 $ 33,548 Per common share amount $ 2.81 $ 2.41 Diluted: Average shares outstanding 14,007 13,906 Net effect of dilutive stock options – based on the treasury stock method using average market price 186 140 Diluted shares 14,193 14,046 Net income available to common stockholders $ 39,358 $ 33,548 Per common share amount $ 2.77 $ 2.39 |
NOTE 5_ INVESTMENT SECURITIES48
NOTE 5: INVESTMENT SECURITIES: Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Investment Securities | September 30, 2017 Gross Gross Tax Amortized Unrealized Unrealized Fair Equivalent Cost Gains Losses Value Yield (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Mortgage-backed securities $ 125,924 $ 999 $ 1,113 $ 125,810 2.08% States and political subdivisions 55,053 3,105 -- 58,158 5.60 $ 180,977 $ 4,104 $ 1,113 $ 183,968 3.15% HELD-TO-MATURITY SECURITIES: States and political subdivisions $ 130 $ 3 $ -- $ 133 7.37% December 31, 2016 Gross Gross Tax Amortized Unrealized Unrealized Fair Equivalent Cost Gains Losses Value Yield (In Thousands) AVAILABLE-FOR-SALE SECURITIES: Mortgage-backed securities $ 146,491 $ 1,045 $ 1,501 $ 146,035 2.03% States and political subdivisions 64,682 3,163 8 67,837 5.73 $ 211,173 $ 4,208 $ 1,509 $ 213,872 3.16% HELD-TO-MATURITY SECURITIES: States and political subdivisions $ 247 $ 11 $ -- $ 258 7.36% |
NOTE 5_ INVESTMENT SECURITIES49
NOTE 5: INVESTMENT SECURITIES: Investments Classified by Contractual Maturity Date (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Investments Classified by Contractual Maturity Date | The amortized cost and fair value of available-for-sale securities at September 30, 2017, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value (In Thousands) One year or less $ -- $ -- After one through five years 803 904 After five through ten years 6,405 6,684 After ten years 47,845 50,570 Securities not due on a single maturity date 125,924 125,810 $ 180,977 $ 183,968 |
NOTE 5_ INVESTMENT SECURITIES50
NOTE 5: INVESTMENT SECURITIES: Contractual Obligation, Fiscal Year Maturity Schedule (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Contractual Obligation, Fiscal Year Maturity Schedule | The held-to-maturity securities at September 30, 2017, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value (In Thousands) One year or less $ 130 $ 133 |
NOTE 5_ INVESTMENT SECURITIES51
NOTE 5: INVESTMENT SECURITIES: Unrealized Gain (Loss) on Investments (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Unrealized Gain (Loss) on Investments | The following table shows the CompanyÂ’s gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at September 30, 2017 and December 31, 2016: September 30, 2017 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) Mortgage-backed securities $ 69,870 $ (689) $ 20,706 $ (424) $ 90,576 $ (1,113) State and political subdivisions -- -- -- -- -- -- $ 69,870 $ (689) $ 20,706 $ (424) $ 90,576 $ (1,113) December 31, 2016 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Description of Securities Value Losses Value Losses Value Losses (In Thousands) Mortgage-backed securities $ 102,296 $ (1,501) $ -- $ -- $ 102,296 $ (1,501) State and political subdivisions 2,164 (8) -- -- 2,164 (8) $ 104,460 $ (1,509) $ -- $ -- $ 104,460 $ (1,509) |
NOTE 5_ INVESTMENT SECURITIES52
NOTE 5: INVESTMENT SECURITIES: Other than Temporary Impairment, Credit Losses Recognized in Earnings (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings | Amounts Reclassified from Accumulated Other Comprehensive Income Three Months Ended September 30, Affected Line Item in the 2017 2016 Statements of Income (In Thousands) Unrealized gains on available- Net realized gains on sales of for-sale securities $ -- $ 144 available-for-sale securities (Total reclassified amount before tax) Income Taxes -- (53) Provision for income taxes Total reclassifications out of accumulated other comprehensive income $ -- $ 91 Amounts Reclassified from Accumulated Other Comprehensive Income Nine Months Ended September 30, Affected Line Item in the 2017 2016 Statements of Income (In Thousands) Unrealized gains on available- Net realized gains on sales of for-sale securities $ -- $ 2,881 available-for-sale securities (Total reclassified amount before tax) Income Taxes -- (1,046) Provision for income taxes Total reclassifications out of accumulated other comprehensive income $ -- $ 1,835 |
NOTE 6_ LOANS AND ALLOWANCE F53
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Schedule of Accounts, Notes, Loans and Financing Receivable (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Accounts, Notes, Loans and Financing Receivable | September 30, December 31, 2017 2016 (In Thousands) One- to four-family residential construction $ 20,059 $ 21,737 Subdivision construction 17,838 17,186 Land development 45,340 50,624 Commercial construction 984,329 780,614 Owner occupied one- to four-family residential 189,825 200,340 Non-owner occupied one- to four-family residential 123,462 136,924 Commercial real estate 1,235,497 1,186,906 Other residential 762,457 663,378 Commercial business 364,038 348,628 Industrial revenue bonds 22,614 25,065 Consumer auto 394,324 494,233 Consumer other 63,743 70,001 Home equity lines of credit 110,237 108,753 Acquired FDIC-covered loans, net of discounts -- 134,356 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 165,632 72,569 Acquired non-covered loans, net of discounts 61,520 76,234 4,560,915 4,387,548 Undisbursed portion of loans in process (717,776) (585,313) Allowance for loan losses (36,243) (37,400) Deferred loan fees and gains, net (5,908) (4,869) $ 3,800,988 $ 3,759,966 Weighted average interest rate 4.68% 4.58% |
NOTE 6_ LOANS AND ALLOWANCE F54
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Schedule of Loans Classified by Aging Analysis (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Loans Classified by Aging Analysis | September 30, 2017 Total Loans Past Due > 90 Days 30-59 Days 60-89 Days 90 Days Total Past Total Loans Past Due and Past Due Past Due or More Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- $ 20,059 $ 20,059 $ -- Subdivision construction -- -- 102 102 17,736 17,838 -- Land development 41 -- 34 75 45,265 45,340 -- Commercial construction 15 -- -- 15 984,314 984,329 -- Owner occupied one- to four- family residential 362 238 916 1,516 188,309 189,825 -- Non-owner occupied one- to four-family residential -- -- 1,840 1,840 121,622 123,462 -- Commercial real estate 4,154 2,167 568 6,889 1,228,608 1,235,497 -- Other residential -- -- 77 77 762,380 762,457 77 Commercial business 80 1,494 2,180 3,754 360,284 364,038 -- Industrial revenue bonds -- -- -- -- 22,614 22,614 -- Consumer auto 4,736 1,301 2,425 8,462 385,862 394,324 13 Consumer other 409 119 809 1,337 62,406 63,743 -- Home equity lines of credit 338 25 508 871 109,366 110,237 16 Acquired loans no longer covered by loss sharing agreements, net of discounts 715 1,016 1,984 3,715 161,917 165,632 -- Acquired non-covered loans, net of discounts 503 57 2,731 3,291 58,229 61,520 -- 11,353 6,417 14,174 31,944 4,528,971 4,560,915 106 Less FDIC-assisted acquired loans, net of discounts 1,218 1,073 4,715 7,006 220,146 227,152 -- Total $ 10,135 $ 5,344 $ 9,459 $ 24,938 $ 4,308,825 $ 4,333,763 $ 106 December 31, 2016 Total Loans Total > 90 Days Past 30-59 Days 60-89 Days Over 90 Total Past Loans Due and Past Due Past Due Days Due Current Receivable Still Accruing (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- $ 21,737 $ 21,737 $ -- Subdivision construction -- -- 109 109 17,077 17,186 -- Land development 413 584 1,718 2,715 47,909 50,624 -- Commercial construction -- -- -- -- 780,614 780,614 -- Owner occupied one- to four- family residential 1,760 388 1,125 3,273 197,067 200,340 -- Non-owner occupied one- to four-family residential 309 278 404 991 135,933 136,924 -- Commercial real estate 1,969 1,988 4,404 8,361 1,178,545 1,186,906 -- Other residential 4,632 -- 162 4,794 658,584 663,378 -- Commercial business 1,741 24 3,088 4,853 343,775 348,628 -- Industrial revenue bonds -- -- -- -- 25,065 25,065 -- Consumer auto 8,252 2,451 1,989 12,692 481,541 494,233 -- Consumer other 1,103 278 649 2,030 67,971 70,001 -- Home equity lines of credit 136 158 433 727 108,026 108,753 -- Acquired FDIC-covered loans, net of discounts 4,476 1,201 8,226 13,903 120,453 134,356 301 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 1,356 552 1,401 3,309 69,260 72,569 222 Acquired non-covered loans, net of discounts 851 173 2,854 3,878 72,356 76,234 -- 26,998 8,075 26,562 61,635 4,325,913 4,387,548 523 Less FDIC-supported loans, and acquired non-covered loans, net of discounts 6,683 1,926 12,481 21,090 262,069 283,159 523 Total $ 20,315 $ 6,149 $ 14,081 $ 40,545 $ 4,063,844 $ 4,104,389 $ -- |
NOTE 6_ LOANS AND ALLOWANCE F55
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Schedule of Financing Receivables, Non Accrual Status (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Financing Receivables, Non Accrual Status | Nonaccruing loans (excluding FDIC-assisted acquired loans, net of discount) are summarized as follows: September 30, December 31, 2017 2016 (In Thousands) One- to four-family residential construction $ -- $ -- Subdivision construction 102 109 Land development 34 1,718 Commercial construction -- -- Owner occupied one- to four-family residential 916 1,125 Non-owner occupied one- to four-family residential 1,840 404 Commercial real estate 568 4,404 Other residential -- 162 Commercial business 2,180 3,088 Industrial revenue bonds -- -- Consumer auto 2,412 1,989 Consumer other 809 649 Home equity lines of credit 492 433 Total $ 9,353 $ 14,081 |
NOTE 6_ LOANS AND ALLOWANCE F56
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Allowance for Credit Losses on Financing Receivables (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Allowance for Credit Losses on Financing Receivables | The following table presents the activity in the allowance for loan losses by portfolio segment for the three and nine months ended September 30, 2017. Also presented are the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of September 30, 2017: One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for loan losses Balance July 1, 2017 $ 2,413 $ 3,655 $ 15,442 $ 1,711 $ 4,365 $ 8,947 $ 36,533 Provision (benefit) charged to expense 285 190 643 298 562 972 2,950 Losses charged off (74) (10) (357) -- (1,090) (3,151) (4,682) Recoveries 46 89 74 129 66 1,038 1,442 Balance September 30, 2017 $ 2,670 $ 3,924 $ 15,802 $ 2,138 $ 3,903 $ 7,806 $ 36,243 Balance January 1, 2017 $ 2,322 $ 5,486 $ 15,938 $ 2,284 $ 3,015 $ 8,355 $ 37,400 Provision (benefit) charged to expense 407 (1,708) 1,413 74 1,786 5,178 7,150 Losses charged off (150) (12) (1,649) (386) (1,365) (9,120) (12,682) Recoveries 91 158 100 166 467 3,393 4,375 Balance September 30, 2017 $ 2,670 $ 3,924 $ 15,802 $ 2,138 $ 3,903 $ 7,806 $ 36,243 Ending balance: Individually evaluated for impairment $ 571 $ -- $ 599 $ -- $ 2,396 $ 747 $ 4,313 Collectively evaluated for impairment $ 2,056 $ 3,887 $ 15,002 $ 2,040 $ 1,482 $ 6,993 $ 31,460 Loans acquired and accounted for under ASC 310-30 $ 43 $ 37 $ 201 $ 98 $ 25 $ 66 $ 470 Loans Individually evaluated for impairment $ 7,168 $ 3,390 $ 9,358 $ 315 $ 3,141 $ 4,429 $ 27,801 Collectively evaluated for impairment $ 344,016 $ 759,067 $ 1,226,139 $ 1,029,354 $ 383,511 $ 563,875 $ 4,305,962 Loans acquired and accounted for under ASC 310-30 $ 127,495 $ 20,655 $ 41,518 $ 4,175 $ 4,943 $ 28,366 $ 227,152 The following table presents the activity in the allowance for loan losses by portfolio segment for the three and nine months ended September 30, 2016: One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for loan losses Balance July 1, 2016 $ 4,184 $ 3,698 $ 16,157 $ 3,013 $ 3,531 $ 7,550 $ 38,133 Provision (benefit) charged to expense (738) 1,702 1,130 (1,238) (425) 2,069 2,500 Losses charged off (38) -- (1,815) (1) (191) (2,548) (4,593) Recoveries 23 15 17 80 33 794 962 Balance September 30, 2016 $ 3,431 $ 5,415 $ 15,489 $ 1,854 $ 2,948 $ 7,865 $ 37,002 Balance January 1, 2016 $ 4,900 $ 3,190 $ 14,738 $ 3,019 $ 4,203 $ 8,099 $ 38,149 Provision (benefit) charged to expense (1,387) 2,186 5,114 (1,252) (1,093) 3,333 6,901 Losses charged off (129) -- (5,546) (31) (383) (6,047) (12,136) Recoveries 47 39 1,183 118 221 2,480 4,088 Balance September 30, 2016 $ 3,431 $ 5,415 $ 15,489 $ 1,854 $ 2,948 $ 7,865 $ 37,002 The following table presents the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2016: One- to Four- Family Residential and Other Commercial Commercial Commercial Construction Residential Real Estate Construction Business Consumer Total (In Thousands) Allowance for loan losses Individually evaluated for impairment $ 570 $ -- $ 2,209 $ 1,291 $ 1,295 $ 997 $ 6,362 Collectively evaluated for impairment $ 1,628 $ 5,396 $ 13,507 $ 953 $ 1,681 $ 7,248 $ 30,413 Loans acquired and accounted for under ASC 310-30 $ 124 $ 90 $ 222 $ 40 $ 39 $ 110 $ 625 Loans Individually evaluated for impairment $ 6,015 $ 3,812 $ 10,507 $ 6,023 $ 4,539 $ 3,385 $ 34,281 Collectively evaluated for impairment $ 370,172 $ 659,566 $ 1,176,399 $ 825,215 $ 369,154 $ 669,602 $ 4,070,108 Loans acquired and accounted for under ASC 310-30 $ 155,378 $ 29,600 $ 54,208 $ 2,191 $ 6,429 $ 35,353 $ 283,159 |
NOTE 6_ LOANS AND ALLOWANCE F57
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Impaired Financing Receivables (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Impaired Financing Receivables | Impaired loans (excluding FDIC-assisted loans, net of discount), are summarized as follows: September 30, 2017 Unpaid Recorded Principal Specific Balance Balance Allowance (In Thousands) One- to four-family residential construction $ -- $ -- $ -- Subdivision construction 434 450 116 Land development 315 319 -- Commercial construction -- -- -- Owner occupied one- to four- family residential 3,441 3,740 351 Non-owner occupied one- to four- family residential 3,293 3,560 104 Commercial real estate 9,358 9,581 599 Other residential 3,390 3,390 -- Commercial business 3,141 4,311 2,396 Industrial revenue bonds -- -- -- Consumer auto 2,740 2,936 491 Consumer other 1,042 1,148 156 Home equity lines of credit 647 725 100 Total $ 27,801 $ 30,160 $ 4,313 Three Months Ended Nine Months Ended September 30, 2017 September 30, 2017 Average Average Investment Interest Investment Interest in Impaired Income in Impaired Income Loans Recognized Loans Recognized (In Thousands) One- to four-family residential construction $ -- $ -- $ 258 $ -- Subdivision construction 444 9 652 21 Land development 424 12 2,319 33 Commercial construction -- -- -- -- Owner occupied one- to four- family residential 3,440 44 3,384 124 Non-owner occupied one- to four- family residential 2,550 80 2,183 128 Commercial real estate 6,819 266 9,068 425 Other residential 3,457 27 3,660 102 Commercial business 5,580 35 6,148 161 Industrial revenue bonds -- -- -- -- Consumer auto 2,548 79 2,323 156 Consumer other 1,005 26 886 65 Home equity lines of credit 633 14 456 32 Total $ 26,900 $ 592 $ 31,337 $ 1,247 At or for the Year Ended December 31, 2016 Average Unpaid Investment Interest Recorded Principal Specific in Impaired Income Balance Balance Allowance Loans Recognized (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- $ -- Subdivision construction 818 829 131 948 46 Land development 6,023 6,120 1,291 8,020 304 Commercial construction -- -- -- -- -- Owner occupied one- to four- family residential 3,290 3,555 374 3,267 182 Non-owner occupied one- to four- family residential 1,907 2,177 65 1,886 113 Commercial real estate 10,507 12,121 2,209 23,928 984 Other residential 3,812 3,812 -- 6,813 258 Commercial business 4,539 4,652 1,295 2,542 185 Industrial revenue bonds -- -- -- -- -- Consumer auto 2,097 2,178 629 1,307 141 Consumer other 812 887 244 884 70 Home equity lines of credit 476 492 124 417 32 Total $ 34,281 $ 36,823 $ 6,362 $ 50,012 $ 2,315 September 30, 2016 Unpaid Recorded Principal Specific Balance Balance Allowance (In Thousands) One- to four-family residential construction $ -- $ -- $ -- Subdivision construction 851 860 133 Land development 9,051 9,146 1,079 Commercial construction -- -- -- Owner occupied one- to four- family residential 3,170 3,450 382 Non-owner occupied one- to four- family residential 1,865 2,119 51 Commercial real estate 13,369 16,269 2,280 Other residential 3,977 3,977 -- Commercial business 2,326 2,438 1,046 Industrial revenue bonds -- -- -- Consumer auto 1,632 1,751 245 Consumer other 886 959 133 Home equity lines of credit 383 396 63 Total $ 37,510 $ 41,365 $ 5,412 Three Months Ended Nine months Ended September 30, 2016 September 30, 2016 Average Average Investment Interest Investment Interest in Impaired Income in Impaired Income Loans Recognized Loans Recognized (In Thousands) One- to four-family residential construction $ -- $ -- $ -- $ -- Subdivision construction 924 6 987 36 Land development 9,066 120 8,016 266 Commercial construction -- -- -- -- Owner occupied one- to four- family residential 3,181 50 3,252 129 Non-owner occupied one- to four- family residential 1,947 31 1,877 83 Commercial real estate 22,325 223 28,133 847 Other residential 6,321 44 7,779 219 Commercial business 2,190 39 2,174 87 Industrial revenue bonds -- -- -- -- Consumer auto 1,434 55 1,123 93 Consumer other 864 27 876 56 Home equity lines of credit 395 3 422 22 Total $ 48,647 $ 598 $ 54,639 $ 1,838 |
NOTE 6_ LOANS AND ALLOWANCE F58
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Troubled Debt Restructurings on Financing Receivables (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Troubled Debt Restructurings on Financing Receivables | The following tables present newly restructured loans during the three and nine months ended September 30, 2017 and 2016, respectively, by type of modification: Three Months Ended September 30, 2017 Total Interest Only Term Combination Modification (In Thousands) Mortgage loans on real estate: Commercial $ -- $ -- $ 5,759 $ 5,759 Consumer -- 194 -- 194 $ -- $ 194 $ 5,759 $ 5,953 Nine Months Ended September 30, 2017 Total Interest Only Term Combination Modification (In Thousands) Mortgage loans on real estate: Commercial $ -- $ -- $ 5,759 $ 5,759 Commercial business -- -- 274 274 Consumer -- 199 -- 199 $ -- $ 199 $ 6,033 $ 6,232 Three Months Ended September 30, 2016 Total Interest Only Term Combination Modification (In Thousands) Consumer $ -- $ 18 $ -- $ 18 $ -- $ 18 $ -- $ 18 Nine Months Ended September 30, 2016 Total Interest Only Term Combination Modification (In Thousands) Mortgage loans on real estate: One -to four- family residential $ 429 $ -- $ -- $ 429 Commercial 60 -- -- 60 Construction and land development 2,946 -- -- 2,946 Commercial business -- 22 -- 22 Consumer -- 58 -- 58 $ 3,435 $ 80 $ -- $ 3,515 |
NOTE 6_ LOANS AND ALLOWANCE F59
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Financing Receivable Credit Quality Indicators (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Financing Receivable Credit Quality Indicators | The loan grading system is presented by loan class below: September 30, 2017 Special Satisfactory Watch Mention Substandard Doubtful Total (In Thousands) One- to four-family residential construction $ 19,645 $ 414 $ -- $ -- $ -- $ 20,059 Subdivision construction 15,346 2,356 -- 136 -- 17,838 Land development 40,540 4,800 -- -- -- 45,340 Commercial construction 984,329 -- -- -- -- 984,329 Owner occupied one- to four- family residential 188,106 37 -- 1,682 -- 189,825 Non-owner occupied one- to four- family residential 121,006 392 -- 2,064 -- 123,462 Commercial real estate 1,216,971 11,848 -- 6,678 -- 1,235,497 Other residential 758,347 4,110 -- -- -- 762,457 Commercial business 356,535 4,808 -- 2,695 -- 364,038 Industrial revenue bonds 22,614 -- -- -- -- 22,614 Consumer auto 391,732 -- -- 2,592 -- 394,324 Consumer other 62,842 -- -- 901 -- 63,743 Home equity lines of credit 109,602 -- -- 635 -- 110,237 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 165,618 -- -- 14 -- 165,632 Acquired non-covered loans, net of discounts 61,520 -- -- -- -- 61,520 Total $ 4,514,753 $ 28,765 $ -- $ 17,397 $ -- $ 4,560,915 December 31, 2016 Special Satisfactory Watch Mention Substandard Doubtful Total (In Thousands) One- to four-family residential construction $ 20,771 $ 966 $ -- $ -- $ -- $ 21,737 Subdivision construction 14,059 2,729 -- 398 -- 17,186 Land development 39,925 5,140 -- 5,559 -- 50,624 Commercial construction 780,614 -- -- -- -- 780,614 Owner occupied one- to-four- family residential 198,835 67 -- 1,438 -- 200,340 Non-owner occupied one- to- four-family residential 135,930 465 -- 529 -- 136,924 Commercial real estate 1,160,280 20,154 -- 6,472 -- 1,186,906 Other residential 658,846 4,370 -- 162 -- 663,378 Commercial business 342,685 2,651 -- 3,292 -- 348,628 Industrial revenue bonds 25,065 -- -- -- -- 25,065 Consumer auto 492,165 -- -- 2,068 -- 494,233 Consumer other 69,338 -- -- 663 -- 70,001 Home equity lines of credit 108,290 -- -- 463 -- 108,753 Acquired FDIC-covered loans, net of discounts 134,356 -- -- -- -- 134,356 Acquired loans no longer covered by FDIC loss sharing agreements, net of discounts 72,552 -- -- 17 -- 72,569 Acquired non-covered loans, net of discounts 76,234 -- -- -- -- 76,234 Total $ 4,329,945 $ 36,542 $ -- $ 21,061 $ -- $ 4,387,548 |
NOTE 7_ ACQUIRED LOANS, LOSS 60
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Schedule of Impact of Adjustments of Acquired Loans on Financial Results (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Impact of Adjustments of Acquired Loans on Financial Results | The impact of adjustments on the CompanyÂ’s financial results is shown below: Three Months Ended Three Months Ended September 30, 2017 September 30, 2016 (In Thousands, Except Per Share Data and Basis Points Data) Impact on net interest income/ net interest margin (in basis points) $ 975 9 bps $ 4,010 38 bps Non-interest income -- (1,310) Net impact to pre-tax income $ 975 $ 2,700 Net impact net of taxes $ 621 $ 1,755 Impact to diluted earnings per common share $ 0.04 $ 0.12 Nine Months Ended Nine Months Ended September 30, 2017 September 30, 2016 (In Thousands, Except Per Share Data and Basis Points Data) Impact on net interest income/ net interest margin (in basis points) $ 4,237 14 bps $ 13,251 44 bps Non-interest income (634) (6,019) Net impact to pre-tax income $ 3,603 $ 7,232 Net impact net of taxes $ 2,295 $ 4,701 Impact to diluted earnings per common share $ 0.16 $ 0.33 |
NOTE 7_ ACQUIRED LOANS, LOSS 61
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: FDIC Indemnification Asset Roll Forward (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
TeamBank | |
FDIC Indemnification Asset Roll Forward | September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 14,520 $ -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (649) -- Original estimated fair value of assets, net of activity since acquisition date (13,721) -- Expected loss remaining $ 150 $ -- December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 18,838 $ 14 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (846) -- Original estimated fair value of assets, net of activity since acquisition date (17,833) (14) Expected loss remaining $ 159 $ -- |
Vantus Bank | |
FDIC Indemnification Asset Roll Forward | September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 19,789 $ 15 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (153) -- Original estimated fair value of assets, net of activity since acquisition date (19,406) (15) Expected loss remaining $ 230 $ -- December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 23,712 $ 15 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (239) -- Original estimated fair value of assets, net of activity since acquisition date (23,232) (15) Expected loss remaining $ 241 $ -- |
Sun Security Bank | |
FDIC Indemnification Asset Roll Forward | September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 27,908 $ 330 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (590) -- Original estimated fair value of assets, net of activity since acquisition date (26,317) (323) Expected loss remaining $ 1,001 $ 7 December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 33,579 $ 365 Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (1,086) -- Original estimated fair value of assets, net of activity since acquisition date (31,499) (286) Expected loss remaining $ 994 $ 79 |
InterBank | |
FDIC Indemnification Asset Roll Forward | September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 120,439 $ 2,782 Non-credit premium/(discount), net of activity since acquisition date 333 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (736) -- Original estimated fair value of assets, net of activity since acquisition date (106,185) (2,523) Expected loss remaining $ 13,851 $ 259 December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis for loss sharing determination, net of activity since acquisition date $ 149,657 $ 1,417 Non-credit premium/(discount), net of activity since acquisition date 543 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (1,984) -- Original estimated fair value of assets, net of activity since acquisition date (134,355) (1,417) Expected loss remaining 13,861 -- Assumed loss sharing recovery percentage 84% -- Estimated loss sharing value 11,644 -- FDIC loss share clawback 953 -- Indemnification asset to be amortized resulting from change in expected losses 1,586 -- Accretable discount on FDIC indemnification asset (1,038) -- FDIC indemnification asset $ 13,145 $ -- |
Valley Bank | |
FDIC Indemnification Asset Roll Forward | September 30, 2017 Foreclosed Loans Assets (In Thousands) Initial basis, net of activity since acquisition date $ 67,346 $ 1,780 Non-credit premium/(discount), net of activity since acquisition date 39 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (537) -- Original estimated fair value of assets, net of activity since acquisition date (61,517) (1,773) Expected loss remaining $ 5,331 $ 7 December 31, 2016 Foreclosed Loans Assets (In Thousands) Initial basis, net of activity since acquisition date $ 84,283 $ 1,973 Non-credit premium/(discount), net of activity since acquisition date 228 -- Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) (2,121) -- Original estimated fair value of assets, net of activity since acquisition date (76,231) (1,952) Expected loss remaining $ 6,159 $ 21 |
NOTE 7_ ACQUIRED LOANS, LOSS 62
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Schedule of Accretable Yield Changes for Acquired Loans (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Accretable Yield Changes for Acquired Loans | Changes in the accretable yield for acquired loan pools were as follows for the three and nine months ended September 30, 2017 and 2016: Sun Security TeamBank Vantus Bank Bank InterBank Valley Bank (In Thousands) Balance, July 1, 2016 $ 2,886 $ 3,217 $ 5,014 $ 11,818 $ 6,524 Accretion (461) (415) (854) (3,163) (3,311) Change in expected accretable yield (1) 301 (72) 587 1,454 2,838 Balance, September 30, 2016 $ 2,726 $ 2,730 $ 4,747 $ 10,109 $ 6,051 Balance, July 1, 2017 $ 2,303 $ 2,180 $ 3,686 $ 5,414 $ 3,313 Accretion (352) (310) (561) (1,688) (1,378) Change in expected accretable yield (1) 287 211 (270) 625 889 Balance, September 30, 2017 $ 2,238 $ 2,081 $ 2,855 $ 4,351 $ 2,824 (1) Represents increases in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit losses. The amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the three months ended September 30, 2017, totaling $268,000, $204,000, $(270,000), $625,000 and $444,000, respectively, and for the three months ended September 30, 2016, totaling $301,000, $(87,000), $373,000, $764,000 and $326,000, respectively. Sun Security TeamBank Vantus Bank Bank InterBank Valley Bank (In Thousands) Balance, January 1, 2016 $ 3,805 $ 3,360 $ 5,924 $ 16,347 $ 8,316 Accretion (1,492) (1,406) (2,904) (11,279) (9,174) Change in expected accretable yield (1) 413 776 1,727 5,041 6,909 Balance, September 30, 2016 $ 2,726 $ 2,730 $ 4,747 $ 10,109 $ 6,051 Balance, January 1, 2017 $ 2,477 $ 2,547 $ 4,277 $ 8,512 $ 4,797 Accretion (1,319) (1,048) (1,757) (5,850) (4,772) Change in expected accretable yield (1) 1,080 582 335 1,689 2,799 Balance, September 30, 2017 $ 2,238 $ 2,081 $ 2,855 $ 4,351 $ 2,824 (1) Represents increases in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit losses. The amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the nine months ended September 30, 2017, totaling $1.1 million, $569,000, $335,000, $1.7 million and $2.2 million, respectively, and for the nine months ended September 30, 2016, totaling $414,000, $760,000, $1.3 million, $2.0 million and $1.4 million, respectively. |
Note 8_ Other Real Estate Own63
Note 8: Other Real Estate Owned: Schedule of Major Classifications of Foreclosed Assets (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Major Classifications of Foreclosed Assets | Major classifications of other real estate owned were as follows: September 30, December 31, 2017 2016 (In Thousands) Foreclosed assets held for sale One- to four-family construction $ -- $ -- Subdivision construction 5,118 6,360 Land development 10,052 10,886 Commercial construction -- -- One- to four-family residential 203 1,217 Other residential 161 954 Commercial real estate 3,214 3,841 Commercial business 2,876 -- Consumer 1,793 1,991 23,417 25,249 FDIC-supported foreclosed assets, net of discounts -- 1,426 Acquired foreclosed assets no longer covered by FDIC loss sharing agreements, net of discounts 2,861 316 Acquired foreclosed assets not covered by FDIC loss sharing agreements, net of discounts 1,774 1,952 Foreclosed assets held for sale, net 28,052 28,943 Other real estate owned not acquired through foreclosure 2,064 3,715 Other real estate owned $ 30,116 $ 32,658 |
Note 8_ Other Real Estate Own64
Note 8: Other Real Estate Owned: Schedule of Expenses Applicable to Foreclosed Assets (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Expenses Applicable to Foreclosed Assets | Expenses applicable to other real estate owned included the following: Three Months Ended September 30, 2017 2016 (In Thousands) Net (gain) loss on sales of other real estate owned $ (110) $ 43 Valuation write-downs 462 338 Operating expenses, net of rental income 991 917 $ 1,343 $ 1,298 Nine Months Ended September 30, 2017 2016 (In Thousands) Net gain on sales of other real estate owned $ (576) $ (168) Valuation write-downs -- 430 Operating expenses, net of rental income 3,171 2,821 $ 2,595 $ 3,083 |
Note 9_ Deposits_ Schedule of D
Note 9: Deposits: Schedule of Deposit Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Deposit Liabilities | September 30, December 31, 2017 2016 (In Thousands) Time Deposits: 0.00% - 0.99% $ 337,641 $ 695,738 1.00% - 1.99% 927,464 737,649 2.00% - 2.99% 95,953 48,777 3.00% - 3.99% 696 1,119 4.00% - 4.99% 1,119 1,171 5.00% and above 272 272 Total time deposits (1.17% - 1.01%) 1,363,145 1,484,726 Non-interest-bearing demand deposits 668,164 653,288 Interest-bearing demand and savings deposits (0.31% - 0.26%) 1,566,904 1,539,216 Total Deposits $ 3,598,213 $ 3,677,230 |
Note 10_ Advances From Federa66
Note 10: Advances From Federal Home Loan Bank: Federal Home Loan Bank, Advances (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Federal Home Loan Bank, Advances | Advances from the Federal Home Loan Bank (FHLBank advances) at September 30, 2017 and December 31, 2016 consisted of the following: September 30, 2017 December 31, 2016 Weighted Weighted Average Average Interest Interest Due In Amount Rate Amount Rate (In Thousands) (In Thousands) 2017 $ 174,000 1.26% $ 30,826 3.26% 2018 -- -- 81 5.14 2019 -- -- 28 5.14 2020 -- -- -- -- 2021 -- -- -- -- 2022 and thereafter -- -- 500 5.54 174,000 1.26 31,435 3.30 Unamortized fair value adjustment -- 17 $ 174,000 $ 31,452 |
Note 11_ Securities Sold Unde67
Note 11: Securities Sold Under Reverse Repurchase Agreements and Short-term Borrowings: Schedule of Short-term Debt (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Short-term Debt | September 30, 2017 December 31, 2016 (In Thousands) Notes payable – Community Development Equity Funds $ 1,665 $ 1,323 Overnight borrowings from the Federal Home Loan Bank 21,000 171,000 Securities sold under reverse repurchase agreements 130,934 113,700 $ 153,599 $ 286,023 |
Note 11_ Securities Sold Unde68
Note 11: Securities Sold Under Reverse Repurchase Agreements and Short-term Borrowings: Schedule of Repurchase Agreements (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Repurchase Agreements | September 30, 2017 December 31, 2016 Overnight and Overnight and Continuous Continuous (In Thousands) FHLBank CD $ 9,631 $ 16,202 Mortgage-backed securities – GNMA, FNMA, FHLMC 121,303 97,498 $ 130,934 $ 113,700 |
Note 12_ Subordinated Notes_ Sc
Note 12: Subordinated Notes: Schedule of Subordinated Borrowing (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Subordinated Borrowing | At September 30, 2017 and December 31, 2016, Subordinated Notes are summarized as follows: September 30, 2017 December 31, 2016 (In Thousands) Subordinated notes $ 75,000 $ 75,000 Less: unamortized debt issuance costs 1,349 1,463 $ 73,651 $ 73,537 |
Note 13_ Income Taxes_ Schedule
Note 13: Income Taxes: Schedule of Effective Income Tax Rate Reconciliation (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Effective Income Tax Rate Reconciliation | Reconciliations of the CompanyÂ’s effective tax rates to the statutory corporate tax rates were as follows: Three Months Ended September 30, 2017 2016 Tax at statutory rate 35.0% 35.0% Nontaxable interest and dividends (1.6) (2.1) Tax credits (7.8) (7.6) State taxes 1.1 1.1 Other 0.2 (1.4) 26.9% 25.0% Nine Months Ended September 30, 2017 2016 Tax at statutory rate 35.0% 35.0% Nontaxable interest and dividends (1.5) (2.1) Tax credits (5.9) (7.5) State taxes 1.3 1.1 Other (0.6) (0.2) 28.3% 26.3% |
Note 14_ Disclosures About Fa71
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Measurement, Policy: Fair Value, Assets Measured on Recurring Basis (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Fair Value, Assets Measured on Recurring Basis | Fair value measurements using Quoted prices in active markets Other Significant for identical observable unobservable assets inputs inputs Fair value (Level 1) (Level 2) (Level 3) (In Thousands) September 30, 2017 Mortgage-backed securities $ 125,810 $ -- $ 125,810 $ -- States and political subdivisions 58,158 -- 58,158 -- Interest rate derivative asset 1,360 -- 1,360 -- Interest rate derivative liability (1,441) -- (1,441) -- December 31, 2016 Mortgage-backed securities $ 146,035 $ -- $ 146,035 $ -- States and political subdivisions 67,837 -- 67,837 -- Interest rate derivative asset 1,663 -- 1,663 -- Interest rate derivative liability (1,699) -- (1,699) -- |
Note 14_ Disclosures About Fa72
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Measurement, Policy: Fair Value, Assets and Liabilities Measured on Nonrecurring Basis (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis | The following tables present the fair value measurements of assets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at September 30, 2017 and December 31, 2016: Fair Value Measurements Using Quoted prices in active markets Other Significant for identical observable unobservable assets inputs inputs Fair value (Level 1) (Level 2) (Level 3) (In Thousands) September 30, 2017 Impaired loans $ 1,573 $ -- $ -- $ 1,573 Foreclosed assets held for sale $ 2,700 $ -- $ -- $ 2,700 December 31, 2016 Impaired loans $ 8,280 $ -- $ -- $ 8,280 Foreclosed assets held for sale $ 1,604 $ -- $ -- $ 1,604 |
Note 14_ Disclosures About Fa73
Note 14: Disclosures About Fair Value of Financial Instruments: Schedule Of Financial Instruments Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule Of Financial Instruments Fair Value | September 30, 2017 December 31, 2016 Carrying Fair Hierarchy Carrying Fair Hierarchy Amount Value Level Amount Value Level (In Thousands) Financial assets Cash and cash equivalents $ 256,672 $ 256,672 1 $ 279,769 $ 279,769 1 Held-to-maturity securities 130 133 2 247 258 2 Mortgage loans held for sale 11,133 11,133 2 16,445 16,445 2 Loans, net of allowance for loan losses 3,800,988 3,809,339 3 3,759,966 3,766,709 3 Accrued interest receivable 11,206 11,206 3 11,875 11,875 3 Investment in FHLBank stock 13,282 13,282 3 13,034 13,034 3 Financial liabilities Deposits 3,598,213 3,606,276 3 3,677,230 3,683,751 3 FHLBank advances 174,000 174,000 3 31,452 32,379 3 Short-term borrowings 153,599 153,599 3 286,023 286,023 3 Subordinated debentures 25,774 25,774 3 25,774 25,774 3 Subordinated notes 73,651 76,125 2 73,537 76,031 2 Accrued interest payable 1,693 1,693 3 2,723 2,723 3 Unrecognized financial instruments (net of contractual value) Commitments to originate loans -- -- 3 -- -- 3 Letters of credit 74 74 3 92 92 3 Lines of credit -- -- 3 -- -- 3 |
Note 15_ Derivatives and Hedg74
Note 15: Derivatives and Hedging Activities: Schedule of Derivative Instruments in Statement of Financial Position, Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The table below presents the fair value of the CompanyÂ’s derivative financial instruments as well as their classification on the Consolidated Statements of Financial Condition: Location in Fair Value Consolidated Statements September 30, December 31, of Financial Condition 2017 2016 (In Thousands) Derivatives designated as hedging instruments Interest rate caps Prepaid expenses and other assets $ -- $ 40 Total derivatives designated as hedging instruments $ -- $ 40 Derivatives not designated as hedging instruments Asset Derivatives Interest rate products Prepaid expenses and other assets $ 1,360 $ 1,623 Total derivatives not designated as hedging instruments $ 1,360 $ 1,623 Liability Derivatives Interest rate products Accrued expenses and other liabilities $ 1,441 $ 1,699 Total derivatives not designated as hedging instruments $ 1,441 $ 1,699 |
Note 15_ Derivatives and Hedg75
Note 15: Derivatives and Hedging Activities: Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Tables/Schedules | |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) | The following table presents the effect of derivative instruments on the statements of comprehensive income for the three and nine months ended September 30, 2017 and 2016: Amount of Gain (Loss) Recognized in AOCI Three Months Ended September 30, Cash Flow Hedges 2017 2016 (In Thousands) Interest rate cap, net of income taxes $ 64 $ 53 Amount of Gain (Loss) Recognized in AOCI Nine Months Ended September 30, Cash Flow Hedges 2017 2016 (In Thousands) Interest rate cap, net of income taxes $ 161 $ 37 |
NOTE 4_ EARNINGS PER SHARE_ S76
NOTE 4: EARNINGS PER SHARE: Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Details | ||||
Weighted Average Number of Shares Outstanding, Basic | 14,038 | 13,914 | 14,007 | 13,906 |
Net Income (Loss) Available to Common Stockholders, Basic | $ 11,663 | $ 11,221 | $ 39,358 | $ 33,548 |
Earnings Per Share, Basic | $ 0.83 | $ 0.81 | $ 2.81 | $ 2.41 |
Weighted Average Number of Shares Outstanding, Diluted | 14,038 | 13,914 | 14,007 | 13,906 |
Net effect of dilutive stock options - based on the treasurystock method using average market price | 186 | 140 | 186 | 140 |
Weighted Average Number Diluted Shares Outstanding Adjustment | 14,224 | 14,054 | 14,193 | 14,046 |
Net Income (Loss) Available to Common Stockholders, Diluted | $ 11,663 | $ 11,221 | $ 39,358 | $ 33,548 |
Earnings Per Share, Diluted | $ 0.82 | $ 0.80 | $ 2.77 | $ 2.39 |
Net Income (Loss) Available to Common Stockholders, Basic | $ 11,663 | $ 11,221 | $ 39,358 | $ 33,548 |
NOTE 4_ EARNINGS PER SHARE_ E77
NOTE 4: EARNINGS PER SHARE: Earnings Per Share, Policy (Details) - shares | 3 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Details | ||
Options to purchase shares of common stock outstanding not included in computation of diluted earnings per share because exercise price greater than average market price | 114,300 | 111,425 |
NOTE 5_ INVESTMENT SECURITIES78
NOTE 5: INVESTMENT SECURITIES: Investment Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Available For Sale Securities Amortized Cost Amount | $ 180,977 | |
Available for Sale Securities Fair Value | 183,968 | |
Held-to-maturity Securities, Fair Value | 133 | $ 258 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises | ||
Available For Sale Securities Amortized Cost Amount | 125,924 | 146,491 |
Available-for-sale Securities, Gross Unrealized Gain | 999 | 1,045 |
Available-for-sale Securities, Gross Unrealized Loss | 1,113 | 1,501 |
Available for Sale Securities Fair Value | $ 125,810 | $ 146,035 |
Available for Sale Securities Tax Equivalent Yield | 2.08% | 2.03% |
US States and Political Subdivisions Debt Securities | ||
Available For Sale Securities Amortized Cost Amount | $ 55,053 | $ 64,682 |
Available-for-sale Securities, Gross Unrealized Gain | 3,105 | 3,163 |
Available-for-sale Securities, Gross Unrealized Loss | 0 | 8 |
Available for Sale Securities Fair Value | $ 58,158 | $ 67,837 |
Available for Sale Securities Tax Equivalent Yield | 5.60% | 5.73% |
Held to Maturity Securities Amortized Cost | $ 130 | $ 247 |
Held to Maturity Securities Gross Unrealized Gains | 3 | 11 |
Held to Maturity Securities Gross Unrealized Losses | 0 | 0 |
Held-to-maturity Securities, Fair Value | $ 133 | $ 258 |
Held to Maturity Securities Tax Equivalent Yield | 7.37% | 7.36% |
Available-for-sale Securities | ||
Available For Sale Securities Amortized Cost Amount | $ 180,977 | $ 211,173 |
Available-for-sale Securities, Gross Unrealized Gain | 4,104 | 4,208 |
Available-for-sale Securities, Gross Unrealized Loss | 1,113 | 1,509 |
Available for Sale Securities Fair Value | $ 183,968 | $ 213,872 |
Available for Sale Securities Tax Equivalent Yield | 3.15% | 3.16% |
NOTE 5_ INVESTMENT SECURITIES79
NOTE 5: INVESTMENT SECURITIES: Investments Classified by Contractual Maturity Date (Details) $ in Thousands | 3 Months Ended |
Sep. 30, 2017USD ($) | |
Details | |
Available-for-sale Securities, Debt Maturities, Next Twelve Months, Amortized Cost Basis | $ 0 |
Available-for-sale Securities, Debt Maturities, Next Twelve Months, Fair Value | 0 |
Available-for-sale Securities, Debt Maturities, Year Two Through Five, Amortized Cost Basis | 803 |
Available-for-sale Securities, Debt Maturities, Year Two Through Five, Fair Value | 904 |
Available-for-sale Securities, Debt Maturities, Year Six Through Ten, Amortized Cost Basis | 6,405 |
Available-for-sale Securities, Debt Maturities, Year Six Through Ten, Fair Value | 6,684 |
Available-for-sale Securities, Debt Maturities, after Ten Years, Amortized Cost Basis | 47,845 |
Available-for-sale Securities, Debt Maturities, after Ten Years, Fair Value | 50,570 |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Amortized Cost Basis | 125,924 |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | 125,810 |
Available For Sale Securities Amortized Cost Amount | 180,977 |
Available for Sale Securities Fair Value | $ 183,968 |
NOTE 5_ INVESTMENT SECURITIES80
NOTE 5: INVESTMENT SECURITIES: Contractual Obligation, Fiscal Year Maturity Schedule (Details) $ in Thousands | Sep. 30, 2017USD ($) |
Details | |
Held-to-maturity Securities, Debt Maturities, after One Through Five Years, Net Carrying Amount | $ 130 |
Held-to-maturity Securities, Debt Maturities, Year Two Through Five, Fair Value | $ 133 |
NOTE 5_ INVESTMENT SECURITIES81
NOTE 5: INVESTMENT SECURITIES: Unrealized Gain (Loss) on Investments (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Collateralized Mortgage Backed Securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 69,870 | $ 102,296 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (689) | (1,501) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 20,706 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (424) | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 90,576 | 102,296 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | (1,113) | (1,501) |
US States and Political Subdivisions Debt Securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 2,164 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 0 | (8) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 0 | 2,164 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 0 | (8) |
Unrealized Losses and Estimated Fair Value | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 69,870 | 104,460 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (689) | (1,509) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 20,706 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (424) | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 90,576 | 104,460 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (1,113) | $ (1,509) |
NOTE 5_ INVESTMENT SECURITIES82
NOTE 5: INVESTMENT SECURITIES: Gross Gains and Losses on Sales of Available for Sale Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Details | ||||
Available-for-sale Securities, Gross Realized Gains | $ 0 | $ 158 | $ 0 | $ 3,000 |
Available-for-sale Securities, Gross Realized Losses | $ 0 | $ 15 | $ 0 | $ 103 |
NOTE 5_ INVESTMENT SECURITIES83
NOTE 5: INVESTMENT SECURITIES: Other than temporary impairment securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2017 | Sep. 30, 2017 | |
Details | ||
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities | $ 0 | $ 0 |
NOTE 5_ INVESTMENT SECURITIES84
NOTE 5: INVESTMENT SECURITIES: Credit Losses Recognized on Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2017 | Sep. 30, 2017 | |
Details | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings, Reductions, Securities Sold | $ 0 | $ 0 |
NOTE 5_ INVESTMENT SECURITIES85
NOTE 5: INVESTMENT SECURITIES: Other than Temporary Impairment, Credit Losses Recognized in Earnings (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Reclassifications out of accumulated other comprehensive income | $ 0 | $ 91 | $ 0 | $ 1,835 |
Reclassification out of Accumulated Other Comprehensive Income | Net Realized Gains on Sales of Available for Sale Securities Reclassified Amount Before Tax | ||||
Available-for-sale Securities, Gross Unrealized Gain | 0 | 144 | 0 | 2,881 |
Reclassification out of Accumulated Other Comprehensive Income | Provision for Income Taxes | ||||
Income Taxes Paid | $ 0 | $ (53) | $ 0 | $ (1,046) |
NOTE 6_ LOANS AND ALLOWANCE F86
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Schedule of Accounts, Notes, Loans and Financing Receivable (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Loans Receivable weighted average interest rate | 4.68% | 4.58% |
Automobile Loan | ||
Loans Receivable | $ 394,324 | $ 494,233 |
One-to-Four-Family Residential Construction | ||
Loans Receivable | 20,059 | 21,737 |
Subdivision Construction | ||
Loans Receivable | 17,838 | 17,186 |
Land Development | ||
Loans Receivable | 45,340 | 50,624 |
Commercial Construction | ||
Loans Receivable | 984,329 | 780,614 |
Owner Occupied One-to-Four-Family Residential | ||
Loans Receivable | 189,825 | 200,340 |
Non-Owner Occupied One To Four Family Residential | ||
Loans Receivable | 123,462 | 136,924 |
Commercial Real Estate | ||
Loans Receivable | 1,235,497 | 1,186,906 |
Other Residential | ||
Loans Receivable | 762,457 | 663,378 |
Commercial Business | ||
Loans Receivable | 364,038 | 348,628 |
Industrial Revenue Bonds | ||
Loans Receivable | 22,614 | 25,065 |
Consumer Loan | ||
Loans Receivable | 63,743 | 70,001 |
Home Equity Line of Credit | ||
Loans Receivable | 110,237 | 108,753 |
Acquired FDIC Covered Loans Net of Discount | ||
Loans Receivable | 0 | 134,356 |
Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Loans Receivable | 165,632 | 72,569 |
Acquired Non-Covered Loans Net of Discounts | ||
Loans Receivable | 61,520 | 76,234 |
Loans Receivable, Gross | ||
Loans Receivable | 4,560,915 | 4,387,548 |
Undisbursed Portion of Loans in Process | ||
Loans Receivable | (717,776) | (585,313) |
Allowance for Loans and Leases Receivable | ||
Loans Receivable | (36,243) | (37,400) |
Deferred Loan Fees and Gains Net | ||
Loans Receivable | (5,908) | (4,869) |
Loans Receivable | ||
Loans Receivable | $ 3,800,988 | $ 3,759,966 |
NOTE 6_ LOANS AND ALLOWANCE F87
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Schedule of Loans Classified by Aging Analysis (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Financing Receivables, 30 to 59 Days Past Due | Automobile Loan | ||
Financing Receivables, By Class | $ 4,736 | $ 8,252 |
Financing Receivables, 30 to 59 Days Past Due | One-to-Four-Family Residential Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 30 to 59 Days Past Due | Subdivision Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 30 to 59 Days Past Due | Land Development | ||
Financing Receivables, By Class | 41 | 413 |
Financing Receivables, 30 to 59 Days Past Due | Commercial Construction | ||
Financing Receivables, By Class | 15 | 0 |
Financing Receivables, 30 to 59 Days Past Due | Owner Occupied One-to-Four-Family Residential | ||
Financing Receivables, By Class | 362 | 1,760 |
Financing Receivables, 30 to 59 Days Past Due | Non-Owner Occupied One To Four Family Residential | ||
Financing Receivables, By Class | 0 | 309 |
Financing Receivables, 30 to 59 Days Past Due | Commercial Real Estate | ||
Financing Receivables, By Class | 4,154 | 1,969 |
Financing Receivables, 30 to 59 Days Past Due | Other Residential | ||
Financing Receivables, By Class | 0 | 4,632 |
Financing Receivables, 30 to 59 Days Past Due | Commercial Business | ||
Financing Receivables, By Class | 80 | 1,741 |
Financing Receivables, 30 to 59 Days Past Due | Industrial Revenue Bonds | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 30 to 59 Days Past Due | Consumer Loan | ||
Financing Receivables, By Class | 409 | 1,103 |
Financing Receivables, 30 to 59 Days Past Due | Home Equity Line of Credit | ||
Financing Receivables, By Class | 338 | 136 |
Financing Receivables, 30 to 59 Days Past Due | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Financing Receivables, By Class | 715 | 1,356 |
Financing Receivables, 30 to 59 Days Past Due | Acquired Non-Covered Loans Net of Discounts | ||
Financing Receivables, By Class | 503 | 851 |
Financing Receivables, 30 to 59 Days Past Due | Loans Receivable, Gross | ||
Financing Receivables, By Class | 11,353 | 26,998 |
Financing Receivables, 30 to 59 Days Past Due | Less FDIC-assisted acquired loans, net of discounts | ||
Financing Receivables, By Class | 1,218 | |
Financing Receivables, 30 to 59 Days Past Due | Loans Receivable | ||
Financing Receivables, By Class | 10,135 | 20,315 |
Financing Receivables, 30 to 59 Days Past Due | Acquired FDIC Covered Loans Net of Discount | ||
Financing Receivables, By Class | 4,476 | |
Financing Receivables, 30 to 59 Days Past Due | Less FDIC Supported Loans and Acquired Not Covered Loans Net Of Discounts | ||
Financing Receivables, By Class | 6,683 | |
Financing Receivables, 60 to 89 Days Past Due | Automobile Loan | ||
Financing Receivables, By Class | 1,301 | 2,451 |
Financing Receivables, 60 to 89 Days Past Due | One-to-Four-Family Residential Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 60 to 89 Days Past Due | Subdivision Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 60 to 89 Days Past Due | Land Development | ||
Financing Receivables, By Class | 0 | 584 |
Financing Receivables, 60 to 89 Days Past Due | Commercial Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 60 to 89 Days Past Due | Owner Occupied One-to-Four-Family Residential | ||
Financing Receivables, By Class | 238 | 388 |
Financing Receivables, 60 to 89 Days Past Due | Non-Owner Occupied One To Four Family Residential | ||
Financing Receivables, By Class | 0 | 278 |
Financing Receivables, 60 to 89 Days Past Due | Commercial Real Estate | ||
Financing Receivables, By Class | 2,167 | 1,988 |
Financing Receivables, 60 to 89 Days Past Due | Other Residential | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 60 to 89 Days Past Due | Commercial Business | ||
Financing Receivables, By Class | 1,494 | 24 |
Financing Receivables, 60 to 89 Days Past Due | Industrial Revenue Bonds | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, 60 to 89 Days Past Due | Consumer Loan | ||
Financing Receivables, By Class | 119 | 278 |
Financing Receivables, 60 to 89 Days Past Due | Home Equity Line of Credit | ||
Financing Receivables, By Class | 25 | 158 |
Financing Receivables, 60 to 89 Days Past Due | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Financing Receivables, By Class | 1,016 | 552 |
Financing Receivables, 60 to 89 Days Past Due | Acquired Non-Covered Loans Net of Discounts | ||
Financing Receivables, By Class | 57 | 173 |
Financing Receivables, 60 to 89 Days Past Due | Loans Receivable, Gross | ||
Financing Receivables, By Class | 6,417 | 8,075 |
Financing Receivables, 60 to 89 Days Past Due | Less FDIC-assisted acquired loans, net of discounts | ||
Financing Receivables, By Class | 1,073 | |
Financing Receivables, 60 to 89 Days Past Due | Loans Receivable | ||
Financing Receivables, By Class | 5,344 | 6,149 |
Financing Receivables, 60 to 89 Days Past Due | Acquired FDIC Covered Loans Net of Discount | ||
Financing Receivables, By Class | 1,201 | |
Financing Receivables, 60 to 89 Days Past Due | Less FDIC Supported Loans and Acquired Not Covered Loans Net Of Discounts | ||
Financing Receivables, By Class | 1,926 | |
Financing Receivables, Equal to Greater than 90 Days Past Due | Automobile Loan | ||
Financing Receivables, By Class | 2,425 | 1,989 |
Financing Receivables, Equal to Greater than 90 Days Past Due | One-to-Four-Family Residential Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Subdivision Construction | ||
Financing Receivables, By Class | 102 | 109 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Land Development | ||
Financing Receivables, By Class | 34 | 1,718 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Commercial Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Owner Occupied One-to-Four-Family Residential | ||
Financing Receivables, By Class | 916 | 1,125 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Non-Owner Occupied One To Four Family Residential | ||
Financing Receivables, By Class | 1,840 | 404 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Commercial Real Estate | ||
Financing Receivables, By Class | 568 | 4,404 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Other Residential | ||
Financing Receivables, By Class | 77 | 162 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Commercial Business | ||
Financing Receivables, By Class | 2,180 | 3,088 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Industrial Revenue Bonds | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Consumer Loan | ||
Financing Receivables, By Class | 809 | 649 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Home Equity Line of Credit | ||
Financing Receivables, By Class | 508 | 433 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Financing Receivables, By Class | 1,984 | 1,401 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired Non-Covered Loans Net of Discounts | ||
Financing Receivables, By Class | 2,731 | 2,854 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Loans Receivable, Gross | ||
Financing Receivables, By Class | 14,174 | 26,562 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Less FDIC-assisted acquired loans, net of discounts | ||
Financing Receivables, By Class | 4,715 | |
Financing Receivables, Equal to Greater than 90 Days Past Due | Loans Receivable | ||
Financing Receivables, By Class | 9,459 | 14,081 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired FDIC Covered Loans Net of Discount | ||
Financing Receivables, By Class | 8,226 | |
Financing Receivables, Equal to Greater than 90 Days Past Due | Less FDIC Supported Loans and Acquired Not Covered Loans Net Of Discounts | ||
Financing Receivables, By Class | 12,481 | |
Financing Receivables Past Due | Automobile Loan | ||
Financing Receivables, By Class | 8,462 | 12,692 |
Financing Receivables Past Due | One-to-Four-Family Residential Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Past Due | Subdivision Construction | ||
Financing Receivables, By Class | 102 | 109 |
Financing Receivables Past Due | Land Development | ||
Financing Receivables, By Class | 75 | 2,715 |
Financing Receivables Past Due | Commercial Construction | ||
Financing Receivables, By Class | 15 | 0 |
Financing Receivables Past Due | Owner Occupied One-to-Four-Family Residential | ||
Financing Receivables, By Class | 1,516 | 3,273 |
Financing Receivables Past Due | Non-Owner Occupied One To Four Family Residential | ||
Financing Receivables, By Class | 1,840 | 991 |
Financing Receivables Past Due | Commercial Real Estate | ||
Financing Receivables, By Class | 6,889 | 8,361 |
Financing Receivables Past Due | Other Residential | ||
Financing Receivables, By Class | 77 | 4,794 |
Financing Receivables Past Due | Commercial Business | ||
Financing Receivables, By Class | 3,754 | 4,853 |
Financing Receivables Past Due | Industrial Revenue Bonds | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Past Due | Consumer Loan | ||
Financing Receivables, By Class | 1,337 | 2,030 |
Financing Receivables Past Due | Home Equity Line of Credit | ||
Financing Receivables, By Class | 871 | 727 |
Financing Receivables Past Due | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Financing Receivables, By Class | 3,715 | 3,309 |
Financing Receivables Past Due | Acquired Non-Covered Loans Net of Discounts | ||
Financing Receivables, By Class | 3,291 | 3,878 |
Financing Receivables Past Due | Loans Receivable, Gross | ||
Financing Receivables, By Class | 31,944 | 61,635 |
Financing Receivables Past Due | Less FDIC-assisted acquired loans, net of discounts | ||
Financing Receivables, By Class | 7,006 | |
Financing Receivables Past Due | Loans Receivable | ||
Financing Receivables, By Class | 24,938 | 40,545 |
Financing Receivables Past Due | Acquired FDIC Covered Loans Net of Discount | ||
Financing Receivables, By Class | 13,903 | |
Financing Receivables Past Due | Less FDIC Supported Loans and Acquired Not Covered Loans Net Of Discounts | ||
Financing Receivables, By Class | 21,090 | |
Financing Receivables Current | Automobile Loan | ||
Financing Receivables, By Class | 385,862 | 481,541 |
Financing Receivables Current | One-to-Four-Family Residential Construction | ||
Financing Receivables, By Class | 20,059 | 21,737 |
Financing Receivables Current | Subdivision Construction | ||
Financing Receivables, By Class | 17,736 | 17,077 |
Financing Receivables Current | Land Development | ||
Financing Receivables, By Class | 45,265 | 47,909 |
Financing Receivables Current | Commercial Construction | ||
Financing Receivables, By Class | 984,314 | 780,614 |
Financing Receivables Current | Owner Occupied One-to-Four-Family Residential | ||
Financing Receivables, By Class | 188,309 | 197,067 |
Financing Receivables Current | Non-Owner Occupied One To Four Family Residential | ||
Financing Receivables, By Class | 121,622 | 135,933 |
Financing Receivables Current | Commercial Real Estate | ||
Financing Receivables, By Class | 1,228,608 | 1,178,545 |
Financing Receivables Current | Other Residential | ||
Financing Receivables, By Class | 762,380 | 658,584 |
Financing Receivables Current | Commercial Business | ||
Financing Receivables, By Class | 360,284 | 343,775 |
Financing Receivables Current | Industrial Revenue Bonds | ||
Financing Receivables, By Class | 22,614 | 25,065 |
Financing Receivables Current | Consumer Loan | ||
Financing Receivables, By Class | 62,406 | 67,971 |
Financing Receivables Current | Home Equity Line of Credit | ||
Financing Receivables, By Class | 109,366 | 108,026 |
Financing Receivables Current | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Financing Receivables, By Class | 161,917 | 69,260 |
Financing Receivables Current | Acquired Non-Covered Loans Net of Discounts | ||
Financing Receivables, By Class | 58,229 | 72,356 |
Financing Receivables Current | Loans Receivable, Gross | ||
Financing Receivables, By Class | 4,528,971 | 4,325,913 |
Financing Receivables Current | Less FDIC-assisted acquired loans, net of discounts | ||
Financing Receivables, By Class | 220,146 | |
Financing Receivables Current | Loans Receivable | ||
Financing Receivables, By Class | 4,308,825 | 4,063,844 |
Financing Receivables Current | Acquired FDIC Covered Loans Net of Discount | ||
Financing Receivables, By Class | 120,453 | |
Financing Receivables Current | Less FDIC Supported Loans and Acquired Not Covered Loans Net Of Discounts | ||
Financing Receivables, By Class | 262,069 | |
Financing Receivables, Total | Automobile Loan | ||
Financing Receivables, By Class | 394,324 | 494,233 |
Financing Receivables, Total | One-to-Four-Family Residential Construction | ||
Financing Receivables, By Class | 20,059 | 21,737 |
Financing Receivables, Total | Subdivision Construction | ||
Financing Receivables, By Class | 17,838 | 17,186 |
Financing Receivables, Total | Land Development | ||
Financing Receivables, By Class | 45,340 | 50,624 |
Financing Receivables, Total | Commercial Construction | ||
Financing Receivables, By Class | 984,329 | 780,614 |
Financing Receivables, Total | Owner Occupied One-to-Four-Family Residential | ||
Financing Receivables, By Class | 189,825 | 200,340 |
Financing Receivables, Total | Non-Owner Occupied One To Four Family Residential | ||
Financing Receivables, By Class | 123,462 | 136,924 |
Financing Receivables, Total | Commercial Real Estate | ||
Financing Receivables, By Class | 1,235,497 | 1,186,906 |
Financing Receivables, Total | Other Residential | ||
Financing Receivables, By Class | 762,457 | 663,378 |
Financing Receivables, Total | Commercial Business | ||
Financing Receivables, By Class | 364,038 | 348,628 |
Financing Receivables, Total | Industrial Revenue Bonds | ||
Financing Receivables, By Class | 22,614 | 25,065 |
Financing Receivables, Total | Consumer Loan | ||
Financing Receivables, By Class | 63,743 | 70,001 |
Financing Receivables, Total | Home Equity Line of Credit | ||
Financing Receivables, By Class | 110,237 | 108,753 |
Financing Receivables, Total | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Financing Receivables, By Class | 165,632 | 72,569 |
Financing Receivables, Total | Acquired Non-Covered Loans Net of Discounts | ||
Financing Receivables, By Class | 61,520 | 76,234 |
Financing Receivables, Total | Loans Receivable, Gross | ||
Financing Receivables, By Class | 4,560,915 | 4,387,548 |
Financing Receivables, Total | Less FDIC-assisted acquired loans, net of discounts | ||
Financing Receivables, By Class | 227,152 | |
Financing Receivables, Total | Loans Receivable | ||
Financing Receivables, By Class | 4,333,763 | 4,104,389 |
Financing Receivables, Total | Acquired FDIC Covered Loans Net of Discount | ||
Financing Receivables, By Class | 134,356 | |
Financing Receivables, Total | Less FDIC Supported Loans and Acquired Not Covered Loans Net Of Discounts | ||
Financing Receivables, By Class | 283,159 | |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Automobile Loan | ||
Financing Receivables, By Class | 13 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | One-to-Four-Family Residential Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Subdivision Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Land Development | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Commercial Construction | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Owner Occupied One-to-Four-Family Residential | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Non-Owner Occupied One To Four Family Residential | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Commercial Real Estate | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Other Residential | ||
Financing Receivables, By Class | 77 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Commercial Business | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Industrial Revenue Bonds | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Consumer Loan | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Home Equity Line of Credit | ||
Financing Receivables, By Class | 16 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Financing Receivables, By Class | 0 | 222 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Acquired Non-Covered Loans Net of Discounts | ||
Financing Receivables, By Class | 0 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Loans Receivable, Gross | ||
Financing Receivables, By Class | 106 | 523 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Less FDIC-assisted acquired loans, net of discounts | ||
Financing Receivables, By Class | 0 | |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Loans Receivable | ||
Financing Receivables, By Class | $ 106 | 0 |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Acquired FDIC Covered Loans Net of Discount | ||
Financing Receivables, By Class | 301 | |
Financing Receivables Greater Than 90 Days Past Due and Still Accruing | Less FDIC Supported Loans and Acquired Not Covered Loans Net Of Discounts | ||
Financing Receivables, By Class | $ 523 |
NOTE 6_ LOANS AND ALLOWANCE F88
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Schedule of Financing Receivables, Non Accrual Status (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Automobile Loan | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 2,412 | $ 1,989 |
One-to-Four-Family Residential Construction | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Subdivision Construction | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 102 | 109 |
Land Development | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 34 | 1,718 |
Commercial Construction | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Owner Occupied One-to-Four-Family Residential | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 916 | 1,125 |
Non-Owner Occupied One To Four Family Residential | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 1,840 | 404 |
Commercial Real Estate | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 568 | 4,404 |
Other Residential | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 162 |
Commercial Business | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 2,180 | 3,088 |
Industrial Revenue Bonds | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 0 | 0 |
Consumer Loan | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 809 | 649 |
Home Equity Line of Credit | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 492 | 433 |
Loans Receivable | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 9,353 | $ 14,081 |
NOTE 6_ LOANS AND ALLOWANCE F89
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Allowance for Credit Losses on Financing Receivables (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Provision for Loan and Lease Losses | $ 2,950 | $ 2,500 | $ 7,150 | $ 6,901 | |
One-to-Four-Family Residential Construction | |||||
Provision for Loan Losses Expensed | 285 | (738) | 407 | (1,387) | |
Financing Receivable, Allowance for Credit Losses, Write-downs | (74) | (38) | (150) | (129) | |
Allowance for Doubtful Accounts Receivable, Recoveries | 46 | 23 | 91 | 47 | |
One-to-Four-Family Residential Construction | Beginning of Period | |||||
Provision for Loan and Lease Losses | 2,413 | 4,184 | 2,322 | 4,900 | |
One-to-Four-Family Residential Construction | End of Period | |||||
Provision for Loan and Lease Losses | 2,670 | 3,431 | 2,670 | 3,431 | |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 571 | 571 | $ 570 | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 2,056 | 2,056 | 1,628 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Provision for Loan Losses | 43 | 124 | |||
Financing Receivable, Individually Evaluated for Impairment | 7,168 | 7,168 | 6,015 | ||
Financing Receivable, Collectively Evaluated for Impairment | 344,016 | 344,016 | 370,172 | ||
All Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Not Accounted for Using Income Recognition Model | 127,495 | 127,495 | 155,378 | ||
Other Residential | |||||
Provision for Loan Losses Expensed | 190 | 1,702 | (1,708) | 2,186 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | (10) | 0 | (12) | 0 | |
Allowance for Doubtful Accounts Receivable, Recoveries | 89 | 15 | 158 | 39 | |
Other Residential | Beginning of Period | |||||
Provision for Loan and Lease Losses | 3,655 | 3,698 | 5,486 | 3,190 | |
Other Residential | End of Period | |||||
Provision for Loan and Lease Losses | 3,924 | 5,415 | 3,924 | 5,415 | |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 | 0 | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 3,887 | 3,887 | 5,396 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Provision for Loan Losses | 37 | 90 | |||
Financing Receivable, Individually Evaluated for Impairment | 3,390 | 3,390 | 3,812 | ||
Financing Receivable, Collectively Evaluated for Impairment | 759,067 | 759,067 | 659,566 | ||
All Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Not Accounted for Using Income Recognition Model | 20,655 | 20,655 | 29,600 | ||
Commercial Real Estate | |||||
Provision for Loan Losses Expensed | 643 | 1,130 | 1,413 | 5,114 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | (357) | (1,815) | (1,649) | (5,546) | |
Allowance for Doubtful Accounts Receivable, Recoveries | 74 | 17 | 100 | 1,183 | |
Commercial Real Estate | Beginning of Period | |||||
Provision for Loan and Lease Losses | 15,442 | 16,157 | 15,938 | 14,738 | |
Commercial Real Estate | End of Period | |||||
Provision for Loan and Lease Losses | 15,802 | 15,489 | 15,802 | 15,489 | |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 599 | 599 | 2,209 | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 15,002 | 15,002 | 13,507 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Provision for Loan Losses | 201 | 222 | |||
Financing Receivable, Individually Evaluated for Impairment | 9,358 | 9,358 | 10,507 | ||
Financing Receivable, Collectively Evaluated for Impairment | 1,226,139 | 1,226,139 | 1,176,399 | ||
All Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Not Accounted for Using Income Recognition Model | 41,518 | 41,518 | 54,208 | ||
Commercial Construction | |||||
Provision for Loan Losses Expensed | 298 | (1,238) | 74 | (1,252) | |
Financing Receivable, Allowance for Credit Losses, Write-downs | 0 | (1) | (386) | (31) | |
Allowance for Doubtful Accounts Receivable, Recoveries | 129 | 80 | 166 | 118 | |
Commercial Construction | Beginning of Period | |||||
Provision for Loan and Lease Losses | 1,711 | 3,013 | 2,284 | 3,019 | |
Commercial Construction | End of Period | |||||
Provision for Loan and Lease Losses | 2,138 | 1,854 | 2,138 | 1,854 | |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 0 | 0 | 1,291 | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 2,040 | 2,040 | 953 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Provision for Loan Losses | 98 | 40 | |||
Financing Receivable, Individually Evaluated for Impairment | 315 | 315 | 6,023 | ||
Financing Receivable, Collectively Evaluated for Impairment | 1,029,354 | 1,029,354 | 825,215 | ||
All Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Not Accounted for Using Income Recognition Model | 4,175 | 4,175 | 2,191 | ||
Commercial Business | |||||
Provision for Loan Losses Expensed | 562 | (425) | 1,786 | (1,093) | |
Financing Receivable, Allowance for Credit Losses, Write-downs | (1,090) | (191) | (1,365) | (383) | |
Allowance for Doubtful Accounts Receivable, Recoveries | 66 | 33 | 467 | 221 | |
Commercial Business | Beginning of Period | |||||
Provision for Loan and Lease Losses | 4,365 | 3,531 | 3,015 | 4,203 | |
Commercial Business | End of Period | |||||
Provision for Loan and Lease Losses | 3,903 | 2,948 | 3,903 | 2,948 | |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 2,396 | 2,396 | 1,295 | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 1,482 | 1,482 | 1,681 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Provision for Loan Losses | 25 | 39 | |||
Financing Receivable, Individually Evaluated for Impairment | 3,141 | 3,141 | 4,539 | ||
Financing Receivable, Collectively Evaluated for Impairment | 383,511 | 383,511 | 369,154 | ||
All Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Not Accounted for Using Income Recognition Model | 4,943 | 4,943 | 6,429 | ||
Consumer | |||||
Provision for Loan Losses Expensed | 972 | 2,069 | 5,178 | 3,333 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | (3,151) | (2,548) | (9,120) | (6,047) | |
Allowance for Doubtful Accounts Receivable, Recoveries | 1,038 | 794 | 3,393 | 2,480 | |
Consumer | Beginning of Period | |||||
Provision for Loan and Lease Losses | 8,947 | 7,550 | 8,355 | 8,099 | |
Consumer | End of Period | |||||
Provision for Loan and Lease Losses | 7,806 | 7,865 | 7,806 | 7,865 | |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 747 | 747 | 997 | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 6,993 | 6,993 | 7,248 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Provision for Loan Losses | 66 | 110 | |||
Financing Receivable, Individually Evaluated for Impairment | 4,429 | 4,429 | 3,385 | ||
Financing Receivable, Collectively Evaluated for Impairment | 563,875 | 563,875 | 669,602 | ||
All Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Not Accounted for Using Income Recognition Model | 28,366 | 28,366 | 35,353 | ||
Loans Receivable | |||||
Provision for Loan Losses Expensed | 2,950 | 2,500 | 7,150 | 6,901 | |
Financing Receivable, Allowance for Credit Losses, Write-downs | (4,682) | (4,593) | (12,682) | (12,136) | |
Allowance for Doubtful Accounts Receivable, Recoveries | 1,442 | 962 | 4,375 | 4,088 | |
Loans Receivable | Beginning of Period | |||||
Provision for Loan and Lease Losses | 36,533 | 38,133 | 37,400 | 38,149 | |
Loans Receivable | End of Period | |||||
Provision for Loan and Lease Losses | 36,243 | $ 37,002 | 36,243 | $ 37,002 | |
Financing Receivable, Allowance for Credit Losses, Individually Evaluated for Impairment | 4,313 | 4,313 | 6,362 | ||
Financing Receivable, Allowance for Credit Losses, Collectively Evaluated for Impairment | 31,460 | 31,460 | 30,413 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Provision for Loan Losses | 470 | 625 | |||
Financing Receivable, Individually Evaluated for Impairment | 27,801 | 27,801 | 34,281 | ||
Financing Receivable, Collectively Evaluated for Impairment | 4,305,962 | 4,305,962 | 4,070,108 | ||
All Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Not Accounted for Using Income Recognition Model | $ 227,152 | $ 227,152 | $ 283,159 |
NOTE 6_ LOANS AND ALLOWANCE F90
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Impaired Financing Receivables (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Automobile Loan | |||||
Impaired Financing Receivable, Recorded Investment | $ 2,740 | $ 1,632 | $ 2,740 | $ 1,632 | $ 2,097 |
Impaired Financing Receivable, Unpaid Principal Balance | 2,936 | 1,751 | 2,936 | 1,751 | 2,178 |
Impaired Financing Receivable, Related Allowance | 491 | 245 | 491 | 245 | 629 |
Impaired Financing Receivable, Average Recorded Investment | 2,548 | 1,434 | 2,323 | 1,123 | 1,307 |
Impaired Financing Receivable Interest Income Recognized | 79 | 55 | 156 | 93 | 141 |
One-to-Four-Family Residential Construction | |||||
Impaired Financing Receivable, Recorded Investment | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Unpaid Principal Balance | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Related Allowance | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Average Recorded Investment | 0 | 0 | 258 | 0 | 0 |
Impaired Financing Receivable Interest Income Recognized | 0 | 0 | 0 | 0 | 0 |
Subdivision Construction | |||||
Impaired Financing Receivable, Recorded Investment | 434 | 851 | 434 | 851 | 818 |
Impaired Financing Receivable, Unpaid Principal Balance | 450 | 860 | 450 | 860 | 829 |
Impaired Financing Receivable, Related Allowance | 116 | 133 | 116 | 133 | 131 |
Impaired Financing Receivable, Average Recorded Investment | 444 | 924 | 652 | 987 | 948 |
Impaired Financing Receivable Interest Income Recognized | 9 | 6 | 21 | 36 | 46 |
Land Development | |||||
Impaired Financing Receivable, Recorded Investment | 315 | 9,051 | 315 | 9,051 | 6,023 |
Impaired Financing Receivable, Unpaid Principal Balance | 319 | 9,146 | 319 | 9,146 | 6,120 |
Impaired Financing Receivable, Related Allowance | 0 | 1,079 | 0 | 1,079 | 1,291 |
Impaired Financing Receivable, Average Recorded Investment | 424 | 9,066 | 2,319 | 8,016 | 8,020 |
Impaired Financing Receivable Interest Income Recognized | 12 | 120 | 33 | 266 | 304 |
Commercial Construction | |||||
Impaired Financing Receivable, Recorded Investment | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Unpaid Principal Balance | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Related Allowance | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Average Recorded Investment | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable Interest Income Recognized | 0 | 0 | 0 | 0 | 0 |
Owner Occupied One-to-Four-Family Residential | |||||
Impaired Financing Receivable, Recorded Investment | 3,441 | 3,170 | 3,441 | 3,170 | 3,290 |
Impaired Financing Receivable, Unpaid Principal Balance | 3,740 | 3,450 | 3,740 | 3,450 | 3,555 |
Impaired Financing Receivable, Related Allowance | 351 | 382 | 351 | 382 | 374 |
Impaired Financing Receivable, Average Recorded Investment | 3,440 | 3,181 | 3,384 | 3,252 | 3,267 |
Impaired Financing Receivable Interest Income Recognized | 44 | 50 | 124 | 129 | 182 |
Non-Owner Occupied One To Four Family Residential | |||||
Impaired Financing Receivable, Recorded Investment | 3,293 | 1,865 | 3,293 | 1,865 | 1,907 |
Impaired Financing Receivable, Unpaid Principal Balance | 3,560 | 2,119 | 3,560 | 2,119 | 2,177 |
Impaired Financing Receivable, Related Allowance | 104 | 51 | 104 | 51 | 65 |
Impaired Financing Receivable, Average Recorded Investment | 2,550 | 1,947 | 2,183 | 1,877 | 1,886 |
Impaired Financing Receivable Interest Income Recognized | 80 | 31 | 128 | 83 | 113 |
Commercial Real Estate | |||||
Impaired Financing Receivable, Recorded Investment | 9,358 | 13,369 | 9,358 | 13,369 | 10,507 |
Impaired Financing Receivable, Unpaid Principal Balance | 9,581 | 16,269 | 9,581 | 16,269 | 12,121 |
Impaired Financing Receivable, Related Allowance | 599 | 2,280 | 599 | 2,280 | 2,209 |
Impaired Financing Receivable, Average Recorded Investment | 6,819 | 22,325 | 9,068 | 28,133 | 23,928 |
Impaired Financing Receivable Interest Income Recognized | 266 | 223 | 425 | 847 | 984 |
Other Residential | |||||
Impaired Financing Receivable, Recorded Investment | 3,390 | 3,977 | 3,390 | 3,977 | 3,812 |
Impaired Financing Receivable, Unpaid Principal Balance | 3,390 | 3,977 | 3,390 | 3,977 | 3,812 |
Impaired Financing Receivable, Related Allowance | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Average Recorded Investment | 3,457 | 6,321 | 3,660 | 7,779 | 6,813 |
Impaired Financing Receivable Interest Income Recognized | 27 | 44 | 102 | 219 | 258 |
Commercial Business | |||||
Impaired Financing Receivable, Recorded Investment | 3,141 | 2,326 | 3,141 | 2,326 | 4,539 |
Impaired Financing Receivable, Unpaid Principal Balance | 4,311 | 2,438 | 4,311 | 2,438 | 4,652 |
Impaired Financing Receivable, Related Allowance | 2,396 | 1,046 | 2,396 | 1,046 | 1,295 |
Impaired Financing Receivable, Average Recorded Investment | 5,580 | 2,190 | 6,148 | 2,174 | 2,542 |
Impaired Financing Receivable Interest Income Recognized | 35 | 39 | 161 | 87 | 185 |
Industrial Revenue Bonds | |||||
Impaired Financing Receivable, Recorded Investment | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Unpaid Principal Balance | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Related Allowance | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable, Average Recorded Investment | 0 | 0 | 0 | 0 | 0 |
Impaired Financing Receivable Interest Income Recognized | 0 | 0 | 0 | 0 | 0 |
Consumer Loan | |||||
Impaired Financing Receivable, Recorded Investment | 1,042 | 886 | 1,042 | 886 | 812 |
Impaired Financing Receivable, Unpaid Principal Balance | 1,148 | 959 | 1,148 | 959 | 887 |
Impaired Financing Receivable, Related Allowance | 156 | 133 | 156 | 133 | 244 |
Impaired Financing Receivable, Average Recorded Investment | 1,005 | 864 | 886 | 876 | 884 |
Impaired Financing Receivable Interest Income Recognized | 26 | 27 | 65 | 56 | 70 |
Home Equity Line of Credit | |||||
Impaired Financing Receivable, Recorded Investment | 647 | 383 | 647 | 383 | 476 |
Impaired Financing Receivable, Unpaid Principal Balance | 725 | 396 | 725 | 396 | 492 |
Impaired Financing Receivable, Related Allowance | 100 | 63 | 100 | 63 | 124 |
Impaired Financing Receivable, Average Recorded Investment | 633 | 395 | 456 | 422 | 417 |
Impaired Financing Receivable Interest Income Recognized | 14 | 3 | 32 | 22 | 32 |
Loans Receivable | |||||
Impaired Financing Receivable, Recorded Investment | 27,801 | 37,510 | 27,801 | 37,510 | 34,281 |
Impaired Financing Receivable, Unpaid Principal Balance | 30,160 | 41,365 | 30,160 | 41,365 | 36,823 |
Impaired Financing Receivable, Related Allowance | 4,313 | 5,412 | 4,313 | 5,412 | 6,362 |
Impaired Financing Receivable, Average Recorded Investment | 26,900 | 48,647 | 31,337 | 54,639 | 50,012 |
Impaired Financing Receivable Interest Income Recognized | $ 592 | $ 598 | $ 1,247 | $ 1,838 | $ 2,315 |
NOTE 6_ LOANS AND ALLOWANCE F91
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Impaired Loans Specific Valuation Allowance (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Details | ||
Impaired Loans Valuation Allowance | $ 4,300 | $ 6,400 |
NOTE 6_ LOANS AND ALLOWANCE F92
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Troubled Debt Restructurings on Financing Receivables (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Consumer | ||||
Troubled Debt Restructuring Loans Interest Only | $ 0 | $ 0 | $ 0 | $ 0 |
Troubled Debt Restructuring Loans Modified Term | 194 | 18 | 199 | 58 |
Troubled Debt Restructuring Loans Modified Combination | 0 | 0 | 0 | 0 |
Troubled Debt Restructurings Total New Modifications | 194 | 18 | 199 | 58 |
Newly Restructured Modified Loans | ||||
Troubled Debt Restructuring Loans Interest Only | 0 | 0 | 0 | 3,435 |
Troubled Debt Restructuring Loans Modified Term | 194 | 18 | 199 | 80 |
Troubled Debt Restructuring Loans Modified Combination | 5,759 | 0 | 6,033 | 0 |
Troubled Debt Restructurings Total New Modifications | 5,953 | $ 18 | 6,232 | 3,515 |
Commercial Business | ||||
Troubled Debt Restructuring Loans Interest Only | 0 | 0 | ||
Troubled Debt Restructuring Loans Modified Term | 0 | 22 | ||
Troubled Debt Restructuring Loans Modified Combination | 274 | 0 | ||
Troubled Debt Restructurings Total New Modifications | 274 | 22 | ||
Construction and Land Development | ||||
Troubled Debt Restructuring Loans Interest Only | 2,946 | |||
Troubled Debt Restructuring Loans Modified Term | 0 | |||
Troubled Debt Restructuring Loans Modified Combination | 0 | |||
Troubled Debt Restructurings Total New Modifications | 2,946 | |||
Mortgage Loan On Real Estate | Commercial Real Estate | ||||
Troubled Debt Restructuring Loans Interest Only | 0 | 0 | 60 | |
Troubled Debt Restructuring Loans Modified Term | 0 | 0 | 0 | |
Troubled Debt Restructuring Loans Modified Combination | 5,759 | 5,759 | 0 | |
Troubled Debt Restructurings Total New Modifications | $ 5,759 | $ 5,759 | 60 | |
Mortgage Loan On Real Estate | One-to-Four-Family Residential | ||||
Troubled Debt Restructuring Loans Interest Only | 429 | |||
Troubled Debt Restructuring Loans Modified Term | 0 | |||
Troubled Debt Restructuring Loans Modified Combination | 0 | |||
Troubled Debt Restructurings Total New Modifications | $ 429 |
NOTE 6_ LOANS AND ALLOWANCE F93
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Loans Modified in Troubled Debt Restructurings by Segment (Details) $ in Thousands | 3 Months Ended | 12 Months Ended |
Sep. 30, 2017USD ($) | Dec. 31, 2016USD ($) | |
Troubled Debt Restructurings Total Modifications | $ 17,700 | $ 21,100 |
Troubled Debt Restructurings Accruing Interest | $ 17,000 | 18,900 |
Financing Receivable, Modifications, Subsequent Default, Number of Contracts | 0 | |
Substandard | ||
Troubled Debt Restructurings | $ 7,300 | 7,900 |
Construction and Land Development | ||
Troubled Debt Restructured Loans and Impaired | 613 | 5,000 |
Single Family and Multi-Family Residential Mortgage Loans | ||
Troubled Debt Restructured Loans and Impaired | 6,900 | 7,400 |
Commercial Real Estate | ||
Troubled Debt Restructured Loans and Impaired | 8,700 | 7,100 |
Commercial Business | ||
Troubled Debt Restructured Loans and Impaired | 863,000 | 1,300 |
Consumer | ||
Troubled Debt Restructured Loans and Impaired | $ 604 | $ 296 |
NOTE 6_ LOANS AND ALLOWANCE F94
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Troubled Debt Restructured Loans Returned to Accrual Status (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | |
Troubled Debt Restructurings Returned to Accrual Status | $ 327 | $ 672 | $ 424 |
Commercial Real Estate | |||
Troubled Debt Restructurings Returned to Accrual Status | 285 | 285 | 100 |
Consumer | |||
Troubled Debt Restructurings Returned to Accrual Status | $ 42 | 42 | 89 |
One-to-Four-Family Residential | |||
Troubled Debt Restructurings Returned to Accrual Status | $ 345 | $ 235 |
NOTE 6_ LOANS AND ALLOWANCE F95
NOTE 6: LOANS AND ALLOWANCE FOR LOAN LOSSES: Financing Receivable Credit Quality Indicators (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Satisfactory | Automobile Loan | ||
Loan Portfolio Internal Grading System Classification | $ 391,732 | $ 492,165 |
Satisfactory | One-to-Four-Family Residential Construction | ||
Loan Portfolio Internal Grading System Classification | 19,645 | 20,771 |
Satisfactory | Subdivision Construction | ||
Loan Portfolio Internal Grading System Classification | 15,346 | 14,059 |
Satisfactory | Land Development | ||
Loan Portfolio Internal Grading System Classification | 40,540 | 39,925 |
Satisfactory | Commercial Construction | ||
Loan Portfolio Internal Grading System Classification | 984,329 | 780,614 |
Satisfactory | Owner Occupied One-to-Four-Family Residential | ||
Loan Portfolio Internal Grading System Classification | 188,106 | 198,835 |
Satisfactory | Non-Owner Occupied One To Four Family Residential | ||
Loan Portfolio Internal Grading System Classification | 121,006 | 135,930 |
Satisfactory | Commercial Real Estate | ||
Loan Portfolio Internal Grading System Classification | 1,216,971 | 1,160,280 |
Satisfactory | Other Residential | ||
Loan Portfolio Internal Grading System Classification | 758,347 | 658,846 |
Satisfactory | Commercial Business | ||
Loan Portfolio Internal Grading System Classification | 356,535 | 342,685 |
Satisfactory | Industrial Revenue Bonds | ||
Loan Portfolio Internal Grading System Classification | 22,614 | 25,065 |
Satisfactory | Consumer Loan | ||
Loan Portfolio Internal Grading System Classification | 62,842 | 69,338 |
Satisfactory | Home Equity Line of Credit | ||
Loan Portfolio Internal Grading System Classification | 109,602 | 108,290 |
Satisfactory | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 165,618 | 72,552 |
Satisfactory | Acquired Non-Covered Loans Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 61,520 | 76,234 |
Satisfactory | Loans Receivable | ||
Loan Portfolio Internal Grading System Classification | 4,514,753 | 4,329,945 |
Satisfactory | Acquired FDIC Covered Loans Net of Discount | ||
Loan Portfolio Internal Grading System Classification | 134,356 | |
Watch | Automobile Loan | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Watch | One-to-Four-Family Residential Construction | ||
Loan Portfolio Internal Grading System Classification | 414 | 966 |
Watch | Subdivision Construction | ||
Loan Portfolio Internal Grading System Classification | 2,356 | 2,729 |
Watch | Land Development | ||
Loan Portfolio Internal Grading System Classification | 4,800 | 5,140 |
Watch | Commercial Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Watch | Owner Occupied One-to-Four-Family Residential | ||
Loan Portfolio Internal Grading System Classification | 37 | 67 |
Watch | Non-Owner Occupied One To Four Family Residential | ||
Loan Portfolio Internal Grading System Classification | 392 | 465 |
Watch | Commercial Real Estate | ||
Loan Portfolio Internal Grading System Classification | 11,848 | 20,154 |
Watch | Other Residential | ||
Loan Portfolio Internal Grading System Classification | 4,110 | 4,370 |
Watch | Commercial Business | ||
Loan Portfolio Internal Grading System Classification | 4,808 | 2,651 |
Watch | Industrial Revenue Bonds | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Watch | Consumer Loan | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Watch | Home Equity Line of Credit | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Watch | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Watch | Acquired Non-Covered Loans Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Watch | Loans Receivable | ||
Loan Portfolio Internal Grading System Classification | 28,765 | 36,542 |
Watch | Acquired FDIC Covered Loans Net of Discount | ||
Loan Portfolio Internal Grading System Classification | 0 | |
Special Mention | Automobile Loan | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | One-to-Four-Family Residential Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Subdivision Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Land Development | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Commercial Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Owner Occupied One-to-Four-Family Residential | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Non-Owner Occupied One To Four Family Residential | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Commercial Real Estate | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Other Residential | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Commercial Business | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Industrial Revenue Bonds | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Consumer Loan | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Home Equity Line of Credit | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Acquired Non-Covered Loans Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Loans Receivable | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Special Mention | Acquired FDIC Covered Loans Net of Discount | ||
Loan Portfolio Internal Grading System Classification | 0 | |
Substandard | Automobile Loan | ||
Loan Portfolio Internal Grading System Classification | 2,592 | 2,068 |
Substandard | One-to-Four-Family Residential Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Substandard | Subdivision Construction | ||
Loan Portfolio Internal Grading System Classification | 136 | 398 |
Substandard | Land Development | ||
Loan Portfolio Internal Grading System Classification | 0 | 5,559 |
Substandard | Commercial Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Substandard | Owner Occupied One-to-Four-Family Residential | ||
Loan Portfolio Internal Grading System Classification | 1,682 | 1,438 |
Substandard | Non-Owner Occupied One To Four Family Residential | ||
Loan Portfolio Internal Grading System Classification | 2,064 | 529 |
Substandard | Commercial Real Estate | ||
Loan Portfolio Internal Grading System Classification | 6,678 | 6,472 |
Substandard | Other Residential | ||
Loan Portfolio Internal Grading System Classification | 0 | 162 |
Substandard | Commercial Business | ||
Loan Portfolio Internal Grading System Classification | 2,695 | 3,292 |
Substandard | Industrial Revenue Bonds | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Substandard | Consumer Loan | ||
Loan Portfolio Internal Grading System Classification | 901 | 663 |
Substandard | Home Equity Line of Credit | ||
Loan Portfolio Internal Grading System Classification | 635 | 463 |
Substandard | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 14 | 17 |
Substandard | Acquired Non-Covered Loans Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Substandard | Loans Receivable | ||
Loan Portfolio Internal Grading System Classification | 17,397 | 21,061 |
Substandard | Acquired FDIC Covered Loans Net of Discount | ||
Loan Portfolio Internal Grading System Classification | 0 | |
Doubtful | Automobile Loan | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | One-to-Four-Family Residential Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Subdivision Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Land Development | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Commercial Construction | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Owner Occupied One-to-Four-Family Residential | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Non-Owner Occupied One To Four Family Residential | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Commercial Real Estate | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Other Residential | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Commercial Business | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Industrial Revenue Bonds | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Consumer Loan | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Home Equity Line of Credit | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Acquired Non-Covered Loans Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Loans Receivable | ||
Loan Portfolio Internal Grading System Classification | 0 | 0 |
Doubtful | Acquired FDIC Covered Loans Net of Discount | ||
Loan Portfolio Internal Grading System Classification | 0 | |
Total for Portfolio | Automobile Loan | ||
Loan Portfolio Internal Grading System Classification | 394,324 | 494,233 |
Total for Portfolio | One-to-Four-Family Residential Construction | ||
Loan Portfolio Internal Grading System Classification | 20,059 | 21,737 |
Total for Portfolio | Subdivision Construction | ||
Loan Portfolio Internal Grading System Classification | 17,838 | 17,186 |
Total for Portfolio | Land Development | ||
Loan Portfolio Internal Grading System Classification | 45,340 | 50,624 |
Total for Portfolio | Commercial Construction | ||
Loan Portfolio Internal Grading System Classification | 984,329 | 780,614 |
Total for Portfolio | Owner Occupied One-to-Four-Family Residential | ||
Loan Portfolio Internal Grading System Classification | 189,825 | 200,340 |
Total for Portfolio | Non-Owner Occupied One To Four Family Residential | ||
Loan Portfolio Internal Grading System Classification | 123,462 | 136,924 |
Total for Portfolio | Commercial Real Estate | ||
Loan Portfolio Internal Grading System Classification | 1,235,497 | 1,186,906 |
Total for Portfolio | Other Residential | ||
Loan Portfolio Internal Grading System Classification | 762,457 | 663,378 |
Total for Portfolio | Commercial Business | ||
Loan Portfolio Internal Grading System Classification | 364,038 | 348,628 |
Total for Portfolio | Industrial Revenue Bonds | ||
Loan Portfolio Internal Grading System Classification | 22,614 | 25,065 |
Total for Portfolio | Consumer Loan | ||
Loan Portfolio Internal Grading System Classification | 63,743 | 70,001 |
Total for Portfolio | Home Equity Line of Credit | ||
Loan Portfolio Internal Grading System Classification | 110,237 | 108,753 |
Total for Portfolio | Acquired Loans No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 165,632 | 72,569 |
Total for Portfolio | Acquired Non-Covered Loans Net of Discounts | ||
Loan Portfolio Internal Grading System Classification | 61,520 | 76,234 |
Total for Portfolio | Loans Receivable | ||
Loan Portfolio Internal Grading System Classification | $ 4,560,915 | 4,387,548 |
Total for Portfolio | Acquired FDIC Covered Loans Net of Discount | ||
Loan Portfolio Internal Grading System Classification | $ 134,356 |
NOTE 7_ ACQUIRED LOANS, LOSS 96
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Business Combinations Policy (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
InterBank | ||||
Premium recorded in conjunction with fair value of acquired loans and amount amortized to yield | $ 64 | $ 87 | $ 210 | $ 278 |
Valley Bank | ||||
Premium recorded in conjunction with fair value of acquired loans and amount amortized to yield | $ 47 | $ 114 | $ 189 | $ 394 |
NOTE 7_ ACQUIRED LOANS, LOSS 97
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Schedule of Impact of Adjustments of Acquired Loans on Financial Results (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017USD ($)$ / shares | Sep. 30, 2016USD ($)$ / shares | Sep. 30, 2017USD ($)$ / shares | Sep. 30, 2016USD ($)$ / shares | |
Details | ||||
Impact of acquired loan pools on net interest income | $ 975 | $ 4,010 | $ 4,237 | $ 13,251 |
Impact of acquired loan pools on net interest margin (in basis points) | 9 | 38 | 14 | 44 |
Impact of acquired loan pools on non-interest income | $ 0 | $ (1,310) | $ (634) | $ (6,019) |
Net impact of acquired loan pools to pre-tax income | 975 | 2,700 | 3,603 | 7,232 |
Net impact of acquired loan pools to net of taxes | $ 621 | $ 1,755 | $ 2,295 | $ 4,701 |
Impact of acquired loan pools to diluted earnings per common share | $ / shares | $ 0.04 | $ 0.12 | $ 0.16 | $ 0.33 |
NOTE 7_ ACQUIRED LOANS, LOSS 98
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: FDIC Indemnification Asset Policy (Details) | 9 Months Ended |
Sep. 30, 2017 | |
TeamBank | |
Business Combination, Indemnification Assets, Description | Gross loan balances (due from the borrower) were reduced by approximately $421.6 million since the transaction date because of $288.9 million of repayments from borrowers, $61.7 million in transfers to foreclosed assets and $71.0 million in charge-offs to customer loan balances. |
Vantus Bank | |
Business Combination, Indemnification Assets, Description | Gross loan balances (due from the borrower) were reduced by approximately $311.8 million since the transaction date because of $266.0 million of repayments from borrowers, $16.7 million in transfers to foreclosed assets and $29.1 million in charge-offs to customer loan balances. |
Sun Security Bank | |
Business Combination, Indemnification Assets, Description | Gross loan balances (due from the borrower) were reduced by approximately $206.5 million since the transaction date because of $147.2 million of repayments from borrowers, $28.5 million in transfers to foreclosed assets and $30.8 million of charge-offs to customer loan balances. |
InterBank | |
Business Combination, Indemnification Assets, Description | Gross loan balances (due from the borrower) were reduced by approximately $272.8 million since the transaction date because of $231.4 million of repayments by the borrower, $18.9 million in transfers to foreclosed assets and $22.5 million of charge-offs to customer loan balances. |
Valley Bank | |
Business Combination, Indemnification Assets, Description | Gross loan balances (due from the borrower) were reduced by approximately $125.8 million since the transaction date because of $114.1 million of repayments by the borrower, $4.0 million in transfers to foreclosed assets and $7.7 million of charge-offs to customer loan balances. |
NOTE 7_ ACQUIRED LOANS, LOSS 99
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: FDIC Indemnification Asset Roll Forward (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
FDIC indemnification asset | $ 0 | $ 13,145 |
TeamBank Loans | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 14,520 | 18,838 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | (649) | (846) |
Original estimated fair value of assets, net of activity since acquisition date | (13,721) | (17,833) |
Expected loss remaining | 150 | 159 |
TeamBank Foreclosed Assets | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 0 | 14 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | 0 | 0 |
Original estimated fair value of assets, net of activity since acquisition date | 0 | (14) |
Expected loss remaining | 0 | 0 |
Vantus Bank Loans | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 19,789 | 23,712 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | (153) | (239) |
Original estimated fair value of assets, net of activity since acquisition date | (19,406) | (23,232) |
Expected loss remaining | 230 | 241 |
Vantus Bank Foreclosed Assets | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 15 | 15 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | 0 | 0 |
Original estimated fair value of assets, net of activity since acquisition date | (15) | (15) |
Expected loss remaining | 0 | 0 |
Sun Security Bank Loans | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 27,908 | 33,579 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | (590) | (1,086) |
Original estimated fair value of assets, net of activity since acquisition date | (26,317) | (31,499) |
Expected loss remaining | 1,001 | 994 |
Sun Security Bank Foreclosed Assets | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 330 | 365 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | 0 | 0 |
Original estimated fair value of assets, net of activity since acquisition date | (323) | (286) |
Expected loss remaining | 7 | 79 |
InterBank Loans | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 120,439 | 149,657 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | (736) | (1,984) |
Original estimated fair value of assets, net of activity since acquisition date | (106,185) | (134,355) |
Expected loss remaining | 13,851 | 13,861 |
Non-credit premium (discount), net of activity since acquisition date | 333 | $ 543 |
Assumed loss sharing recovery percentage | 84.00% | |
Estimated loss sharing value | $ 11,644 | |
FDIC loss share clawback | 953 | |
Indemnification assets to be amortized resulting from change in expected losses | 1,586 | |
Accretable Discount on FDIC Indemnification Asset | (1,038) | |
FDIC indemnification asset | 13,145 | |
InterBank Foreclosed Assets | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 2,782 | 1,417 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | 0 | 0 |
Original estimated fair value of assets, net of activity since acquisition date | (2,523) | (1,417) |
Expected loss remaining | 259 | 0 |
Non-credit premium (discount), net of activity since acquisition date | 0 | $ 0 |
Assumed loss sharing recovery percentage | 0.00% | |
Estimated loss sharing value | $ 0 | |
FDIC loss share clawback | 0 | |
Indemnification assets to be amortized resulting from change in expected losses | 0 | |
Accretable Discount on FDIC Indemnification Asset | 0 | |
FDIC indemnification asset | 0 | |
Valley Bank Loans | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 67,346 | 84,283 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | (537) | (2,121) |
Original estimated fair value of assets, net of activity since acquisition date | (61,517) | (76,231) |
Expected loss remaining | 5,331 | 6,159 |
Non-credit premium (discount), net of activity since acquisition date | 39 | 228 |
Valley Bank Foreclosed Assets | ||
Initial basis for loss sharing determination, net of activity since acquisition date | 1,780 | 1,973 |
Reclassification from nonaccretable discount to accretable discount due to change in expected losses (net of accretion to date) | 0 | 0 |
Original estimated fair value of assets, net of activity since acquisition date | (1,773) | (1,952) |
Expected loss remaining | 7 | 21 |
Non-credit premium (discount), net of activity since acquisition date | $ 0 | $ 0 |
NOTE 7_ ACQUIRED LOANS, LOSS100
NOTE 7: ACQUIRED LOANS, LOSS SHARING AGREEMENTS AND FDIC INDEMNIFICATION ASSETS: Schedule of Accretable Yield Changes for Acquired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |||||
TeamBank | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Accretion | $ (352) | $ (461) | $ (1,319) | $ (1,492) | ||||
Change in expected accretable yield | 287 | [1] | 301 | [1] | 1,080 | [2] | 413 | [2] |
TeamBank | Beginning of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 2,303 | 2,886 | 2,477 | 3,805 | ||||
TeamBank | End of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 2,238 | 2,726 | 2,238 | 2,726 | ||||
Vantus Bank | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Accretion | (310) | (415) | (1,048) | (1,406) | ||||
Change in expected accretable yield | 211 | [1] | (72) | [1] | 582 | [2] | 776 | [2] |
Vantus Bank | Beginning of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 2,180 | 3,217 | 2,547 | 3,360 | ||||
Vantus Bank | End of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 2,081 | 2,730 | 2,081 | 2,730 | ||||
Sun Security Bank | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Accretion | (561) | (854) | (1,757) | (2,904) | ||||
Change in expected accretable yield | (270) | [1] | 587 | [1] | 335 | [2] | 1,727 | [2] |
Sun Security Bank | Beginning of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 3,686 | 5,014 | 4,277 | 5,924 | ||||
Sun Security Bank | End of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 2,855 | 4,747 | 2,855 | 4,747 | ||||
InterBank | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Accretion | (1,688) | (3,163) | (5,850) | (11,279) | ||||
Change in expected accretable yield | 625 | [1] | 1,454 | [1] | 1,689 | [2] | 5,041 | [2] |
InterBank | Beginning of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 5,414 | 11,818 | 8,512 | 16,347 | ||||
InterBank | End of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 4,351 | 10,109 | 4,351 | 10,109 | ||||
Valley Bank | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Accretion | (1,378) | (3,311) | (4,772) | (9,174) | ||||
Change in expected accretable yield | 889 | [1] | 2,838 | [1] | 2,799 | [2] | 6,909 | [2] |
Valley Bank | Beginning of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | 3,313 | 6,524 | 4,797 | 8,316 | ||||
Valley Bank | End of Period | ||||||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease) | $ 2,824 | $ 6,051 | $ 2,824 | $ 6,051 | ||||
[1] | Represents increases in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit losses. The amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the three months ended September 30, 2017, totaling $268,000, $204,000, $(270,000), $625,000 and $444,000, respectively, and for the three months ended September 30, 2016, totaling $301,000, $(87,000), $373,000, $764,000 and $326,000, respectively. | |||||||
[2] | Represents increases in estimated cash flows expected to be received from the acquired loan pools, partially due to lower estimated credit losses. The amounts also include changes in expected accretion of the loan pools for TeamBank, Vantus Bank, Sun Security Bank, InterBank and Valley Bank for the nine months ended September 30, 2017, totaling $1.1 million, $569,000, $335,000, $1.7 million and $2.2 million, respectively, and for the nine months ended September 30, 2016, totaling $414,000, $760,000, $1.3 million, $2.0 million and $1.4 million, respectively. |
Note 8_ Other Real Estate Ow101
Note 8: Other Real Estate Owned: Schedule of Major Classifications of Foreclosed Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Foreclosed Assets Held For Sale | One-to-Four-Family Residential Construction | ||
Foreclosed Assets | $ 0 | $ 0 |
Foreclosed Assets Held For Sale | Subdivision Construction | ||
Foreclosed Assets | 5,118 | 6,360 |
Foreclosed Assets Held For Sale | Land Development | ||
Foreclosed Assets | 10,052 | 10,886 |
Foreclosed Assets Held For Sale | Commercial Construction | ||
Foreclosed Assets | 0 | 0 |
Foreclosed Assets Held For Sale | One-to-Four-Family Residential | ||
Foreclosed Assets | 203 | 1,217 |
Foreclosed Assets Held For Sale | Other Residential | ||
Foreclosed Assets | 161 | 954 |
Foreclosed Assets Held For Sale | Commercial Real Estate | ||
Foreclosed Assets | 3,214 | 3,841 |
Foreclosed Assets Held For Sale | Commercial Business | ||
Foreclosed Assets | 2,876 | 0 |
Foreclosed Assets Held For Sale | Consumer Loan | ||
Foreclosed Assets | 1,793 | 1,991 |
Foreclosed Assets Held For Sale | Foreclosed Assets Before FDIC Supported Foreclosed Assets | ||
Foreclosed Assets | 23,417 | 25,249 |
Foreclosed Assets Held For Sale | FDIC Supported Foreclosed Assets Net of Discounts | ||
Foreclosed Assets | 0 | 1,426 |
Foreclosed Assets Held For Sale | Acquired Foreclosed Assets No Longer Covered by FDIC Loss Sharing Agreements Net of Discounts | ||
Foreclosed Assets | 2,861 | 316 |
Foreclosed Assets Held For Sale | Acquired foreclosed assets not covered by FDIC loss sharing agreements, net of discounts | ||
Foreclosed Assets | 1,774 | 1,952 |
Foreclosed Assets Held For Sale, Net | ||
Foreclosed Assets | 28,052 | 28,943 |
Other Real Estate Owned Not Acquired Through Foreclosure | ||
Foreclosed Assets | 2,064 | 3,715 |
Other real estate owned | ||
Foreclosed Assets | $ 30,116 | $ 32,658 |
Note 8_ Other Real Estate Ow102
Note 8: Other Real Estate Owned: Schedule of Expenses Applicable to Foreclosed Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Details | ||||
Net (gain) loss on sales of other real estate owned | $ (110) | $ 43 | $ (576) | $ (168) |
Valuation write-downs on foreclosed assets | 462 | 338 | 0 | 430 |
Operating expenses, net of rental income | 991 | 917 | 3,171 | 2,821 |
Total foreclosed assets expenses | $ 1,343 | $ 1,298 | $ 2,595 | $ 3,083 |
Note 9_ Deposits_ Schedule o103
Note 9: Deposits: Schedule of Deposit Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | |
Deposits | $ 3,598,213 | $ 3,677,230 | |
0.00% - 0.99% | |||
Deposits | 337,641 | 695,738 | |
1.00% - 1.99% | |||
Deposits | 927,464 | 737,649 | |
2.00% - 2.99% | |||
Deposits | 95,953 | 48,777 | |
3.00% - 3.99% | |||
Deposits | 696 | 1,119 | |
4.00% - 4.99% | |||
Deposits | 1,119 | 1,171 | |
5.00% and above | |||
Deposits | 272 | 272 | |
Total Time Deposits | |||
Deposits | [1] | 1,363,145 | 1,484,726 |
Non-Interest Bearing Demand Deposits | |||
Deposits | 668,164 | 653,288 | |
Interest Bearing Demand and Savings Deposits | |||
Deposits | [2] | 1,566,904 | 1,539,216 |
Total Deposits | |||
Deposits | $ 3,598,213 | $ 3,677,230 | |
[1] | (1.17% - 1.01%) | ||
[2] | (0.31% - 0.26%) |
Note 10_ Advances From Feder104
Note 10: Advances From Federal Home Loan Bank: Federal Home Loan Bank, Advances (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Advances from Federal Home Loan Banks | $ 174,000 | $ 31,452 |
Due in 2017 | ||
Advances from Federal Home Loan Banks | $ 174,000 | $ 30,826 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 1.26% | 3.26% |
Due in 2018 | ||
Advances from Federal Home Loan Banks | $ 0 | $ 81 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 0.00% | 5.14% |
Due in 2019 | ||
Advances from Federal Home Loan Banks | $ 0 | $ 28 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 0.00% | 5.14% |
Due in 2020 | ||
Advances from Federal Home Loan Banks | $ 0 | $ 0 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 0.00% | 0.00% |
Due in 2021 | ||
Advances from Federal Home Loan Banks | $ 0 | $ 0 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 0.00% | 0.00% |
Due in 2022 and Thereafter | ||
Advances from Federal Home Loan Banks | $ 0 | $ 500 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 0.00% | 5.54% |
Federal Home Loan Bank Advances, Gross | ||
Advances from Federal Home Loan Banks | $ 174,000 | $ 31,435 |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 1.26% | 3.30% |
Federal Home Loan Bank Advances Unamortized Fair Value Adjustment | ||
Advances from Federal Home Loan Banks | $ 0 | $ 17 |
Federal Home Loan Bank Advances, Net | ||
Advances from Federal Home Loan Banks | $ 174,000 | $ 31,452 |
Note 11_ Securities Sold Und105
Note 11: Securities Sold Under Reverse Repurchase Agreements and Short-term Borrowings: Schedule of Short-term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Details | ||
Notes payable - Community Development Equity Funds | $ 1,665 | $ 1,323 |
Other Short-term Borrowings | 21,000 | 171,000 |
Securities for Reverse Repurchase Agreements | 130,934 | 113,700 |
Short-term debt recorded value | $ 153,599 | $ 286,023 |
Note 11_ Securities Sold Und106
Note 11: Securities Sold Under Reverse Repurchase Agreements and Short-term Borrowings: Schedule of Repurchase Agreements (Details) - Maturity Overnight and on Demand - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Securities Sold under Agreements to Repurchase | ||
Securities Sold under Agreements to Repurchase, Fair Value of Collateral | $ 130,934 | $ 113,700 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises | ||
Securities Sold under Agreements to Repurchase, Fair Value of Collateral | 121,303 | 97,498 |
Federal Home Loan Bank Certificates and Obligations (FHLB) | ||
Securities Sold under Agreements to Repurchase, Fair Value of Collateral | $ 9,631 | $ 16,202 |
Note 12_ Subordinated Notes_ Su
Note 12: Subordinated Notes: Subordinated Notes Details (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Debt Instrument, Interest Rate Terms | The notes are due August 15, 2026, and have a fixed interest rate of 5.25% until August 15, 2021, at which time the rate becomes floating at a rate equal to three-month LIBOR plus 4.087%. | |||
Amortization of Debt Discount (Premium) | $ 38 | $ 27 | $ 114 | $ 27 |
Subordinated Borrowing, Interest Rate | 5.47% | |||
Senior Subordinated Notes | ||||
Proceeds from Issuance of Senior Long-term Debt | $ 73,500 | |||
Payment of Financing and Stock Issuance Costs | $ 1,500 |
Note 12_ Subordinated Notes_108
Note 12: Subordinated Notes: Schedule of Subordinated Borrowing (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Details | ||
Subordinated Notes Before Costs | $ 75,000 | $ 75,000 |
Unamortized Debt Issuance Expense | 1,349 | 1,463 |
Subordinated Debt | $ 73,651 | $ 73,537 |
Note 13_ Income Taxes_ Sched109
Note 13: Income Taxes: Schedule of Effective Income Tax Rate Reconciliation (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Details | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 35.00% | 35.00% | 35.00% |
Effective Income Tax Rate Reconciliation, Tax Exempt Income, Percent | (1.60%) | (2.10%) | (1.50%) | (2.10%) |
Effective Income Tax Rate Reconciliation, Tax Credit, Percent | (7.80%) | (7.60%) | (5.90%) | (7.50%) |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 1.10% | 1.10% | 1.30% | 1.10% |
Effective Income Tax Rate Reconciliation, Other Adjustments, Percent | 0.20% | (1.40%) | (0.60%) | (0.20%) |
Effective Income Tax Rate Reconciliation, Percent | 26.90% | 25.00% | 28.30% | 26.30% |
Note 14_ Disclosures About F110
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Measurement, Policy: Fair Value, Assets Measured on Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises | ||
Assets, Fair Value Disclosure, Recurring | $ 125,810 | $ 146,035 |
US States and Political Subdivisions Debt Securities | ||
Assets, Fair Value Disclosure, Recurring | 58,158 | 67,837 |
Interest rate derivative asset | ||
Assets, Fair Value Disclosure, Recurring | 1,360 | 1,663 |
Interest rate derivative liability | ||
Assets, Fair Value Disclosure, Recurring | (1,441) | (1,699) |
Fair Value, Inputs, Level 1 | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 1 | US States and Political Subdivisions Debt Securities | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Interest rate derivative asset | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Interest rate derivative liability | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises | ||
Assets, Fair Value Disclosure, Recurring | 125,810 | 146,035 |
Fair Value, Inputs, Level 2 | US States and Political Subdivisions Debt Securities | ||
Assets, Fair Value Disclosure, Recurring | 58,158 | 67,837 |
Fair Value, Inputs, Level 2 | Interest rate derivative asset | ||
Assets, Fair Value Disclosure, Recurring | 1,360 | 1,663 |
Fair Value, Inputs, Level 2 | Interest rate derivative liability | ||
Assets, Fair Value Disclosure, Recurring | (1,441) | (1,699) |
Fair Value, Inputs, Level 3 | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 3 | US States and Political Subdivisions Debt Securities | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 3 | Interest rate derivative asset | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 3 | Interest rate derivative liability | ||
Assets, Fair Value Disclosure, Recurring | $ 0 | $ 0 |
Note 14_ Disclosures About F111
Note 14: Disclosures About Fair Value of Financial Instruments: Fair Value Measurement, Policy: Fair Value, Assets and Liabilities Measured on Nonrecurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Foreclosed Assets Held For Sale | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 2,700 | $ 1,604 |
Loans Receivable Impaired | ||
Assets, Fair Value Disclosure, Nonrecurring | 1,573 | 8,280 |
Fair Value, Inputs, Level 1 | Foreclosed Assets Held For Sale | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 1 | Loans Receivable Impaired | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Foreclosed Assets Held For Sale | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 2 | Loans Receivable Impaired | ||
Assets, Fair Value Disclosure, Nonrecurring | 0 | 0 |
Fair Value, Inputs, Level 3 | Foreclosed Assets Held For Sale | ||
Assets, Fair Value Disclosure, Nonrecurring | 2,700 | 1,604 |
Fair Value, Inputs, Level 3 | Loans Receivable Impaired | ||
Assets, Fair Value Disclosure, Nonrecurring | $ 1,573 | $ 8,280 |
Note 14_ Disclosures About F112
Note 14: Disclosures About Fair Value of Financial Instruments: Schedule Of Financial Instruments Fair Value (Details) $ in Thousands | Sep. 30, 2017USD ($) | Dec. 31, 2016USD ($) |
Financial Assets | Loans Receivable | ||
Financial Instruments Owned Carrying Amount | $ 3,800,988 | $ 3,759,966 |
Financial Instruments, Owned, at Fair Value | $ 3,809,339 | $ 3,766,709 |
Hierarchy Level | 3 | 3 |
Financial Assets | Mortgage Loans Held for Sale | ||
Financial Instruments Owned Carrying Amount | $ 11,133 | $ 16,445 |
Financial Instruments, Owned, at Fair Value | $ 11,133 | $ 16,445 |
Hierarchy Level | 2 | 2 |
Financial Assets | Accrued Interest Receivable | ||
Financial Instruments Owned Carrying Amount | $ 11,206 | $ 11,875 |
Financial Instruments, Owned, at Fair Value | $ 11,206 | $ 11,875 |
Hierarchy Level | 3 | 3 |
Financial Assets | Held-to-maturity Securities | ||
Financial Instruments Owned Carrying Amount | $ 130 | $ 247 |
Financial Instruments, Owned, at Fair Value | $ 133 | $ 258 |
Hierarchy Level | 2 | 2 |
Financial Assets | Cash and Cash Equivalents | ||
Financial Instruments Owned Carrying Amount | $ 256,672 | $ 279,769 |
Financial Instruments, Owned, at Fair Value | $ 256,672 | $ 279,769 |
Hierarchy Level | 1 | 1 |
Financial Assets | Investment in Federal Home Loan Bank Stock | ||
Financial Instruments Owned Carrying Amount | $ 13,282 | $ 13,034 |
Financial Instruments, Owned, at Fair Value | $ 13,282 | $ 13,034 |
Hierarchy Level | 3 | 3 |
Financial Liabilities | Federal Home Loan Bank Advances | ||
Financial Instruments Owned Carrying Amount | $ 174,000 | $ 31,452 |
Financial Instruments, Owned, at Fair Value | $ 174,000 | $ 32,379 |
Hierarchy Level | 3 | 3 |
Financial Liabilities | Junior Subordinated Debt | ||
Financial Instruments Owned Carrying Amount | $ 25,774 | $ 25,774 |
Financial Instruments, Owned, at Fair Value | $ 25,774 | $ 25,774 |
Hierarchy Level | 3 | 3 |
Financial Liabilities | Subordinated Debt | ||
Financial Instruments Owned Carrying Amount | $ 73,651 | $ 73,537 |
Financial Instruments, Owned, at Fair Value | $ 76,125 | $ 76,031 |
Hierarchy Level | 2 | 2 |
Financial Liabilities | Deposits | ||
Financial Instruments Owned Carrying Amount | $ 3,598,213 | $ 3,677,230 |
Financial Instruments, Owned, at Fair Value | $ 3,606,276 | $ 3,683,751 |
Hierarchy Level | 3 | 3 |
Financial Liabilities | Short-term Debt | ||
Financial Instruments Owned Carrying Amount | $ 153,599 | $ 286,023 |
Financial Instruments, Owned, at Fair Value | $ 153,599 | $ 286,023 |
Hierarchy Level | 3 | 3 |
Financial Liabilities | Accrued Interest Payable | ||
Financial Instruments Owned Carrying Amount | $ 1,693 | $ 2,723 |
Financial Instruments, Owned, at Fair Value | $ 1,693 | $ 2,723 |
Hierarchy Level | 3 | 3 |
Unrecognized Financial Instruments Net of Contractual Value | Letter of Credit | ||
Financial Instruments Owned Carrying Amount | $ 74 | $ 92 |
Financial Instruments, Owned, at Fair Value | $ 74 | $ 92 |
Hierarchy Level | 3 | 3 |
Unrecognized Financial Instruments Net of Contractual Value | Line of Credit | ||
Financial Instruments Owned Carrying Amount | $ 0 | $ 0 |
Financial Instruments, Owned, at Fair Value | $ 0 | $ 0 |
Hierarchy Level | 3 | 3 |
Unrecognized Financial Instruments Net of Contractual Value | Loan Origination Commitments | ||
Financial Instruments Owned Carrying Amount | $ 0 | $ 0 |
Financial Instruments, Owned, at Fair Value | $ 0 | $ 0 |
Hierarchy Level | 3 | 3 |
Note 15_ Derivatives and Hed113
Note 15: Derivatives and Hedging Activities: Loans With Interest Rate Swap (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Interest Rate Swap | Not Designated as Hedging Instrument | Commercial Customers | ||
Derivative, Notional Amount | $ 100,100 | $ 110,700 |
Note 15_ Derivatives and Hed114
Note 15: Derivatives and Hedging Activities: Schedule of Derivative Instruments in Statement of Financial Position, Fair Value (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Derivatives designated as hedging instruments | ||
Derivative Instruments Designated as Hedging Instruments Asset at Fair Value | $ 0 | $ 40 |
Derivative Asset | ||
Derivative Instruments Not Designated as Hedging Instruments, Asset, at Fair Value | 1,360 | 1,623 |
Derivative Liability | ||
Derivative Instruments Not Designated as Hedging Instruments, Liability, at Fair Value | 1,441 | 1,699 |
Interest Rate Cap | Prepaid Expenses and Other Current Assets | ||
Derivatives designated as hedging instruments | ||
Derivative Instruments Designated as Hedging Instruments Asset at Fair Value | 0 | 40 |
Interest rate products | Prepaid Expenses and Other Current Assets | ||
Derivative Asset | ||
Derivative Instruments Not Designated as Hedging Instruments, Asset, at Fair Value | 1,360 | 1,623 |
Interest rate products | Accrued expenses and other liabilities | ||
Derivative Liability | ||
Derivative Instruments Not Designated as Hedging Instruments, Liability, at Fair Value | $ 1,441 | $ 1,699 |
Note 15_ Derivatives and Hed115
Note 15: Derivatives and Hedging Activities: Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Amount of Gain Loss Recognized in Accumulated Other Comprehensive Income | ||||
Effect of derivative instruments on the statements of comprehensive income | $ 64 | $ 53 | $ 161 | $ 37 |