| Loans and Allowance for Loan Losses |
Note 3 — Loans and Allowance for Loan Losses
Loans are summarized as follows:
|
(in thousands) |
|
2016 |
|
|
2015 |
|
|
Loans held for investment: |
|
|
|
|
|
|
|
|
|
Commercial real estate loans: |
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
582,029 |
|
|
$ |
577,804 |
|
|
Construction and land development |
|
|
240,120 |
|
|
|
179,664 |
|
|
Total commercial real estate loans |
|
|
822,149 |
|
|
|
757,468 |
|
|
Commercial and industrial loans |
|
|
213,260 |
|
|
|
208,277 |
|
|
Consumer loans: |
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
72,959 |
|
|
|
71,169 |
|
|
Consumer and other |
|
|
15,678 |
|
|
|
14,945 |
|
|
Total consumer loans |
|
|
88,637 |
|
|
|
86,114 |
|
|
Gross loans held for investment |
|
|
1,124,046 |
|
|
|
1,051,859 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
Net deferred loan fees |
|
|
(4,169 |
) |
|
|
(3,884 |
) |
|
Loans held for investment |
|
|
1,119,877 |
|
|
|
1,047,975 |
|
|
Less: allowance for loan losses |
|
|
(16,715 |
) |
|
|
(15,557 |
) |
|
Loans held for investment, net |
|
$ |
1,103,162 |
|
|
$ |
1,032,418 |
|
Note 3 — Loans and Allowance for Loan Losses – Continued
Changes in the allowance for loan losses are as follows:
|
|
|
Year Ended December 31, 2016 |
|
|
|
|
Real |
|
|
Construction |
|
|
Commercial |
|
|
Residential |
|
|
Consumer |
|
|
|
|
|
|
|
|
Estate |
|
|
and Land |
|
|
and |
|
|
and Home |
|
|
and |
|
|
|
|
|
|
(in thousands) |
|
Term |
|
|
Development |
|
|
Industrial |
|
|
Equity |
|
|
Other |
|
|
Total |
|
|
Balance at beginning of year |
|
$ |
6,783 |
|
|
$ |
3,984 |
|
|
$ |
3,941 |
|
|
$ |
603 |
|
|
$ |
246 |
|
|
$ |
15,557 |
|
|
Additions: Provisions for loan losses |
|
|
(617 |
) |
|
|
813 |
|
|
|
847 |
|
|
|
(72 |
) |
|
|
(71 |
) |
|
|
900 |
|
|
Deductions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross loan charge-offs |
|
|
(17 |
) |
|
|
- |
|
|
|
(1,511 |
) |
|
|
(6 |
) |
|
|
(240 |
) |
|
|
(1,774 |
) |
|
Recoveries |
|
|
621 |
|
|
|
652 |
|
|
|
441 |
|
|
|
92 |
|
|
|
226 |
|
|
|
2,032 |
|
|
Net loan charge-offs |
|
|
604 |
|
|
|
652 |
|
|
|
(1,070 |
) |
|
|
86 |
|
|
|
(14 |
) |
|
|
258 |
|
|
Balance at end of year |
|
$ |
6,770 |
|
|
$ |
5,449 |
|
|
$ |
3,718 |
|
|
$ |
617 |
|
|
$ |
161 |
|
|
$ |
16,715 |
|
|
|
|
Year Ended December 31, 2015 |
|
|
|
|
Real |
|
|
Construction |
|
|
Commercial |
|
|
Residential |
|
|
Consumer |
|
|
|
|
|
|
|
|
Estate |
|
|
and Land |
|
|
and |
|
|
and Home |
|
|
and |
|
|
|
|
|
|
(in thousands) |
|
Term |
|
|
Development |
|
|
Industrial |
|
|
Equity |
|
|
Other |
|
|
Total |
|
|
Balance at beginning of year |
|
$ |
5,181 |
|
|
$ |
4,425 |
|
|
$ |
4,608 |
|
|
$ |
671 |
|
|
$ |
266 |
|
|
$ |
15,151 |
|
|
Additions: Provisions for loan losses |
|
|
1,554 |
|
|
|
(91 |
) |
|
|
(508 |
) |
|
|
(135 |
) |
|
|
180 |
|
|
|
1,000 |
|
|
Deductions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross loan charge-offs |
|
|
(32 |
) |
|
|
(396 |
) |
|
|
(350 |
) |
|
|
- |
|
|
|
(281 |
) |
|
|
(1,059 |
) |
|
Recoveries |
|
|
80 |
|
|
|
46 |
|
|
|
191 |
|
|
|
67 |
|
|
|
81 |
|
|
|
465 |
|
|
Net loan charge-offs |
|
|
48 |
|
|
|
(350 |
) |
|
|
(159 |
) |
|
|
67 |
|
|
|
(200 |
) |
|
|
(594 |
) |
|
Balance at end of year |
|
$ |
6,783 |
|
|
$ |
3,984 |
|
|
$ |
3,941 |
|
|
$ |
603 |
|
|
$ |
246 |
|
|
$ |
15,557 |
|
|
|
|
Year Ended December 31, 2014 |
|
|
|
|
Real |
|
|
Construction |
|
|
Commercial |
|
|
Residential |
|
|
Consumer |
|
|
|
|
|
|
|
|
Estate |
|
|
and Land |
|
|
and |
|
|
and Home |
|
|
and |
|
|
|
|
|
|
(in thousands) |
|
Term |
|
|
Development |
|
|
Industrial |
|
|
Equity |
|
|
Other |
|
|
Total |
|
|
Balance at beginning of year |
|
$ |
7,268 |
|
|
$ |
2,915 |
|
|
$ |
3,105 |
|
|
$ |
838 |
|
|
$ |
264 |
|
|
$ |
14,390 |
|
|
Additions: Provisions for loan losses |
|
|
(1,880 |
) |
|
|
1,171 |
|
|
|
2,361 |
|
|
|
(188 |
) |
|
|
236 |
|
|
|
1,700 |
|
|
Deductions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross loan charge-offs |
|
|
(705 |
) |
|
|
(26 |
) |
|
|
(949 |
) |
|
|
(16 |
) |
|
|
(356 |
) |
|
|
(2,052 |
) |
|
Recoveries |
|
|
498 |
|
|
|
365 |
|
|
|
91 |
|
|
|
37 |
|
|
|
122 |
|
|
|
1,113 |
|
|
Net loan charge-offs |
|
|
(207 |
) |
|
|
339 |
|
|
|
(858 |
) |
|
|
21 |
|
|
|
(234 |
) |
|
|
(939 |
) |
|
Balance at end of year |
|
$ |
5,181 |
|
|
$ |
4,425 |
|
|
$ |
4,608 |
|
|
$ |
671 |
|
|
$ |
266 |
|
|
$ |
15,151 |
|
Note 3 — Loans and Allowance for Loan Losses – Continued
Non-accrual loans are summarized as follows:
|
(in thousands) |
|
2016 |
|
|
2015 |
|
|
Non-accrual loans, not troubled debt restructured: |
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
2,386 |
|
|
$ |
2,961 |
|
|
Construction and land development |
|
|
378 |
|
|
|
56 |
|
|
Commercial and industrial |
|
|
1,211 |
|
|
|
1,176 |
|
|
Residential and home equity |
|
|
142 |
|
|
|
631 |
|
|
Consumer and other |
|
|
14 |
|
|
|
88 |
|
|
Total non-accrual loans, not troubled debt restructured |
|
|
4,131 |
|
|
|
4,912 |
|
|
Troubled debt restructured loans, non-accrual: |
|
|
|
|
|
|
|
|
|
Real estate term |
|
|
808 |
|
|
|
1,153 |
|
|
Construction and land development |
|
|
396 |
|
|
|
1,329 |
|
|
Commercial and industrial |
|
|
- |
|
|
|
21 |
|
|
Residential and home equity |
|
|
- |
|
|
|
- |
|
|
Consumer and other |
|
|
- |
|
|
|
- |
|
|
Total troubled debt restructured loans, non-accrual |
|
|
1,204 |
|
|
|
2,503 |
|
|
Total non-accrual loans |
|
$ |
5,335 |
|
|
$ |
7,415 |
|
Troubled debt restructured loans are summarized as follows:
|
(in thousands) |
|
2016 |
|
|
2015 |
|
|
Accruing troubled debt restructured loans |
|
$ |
5,572 |
|
|
$ |
7,049 |
|
|
Non-accrual troubled debt restructured loans |
|
|
1,204 |
|
|
|
2,503 |
|
|
Total troubled debt restructured loans |
|
$ |
6,776 |
|
|
$ |
9,552 |
|
A restructured loan is considered a troubled debt restructured loan (“TDR”), if the Company, for economic or legal reasons related to the debtor’s financial difficulties, grants a concession in terms or a below-market interest rate to the debtor that it would not otherwise consider. Each TDR loan is separately negotiated with the borrower and includes terms and conditions that reflect the borrower’s prospective ability to service the debt as modified.
Current and past due loans held for investment (accruing and non-accruing) are summarized as follows:
|
|
|
December 31, 2016 |
|
|
|
|
|
|
|
|
30-89 Days |
|
|
90+ Days |
|
|
Non- |
|
|
Total |
|
|
Total |
|
|
(in thousands) |
|
Current |
|
|
Past Due |
|
|
Past Due |
|
|
accrual |
|
|
Past Due |
|
|
Loans |
|
|
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
577,134 |
|
|
$ |
1,701 |
|
|
$ |
- |
|
|
$ |
3,194 |
|
|
$ |
4,895 |
|
|
$ |
582,029 |
|
|
Construction and land development |
|
|
237,433 |
|
|
|
1,913 |
|
|
|
- |
|
|
|
774 |
|
|
|
2,687 |
|
|
|
240,120 |
|
|
Total commercial real estate |
|
|
814,567 |
|
|
|
3,614 |
|
|
|
- |
|
|
|
3,968 |
|
|
|
7,582 |
|
|
|
822,149 |
|
|
Commercial and industrial |
|
|
211,143 |
|
|
|
906 |
|
|
|
- |
|
|
|
1,211 |
|
|
|
2,117 |
|
|
|
213,260 |
|
|
Consumer: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
71,719 |
|
|
|
1,098 |
|
|
|
- |
|
|
|
142 |
|
|
|
1,240 |
|
|
|
72,959 |
|
|
Consumer and other |
|
|
15,168 |
|
|
|
474 |
|
|
|
22 |
|
|
|
14 |
|
|
|
510 |
|
|
|
15,678 |
|
|
Total consumer |
|
|
86,887 |
|
|
|
1,572 |
|
|
|
22 |
|
|
|
156 |
|
|
|
1,750 |
|
|
|
88,637 |
|
|
Total gross loans |
|
$ |
1,112,597 |
|
|
$ |
6,092 |
|
|
$ |
22 |
|
|
$ |
5,335 |
|
|
$ |
11,449 |
|
|
$ |
1,124,046 |
|
Note 3 — Loans and Allowance for Loan Losses – Continued
|
|
|
December 31, 2015 |
|
|
|
|
|
|
|
|
30-89 Days |
|
|
90+ Days |
|
|
Non- |
|
|
Total |
|
|
Total |
|
|
(in thousands) |
|
Current |
|
|
Past Due |
|
|
Past Due |
|
|
accrual |
|
|
Past Due |
|
|
Loans |
|
|
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
567,886 |
|
|
$ |
5,804 |
|
|
$ |
- |
|
|
$ |
4,114 |
|
|
$ |
9,918 |
|
|
$ |
577,804 |
|
|
Construction and land development |
|
|
170,495 |
|
|
|
7,784 |
|
|
|
- |
|
|
|
1,385 |
|
|
|
9,169 |
|
|
|
179,664 |
|
|
Total commercial real estate |
|
|
738,381 |
|
|
|
13,588 |
|
|
|
- |
|
|
|
5,499 |
|
|
|
19,087 |
|
|
|
757,468 |
|
|
Commercial and industrial |
|
|
205,765 |
|
|
|
1,315 |
|
|
|
- |
|
|
|
1,197 |
|
|
|
2,512 |
|
|
|
208,277 |
|
|
Consumer: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
69,950 |
|
|
|
588 |
|
|
|
- |
|
|
|
631 |
|
|
|
1,219 |
|
|
|
71,169 |
|
|
Consumer and other |
|
|
14,596 |
|
|
|
258 |
|
|
|
3 |
|
|
|
88 |
|
|
|
349 |
|
|
|
14,945 |
|
|
Total consumer |
|
|
84,546 |
|
|
|
846 |
|
|
|
3 |
|
|
|
719 |
|
|
|
1,568 |
|
|
|
86,114 |
|
|
Total gross loans |
|
$ |
1,028,692 |
|
|
$ |
15,749 |
|
|
$ |
3 |
|
|
$ |
7,415 |
|
|
$ |
23,167 |
|
|
$ |
1,051,859 |
|
Credit Quality Indicators:
In addition to past due and non-accrual criteria, the Company also analyzes loans using a loan grading system. Performance-based grading follows the Company’s definitions of Pass, Special Mention, Substandard and Doubtful, which are consistent with published definitions of regulatory risk classifications.
Definitions of Pass, Special Mention, Substandard and Doubtful are summarized as follows:
Pass: A Pass asset is higher quality and does not fit any of the other categories described below. The likelihood of loss is considered remote.
Special Mention: A Special Mention asset has potential weaknesses that may be temporary or, if left uncorrected, may result in a loss. While concerns exist, the Company is currently protected and loss is considered unlikely and not imminent.
Substandard: A Substandard asset is inadequately protected by the current sound net worth and paying capacity of the obligor or of the collateral pledged, if any. Assets so classified have well defined weaknesses and are characterized by the distinct possibility that the Company may sustain some loss if deficiencies are not corrected.
Doubtful: A Doubtful asset has all the weaknesses inherent in a Substandard asset with the added characteristics that the weaknesses make collection or liquidation in full highly questionable.
For Consumer loans, the Company generally assigns internal risk grades similar to those described above based on payment performance.
Note 3 — Loans and Allowance for Loan Losses – Continued
Outstanding loan balances (accruing and non-accruing) categorized by these credit quality indicators are summarized as follows:
|
|
|
December 31, 2016 |
|
|
|
|
|
|
|
|
Special |
|
|
Substandard |
|
|
Total |
|
|
Total |
|
|
(in thousands) |
|
Pass |
|
|
Mention |
|
|
and Doubtful |
|
|
Loans |
|
|
Allowance |
|
|
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
565,550 |
|
|
$ |
10,609 |
|
|
$ |
5,870 |
|
|
$ |
582,029 |
|
|
$ |
6,770 |
|
|
Construction and land development |
|
|
234,359 |
|
|
|
2,222 |
|
|
|
3,539 |
|
|
|
240,120 |
|
|
|
5,449 |
|
|
Total commercial real estate |
|
|
799,909 |
|
|
|
12,831 |
|
|
|
9,409 |
|
|
|
822,149 |
|
|
|
12,219 |
|
|
Commercial and industrial |
|
|
205,933 |
|
|
|
2,266 |
|
|
|
5,061 |
|
|
|
213,260 |
|
|
|
3,718 |
|
|
Consumer loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
69,287 |
|
|
|
1,869 |
|
|
|
1,803 |
|
|
|
72,959 |
|
|
|
617 |
|
|
Consumer and other |
|
|
15,542 |
|
|
|
- |
|
|
|
136 |
|
|
|
15,678 |
|
|
|
161 |
|
|
Total consumer |
|
|
84,829 |
|
|
|
1,869 |
|
|
|
1,939 |
|
|
|
88,637 |
|
|
|
778 |
|
|
Total |
|
$ |
1,090,671 |
|
|
$ |
16,966 |
|
|
$ |
16,409 |
|
|
$ |
1,124,046 |
|
|
$ |
16,715 |
|
|
|
|
December 31, 2015 |
|
|
|
|
|
|
|
|
Special |
|
|
Substandard |
|
|
Total |
|
|
Total |
|
|
(in thousands) |
|
Pass |
|
|
Mention |
|
|
and Doubtful |
|
|
Loans |
|
|
Allowance |
|
|
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
551,001 |
|
|
$ |
16,326 |
|
|
$ |
10,477 |
|
|
$ |
577,804 |
|
|
$ |
6,783 |
|
|
Construction and land development |
|
|
172,368 |
|
|
|
2,934 |
|
|
|
4,362 |
|
|
|
179,664 |
|
|
|
3,984 |
|
|
Total commercial real estate |
|
|
723,369 |
|
|
|
19,260 |
|
|
|
14,839 |
|
|
|
757,468 |
|
|
|
10,767 |
|
|
Commercial and industrial |
|
|
195,611 |
|
|
|
5,626 |
|
|
|
7,040 |
|
|
|
208,277 |
|
|
|
3,941 |
|
|
Consumer loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
67,088 |
|
|
|
1,666 |
|
|
|
2,415 |
|
|
|
71,169 |
|
|
|
603 |
|
|
Consumer and other |
|
|
14,816 |
|
|
|
36 |
|
|
|
93 |
|
|
|
14,945 |
|
|
|
246 |
|
|
Total consumer |
|
|
81,904 |
|
|
|
1,702 |
|
|
|
2,508 |
|
|
|
86,114 |
|
|
|
849 |
|
|
Total |
|
$ |
1,000,884 |
|
|
$ |
26,588 |
|
|
$ |
24,387 |
|
|
$ |
1,051,859 |
|
|
$ |
15,557 |
|
Note 3 — Loans and Allowance for Loan Losses – Continued
The ALLL and outstanding loan balances reviewed according to the Company’s impairment method are summarized as follows:
|
|
|
December 31, 2016 |
|
|
|
|
Real |
|
|
Construction |
|
|
Commercial |
|
|
Residential |
|
|
Consumer |
|
|
|
|
|
|
|
|
Estate |
|
|
and Land |
|
|
and |
|
|
and Home |
|
|
and |
|
|
|
|
|
|
(in thousands) |
|
Term |
|
|
Development |
|
|
Industrial |
|
|
Equity |
|
|
Other |
|
|
Total |
|
|
Allowance for loan losses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Individually evaluated for impairment |
|
$ |
189 |
|
|
$ |
67 |
|
|
$ |
323 |
|
|
$ |
75 |
|
|
$ |
- |
|
|
$ |
654 |
|
|
Collectively evaluated for impairment |
|
|
6,581 |
|
|
|
5,382 |
|
|
|
3,395 |
|
|
|
542 |
|
|
|
161 |
|
|
|
16,061 |
|
|
Total |
|
$ |
6,770 |
|
|
$ |
5,449 |
|
|
$ |
3,718 |
|
|
$ |
617 |
|
|
$ |
161 |
|
|
$ |
16,715 |
|
|
Outstanding loan balances: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Individually evaluated for impairment |
|
$ |
5,778 |
|
|
$ |
2,995 |
|
|
$ |
6,045 |
|
|
$ |
1,476 |
|
|
$ |
- |
|
|
$ |
16,294 |
|
|
Collectively evaluated for impairment |
|
|
576,251 |
|
|
|
237,125 |
|
|
|
207,215 |
|
|
|
71,483 |
|
|
|
15,678 |
|
|
|
1,107,752 |
|
|
Total gross loans |
|
$ |
582,029 |
|
|
$ |
240,120 |
|
|
$ |
213,260 |
|
|
$ |
72,959 |
|
|
$ |
15,678 |
|
|
$ |
1,124,046 |
|
|
|
|
December 31, 2015 |
|
|
|
|
Real |
|
|
Construction |
|
|
Commercial |
|
|
Residential |
|
|
Consumer |
|
|
|
|
|
|
|
|
Estate |
|
|
and Land |
|
|
and |
|
|
and Home |
|
|
and |
|
|
|
|
|
|
(in thousands) |
|
Term |
|
|
Development |
|
|
Industrial |
|
|
Equity |
|
|
Other |
|
|
Total |
|
|
Allowance for loan losses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Individually evaluated for impairment |
|
$ |
283 |
|
|
$ |
67 |
|
|
$ |
1,078 |
|
|
$ |
79 |
|
|
$ |
15 |
|
|
$ |
1,522 |
|
|
Collectively evaluated for impairment |
|
|
6,500 |
|
|
|
3,917 |
|
|
|
2,863 |
|
|
|
524 |
|
|
|
231 |
|
|
|
14,035 |
|
|
Total |
|
$ |
6,783 |
|
|
$ |
3,984 |
|
|
$ |
3,941 |
|
|
$ |
603 |
|
|
$ |
246 |
|
|
$ |
15,557 |
|
|
Outstanding loan balances: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Individually evaluated for impairment |
|
$ |
10,225 |
|
|
$ |
4,219 |
|
|
$ |
7,009 |
|
|
$ |
2,451 |
|
|
$ |
15 |
|
|
$ |
23,919 |
|
|
Collectively evaluated for impairment |
|
|
567,579 |
|
|
|
175,445 |
|
|
|
201,268 |
|
|
|
68,718 |
|
|
|
14,930 |
|
|
|
1,027,940 |
|
|
Total gross loans |
|
$ |
577,804 |
|
|
$ |
179,664 |
|
|
$ |
208,277 |
|
|
$ |
71,169 |
|
|
$ |
14,945 |
|
|
$ |
1,051,859 |
|
Note 3 — Loans and Allowance for Loan Losses – Continued
Information on impaired loans is summarized as follows:
|
|
|
December 31, 2016 |
|
|
|
|
|
|
|
|
Recorded Investment |
|
|
|
|
|
|
|
|
|
|
|
|
Unpaid |
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
Principal |
|
|
With No |
|
|
With |
|
|
Recorded |
|
|
Related |
|
|
(in thousands) |
|
Balance |
|
|
Allowance |
|
|
Allowance |
|
|
Investment |
|
|
Allowance |
|
|
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
5,864 |
|
|
$ |
2,979 |
|
|
$ |
2,799 |
|
|
$ |
5,778 |
|
|
$ |
189 |
|
|
Construction and land development |
|
|
3,949 |
|
|
|
2,790 |
|
|
|
205 |
|
|
|
2,995 |
|
|
|
67 |
|
|
Total commercial real estate |
|
|
9,813 |
|
|
|
5,769 |
|
|
|
3,004 |
|
|
|
8,773 |
|
|
|
256 |
|
|
Commercial and industrial |
|
|
6,937 |
|
|
|
4,458 |
|
|
|
1,587 |
|
|
|
6,045 |
|
|
|
323 |
|
|
Consumer loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
1,476 |
|
|
|
1,071 |
|
|
|
405 |
|
|
|
1,476 |
|
|
|
75 |
|
|
Consumer and other |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
- |
|
|
Total consumer |
|
|
1,476 |
|
|
|
1,071 |
|
|
|
405 |
|
|
|
1,476 |
|
|
|
75 |
|
|
Total |
|
$ |
18,226 |
|
|
$ |
11,298 |
|
|
$ |
4,996 |
|
|
$ |
16,294 |
|
|
$ |
654 |
|
|
|
|
December 31, 2015 |
|
|
|
|
|
|
|
|
Recorded Investment |
|
|
|
|
|
|
|
|
|
|
|
|
Unpaid |
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
Principal |
|
|
With No |
|
|
With |
|
|
Recorded |
|
|
Related |
|
|
(in thousands) |
|
Balance |
|
|
Allowance |
|
|
Allowance |
|
|
Investment |
|
|
Allowance |
|
|
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
10,430 |
|
|
$ |
7,266 |
|
|
$ |
2,959 |
|
|
$ |
10,225 |
|
|
$ |
283 |
|
|
Construction and land development |
|
|
6,055 |
|
|
|
4,007 |
|
|
|
212 |
|
|
|
4,219 |
|
|
|
67 |
|
|
Total commercial real estate |
|
|
16,485 |
|
|
|
11,273 |
|
|
|
3,171 |
|
|
|
14,444 |
|
|
|
350 |
|
|
Commercial and industrial |
|
|
7,562 |
|
|
|
3,510 |
|
|
|
3,499 |
|
|
|
7,009 |
|
|
|
1,078 |
|
|
Consumer loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
2,514 |
|
|
|
2,019 |
|
|
|
432 |
|
|
|
2,451 |
|
|
|
79 |
|
|
Consumer and other |
|
|
58 |
|
|
|
15 |
|
|
|
- |
|
|
|
15 |
|
|
|
15 |
|
|
Total consumer |
|
|
2,572 |
|
|
|
2,034 |
|
|
|
432 |
|
|
|
2,466 |
|
|
|
94 |
|
|
Total |
|
$ |
26,619 |
|
|
$ |
16,817 |
|
|
$ |
7,102 |
|
|
$ |
23,919 |
|
|
$ |
1,522 |
|
Note 3 — Loans and Allowance for Loan Losses – Continued
The interest income recognized on impaired loans was as follows:
|
|
|
Year Ended December 31, |
|
|
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
|
|
Average |
|
|
Interest |
|
|
Average |
|
|
Interest |
|
|
Average |
|
|
Interest |
|
|
|
|
Recorded |
|
|
Income |
|
|
Recorded |
|
|
Income |
|
|
Recorded |
|
|
Income |
|
|
(in thousands) |
|
Investment |
|
|
Recognition |
|
|
Investment |
|
|
Recognition |
|
|
Investment |
|
|
Recognition |
|
|
Commercial real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real estate term |
|
$ |
7,435 |
|
|
$ |
240 |
|
|
$ |
10,317 |
|
|
$ |
380 |
|
|
$ |
15,010 |
|
|
$ |
501 |
|
|
Construction and land development |
|
|
2,809 |
|
|
|
168 |
|
|
|
5,015 |
|
|
|
276 |
|
|
|
8,858 |
|
|
|
353 |
|
|
Total commercial real estate |
|
|
10,244 |
|
|
|
408 |
|
|
|
15,332 |
|
|
|
656 |
|
|
|
23,868 |
|
|
|
854 |
|
|
Commercial and industrial |
|
|
6,214 |
|
|
|
311 |
|
|
|
6,318 |
|
|
|
251 |
|
|
|
7,003 |
|
|
|
253 |
|
|
Consumer loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential and home equity |
|
|
1,695 |
|
|
|
67 |
|
|
|
2,916 |
|
|
|
105 |
|
|
|
3,985 |
|
|
|
131 |
|
|
Consumer and other |
|
|
60 |
|
|
|
1 |
|
|
|
24 |
|
|
|
1 |
|
|
|
35 |
|
|
|
2 |
|
|
Total consumer |
|
|
1,755 |
|
|
|
68 |
|
|
|
2,940 |
|
|
|
106 |
|
|
|
4,020 |
|
|
|
133 |
|
|
Total |
|
$ |
18,213 |
|
|
$ |
787 |
|
|
$ |
24,590 |
|
|
$ |
1,013 |
|
|
$ |
34,891 |
|
|
$ |
1,240 |
|
Loans to affiliates — The Company has entered into loan transactions with certain directors and executive committee members (“affiliates”). Such transactions were made in the ordinary course of business on substantially the same terms and conditions, including interest rates and collateral, as those prevailing at the same time for comparable transactions with other customers, and did not, in the opinion of management, involve more than normal credit risk or present other unfavorable features. Total outstanding loans with affiliates were $330,000 and $521,000 at December 31, 2016 and 2015, respectively. Available lines of credit for loans and credit cards to affiliates were $537,000 at December 31, 2016.
|