Quarterly report pursuant to Section 13 or 15(d)

LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)

v3.3.0.814
LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)
9 Months Ended
Sep. 30, 2015
LOANS AND ALLOWANCE FOR LOAN LOSSES [Abstract]  
Loans Stated at Face Amount, Net of Unearned Income

Loans are stated at their face amount, net of deferred fees and costs, and consist of the following at September 30, 2015 and December 31, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

September 30,

 

December 31,

 

2015

 

2014

Commercial:

 

 

 

 

 

Commercial Construction

$

429,645 

 

$

341,280 

Commercial Real Estate - Owner Occupied

 

863,551 

 

 

875,443 

Commercial Real Estate - Non-Owner Occupied

 

1,586,334 

 

 

1,509,159 

Raw Land and Lots

 

187,182 

 

 

211,225 

Single Family Investment Real Estate

 

436,340 

 

 

412,494 

Commercial and Industrial

 

444,199 

 

 

393,776 

Other Commercial

 

89,344 

 

 

81,106 

Consumer:

 

 

 

 

 

Mortgage

 

466,418 

 

 

478,151 

Consumer Construction

 

55,718 

 

 

74,168 

Indirect Auto

 

217,928 

 

 

199,411 

Indirect Marine

 

42,763 

 

 

43,190 

HELOCs

 

492,202 

 

 

500,579 

Credit Card

 

 -

 

 

24,225 

Other Consumer

 

231,997 

 

 

201,789 

       Total

$

5,543,621 

 

$

5,345,996 

 

Summary of Aging of the Loan Portfolio by Class

 

The following table shows the aging of the Company’s loan portfolio, by class, at September 30, 2015 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

30-59 Days Past Due

 

60-89 Days Past Due

 

Greater Than 90 Days and still Accruing

 

PCI

 

Nonaccrual

 

Current

 

Total Loans

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

296 

 

$

 -

 

$

126 

 

$

2,459 

 

$

1,786 

 

$

424,978 

 

$

429,645 

Commercial Real Estate - Owner Occupied

 

1,148 

 

 

165 

 

 

680 

 

 

28,695 

 

 

3,989 

 

 

828,874 

 

 

863,551 

Commercial Real Estate - Non-Owner Occupied

 

752 

 

 

974 

 

 

1,821 

 

 

15,172 

 

 

200 

 

 

1,567,415 

 

 

1,586,334 

Raw Land and Lots

 

93 

 

 

 -

 

 

 -

 

 

5,141 

 

 

493 

 

 

181,455 

 

 

187,182 

Single Family Investment Real Estate

 

536 

 

 

35 

 

 

228 

 

 

15,167 

 

 

1,157 

 

 

419,217 

 

 

436,340 

Commercial and Industrial

 

721 

 

 

696 

 

 

494 

 

 

2,249 

 

 

903 

 

 

439,136 

 

 

444,199 

Other Commercial

 

643 

 

 

 -

 

 

 -

 

 

793 

 

 

61 

 

 

87,847 

 

 

89,344 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

2,485 

 

 

5,079 

 

 

875 

 

 

5,561 

 

 

2,276 

 

 

450,142 

 

 

466,418 

Consumer Construction

 

250 

 

 

 -

 

 

 -

 

 

251 

 

 

819 

 

 

54,398 

 

 

55,718 

Indirect Auto

 

1,319 

 

 

270 

 

 

116 

 

 

 -

 

 

89 

 

 

216,134 

 

 

217,928 

Indirect Marine

 

150 

 

 

 -

 

 

94 

 

 

 -

 

 

 -

 

 

42,519 

 

 

42,763 

HELOCs

 

3,192 

 

 

1,085 

 

 

282 

 

 

1,812 

 

 

611 

 

 

485,220 

 

 

492,202 

Other Consumer

 

1,521 

 

 

966 

 

 

448 

 

 

1,306 

 

 

582 

 

 

227,174 

 

 

231,997 

Total

$

13,106 

 

$

9,270 

 

$

5,164 

 

$

78,606 

 

$

12,966 

 

$

5,424,509 

 

$

5,543,621 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The following table shows the aging of the Company’s loan portfolio, by class, at December 31, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

30-59 Days Past Due

 

60-89 Days Past Due

 

Greater Than 90 Days and still Accruing

 

PCI

 

Nonaccrual

 

Current

 

Total Loans

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

815 

 

$

 -

 

$

 -

 

$

3,782 

 

$

968 

 

$

335,715 

 

$

341,280 

Commercial Real Estate - Owner Occupied

 

621 

 

 

1,542 

 

 

1,683 

 

 

31,167 

 

 

1,060 

 

 

839,370 

 

 

875,443 

Commercial Real Estate - Non-Owner Occupied

 

3,984 

 

 

237 

 

 

91 

 

 

28,869 

 

 

5,902 

 

 

1,470,076 

 

 

1,509,159 

Raw Land and Lots

 

145 

 

 

44 

 

 

194 

 

 

7,427 

 

 

2,359 

 

 

201,056 

 

 

211,225 

Single Family Investment Real Estate

 

2,825 

 

 

338 

 

 

734 

 

 

16,879 

 

 

2,070 

 

 

389,648 

 

 

412,494 

Commercial and Industrial

 

1,250 

 

 

529 

 

 

549 

 

 

3,855 

 

 

3,286 

 

 

384,307 

 

 

393,776 

Other Commercial

 

42 

 

 

 

 

 -

 

 

2,256 

 

 

74 

 

 

78,732 

 

 

81,106 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

12,851 

 

 

4,300 

 

 

4,095 

 

 

7,394 

 

 

2,485 

 

 

447,026 

 

 

478,151 

Consumer Construction

 

120 

 

 

 -

 

 

844 

 

 

516 

 

 

 -

 

 

72,688 

 

 

74,168 

Indirect Auto

 

1,593 

 

 

263 

 

 

317 

 

 

 -

 

 

 -

 

 

197,238 

 

 

199,411 

Indirect Marine

 

150 

 

 

 -

 

 

 -

 

 

 -

 

 

201 

 

 

42,839 

 

 

43,190 

HELOCs

 

3,082 

 

 

955 

 

 

820 

 

 

2,000 

 

 

258 

 

 

493,464 

 

 

500,579 

Credit Card

 

232 

 

 

108 

 

 

219 

 

 

 -

 

 

 -

 

 

23,666 

 

 

24,225 

Other Consumer

 

1,587 

 

 

412 

 

 

501 

 

 

1,643 

 

 

592 

 

 

197,054 

 

 

201,789 

Total

$

29,297 

 

$

8,730 

 

$

10,047 

 

$

105,788 

 

$

19,255 

 

$

5,172,879 

 

$

5,345,996 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Summary of Aging of the Acquired with Deteriorated Credit Quality Loan Portfolio by Class

The following table shows the PCI commercial and consumer loan portfolios, by class and their delinquency status, at September 30, 2015 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

30-89 Days Past Due

 

Greater than 90 Days

 

Current

 

Total

Commercial:

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

 -

 

$

459 

 

$

2,000 

 

$

2,459 

Commercial Real Estate - Owner Occupied

 

1,024 

 

 

1,752 

 

 

25,919 

 

 

28,695 

Commercial Real Estate - Non-Owner Occupied

 

1,202 

 

 

392 

 

 

13,578 

 

 

15,172 

Raw Land and Lots

 

196 

 

 

70 

 

 

4,875 

 

 

5,141 

Single Family Investment Real Estate

 

1,225 

 

 

646 

 

 

13,296 

 

 

15,167 

Commercial and Industrial

 

412 

 

 

69 

 

 

1,768 

 

 

2,249 

Other Commercial

 

31 

 

 

63 

 

 

699 

 

 

793 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

597 

 

 

1,612 

 

 

3,352 

 

 

5,561 

Consumer Construction

 

 -

 

 

251 

 

 

 -

 

 

251 

HELOCs

 

244 

 

 

365 

 

 

1,203 

 

 

1,812 

Other Consumer

 

47 

 

 

60 

 

 

1,199 

 

 

1,306 

Total

$

4,978 

 

$

5,739 

 

$

67,889 

 

$

78,606 

 

 

 

 

 

 

 

 

 

 

 

 

 

The following table shows the PCI commercial and consumer loan portfolios, by class and their delinquency status, at December 31, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

30-89 Days Past Due

 

Greater than 90 Days

 

Current

 

Total

Commercial:

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

 -

 

$

652 

 

$

3,130 

 

$

3,782 

Commercial Real Estate - Owner Occupied

 

1,138 

 

 

843 

 

 

29,186 

 

 

31,167 

Commercial Real Estate - Non-Owner Occupied

 

523 

 

 

1,255 

 

 

27,091 

 

 

28,869 

Raw Land and Lots

 

522 

 

 

 -

 

 

6,905 

 

 

7,427 

Single Family Investment Real Estate

 

1,327 

 

 

1,311 

 

 

14,241 

 

 

16,879 

Commercial and Industrial

 

144 

 

 

538 

 

 

3,173 

 

 

3,855 

Other Commercial

 

107 

 

 

1,133 

 

 

1,016 

 

 

2,256 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

1,975 

 

 

2,866 

 

 

2,553 

 

 

7,394 

Consumer Construction

 

 -

 

 

516 

 

 

 -

 

 

516 

HELOCs

 

356 

 

 

728 

 

 

916 

 

 

2,000 

Other Consumer

 

89 

 

 

171 

 

 

1,383 

 

 

1,643 

Total

$

6,181 

 

$

10,013 

 

$

89,594 

 

$

105,788 

 

Impaired Loans by Class

The following table shows the Company’s impaired loans, excluding PCI loans related to the StellarOne acquisition, by class at September 30, 2015 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Recorded Investment

 

Unpaid Principal Balance

 

Related Allowance

 

YTD Average Investment

 

Interest Income Recognized

Loans without a specific allowance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

5,760 

 

$

6,036 

 

$

 -

 

$

5,126 

 

$

187 

Commercial Real Estate - Owner Occupied

 

11,801 

 

 

11,998 

 

 

 -

 

 

11,602 

 

 

356 

Commercial Real Estate - Non-Owner Occupied

 

6,854 

 

 

7,166 

 

 

 -

 

 

7,025 

 

 

212 

Raw Land and Lots

 

24,762 

 

 

24,896 

 

 

 -

 

 

25,595 

 

 

1,290 

Single Family Investment Real Estate

 

2,295 

 

 

2,721 

 

 

 -

 

 

2,455 

 

 

99 

Commercial and Industrial

 

1,983 

 

 

2,532 

 

 

 -

 

 

2,115 

 

 

47 

Other Commercial

 

876 

 

 

876 

 

 

 -

 

 

895 

 

 

41 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

333 

 

 

333 

 

 

 -

 

 

333 

 

 

Consumer Construction

 

819 

 

 

821 

 

 

 -

 

 

822 

 

 

29 

HELOCs

 

196 

 

 

331 

 

 

 -

 

 

310 

 

 

10 

Other Consumer

 

216 

 

 

339 

 

 

 -

 

 

285 

 

 

15 

Total impaired loans without a specific allowance

$

55,895 

 

$

58,049 

 

$

 -

 

$

56,563 

 

$

2,294 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans with a specific allowance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

561 

 

$

561 

 

$

40 

 

$

629 

 

$

16 

Commercial Real Estate - Owner Occupied

 

6,763 

 

 

7,874 

 

 

677 

 

 

7,107 

 

 

191 

Commercial Real Estate - Non-Owner Occupied

 

6,863 

 

 

6,864 

 

 

178 

 

 

6,870 

 

 

304 

Raw Land and Lots

 

1,224 

 

 

1,221 

 

 

60 

 

 

978 

 

 

34 

Single Family Investment Real Estate

 

3,018 

 

 

3,035 

 

 

212 

 

 

3,052 

 

 

113 

Commercial and Industrial

 

2,581 

 

 

2,640 

 

 

330 

 

 

2,684 

 

 

100 

Other Commercial

 

423 

 

 

451 

 

 

32 

 

 

475 

 

 

16 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

3,273 

 

 

3,522 

 

 

362 

 

 

3,495 

 

 

64 

Indirect Auto

 

89 

 

 

95 

 

 

 

 

121 

 

 

HELOCs

 

1,008 

 

 

1,038 

 

 

 

 

1,032 

 

 

24 

Other Consumer

 

525 

 

 

720 

 

 

115 

 

 

635 

 

 

17 

Total impaired loans with a specific allowance

$

26,328 

 

$

28,021 

 

$

2,012 

 

$

27,078 

 

$

884 

Total impaired loans

$

82,223 

 

$

86,070 

 

$

2,012 

 

$

83,641 

 

$

3,178 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The following table shows the Company’s impaired loans, by class, at December 31, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Recorded Investment

 

Unpaid Principal Balance

 

Related Allowance

 

YTD Average Investment

 

Interest Income Recognized

Loans without a specific allowance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

5,281 

 

$

5,367 

 

$

 -

 

$

5,755 

 

$

165 

Commercial Real Estate - Owner Occupied

 

15,722 

 

 

16,430 

 

 

 -

 

 

16,774 

 

 

737 

Commercial Real Estate - Non-Owner Occupied

 

22,917 

 

 

22,917 

 

 

 -

 

 

23,209 

 

 

1,116 

Raw Land and Lots

 

44,790 

 

 

47,662 

 

 

 -

 

 

47,988 

 

 

2,124 

Single Family Investment Real Estate

 

4,197 

 

 

4,881 

 

 

 -

 

 

6,534 

 

 

170 

Commercial and Industrial

 

4,453 

 

 

7,933 

 

 

 -

 

 

5,070 

 

 

121 

Other Commercial

 

1,536 

 

 

1,538 

 

 

 -

 

 

1,624 

 

 

90 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

1,571 

 

 

1,582 

 

 

 -

 

 

1,583 

 

 

58 

Indirect Auto

 

 -

 

 

 

 

 -

 

 

 

 

 -

Indirect Marine

 

201 

 

 

505 

 

 

 -

 

 

281 

 

 

 -

HELOCs

 

559 

 

 

699 

 

 

 -

 

 

573 

 

 

Other Consumer

 

89 

 

 

208 

 

 

 -

 

 

107 

 

 

 -

Total impaired loans without a specific allowance

$

101,316 

 

$

109,728 

 

$

 -

 

$

109,502 

 

$

4,589 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans with a specific allowance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

$

570 

 

$

570 

 

$

51 

 

$

506 

 

$

13 

Commercial Real Estate - Owner Occupied

 

5,951 

 

 

5,999 

 

 

355 

 

 

5,946 

 

 

280 

Commercial Real Estate - Non-Owner Occupied

 

10,575 

 

 

10,572 

 

 

2,017 

 

 

10,823 

 

 

474 

Raw Land and Lots

 

1,343 

 

 

1,373 

 

 

98 

 

 

1,472 

 

 

59 

Single Family Investment Real Estate

 

4,125 

 

 

4,144 

 

 

562 

 

 

4,293 

 

 

159 

Commercial and Industrial

 

2,938 

 

 

3,009 

 

 

582 

 

 

3,125 

 

 

138 

Other Commercial

 

359 

 

 

378 

 

 

32 

 

 

442 

 

 

29 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

3,323 

 

 

3,375 

 

 

481 

 

 

3,381 

 

 

60 

Consumer Construction

 

375 

 

 

375 

 

 

34 

 

 

373 

 

 

19 

Indirect Marine

 

192 

 

 

192 

 

 

 

 

199 

 

 

15 

HELOCs

 

434 

 

 

434 

 

 

 

 

436 

 

 

17 

Other Consumer

 

679 

 

 

706 

 

 

310 

 

 

686 

 

 

19 

Total impaired loans with a specific allowance

$

30,864 

 

$

31,127 

 

$

4,531 

 

$

31,682 

 

$

1,282 

Total impaired loans

$

132,180 

 

$

140,855 

 

$

4,531 

 

$

141,184 

 

$

5,871 

 

Summary of Modified Loans that Continue to Accrue Interest Under the Terms of Restructuring Agreement

The following table provides a summary, by class, of modified loans that continue to accrue interest under the terms of the restructuring agreement, which are considered to be performing, and modified loans that have been placed on nonaccrual status, which are considered to be nonperforming, as of September 30, 2015 and December 31, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

September 30, 2015

 

December 31, 2014

 

No. of Loans

 

Recorded Investment

 

Outstanding Commitment

 

No. of Loans

 

Recorded Investment

 

Outstanding Commitment

Performing

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

 

$

296 

 

$

 -

 

 

$

707 

 

$

 -

Commercial Real Estate - Owner Occupied

 

 

1,608 

 

 

 -

 

 

 

682 

 

 

 -

Commercial Real Estate - Non-Owner Occupied

 

 

2,390 

 

 

 -

 

 

 

3,362 

 

 

 -

Raw Land and Lots

 

 

3,081 

 

 

 -

 

 

 

14,777 

 

 

 -

Single Family Investment Real Estate

 

 

444 

 

 

 -

 

 

 

1,046 

 

 

 -

Commercial and Industrial

 

 

103 

 

 

 -

 

 

 

722 

 

 

 -

Other Commercial

 

 

128 

 

 

 -

 

 

 

191 

 

 

 -

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

 

1,331 

 

 

 -

 

 

 

1,244 

 

 

 -

Other Consumer

 

 

87 

 

 

 -

 

 

 

98 

 

 

 -

Total performing

28 

 

$

9,468 

 

$

 -

 

42 

 

$

22,829 

 

$

 -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonperforming

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Construction

 

$

126 

 

$

 -

 

 

$

253 

 

$

 -

Commercial Real Estate - Owner Occupied

 

 

140 

 

 

 -

 

 

 

153 

 

 

 -

Commercial Real Estate - Non-Owner Occupied

 

 

200 

 

 

 -

 

 

 

539 

 

 

 -

Raw Land and Lots

 

 

33 

 

 

 -

 

 

 

1,053 

 

 

 -

Single Family Investment Real Estate

 

 

234 

 

 

 -

 

 

 

433 

 

 

 -

Commercial and Industrial

 

 

485 

 

 

 -

 

 

 

616 

 

 

 -

Other Commercial

 

 

61 

 

 

 -

 

 

 

74 

 

 

 -

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage

 

 

771 

 

 

 -

 

 

 

770 

 

 

 -

Other Consumer

 

 

37 

 

 

 -

 

 

 

57 

 

 

 -

Total nonperforming

14 

 

$

2,087 

 

$

 -

 

16 

 

$

3,948 

 

$

 -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total performing and nonperforming

42 

 

$

11,555 

 

$

 -

 

58 

 

$

26,777 

 

$

 -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Schedule of TDR by Class and Modification Type

The following table shows, by class and modification type, TDRs that occurred during the three and nine months ended September 30, 2015 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

Three months ended

 

Nine months ended

 

September 30, 2015

 

September 30, 2015

 

No. of Loans

 

Recorded Investment at Period End

 

No. of Loans

 

Recorded Investment at Period End

Term modification, at a market rate

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

Commercial Real Estate - Owner Occupied

 -

 

$

 -

 

 

$

117 

Commercial and Industrial

 -

 

 

 -

 

 

 

17 

Total loan term extended at a market rate

 -

 

$

 -

 

 

$

134 

 

 

 

 

 

 

 

 

 

 

Term modification, below market rate

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

Commercial Real Estate - Owner Occupied

 -

 

$

 -

 

 

$

871 

Raw Land and Lots

 

 

400 

 

 

 

400 

Consumer:

 

 

 

 

 

 

 

 

 

Mortgage

 

 

619 

 

 

 

619 

Other Consumer

 

 

55 

 

 

 

55 

Total loan term extended at a below market rate

 

$

1,074 

 

 

$

1,945 

 

 

 

 

 

 

 

 

 

 

Total

 

$

1,074 

 

 

$

2,079 

 

 

 

 

 

 

 

 

 

 

 

 

The following table shows, by class and modification type, TDRs that occurred during the three and nine months ended September 30, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

Three months ended

 

Nine months ended

 

September 30, 2014

 

September 30, 2014

 

No. of Loans

 

Recorded Investment at Period End

 

No. of Loans

 

Recorded Investment at Period End

Term modification, at a market rate

 

 

 

 

 

 

 

 

 

Commercial:

 

 

 

 

 

 

 

 

 

Commercial Real Estate - Non-Owner Occupied

 

$

989 

 

 

$

989 

Single Family Investment Real Estate

 -

 

 

 -

 

 

 

110 

Commercial and Industrial

 -

 

 

 -

 

 

 

33 

Other Commercial

 -

 

 

 -

 

 

 

269 

Total loan term extended at a market rate

 

$

989 

 

 

$

1,401 

 

 

 

 

 

 

 

 

 

 

Total

 

$

989 

 

 

$

1,401 

 

 

 

 

 

 

 

 

 

 

 

Allowance for Loan Loss Activity, by Portfolio Segment, Balances for Allowance for Credit Losses, and Loans Based on Impairment Methodology

The following table shows the allowance for loan loss activity, balances for allowance for loan losses, and loan balances based on impairment methodology by portfolio segment for the nine months ended and as of September 30, 2015.  The table below includes the provision for loan losses.  In addition, a $300,000 provision was recognized during the nine months ended September 30, 2015 for unfunded loan commitments for which the reserves are recorded as a component of “Other Liabilities” on the Company’s Consolidated Balance Sheets.  Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial

 

Consumer

 

Total

Allowance for loan losses:

 

 

 

 

 

 

 

 

 

Balance, beginning of the year

 

$

22,352 

 

$

10,032 

 

$

32,384 

    Recoveries credited to allowance

 

 

1,921 

 

 

1,073 

 

 

2,994 

    Loans charged off

 

 

(6,013)

 

 

(3,357)

 

 

(9,370)

    Provision charged to operations

 

 

5,364 

 

 

1,897 

 

 

7,261 

Balance, end of period

 

$

23,624 

 

$

9,645 

 

$

33,269 

 

 

 

 

 

 

 

 

 

 

Ending Balance, ALL:

 

 

 

 

 

 

 

 

 

Loans individually evaluated for impairment

 

$

1,529 

 

$

483 

 

$

2,012 

Loans collectively evaluated for impairment

 

 

22,095 

 

 

9,162 

 

 

31,257 

Loans acquired with deteriorated credit quality

 

 

 -

 

 

 -

 

 

 -

    Total

 

$

23,624 

 

$

9,645 

 

$

33,269 

 

 

 

 

 

 

 

 

 

 

Ending Balance, Loans:

 

 

 

 

 

 

 

 

 

Loans individually evaluated for impairment

 

$

75,308 

 

$

6,310 

 

$

81,618 

Loans collectively evaluated for impairment

 

 

3,891,611 

 

 

1,491,786 

 

 

5,383,397 

Loans acquired with deteriorated credit quality

 

 

69,676 

 

 

8,930 

 

 

78,606 

    Total

 

$

4,036,595 

 

$

1,507,026 

 

$

5,543,621 

 

 

 

 

 

 

 

 

 

 

 

The following table shows the allowance for loan loss activity, balances for allowance for loan losses, and loan balances based on impairment methodology by portfolio segment for the nine months ended and as of September 30, 2014.  Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial

 

Consumer

 

Total

Allowance for loan losses:

 

 

 

 

 

 

 

 

 

Balance, beginning of the year

 

$

19,908 

 

$

10,227 

 

$

30,135 

    Recoveries credited to allowance

 

 

1,999 

 

 

866 

 

 

2,865 

    Loans charged off

 

 

(1,991)

 

 

(2,200)

 

 

(4,191)

    Provision charged to operations

 

 

1,507 

 

 

1,793 

 

 

3,300 

Balance, end of period

 

$

21,423 

 

$

10,686 

 

$

32,109 

 

 

 

 

 

 

 

 

 

 

Ending Balance, ALL:

 

 

 

 

 

 

 

 

 

Loans individually evaluated for impairment

 

$

3,183 

 

$

922 

 

$

4,105 

Loans collectively evaluated for impairment

 

 

18,240 

 

 

9,764 

 

 

28,004 

Loans acquired with deteriorated credit quality

 

 

 -

 

 

 -

 

 

 -

    Total

 

$

21,423 

 

$

10,686 

 

$

32,109 

 

 

 

 

 

 

 

 

 

 

Ending Balance, Loans:

 

 

 

 

 

 

 

 

 

Loans individually evaluated for impairment

 

$

125,310 

 

$

8,855 

 

$

134,165 

Loans collectively evaluated for impairment

 

 

3,430,451 

 

 

1,486,644 

 

 

4,917,095 

Loans acquired with deteriorated credit quality

 

 

106,021 

 

 

13,722 

 

 

119,743 

    Total

 

$

3,661,782 

 

$

1,509,221 

 

$

5,171,003 

 

Loans Receivables Related Risk Rating Excluding Purchased Impaired Loans

The following table shows the recorded investment in all loans, excluding PCI loans, in the commercial portfolios by class with their related risk rating current as of September 30, 2015 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

0-3

 

4

 

5

 

6

 

7

 

8

 

Total

Commercial Construction

$

37,671 

 

$

355,150 

 

$

22,661 

 

$

8,857 

 

$

2,847 

 

$

 -

 

$

427,186 

Commercial Real Estate - Owner Occupied

 

179,846 

 

 

622,852 

 

 

13,967 

 

 

6,526 

 

 

9,433 

 

 

2,232 

 

 

834,856 

Commercial Real Estate - Non-Owner Occupied

 

467,026 

 

 

1,048,396 

 

 

19,654 

 

 

22,369 

 

 

13,717 

 

 

 -

 

 

1,571,162 

Raw Land and Lots

 

12,036 

 

 

122,236 

 

 

7,307 

 

 

15,792 

 

 

24,670 

 

 

 -

 

 

182,041 

Single Family Investment Real Estate

 

63,146 

 

 

339,683 

 

 

8,430 

 

 

5,210 

 

 

4,704 

 

 

 -

 

 

421,173 

Commercial and Industrial

 

186,807 

 

 

235,543 

 

 

10,732 

 

 

4,669 

 

 

4,199 

 

 

 -

 

 

441,950 

Other Commercial

 

43,355 

 

 

40,386 

 

 

2,613 

 

 

898 

 

 

1,299 

 

 

 -

 

 

88,551 

Total

$

989,887 

 

$

2,764,246 

 

$

85,364 

 

$

64,321 

 

$

60,869 

 

$

2,232 

 

$

3,966,919 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The following table shows the recorded investment in all loans, excluding PCI loans, in the commercial portfolios by class with their related risk rating current as of December 31, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-3

 

4

 

5

 

6

 

7

 

8

 

Total

Commercial Construction

$

22,512 

 

$

289,064 

 

$

11,932 

 

$

10,906 

 

$

3,084 

 

$

 -

 

$

337,498 

Commercial Real Estate - Owner Occupied

 

185,789 

 

 

620,587 

 

 

15,003 

 

 

7,688 

 

 

15,209 

 

 

 -

 

 

844,276 

Commercial Real Estate - Non-Owner Occupied

 

356,263 

 

 

1,041,515 

 

 

22,358 

 

 

28,388 

 

 

31,766 

 

 

 -

 

 

1,480,290 

Raw Land and Lots

 

11,162 

 

 

128,281 

 

 

16,803 

 

 

4,783 

 

 

42,769 

 

 

 -

 

 

203,798 

Single Family Investment Real Estate

 

59,638 

 

 

311,900 

 

 

9,750 

 

 

6,680 

 

 

7,647 

 

 

 -

 

 

395,615 

Commercial and Industrial

 

138,973 

 

 

230,084 

 

 

9,392 

 

 

4,383 

 

 

7,089 

 

 

 -

 

 

389,921 

Other Commercial

 

31,571 

 

 

40,913 

 

 

3,818 

 

 

844 

 

 

1,704 

 

 

 -

 

 

78,850 

Total

$

805,908 

 

$

2,662,344 

 

$

89,056 

 

$

63,672 

 

$

109,268 

 

$

 -

 

$

3,730,248 

 

Purchased Credit Impaired Loan Receivables Related Risk Rating

The following table shows the recorded investment in only PCI loans in the commercial portfolios by class with their related risk rating and credit quality indicator information current as of September 30, 2015 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

4

 

5

 

6

 

7

 

8

 

Total

Commercial Construction

$

 -

 

$

 -

 

$

2,000 

 

$

 -

 

$

459 

 

$

2,459 

Commercial Real Estate - Owner Occupied

 

5,203 

 

 

700 

 

 

9,016 

 

 

13,776 

 

 

 -

 

 

28,695 

Commercial Real Estate - Non-Owner Occupied

 

3,492 

 

 

6,288 

 

 

2,867 

 

 

2,525 

 

 

 -

 

 

15,172 

Raw Land and Lots

 

1,425 

 

 

517 

 

 

2,317 

 

 

882 

 

 

 -

 

 

5,141 

Single Family Investment Real Estate

 

4,598 

 

 

1,689 

 

 

4,322 

 

 

4,558 

 

 

 -

 

 

15,167 

Commercial and Industrial

 

357 

 

 

12 

 

 

360 

 

 

1,498 

 

 

22 

 

 

2,249 

Other Commercial

 

86 

 

 

 -

 

 

387 

 

 

320 

 

 

 -

 

 

793 

Total

$

15,161 

 

$

9,206 

 

$

21,269 

 

$

23,559 

 

$

481 

 

$

69,676 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The following table shows the recorded investment in only PCI loans in the commercial portfolios by class with their related risk rating and credit quality indicator information current as of December 31, 2014 (dollars in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

4

 

5

 

6

 

7

 

8

 

Total

Commercial Construction

$

 -

 

$

 -

 

$

3,130 

 

$

194 

 

$

458 

 

$

3,782 

Commercial Real Estate - Owner Occupied

 

1,525 

 

 

3,546 

 

 

10,880 

 

 

15,216 

 

 

 -

 

 

31,167 

Commercial Real Estate - Non-Owner Occupied

 

2,837 

 

 

934 

 

 

18,736 

 

 

6,362 

 

 

 -

 

 

28,869 

Raw Land and Lots

 

1,564 

 

 

189 

 

 

3,148 

 

 

2,526 

 

 

 -

 

 

7,427 

Single Family Investment Real Estate

 

2,807 

 

 

1,253 

 

 

6,462 

 

 

6,357 

 

 

 -

 

 

16,879 

Commercial and Industrial

 

437 

 

 

 -

 

 

913 

 

 

2,477 

 

 

28 

 

 

3,855 

Other Commercial

 

 -

 

 

 -

 

 

510 

 

 

1,746 

 

 

 -

 

 

2,256 

Total

$

9,170 

 

$

5,922 

 

$

43,779 

 

$

34,878 

 

$

486 

 

$

94,235 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Schedule of Acquired Loan Portfolio and Accretable Yield

 

 

The following shows changes in the accretable yield for loans accounted for under ASC 310-30, Receivables – Loans and Debt Securities Acquired with Deteriorated Credit Quality, for the periods presented (dollars in thousands):

 

 

 

 

 

 

 

 

 

For the Nine Months ended
June 30,

 

September 30,

 

2015

 

2014

Balance at beginning of period

$

28,956 

 

 

$

2,980 

 

Additions

 

 -

 

 

 

34,653 

 

Accretion

 

(4,707)

 

 

 

(5,681)

 

Reclass of nonaccretable difference due to improvement in expected cash flows

 

3,168 

 

 

 

 -

 

Other, net (1)

 

(5,624)

 

 

 

(2,150)

 

Balance at end of period

$

21,793 

 

 

$

29,802 

 

 

 

 

 

 

 

 

 

(1)    This line item represents changes in the cash flows expected to be collected due to the impact of non-credit changes such as prepayment assumptions, changes in interest rates on variable rate PCI loans, and discounted payoffs that occurred in the quarter.