Schedule of changes in allowance for loan losses

The following table presents a disaggregated analysis of activity in the allowance for credit losses as follows:

Residential

Other

CRE Owner

Non Owner

(Dollars in thousands)

Mortgage Sr.

Mortgage Jr.

HELOC

Construction

C&D

Consumer

Multifamily

Municipal

Occupied

Occupied CRE

C & I⁽²⁾

Total

Year Ended December 31, 2020

Allowance for credit losses:

Balance at beginning of period January 1, 2020

$

6,128

$

15

$

4,327

$

815

$

6,211

$

4,350

$

1,557

$

956

$

10,879

$

15,219

$

6,470

$

56,927

Impact of Adoption

5,455

11

3,849

779

5,588

3,490

1,391

914

9,505

13,898

6,150

51,030

Initial PCD Allowance

406

3

289

—

351

669

97

—

898

656

39

3,408

Adjusted CECL balance, January 1, 2020

$

11,989

$

29

$

8,465

$

1,594

$

12,150

$

8,509

$

3,045

$

1,870

$

21,282

$

29,773

$

12,659

$

111,365

Impact of merger on provision for non-PCD loans

16,712

226

4,227

4,893

7,673

3,836

1,212

919

25,393

35,067

9,284

109,442

Initial PCD Allowance

29,935

804

5,119

1,302

6,035

6,120

902

1,003

34,077

45,787

18,320

149,404

Charge-offs

(528)

(24)

(1,053)

(32)

(347)

(6,158)

—

(1,205)

(601)

(4,654)

(14,602)

Recoveries

1,143

455

1,251

111

1,407

1,922

71

—

1,089

518

3,810

11,777

Net charge offs

615

431

198

79

1,060

(4,236)

71

—

(116)

(83)

(844)

(2,825)

Provision (benefit) ⁽¹⁾

4,310

(252)

(1,311)

(2,954)

40,279

12,333

2,657

(2,282)

16,468

13,877

6,798

89,923

Balance at end of period December 31, 2020

$

63,561

$

1,238

$

16,698

$

4,914

$

67,197

$

26,562

$

7,887

$

1,510

$

97,104

$

124,421

$

46,217

$

457,309

-1

Allowance for credit losses:

Quantitative allowance

Collectively evaluated

$

54,656

$

1,238

$

14,625

$

4,733

$

67,188

$

18,435

$

7,887

$

685

$

91,106

$

116,571

$

38,805

$

415,929

Individually evaluated

82

—

77

—

9

120

—

948

6

7

1,249

Total quantitative allowance

54,738

1,238

14,702

4,733

67,197

18,555

7,887

685

92,054

116,577

38,812

417,178

Qualitative allowance

8,823

—

1,996

181

—

8,007

—

825

5,050

7,844

7,405

40,131

Balance at end of period December 31, 2020

$

63,561

$

1,238

$

16,698

$

4,914

$

67,197

$

26,562

$

7,887

$

1,510

$

97,104

$

124,421

$

46,217

$

457,309

(1)

– Additional provision for credit losses of $43.4 million was recorded during 2020 for the allowance for credit losses for unfunded commitments that is not considered in the above table. Of this amount, $9.6 million was from the initial impact from the merger with CSFL.

(2)

– The ACL for the C&I segment does not include reserve for PPP loans, which are government guaranteed.

An aggregated analysis of the changes in allowance for loan losses, for comparative periods, prior to the adoption of ASU 2016-13 is as follows:


	Non-acquired		Acquired Non-Credit		Acquired Credit
(Dollars in thousands)	Loans		Impaired Loans		Impaired Loans		Total
Year Ended December 31, 2019:
Balance at beginning of period	$	51,194	$	—	$	4,604	$	55,798
Loans charged-off		(6,917)		(2,858)		—		(9,775)
Recoveries of loans previously charged off		3,367		547		—		3,914
Net charge-offs		(3,550)		(2,311)		—		(5,861)
Provision for loan losses charged to operations		9,283		2,311		1,183		12,777
Reduction due to loan removals		—		—		(723)		(723)
Balance at end of period	$	56,927	$	—	$	5,064	$	61,991
Year Ended December 31, 2018:
Balance at beginning of period	$	43,448	$	—	$	4,627	$	48,075
Loans charged-off		(6,012)		(2,214)		—		(8,226)
Recoveries of loans previously charged off		2,995		305		—		3,300
Net charge-offs		(3,017)		(1,909)		—		(4,926)
Provision for loan losses charged to operations		10,763		1,909		1,111		13,783
Reduction due to loan removals		—		—		(1,134)		(1,134)
Balance at end of period	$	51,194	$	—	$	4,604	$	55,798

Allowance for Credit Losses

Schedule of changes in allowance for loan losses

The following tables present a disaggregated analysis of activity in the allowance for loan losses and loan balances for acquired non-credit impaired loans, for comparative periods, prior to the adoption of ASU 2016-13:


	Construction		Commercial		Commercial		Consumer						Other Income
	& Land		Non-owner		Owner		Owner		Home		Commercial		Producing
(Dollars in thousands)	Development		Occupied		Occupied		Occupied		Equity		& Industrial		Property		Consumer		Total
Year Ended December 31, 2019
Allowance for loan losses:
Balance at beginning of period	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Charge-offs		(44)		—		(786)		(6)		(263)		(1,289)		(26)		(444)		(2,858)
Recoveries		3		—		—		26		206		190		71		51		547
Provision (benefit)		41		—		786		(20)		57		1,099		(45)		393		2,311
Balance, December 31, 2019	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans:
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment		33,569		447,441		307,193		496,431		188,732		101,880		95,697		89,484		1,760,427
Total acquired non-credit impaired loans	$	33,569	$	447,441	$	307,193	$	496,431	$	188,732	$	101,880	$	95,697	$	89,484	$	1,760,427

Year Ended December 31, 2018
Allowance for loan losses:
Balance at beginning of period	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Charge-offs		(107)		—		(28)		(70)		(436)		(1,108)		—		(465)		(2,214)
Recoveries		8		—		—		64		102		63		—		68		305
Provision (benefit)		99		—		28		6		334		1,045		—		397		1,909
Balance, December 31, 2019	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Loans:
Loans individually evaluated for impairment	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Loans collectively evaluated for impairment		165,070		679,253		421,841		628,813		242,425		212,537		133,110		111,777		2,594,826
Total acquired non-credit impaired loans	$	165,070	$	679,253	$	421,841	$	628,813	$	242,425	$	212,537	$	133,110	$	111,777	$	2,594,826

Allowance for Credit Losses