XML 33 R26.htm IDEA: XBRL DOCUMENT v3.24.3
Loans and Allowance for Credit Losses (Tables)
9 Months Ended
Sep. 30, 2024
Receivables [Abstract]  
Types of Loans in Loan Portfolio

The loan portfolio consists of various types of loans and is categorized by major type as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

 

 

(Dollars in thousands)

 

Residential mortgage loans held for sale

 

$

6,113

 

 

$

5,734

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

2,543,632

 

 

 

2,305,040

 

Real estate:

 

 

 

 

 

 

Construction, land development and other land loans

 

 

2,814,521

 

 

 

3,076,591

 

1-4 family residential (includes home equity)

 

 

8,471,421

 

 

 

8,162,344

 

Commercial real estate (includes multi-family residential)

 

 

5,869,687

 

 

 

5,662,948

 

Farmland

 

 

703,599

 

 

 

598,898

 

Agriculture

 

 

329,625

 

 

 

217,145

 

Consumer and other

 

 

413,548

 

 

 

329,593

 

Total loans held for investment, excluding Warehouse Purchase Program

 

 

21,146,033

 

 

 

20,352,559

 

Warehouse Purchase Program

 

 

1,228,706

 

 

 

822,245

 

Total loans, including Warehouse Purchase Program

 

$

22,380,852

 

 

$

21,180,538

 

Related Party Loans

An analysis of activity with respect to these related party loans is as follows:

 

 

 

As of and for the
nine months ended
September 30, 2024

 

 

As of and for the
year ended
December
31, 2023

 

 

 

(Dollars in thousands)

 

Beginning balance on January 1

 

$

292

 

 

$

547

 

New loans

 

 

4

 

 

 

64

 

Repayments

 

 

(22

)

 

 

(319

)

Ending balance

 

$

274

 

 

$

292

 

Aging Analysis of Past Due Loans

An aging analysis of past due loans, segregated by category of loan, is presented below:

 

 

 

September 30, 2024

 

 

 

Loans Past Due and Still Accruing

 

 

 

 

 

 

 

 

 

 

 

 

30-89 Days

 

 

90 or More Days

 

 

Total Past Due Loans

 

 

Nonaccrual Loans

 

 

Current Loans

 

 

Total Loans

 

 

 

(Dollars in thousands)

 

Construction, land development and other land loans

 

$

10,953

 

 

$

 

 

$

10,953

 

 

$

1,848

 

 

$

2,801,720

 

 

$

2,814,521

 

Warehouse Purchase Program loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,228,706

 

 

 

1,228,706

 

Agriculture and agriculture real estate (includes farmland)

 

 

15,202

 

 

 

 

 

 

15,202

 

 

 

2,686

 

 

 

1,015,336

 

 

 

1,033,224

 

1-4 family (includes home equity) (1)

 

 

44,032

 

 

 

 

 

 

44,032

 

 

 

34,611

 

 

 

8,398,891

 

 

 

8,477,534

 

Commercial real estate (includes multi-family residential)

 

 

7,678

 

 

 

 

 

 

7,678

 

 

 

31,685

 

 

 

5,830,324

 

 

 

5,869,687

 

Commercial and industrial

 

 

16,530

 

 

 

 

 

 

16,530

 

 

 

13,080

 

 

 

2,514,022

 

 

 

2,543,632

 

Consumer and other

 

 

3,410

 

 

 

20

 

 

 

3,430

 

 

 

59

 

 

 

410,059

 

 

 

413,548

 

Total

 

$

97,805

 

 

$

20

 

 

$

97,825

 

 

$

83,969

 

 

$

22,199,058

 

 

$

22,380,852

 

 

 

 

December 31, 2023

 

 

 

Loans Past Due and Still Accruing

 

 

 

 

 

 

 

 

 

 

 

 

30-89 Days

 

 

90 or More Days

 

 

Total Past Due Loans

 

 

Nonaccrual Loans

 

 

Current Loans

 

 

Total Loans

 

 

 

(Dollars in thousands)

 

Construction, land development and other land loans

 

$

21,627

 

 

$

1,635

 

 

$

23,262

 

 

$

14,770

 

 

$

3,038,559

 

 

$

3,076,591

 

Warehouse Purchase Program loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

822,245

 

 

 

822,245

 

Agriculture and agriculture real estate (includes farmland)

 

 

8,572

 

 

 

 

 

 

8,572

 

 

 

1,460

 

 

 

806,011

 

 

 

816,043

 

1-4 family (includes home equity) (1)

 

 

38,350

 

 

 

130

 

 

 

38,480

 

 

 

25,694

 

 

 

8,103,904

 

 

 

8,168,078

 

Commercial real estate (includes multi-family residential)

 

 

23,511

 

 

 

 

 

 

23,511

 

 

 

18,662

 

 

 

5,620,775

 

 

 

5,662,948

 

Commercial and industrial

 

 

14,782

 

 

 

430

 

 

 

15,212

 

 

 

8,066

 

 

 

2,281,762

 

 

 

2,305,040

 

Consumer and other

 

 

503

 

 

 

 

 

 

503

 

 

 

36

 

 

 

329,054

 

 

 

329,593

 

Total

 

$

107,345

 

 

$

2,195

 

 

$

109,540

 

 

$

68,688

 

 

$

21,002,310

 

 

$

21,180,538

 

 

(1)
Includes $6.1 million and $5.7 million of residential mortgage loans held for sale at September 30, 2024 and December 31, 2023, respectively.
Non-performing Assets

The following table presents information regarding nonperforming assets as of the dates indicated:

 

 

 

September 30, 2024

 

 

December 31, 2023

 

 

 

(Dollars in thousands)

 

Nonaccrual loans (1) (2)

 

$

83,969

 

 

$

68,688

 

Accruing loans 90 or more days past due

 

 

20

 

 

 

2,195

 

Total nonperforming loans

 

 

83,989

 

 

 

70,883

 

Repossessed assets

 

 

177

 

 

 

76

 

Other real estate

 

 

5,757

 

 

 

1,708

 

Total nonperforming assets

 

$

89,923

 

 

$

72,667

 

 

 

 

 

 

 

 

Nonperforming assets to total loans and other real estate

 

 

0.40

%

 

 

0.34

%

Nonperforming assets to total loans, excluding Warehouse Purchase Program loans, and other real estate

 

 

0.43

%

 

 

0.36

%

Nonaccrual loans to total loans

 

 

0.38

%

 

 

0.32

%

Nonaccrual loans to total loans, excluding Warehouse Purchase Program loans

 

 

0.40

%

 

 

0.34

%

 

(1)
ASU 2022-02 became effective for the Company on January 1, 2023.
(2)
There were no nonperforming Warehouse Purchase Program loans or Warehouse Purchase Program lines of credit for the periods presented.
Recorded Investment and Outstanding Balance for Purchased Credit Deteriorated Loans and Non Purchased Credit Deteriorated Loans The recorded investment in PCD loans included in the consolidated balance sheet and the related outstanding balance as of the dates indicated are presented in the table below. The outstanding balance represents the total amount owed as of September 30, 2024 and December 31, 2023.

 

 

 

September 30, 2024

 

 

December 31, 2023

 

 

 

(Dollars in thousands)

 

PCD loans:

 

 

 

Outstanding balance

 

$

468,657

 

 

$

533,653

 

Discount

 

 

(8,274

)

 

 

(7,914

)

Recorded investment

 

$

460,383

 

 

$

525,739

 

The recorded investment in Non-PCD loans included in the consolidated balance sheet and the related outstanding balance as of the dates indicated are presented in the table below. The outstanding balance represents the total amount owed as of September 30, 2024 and December 31, 2023.

 

 

 

September 30, 2024

 

 

December 31, 2023

 

 

 

(Dollars in thousands)

 

Non-PCD loans:

 

 

 

Outstanding balance

 

$

2,314,275

 

 

$

1,823,809

 

Discount

 

 

(30,612

)

 

 

(19,992

)

Recorded investment

 

$

2,283,663

 

 

$

1,803,817

 

Summary of Changes in Accretable Yields of Acquired Loans

Changes in the accretable yield for acquired PCD loans for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

 

(Dollars in thousands)

 

Balance at beginning of period

 

$

9,507

 

 

$

10,110

 

 

$

7,914

 

 

$

3,361

 

Additions

 

 

 

 

 

 

 

 

4,558

 

 

 

8,336

 

Adjustments

 

 

(21

)

 

 

 

 

 

(44

)

 

 

(70

)

Accretion

 

 

(1,212

)

 

 

(767

)

 

 

(4,154

)

 

 

(2,284

)

Balance at September 30,

 

$

8,274

 

 

$

9,343

 

 

$

8,274

 

 

$

9,343

 

Changes in the discount accretion for Non-PCD loans for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

 

(Dollars in thousands)

 

Balance at beginning of period

 

$

34,250

 

 

$

23,052

 

 

$

19,992

 

 

$

2,233

 

Additions

 

 

 

 

 

 

 

 

20,378

 

 

 

22,593

 

Adjustments

 

 

(22

)

 

 

(1

)

 

 

(33

)

 

 

(1

)

Accretion

 

 

(3,616

)

 

 

(1,508

)

 

 

(9,725

)

 

 

(3,282

)

Balance at September 30,

 

$

30,612

 

 

$

21,543

 

 

$

30,612

 

 

$

21,543

 

Risk Grade by Category of Loan and Year of Origination/Renewal

The following tables present loans by risk grade, by category of loan and year of origination/renewal at September 30, 2024.

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

 

 

 

Amortized Cost Basis by Origination Year

 

 

 

 

 

 

 

 

 

 

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Revolving Loans

 

 

Revolving Loans Converted to Term Loans

 

 

Total

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, Land Development and Other Land Loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

Grade 2

 

 

 

 

 

921

 

 

 

157

 

 

 

 

 

 

 

 

 

13

 

 

 

 

 

 

 

 

 

1,091

 

Grade 3

 

 

410,166

 

 

 

611,667

 

 

 

537,443

 

 

 

265,630

 

 

 

122,745

 

 

 

42,038

 

 

 

110,971

 

 

 

8,869

 

 

 

2,109,529

 

Grade 4

 

 

32,881

 

 

 

111,188

 

 

 

167,799

 

 

 

77,493

 

 

 

64,818

 

 

 

28,277

 

 

 

19,451

 

 

 

17,224

 

 

 

519,131

 

Grade 5

 

 

66

 

 

 

14

 

 

 

3,037

 

 

 

 

 

 

33,234

 

 

 

15,627

 

 

 

795

 

 

 

 

 

 

52,773

 

Grade 6

 

 

 

 

 

 

 

 

 

 

 

7,317

 

 

 

179

 

 

 

492

 

 

 

 

 

 

 

 

 

7,988

 

Grade 7

 

 

 

 

 

 

 

 

104

 

 

 

116

 

 

 

 

 

 

66

 

 

 

223

 

 

 

 

 

 

509

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

8,441

 

 

 

20,022

 

 

 

53,663

 

 

 

9,561

 

 

 

4,688

 

 

 

6,655

 

 

 

20,470

 

 

 

 

 

 

123,500

 

Total

 

$

451,554

 

 

$

743,812

 

 

$

762,203

 

 

$

360,117

 

 

$

225,664

 

 

$

93,168

 

 

$

151,910

 

 

$

26,093

 

 

$

2,814,521

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

 

 

$

377

 

 

$

109

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

486

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Agriculture and Agriculture Real Estate (includes Farmland)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

1,132

 

 

$

540

 

 

$

975

 

 

$

85

 

 

$

183

 

 

$

405

 

 

$

10,047

 

 

$

12

 

 

$

13,379

 

Grade 2

 

 

 

 

 

247

 

 

 

60

 

 

 

57

 

 

 

 

 

 

683

 

 

 

 

 

 

 

 

 

1,047

 

Grade 3

 

 

143,498

 

 

 

122,082

 

 

 

193,582

 

 

 

86,595

 

 

 

50,888

 

 

 

107,228

 

 

 

120,427

 

 

 

142

 

 

 

824,442

 

Grade 4

 

 

14,626

 

 

 

20,545

 

 

 

15,681

 

 

 

26,758

 

 

 

6,167

 

 

 

12,127

 

 

 

27,780

 

 

 

28

 

 

 

123,712

 

Grade 5

 

 

1,048

 

 

 

57

 

 

 

730

 

 

 

782

 

 

 

 

 

 

1,120

 

 

 

 

 

 

 

 

 

3,737

 

Grade 6

 

 

 

 

 

 

 

 

2,844

 

 

 

74

 

 

 

 

 

 

1,165

 

 

 

 

 

 

 

 

 

4,083

 

Grade 7

 

 

 

 

 

 

 

 

1,419

 

 

 

199

 

 

 

 

 

 

207

 

 

 

 

 

 

 

 

 

1,825

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

18,047

 

 

 

1,874

 

 

 

15,708

 

 

 

2,034

 

 

 

3,410

 

 

 

2,731

 

 

 

17,195

 

 

 

 

 

 

60,999

 

Total

 

$

178,351

 

 

$

145,345

 

 

$

230,999

 

 

$

116,584

 

 

$

60,648

 

 

$

125,666

 

 

$

175,449

 

 

$

182

 

 

$

1,033,224

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

 

 

$

 

 

$

109

 

 

$

62

 

 

$

339

 

 

$

121

 

 

$

 

 

$

 

 

$

631

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1-4 Family (includes Home Equity) (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

 

 

$

73

 

 

$

147

 

 

$

 

 

$

108

 

 

$

 

 

$

 

 

$

 

 

$

328

 

Grade 2

 

 

 

 

 

404

 

 

 

1,144

 

 

 

148

 

 

 

 

 

 

2,316

 

 

 

 

 

 

 

 

 

4,012

 

Grade 3

 

 

310,005

 

 

 

1,252,218

 

 

 

2,353,241

 

 

 

2,100,201

 

 

 

971,979

 

 

 

1,186,914

 

 

 

96,313

 

 

 

879

 

 

 

8,271,750

 

Grade 4

 

 

7,511

 

 

 

17,291

 

 

 

22,220

 

 

 

27,744

 

 

 

8,463

 

 

 

66,167

 

 

 

3,862

 

 

 

 

 

 

153,258

 

Grade 5

 

 

 

 

 

693

 

 

 

1,364

 

 

 

 

 

 

1,162

 

 

 

1,886

 

 

 

76

 

 

 

 

 

 

5,181

 

Grade 6

 

 

 

 

 

19

 

 

 

374

 

 

 

 

 

 

17

 

 

 

1,431

 

 

 

 

 

 

 

 

 

1,841

 

Grade 7

 

 

 

 

 

3,135

 

 

 

9,833

 

 

 

5,506

 

 

 

4,401

 

 

 

11,383

 

 

 

125

 

 

 

 

 

 

34,383

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

336

 

 

 

972

 

 

 

2,771

 

 

 

470

 

 

 

517

 

 

 

1,715

 

 

 

 

 

 

 

 

 

6,781

 

Total

 

$

317,852

 

 

$

1,274,805

 

 

$

2,391,094

 

 

$

2,134,069

 

 

$

986,647

 

 

$

1,271,812

 

 

$

100,376

 

 

$

879

 

 

$

8,477,534

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

 

 

$

93

 

 

$

1,024

 

 

$

116

 

 

$

33

 

 

$

70

 

 

$

 

 

$

 

 

$

1,336

 

 

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

 

 

 

Amortized Cost Basis by Origination Year

 

 

 

 

 

 

 

 

 

 

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Revolving Loans

 

 

Revolving Loans Converted to Term Loans

 

 

Total

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial Real Estate (includes Multi-Family Residential)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

Grade 2

 

 

 

 

 

 

 

 

1,070

 

 

 

 

 

 

435

 

 

 

2,020

 

 

 

 

 

 

 

 

 

3,525

 

Grade 3

 

 

192,738

 

 

 

422,199

 

 

 

926,952

 

 

 

727,824

 

 

 

413,895

 

 

 

1,129,802

 

 

 

51,405

 

 

 

253

 

 

 

3,865,068

 

Grade 4

 

 

7,229

 

 

 

66,531

 

 

 

302,535

 

 

 

239,074

 

 

 

227,702

 

 

 

587,942

 

 

 

15,455

 

 

 

 

 

 

1,446,468

 

Grade 5

 

 

 

 

 

2,325

 

 

 

7,558

 

 

 

7,190

 

 

 

21,762

 

 

 

152,210

 

 

 

 

 

 

 

 

 

191,045

 

Grade 6

 

 

 

 

 

597

 

 

 

2,376

 

 

 

339

 

 

 

15,619

 

 

 

93,984

 

 

 

 

 

 

 

 

 

112,915

 

Grade 7

 

 

 

 

 

2,426

 

 

 

781

 

 

 

1,064

 

 

 

1,568

 

 

 

3,536

 

 

 

50

 

 

 

 

 

 

9,425

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

 

 

 

42,731

 

 

 

72,240

 

 

 

40,220

 

 

 

16,477

 

 

 

69,244

 

 

 

329

 

 

 

 

 

 

241,241

 

Total

 

$

199,967

 

 

$

536,809

 

 

$

1,313,512

 

 

$

1,015,711

 

 

$

697,458

 

 

$

2,038,738

 

 

$

67,239

 

 

$

253

 

 

$

5,869,687

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

 

 

$

 

 

$

167

 

 

$

481

 

 

$

 

 

$

160

 

 

$

 

 

$

 

 

$

808

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and Industrial

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

42,831

 

 

$

11,280

 

 

$

7,730

 

 

$

3,498

 

 

$

2,165

 

 

$

4,698

 

 

$

46,472

 

 

$

155

 

 

$

118,829

 

Grade 2

 

 

2,202

 

 

 

3,252

 

 

 

7,255

 

 

 

148

 

 

 

118

 

 

 

3,361

 

 

 

6,207

 

 

 

 

 

 

22,543

 

Grade 3

 

 

250,903

 

 

 

183,975

 

 

 

190,192

 

 

 

135,024

 

 

 

54,337

 

 

 

167,734

 

 

 

1,014,305

 

 

 

1,813

 

 

 

1,998,283

 

Grade 4

 

 

39,698

 

 

 

67,267

 

 

 

30,184

 

 

 

6,092

 

 

 

8,340

 

 

 

35,539

 

 

 

99,458

 

 

 

1,470

 

 

 

288,048

 

Grade 5

 

 

27,340

 

 

 

 

 

 

20,765

 

 

 

195

 

 

 

1,356

 

 

 

5,925

 

 

 

12,224

 

 

 

 

 

 

67,805

 

Grade 6

 

 

391

 

 

 

132

 

 

 

3,528

 

 

 

540

 

 

 

256

 

 

 

24

 

 

 

4,032

 

 

 

 

 

 

8,903

 

Grade 7

 

 

62

 

 

 

3,470

 

 

 

632

 

 

 

5,321

 

 

 

810

 

 

 

1,001

 

 

 

110

 

 

 

 

 

 

11,406

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

1,883

 

 

 

1,492

 

 

 

7,541

 

 

 

2,114

 

 

 

45

 

 

 

3,307

 

 

 

11,433

 

 

 

 

 

 

27,815

 

Total

 

$

365,310

 

 

$

270,868

 

 

$

267,827

 

 

$

152,932

 

 

$

67,427

 

 

$

221,589

 

 

$

1,194,241

 

 

$

3,438

 

 

$

2,543,632

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

169

 

 

$

642

 

 

$

1,435

 

 

$

1,144

 

 

$

1,336

 

 

$

604

 

 

$

2,953

 

 

$

 

 

$

8,283

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer and Other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

15,257

 

 

$

8,483

 

 

$

4,208

 

 

$

2,382

 

 

$

1,335

 

 

$

4,662

 

 

$

2,592

 

 

$

9

 

 

$

38,928

 

Grade 2

 

 

110,341

 

 

 

12,559

 

 

 

14,179

 

 

 

41

 

 

 

54

 

 

 

1,800

 

 

 

20,006

 

 

 

 

 

 

158,980

 

Grade 3

 

 

36,451

 

 

 

32,464

 

 

 

34,686

 

 

 

19,401

 

 

 

10,015

 

 

 

14,235

 

 

 

44,456

 

 

 

1

 

 

 

191,709

 

Grade 4

 

 

 

 

 

1,566

 

 

 

246

 

 

 

1,018

 

 

 

14,924

 

 

 

2,494

 

 

 

3,332

 

 

 

 

 

 

23,580

 

Grade 5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

250

 

 

 

 

 

 

250

 

Grade 6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 7

 

 

 

 

 

6

 

 

 

 

 

 

 

 

 

3

 

 

 

 

 

 

 

 

 

45

 

 

 

54

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

 

 

 

 

 

 

 

 

 

23

 

 

 

 

 

 

9

 

 

 

15

 

 

 

 

 

 

47

 

Total

 

$

162,049

 

 

$

55,078

 

 

$

53,319

 

 

$

22,865

 

 

$

26,331

 

 

$

23,200

 

 

$

70,651

 

 

$

55

 

 

$

413,548

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

3,999

 

 

$

208

 

 

$

56

 

 

$

27

 

 

$

53

 

 

$

305

 

 

$

62

 

 

$

5

 

 

$

4,715

 

 

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

 

 

 

Amortized Cost Basis by Origination Year

 

 

 

 

 

 

 

 

 

 

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Revolving Loans

 

 

Revolving Loans Converted to Term Loans

 

 

Total

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Warehouse Purchase Program

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

Grade 2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 3

 

 

1,228,706

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,228,706

 

Grade 4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

$

1,228,706

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

1,228,706

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 1

 

$

59,220

 

 

$

20,376

 

 

$

13,060

 

 

$

5,965

 

 

$

3,791

 

 

$

9,765

 

 

$

59,111

 

 

$

176

 

 

$

171,464

 

Grade 2

 

 

112,543

 

 

 

17,383

 

 

 

23,865

 

 

 

394

 

 

 

607

 

 

 

10,193

 

 

 

26,213

 

 

 

 

 

 

191,198

 

Grade 3

 

 

2,572,467

 

 

 

2,624,605

 

 

 

4,236,096

 

 

 

3,334,675

 

 

 

1,623,859

 

 

 

2,647,951

 

 

 

1,437,877

 

 

 

11,957

 

 

 

18,489,487

 

Grade 4

 

 

101,945

 

 

 

284,388

 

 

 

538,665

 

 

 

378,179

 

 

 

330,414

 

 

 

732,546

 

 

 

169,338

 

 

 

18,722

 

 

 

2,554,197

 

Grade 5

 

 

28,454

 

 

 

3,089

 

 

 

33,454

 

 

 

8,167

 

 

 

57,514

 

 

 

176,768

 

 

 

13,345

 

 

 

 

 

 

320,791

 

Grade 6

 

 

391

 

 

 

748

 

 

 

9,122

 

 

 

8,270

 

 

 

16,071

 

 

 

97,096

 

 

 

4,032

 

 

 

 

 

 

135,730

 

Grade 7

 

 

62

 

 

 

9,037

 

 

 

12,769

 

 

 

12,206

 

 

 

6,782

 

 

 

16,193

 

 

 

508

 

 

 

45

 

 

 

57,602

 

Grade 8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Grade 9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PCD Loans

 

 

28,707

 

 

 

67,091

 

 

 

151,923

 

 

 

54,422

 

 

 

25,137

 

 

 

83,661

 

 

 

49,442

 

 

 

 

 

 

460,383

 

Total

 

$

2,903,789

 

 

$

3,026,717

 

 

$

5,018,954

 

 

$

3,802,278

 

 

$

2,064,175

 

 

$

3,774,173

 

 

$

1,759,866

 

 

$

30,900

 

 

$

22,380,852

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current-period gross write-offs

 

$

4,168

 

 

$

1,320

 

 

$

2,900

 

 

$

1,830

 

 

$

1,761

 

 

$

1,260

 

 

$

3,015

 

 

$

5

 

 

$

16,259

 

 

(1)
Includes $6.1 million of residential mortgage loans held for sale at September 30, 2024.
Allowance for Credit Losses on Loans by Category of Loan

The following table details activity in the allowance for credit losses on loans by category of loan for the three and nine months ended September 30, 2024 and 2023.

 

 

 

Construction, Land Development and Other Land Loans

 

 

Agriculture and Agriculture Real Estate (includes Farmland)

 

 

1-4 Family (includes Home Equity)

 

 

Commercial Real Estate (includes Multi-Family Residential)

 

 

Commercial and Industrial

 

 

Consumer and Other

 

 

Total

 

 

 

(Dollars in thousands)

 

Allowance for credit losses on loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance June 30, 2024

 

$

76,776

 

 

$

29,479

 

 

$

80,689

 

 

$

95,728

 

 

$

70,112

 

 

$

7,068

 

 

$

359,852

 

Provision for credit losses on loans

 

 

(633

)

 

 

(450

)

 

 

1,442

 

 

 

(921

)

 

 

(2,216

)

 

 

2,778

 

 

 

 

Charge-offs

 

 

(378

)

 

 

(109

)

 

 

(442

)

 

 

(297

)

 

 

(3,746

)

 

 

(1,568

)

 

 

(6,540

)

Recoveries

 

 

 

 

 

225

 

 

 

33

 

 

 

39

 

 

 

437

 

 

 

351

 

 

 

1,085

 

Net (charge-offs) recoveries

 

 

(378

)

 

 

116

 

 

 

(409

)

 

 

(258

)

 

 

(3,309

)

 

 

(1,217

)

 

 

(5,455

)

Balance September 30, 2024

 

$

75,765

 

 

$

29,145

 

 

$

81,722

 

 

$

94,549

 

 

$

64,587

 

 

$

8,629

 

 

$

354,397

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance December 31, 2023

 

$

87,775

 

 

$

11,380

 

 

$

77,652

 

 

$

88,664

 

 

$

59,832

 

 

$

7,059

 

 

$

332,362

 

Initial allowance on loans purchased with credit deterioration

 

 

942

 

 

 

14,309

 

 

 

344

 

 

 

4,306

 

 

 

6,176

 

 

 

1

 

 

 

26,078

 

Provision for credit losses

 

 

(12,467

)

 

 

3,577

 

 

 

5,017

 

 

 

1,439

 

 

 

4,948

 

 

 

5,409

 

 

 

7,923

 

Charge-offs

 

 

(486

)

 

 

(631

)

 

 

(1,336

)

 

 

(808

)

 

 

(8,283

)

 

 

(4,715

)

 

 

(16,259

)

Recoveries

 

 

1

 

 

 

510

 

 

 

45

 

 

 

948

 

 

 

1,914

 

 

 

875

 

 

 

4,293

 

Net (charge-offs) recoveries

 

 

(485

)

 

 

(121

)

 

 

(1,291

)

 

 

140

 

 

 

(6,369

)

 

 

(3,840

)

 

 

(11,966

)

Balance September 30, 2024

 

$

75,765

 

 

$

29,145

 

 

$

81,722

 

 

$

94,549

 

 

$

64,587

 

 

$

8,629

 

 

$

354,397

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for credit losses on loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance June 30, 2023

 

$

91,858

 

 

$

11,254

 

 

$

67,722

 

 

$

86,765

 

 

$

81,970

 

 

$

5,640

 

 

$

345,209

 

Initial allowance on loans purchased with credit deterioration

 

 

1,641

 

 

 

 

 

 

 

 

 

4,290

 

 

 

3,763

 

 

 

 

 

 

9,694

 

Provision for credit losses on loans

 

 

1,437

 

 

 

149

 

 

 

3,932

 

 

 

(4,554

)

 

 

(2,455

)

 

 

1,491

 

 

 

 

Charge-offs

 

 

 

 

 

 

 

 

(20

)

 

 

(584

)

 

 

(1,961

)

 

 

(1,550

)

 

 

(4,115

)

Recoveries

 

 

5

 

 

 

 

 

 

98

 

 

 

14

 

 

 

367

 

 

 

223

 

 

 

707

 

Net (charge-offs) recoveries

 

 

5

 

 

 

 

 

 

78

 

 

 

(570

)

 

 

(1,594

)

 

 

(1,327

)

 

 

(3,408

)

Balance September 30, 2023

 

$

94,941

 

 

$

11,403

 

 

$

71,732

 

 

$

85,931

 

 

$

81,684

 

 

$

5,804

 

 

$

351,495

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance December 31, 2022

 

$

78,853

 

 

$

7,699

 

 

$

60,795

 

 

$

66,272

 

 

$

62,319

 

 

$

5,638

 

 

$

281,576

 

Initial allowance on loans purchased with credit deterioration

 

 

16,878

 

 

 

2,914

 

 

 

1,590

 

 

 

25,292

 

 

 

30,095

 

 

 

24

 

 

 

76,793

 

Provision for credit losses

 

 

(758

)

 

 

706

 

 

 

9,059

 

 

 

9,893

 

 

 

(10,448

)

 

 

3,532

 

 

 

11,984

 

Charge-offs

 

 

(77

)

 

 

(113

)

 

 

(121

)

 

 

(15,559

)

 

 

(3,203

)

 

 

(4,066

)

 

 

(23,139

)

Recoveries

 

 

45

 

 

 

197

 

 

 

409

 

 

 

33

 

 

 

2,921

 

 

 

676

 

 

 

4,281

 

Net (charge-offs) recoveries

 

 

(32

)

 

 

84

 

 

 

288

 

 

 

(15,526

)

 

 

(282

)

 

 

(3,390

)

 

 

(18,858

)

Balance September 30, 2023

 

$

94,941

 

 

$

11,403

 

 

$

71,732

 

 

$

85,931

 

 

$

81,684

 

 

$

5,804

 

 

$

351,495

 

Rollforward of Allowance for Credit Losses on Off-Balance Sheet Credit Exposures

The following table represents a rollforward of the allowance for credit losses on off-balance sheet credit exposures for the three and nine months ended September 30, 2024 and 2023.

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

 

(Dollars in thousands)

 

Balance at beginning of period

 

$

37,646

 

 

$

36,503

 

 

$

36,503

 

 

$

29,947

 

Provision for credit losses on off-balance sheet credit exposures

 

 

 

 

 

 

 

 

1,143

 

 

 

6,556

 

Balance at end of period

 

$

37,646

 

 

$

36,503

 

 

$

37,646

 

 

$

36,503

 

Schedule of Amortized Cost of Loans Experiencing Financial Difficulty and Modified

The following table displays the amortized cost of loans that were both experiencing financial difficulty and modified during the three and nine months ended September 30, 2024 and 2023, presented by category of loan and type of modification.

 

 

 

Payment Delay

 

 

Term Extension

 

 

Interest Rate Reduction

 

 

Total

 

 

Percent of Total Class of Loans

 

 

 

(Dollars in thousands)

 

 

 

 

Three Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

 

 

$

7,163

 

 

$

 

 

$

7,163

 

 

 

0.3

%

Agriculture

 

 

 

 

 

950

 

 

 

 

 

 

950

 

 

 

0.3

%

Total

 

$

 

 

$

8,113

 

 

$

 

 

$

8,113

 

 

 

0.0

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

 

 

$

2,768

 

 

$

 

 

$

2,768

 

 

 

0.1

%

Construction, land development and other land loans

 

 

 

 

 

7,163

 

 

 

 

 

 

7,163

 

 

 

0.3

%

Agriculture

 

 

 

 

 

12,600

 

 

 

 

 

 

12,600

 

 

 

3.8

%

Total

 

$

 

 

$

22,531

 

 

$

 

 

$

22,531

 

 

 

0.1

%

 

 

 

Payment Delay

 

 

Term Extension

 

 

Interest Rate Reduction

 

 

Total

 

 

Percent of Total Class of Loans

 

 

 

(Dollars in thousands)

 

 

 

 

Three Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

 

 

$

5,639

 

 

$

 

 

$

5,639

 

 

 

0.2

%

Commercial real estate (includes multi-family residential)

 

 

 

 

 

 

 

 

6,922

 

 

 

6,922

 

 

 

0.1

%

Agriculture

 

 

 

 

 

419

 

 

 

 

 

 

419

 

 

 

0.2

%

Total

 

$

 

 

$

6,058

 

 

$

6,922

 

 

$

12,980

 

 

 

0.1

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

 

 

$

5,639

 

 

$

292

 

 

$

5,931

 

 

 

0.2

%

Construction, land development and other land loans

 

 

 

 

 

6,054

 

 

 

 

 

 

6,054

 

 

 

0.2

%

Commercial real estate (includes multi-family residential)

 

 

1,294

 

 

 

 

 

 

6,922

 

 

 

8,216

 

 

 

0.1

%

Agriculture

 

 

 

 

 

419

 

 

 

 

 

 

419

 

 

 

0.2

%

Total

 

$

1,294

 

 

$

12,112

 

 

$

7,214

 

 

$

20,620

 

 

 

0.1

%

 

Schedule of Loan Modifications

The following table describes the modifications made to the loans presented above to borrowers experiencing financial difficulty for the three and nine months ended September 30, 2024 and 2023.

 

Term Extension

Loan Type

 

Three Months Ended September 30, 2024

 

Nine Months Ended September 30, 2024

Commercial and industrial

 

̶̶̶

 

Short-term extensions; modification to a 7 year term

Construction, land development and other land loans

 

Short-term extension

 

Short-term extension

Agriculture

 

Modified to a 2 year term

 

Modified to a 2 year term

 

Payment Delay

Loan Type

 

Three Months Ended September 30, 2023

 

Nine Months Ended September 30, 2023

Commercial real estate (includes multi-family residential)

 

̶̶̶

 

Short-term principal deferral

 

 

 

 

 

Term Extension

Loan Type

 

Three Months Ended September 30, 2023

 

Nine Months Ended September 30, 2023

Commercial and industrial

 

Short-term extension

 

Short-term extension

Construction, land development and other land loans

 

̶̶̶

 

Short-term extension

Agriculture

 

Short-term extension

 

Short-term extension

 

 

 

 

 

Interest Rate Reduction

Loan Type

 

Three Months Ended September 30, 2023

 

Nine Months Ended September 30, 2023

Commercial and industrial

 

̶̶̶

 

Reduced contractual interest rate

Commercial real estate (includes multi-family residential)

 

Reduced contractual interest rate

 

Reduced contractual interest rate