XML 26 R13.htm IDEA: XBRL DOCUMENT v3.26.1
Allowance for Credit Losses
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Allowance for Credit Losses Allowance for Credit Losses
(In Thousands)

Allowance for Credit Losses on Loans
As of March 31, 2026 and December 31, 2025, the Company had accrued interest receivable for loans of $68,886 and $54,395, respectively, which is recorded in the “Other assets” line item on the Consolidated Balance Sheets.
The following tables provide a roll-forward of the allowance for credit losses by loan category and nonaccrual loans with no allowance for credit losses for the periods presented:
Commercial and industrialConstruction and land developmentReal Estate -
1-4 Family
Mortgage		Commercial real estate - owner occupiedCommercial real estate - non owner occupied
Consumer
Total
Three Months Ended March 31, 2026
Allowance for credit losses:
Beginning balance$57,831 $31,359 $61,249 $38,961 $99,605 $4,950 $293,955 
Charge-offs(1,070)(1)(525)(1,136)(198)(330)(3,260)
Recoveries150 — 26 676 63 28 943 
Net charge-offs(920)(1)(499)(460)(135)(302)(2,317)
Provision for (recovery of) credit losses on loans8,903 5,611 5,903 (1,060)(15,090)(43)4,224 
Ending balance$65,814 $36,969 $66,653 $37,441 $84,380 $4,605 $295,862 
Nonaccruing loans with no allowance for credit losses$23,394 $5,146 $2,473 $8,805 $28,598 $— $68,416 

Commercial and industrialConstruction and land developmentReal Estate -
1-4 Family
Mortgage		Commercial real estate - owner occupiedCommercial real estate - non owner occupied
Consumer
Total
Three Months Ended March 31, 2025
Allowance for credit losses:
Beginning balance$41,864 $19,200 $45,498 $16,993 $71,664 $6,537 $201,756 
Charge-offs(94)— (309)(461)— (265)(1,129)
Recoveries967 — 33 4 2 248 1,254 
Net recoveries (charge-offs) 873 — (276)(457)2 (17)125 
(Recovery of) provision for credit losses on loans(853)1,645 2,879 1,290 (2,885)(26)2,050 
Ending balance$41,884 $20,845 $48,101 $17,826 $68,781 $6,494 $203,931 
Nonaccruing loans with no allowance for credit losses$5,134 $711 $5,384 $6,418 $3,914 $— $21,561 
 
The Company recorded a provision for credit losses on loans of $4,224 during the first quarter of 2026, as compared to a provision for credit losses on loans of $2,050 recorded in the first quarter of 2025. The increase in the allowance for credit losses in the first quarter of 2026 was primarily driven by an increase in non-performing loans, changes in the macroeconomic environment and qualitative factors. These factors were partially moderated by the reduction in the loan portfolio. The provision increased in select residential related pools due to the risk of potential stagflation and value declines. The Company’s allowance for credit losses model considers economic projections, primarily the national unemployment rate and GDP, over a reasonable and supportable period of two years, historical loss data, and environmental factors. The allowance for credit losses under CECL is calculated utilizing the probability of default/ loss given default approach for most commercial mortgage related pools, while the average historical life-of-loan loss rate cohort approach is used for the remaining pools.
Collateral Dependent Loans
The following tables present collateral dependent loans by loan portfolio segment and by type of collateral along with the
related allowance for credit losses:
Collateral Type
March 31, 2026Real EstateOtherTotalACL
Commercial and industrial$— $60,487 $60,487 $11,952 
Construction and land development
Residential1,991 — 1,991 — 
Other9,046 — 9,046 1,887 
Total construction and land development11,037 — 11,037 1,887 
Real estate - 1-4 family mortgage
First lien3,074 — 3,074 134 
Junior lien— — — — 
Home equity500 — 500 — 
Total real estate – 1-4 family mortgage3,574 — 3,574 134 
Commercial real estate - owner occupied20,935 — 20,935 3,689 
Commercial real estate - non-owner occupied
Multi family— — — — 
Other48,118 — 48,118 6,365 
Total commercial real estate - non-owner occupied48,118 — 48,118 6,365 
Consumer— — — — 
Loans, net of unearned income$83,664 $60,487 $144,151 $24,027 
Collateral Type
December 31, 2025Real EstateOtherTotalACL
Commercial and industrial$— $46,860 $46,860 $4,502 
Construction and land development
Residential2,033 — 2,033 — 
Other10,575 — 10,575 1,887 
Total construction and land development12,608 — 12,608 1,887 
Real estate - 1-4 family mortgage
First lien3,263 — 3,263 116 
Junior lien— — — — 
Home equity500 — 500 — 
Total real estate – 1-4 family mortgage3,763 — 3,763 116 
Commercial real estate - owner occupied21,165 — 21,165 3,661 
Commercial real estate - non-owner occupied
Multi family— — — — 
Other48,049 — 48,049 10,999 
Total commercial real estate - non-owner occupied48,049 — 48,049 10,999 
Consumer— 270 270 270 
Loans, net of unearned income$85,585 $47,130 $132,715 $21,435 
The increase in collateral dependent loans since December 31, 2025 is primarily due to the migration of seven relationships totaling $40,534, which was offset by the resolution or credit improvement of certain relationships of approximately $30,862.
Allowance for Credit Losses on Unfunded Loan Commitments
The following table provides a roll-forward of the allowance for credit losses on unfunded loan commitments for the periods presented.
Three months ended March 31,20262025
Allowance for credit losses on unfunded loan commitments:
Beginning balance$29,827 $14,943 
Provision for credit losses on unfunded loan commitments3,856 2,700 
Ending balance$33,683 $17,643 

The provision for credit losses on unfunded commitments in the first quarter of 2026 was primarily driven by growth in the balance of unfunded loan commitments in the commercial and residential construction related pools.