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Allowance for Loan Losses | 12 Months Ended
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Dec. 31, 2016
Allowance For Loan Losses [Abstract] |
Allowance for Loan Losses | Allowance for Loan Losses The allowance for loan losses is that amount management believes is adequate to absorb probable incurred credit losses in the loan portfolio based on management’s evaluation of various factors including the overall growth in the loan portfolio, an analysis of individual loans, prior and current loss experience, and current economic conditions. A provision for loan losses is charged to operations based on management’s periodic evaluation of these and other pertinent factors as discussed within Note 1 - Summary of Significant Accounting Policies. Loss factors are reviewed quarterly and updated at least annually to reflect recent loan loss history and incorporate current risk and trends which may not be recognized in historical data. Several enhancements were made in the third quarter of 2016 as a result of management's quarterly review.
• | Management updated the historical loss calculation during the third quarter of 2016, incorporating annualized net charge-offs plus changes in specific reserves through September 30, 2016. Additionally, management removed from the historical loss calculation net charge-offs plus changes in specific reserves for the year ended December 31, 2009. Management's belief has been that historical losses should encompass the complete economic cycle. However, given the extended length of the economic recovery, management determined that 2009 loss data was no longer reflective of the current portfolio. Management has taken the look-back period into consideration in the quarterly evaluation of environmental loss factors.
As part of the 2016 mid-year historical loss update, management determined that it was no longer appropriate to more heavily weight those years with higher losses in the historical loss calculation and applied equal percentages to each of the years in this calculation. The trends that existed resulting in management applying different weightings to years within the historical loss calculation no longer appeared to exist, resulting in the adjustment back to equal weightings.
• | As part of the normal quarterly process, management reviewed and updated the environmental loss factors applied to the commercial portfolio in order to incorporate changes in the macroeconomic environment. Additionally, management updated the calculation of the loss emergence period utilizing a more granular process.
The impact of the changes described above resulted in a decrease of $3.8 million in the ALLL at September 30, 2016, compared to what the ALLL would have been had the calculation, and related assumptions, used at June 30, 2016 remained constant. The loss factors were updated in the fourth quarter of 2016 to incorporate losses through December 31, 2016. The activity in the allowance for loan losses for the years ended December 31, 2016, 2015, and 2014 is summarized in the following tables.
|  | Year ended December 31, 2016
(In thousands) |  | Commercial, financial and agricultural |  | Commercial real estate |  | Construction real estate |  | Residential real estate |  | Consumer |  | Leases |  | Total
Allowance for credit losses: |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance |  | $ | 13,694 |  |  | $ | 9,197 |  |  | $ | 8,564 |  |  | $ | 13,514 |  |  | $ | 11,524 |  |  | $ | 1 |  |  | $ | 56,494 |
Charge-offs |  | 5,786 |  |  | 412 |  |  | 1,436 |  |  | 3,014 |  |  | 10,151 |  |  | — |  |  | 20,799 |
Recoveries |  | (1,259 | ) |  | (3,671 | ) |  | (8,559 | ) |  | (2,446 | ) |  | (4,094 | ) |  | (1 | ) |  | (20,030 | )
Net charge-offs (recoveries) |  | 4,527 |  |  | (3,259 | ) |  | (7,123 | ) |  | 568 |  |  | 6,057 |  |  | (1 | ) |  | 769 |
Provision (Recovery) |  | 4,267 |  |  | (2,024 | ) |  | (10,440 | ) |  | (1,988 | ) |  | 5,086 |  |  | (2 | ) |  | (5,101 | )
Ending balance |  | $ | 13,434 |  |  | $ | 10,432 |  |  | $ | 5,247 |  |  | $ | 10,958 |  |  | $ | 10,553 |  |  | — |  |  | $ | 50,624 |
|  | Year ended December 31, 2015
(In thousands) |  | Commercial, financial and agricultural |  | Commercial real estate |  | Construction real estate |  | Residential real estate |  | Consumer |  | Leases |  | Total
Allowance for credit losses: |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance |  | $ | 10,719 |  |  | $ | 8,808 |  |  | $ | 8,652 |  |  | $ | 14,772 |  |  | $ | 11,401 |  |  | $ | — |  |  | $ | 54,352 |
Charge-offs |  | 2,478 |  |  | 348 |  |  | 470 |  |  | 2,352 |  |  | 8,642 |  |  | — |  |  | 14,290 |
Recoveries |  | (1,373 | ) |  | (2,241 | ) |  | (2,092 | ) |  | (2,438 | ) |  | (3,295 | ) |  | (3 | ) |  | (11,442 | )
Net charge-offs (recoveries) |  | 1,105 |  |  | (1,893 | ) |  | (1,622 | ) |  | (86 | ) |  | 5,347 |  |  | (3 | ) |  | 2,848 |
Provision (Recovery) |  | 4,080 |  |  | (1,504 | ) |  | (1,710 | ) |  | (1,344 | ) |  | 5,470 |  |  | (2 | ) |  | 4,990 |
Ending balance |  | $ | 13,694 |  |  | $ | 9,197 |  |  | $ | 8,564 |  |  | $ | 13,514 |  |  | $ | 11,524 |  |  | $ | 1 |  |  | $ | 56,494 |
|  | Year ended December 31, 2014
(In thousands) |  | Commercial, financial and agricultural |  | Commercial real estate |  | Construction real estate |  | Residential real estate |  | Consumer |  | Leases |  | Total
Allowance for credit losses: |  |  |  |  |  |  |  |  |  |  |  |
Beginning balance |  | $ | 14,218 |  |  | $ | 15,899 |  |  | $ | 6,855 |  |  | $ | 14,251 |  |  | $ | 8,245 |  |  | $ | — |  |  | $ | 59,468 |
Charge-offs |  | 3,779 |  |  | 8,003 |  |  | 1,316 |  |  | 3,944 |  |  | 7,738 |  |  | — |  |  | 24,780 |
Recoveries |  | (1,003 | ) |  | (7,759 | ) |  | (12,572 | ) |  | (2,985 | ) |  | (2,671 | ) |  | (7 | ) |  | (26,997 | )
Net charge-offs (recoveries) |  | 2,776 |  |  | 244 |  |  | (11,256 | ) |  | 959 |  |  | 5,067 |  |  | (7 | ) |  | (2,217 | )
(Recovery) Provision |  | (723 | ) |  | (6,847 | ) |  | (9,459 | ) |  | 1,480 |  |  | 8,223 |  |  | (7 | ) |  | (7,333 | )
Ending balance |  | $ | 10,719 |  |  | $ | 8,808 |  |  | $ | 8,652 |  |  | $ | 14,772 |  |  | $ | 11,401 |  |  | $ | — |  |  | $ | 54,352 |
Loans collectively evaluated for impairment in the following tables include all performing loans at December 31, 2016 and 2015, as well as nonperforming loans internally classified as consumer loans. Nonperforming consumer loans are not typically individually evaluated for impairment, but receive a portion of the statistical allocation of the allowance for loan losses. Loans individually evaluated for impairment include all impaired loans internally classified as commercial loans at December 31, 2016 and 2015, which are evaluated for impairment in accordance with GAAP (see Note 1 - Summary of Significant Accounting Policies). The composition of the allowance for loan losses at December 31, 2016 and 2015 was as follows:
|  | December 31, 2016
(In thousands) |  | Commercial, financial, and agricultural |  | Commercial real estate |  | Construction real estate |  | Residential real estate |  | Consumer |  | Leases |  | Total
Allowance for loan losses: |  |  |  |  |  |  |  |  |  |  |  |
Ending allowance balance attributed to loans |  |  |  |  |  |  |  |  |  |  |  |  |  |
Individually evaluated for impairment |  | $ | 152 |  |  | $ | 309 |  |  | $ | — |  |  | $ | 87 |  |  | $ | — |  |  | $ | — |  |  | $ | 548 |
Collectively evaluated for impairment |  | 13,282 |  |  | 10,123 |  |  | 5,247 |  |  | 10,871 |  |  | 10,553 |  |  | — |  |  | 50,076 |
Total ending allowance balance |  | $ | 13,434 |  |  | $ | 10,432 |  |  | $ | 5,247 |  |  | $ | 10,958 |  |  | $ | 10,553 |  |  | $ | — |  |  | $ | 50,624 |
Loan Balance: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | 20,622 |  |  | $ | 24,465 |  |  | $ | 2,226 |  |  | $ | 23,102 |  |  | $ | — |  |  | $ | — |  |  | $ | 70,415 |
Loans collectively evaluated for impairment |  | 973,997 |  |  | 1,131,238 |  |  | 186,719 |  |  | 1,785,395 |  |  | 1,120,850 |  |  | 3,243 |  |  | 5,201,442 |
Total ending loan balance |  | $ | 994,619 |  |  | $ | 1,155,703 |  |  | $ | 188,945 |  |  | $ | 1,808,497 |  |  | $ | 1,120,850 |  |  | $ | 3,243 |  |  | $ | 5,271,857 |
Allowance for loan losses as a percentage of loan balance: |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | 0.74 | % |  | 1.26 | % |  | — | % |  | 0.38 | % |  | — | % |  | — | % |  | 0.78 | %
Loans collectively evaluated for impairment |  | 1.36 | % |  | 0.89 | % |  | 2.81 | % |  | 0.61 | % |  | 0.94 | % |  | — | % |  | 0.96 | %
Total |  | 1.35 | % |  | 0.90 | % |  | 2.78 | % |  | 0.61 | % |  | 0.94 | % |  | — | % |  | 0.96 | %
Recorded Investment: |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | 20,624 |  |  | $ | 24,474 |  |  | $ | 2,226 |  |  | $ | 23,102 |  |  | $ | — |  |  | $ | — |  |  | $ | 70,426 |
Loans collectively evaluated for impairment |  | 977,553 |  |  | 1,135,390 |  |  | 187,240 |  |  | 1,788,714 |  |  | 1,124,235 |  |  | 3,272 |  |  | 5,216,404 |
Total ending recorded investment |  | $ | 998,177 |  |  | $ | 1,159,864 |  |  | $ | 189,466 |  |  | $ | 1,811,816 |  |  | $ | 1,124,235 |  |  | $ | 3,272 |  |  | $ | 5,286,830 |
|  | December 31, 2015
(In thousands) |  | Commercial, financial, and agricultural |  | Commercial real estate |  | Construction real estate |  | Residential real estate |  | Consumer |  | Leases |  | Total
Allowance for loan losses: |  |  |  |  |  |  |  |  |  |  |  |
Ending allowance balance attributed to loans |  |  |  |  |  |  |  |  |  |  |  |  |  |
Individually evaluated for impairment |  | $ | 1,904 |  |  | $ | 381 |  |  | $ | 1,356 |  |  | $ | 550 |  |  | $ | — |  |  | $ | — |  |  | $ | 4,191 |
Collectively evaluated for impairment |  | 11,790 |  |  | 8,816 |  |  | 7,208 |  |  | 12,964 |  |  | 11,524 |  |  | 1 |  |  | 52,303 |
Total ending allowance balance |  | $ | 13,694 |  |  | $ | 9,197 |  |  | $ | 8,564 |  |  | $ | 13,514 |  |  | $ | 11,524 |  |  | $ | 1 |  |  | $ | 56,494 |
Loan Balance: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | 30,545 |  |  | $ | 18,015 |  |  | $ | 6,716 |  |  | $ | 25,323 |  |  | $ | — |  |  | $ | — |  |  | $ | 80,599 |
Loans collectively evaluated for impairment |  | 925,182 |  |  | 1,095,588 |  |  | 166,629 |  |  | 1,830,120 |  |  | 967,111 |  |  | 2,856 |  |  | 4,987,486 |
Total ending loan balance |  | $ | 955,727 |  |  | $ | 1,113,603 |  |  | $ | 173,345 |  |  | $ | 1,855,443 |  |  | $ | 967,111 |  |  | $ | 2,856 |  |  | $ | 5,068,085 |
Allowance for loan losses as a percentage of loan balance: |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | 6.23 | % |  | 2.11 | % |  | 20.19 | % |  | 2.17 | % |  | — | % |  | — | % |  | 5.20 | %
Loans collectively evaluated for impairment |  | 1.27 | % |  | 0.80 | % |  | 4.33 | % |  | 0.71 | % |  | 1.19 | % |  | 0.04 | % |  | 1.05 | %
Total |  | 1.43 | % |  | 0.83 | % |  | 4.94 | % |  | 0.73 | % |  | 1.19 | % |  | 0.04 | % |  | 1.11 | %
Recorded Investment: |  |  |  |  |  |  |  |  |  |  |  |
Loans individually evaluated for impairment |  | $ | 30,595 |  |  | $ | 18,025 |  |  | $ | 6,720 |  |  | $ | 25,324 |  |  | $ | — |  |  | $ | — |  |  | $ | 80,664 |
Loans collectively evaluated for impairment |  | 928,569 |  |  | 1,099,587 |  |  | 167,042 |  |  | 1,833,449 |  |  | 970,143 |  |  | 2,870 |  |  | 5,001,660 |
Total ending recorded investment |  | $ | 959,164 |  |  | $ | 1,117,612 |  |  | $ | 173,762 |  |  | $ | 1,858,773 |  |  | $ | 970,143 |  |  | $ | 2,870 |  |  | $ | 5,082,324 |

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- Definition Allowance For Loan Losses [Abstract] + References No definition available. + Details
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- Definition The entire disclosure for allowance for credit losses. + References No definition available. + Details
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Data Type: | nonnum:textBlockItemType
Balance Type: | na
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