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Loans, Allowance for Credit Losses, and Asset Quality Information (Tables)
 3 Months Ended
Mar. 31, 2022
Receivables [Abstract]  
Summary of Major Categories of Total Loans Outstanding
The following is a summary of the major categories of total loans outstanding:
($ in thousands)March 31, 2022December 31, 2021
 AmountPercentageAmountPercentage
All  loans:
Commercial, financial, and agricultural$603,454 10 %$648,997 11 %
Real estate – construction, land development & other land loans795,886 13 %828,549 13 %
Real estate – mortgage – residential (1-4 family) first mortgages1,045,167 17 %1,021,966 17 %
Real estate – mortgage – home equity loans / lines of credit329,348 6 %331,932 5 %
Real estate – mortgage – commercial and other3,234,949 53 %3,194,737 53 %
Consumer loans56,822 1 %57,238 1 %
Subtotal6,065,626 100 %6,083,419 100 %
Unamortized net deferred loan fees(928)(1,704)
Total loans$6,064,698 $6,081,715 
Also included in the table above are various non-PPP SBA loans, with additional information on these loans presented in the table below.
($ in thousands)March 31, 2022December 31, 2021
Guaranteed portions of non-PPP SBA loans included in table above$33,024 48,377 
Unguaranteed portions of non-PPP SBA loans included in table above126,936 122,772 
Total non-PPP SBA loans included in the table above$159,960 171,149 
Sold portions of SBA loans with servicing retained - not included in tables above$426,601 414,240 
Schedule of Nonperforming Assets and Nonaccrual Loans
Nonperforming assets are defined as nonaccrual loans, troubled debt restructured loans ("TDRs"), loans past due 90 or more days and still accruing interest, and foreclosed real estate. Nonperforming assets are summarized as follows.
($ in thousands)March 31,
2022		December 31,
2021
Nonaccrual loans$33,460 34,696 
TDRs - accruing12,727 13,866 
Accruing loans > 90 days past due— 1,004 
Total nonperforming loans46,187 49,566 
Foreclosed real estate2,750 3,071 
Total nonperforming assets$48,937 52,637 
The following table is a summary of the Company’s nonaccrual loans by major categories as of March 31, 2022.
($ in thousands)Nonaccrual Loans with No AllowanceNonaccrual Loans with an AllowanceTotal Nonaccrual Loans
Commercial, financial, and agricultural$3,911 8,661 12,572 
Real estate – construction, land development & other land loans928 126 1,054 
Real estate – mortgage – residential (1-4 family) first mortgages161 3,559 3,720 
Real estate – mortgage – home equity loans / lines of credit— 807 807 
Real estate – mortgage – commercial and other8,351 6,865 15,216 
Consumer loans— 91 91 
Total$13,351 20,109 33,460 
The following table is a summary of the Company’s nonaccrual loans by major categories as of December 31, 2021.
($ in thousands)Nonaccrual Loans with No AllowanceNonaccrual Loans with an AllowanceTotal Nonaccrual Loans
Commercial, financial, and agricultural$3,947 8,205 12,152 
Real estate – construction, land development & other land loans495 137 632 
Real estate – mortgage – residential (1-4 family) first mortgages858 4,040 4,898 
Real estate – mortgage – home equity loans / lines of credit— 694 694 
Real estate – mortgage – commercial and other7,648 8,583 16,231 
Consumer loans— 89 89 
Total$12,948 21,748 34,696 
Summary of Accrued Interest Receivables Written Off
The following table represents the accrued interest receivables written off by reversing interest income during each period indicated:
($ in thousands)For the Three Months Ended March 31, 2022For the Year Ended December 31, 2021For the Three Months Ended March 31, 2021
Commercial, financial, and agricultural$8 195 64 
Real estate – construction, land development & other land loans12 6 — 
Real estate – mortgage – residential (1-4 family) first mortgages10 31 5 
Real estate – mortgage – home equity loans / lines of credit2 14 4 
Real estate – mortgage – commercial and other100 453 220 
Consumer loans— — — 
Total$132 699 293 
Schedule of Analysis of Payment Status
The following table presents an analysis of the payment status of the Company’s loans as of March 31, 2022.
($ in thousands)Accruing
30-59
Days Past
Due		Accruing
60-89
Days
Past
Due		Accruing
90 Days
or More
Past
Due		Nonaccrual
Loans		Accruing
Current		Total Loans
Receivable
Commercial, financial, and agricultural$389 105 — 12,572 590,388 603,454 
Real estate – construction, land development & other land loans1,492 — — 1,054 793,340 795,886 
Real estate – mortgage – residential (1-4 family) first mortgages8,739 20 — 3,720 1,032,688 1,045,167 
Real estate – mortgage – home equity loans / lines of credit891 36 — 807 327,614 329,348 
Real estate – mortgage – commercial and other2,294 — — 15,216 3,217,439 3,234,949 
Consumer loans103 134 — 91 56,494 56,822 
Total$13,908 295 — 33,460 6,017,963 6,065,626 
Unamortized net deferred loan fees(928)
Total loans$6,064,698 
The following table presents an analysis of the payment status of the Company’s loans as of December 31, 2021.
($ in thousands)Accruing
30-59
Days
Past
Due		Accruing
60-89
Days
Past
Due		Accruing
90 Days
or More
Past
Due		Nonaccrual
Loans		Accruing
Current		Total Loans
Receivable
Commercial, financial, and agricultural$377 93 — 12,152 636,375 648,997 
Real estate – construction, land development & other land loans4,046 — 286 632 823,585 828,549 
Real estate – mortgage – residential (1-4 family) first mortgages6,571 1,488 — 4,898 1,009,009 1,021,966 
Real estate – mortgage – home equity loans / lines of credit489 124 718 694 329,907 331,932 
Real estate – mortgage – commercial and other164 1,496 — 16,231 3,176,846 3,194,737 
Consumer loans116 62 — 89 56,971 57,238 
Total$11,763 3,263 1,004 34,696 6,032,693 6,083,419 
Unamortized net deferred loan fees(1,704)
Total loans$6,081,715 
Analysis of Collateral-Dependent Loans
The following table presents an analysis of collateral-dependent loans of the Company as of March 31, 2022.
($ in thousands)Residential PropertyBusiness AssetsLandCommercial PropertyTotal Collateral-Dependent Loans
Commercial, financial, and agricultural$— 9,508 — — 9,508 
Real estate – construction, land development & other land loans— — 928 — 928 
Real estate – mortgage – residential (1-4 family) first mortgages161 — — — 161 
Real estate – mortgage – commercial and other— — — 11,081 11,081 
Total$161 9,508 928 11,081 21,678 

The following table presents an analysis of collateral-dependent loans of the Company as of December 31, 2021.
($ in thousands)Residential PropertyBusiness AssetsLandCommercial PropertyTotal Collateral-Dependent Loans
Commercial, financial, and agricultural$— 7,886 — — 7,886 
Real estate – construction, land development & other land loans— — 533 — 533 
Real estate – mortgage – residential (1-4 family) first mortgages871 — — — 871 
Real estate – mortgage – commercial and other— — — 10,743 10,743 
Total$871 7,886 533 10,743 20,033 
Schedule of Allowance for Loan Losses
The following table presents the activity in the Allowance for Credit Losses ("ACL") on loans for each of the periods indicated.
($ in thousands)Commercial,
Financial,
and
Agricultural		Real Estate
–
Construction,
Land
Development
& Other Land
Loans		Real Estate
–
Residential
(1-4 Family)
First
Mortgages		Real Estate
– Mortgage
– Home
Equity
Lines of
Credit		Real Estate
– Mortgage
–
Commercial
and Other		Consumer LoansUnallocatedTotal
As of and for the three months ended March 31, 2022
Beginning balance$16,249 16,519 8,686 4,337 30,342 2,656 — 78,789 
Charge-offs(790)— — (41)(45)(167)— (1,043)
Recoveries247 137 4 233 155 47 — 823 
Provisions / (Reversals)307 (599)(531)(2,455)6,875 (97)— 3,500 
Ending balance$16,013 16,057 8,159 2,074 37,327 2,439 — 82,069 

($ in thousands)Commercial,
Financial,
and
Agricultural		Real Estate
–
Construction,
Land
Development
& Other Land
Loans		Real Estate
–
Residential
(1-4 Family)
First
Mortgages		Real Estate
– Mortgage
– Home
Equity
Lines of
Credit		Real Estate
– Mortgage
–
Commercial
and Other		Consumer LoansUnallocatedTotal
As of and for the year ended December 31, 2021
Beginning balance$11,316 5,355 8,048 2,375 23,603 1,478 213 52,388 
Adjustment for implementation of CECL3,067 6,140 2,584 2,580 (257)674 (213)14,575 
Allowance for acquired PCD loans2,917 165 222 92 1,489 10 — 4,895 
Charge-offs(3,722)(245)(273)(400)(2,295)(667)— (7,602)
Recoveries1,744 948 761 578 533 358 — 4,922 
Provisions/(Reversals)927 4,156 (2,656)(888)7,269 803 — 9,611 
Ending balance$16,249 16,519 8,686 4,337 30,342 2,656 — 78,789 

($ in thousands)Commercial,
Financial,
and
Agricultural		Real Estate
–
Construction,
Land
Development
& Other Land
Loans		Real Estate
–
Residential
(1-4 Family)
First
Mortgages		Real Estate
– Mortgage
– Home
Equity
Lines of
Credit		Real Estate
– Mortgage
–
Commercial
and Other		Consumer LoansUnallocatedTotal
As of and for the three months ended March 31, 2021
Beginning balance$11,316 5,355 8,048 2,375 23,603 1,478 213 52,388 
Adjustment for implementation of CECL3,067 6,140 2,584 2,580 (257)674 (213)14,575 
Charge-offs(1,438)(66)(38)(131)(510)(134)— (2,317)
Recoveries514 294 87 11 262 35 — 1,203 
Provisions/(Reversals)147 (1,589)(1,685)(526)3,409 244 — — 
Ending balance$13,606 10,134 8,996 4,309 26,507 2,297 — 65,849 
The following table presents the balance and activity in the allowance for credit losses for unfunded loan commitments for the three months ended March 31, 2022.
($ in thousands)Total Allowance for Credit Losses - Unfunded Loan Commitments
Beginning balance at December 31, 2021$13,506 
Charge-offs— 
Recoveries— 
Reversal of provision for unfunded commitments(1,500)
Ending balance at March 31, 2022$12,006 
Schedule of Recorded Investment in Loans by Credit Quality Indicators
The following describes the Company’s internal risk grades in ascending order of likelihood of loss:
Risk GradeDescription
Pass:
1Loans with virtually no risk, including cash secured loans.
2Loans with documented significant overall financial strength.  These loans have minimum chance of loss due to the presence of multiple sources of repayment – each clearly sufficient to satisfy the obligation.
3Loans with documented satisfactory overall financial strength.  These loans have a low loss potential due to presence of at least two clearly identified sources of repayment – each of which is sufficient to satisfy the obligation under the present circumstances.
4Loans to borrowers with acceptable financial condition.  These loans could have signs of minor operational weaknesses, lack of adequate financial information, or loans supported by collateral with questionable value or marketability.  
5Loans that represent above average risk due to minor weaknesses and warrant closer scrutiny by management.  Collateral is generally required and felt to provide reasonable coverage with realizable liquidation values in normal circumstances.  Repayment performance is satisfactory.
P
(Pass)		Consumer loans (<$500,000) that are of satisfactory credit quality with borrowers who exhibit good personal credit history, average personal financial strength and moderate debt levels.  These loans generally conform to Bank policy, but may include approved mitigated exceptions to the guidelines.  
Special Mention:
6Existing loans with defined weaknesses in primary source of repayment that, if not corrected, could cause a loss to the Bank.
Classified:
7An existing loan inadequately protected by the current sound net worth and paying capacity of the obligor or the collateral pledged, if any.  These loans have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt.
8Loans that have a well-defined weakness that make the collection or liquidation in full highly questionable and improbable.  Loss appears imminent, but the exact amount and timing is uncertain.
9Loans that are considered uncollectible and are in the process of being charged-off.  This grade is a temporary grade assigned for administrative purposes until the charge-off is completed.
F
(Fail)		Consumer loans (<$500,000) with a well-defined weakness, such as exceptions of any kind with no mitigating factors, history of paying outside the terms of the note, insufficient income to support the current level of debt, etc.

In the tables that follow, substantially all of the "Classified Loans" have grades of 7 or Fail, with those categories having similar levels of risk. The amount of revolving lines of credit that converted to term loans during the period was immaterial.

The tables below present the Company’s recorded investment in loans by credit quality indicators by year of origination or renewal as of the periods indicated. Acquired loans are presented in the year originated, not in the year of acquisition.
Term Loans by Year of Origination
($ in thousands)20222021202020192018PriorRevolvingTotal
As of March 31, 2022
Commercial, financial, and agricultural
Pass$35,980 177,169 105,179 66,635 62,972 29,478 105,225 582,638 
Special Mention— 125 399 621 2,633 216 2,504 6,498 
Classified119 2,454 1,417 2,136 6,908 577 707 14,318 
Total commercial, financial, and agricultural36,099 179,748 106,995 69,392 72,513 30,271 108,436 603,454 
Real estate – construction, land development & other land loans
Pass113,568 488,287 94,674 59,914 9,256 12,619 9,836 788,154 
Special Mention— 38 726 4,117 107 98 5 5,091 
Classified1,416 148 45 944 71 17 — 2,641 
Total real estate – construction, land development & other land loans114,984 488,473 95,445 64,975 9,434 12,734 9,841 795,886 
Real estate – mortgage – residential (1-4 family) first mortgages
Pass53,280 277,391 206,074 114,970 76,281 290,677 8,318 1,026,991 
Special Mention— 512 448 328 201 3,331 96 4,916 
Classified136 391 480 895 940 9,410 1,008 13,260 
Total real estate – mortgage – residential (1-4 family) first mortgages53,416 278,294 207,002 116,193 77,422 303,418 9,422 1,045,167 
Real estate – mortgage – home equity loans / lines of credit
Pass306 2,258 410 299 1,254 2,244 315,092 321,863 
Special Mention48 187 — — — 18 1,112 1,365 
Classified18 163 96 75 — 327 5,441 6,120 
Total real estate – mortgage – home equity loans / lines of credit372 2,608 506 374 1,254 2,589 321,645 329,348 
Real estate – mortgage – commercial and other
Pass275,364 1,315,875 716,571 307,705 184,889 337,011 57,982 3,195,397 
Special Mention521 2,042 4,737 4,849 3,708 3,103 1,340 20,300 
Classified124 4,979 249 2,953 5,910 4,832 205 19,252 
Total real estate – mortgage – commercial and other276,009 1,322,896 721,557 315,507 194,507 344,946 59,527 3,234,949 
Consumer loans
Pass5,115 29,404 6,453 2,313 1,407 923 10,998 56,613 
Special Mention— — — — — — — — 
Classified— 141 11 1 — 17 39 209 
Total consumer loans5,115 29,545 6,464 2,314 1,407 940 11,037 56,822 
Total$485,995 2,301,564 1,137,969 568,755 356,537 694,898 519,908 6,065,626 
Unamortized net deferred loan fees(928)
Total loans6,064,698 
Term Loans by Year of Origination
($ in thousands)20212020201920182017PriorRevolvingTotal
As of December 31, 2021
Commercial, financial, and agricultural
Pass$204,945 138,540 71,369 66,645 16,009 17,492 112,933 627,933 
Special Mention225 1,255 1,313 2,729 225 9 2,348 8,104 
Classified1,609 793 1,703 7,096 511 96 1,152 12,960 
Total commercial, financial, and agricultural206,779 140,588 74,385 76,470 16,745 17,597 116,433 648,997 
Real estate – construction, land development & other land loans
Pass573,613 133,888 69,066 12,455 9,764 8,190 13,737 820,713 
Special Mention41 737 5,095 110 104 2 9 6,098 
Classified1,541 49 47 83 14 4 — 1,738 
Total real estate – construction, land development & other land loans575,195 134,674 74,208 12,648 9,882 8,196 13,746 828,549 
Real estate – mortgage – residential (1-4 family) first mortgages
Pass241,619 224,617 120,097 82,531 86,074 234,950 11,051 1,000,939 
Special Mention888 615 516 229 323 3,237 94 5,902 
Classified419 156 535 1,185 653 11,246 931 15,125 
Total real estate – mortgage – residential (1-4 family) first mortgages242,926 225,388 121,148 83,945 87,050 249,433 12,076 1,021,966 
Real estate – mortgage – home equity loans / lines of credit
Pass3,111 498 439 1,304 245 1,649 317,319 324,565 
Special Mention194 — 15 — — 19 1,341 1,569 
Classified75 97 71 — — 607 4,948 5,798 
Total real estate – mortgage – home equity loans / lines of credit3,380 595 525 1,304 245 2,275 323,608 331,932 
Real estate – mortgage – commercial and other
Pass1,328,156 796,992 355,885 211,118 197,165 197,659 66,104 3,153,079 
Special Mention1,759 4,849 5,801 3,741 2,072 1,801 1,440 21,463 
Classified7,147 413 2,110 6,025 3,897 603 — 20,195 
Total real estate – mortgage – commercial and other1,337,062 802,254 363,796 220,884 203,134 200,063 67,544 3,194,737 
Consumer loans
Pass14,960 25,431 2,965 1,722 673 525 10,810 57,086 
Special Mention— 4 — — — — — 4 
Classified— 73 — 8 — 25 42 148 
Total consumer loans14,960 25,508 2,965 1,730 673 550 10,852 57,238 
Total$2,380,302 1,329,007 637,027 396,981 317,729 478,114 544,259 6,083,419 
Unamortized net deferred loan fees(1,704)
Total loans6,081,715 
Schedule of Information Related to Loans Modified in a Troubled Debt Restructuring
The following table presents information related to loans modified in a TDR during the three months ended March 31, 2022 and 2021.
($ in thousands)For the three months ended March 31, 2022For the three months ended March 31, 2021
Number of
Contracts		Pre-
Modification
Restructured
Balances		Post-
Modification
Restructured
Balances		Number of
Contracts		Pre-
Modification
Restructured
Balances		Post-
Modification
Restructured
Balances
TDRs – Accruing
Real estate – mortgage – residential (1-4 family) first mortgages1 36 36 — — — 
Real estate – mortgage – commercial and other— — — 1 160 160 
TDRs – Nonaccrual
Commercial, financial, and agricultural1 41 41 1 111 108 
Real estate – mortgage – residential (1-4 family) first mortgages1 36 36 — — — 
Real estate – mortgage – commercial and other1 540 540 — — — 
Total TDRs arising during period4 $653 $653 2 $271 $268