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Fair Value of Financial Instruments (Tables)
9 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Schedule of Fair Value of Assets and Liabilities Recorded on a Recurring Basis
The following tables summarize financial assets and financial liabilities recorded at fair value on a recurring basis at September 30, 2025, and December 31, 2024, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value. There were no changes in the valuation techniques during the periods presented.
September 30, 2025
(Dollars in thousands)Level 1Level 2Level 3Total
State and municipal securities$— $258,335 $34,249 $292,584 
Corporate bonds— 60,835 1,000 61,835 
U.S. government agency securities— 3,128 — 3,128 
Commercial mortgage-backed securities— 15,248 — 15,248 
Residential mortgage-backed securities— 449,068 — 449,068 
Commercial collateralized mortgage obligations— 82,586 — 82,586 
Residential collateralized mortgage obligations— 200,340 — 200,340 
Securities available for sale— 1,069,540 35,249 1,104,789 
Securities carried at fair value through income— — 6,203 6,203 
Rabbi Trust assets771 — — 771 
Other assets - derivatives— 14,868 — 14,868 
Total recurring fair value measurements - assets$771 $1,084,408 $41,452 $1,126,631 
Other liabilities - derivatives— (15,518)— (15,518)
Total recurring fair value measurements - liabilities$— $(15,518)$— $(15,518)
December 31, 2024
(Dollars in thousands)Level 1Level 2Level 3Total
State and municipal securities$— $221,222 $34,754 $255,976 
Corporate bonds— 77,236 1,000 78,236 
U.S. government agency securities— 13,805 — 13,805 
Commercial mortgage-backed securities— 44,284 — 44,284 
Residential mortgage-backed securities— 540,834 — 540,834 
Commercial collateralized mortgage obligations— 28,566 — 28,566 
Residential collateralized mortgage obligations— 140,827 — 140,827 
Securities available for sale— 1,066,774 35,754 1,102,528 
Securities carried at fair value through income— — 6,512 6,512 
Loans held for sale— 10,494 — 10,494 
Rabbi Trust assets509 — — 509 
Other assets - derivatives— 15,595 — 15,595 
Total recurring fair value measurements - assets$509 $1,092,863 $42,266 $1,135,638 
Other liabilities - derivatives— (14,959)— (14,959)
Total recurring fair value measurements - liabilities$— $(14,959)$— $(14,959)
Schedule of Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis
The changes in Level 3 assets and liabilities measured at fair value on a recurring basis for the nine months ended September 30, 2025 and 2024, are summarized as follows:
(Dollars in thousands)Securities Available for SaleSecurities at Fair Value Through Income
Balance at January 1, 2025$35,754 $6,512 
Gain recognized in earnings:
Other noninterest income— 
Loss recognized in AOCI638 — 
Purchases, issuances, sales and settlements:
Purchases638 — 
Settlements(1,781)(315)
Balance at September 30, 2025
$35,249 $6,203 
(Dollars in thousands)MSR AssetSecurities Available for SaleSecurities at Fair Value Through Income
Balance at January 1, 2024$15,637 $50,447 $6,808 
Gain (loss) recognized in earnings:
Mortgage banking revenue450 — — 
Other noninterest income— — 24 
Loss recognized in AOCI— 511 — 
Purchases, issuances, sales and settlements:
Sales(16,087)— — 
Settlements— (7,803)(299)
Balance at September 30, 2024
$— $43,155 $6,533 
Schedule of Difference Between Fair Value and the Unpaid Principal Balance for Financial Instruments for which the Fair Value Option has been Elected and Classified in Income Statement The following tables summarize the difference between the fair value and the unpaid principal balance, amortized cost or contributions, respectively, for financial instruments for which the fair value option has been elected:
September 30, 2025
(Dollars in thousands)Aggregate Fair ValuePrincipal Balance/Amortized Cost/ContributionsDifference
Securities carried at fair value through income$6,203 $6,200 $
Rabbi Trust assets771 724 47 
Total$6,974 $6,924 $50 
December 31, 2024
(Dollars in thousands)Aggregate Fair ValuePrincipal Balance/Amortized Cost/ContributionsDifference
Loans held for sale(1)
$10,494 $10,228 $266 
Securities carried at fair value through income6,512 6,515 (3)
Rabbi Trust Assets509 499 10 
Total$17,515 $17,242 $273 
____________________________
(1)There were no loans held for sale that were designated as nonaccrual or 90 days or more past due at December 31, 2024. Please see the Loans Held for Sale section below for more details.
Changes in the fair value of assets for which the Company elected the fair value option are classified in the Consolidated Statements of Income line items reflected in the following table:
(Dollars in thousands)Three Months Ended September 30,Nine Months Ended September 30,
Changes in fair value included in noninterest income:2025202420252024
Mortgage banking revenue (loans held for sale)(1)
$— $(273)$— $(139)
Other income:
Securities carried at fair value through income(15)35 25 
Total fair value option impact on noninterest income$(15)$(238)$$(114)
Changes in fair value included in noninterest expense:
Rabbi Trust assets$(17)$— $(37)$— 
Deferred compensation liabilities related to Rabbi Trust assets(2)
17 — 37 — 
Total fair value option impact on noninterest expense$— $— $— $— 
____________________________
(1)Please see the Loans Held for Sale section below for more details.
(2)Please see the Rabbi Trust section below for more detail on its impact on the Company’s net income.
Schedule of Carrying Value and Estimated Fair Value of Financial Instruments Not Measured at Fair Value
The carrying value and estimated fair values of financial instruments not recorded at fair value are as follows:
(Dollars in thousands)September 30, 2025December 31, 2024
Financial assets:
Level 1 inputs:
Carrying
Value
Estimated
Fair Value
Carrying
Value
Estimated
Fair Value
Cash and cash equivalents$626,909 $626,909 $470,249 $470,249 
Level 2 inputs:
Non-marketable equity securities held in other financial institutions
31,041 31,041 71,643 71,643 
Accrued interest and loan fees receivable36,944 36,944 38,901 38,901 
Level 3 inputs:
Securities held to maturity10,559 10,018 11,095 10,456 
LHFI, net7,440,840 7,294,810 7,482,653 7,209,866 
Financial liabilities:
Level 2 inputs:
Deposits8,331,830 8,327,798 8,223,120 8,217,564 
FHLB advances, repurchase agreements and other borrowings12,790 12,715 12,460 12,203 
Subordinated indebtedness89,715 89,714 159,943 159,928 
Accrued interest payable4,680 4,680 8,033 8,033