XML 47 R38.htm IDEA: XBRL DOCUMENT v3.24.0.1
Loans and Allowance for Credit Losses (Tables)
 12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Summary of Loans A summary of loans at December 31, 2023 and 2022 follows (in thousands):

 

 

 

2023

 

 

2022

 

Construction and land development

 

$

207,033

 

 

$

144,387

 

Agricultural real estate

 

 

392,265

 

 

 

410,790

 

1-4 family residential properties

 

 

549,843

 

 

 

440,018

 

Multifamily residential properties

 

 

321,537

 

 

 

295,073

 

Commercial real estate

 

 

2,416,294

 

 

 

2,036,243

 

Loans secured by real estate

 

 

3,886,972

 

 

 

3,326,511

 

Agricultural loans

 

 

196,202

 

 

 

166,695

 

Commercial and industrial loans

 

 

1,273,637

 

 

 

1,085,004

 

Consumer loans

 

 

92,142

 

 

 

97,730

 

All other loans

 

 

184,609

 

 

 

159,499

 

Gross loans

 

 

5,633,562

 

 

 

4,835,439

 

Less: Loans held for sale

 

 

4,980

 

 

 

338

 

 

 

5,628,582

 

 

 

4,835,101

 

Less:

 

 

 

 

 

 

Net deferred loan fees, premiums and discounts

 

 

52,997

 

 

 

9,227

 

Allowance for credit losses

 

 

68,675

 

 

 

59,093

 

Net loans

 

$

5,506,910

 

 

$

4,766,781

 

 
Allowance for Credit Losses Based on Portfolio Segment

The following tables present the balance in the allowance for credit losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2023, 2022, and 2021 (in thousands):

 

 

 

Construction
and Land
Development

 

 

Agricultural
Real Estate

 

 

1-4 Family
Residential
Properties

 

 

Commercial
Real Estate

 

 

Agricultural
Loans

 

 

Commercial
and
Industrial

 

 

Consumer
Loans

 

 

Total

 

Twelve months ended December 31, 2023

 

Beginning Balance

 

$

2,250

 

 

$

1,433

 

 

$

3,742

 

 

$

28,157

 

 

$

585

 

 

$

20,808

 

 

$

2,118

 

 

$

59,093

 

Initial allowance on loans purchased with credit deterioration

 

 

308

 

 

 

—

 

 

 

124

 

 

 

1,066

 

 

 

—

 

 

 

2,273

 

 

 

20

 

 

 

3,791

 

Provision for credit loss expense

 

 

374

 

 

 

(67

)

 

 

225

 

 

 

1,755

 

 

 

490

 

 

 

2,322

 

 

 

1,005

 

 

 

6,104

 

Loans charged off

 

 

14

 

 

 

—

 

 

 

87

 

 

 

25

 

 

 

408

 

 

 

529

 

 

 

1,568

 

 

 

2,631

 

Recoveries collected

 

 

—

 

 

 

—

 

 

 

216

 

 

 

805

 

 

 

38

 

 

 

576

 

 

 

683

 

 

 

2,318

 

Ending balance

 

$

2,918

 

 

$

1,366

 

 

$

4,220

 

 

$

31,758

 

 

$

705

 

 

$

25,450

 

 

$

2,258

 

 

$

68,675

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Twelve months ended December 31, 2022

 

Beginning Balance

 

$

1,743

 

 

$

1,257

 

 

$

2,330

 

 

$

26,246

 

 

$

983

 

 

$

19,241

 

 

$

2,855

 

 

$

54,655

 

Initial allowance on loans purchased with credit deterioration

 

 

272

 

 

 

—

 

 

 

3

 

 

 

478

 

 

 

—

 

 

 

94

 

 

 

16

 

 

 

863

 

Provision for credit loss expense

 

 

137

 

 

 

176

 

 

 

1,241

 

 

 

1,462

 

 

 

(359

)

 

 

2,135

 

 

 

14

 

 

 

4,806

 

Loans charged off

 

 

2

 

 

 

—

 

 

 

191

 

 

 

414

 

 

 

93

 

 

 

870

 

 

 

1,380

 

 

 

2,950

 

Recoveries collected

 

 

100

 

 

 

—

 

 

 

359

 

 

 

385

 

 

 

54

 

 

 

208

 

 

 

613

 

 

 

1,719

 

Ending balance

 

$

2,250

 

 

$

1,433

 

 

$

3,742

 

 

$

28,157

 

 

$

585

 

 

$

20,808

 

 

$

2,118

 

 

$

59,093

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Twelve months ended December 31, 2021

 

Beginning Balance

 

$

1,666

 

 

$

1,084

 

 

$

2,322

 

 

$

19,660

 

 

$

1,526

 

 

$

13,485

 

 

$

2,167

 

 

$

41,910

 

Initial allowance on loans purchased with credit deterioration

 

 

261

 

 

 

44

 

 

 

328

 

 

 

646

 

 

 

—

 

 

 

795

 

 

 

—

 

 

 

2,074

 

Provision for credit loss expense

 

 

21

 

 

 

129

 

 

 

(160

)

 

 

6,415

 

 

 

(544

)

 

 

7,940

 

 

 

1,350

 

 

 

15,151

 

Loans charged off

 

 

205

 

 

 

—

 

 

 

371

 

 

 

535

 

 

 

—

 

 

 

3,118

 

 

 

1,405

 

 

 

5,634

 

Recoveries collected

 

 

—

 

 

 

—

 

 

 

211

 

 

 

60

 

 

 

1

 

 

 

139

 

 

 

743

 

 

 

1,154

 

Ending balance

 

$

1,743

 

 

$

1,257

 

 

$

2,330

 

 

$

26,246

 

 

$

983

 

 

$

19,241

 

 

$

2,855

 

 

$

54,655

 

 
Amortized Cost Basis of Collateral-Dependent Loans by Class of Loans Individually Evaluated

The following table presents the amortized cost basis of collateral-dependent loans by class of loans that were individually evaluated to determine expected credit losses, and the related allowance for credit losses, as of December 31, 2023 (in thousands):

 

 

 

Collateral

 

 

Allowance

 

 

 

Real Estate

 

 

Business
Assets

 

 

Other

 

 

Total

 

 

for Credit
Losses

 

Construction and land development

 

$

416

 

 

$

—

 

 

$

—

 

 

$

416

 

 

$

186

 

Agricultural real estate

 

 

—

 

 

 

—

 

 

 

841

 

 

 

841

 

 

 

—

 

1-4 family residential properties

 

 

1,192

 

 

 

—

 

 

 

—

 

 

 

1,192

 

 

 

—

 

Multifamily residential properties

 

 

1,037

 

 

 

—

 

 

 

—

 

 

 

1,037

 

 

 

—

 

Commercial real estate

 

 

8,571

 

 

 

—

 

 

 

—

 

 

 

8,571

 

 

 

—

 

Loans secured by real estate

 

 

11,216

 

 

 

—

 

 

 

841

 

 

 

12,057

 

 

 

186

 

Agricultural loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Commercial and industrial loans

 

 

77

 

 

 

1,147

 

 

 

—

 

 

 

1,224

 

 

 

—

 

Consumer loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

All other loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total loans

 

$

11,293

 

 

$

1,147

 

 

$

841

 

 

$

13,281

 

 

$

186

 
Credit Risk Profile of Loan Portfolio Based on Risk Rating Category and Payment Activity The following tables present the credit risk profile of the Company’s loan portfolio based on rating category and payment activity as of December 31, 2023 (in thousands):

 

 

Term Loans by Origination Year

 

 

Revolving

 

 

 

 

Risk rating

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Loans

 

 

Total

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction and land development loans

 

Pass

 

$

68,086

 

 

$

74,065

 

 

$

27,392

 

 

$

5,188

 

 

$

10,795

 

 

$

19,115

 

 

$

—

 

 

$

204,641

 

Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

436

 

 

 

—

 

 

 

436

 

Total

 

$

68,086

 

 

$

74,065

 

 

$

27,392

 

 

$

5,188

 

 

$

10,795

 

 

$

19,551

 

 

$

—

 

 

$

205,077

 

Current period gross writeoffs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

14

 

 

$

—

 

 

$

—

 

 

$

14

 

Agricultural real estate loans

 

Pass

 

$

19,231

 

 

$

164,812

 

 

$

57,815

 

 

$

53,249

 

 

$

19,419

 

 

$

71,189

 

 

$

—

 

 

$

385,715

 

Special mention

 

 

206

 

 

 

—

 

 

 

627

 

 

 

—

 

 

 

1,170

 

 

 

1,868

 

 

 

—

 

 

 

3,871

 

Substandard

 

 

—

 

 

 

—

 

 

 

371

 

 

 

—

 

 

 

—

 

 

 

1,175

 

 

 

—

 

 

 

1,546

 

Total

 

$

19,437

 

 

$

164,812

 

 

$

58,813

 

 

$

53,249

 

 

$

20,589

 

 

$

74,232

 

 

$

—

 

 

$

391,132

 

Current period gross writeoffs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

1-4 family residential property loans

 

Pass

 

$

66,119

 

 

$

96,995

 

 

$

79,085

 

 

$

73,073

 

 

$

26,854

 

 

$

105,257

 

 

$

75,700

 

 

$

523,083

 

Special mention

 

 

—

 

 

 

967

 

 

 

3,184

 

 

 

—

 

 

 

—

 

 

 

3,804

 

 

 

10

 

 

 

7,965

 

Substandard

 

 

152

 

 

 

759

 

 

 

460

 

 

 

396

 

 

 

288

 

 

 

8,865

 

 

 

501

 

 

 

11,421

 

Total

 

$

66,271

 

 

$

98,721

 

 

$

82,729

 

 

$

73,469

 

 

$

27,142

 

 

$

117,926

 

 

$

76,211

 

 

$

542,469

 

Current period gross writeoffs

 

$

10

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

14

 

 

$

63

 

 

$

—

 

 

$

87

 

Commercial real estate loans

 

Pass

 

$

185,628

 

 

$

680,099

 

 

$

548,733

 

 

$

317,075

 

 

$

239,323

 

 

$

701,464

 

 

$

—

 

 

$

2,672,322

 

Special mention

 

 

3,666

 

 

 

2,706

 

 

 

1,317

 

 

 

2,159

 

 

 

1,563

 

 

 

7,778

 

 

 

—

 

 

 

19,189

 

Substandard

 

 

—

 

 

 

3,899

 

 

 

520

 

 

 

20

 

 

 

775

 

 

 

7,108

 

 

 

—

 

 

 

12,322

 

Total

 

$

189,294

 

 

$

686,704

 

 

$

550,570

 

 

$

319,254

 

 

$

241,661

 

 

$

716,350

 

 

$

—

 

 

$

2,703,833

 

Current period gross writeoffs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

25

 

 

$

—

 

 

$

—

 

 

$

25

 

Agricultural loans

 

Pass

 

$

147,993

 

 

$

27,895

 

 

$

10,044

 

 

$

2,549

 

 

$

1,883

 

 

$

5,854

 

 

$

—

 

 

$

196,218

 

Special mention

 

 

6

 

 

 

10

 

 

 

—

 

 

 

—

 

 

 

38

 

 

 

—

 

 

 

—

 

 

 

54

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

147,999

 

 

$

27,905

 

 

$

10,044

 

 

$

2,549

 

 

$

1,921

 

 

$

5,854

 

 

$

—

 

 

$

196,272

 

Current period gross writeoffs

 

$

—

 

 

$

276

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

132

 

 

$

—

 

 

$

408

 

Commercial and industrial loans

 

Pass

 

$

290,304

 

 

$

306,794

 

 

$

232,198

 

 

$

154,499

 

 

$

73,906

 

 

$

347,957

 

 

$

—

 

 

$

1,405,658

 

Special mention

 

 

1,047

 

 

 

1,857

 

 

 

9,982

 

 

 

562

 

 

 

597

 

 

 

28,900

 

 

 

—

 

 

 

42,945

 

Substandard

 

 

—

 

 

 

537

 

 

 

791

 

 

 

58

 

 

 

29

 

 

 

750

 

 

 

—

 

 

 

2,165

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

291,351

 

 

$

309,188

 

 

$

242,971

 

 

$

155,119

 

 

$

74,532

 

 

$

377,607

 

 

$

—

 

 

$

1,450,768

 

Current period gross writeoffs

 

$

—

 

 

$

353

 

 

$

—

 

 

$

49

 

 

$

20

 

 

$

107

 

 

$

—

 

 

$

529

 

Consumer loans

 

Pass

 

$

9,547

 

 

$

40,225

 

 

$

21,264

 

 

$

10,387

 

 

$

4,475

 

 

$

4,035

 

 

$

—

 

 

$

89,933

 

Special mention

 

 

—

 

 

 

26

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

26

 

Substandard

 

 

86

 

 

 

405

 

 

 

325

 

 

 

139

 

 

 

59

 

 

 

41

 

 

 

—

 

 

 

1,055

 

Total

 

$

9,633

 

 

$

40,656

 

 

$

21,589

 

 

$

10,526

 

 

$

4,534

 

 

$

4,076

 

 

$

—

 

 

$

91,014

 

Current period gross writeoffs

 

$

—

 

 

$

132

 

 

$

208

 

 

$

2

 

 

$

20

 

 

$

1,206

 

 

$

—

 

 

$

1,568

 

Total loans

 

Pass

 

$

786,908

 

 

$

1,390,885

 

 

$

976,531

 

 

$

616,020

 

 

$

376,655

 

 

$

1,254,871

 

 

$

75,700

 

 

$

5,477,570

 

Special mention

 

 

4,925

 

 

 

5,566

 

 

 

15,110

 

 

 

2,721

 

 

 

3,368

 

 

 

42,350

 

 

 

10

 

 

 

74,050

 

Substandard

 

 

238

 

 

 

5,600

 

 

 

2,467

 

 

 

613

 

 

 

1,151

 

 

 

18,375

 

 

 

501

 

 

 

28,945

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

792,071

 

 

$

1,402,051

 

 

$

994,108

 

 

$

619,354

 

 

$

381,174

 

 

$

1,315,596

 

 

$

76,211

 

 

$

5,580,565

 

Current period gross writeoffs

 

$

10

 

 

$

761

 

 

$

208

 

 

$

51

 

 

$

93

 

 

$

1,508

 

 

$

—

 

 

$

2,631

 

 

 

 

 

Term Loans by Origination Year

 

 

Revolving

 

 

 

 

Risk rating

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior

 

 

Loans

 

 

Total

 

December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction and land development loans

 

Pass

 

$

63,846

 

 

$

39,790

 

 

$

12,558

 

 

$

15,787

 

 

$

1,210

 

 

$

10,601

 

 

$

—

 

 

$

143,792

 

Special mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

14

 

 

 

—

 

 

 

458

 

 

 

—

 

 

 

472

 

Total

 

$

63,846

 

 

$

39,790

 

 

$

12,558

 

 

$

15,801

 

 

$

1,210

 

 

$

11,059

 

 

$

—

 

 

$

144,264

 

Agricultural real estate loans

 

Pass

 

$

171,833

 

 

$

67,115

 

 

$

58,283

 

 

$

23,820

 

 

$

27,573

 

 

$

52,799

 

 

$

—

 

 

$

401,423

 

Special mention

 

 

1,123

 

 

 

—

 

 

 

490

 

 

 

1,240

 

 

 

273

 

 

 

3,121

 

 

 

—

 

 

 

6,247

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,383

 

 

 

1,274

 

 

 

—

 

 

 

2,657

 

Total

 

$

172,956

 

 

$

67,115

 

 

$

58,773

 

 

$

25,060

 

 

$

29,229

 

 

$

57,194

 

 

$

—

 

 

$

410,327

 

1-4 family residential property loans

 

Pass

 

$

94,377

 

 

$

86,717

 

 

$

78,977

 

 

$

27,580

 

 

$

30,809

 

 

$

63,050

 

 

$

43,722

 

 

$

425,232

 

Special mention

 

 

169

 

 

 

218

 

 

 

1

 

 

 

44

 

 

 

238

 

 

 

1,000

 

 

 

—

 

 

 

1,670

 

Substandard

 

 

1,060

 

 

 

566

 

 

 

529

 

 

 

295

 

 

 

2,749

 

 

 

8,079

 

 

 

—

 

 

 

13,278

 

Total

 

$

95,606

 

 

$

87,501

 

 

$

79,507

 

 

$

27,919

 

 

$

33,796

 

 

$

72,129

 

 

$

43,722

 

 

$

440,180

 

Commercial real estate loans

 

Pass

 

$

558,921

 

 

$

509,614

 

 

$

319,049

 

 

$

239,564

 

 

$

211,505

 

 

$

453,076

 

 

$

—

 

 

$

2,291,729

 

Special mention

 

 

2,187

 

 

 

1,287

 

 

 

769

 

 

 

1,508

 

 

 

952

 

 

 

8,503

 

 

 

—

 

 

 

15,206

 

Substandard

 

 

3,783

 

 

 

478

 

 

 

794

 

 

 

873

 

 

 

5,394

 

 

 

6,100

 

 

 

—

 

 

 

17,422

 

Total

 

$

564,891

 

 

$

511,379

 

 

$

320,612

 

 

$

241,945

 

 

$

217,851

 

 

$

467,679

 

 

$

—

 

 

$

2,324,357

 

Agricultural loans

 

Pass

 

$

137,327

 

 

$

18,783

 

 

$

3,433

 

 

$

3,918

 

 

$

915

 

 

$

254

 

 

$

—

 

 

$

164,630

 

Special mention

 

 

1,178

 

 

 

—

 

 

 

—

 

 

 

756

 

 

 

66

 

 

 

109

 

 

 

—

 

 

 

2,109

 

Substandard

 

 

53

 

 

 

—

 

 

 

—

 

 

 

46

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

99

 

Total

 

$

138,558

 

 

$

18,783

 

 

$

3,433

 

 

$

4,720

 

 

$

981

 

 

$

363

 

 

$

—

 

 

$

166,838

 

Commercial and industrial loans

 

Pass

 

$

450,001

 

 

$

226,038

 

 

$

172,208

 

 

$

63,906

 

 

$

61,929

 

 

$

247,404

 

 

$

—

 

 

$

1,221,486

 

Special mention

 

 

469

 

 

 

640

 

 

 

10,095

 

 

 

570

 

 

 

7,280

 

 

 

158

 

 

 

—

 

 

 

19,212

 

Substandard

 

 

346

 

 

 

418

 

 

 

184

 

 

 

35

 

 

 

157

 

 

 

633

 

 

 

—

 

 

 

1,773

 

Total

 

$

450,816

 

 

$

227,096

 

 

$

182,487

 

 

$

64,511

 

 

$

69,366

 

 

$

248,195

 

 

$

—

 

 

$

1,242,471

 

Consumer loans

 

Pass

 

$

48,600

 

 

$

21,088

 

 

$

12,101

 

 

$

7,968

 

 

$

1,945

 

 

$

5,630

 

 

$

—

 

 

$

97,332

 

Special mention

 

 

—

 

 

 

18

 

 

 

1

 

 

 

—

 

 

 

5

 

 

 

—

 

 

 

—

 

 

 

24

 

Substandard

 

 

69

 

 

 

246

 

 

 

3

 

 

 

43

 

 

 

52

 

 

 

6

 

 

 

—

 

 

 

419

 

Total

 

$

48,669

 

 

$

21,352

 

 

$

12,105

 

 

$

8,011

 

 

$

2,002

 

 

$

5,636

 

 

$

—

 

 

$

97,775

 

Total loans

 

Pass

 

$

1,524,905

 

 

$

969,145

 

 

$

656,609

 

 

$

382,543

 

 

$

335,886

 

 

$

832,814

 

 

$

43,722

 

 

$

4,745,624

 

Special mention

 

 

5,126

 

 

 

2,163

 

 

 

11,356

 

 

 

4,118

 

 

 

8,814

 

 

 

12,891

 

 

 

—

 

 

 

44,468

 

Substandard

 

 

5,311

 

 

 

1,708

 

 

 

1,510

 

 

 

1,306

 

 

 

9,735

 

 

 

16,550

 

 

 

—

 

 

 

36,120

 

Total

 

$

1,535,342

 

 

$

973,016

 

 

$

669,475

 

 

$

387,967

 

 

$

354,435

 

 

$

862,255

 

 

$

43,722

 

 

$

4,826,212

 
Loan Portfolio Aging Analysis

The following table presents the Company’s loan portfolio aging analysis at December 31, 2023 and 2022 (in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

 

 

 

 

 

 

 

90 Days

 

 

 

 

 

 

 

 

 

 

 

Loans > 90

 

 

 

30-59 days

 

 

60-89 days

 

 

or More

 

 

Total

 

 

 

 

 

Total Loans

 

 

days and

 

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Past Due

 

 

Current

 

 

Receivable

 

 

Accruing

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction and land development

 

$

—

 

 

$

585

 

 

$

450

 

 

$

1,035

 

 

$

204,042

 

 

$

205,077

 

 

$

—

 

Agricultural real estate

 

 

—

 

 

 

—

 

 

 

1

 

 

 

1

 

 

 

391,131

 

 

 

391,132

 

 

 

—

 

1-4 family residential properties

 

 

3,054

 

 

 

530

 

 

 

1,018

 

 

 

4,602

 

 

 

537,867

 

 

 

542,469

 

 

 

—

 

Multifamily residential properties

 

 

150

 

 

 

—

 

 

 

551

 

 

 

701

 

 

 

318,428

 

 

 

319,129

 

 

 

—

 

Commercial real estate

 

 

819

 

 

 

74

 

 

 

3,765

 

 

 

4,658

 

 

 

2,380,046

 

 

 

2,384,704

 

 

 

—

 

Loans secured by real estate

 

 

4,023

 

 

 

1,189

 

 

 

5,785

 

 

 

10,997

 

 

 

3,831,514

 

 

 

3,842,511

 

 

 

—

 

Agricultural loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

196,272

 

 

 

196,272

 

 

 

—

 

Commercial and industrial loans

 

 

673

 

 

 

73

 

 

 

1,531

 

 

 

2,277

 

 

 

1,263,882

 

 

 

1,266,159

 

 

 

—

 

Consumer loans

 

 

983

 

 

 

162

 

 

 

330

 

 

 

1,475

 

 

 

89,539

 

 

 

91,014

 

 

 

—

 

All other loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

184,609

 

 

 

184,609

 

 

 

—

 

Total loans

 

$

5,679

 

 

$

1,424

 

 

$

7,646

 

 

$

14,749

 

 

$

5,565,816

 

 

$

5,580,565

 

 

$

—

 

December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction and land development

 

$

20

 

 

$

14

 

 

$

449

 

 

$

483

 

 

$

143,781

 

 

$

144,264

 

 

$

—

 

Agricultural real estate

 

 

20

 

 

 

6

 

 

 

1

 

 

 

27

 

 

 

410,300

 

 

 

410,327

 

 

 

—

 

1-4 family residential properties

 

 

1,706

 

 

 

1,092

 

 

 

896

 

 

 

3,694

 

 

 

436,486

 

 

 

440,180

 

 

 

—

 

Multifamily residential properties

 

 

—

 

 

 

—

 

 

 

548

 

 

 

548

 

 

 

293,798

 

 

 

294,346

 

 

 

—

 

Commercial real estate

 

 

494

 

 

 

205

 

 

 

3,654

 

 

 

4,353

 

 

 

2,025,658

 

 

 

2,030,011

 

 

 

—

 

Loans secured by real estate

 

 

2,240

 

 

 

1,317

 

 

 

5,548

 

 

 

9,105

 

 

 

3,310,023

 

 

 

3,319,128

 

 

 

—

 

Agricultural loans

 

 

—

 

 

 

53

 

 

 

29

 

 

 

82

 

 

 

166,756

 

 

 

166,838

 

 

 

—

 

Commercial and industrial loans

 

 

716

 

 

 

24

 

 

 

854

 

 

 

1,594

 

 

 

1,081,366

 

 

 

1,082,960

 

 

 

—

 

Consumer loans

 

 

326

 

 

 

195

 

 

 

278

 

 

 

799

 

 

 

96,976

 

 

 

97,775

 

 

 

—

 

All other loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

159,511

 

 

 

159,511

 

 

 

—

 

Total loans

 

$

3,282

 

 

$

1,589

 

 

$

6,709

 

 

$

11,580

 

 

$

4,814,632

 

 

$

4,826,212

 

 

$

—

 
Recorded Balance of Loans on Nonaccrual Loans

The following table presents the Company’s recorded balance of nonaccrual loans at December 31, 2023 and December 31, 2022 (in thousands). This table excludes performing purchased credit deteriorated loans and performing troubled debt restructurings.

 

 

 

2023

 

 

2022

 

 

 

Nonaccrual
with no
Allowance for

 

 

 

 

 

Nonaccrual
with no
Allowance for

 

 

 

 

 

 

Credit Loss

 

 

Nonaccrual

 

 

Credit Loss

 

 

Nonaccrual

 

Construction and land development

 

$

—

 

 

$

—

 

 

$

14

 

 

$

14

 

Agricultural real estate

 

 

1,146

 

 

 

1,146

 

 

 

1,258

 

 

 

1,258

 

1-4 family residential properties

 

 

4,679

 

 

 

4,940

 

 

 

4,532

 

 

 

4,943

 

Multifamily residential properties

 

 

—

 

 

 

—

 

 

 

672

 

 

 

672

 

Commercial real estate

 

 

10,237

 

 

 

10,237

 

 

 

7,640

 

 

 

7,640

 

Loans secured by real estate

 

 

16,062

 

 

 

16,323

 

 

 

14,116

 

 

 

14,527

 

Agricultural loans

 

 

—

 

 

 

—

 

 

 

57

 

 

 

57

 

Commercial and industrial loans

 

 

1,931

 

 

 

1,931

 

 

 

1,098

 

 

 

1,098

 

Consumer loans

 

 

578

 

 

 

578

 

 

 

274

 

 

 

274

 

Total loans

 

$

18,571

 

 

$

18,832

 

 

$

15,545

 

 

$

15,956

 
Amortized Cost Basis of Loans Experiencing Difficulty and Modified

The following table shows the amortized cost of loans at December 31, 2023 that were both experiencing financial difficulty and modified segregated by portfolio segment and type of modification. The percentage of the amortized cost of loans that were modified to borrowers in financial distress as compared to outstanding loans is also presented below.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total

 

 

 

 

 

 

Payment

 

 

Term

 

 

Interest

 

Class of

 

 

 

Principal

 

 

Delay

 

 

Extension

 

 

Rate

 

Financing

 

 

 

Forgiveness

 

 

Investment

 

 

Modifications

 

 

Reduction

 

Receivable

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Agricultural real estate

 

$

—

 

 

$

331

 

 

$

—

 

 

$

—

 

 

0.01

%

1-4 family residential properties

 

 

—

 

 

 

55

 

 

 

807

 

 

 

—

 

 

0.02

%

Commercial real estate

 

 

—

 

 

 

744

 

 

 

131

 

 

 

562

 

 

0.03

%

Loans secured by real estate

 

 

—

 

 

 

1,130

 

 

 

938

 

 

 

562

 

 

0.05

%

Commercial and industrial loans

 

 

—

 

 

 

199

 

 

 

178

 

 

 

—

 

 

0.01

%

Consumer loans

 

 

—

 

 

 

6

 

 

 

38

 

 

 

—

 

 

—

%

Total

 

$

—

 

 

$

1,335

 

 

$

1,154

 

 

$

562

 

 

0.05

%
Performance of loans modified The following table shows the performance of such loans that have been modified in the last twelve months ended December 31, 2023.

 

 

 

30-59
Days Past
Due

 

 

60-89
Days Past
Due

 

 

90 Days or
More
Past Due

 

 

Total Past
Due

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans

 

$

9

 

 

$

—

 

 

$

—

 

 

$

9

 

Consumer loans

 

 

25

 

 

 

—

 

 

 

—

 

 

 

25

 

Total loans

 

$

34

 

 

$

—

 

 

$

—

 

 

$

34

 
Financial Effect of Loan Modifications

The following table shows the financial effect of loan modifications during the current quarter to borrowers experiencing financial difficulty for the three months ended December 31, 2023.

 

 

 

Weighted Average

 

 

Weighted Average

 

 

 

Interest Rate

 

 

Term Extension

 

 

 

Reduction

 

 

(in months)

 

Commercial and industrial loans

 

 

4.75

%

 

 

5.13

 

Consumer loans

 

 

—

%

 

 

3.00

 

Commercial real estate

 

 

3.75

%

 

 

—

 
Summary of Purchased Credit Deteriorated (PCD) Loans

During 2023 and 2022, the Company acquired loans from Blackhawk and Delta, respectively, for which there was, at acquisition, evidence of more than insignificant deterioration of credit quality since origination. The carrying amount of those loans is as follows (in thousands):

 

 

 

Blackhawk Acquisition

 

Delta Acquisition

 

Purchase price of purchase credit deteriorated loans at acquisition

 

$

115,250

 

$

18,796

 

Allowance for credit losses at acquisition

 

 

(3,791

)

 

(863

)

Non-credit discount/(premium) at acquisition

 

 

(5,476

)

 

(523

)

Fair value of purchased credit deteriorated loans at acquisition

 

$

105,983

 

$

17,410