Loans (Tables)

3 Months Ended

Sep. 30, 2019

Schedule of Accounts, Notes, Loans and Financing Receivable

Loans consist of the following at the dates indicated:



	September 30, 2019			June 30, 2019
Retail consumer loans:
One-to-four family	$	396,649		$	660,591
HELOCs - originated	141,129			139,435
HELOCs - purchased	104,324			116,972
Construction and land/lots	85,319			80,602
Indirect auto finance	147,808			153,448
Consumer	11,400			11,416
Total retail consumer loans	886,629			1,162,464
Commercial loans:
Commercial real estate	990,787			927,261
Construction and development	203,494			210,916
Commercial and industrial	158,706			160,471
Equipment finance	154,479			132,058
Municipal finance	114,382			112,016
Total commercial loans	1,621,848			1,542,722
Total loans	2,508,477			2,705,186
Deferred loan costs, net	253			4
Total loans, net of deferred loan costs	2,508,730			2,705,190
Allowance for loan losses	(21,314		)	(21,429		)
Loans, net	$	2,487,416		$	2,683,761

Financing Receivable Credit Quality Indicators

The Company's total non-purchased and purchased performing loans by segment, class, and risk grade at the dates indicated follows:



	Pass		Special Mention		Substandard		Doubtful		Loss		Total
September 30, 2019
Retail consumer loans:
One-to-four family	$	381,231	$	2,108	$	7,466	$	368	$	15	$	391,188
HELOCs - originated	138,744		547		1,504		100		9		140,904
HELOCs - purchased	103,848		—		476		—		—		104,324
Construction and land/lots	84,789		5		159		—		—		84,953
Indirect auto finance	146,967		—		841		—		—		147,808
Consumer	11,351		—		43		1		5		11,400
Commercial loans:
Commercial real estate	963,018		9,599		11,315		—		—		983,932
Construction and development	200,758		652		1,387		1		—		202,798
Commercial and industrial	156,047		718		283		—		—		157,048
Equipment finance	153,457		—		1,022		—		—		154,479
Municipal finance	114,099		283		—		—		—		114,382
Total loans	$	2,454,309	$	13,912	$	24,496	$	470	$	29	$	2,493,216



	Pass		Special Mention		Substandard		Doubtful		Loss		Total
June 30, 2019
Retail consumer loans:
One-to-four family	$	644,159	$	2,089	$	8,072	$	384	$	19	$	654,723
HELOCs - originated	137,001		766		1,434		—		9		139,210
HELOCs - purchased	116,306		—		666		—		—		116,972
Construction and land/lots	79,995		71		164		—		—		80,230
Indirect auto finance	152,393		13		1,042		—		—		153,448
Consumer	11,375		1		33		3		4		11,416
Commercial loans:
Commercial real estate	901,214		8,066		10,306		—		—		919,586
Construction and development	207,827		790		1,357		1		—		209,975
Commercial and industrial	157,325		877		600		—		—		158,802
Equipment finance	131,674		—		384		—		—		132,058
Municipal finance	111,721		295		—		—		—		112,016
Total loans	$	2,650,990	$	12,968	$	24,058	$	388	$	32	$	2,688,436

The Company's total purchased credit impaired ("PCI") loans by segment, class, and risk grade at the dates indicated follows:



	Pass		Special Mention		Substandard		Doubtful		Loss		Total
September 30, 2019
Retail consumer loans:
One-to-four family	$	3,981	$	214	$	1,266	$	—	$	—	$	5,461
HELOCs - originated	225		—		—		—		—		225
Construction and land/lots	140		—		226		—		—		366
Commercial loans:
Commercial real estate	3,703		1,881		1,271		—		—		6,855
Construction and development	342		—		354		—		—		696
Commercial and industrial	1,655		—		—		—		3		1,658
Total loans	$	10,046	$	2,095	$	3,117	$	—	$	3	$	15,261



	Pass		Special Mention		Substandard		Doubtful		Loss		Total
June 30, 2019
Retail consumer loans:
One-to-four family	$	4,124	$	248	$	1,496	$	—	$	—	$	5,868
HELOCs - originated	225		—		—		—		—		225
Construction and land/lots	142		—		230		—		—		372
Commercial loans:
Commercial real estate	4,503		1,903		1,300		—		—		7,706
Construction and development	453		—		488		—		—		941
Commercial and industrial	1,666		—		—		—		3		1,669
Total loans	$	11,113	$	2,151	$	3,514	$	—	$	3	$	16,781

Past Due Financing Receivables

The Company's total loans by segment, class, and delinquency status at the dates indicated follows:



	Past Due								Total
	30-89 Days		90 Days+		Total		Current		Loans
September 30, 2019
Retail consumer loans:
One-to-four family	$	2,511	$	1,883	$	4,394	$	392,255	$	396,649
HELOCs - originated	437		204		641		140,488		141,129
HELOCs - purchased	108		298		406		103,918		104,324
Construction and land/lots	—		6		6		85,313		85,319
Indirect auto finance	566		110		676		147,132		147,808
Consumer	5		12		17		11,383		11,400
Commercial loans:
Commercial real estate	1,000		2,664		3,664		987,123		990,787
Construction and development	—		1,170		1,170		202,324		203,494
Commercial and industrial	95		118		213		158,493		158,706
Equipment finance	1,012		629		1,641		152,838		154,479
Municipal finance	—		—		—		114,382		114,382
Total loans	$	5,734	$	7,094	$	12,828	$	2,495,649	$	2,508,477



	Past Due								Total
	30-89 Days		90 Days+		Total		Current		Loans
June 30, 2019
Retail consumer loans:
One-to-four family	$	1,615	$	1,389	$	3,004	$	657,587	$	660,591
HELOCs - originated	226		231		457		138,978		139,435
HELOCs - purchased	—		485		485		116,487		116,972
Construction and land/lots	138		6		144		80,458		80,602
Indirect auto finance	459		237		696		152,752		153,448
Consumer	6		8		14		11,402		11,416
Commercial loans:
Commercial real estate	2,279		516		2,795		924,466		927,261
Construction and development	—		1,133		1,133		209,783		210,916
Commercial and industrial	207		99		306		160,165		160,471
Equipment finance	649		384		1,033		131,025		132,058
Municipal finance	—		—		—		112,016		112,016
Total loans	$	5,579	$	4,488	$	10,067	$	2,695,119	$	2,705,186

Schedule of Past Due Loans Still Accruing and Nonaccruing Interest

The Company's recorded investment in loans, by segment and class, that are not accruing interest or are 90 days or more past due and still accruing interest at the dates indicated follows:



	September 30, 2019				June 30, 2019
	Nonaccruing		90 Days + & still accruing		Nonaccruing		90 Days + & still accruing
Retail consumer loans:
One-to-four family	$	3,348	$	—	$	3,223	$	—
HELOCs - originated	584		—		372		—
HELOCs - purchased	476		—		666		—
Construction and land/lots	6		—		6		—
Indirect auto finance	317		—		463		—
Consumer	24		—		21		—
Commercial loans:
Commercial real estate	3,398		—		3,559		—
Construction and development	1,387		—		1,357		—
Commercial and industrial	319		—		307		—
Equipment finance	1,022		—		384		—
Total loans	$	10,881	$	—	$	10,358	$	—

Schedule of Troubled Debt Restructurings Performing and Excluded from Nonaccruing Loans

The Company's loans that were performing under the payment terms of TDRs that were excluded from nonaccruing loans above at the dates indicated follows:



	September 30, 2019		June 30, 2019
Performing TDRs included in impaired loans	$	24,590	$	23,116

Allowance for Credit Losses on Financing Receivables

An analysis of the allowance for loan losses by segment for the periods shown is as follows:



	Three Months Ended September 30, 2019												Three Months Ended September 30, 2018
	PCI			Retail Consumer			Commercial			Total			PCI			Retail Consumer			Commercial			Total
Balance at beginning of period	$	201		$	6,419		$	14,809		$	21,429		$	483		$	7,527		$	13,050		$	21,060
Provision for (recovery of) loan losses	(7		)	(448		)	455			—			(188		)	(64		)	252			—
Charge-offs	—			(395		)	(35		)	(430		)	—			(416		)	(2		)	(418		)
Recoveries	—			152			163			315			—			205			85			290
Balance at end of period	$	194		$	5,728		$	15,392		$	21,314		$	295		$	7,252		$	13,385		$	20,932

Schedule of Ending Balances of Loans and the Related Allowance by Segment and Class

The Company's ending balances of loans and the related allowance, by segment and class, at the dates indicated follows:



	Allowance for Loan Losses								Total Loans Receivable
	PCI		Loans individually evaluated for impairment		Loans collectively evaluated		Total		PCI		Loans individually evaluated for impairment		Loans collectively evaluated		Total
September 30, 2019
Retail consumer loans:
One-to-four family	$	60	$	70	$	1,547	$	1,677	$	5,461	$	5,452	$	385,736	$	396,649
HELOCs - originated	—		9		1,108		1,117		225		9		140,895		141,129
HELOCs - purchased	—		—		471		471		—		—		104,324		104,324
Construction and land/lots	—		—		1,357		1,357		366		315		84,638		85,319
Indirect auto finance	—		—		1,028		1,028		—		11		147,797		147,808
Consumer	—		5		133		138		—		5		11,395		11,400
Commercial loans:
Commercial real estate	113		38		8,223		8,374		6,855		8,305		975,627		990,787
Construction and development	4		5		3,148		3,157		696		1,275		201,523		203,494
Commercial and industrial	17		—		1,941		1,958		1,658		—		157,048		158,706
Equipment finance	—		67		1,517		1,584		—		1,022		153,457		154,479
Municipal finance	—		—		453		453		—		—		114,382		114,382
Total	$	194	$	194	$	20,926	$	21,314	$	15,261	$	16,394	$	2,476,822	$	2,508,477
June 30, 2019
Retail consumer loans:
One-to-four family	$	62	$	74	$	2,375	$	2,511	$	5,868	$	5,318	$	649,405	$	660,591
HELOCs - originated	—		7		1,060		1,067		225		7		139,203		139,435
HELOCs - purchased	—		—		518		518		—		—		116,972		116,972
Construction and land/lots	—		—		1,265		1,265		372		323		79,907		80,602
Indirect auto finance	—		—		927		927		—		—		153,448		153,448
Consumer	—		4		189		193		—		4		11,412		11,416
Commercial loans:
Commercial real estate	118		28		7,890		8,036		7,706		8,692		910,863		927,261
Construction and development	4		5		3,187		3,196		941		1,397		208,578		210,916
Commercial and industrial	17		2		1,957		1,976		1,669		2		158,800		160,471
Equipment finance	—		—		1,305		1,305		—		—		132,058		132,058
Municipal finance	—		—		435		435		—		—		112,016		112,016
Total	$	201	$	120	$	21,108	$	21,429	$	16,781	$	15,743	$	2,672,662	$	2,705,186

Schedule of Impaired Loans and Related Allowance by Segment and Class

The Company's impaired loans and the related allowance, by segment and class, excluding PCI loans, at the dates indicated follows:



	Total Impaired Loans
	Unpaid Principal Balance		Recorded Investment With a Recorded Allowance		Recorded Investment With No Recorded Allowance		Total		Related Recorded Allowance
September 30, 2019
Retail consumer loans:
One-to-four family	$	17,678	$	12,747	$	2,315	$	15,062	$	496
HELOCs - originated	2,611		675		1,288		1,963		12
HELOCs - purchased	476		476		—		476		2
Construction and land/lots	1,692		795		315		1,110		27
Indirect auto finance	585		191		216		407		2
Consumer	295		11		35		46		7
Commercial loans:
Commercial real estate	9,674		6,620		2,771		9,391		45
Construction and development	2,482		846		794		1,640		8
Commercial and industrial	8,985		345		—		345		4
Equipment finance	1,022		393		629		1,022		67
Total impaired loans	$	45,500	$	23,099	$	8,363	$	31,462	$	670
June 30, 2019
Retail consumer loans:
One-to-four family	$	18,302	$	12,461	$	3,152	$	15,613	$	472
HELOCs - originated	2,410		564		1,219		1,783		46
HELOCs - purchased	666		—		666		666		—
Construction and land/lots	1,917		957		323		1,280		26
Indirect auto finance	601		353		137		490		2
Consumer	379		7		41		48		6
Commercial loans:
Commercial real estate	10,127		6,434		3,404		9,838		36
Construction and development	2,574		940		791		1,731		7
Commercial and industrial	10,173		354		768		1,122		6
Equipment finance	462		—		384		384		—
Total impaired loans	$	47,611	$	22,070	$	10,885	$	32,955	$	601

Schedule of Average Recorded Investment in Loans, Unpaid Principal Balance and Interest Income Recognized

The Company's average recorded investment in impaired loans and interest income recognized on impaired loans for the three months ended September 30, 2019 and 2018 follows:



	Three Months Ended
	September 30, 2019				September 30, 2018
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Retail consumer loans:
One-to-four family	$	15,338	$	206	$	19,280	$	290
HELOCs - originated	1,873		29		1,319		18
HELOCs - purchased	571		3		186		3
Construction and land/lots	1,195		24		1,593		39
Indirect auto finance	448		5		327		4
Consumer	47		3		806		27
Commercial loans:
Commercial real estate	9,614		77		4,754		93
Construction and development	1,686		14		1,940		29
Commercial and industrial	734		10		219		17
Equipment finance	703		8		—		—
Total loans	$	32,209	$	379	$	30,424	$	520

Impaired Financing Receivable

A summary of changes in the accretable yield for PCI loans for the three months ended September 30, 2019 and 2018 follows:



	Three Months Ended
	September 30, 2019			September 30, 2018
Accretable yield, beginning of period	$	5,259		$	5,734
Reclass from nonaccretable yield ⁽¹⁾	115			10
Other changes, net ⁽²⁾	(14		)	137
Interest income	(444		)	(429		)
Accretable yield, end of period	$	4,916		$	5,452

______________________________________


(1)	Represents changes attributable to expected loss assumptions.


(2)	Represents changes in cash flows expected to be collected due to the impact of modifications, changes in prepayment assumptions, and changes in interest rates.

Troubled Debt Restructurings on Financing Receivables

For the three months ended September 30, 2019 and 2018, the following tables present a breakdown of the types of concessions made on TDRs by loan class:



	Three Months Ended September 30, 2019					Three Months Ended September 30, 2018
	Number of Loans	Pre Modification Outstanding Recorded Investment		Post Modification Outstanding Recorded Investment		Number of Loans	Pre Modification Outstanding Recorded Investment		Post Modification Outstanding Recorded Investment
Extended payment terms:
Retail consumer:
One-to-four family	1	$	14	$	14	—	$	—	$	—
Total	1	$	14	$	14	—	$	—	$	—
Other TDRs:
Retail consumer:
One-to-four family	3	$	35	$	34	5	$	244	$	243
Indirect auto finance	4	68		65		1	33		32
Consumer	—	—		—		1	2		2
Total	7	$	103	$	99	7	$	279	$	277
Total	8	$	117	$	113	7	$	279	$	277

Schedule of Trouble Debt Restructurings With Payment Default

The following tables present loans that were modified as TDRs within the previous 12 months and for which there was a payment default during the three months ended September 30, 2019 and 2018:



	Three Months Ended September 30, 2019			Three Months Ended September 30, 2018
	Number of Loans	Recorded Investment		Number of Loans	Recorded Investment
Other TDRs:
Retail consumer:
One-to-four family	2	$	122	—	$	—
Consumer	1	2		—	—
Total	3	$	124	—	$	—
Total	3	$	124	—	$	—