XML 37 R27.htm IDEA: XBRL DOCUMENT v3.20.2
Loans and Allowance for Loan and Lease Losses (Tables)
 9 Months Ended
Sep. 30, 2020
Accounts Notes Loans And Financing Receivable Gross Allowance And Net [Abstract]  
Type of Loan Portfolio Summarized by the Aggregate Risk Rating

The types of loans in Mid Penn’s portfolio, summarized by those rated as “pass” (net of deferred fees and costs of $16,536,000 as of September 30, 2020 and $1,081,000 as of December 31, 2019), and the loans classified as “special mention” and “substandard” within Mid Penn’s internal risk rating system as of September 30, 2020 and December 31, 2019, are as follows:

 

(Dollars in thousands)

 

 

 

Special

 

 

 

 

 

 

September 30, 2020

 

Pass

 

 

Mention

 

 

Substandard

 

 

Total

 

Commercial and industrial

 

$

956,097

 

 

$

9,657

 

 

$

3,121

 

 

$

968,875

 

Commercial real estate

 

 

1,004,999

 

 

 

2,406

 

 

 

14,013

 

 

 

1,021,418

 

Commercial real estate - construction

 

 

238,176

 

 

 

—

 

 

 

32

 

 

 

238,208

 

Residential mortgage

 

 

214,177

 

 

 

53

 

 

 

1,359

 

 

 

215,589

 

Home equity

 

 

68,002

 

 

 

5

 

 

 

2,393

 

 

 

70,400

 

Consumer

 

 

7,337

 

 

 

—

 

 

 

—

 

 

 

7,337

 

 

 

$

2,488,788

 

 

$

12,121

 

 

$

20,918

 

 

$

2,521,827

 

 

(Dollars in thousands)

 

 

 

 

 

Special

 

 

 

 

 

 

 

 

 

December 31, 2019

 

Pass

 

 

Mention

 

 

Substandard

 

 

Total

 

Commercial and industrial

 

$

326,573

 

 

$

9,558

 

 

$

3,016

 

 

$

339,147

 

Commercial real estate

 

 

913,001

 

 

 

2,426

 

 

 

13,711

 

 

 

929,138

 

Commercial real estate - construction

 

 

181,650

 

 

 

—

 

 

 

40

 

 

 

181,690

 

Residential mortgage

 

 

235,252

 

 

 

55

 

 

 

1,417

 

 

 

236,724

 

Home equity

 

 

68,224

 

 

 

—

 

 

 

47

 

 

 

68,271

 

Consumer

 

 

7,786

 

 

 

—

 

 

 

—

 

 

 

7,786

 

 

 

$

1,732,486

 

 

$

12,039

 

 

$

18,231

 

 

$

1,762,756

 
Impaired Loans by Loan Portfolio Class

Impaired loans by loan portfolio class as of September 30, 2020 and December 31, 2019 are summarized as follows:

 

 

 

September 30, 2020

 

 

December 31, 2019

 

(Dollars in thousands)

 

Recorded Investment

 

 

Unpaid Principal Balance

 

 

Related Allowance

 

 

Recorded Investment

 

 

Unpaid Principal Balance

 

 

Related Allowance

 

With no related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

859

 

 

$

891

 

 

$

—

 

 

$

890

 

 

$

890

 

 

$

—

 

Commercial real estate

 

 

7,074

 

 

 

7,425

 

 

 

—

 

 

 

7,973

 

 

 

8,366

 

 

 

—

 

Commercial real estate - construction

 

 

32

 

 

 

34

 

 

 

—

 

 

 

40

 

 

 

61

 

 

 

—

 

Residential mortgage

 

 

834

 

 

 

859

 

 

 

—

 

 

 

817

 

 

 

838

 

 

 

—

 

Home equity

 

 

2,386

 

 

 

2,417

 

 

 

—

 

 

 

25

 

 

 

27

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

With no related allowance recorded and acquired with credit deterioration:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

—

 

 

$

—

 

 

$

—

 

 

$

3

 

 

$

68

 

 

$

—

 

Commercial real estate

 

 

1,426

 

 

 

1,698

 

 

 

—

 

 

 

1,423

 

 

 

1,708

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential mortgage

 

 

342

 

 

 

585

 

 

 

—

 

 

 

381

 

 

 

578

 

 

 

—

 

Home equity

 

 

—

 

 

 

14

 

 

 

—

 

 

 

1

 

 

 

5

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

With an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

53

 

 

$

73

 

 

$

41

 

 

$

—

 

 

$

—

 

 

$

—

 

Commercial real estate

 

 

360

 

 

 

405

 

 

 

141

 

 

 

338

 

 

 

380

 

 

 

166

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential mortgage

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Home equity

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Impaired Loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

912

 

 

$

964

 

 

$

41

 

 

$

893

 

 

$

958

 

 

$

—

 

Commercial real estate

 

 

8,860

 

 

 

9,528

 

 

 

141

 

 

 

9,734

 

 

 

10,454

 

 

 

166

 

Commercial real estate - construction

 

 

32

 

 

 

34

 

 

 

—

 

 

 

40

 

 

 

61

 

 

 

—

 

Residential mortgage

 

 

1,176

 

 

 

1,444

 

 

 

—

 

 

 

1,198

 

 

 

1,416

 

 

 

—

 

Home equity

 

 

2,386

 

 

 

2,431

 

 

 

—

 

 

 

26

 

 

 

32

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 
Average Recorded Investment Of Impaired Loans And Related Interest Income By Loan Portfolio Class

The average recorded investment of impaired loans and related interest income recognized for the three and nine months ended September 30, 2020 and 2019 are summarized as follows:

 

 

 

Three Months Ended

 

 

 

September 30, 2020

 

 

September 30, 2019

 

(Dollars in thousands)

 

Average Recorded Investment

 

 

Interest Income Recognized

 

 

Average Recorded Investment

 

 

Interest Income Recognized

 

With no related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

932

 

 

$

—

 

 

$

—

 

 

$

—

 

Commercial real estate

 

 

7,171

 

 

 

5

 

 

 

1,917

 

 

 

—

 

Commercial real estate - construction

 

 

32

 

 

 

—

 

 

 

40

 

 

 

4

 

Residential mortgage

 

 

805

 

 

 

6

 

 

 

889

 

 

 

7

 

Home equity

 

 

2,396

 

 

 

—

 

 

 

27

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

With no related allowance recorded and acquired with credit deterioration:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

—

 

 

$

—

 

 

$

11

 

 

$

—

 

Commercial real estate

 

 

1,428

 

 

 

—

 

 

 

1,630

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential mortgage

 

 

347

 

 

 

—

 

 

 

1,055

 

 

 

—

 

Home equity

 

 

—

 

 

 

—

 

 

 

4

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

With an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

130

 

 

$

—

 

 

$

38

 

 

$

—

 

Commercial real estate

 

 

560

 

 

 

—

 

 

 

617

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential mortgage

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Home equity

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Impaired Loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

1,062

 

 

$

—

 

 

$

49

 

 

$

—

 

Commercial real estate

 

 

9,159

 

 

 

5

 

 

 

4,164

 

 

 

—

 

Commercial real estate - construction

 

 

32

 

 

 

—

 

 

 

40

 

 

 

4

 

Residential mortgage

 

 

1,152

 

 

 

6

 

 

 

1,944

 

 

 

7

 

Home equity

 

 

2,396

 

 

 

—

 

 

 

31

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

Nine Months Ended

 

 

 

September 30, 2020

 

 

September 30, 2019

 

(Dollars in thousands)

 

Average Recorded Investment

 

 

Interest Income Recognized

 

 

Average Recorded Investment

 

 

Interest Income Recognized

 

With no related allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

911

 

 

$

—

 

 

$

—

 

 

$

—

 

Commercial real estate

 

 

7,325

 

 

 

5

 

 

 

2,697

 

 

 

11

 

Commercial real estate - construction

 

 

36

 

 

 

—

 

 

 

40

 

 

 

—

 

Residential mortgage

 

 

794

 

 

 

19

 

 

 

1,151

 

 

 

21

 

Home equity

 

 

1,210

 

 

 

—

 

 

 

38

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

With no related allowance recorded and acquired with credit deterioration:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

1

 

 

$

—

 

 

$

22

 

 

$

—

 

Commercial real estate

 

 

1,423

 

 

 

—

 

 

 

1,602

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential mortgage

 

 

361

 

 

 

—

 

 

 

1,152

 

 

 

—

 

Home equity

 

 

1

 

 

 

—

 

 

 

4

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

With an allowance recorded:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

67

 

 

$

—

 

 

$

1,202

 

 

$

3

 

Commercial real estate

 

 

530

 

 

 

—

 

 

 

633

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

183

 

 

 

—

 

Residential mortgage

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Home equity

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Impaired Loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

$

979

 

 

$

—

 

 

$

1,224

 

 

$

3

 

Commercial real estate

 

 

9,278

 

 

 

5

 

 

 

4,932

 

 

 

11

 

Commercial real estate - construction

 

 

36

 

 

 

—

 

 

 

223

 

 

 

—

 

Residential mortgage

 

 

1,155

 

 

 

19

 

 

 

2,303

 

 

 

21

 

Home equity

 

 

1,211

 

 

 

—

 

 

 

42

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 
Non-accrual Loans by Classes of the Loan Portfolio Including Loans Acquired With Credit Deterioration

Nonaccrual loans by loan portfolio class, including loans acquired with credit deterioration, as of September 30, 2020 and December 31, 2019 are summarized as follows:

 

(Dollars in thousands)

 

September 30, 2020

 

 

December 31, 2019

 

Commercial and industrial

 

$

913

 

 

$

894

 

Commercial real estate

 

 

8,859

 

 

 

9,800

 

Commercial real estate - construction

 

 

32

 

 

 

40

 

Residential mortgage

 

 

706

 

 

 

711

 

Home equity

 

 

2,386

 

 

 

26

 

 

 

$

12,896

 

 

$

11,471

 
Loan Portfolio Summarized by the Past Due Status The classes of the loan portfolio summarized by the past due status as of September 30, 2020 and December 31, 2019 are summarized as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

Greater

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Receivable >

 

 

 

Days Past

 

 

Days Past

 

 

than 90

 

 

Total Past

 

 

 

 

 

 

 

 

 

 

90 Days and

 

September 30, 2020

 

Due

 

 

Due

 

 

Days

 

 

Due

 

 

Current

 

 

Total Loans

 

 

Accruing

 

Commercial and industrial

 

$

—

 

 

$

1,490

 

 

$

866

 

 

$

2,356

 

 

$

966,519

 

 

$

968,875

 

 

$

—

 

Commercial real estate

 

 

—

 

 

 

1,029

 

 

 

6,842

 

 

 

7,871

 

 

 

1,012,121

 

 

 

1,019,992

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

238,208

 

 

 

238,208

 

 

 

—

 

Residential mortgage

 

 

—

 

 

 

2

 

 

 

328

 

 

 

330

 

 

 

214,917

 

 

 

215,247

 

 

 

—

 

Home equity

 

 

—

 

 

 

16

 

 

 

2,364

 

 

 

2,380

 

 

 

68,020

 

 

 

70,400

 

 

 

—

 

Consumer

 

 

3

 

 

 

1

 

 

 

—

 

 

 

4

 

 

 

7,333

 

 

 

7,337

 

 

 

—

 

Loans acquired with credit deterioration:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Commercial real estate

 

 

—

 

 

 

—

 

 

 

1,417

 

 

 

1,417

 

 

 

9

 

 

 

1,426

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential mortgage

 

 

—

 

 

 

—

 

 

 

182

 

 

 

182

 

 

 

160

 

 

 

342

 

 

 

—

 

Home equity

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

3

 

 

$

2,538

 

 

$

11,999

 

 

$

14,540

 

 

$

2,507,287

 

 

$

2,521,827

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

Greater

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Receivable >

 

 

 

Days Past

 

 

Days Past

 

 

than 90

 

 

Total Past

 

 

 

 

 

 

 

 

 

 

90 Days and

 

December 31, 2019

 

Due

 

 

Due

 

 

Days

 

 

Due

 

 

Current

 

 

Total Loans

 

 

Accruing

 

Commercial and industrial

 

$

—

 

 

$

1,059

 

 

$

890

 

 

$

1,949

 

 

$

337,195

 

 

$

339,144

 

 

$

—

 

Commercial real estate

 

 

1,298

 

 

 

11

 

 

 

7,819

 

 

 

9,128

 

 

 

918,587

 

 

 

927,715

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

181,690

 

 

 

181,690

 

 

 

—

 

Residential mortgage

 

 

145

 

 

 

—

 

 

 

326

 

 

 

471

 

 

 

235,872

 

 

 

236,343

 

 

 

—

 

Home equity

 

 

34

 

 

 

—

 

 

 

—

 

 

 

34

 

 

 

68,236

 

 

 

68,270

 

 

 

—

 

Consumer

 

 

5

 

 

 

3

 

 

 

—

 

 

 

8

 

 

 

7,778

 

 

 

7,786

 

 

 

—

 

Loans acquired with credit deterioration:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

—

 

 

 

—

 

 

 

3

 

 

 

3

 

 

 

—

 

 

 

3

 

 

 

—

 

Commercial real estate

 

 

16

 

 

 

473

 

 

 

934

 

 

 

1,423

 

 

 

—

 

 

 

1,423

 

 

 

—

 

Commercial real estate - construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential mortgage

 

 

5

 

 

 

—

 

 

 

203

 

 

 

208

 

 

 

173

 

 

 

381

 

 

 

—

 

Home equity

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1

 

 

 

1

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

1,503

 

 

$

1,546

 

 

$

10,175

 

 

$

13,224

 

 

$

1,749,532

 

 

$

1,762,756

 

 

$

—

 
Allowance and Recorded Investment in Financing Receivables

The following tables summarize the allowance and recorded investments in loans receivable.

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of, and for the

three months ended,

September 30, 2020

 

Commercial and industrial

 

 

Commercial real estate

 

 

Commercial real estate - construction

 

 

Residential mortgage

 

 

Home equity

 

 

Consumer

 

 

Unallocated

 

 

Total

 

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

July 1, 2020

 

$

2,786

 

 

$

7,241

 

 

$

65

 

 

$

427

 

 

$

517

 

 

$

2

 

 

$

29

 

 

$

11,067

 

Charge-offs

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(4

)

 

 

—

 

 

 

(4

)

 

 

—

 

 

 

(8

)

Recoveries

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

11

 

 

 

—

 

 

 

11

 

Provisions (credits)

 

 

138

 

 

 

529

 

 

 

(4

)

 

 

47

 

 

 

14

 

 

 

(7

)

 

 

383

 

 

 

1,100

 

Ending balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

September 30, 2020

 

$

2,924

 

 

$

7,770

 

 

$

61

 

 

$

470

 

 

$

531

 

 

$

2

 

 

$

412

 

 

$

12,170

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of, and for the

nine months ended,

September 30, 2020

 

Commercial

and

industrial

 

 

Commercial real estate

 

 

Commercial real estate - construction

 

 

Residential mortgage

 

 

Home equity

 

 

Consumer

 

 

Unallocated

 

 

Total

 

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

January 1, 2020

 

$

2,341

 

 

$

6,259

 

 

$

51

 

 

$

417

 

 

$

442

 

 

$

2

 

 

$

3

 

 

$

9,515

 

Charge-offs

 

 

(45

)

 

 

—

 

 

 

(7

)

 

 

(4

)

 

 

—

 

 

 

(22

)

 

 

—

 

 

 

(78

)

Recoveries

 

 

2

 

 

 

1

 

 

 

2

 

 

 

3

 

 

 

1

 

 

 

24

 

 

 

—

 

 

 

33

 

Provisions (credits)

 

 

626

 

 

 

1,510

 

 

 

15

 

 

 

54

 

 

 

88

 

 

 

(2

)

 

 

409

 

 

 

2,700

 

Ending balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

September 30, 2020

 

 

2,924

 

 

 

7,770

 

 

 

61

 

 

 

470

 

 

 

531

 

 

 

2

 

 

 

412

 

 

 

12,170

 

Individually evaluated for impairment

 

 

41

 

 

 

141

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

182

 

Ending balance:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Collectively evaluated for impairment

 

$

2,883

 

 

$

7,629

 

 

$

61

 

 

$

470

 

 

$

531

 

 

$

2

 

 

$

412

 

 

$

11,988

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans receivables:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ending balance

 

$

968,875

 

 

$

1,021,418

 

 

$

238,208

 

 

$

215,589

 

 

$

70,400

 

 

$

7,337

 

 

$

—

 

 

$

2,521,827

 

Ending balance: individually evaluated for impairment

 

 

912

 

 

 

7,434

 

 

 

32

 

 

 

834

 

 

 

2,386

 

 

 

—

 

 

 

—

 

 

 

11,598

 

Ending balance: acquired with credit deterioration

 

 

—

 

 

 

1,426

 

 

 

—

 

 

 

342

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,768

 

Ending balance: collectively evaluated for impairment

 

$

967,963

 

 

$

1,012,558

 

 

$

238,176

 

 

$

214,413

 

 

$

68,014

 

 

$

7,337

 

 

$

—

 

 

$

2,508,461

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2019

 

Commercial

and

industrial

 

 

Commercial real estate

 

 

Commercial real estate - construction

 

 

Residential mortgage

 

 

Home equity

 

 

Consumer

 

 

Unallocated

 

 

Total

 

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ending balance

 

$

2,341

 

 

$

6,259

 

 

$

51

 

 

$

417

 

 

$

442

 

 

$

2

 

 

$

3

 

 

$

9,515

 

Ending balance: individually evaluated for impairment

 

 

—

 

 

 

166

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

166

 

Ending balance: collectively evaluated for impairment

 

$

2,341

 

 

$

6,093

 

 

$

51

 

 

$

417

 

 

$

442

 

 

$

2

 

 

$

3

 

 

$

9,349

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans receivable:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ending balance

 

$

339,147

 

 

$

929,138

 

 

$

181,690

 

 

$

236,724

 

 

$

68,271

 

 

$

7,786

 

 

$

—

 

 

$

1,762,756

 

Ending balance: individually evaluated for impairment

 

 

890

 

 

 

8,311

 

 

 

40

 

 

 

817

 

 

 

25

 

 

 

—

 

 

 

—

 

 

 

10,083

 

Ending balance: acquired with credit deterioration

 

 

3

 

 

 

1,423

 

 

 

—

 

 

 

381

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

1,808

 

Ending balance: collectively evaluated for impairment

 

$

338,254

 

 

$

919,404

 

 

$

181,650

 

 

$

235,526

 

 

$

68,245

 

 

$

7,786

 

 

$

—

 

 

$

1,750,865

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of, and for the

three months ended,

September 30, 2019

 

Commercial and industrial

 

 

Commercial real estate

 

 

Commercial real estate - construction

 

 

Residential mortgage

 

 

Home equity

 

 

Consumer

 

 

Unallocated

 

 

Total

 

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

July 1, 2019

 

$

2,448

 

 

$

5,312

 

 

$

45

 

 

$

476

 

 

$

482

 

 

$

7

 

 

$

1

 

 

$

8,771

 

Charge-offs

 

 

(12

)

 

 

(42

)

 

 

—

 

 

 

(3

)

 

 

—

 

 

 

(9

)

 

 

—

 

 

 

(66

)

Recoveries

 

 

1

 

 

 

41

 

 

 

—

 

 

 

2

 

 

 

1

 

 

 

1

 

 

 

—

 

 

 

46

 

Provisions (credits)

 

 

6

 

 

 

544

 

 

 

1

 

 

 

(7

)

 

 

13

 

 

 

6

 

 

 

2

 

 

 

565

 

Ending balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

September 30, 2019

 

$

2,443

 

 

$

5,855

 

 

$

46

 

 

$

468

 

 

$

496

 

 

$

5

 

 

$

3

 

 

$

9,316

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of, and for the

nine months ended,

September 30, 2019

 

Commercial and industrial

 

 

Commercial real estate

 

 

Commercial real estate - construction

 

 

Residential mortgage

 

 

Home equity

 

 

Consumer

 

 

Unallocated

 

 

Total

 

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

January 1, 2019

 

 

2,391

 

 

 

4,703

 

 

 

75

 

 

 

453

 

 

 

528

 

 

 

7

 

 

 

240

 

 

$

8,397

 

Charge-offs

 

 

(217

)

 

 

(53

)

 

 

(40

)

 

 

(3

)

 

 

—

 

 

 

(57

)

 

 

—

 

 

 

(370

)

Recoveries

 

 

44

 

 

 

74

 

 

 

—

 

 

 

2

 

 

 

2

 

 

 

12

 

 

 

—

 

 

 

134

 

Provisions (credits)

 

 

225

 

 

 

1,131

 

 

 

11

 

 

 

16

 

 

 

(34

)

 

 

43

 

 

 

(237

)

 

 

1,155

 

Ending balance,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

September 30, 2019

 

 

2,443

 

 

 

5,855

 

 

 

46

 

 

 

468

 

 

 

496

 

 

 

5

 

 

 

3

 

 

 

9,316

 

Individually evaluated for impairment

 

 

—

 

 

 

336

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

336

 

Ending balance:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

collectively evaluated for impairment

 

$

2,443

 

 

$

5,519

 

 

$

46

 

 

$

468

 

 

$

496

 

 

$

5

 

 

$

3

 

 

$

8,980

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans receivables:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ending balance

 

$

320,400

 

 

$

892,060

 

 

$

177,151

 

 

$

243,729

 

 

$

69,240

 

 

$

7,854

 

 

$

—

 

 

$

1,710,434

 

Ending balance: individually evaluated for impairment

 

 

—

 

 

 

2,324

 

 

 

40

 

 

 

881

 

 

 

26

 

 

 

—

 

 

 

—

 

 

 

3,271

 

Ending balance: acquired with credit deterioration

 

 

5

 

 

 

1,643

 

 

 

—

 

 

 

494

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

2,146

 

Ending balance: collectively evaluated for impairment

 

$

320,395

 

 

$

888,093

 

 

$

177,111

 

 

$

242,354

 

 

$

69,210

 

 

$

7,854

 

 

$

—

 

 

$

1,705,017

 

 
Troubled Debt Restructurings

The recorded investments in troubled debt restructured loans at September 30, 2020 and December 31, 2019 are as follows:

(Dollars in thousands)

Pre-Modification

 

 

Post-Modification

 

 

 

 

September 30, 2020

Outstanding Recorded Investment

 

 

Outstanding Recorded Investment

 

 

Recorded Investment

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

$

8

 

 

$

8

 

 

$

7

 

Commercial real estate

 

1,214

 

 

 

1,115

 

 

 

409

 

Commercial real estate - construction

 

40

 

 

 

40

 

 

 

31

 

Residential mortgage

 

689

 

 

 

687

 

 

 

481

 

 

$

1,951

 

 

$

1,850

 

 

$

928

 

 

(Dollars in thousands)

Pre-Modification

 

 

Post-Modification

 

 

 

 

December 31, 2019

Outstanding Recorded Investment

 

 

Outstanding Recorded Investment

 

 

Recorded Investment

 

Commercial and industrial

$

3

 

 

$

3

 

 

$

3

 

Commercial real estate

 

2,562

 

 

 

2,463

 

 

 

1,705

 

Commercial real estate - construction

 

40

 

 

 

40

 

 

 

40

 

Residential mortgage

 

677

 

 

 

675

 

 

 

490

 

 

$

3,282

 

 

$

3,181

 

 

$

2,238

 
Schedule of Accretion of Purchased Impaired Loan

 


The following tables provide activity for the accretable yield of acquired impaired loans from the Phoenix (March 2015), Scottdale (January 2018), and First Priority (July 2018) acquisitions for the three and nine months ended September 30, 2020.

 

(Dollars in thousands)

 

 

 

 

 

 

Three Months Ended September 30,

 

 

 

2020

 

 

2019

 

Accretable yield, beginning of period

 

$

56

 

 

$

197

 

Accretable yield amortized to interest income

 

 

(7

)

 

 

(55

)

Accretable yield, end of period

 

$

49

 

 

$

142

 

 

(Dollars in thousands)

 

Nine Months Ended September 30,

 

 

 

2020

 

 

2019

 

 

 

 

 

 

 

 

 

 

Accretable yield, beginning of period

 

$

89

 

 

$

309

 

Accretable yield amortized to interest income

 

 

(40

)

 

 

(167

)

Accretable yield, end of period

 

$

49

 

 

$

142