XML 22 R10.htm IDEA: XBRL DOCUMENT
v3.8.0.1

Investment Securities Available-for-Sale | 9 Months Ended
--- | ---
Sep. 30, 2017
Investments, Debt and Equity Securities [Abstract] |
Investment Securities Available-for-Sale | Note 3. Investment Securities Available-for-Sale Amortized cost and estimated fair value of securities available-for-sale are summarized as follows:
|  |  |  |  | Gross |  |  | Gross |  |  | Estimated |
September 30, 2017 |  | Amortized |  |  | Unrealized |  |  | Unrealized |  |  | Fair |
(dollars in thousands) |  | Cost |  |  | Gains |  |  | Losses |  |  | Value |
U. S. agency securities |  | $ | 179,100 |  |  | $ | 342 |  |  | $ | 1,524 |  |  | $ | 177,918 |
Residential mortgage backed securities |  |  | 303,822 |  |  |  | 374 |  |  |  | 2,670 |  |  |  | 301,526 |
Municipal bonds |  |  | 61,593 |  |  |  | 1,673 |  |  |  | 119 |  |  |  | 63,147 |
Corporate bonds |  |  | 13,011 |  |  |  | 206 |  |  |  | — |  |  |  | 13,217 |
Other equity investments |  |  | 218 |  |  |  | — |  |  |  | — |  |  |  | 218 |
|  | $ | 557,744 |  |  | $ | 2,595 |  |  | $ | 4,313 |  |  | $ | 556,026 |
|  |  |  |  |  |  | Gross |  |  |  | Gross |  |  |  | Estimated |
December 31, 2016 |  |  | Amortized |  |  |  | Unrealized |  |  |  | Unrealized |  |  |  | Fair |
(dollars in thousands) |  |  | Cost |  |  |  | Gains |  |  |  | Losses |  |  |  | Value |
U. S. agency securities |  | $ | 107,425 |  |  | $ | 519 |  |  | $ | 1,802 |  |  | $ | 106,142 |
Residential mortgage backed securities |  |  | 329,606 |  |  |  | 324 |  |  |  | 3,691 |  |  |  | 326,239 |
Municipal bonds |  |  | 94,607 |  |  |  | 1,723 |  |  |  | 400 |  |  |  | 95,930 |
Corporate bonds |  |  | 9,508 |  |  |  | 82 |  |  |  | 11 |  |  |  | 9,579 |
Other equity investments |  |  | 218 |  |  |  | — |  |  |  | — |  |  |  | 218 |
|  | $ | 541,364 |  |  | $ | 2,648 |  |  | $ | 5,904 |  |  | $ | 538,108 |
In addition, at September 30, 2017, the Company held $31.0 million in equity securities in a combination of Federal Reserve Bank (“FRB”) and Federal Home Loan Bank (“FHLB”) stocks, which are required to be held for regulatory purposes and which are not marketable, and therefore are carried at cost. Gross unrealized losses and fair value by length of time that the individual available-for-sale securities have been in a continuous unrealized loss position are as follows:
|  |  |  |  | Less than |  |  | 12 Months |  |  |  |
|  |  |  |  | 12 Months |  |  | or Greater |  |  | Total |
|  |  |  |  | Estimated |  |  |  |  |  | Estimated |  |  |  |  |  | Estimated |  |  |  |
September 30, 2017 |  | Number of |  |  | Fair |  |  | Unrealized |  |  | Fair |  |  | Unrealized |  |  | Fair |  |  | Unrealized |
(dollars in thousands) |  | Securities |  |  | Value |  |  | Losses |  |  | Value |  |  | Losses |  |  | Value |  |  | Losses |
U. S. agency securities |  |  | 32 |  |  | $ | 97,832 |  |  | $ | 1,101 |  |  | $ | 28,299 |  |  | $ | 423 |  |  | $ | 126,131 |  |  | $ | 1,524 |
Residential mortgage backed securities |  |  | 113 |  |  |  | 198,670 |  |  |  | 1,523 |  |  |  | 55,920 |  |  |  | 1,147 |  |  |  | 254,590 |  |  |  | 2,670 |
Municipal bonds |  |  | 5 |  |  |  | 13,301 |  |  |  | 119 |  |  |  | — |  |  |  | — |  |  |  | 13,301 |  |  |  | 119 |
|  |  | 150 |  |  | $ | 309,803 |  |  | $ | 2,743 |  |  | $ | 84,219 |  |  | $ | 1,570 |  |  | $ | 394,022 |  |  | $ | 4,313 |
|  |  |  |  |  |  | Less than |  |  |  | 12 Months |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  | 12 Months |  |  |  | or Greater |  |  |  | Total |
|  |  |  |  |  | Estimated |  |  |  |  |  |  | Estimated |  |  |  |  |  |  | Estimated |  |  |  |  |
December 31, 2016 |  | Number of |  |  | Fair |  |  | Unrealized |  |  | Fair |  |  | Unrealized |  |  | Fair |  |  | Unrealized |
(dollars in thousands) |  | Securities |  |  | Value |  |  | Losses |  |  | Value |  |  | Losses |  |  | Value |  |  | Losses |
U. S. agency securities |  |  | 27 |  |  | $ | 88,991 |  |  | $ | 1,764 |  |  | $ | 3,768 |  |  | $ | 38 |  |  | $ | 92,759 |  |  | $ | 1,802 |
Residential mortgage backed securities |  |  | 112 |  |  |  | 232,347 |  |  |  | 3,110 |  |  |  | 19,402 |  |  |  | 581 |  |  |  | 251,749 |  |  |  | 3,691 |
Municipal bonds |  |  | 16 |  |  |  | 34,743 |  |  |  | 400 |  |  |  | — |  |  |  | — |  |  |  | 34,743 |  |  |  | 400 |
Corporate bonds |  |  | 2 |  |  |  | 4,998 |  |  |  | 11 |  |  |  | — |  |  |  | — |  |  |  | 4,998 |  |  |  | 11 |
|  |  | 157 |  |  | $ | 361,079 |  |  | $ | 5,285 |  |  | $ | 23,170 |  |  | $ | 619 |  |  | $ | 384,249 |  |  | $ | 5,904 |
The unrealized losses that exist are generally the result of changes in market interest rates and interest spread relationships since original purchases. The weighted average duration of debt securities, which comprise 99.9% of total investment securities, is relatively short at 3.5 years. If quoted prices are not available, fair value is measured using independent pricing models or other model-based valuation techniques such as the present value of future cash flows, adjusted for the security’s credit rating, prepayment assumptions and other factors such as credit loss assumptions. The Company does not believe that the investment securities that were in an unrealized loss position as of September 30, 2017 represent an other-than-temporary impairment. The Company does not intend to sell the investments and it is more likely than not that the Company will not have to sell the securities before recovery of its amortized cost basis, which may be at maturity. The amortized cost and estimated fair value of investments available-for-sale at September 30, 2017 and December 31, 2016 by contractual maturity are shown in the table below. Expected maturities for residential mortgage backed securities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
|  | September 30, 2017 |  |  | December 31, 2016 |
|  | Amortized |  |  | Estimated |  |  | Amortized |  |  | Estimated |
(dollars in thousands) |  | Cost |  |  | Fair Value |  |  | Cost |  |  | Fair Value |
U. S. agency securities maturing: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
One year or less |  | $ | 90,495 |  |  | $ | 89,503 |  |  | $ | 83,885 |  |  | $ | 82,548 |
After one year through five years |  |  | 74,481 |  |  |  | 74,433 |  |  |  | 20,736 |  |  |  | 20,897 |
Five years through ten years |  |  | 14,124 |  |  |  | 13,982 |  |  |  | 2,804 |  |  |  | 2,697 |
Residential mortgage backed securities |  |  | 303,822 |  |  |  | 301,526 |  |  |  | 329,606 |  |  |  | 326,239 |
Municipal bonds maturing: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
One year or less |  |  | 2,537 |  |  |  | 2,586 |  |  |  | 1,056 |  |  |  | 1,070 |
After one year through five years |  |  | 21,116 |  |  |  | 21,875 |  |  |  | 45,808 |  |  |  | 46,865 |
Five years through ten years |  |  | 36,868 |  |  |  | 37,493 |  |  |  | 46,668 |  |  |  | 46,839 |
After ten years |  |  | 1,072 |  |  |  | 1,193 |  |  |  | 1,075 |  |  |  | 1,156 |
Corporate bonds |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
After one year through five years |  |  | 11,511 |  |  |  | 11,717 |  |  |  | 8,008 |  |  |  | 8,079 |
After ten years |  |  | 1,500 |  |  |  | 1,500 |  |  |  | 1,500 |  |  |  | 1,500 |
Other equity investments |  |  | 218 |  |  |  | 218 |  |  |  | 218 |  |  |  | 218 |
|  | $ | 557,744 |  |  | $ | 556,026 |  |  | $ | 541,364 |  |  | $ | 538,108 |
For the nine months ended September 30, 2017, gross realized gains on sales of investments securities were $795 thousand and gross realized losses on sales of investment securities were $254 thousand. For the nine months ended September 30, 2016, gross realized gains on sales of investments securities were $1.3 million and gross realized losses on sales of investment securities were $202 thousand. Proceeds from sales and calls of investment securities for the nine months ended September 30, 2017 were $70.1 million, and in 2016 were $94.2 million. The carrying value of securities pledged as collateral for certain government deposits, securities sold under agreements to repurchase, and certain lines of credit with correspondent banks at September 30, 2017 was $459.9 million, which is well in excess of required amounts in order to operationally provide significant reserve amounts for new business. As of September 30, 2017 and December 31, 2016, there were no holdings of securities of any one issuer, other than the U.S. Government and U.S. agency securities, which exceeded ten percent of shareholders’ equity.

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsDebtAndEquitySecuritiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI http://asc.fasb.org/topic&trid=2196928 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=4738149 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 940 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2176304 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 946 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2324412 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2209399 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 954 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2289146 + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration