XML 57 R43.htm IDEA: XBRL DOCUMENT
v3.20.4

Fair Value of Assets and liabilities (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2020
Fair Value Disclosures [Abstract] |
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis | Equity investments were recorded at cost less impairment plus or minus observable price changes. Commencing in 2020, the Company elected to measure equity investments at fair value on a non-recurring basis, which have been adjusted for all periods presented. The following table s present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 20 20 and 201 9.
December 31, 2020 (Dollars in thousands) |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest-bearing deposits |  | $ | — |  |  | $ | 1,500 |  |  | $ | — |  |  | $ | 1,500 |
Available for sale investment securities |  |  | — |  |  |  | 46,792 |  |  |  | — |  |  |  | 46,792 |
Total(1) |  | $ | — |  |  | $ | 48,292 |  |  | $ | — |  |  | $ | 48,292 |
(1) | Total unrealized gains of $1,013, net of tax, was included in accumulated other comprehensive income (loss) for the twelve months ended December 31, 2020 related to these assets.
December 31, 2019 (Dollars in thousands) |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Available for sale investment securities (1) |  | $ | — |  |  | $ | 48,998 |  |  | $ | — |  |  | $ | 48,998 |
Total |  | $ | — |  |  | $ | 48,998 |  |  | $ | — |  |  | $ | 48,998 |
(1) | Total unrealized gains of $1,081, net of tax, was included in accumulated other comprehensive income (loss) for the twelve months ended December 31, 2019 related to these assets.
Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis | The following tables present the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2020 and 2019.
December 31, 2020 (Dollars in thousands) |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Equity investments |  | $ | — |  |  | $ | — |  |  | $ | 9,746 |  |  | $ | 9,746 |
Impaired loans |  |  | — |  |  |  | — |  |  |  | 62,174 |  |  |  | 62,174 |
Loan collateral in process of foreclosure |  |  | — |  |  |  | — |  |  |  | 54,560 |  |  |  | 54,560 |
Total |  | $ | — |  |  | $ | — |  |  | $ | 126,480 |  |  | $ | 126,480 |
December 31, 2019 (Dollars in thousands) |  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Equity investments |  | $ | — |  |  | $ | — |  |  | $ | 10,079 |  |  | $ | 10,079 |
Impaired loans |  |  | — |  |  |  | — |  |  |  | 34,915 |  |  |  | 34,915 |
Loan collateral in process of foreclosure |  |  | — |  |  |  | — |  |  |  | 52,711 |  |  |  | 52,711 |
Total |  | $ | — |  |  | $ | — |  |  | $ | 97,705 |  |  | $ | 97,705 |
Summary of Valuation Techniques and Significant Unobservable Inputs Used in Non-Recurring Level 3 Fair Value Measurements of Assets and Liabilities | The valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of December 31, 2020 and 2019.
(Dollars in thousands) |  | Fair Value at 12/31/20 |  |  | Valuation Techniques |  | Unobservable Inputs |  | Range (Weighted Average)
Equity investments |  | $ | 8,291 |  |  | Investee financial analysis |  | Financial condition and operating performance of the borrower (1) |  | N/A
|  |  |  |  |  |  |  | Collateral support |  | N/A
|  |  | 1,455 |  |  | Precedent market transaction |  | Offering price |  | $8.73 / share
Impaired loans |  |  | 62,174 |  |  | Market approach |  | Historical and actual loss experience |  | 1.50% - 6.00%
|  |  |  |  |  |  |  |  |  | 60% of balance
|  |  |  |  |  |  |  | Median transfer price (2) |  | $0.6 - 108.7
|  |  |  |  |  |  |  | Collateral value |  | N/A
Loan collateral in process of foreclosure |  |  | 53,128 |  |  | Market approach |  | Median transfer price (2) |  | $0.6 - 108.7
|  |  | 1,432 |  |  |  |  | Collateral value (3) |  | $0.7 - 32.3
(1) | Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.
(2) | Represents amount net of liquidation costs.
(3) | Relates to the recreation portfolio.
(Dollars in thousands) |  | Fair Value at 12/31/19 |  |  | Valuation Techniques |  | Unobservable Inputs |  | Range (Weighted Average)
Equity Investments |  | $ | 7,435 |  |  | Investee financial analysis |  | Financial condition and operating performance of the borrower |  | N/A
|  |  |  |  |  |  |  | Collateral support |  | N/A
|  |  | 1,189 |  |  | Investee book value adjusted for market appreciation |  | Financial condition and operating performance of the investee |  | N/A
|  |  |  |  |  | Public company comparables |  | Business enterprise value |  | $4,855 – $6,120
|  |  |  |  |  |  |  | Business enterprise value/revenue multiples |  | 1.59-5.98x
|  |  |  |  |  |  |  | Discount for lack of marketability |  | 25%
|  |  | 1,455 |  |  | Precedent market transaction |  | Offering price |  | $8.73 / share

X
- Definition Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (bbb) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 + Details
Name: | us-gaap_FairValueAssetsAndLiabilitiesMeasuredOnRecurringAndNonrecurringBasisValuationTechniquesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a nonrecurring basis in periods after initial recognition (for example, impaired assets). Disclosures may include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (bbb) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

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

X
- Definition Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3). + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 + Details
Name: | us-gaap_ScheduleOfFairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration