XML 44 R36.htm IDEA: XBRL DOCUMENT v3.24.0.1
Loans and Leases (Tables)
 12 Months Ended
Dec. 31, 2023
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]  
Schedule of Loan Portfolio

As of December 31, 2023 and 2022, the composition of the loan portfolio by portfolio segment was as follows:

 

 

 

December 31, 2023

 

 

December 31, 2022

 

 

 

(Dollars in Thousands)

 

Real estate loans:

 

 

 

 

 

 

Construction, land development and other land loans

 

$

88,140

 

 

$

53,914

 

Secured by 1-4 family residential properties

 

 

76,200

 

 

 

87,995

 

Secured by multi-family residential properties

 

 

62,397

 

 

 

67,852

 

Secured by non-farm, non-residential properties

 

 

213,586

 

 

 

200,156

 

Commercial and industrial loans (1)

 

 

60,515

 

 

 

73,546

 

Consumer loans:

 

 

 

 

 

 

Direct

 

 

5,938

 

 

 

9,851

 

Branch retail

 

 

8,670

 

 

 

13,992

 

Indirect

 

 

306,345

 

 

 

266,567

 

Total loans

 

 

821,791

 

 

 

773,873

 

 Allowance for credit losses

 

 

10,507

 

 

 

9,422

 

Net loans

 

$

811,284

 

 

$

764,451

 

 

 

(1)
Includes equipment financing leases, totaling $12.6 million and $10.3 million as of December 31, 2023 and 2022, respectively.
Allowance for Credit Losses on Loans and Leases by Portfolio Segment

The following tables present changes in the allowance for credit losses on loans and leases by portfolio segment during the year ended December 31, 2023:

 

 

 

As of and for the Year Ended December 31, 2023

 

 

 

Construction,
Land
Development,
and Other

 

 

Real
Estate
1-4
Family

 

 

Real
Estate
Multi-
Family

 

 

Non-
Farm Non-
Residential

 

 

Commercial and
Industrial

 

 

Direct
Consumer

 

 

Branch Retail

 

 

Indirect Consumer

 

 

Total

 

 

 

(Dollars in Thousands)

 

 

 

 

Allowance for credit losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance, prior to the adoption of ASC 326

 

$

517

 

 

$

832

 

 

$

646

 

 

$

1,970

 

 

$

919

 

 

$

866

 

 

$

518

 

 

$

3,154

 

 

$

9,422

 

Impact of adopting ASC 326

 

 

(94

)

 

 

(39

)

 

 

(85

)

 

 

(147

)

 

 

(20

)

 

 

47

 

 

 

628

 

 

 

1,833

 

 

 

2,123

 

Charge-offs

 

 

—

 

 

 

(97

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(571

)

 

 

(445

)

 

 

(932

)

 

 

(2,045

)

Recoveries

 

 

—

 

 

 

54

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

619

 

 

 

243

 

 

 

49

 

 

 

965

 

Provision for (recovery of) credit losses

 

 

142

 

 

 

(159

)

 

 

(146

)

 

 

(398

)

 

 

(386

)

 

 

(897

)

 

 

(508

)

 

 

2,394

 

 

 

42

 

Ending balance

 

$

565

 

 

$

591

 

 

$

415

 

 

$

1,425

 

 

$

513

 

 

$

64

 

 

$

436

 

 

$

6,498

 

 

$

10,507

 

 

The following table presents changes in the allowance for loan and lease losses by portfolio segment during the year ended December 31, 2022, as determined in accordance with ASC 310, prior to the adoption of ASC 326.

 

 

 

As of and for the Year Ended December 31, 2022

 

 

 

Construction,
Land
Development,
and Other

 

 

Real
Estate
1-4
Family

 

 

Real
Estate
Multi-
Family

 

 

Non-
Farm Non-
Residential

 

 

Commercial and
Industrial

 

 

Direct
Consumer

 

 

Branch Retail

 

 

Indirect Consumer

 

 

Total

 

 

 

(Dollars in Thousands)

 

 

 

 

Allowance for loan and lease losses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

628

 

 

$

690

 

 

$

437

 

 

$

1,958

 

 

$

860

 

 

$

1,004

 

 

$

304

 

 

$

2,439

 

 

$

8,320

 

Charge-offs

 

 

—

 

 

 

(40

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(1,958

)

 

 

(633

)

 

 

(382

)

 

 

(3,013

)

Recoveries

 

 

2

 

 

 

39

 

 

 

—

 

 

 

5

 

 

 

0

 

 

 

565

 

 

 

151

 

 

 

45

 

 

 

807

 

Provision for (recovery of) loan and lease losses

 

 

(113

)

 

 

143

 

 

 

209

 

 

 

7

 

 

 

59

 

 

 

1,255

 

 

 

696

 

 

 

1,052

 

 

 

3,308

 

Ending balance

 

$

517

 

 

$

832

 

 

$

646

 

 

$

1,970

 

 

$

919

 

 

$

866

 

 

$

518

 

 

$

3,154

 

 

$

9,422

 
Schedule of Loan and Lease Losses and Recorded Investment in Loans by Loan Classification and by Impairment Evaluation

The following table details the allowance for loan and lease losses and recorded investment in loans by loan classification and by impairment evaluation as of December 31, 2022, as determined in accordance with ASC 310, prior to the adoption of ASC 326:

 

 

As of the Year Ended December 31, 2022

 

 

 

Construction,
Land
Development,
and Other

 

 

Real Estate
1-4
Family

 

 

Real
Estate
Multi-
Family

 

 

Non-
Farm Non-
Residential

 

 

Commercial and
Industrial

 

 

Direct
Consumer

 

 

Branch Retail

 

 

Indirect
Consumer

 

 

Total

 

 

 

(Dollars in Thousands)

 

Ending balance of allowance attributable to loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated for impairment

 

$

—

 

 

$

7

 

 

$

—

 

 

$

—

 

 

$

252

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

259

 

Collectively evaluated for impairment

 

 

517

 

 

 

825

 

 

 

646

 

 

 

1,970

 

 

 

667

 

 

 

886

 

 

 

518

 

 

 

3,154

 

 

$

9,183

 

Total allowance for loan and lease losses

 

$

517

 

 

$

832

 

 

$

646

 

 

$

1,970

 

 

$

919

 

 

$

886

 

 

$

518

 

 

$

3,154

 

 

$

9,442

 

Ending balance of loans receivable:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Individually evaluated for impairment

 

$

—

 

 

$

582

 

 

$

—

 

 

$

2,492

 

 

$

2,429

 

 

$

18

 

 

$

—

 

 

$

—

 

 

$

5,521

 

Collectively evaluated for impairment

 

 

53,914

 

 

 

87,413

 

 

 

67,852

 

 

 

197,664

 

 

 

71,117

 

 

 

9,833

 

 

 

13,992

 

 

 

266,567

 

 

 

768,352

 

Total loans receivable

 

$

53,914

 

 

$

87,995

 

 

$

67,852

 

 

$

200,156

 

 

$

73,546

 

 

$

9,851

 

 

$

13,992

 

 

$

266,567

 

 

$

773,873

 

 

 

The following table presents impaired loans as of December 31, 2022 as determined under ASC 310 prior to the adoption of ASC 326. Impaired loans generally included nonaccrual loans and other loans deemed to be impaired but that continued to accrue interest. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the related loan agreement.

Presented are the carrying amount, unpaid principal balance and related allowance of impaired loans as of December 31, 2022 by portfolio segment:

 

 

 

December 31, 2022

 

 

 

Carrying
Amount

 

 

Unpaid
Principal
Balance

 

 

Related
Allowances

 

 

 

(Dollars in Thousands)

 

Impaired loans with no related allowance recorded

 

 

 

 

 

 

 

 

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

568

 

 

 

568

 

 

 

—

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

2,492

 

 

 

2,492

 

 

 

—

 

Commercial and industrial

 

 

2,076

 

 

 

2,076

 

 

 

—

 

Direct consumer

 

 

18

 

 

 

18

 

 

 

—

 

Total impaired loans with no related allowance recorded

 

$

5,154

 

 

$

5,154

 

 

$

—

 

Impaired loans with an allowance recorded

 

 

 

 

 

 

 

 

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

14

 

 

 

14

 

 

 

7

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Commercial and industrial

 

 

353

 

 

 

353

 

 

 

252

 

Direct consumer

 

 

—

 

 

 

—

 

 

 

—

 

Total impaired loans with an allowance recorded

 

$

367

 

 

$

367

 

 

$

259

 

Total impaired loans

 

 

 

 

 

 

 

 

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

582

 

 

 

582

 

 

 

7

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

2,492

 

 

 

2,492

 

 

 

—

 

Commercial and industrial

 

 

2,429

 

 

 

2,429

 

 

 

252

 

Direct consumer

 

 

18

 

 

 

18

 

 

 

—

 

Total impaired loans

 

$

5,521

 

 

$

5,521

 

 

$

259

 
Loans By Credit Quality Indicators

The tables below illustrate the carrying amount of loans by credit quality indicator and year of origination as of December 31, 2023:

 

 

 

 

December 31, 2023

 

 

 

 

 

Loans at Amortized Cost Basis by Origination Year

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Total

 

 

 

 

 

(Dollars in Thousands)

 

Commercial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

Pass

 

$

7,913

 

 

$

37,068

 

 

$

41,800

 

 

$

804

 

 

$

—

 

 

$

555

 

 

$

88,140

 

 

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Loss

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Subtotal

 

$

7,913

 

 

$

37,068

 

 

$

41,800

 

 

$

804

 

 

$

—

 

 

$

555

 

 

$

88,140

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by multi-family residential properties

 

Pass

 

$

407

 

 

$

29,683

 

 

$

5,950

 

 

$

5,676

 

 

$

7,063

 

 

$

13,618

 

 

$

62,397

 

 

 

Special Mention

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Loss

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Subtotal

 

$

407

 

 

$

29,683

 

 

$

5,950

 

 

$

5,676

 

 

$

7,063

 

 

$

13,618

 

 

$

62,397

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by non-farm, non-residential properties

 

Pass

 

$

26,521

 

 

$

36,141

 

 

$

23,551

 

 

$

56,404

 

 

$

18,127

 

 

$

46,261

 

 

$

207,005

 

 

 

Special Mention

 

 

—

 

 

 

532

 

 

 

1,776

 

 

 

344

 

 

 

—

 

 

 

1,448

 

 

 

4,100

 

 

 

Substandard

 

 

—

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

—

 

 

 

2,329

 

 

 

2,481

 

 

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Loss

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Subtotal

 

$

26,521

 

 

$

36,673

 

 

$

25,327

 

 

$

56,900

 

 

$

18,127

 

 

$

50,038

 

 

$

213,586

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans and leases

 

Pass

 

$

10,948

 

 

$

6,187

 

 

$

14,586

 

 

$

2,593

 

 

$

1,565

 

 

$

22,614

 

 

$

58,493

 

 

 

Special Mention

 

 

—

 

 

 

159

 

 

 

782

 

 

 

174

 

 

 

38

 

 

 

—

 

 

 

1,153

 

 

 

Substandard

 

 

—

 

 

 

116

 

 

 

191

 

 

 

59

 

 

 

260

 

 

 

243

 

 

 

869

 

 

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Loss

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Subtotal

 

$

10,948

 

 

$

6,462

 

 

$

15,559

 

 

$

2,826

 

 

$

1,863

 

 

$

22,857

 

 

$

60,515

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total commercial

 

Pass

 

$

45,789

 

 

$

109,079

 

 

$

85,887

 

 

$

65,477

 

 

$

26,755

 

 

$

83,048

 

 

$

416,035

 

 

 

Special Mention

 

 

—

 

 

 

691

 

 

 

2,558

 

 

 

518

 

 

 

38

 

 

 

1,448

 

 

 

5,253

 

 

 

Substandard

 

 

—

 

 

 

116

 

 

 

191

 

 

 

211

 

 

 

260

 

 

 

2,572

 

 

 

3,350

 

 

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Loss

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

$

45,789

 

 

$

109,886

 

 

$

88,636

 

 

$

66,206

 

 

$

27,053

 

 

$

87,068

 

 

$

424,638

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

 

 

 

 

 

December 31, 2023

 

 

 

 

 

Loans at Amortized Cost Basis by Origination Year

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Total

 

 

 

 

 

(Dollars in Thousands)

 

Consumer:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

Performing

 

$

4,230

 

 

$

20,172

 

 

$

14,986

 

 

$

6,675

 

 

$

8,950

 

 

$

20,334

 

 

$

75,347

 

 

 

Non-performing

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

853

 

 

 

853

 

 

 

Subtotal

 

$

4,230

 

 

$

20,172

 

 

$

14,986

 

 

$

6,675

 

 

$

8,950

 

 

$

21,187

 

 

$

76,200

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

97

 

 

$

97

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct

 

Performing

 

$

2,383

 

 

$

1,157

 

 

$

1,485

 

 

$

575

 

 

$

225

 

 

$

113

 

 

$

5,938

 

 

 

Non-performing

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Subtotal

 

$

2,383

 

 

$

1,157

 

 

$

1,485

 

 

$

575

 

 

$

225

 

 

$

113

 

 

$

5,938

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

2

 

 

$

5

 

 

$

316

 

 

$

118

 

 

$

42

 

 

$

88

 

 

$

571

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Branch retail

 

Performing

 

$

—

 

 

$

—

 

 

$

2,160

 

 

$

2,696

 

 

$

1,572

 

 

$

2,242

 

 

$

8,670

 

 

 

Non-performing

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

Subtotal

 

$

—

 

 

$

—

 

 

$

2,160

 

 

$

2,696

 

 

$

1,572

 

 

$

2,242

 

 

$

8,670

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

—

 

 

$

—

 

 

$

108

 

 

$

140

 

 

$

57

 

 

$

140

 

 

$

445

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Indirect

 

Performing

 

$

88,688

 

 

$

89,376

 

 

$

66,147

 

 

$

50,883

 

 

$

5,485

 

 

$

5,712

 

 

$

306,291

 

 

 

Non-performing

 

 

—

 

 

 

—

 

 

 

54

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

54

 

 

 

Subtotal

 

$

88,688

 

 

$

89,376

 

 

$

66,201

 

 

$

50,883

 

 

$

5,485

 

 

$

5,712

 

 

$

306,345

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

6

 

 

$

235

 

 

$

332

 

 

$

270

 

 

$

39

 

 

$

50

 

 

$

932

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Total consumer

 

Performing

 

$

95,301

 

 

$

110,705

 

 

$

84,778

 

 

$

60,829

 

 

$

16,232

 

 

$

28,401

 

 

$

396,246

 

 

 

Non-performing

 

 

—

 

 

 

—

 

 

 

54

 

 

 

—

 

 

 

—

 

 

 

853

 

 

 

907

 

 

 

 

 

$

95,301

 

 

$

110,705

 

 

$

84,832

 

 

$

60,829

 

 

$

16,232

 

 

$

29,254

 

 

$

397,153

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current period gross charge-offs

 

$

8

 

 

$

240

 

 

$

756

 

 

$

528

 

 

$

138

 

 

$

375

 

 

$

2,045

 

 

The tables below illustrate the carrying amount of loans by credit quality indicator as of December 31, 2022, presented in accordance with ASC 310, prior to the adoption of ASC 326.

 

 

 

December 31, 2022

 

 

 

Pass 1-5

 

 

Special Mention 6

 

 

Substandard 7

 

 

Total

 

 

 

(Dollars in Thousands)

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

53,914

 

 

$

—

 

 

$

—

 

 

$

53,914

 

Secured by multi-family residential properties

 

 

67,852

 

 

 

—

 

 

 

—

 

 

 

67,852

 

Secured by non-farm, non-residential properties

 

 

197,004

 

 

 

651

 

 

 

2,501

 

 

 

200,156

 

Commercial and industrial loans

 

 

70,500

 

 

 

—

 

 

 

3,046

 

 

 

73,546

 

Total

 

$

389,270

 

 

$

651

 

 

$

5,547

 

 

$

395,468

 

As a percentage of total loans

 

 

98.43

%

 

 

0.17

%

 

 

1.40

%

 

 

100.00

%

 

 

 

 

December 31, 2022

 

 

 

Performing

 

 

Nonperforming

 

 

Total

 

 

 

(Dollars in Thousands)

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

$

86,871

 

 

$

1,124

 

 

$

87,995

 

Consumer loans:

 

 

 

 

 

 

 

 

 

Direct

 

 

9,805

 

 

 

46

 

 

 

9,851

 

Branch retail

 

 

13,960

 

 

 

32

 

 

 

13,992

 

Indirect

 

 

266,496

 

 

 

71

 

 

 

266,567

 

Total

 

$

377,132

 

 

$

1,273

 

 

$

378,405

 

As a percentage of total loans

 

 

99.66

%

 

 

0.34

%

 

 

100.00

%
Aging Analysis of Past Due Loans

The following table provides an aging analysis of past due loans by class as of December 31, 2023:

 

 

 

As of December 31, 2023

 

 

 

30-59
Days
Past
Due

 

 

60-89
Days
Past
Due

 

 

90
Days
Or
Greater

 

 

Total
Past
Due

 

 

Current

 

 

Total
Loans

 

 

Recorded
Investment >
90 Days
And
Accruing

 

 

 

(Dollars in Thousands)

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

88,140

 

 

$

88,140

 

 

$

—

 

Secured by 1-4 family residential
   properties

 

 

820

 

 

 

177

 

 

 

23

 

 

 

1,020

 

 

 

75,180

 

 

 

76,200

 

 

 

—

 

Secured by multi-family residential
   properties

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

62,397

 

 

 

62,397

 

 

 

—

 

Secured by non-farm, non-residential
   properties

 

 

—

 

 

 

—

 

 

 

1,302

 

 

 

1,302

 

 

 

212,284

 

 

 

213,586

 

 

 

—

 

Commercial and industrial loans

 

 

89

 

 

 

34

 

 

 

147

 

 

 

270

 

 

 

60,245

 

 

 

60,515

 

 

 

—

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct

 

 

42

 

 

 

—

 

 

 

—

 

 

 

42

 

 

 

5,896

 

 

 

5,938

 

 

 

—

 

Branch retail

 

 

39

 

 

 

1

 

 

 

—

 

 

 

40

 

 

 

8,630

 

 

 

8,670

 

 

 

 

Indirect

 

 

316

 

 

 

33

 

 

 

54

 

 

 

403

 

 

 

305,942

 

 

 

306,345

 

 

 

—

 

Total

 

$

1,306

 

 

$

245

 

 

$

1,526

 

 

$

3,077

 

 

$

818,714

 

 

$

821,791

 

 

$

—

 

As a percentage of total loans

 

 

0.15

%

 

 

0.03

%

 

 

0.19

%

 

 

0.37

%

 

 

99.63

%

 

 

100.00

%

 

 

 

 

The following table provides an aging analysis of past due loans by class as of December 31, 2022:

 

 

 

As of December 31, 2022

 

 

 

30-59
Days
Past
Due

 

 

60-89
Days
Past
Due

 

 

90
Days
Or
Greater

 

 

Total
Past
Due

 

 

Current

 

 

Total
Loans

 

 

Recorded
Investment >
90 Days
And
Accruing

 

 

 

(Dollars in Thousands)

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction, land development
   and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

53,914

 

 

$

53,914

 

 

$

—

 

Secured by 1-4 family residential
   properties

 

 

801

 

 

 

87

 

 

 

78

 

 

 

966

 

 

 

87,029

 

 

 

87,995

 

 

 

—

 

Secured by multi-family residential
   properties

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

67,852

 

 

 

67,852

 

 

 

—

 

Secured by non-farm, non-residential
   properties

 

 

137

 

 

 

—

 

 

 

—

 

 

 

137

 

 

 

200,019

 

 

 

200,156

 

 

 

—

 

Commercial and industrial loans

 

 

61

 

 

 

—

 

 

 

300

 

 

 

361

 

 

 

73,185

 

 

 

73,546

 

 

 

—

 

Consumer loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct

 

 

251

 

 

 

50

 

 

 

30

 

 

 

331

 

 

 

9,520

 

 

 

9,851

 

 

 

—

 

Branch retail

 

 

258

 

 

 

85

 

 

 

32

 

 

 

375

 

 

 

13,617

 

 

 

13,992

 

 

 

 

Indirect

 

 

186

 

 

 

55

 

 

 

71

 

 

 

312

 

 

 

266,255

 

 

 

266,567

 

 

 

—

 

Total

 

$

1,694

 

 

$

277

 

 

$

511

 

 

$

2,482

 

 

$

771,391

 

 

$

773,873

 

 

$

—

 

As a percentage of total loans

 

 

0.21

%

 

 

0.04

%

 

 

0.07

%

 

 

0.32

%

 

 

99.68

%

 

 

100.00

%

 

 

 

 
Non-accruing Loans

The table below presents the amortized cost of loans on nonaccrual status and loans past due 90 days or more and still accruing interest as of December 31, 2023. Also presented is the balance of loans on nonaccrual status at December 31, 2023 for which there was no related allowance for credit losses recorded.

 

 

 

Loans on Non-Accrual Status

 

 

 

December 31, 2023

 

 

 

(Dollars in Thousands)

 

 

 

Total nonaccrual
loans

 

Nonaccrual loans with no allowance for credit losses

 

Loans past due 90 days or more and still accruing

 

Loans secured by real estate:

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

$

—

 

$

—

 

Secured by 1-4 family residential properties

 

 

891

 

 

462

 

 

—

 

Secured by multi-family residential properties

 

 

—

 

 

—

 

 

—

 

Secured by non-farm, non-residential properties

 

 

1,302

 

 

1,314

 

 

—

 

Commercial and industrial loans

 

 

152

 

 

77

 

 

—

 

Consumer loans:

 

 

 

 

 

 

 

Direct

 

 

—

 

 

—

 

 

—

 

Branch retail

 

 

—

 

 

—

 

 

—

 

Indirect

 

 

55

 

 

—

 

 

—

 

Total loans

 

$

2,400

 

$

1,853

 

$

—

 

 

The following table provides an analysis of nonaccruing loans by portfolio segment as of December 31, 2022, presented in accordance with ASC 310, prior to the adoption of ASC 326.

 

 

Loans on Non-Accrual Status

 

 

December 31, 2022

 

 

(Dollars in Thousands)

 

Loans secured by real estate:

 

 

Construction, land development and other land loans

$

—

 

Secured by 1-4 family residential properties

 

914

 

Secured by multi-family residential properties

 

—

 

Secured by non-farm, non-residential properties

 

—

 

Commercial and industrial loans

 

605

 

Consumer loans:

 

 

Direct

 

29

 

Branch retail

 

32

 

Indirect

 

71

 

Total loans

$

1,651

 

 
Schedule of Amortized Cost Basis of Collateral Dependent Loans

The following table presents the amortized cost basis of collateral dependent loans as of December 31, 2023, which loans are individually evaluated to determine credit losses:

 

 

 

December 31, 2023

 

 

 

Real Estate

 

 

Other

 

 

Total

 

 

 

(Dollars in Thousands)

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

485

 

 

 

—

 

 

 

485

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

2,333

 

 

 

—

 

 

 

2,333

 

Commercial and industrial

 

 

—

 

 

 

112

 

 

 

112

 

Direct consumer

 

 

—

 

 

 

—

 

 

 

—

 

Total loans individually evaluated

 

$

2,818

 

 

$

112

 

 

$

2,930

 
Loans Individually Evaluated, as well as any Related Allowance for Loans and Lease Losses

The following table presents impaired loans as of December 31, 2022 as determined under ASC 310 prior to the adoption of ASC 326. Impaired loans generally included nonaccrual loans and other loans deemed to be impaired but that continued to accrue interest. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the related loan agreement.

Presented are the carrying amount, unpaid principal balance and related allowance of impaired loans as of December 31, 2022 by portfolio segment:

 

 

 

December 31, 2022

 

 

 

Carrying
Amount

 

 

Unpaid
Principal
Balance

 

 

Related
Allowances

 

 

 

(Dollars in Thousands)

 

Impaired loans with no related allowance recorded

 

 

 

 

 

 

 

 

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

568

 

 

 

568

 

 

 

—

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

2,492

 

 

 

2,492

 

 

 

—

 

Commercial and industrial

 

 

2,076

 

 

 

2,076

 

 

 

—

 

Direct consumer

 

 

18

 

 

 

18

 

 

 

—

 

Total impaired loans with no related allowance recorded

 

$

5,154

 

 

$

5,154

 

 

$

—

 

Impaired loans with an allowance recorded

 

 

 

 

 

 

 

 

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

14

 

 

 

14

 

 

 

7

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Commercial and industrial

 

 

353

 

 

 

353

 

 

 

252

 

Direct consumer

 

 

—

 

 

 

—

 

 

 

—

 

Total impaired loans with an allowance recorded

 

$

367

 

 

$

367

 

 

$

259

 

Total impaired loans

 

 

 

 

 

 

 

 

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

—

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

582

 

 

 

582

 

 

 

7

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

2,492

 

 

 

2,492

 

 

 

—

 

Commercial and industrial

 

 

2,429

 

 

 

2,429

 

 

 

252

 

Direct consumer

 

 

18

 

 

 

18

 

 

 

—

 

Total impaired loans

 

$

5,521

 

 

$

5,521

 

 

$

259

 

The following table details the average recorded investment and the amount of interest income recognized and received for the year ended December 31, 2022, respectively, related to impaired loans as determined under ASC 310 prior to the adoption of ASC 326:

 

 

 

Year Ended December 31, 2022

 

 

 

Average
Recorded
Investment

 

 

Interest
Income
Recognized

 

 

Interest
Income
Received

 

 

 

(Dollars in Thousands)

 

Loans secured by real estate

 

 

 

 

 

 

 

 

 

Construction, land development and other land loans

 

$

87

 

 

$

—

 

 

$

—

 

Secured by 1-4 family residential properties

 

 

614

 

 

 

14

 

 

 

6

 

Secured by multi-family residential properties

 

 

—

 

 

 

—

 

 

 

—

 

Secured by non-farm, non-residential properties

 

 

1,529

 

 

 

49

 

 

 

48

 

Commercial and industrial

 

 

1,279

 

 

 

8

 

 

 

5

 

Direct consumer

 

 

19

 

 

 

1

 

 

 

1

 

Total

 

$

3,528

 

 

$

72

 

 

$

60

 
Loans Modified in a Troubled Debt Restructuring

The following table provides the number of loans remaining in each loan category that the Company had previously modified in a troubled debt restructuring, as well as the pre- and post-modification principal balance as of December 31, 2022, as determined under ASC 310 prior to the adoption of ASC 326.

 

 

 

December 31, 2022

 

 

 

Number
of
Loans

 

 

Pre-
Modification
Outstanding
Principal
Balance

 

 

Post-
Modification
Principal
Balance

 

 

 

(Dollars in Thousands)

 

Loans secured by real estate:

 

 

 

 

 

 

 

 

 

Secured by 1-4 family residential properties

 

 

1

 

 

$

23

 

 

$

12

 

Secured by non-farm, non-residential properties

 

 

2

 

 

 

621

 

 

 

612

 

Commercial loans

 

 

1

 

 

 

71

 

 

 

22

 

Total

 

 

4

 

 

$

715

 

 

$

646