Annual report pursuant to Section 13 and 15(d)

LOANS (Tables)

v2.4.1.9
LOANS (Tables)
 12 Months Ended
Dec. 31, 2014
Loans Tables  
Schedule of composition of the loan portfolio

The composition of the loan portfolio at December 31 was as follows:

 

(Dollars in Thousands)   2014     2013  
Commercial, Financial and Agricultural   $ 136,925     $ 126,607  
Real Estate – Construction     41,596       31,012  
Real Estate – Commercial Mortgage     510,120       533,871  
Real Estate – Residential(1)     295,969       309,692  
Real Estate – Home Equity     229,572       227,922  
Consumer     217,192       159,500  
Loans, Net of Unearned Income   $ 1,431,374     $ 1,388,604  

 

  (1) Includes loans in process with outstanding balances of $7.4 million and $6.8 million for 2014 and 2013, respectively.
Schedule of recorded investment in nonaccrual loans and loans past due over 90 days and still on accrual by class of loans

The following table presents the recorded investment in nonaccrual loans and loans past due over 90 days and still on accrual by class of loans at December 31:

 

    2014     2013  
(Dollars in Thousands)   Nonaccrual     90 + Days     Nonaccrual     90 + Days  
Commercial, Financial and Agricultural   $ 507       —     $ 188       —  
Real Estate – Construction     424       —       426       —  
Real Estate – Commercial Mortgage     5,806       —       25,227       —  
Real Estate – Residential     6,737       —       6,440       —  
Real Estate – Home Equity     2,544       —       4,084       —  
Consumer     751       —       599       —  
Total   $ 16,769       —     $ 36,964       —  
                             
Schedule of aging of past due loans by class of loans

The following table presents the aging of the recorded investment in past due loans by class of loans at December 31,

 

 

(Dollars in Thousands)

   30-59
DPD		     60-89
DPD		     90 +
DPD		     Total
Past Due		     Total
Current		     Total
Loans		  
2014                                                
Commercial, Financial and Agricultural   $ 352     $ 155     $ —     $ 507     $ 135,911     $ 136,925  
Real Estate – Construction     690       —       —       690       40,482       41,596  
Real Estate – Commercial Mortgage     1,701       569       —       2,270       502,044       510,120  
Real Estate – Residential     682       1,147       —       1,829       287,403       295,969  
Real Estate – Home Equity     689       85       —       774       226,254       229,572  
Consumer     625       97       —       722       215,719       217,192  
Total   $ 4,739     $ 2,053     $ —     $ 6,792     $ 1,407,813     $ 1,431,374  
                                                 
2013                                                
Commercial, Financial and Agricultural   $ 258     $ 100     $ —     $ 358     $ 126,062     $ 126,607  
Real Estate – Construction     —       —       —       —       30,587       31,012  
Real Estate – Commercial Mortgage     1,548       672       —       2,220       506,424       533,871  
Real Estate – Residential     1,647       1,090       —       2,737       300,514       309,692  
Real Estate – Home Equity     848       212       —       1,060       222,778       227,922  
Consumer     1,127       244       —       1,371       157,529       159,500  
Total   $ 5,428     $ 2,318     $ —     $ 7,746     $ 1,343,894     $ 1,388,604
Schedule of activity in the allowance for loan losses by portfolio class

The following table details the activity in the allowance for loan losses by portfolio class for the years ended December 31. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

 

 

    Commercial,           Real Estate           Real Estate                    
    Financial,     Real Estate     Commercial     Real Estate     Home                    
(Dollars in Thousands)   Agricultural     Construction     Mortgage     Residential     Equity     Consumer     Unallocated     Total  
2014                                                
Beginning Balance   $ 699     $ 1,580     $ 7,710     $ 9,073     $ 3,051     $ 982     $ —     $ 23,095  
Provision for Loan Losses     742       (718 )     897       (1,145 )     1,069       1,060       —       1,905  
Charge-Offs     (871 )     (28 )     (3,788 )     (2,160 )     (1,379 )     (1,820 )     —       (10,046 )
Recoveries     214       9       468       752       141       1,001       —       2,585  
Net Charge-Offs     (657 )     (19 )     (3,320 )     (1,408 )     (1,238 )     (819 )     —       (7,461 )
Ending Balance   $ 784     $ 843     $ 5,287     $ 6,520     $ 2,882     $ 1,223     $ —     $ 17,539  
                                                                 
2013                                                                
Beginning Balance   $ 1,253     $ 2,856     $ 11,081     $ 8,678     $ 2,945     $ 1,327     $ 1,027     $ 29,167  
Provision for Loan Losses     (15 )     (207 )     (83 )     3,392       971       441       (1,027 )     3,472  
Charge-Offs     (748 )     (1,070 )     (3,651 )     (3,835 )     (1,159 )     (1,751 )     —       (12,214 )
Recoveries     209       1       363       838       294       965       —       2,670  
Net Charge-Offs     (539 )     (1,069 )     (3,288 )     (2,997 )     (865 )     (786 )     —       (9,544 )
Ending Balance   $ 699     $ 1,580     $ 7,710     $ 9,073     $ 3,051     $ 982     $ —     $ 23,095  
                                                                 
2012                                                                
Beginning Balance   $ 1,534     $ 1,133     $ 10,660     $ 12,518     $ 2,392     $ 1,887     $ 911     $ 31,035  
Provision for Loan Losses     251       2,309       5,770       4,588       3,050       82       116       16,166  
Charge-Offs     (822 )     (629 )     (6,031 )     (9,719 )     (2,896 )     (2,125 )     —       (22,222 )
Recoveries     290       43       682       1,291       399       1,483       —       4,188  
Net Charge-Offs     (532 )     (586 )     (5,349 )     (8,428 )     (2,497 )     (642 )     —       (18,034 )
Ending Balance   $ 1,253     $ 2,856     $ 11,081     $  8,678     $ 2,945     $ 1,327     $ 1,027     $ 29,167
Schedule of allowance for loan losses by portfolio class and disaggregated on the basis of the impairment methodology

The following table details the amount of the allowance for loan losses by portfolio class at December 31, disaggregated on the basis of the Company’s impairment methodology. 

 

    Commercial,           Real Estate           Real Estate                    
    Financial,     Real Estate     Commercial     Real Estate     Home                    
(Dollars in Thousands)   Agricultural     Construction     Mortgage     Residential     Equity     Consumer     Unallocated     Total  
2014                                                                
Period-end amount                                                                
Allocated to:                                                                
Loans Individually                                                                
Evaluated for Impairment   $ 293     $ —     $ 2,733     $ 2,113     $ 638     $ 5     $ —     $ 5,782  
Loans Collectively                                                                
Evaluated for Impairment     491       843       2,554       4,407       2,244       1,218       —       11,757  
Ending Balance   $ 784     $ 843     $ 5,287     $ 6,520     $ 2,882     $ 1,223     $ —     $ 17,539  
                                                                 
2013                                                                
Period-end amount                                                                
Allocated to:                                                                
Loans Individually                                                                
Evaluated for Impairment   $ 75     $ 66     $ 4,336     $ 2,047     $ 682     $ 23     $ —     $ 7,229  
Loans Collectively                                                                
Evaluated for Impairment     624       1,514       3,374       7,026       2,369       959       —       15,866  
Ending Balance   $ 699     $ 1,580     $ 7,710     $ 9,073     $ 3,051     $ 982     $ —     $ 23,095  
                                                                 
2012                                                                
Period-end amount                                                                
Allocated to:                                                                
Loans Individually                                                                
Evaluated for Impairment   $ 210     $ 714     $ 6,641     $ 2,778     $ 546     $ 32     $ —     $ 10,921  
Loans Collectively                                                                
Evaluated for Impairment     1,043       2,142       4,440       5,900       2,399       1,295       1,027       18,246  
Ending Balance   $ 1,253     $ 2,856     $ 11,081     $ 8,678     $ 2,945     $ 1,327     $ 1,027     $ 29,167  

 

  
Schedule of allowance for loan losses by portfolio class

The Company’s recorded investment in loans as of December 31 related to each balance in the allowance for loan losses by portfolio class and disaggregated on the basis of the Company’s impairment methodology was as follows:

 

                                                 
    Commercial,           Real Estate           Real Estate                    
    Financial,     Real Estate     Commercial     Real Estate     Home                    
(Dollars in Thousands)   Agricultural     Construction     Mortgage     Residential     Equity     Consumer     Unallocated     Total  
2014                                                                
Individually Evaluated for                                                                
Impairment   $ 1,040     $ 401     $ 32,242     $ 20,120     $ 3,074     $ 216     $ —     $ 57,093  
Collectively Evaluated for                                                                
Impairment     135,885       41,195       477,878       275,849       226,498       216,976       —       1,374,281  
Total   $ 136,925     $ 41,596     $ 510,120     $ 295,969     $ 229,572     $ 217,192     $ —     $ 1,431,374  
                                                                 
2013                                                                
Individually Evaluated for                                                                
Impairment   $ 1,580     $ 557     $ 49,973     $ 20,470     $ 3,359     $ 355     $ —     $ 76,294  
Collectively Evaluated for                                                                
Impairment     125,027       30,455       483,898       289,222       224,563       159,145       —       1,312,310  
Total   $ 126,607     $ 31,012     $ 533,871     $ 309,692     $ 227,922     $ 159,500     $ —     $ 1,388,604  
                                                                 
2012                                                                
Individually Evaluated for                                                                
Impairment   $ 2,325     $ 4,232     $ 74,650     $ 23,030     $ 3,858     $ 687     $ —     $ 108,782  
Collectively Evaluated for                                                                
Impairment     137,525       33,280       538,975       298,956       232,405       157,190       —       1,398,331  
Total   $ 139,850     $ 37,512     $ 613,625     $ 321,986     $ 236,263     $ 157,877     $ —     $ 1,507,113  
Schedule of loans individually evaluated for impairment by class of loans

The following table presents loans individually evaluated for impairment by class of loans at December 31:

 

 

(Dollars in Thousands)

   Unpaid
Principal
Balance		       Recorded
Investment
With No
Allowance		       Recorded
Investment
With Allowance		       Related
Allowance		  
2014                                
Commercial, Financial and Agricultural   $ 1,040     $ 189     $ 851     $ 293  
Real Estate – Construction     401       401       —       —  
Real Estate – Commercial Mortgage     32,242       11,984       20,258       2,733  
Real Estate – Residential     20,120       5,492       14,628       2,113  
Real Estate – Home Equity     3,074       758       2,316       638  
Consumer     216       3       213       5  
Total   $ 57,093     $ 18,827     $ 38,266     $ 5,782  
                                 
2013                                
Commercial, Financial and Agricultural   $ 1,580     $ 443     $ 1,137     $ 75  
Real Estate – Construction     557       —       557       66  
Real Estate – Commercial Mortgage     49,973       19,860       30,113       4,336  
Real Estate – Residential     20,470       4,330       16,140       2,047  
Real Estate – Home Equity     3,359       646       2,713       682  
Consumer     355       90       265       23  
Total   $ 76,294     $ 25,369     $ 50,925     $ 7,229  
Schedule of Average recorded investment and interest income recognized by class of impaired loans

The following table summarizes the average recorded investment and interest income recognized for each of the last three years by class of impaired loans:

 

    2014     2013     2012  
(Dollars in Thousands)   Average
Recorded
Investment		     Total
Interest
Income		     Average
Recorded
Investment		     Total
Interest
Income		     Average
Recorded
Investment		     Total
Interest
Income		  
Commercial, Financial and Agricultural   $ 1,175     $ 62     $ 2,861     $ 140     $ 2,018     $ 81  
Real Estate – Construction     471       4       1,181       7       4,443       70  
Real Estate – Commercial Mortgage     30,760       1,725       60,043       2,062       70,701       2,113  
Real Estate – Residential     16,394       1,070       21,238       860       28,680       853  
Real Estate – Home Equity     2,329       72       4,037       72       3,540       95  
Consumer     215       9       501       10       229       3  
Total   $ 51,344     $ 2,942     $ 89,861     $ 3,151     $ 109,611     $ 3,215  

 
Schedule of risk category of loans by segment

The following table presents the risk category of loans by segment at December 31:

 

 

    Commercial,                    
    Financial,     Real Estate     Consumer     Total Criticized  
(Dollars in Thousands)   Agriculture                 Loans  
2014                                
Special Mention   $ 8,059     $ 51,060     $ 114     $ 59,233  
Substandard     2,817       79,167       1,153       83,137  
Doubtful     —       —       —       —  
Total Criticized Loans   $ 10,876     $ 130,227     $ 1,267     $ 142,370  
                                 
2013                                
Special Mention   $ 3,656     $ 45,870     $ 115     $ 49,641  
Substandard     4,243       108,990       1,496       114,729  
Doubtful     —       900       —       900  
Total Criticized Loans   $ 7,899     $ 155,760     $ 1,611     $ 165,270  

 

 
Schedule of troubled debt restructurings loans

The following table presents loans classified as TDRs at December 31:

 

    2014     2013  
(Dollars in Thousands)   Accruing     Nonaccruing     Accruing     Nonaccruing  
Commercial, Financial and Agricultural   $ 838     $ 266     $ 1,511     $ —  
Real Estate – Construction     —       —       156       —  
Real Estate – Commercial Mortgage     26,565       —       24,735       10,308  
Real Estate – Residential     14,940       1,622       16,441       458  
Real Estate – Home Equity     1,856       356       1,576       241  
Consumer     211       —       345       —  
Total TDRs   $ 44,410     $ 2,244     $ 44,764     $ 11,007
Schedule of loans classified as troubled debt in which modifications made

Loans classified as TDRs during 2014, 2013, and 2012 are presented in the table below. The modifications made during the reporting period involved either an extension of the loan term, a principal moratorium, a reduction in the interest rate, or a combination thereof. The financial impact of these modifications was not material.

 

 

    2014     2013     2012  
    Number           Number           Number        
    of     Recorded     of     Recorded     of     Recorded  
(Dollars in Thousands)   Contracts       Investment(1)       Contracts       Investment(1)       Contracts       Investment(1)  
Commercial, Financial and Agricultural     3     $ 320       4     $ 337       12     $ 1,857  
Real Estate – Construction     —       —       —       —       6       976  
Real Estate – Commercial Mortgage     3       1,769       13       9,653       54       16,011  
Real Estate – Residential     11       1,972       18       2,073       68       6,955  
Real Estate – Home Equity     10       883       9       587       19       731  
Consumer     1       34       6       93       60       656  
Total TDRs     28     $ 4,978       50     $ 12,743       219     $ 27,186  

 

(1) Recorded investment reflects charge-offs and additional funds advanced at time of restructure, if applicable.

The following table provides information on how TDRs were modified during the periods included.

 

 

    2014     2013     2012  
    Number     Post-Modified     Number     Post-Modified     Number     Post-Modified  
    of     Recorded     of     Recorded     of     Recorded  
(Dollars in Thousands)   Contracts     Investment     Contracts     Investment     Contracts     Investment  
Extended Amortization     10     $ 1,894       15       4,334       33       8,080  
Interest Rate Adjustment     1       156       9       982       1       158  
Extended Amortization and                                                
Interest Rate Adjustment     8       1,179       17       5,381       53       10,027  
Principal Moratorium     —       —       1       1,700               —  
Other     9       1,749       8       346       132       8,921  
Total TDRs     28     $ 4,978       50     $ 12,743       219     $ 27,186
Schedule of loans classified as troubled debt subsequently defaulted

The following table presents loans classified as TDRs for which there was a payment default during the years presented and the loans were modified within the twelve months prior to default.

 

 

    2014     2013     2012  
    Number           Number           Number        
    of     Recorded     of     Recorded     of     Recorded  
(Dollars in Thousands)   Contracts     Investment(1)     Contracts     Investment(1)     Contracts     Investment(1)  
Commercial, Financial and Agricultural     —     $ —       —     $ —       —     $ —  
Real Estate – Construction     —       —       —       —       4       713  
Real Estate – Commercial Mortgage     1       60       1       73       3       1,001  
Real Estate – Residential     2       177       —       —       7       1,906  
Real Estate – Home Equity     1       153       1       50       —       —  
Consumer     —       —       —       —       1       2  
Total TDRs     4     $ 390       2     $ 123       15     $ 3,622  

 

 

 

  (1) Recorded investment reflects charge-offs and additional funds advanced at time of restructure, if applicable.