Quarterly report pursuant to Section 13 or 15(d)

LOANS, NET (Tables)

v2.4.0.8
LOANS, NET (Tables)
 3 Months Ended
Mar. 31, 2014
Receivables [Abstract]  
Loan Portfolio Composition

Loan Portfolio Composition. The composition of the loan portfolio was as follows:

 

(Dollars in Thousands)   March 31, 2014   December 31, 2013
Commercial, Financial and Agricultural   $ 138,664     $ 126,607  
Real Estate – Construction     36,454       31,012  
Real Estate – Commercial Mortgage     522,019       533,871  
Real Estate – Residential(1)     305,112       309,692  
Real Estate – Home Equity     226,411       227,922  
Consumer     166,117       159,500  
Loans, Net of Unearned Income   $ 1,394,777     $ 1,388,604  

 

  (1) Includes loans in process with outstanding balances of $8.2 million and $6.8 million at March 31, 2014 and December 31, 2013, respectively.
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.

 

 

    March 31, 2014   December 31, 2013
(Dollars in Thousands)   Nonaccrual   90 + Days   Nonaccrual   90 + Days
Commercial, Financial and Agricultural   $ 150       —       $ 188       —    
Real Estate – Construction     581       —         426       —    
Real Estate – Commercial Mortgage     23,014       —         25,227       —    
Real Estate – Residential     6,892       —         6,440       —    
Real Estate – Home Equity     3,373       —         4,084       —    
Consumer     548       —         599       —    
Total Nonaccrual Loans   $ 34,558       —       $ 36,964       —    

 
Aging of the recorded investment in 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.

 

 

 

(Dollars in Thousands)

   30-59
DPD		   60-89
DPD		   90 +
DPD		   Total
Past Due		   Total
Current		   Total
Loans
March 31, 2014                                                
Commercial, Financial and Agricultural   $ 370     $ 167     $ —       $ 537     $ 137,977     $ 138,664  
Real Estate – Construction     303       —         —         303       35,570       36,454  
Real Estate – Commercial Mortgage     878       —         —         878       498,127       522,019  
Real Estate – Residential     1,536       197       —         1,733       296,487       305,112  
Real Estate – Home Equity     626       49       —         675       222,363       226,411  
Consumer     639       137       —         776       164,793       166,117  
Total Past Due Loans   $ 4,352     $ 550     $ —       $ 4,902     $ 1,355,317     $ 1,394,777  
                                                 
December 31, 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 Past Due Loans   $ 5,428     $ 2,318     $ —       $ 7,746     $ 1,343,894     $ 1,388,604
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. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

 

 

(Dollars in Thousands)   Commercial, Financial, Agricultural   Real Estate Construction   Real Estate Commercial Mortgage   Real Estate Residential   Real Estate Home Equity   Consumer   Unallocated   Total
March  31, 2014                                                                
Beginning Balance   $ 699     $ 1,580     $ 7,710     $ 9,073     $ 3,051     $ 982     $ —       $ 23,095  
Provision for Loan Losses     (130 )     258       (63 )     105       194       (5 )     —         359  
Charge-Offs     (11 )     —         (594 )     (731 )     (403 )     (405 )     —         (2,144 )
Recoveries     75       4       27       395       11       288       —         800  
Net Charge-Offs     64       4       (567 )     (336 )     (392 )     (117 )     —         (1,344 )
Ending Balance   $ 633     $ 1,842     $ 7,080     $ 8,842     $ 2,853     $ 860     $ —       $ 22,110  
                                                                 
March 31, 2013                                                                
Beginning Balance   $ 1,253     $ 2,856     $ 11,081     $ 8,678     $ 2,945     $ 1,327     $ 1,027     $ 29,167  
Provision for Loan Losses     (293 )     141       923       174       227       (75 )     (27 )     1,070  
Charge-Offs     (154 )     (610 )     (1,044 )     (682 )     (113 )     (296 )     —         (2,899 )
Recoveries     51       —         38       96       18       262       —         465  
Net Charge-Offs     (103 )     (610 )     (1,006 )     (586 )     (95 )     (34 )     —         (2,434 )
Ending Balance   $ 857     $ 2,387     $ 10,998     $ 8,266     $ 3,077     $ 1,218     $ 1,000     $ 27,803
Allowance for loan losses by portfolio class disaggregated on the basis

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

 

 

(Dollars in Thousands)   Commercial, Financial, Agricultural   Real Estate Construction   Real Estate Commercial Mortgage   Real Estate Residential   Real Estate Home Equity   Consumer   Unallocated   Total
March 31, 2014                                                                
Period-end amount Allocated to:                                                                
Loans Individually Evaluated for Impairment   $ 102     $ 89     $ 4,205     $ 2,281     $ 508     $ 32     $ —       $ 7,217  
Loans Collectively Evaluated for Impairment     531       1,753       2,875       6,561       2,345       828       —         14,893  
Ending Balance   $ 633     $ 1,842     $ 7,080     $ 8,842     $ 2,853     $ 860     $ —       $ 22,110  
                                                                 
December 31, 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  
                                                                 
March 31, 2013                                                                
Period-end amount Allocated to:                                                                
Loans Individually Evaluated for Impairment   $ 180     $ 274     $ 6,244     $ 2,493     $ 544     $ 16     $ —       $ 9,751  
Loans Collectively Evaluated for Impairment     677       2,113       4,754       5,773       2,533       1,202       1,000       18,052  
Ending Balance   $ 857     $ 2,387     $ 10,998     $ 8,266     $ 3,077     $ 1,218     $ 1,000     $ 27,803
Recorded investment in loans related to each balance in the allowance for loan losses

The Company’s recorded investment in loans 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:

 

 

(Dollars in Thousands)   Commercial, Financial, Agricultural   Real Estate Construction   Real Estate Commercial Mortgage   Real Estate Residential   Real Estate Home Equity   Consumer   Unallocated   Total
March 31, 2014                                                                
Individually Evaluated for Impairment   $ 1,585     $ 556     $ 49,914     $ 20,844     $ 2,973     $ 361     $ —       $ 76,233  
Collectively Evaluated for Impairment     137,079       35,898       472,105       284,268       223,438       165,756       —         1,318,544  
Total   $ 138,664     $ 36,454     $ 522,019     $ 305,112     $ 226,411     $ 166,117     $ —       $ 1,394,777  
                                                                 
December 31, 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  
                                                                 
March 31, 2013                                                                
Individually Evaluated for Impairment   $ 2,397     $ 2,080     $ 63,041     $ 22,073     $ 4,069     $ 647     $ —       $ 94,307  
Collectively Evaluated for Impairment     123,508       35,869       536,476       287,900       229,136       147,703       —         1,360,592  
Total   $ 125,905     $ 37,949     $ 599,517     $ 309,973     $ 233,205     $ 148,350     $ —       $ 1,454,899
Loans individually evaluated for impairment by class of loans

The following table presents loans individually evaluated for impairment by class of loans.

 

 

(Dollars in Thousands)

   Unpaid Principal Balance   Recorded Investment With No Allowance   Recorded Investment With Allowance   Related Allowance
March 31, 2014                                
Commercial, Financial and Agricultural   $ 1,585     $ 481     $ 1,104     $ 102  
Real Estate – Construction     556       —         556       89  
Real Estate – Commercial Mortgage     49,914       21,342       28,572       4,205  
Real Estate – Residential     20,844       5,302       15,542       2,281  
Real Estate – Home Equity     2,973       761       2,212       508  
Consumer     361       94       267       32  
Total   $ 76,233     $ 27,980     $ 48,253     $ 7,217  
                                 
December 31, 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  

 
Average recorded investment and interest income recognized by class of impaired loans

The following table summarizes the average recorded investment and interest income recognized by class of impaired loans.

 

    For Three Months Ended March 31,
    2014   2013
(Dollars in Thousands)   Average
Recorded
Investment		   Total Interest Income   Average
Recorded
Investment		   Total Interest Income
Commercial, Financial and Agricultural   $ 1,582     $ 19     $ 2,361     $ 42  
Real Estate - Construction     557       1       3,156       2  
Real Estate - Commercial Mortgage     49,943       529       68,845       541  
Real Estate - Residential     20,656       209       22,552       206  
Real Estate - Home Equity     3,166       17       3,963       19  
Consumer     360       2       668       2  
Total   $ 76,264     $ 777     $ 101,545     $ 812
Risk category of loans by segment

The following table presents the risk category of loans by segment.

 

 

(Dollars in Thousands)   Commercial, Financial, Agriculture   Real Estate   Consumer   Total Criticized Loans
March 31, 2014                                
Special Mention   $ 3,464     $ 44,397     $ 117     $ 47,978  
Substandard     4,211       101,055       1,192       106,458  
Doubtful     —         962       —         962  
Total Criticized Loans   $ 7,675     $ 146,414     $ 1,309     $ 155,398  
                                 
December 31, 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
Loans classified as TDRs

The following table presents loans classified as TDRs.

 

    March 31, 2014   December 31, 2013
(Dollars in Thousands)   Accruing   Nonaccruing   Accruing   Nonaccruing
Commercial, Financial and Agricultural   $ 1,522     $ —       $ 1,511     $ —    
Real Estate – Construction     —         155       156       —    
Real Estate – Commercial Mortgage     26,585       4,649       24,735       10,308  
Real Estate – Residential     16,168       1,098       16,441       458  
Real Estate – Home Equity     1,630       387       1,576       241  
Consumer     344       —         345       —    
Total TDRs   $ 46,249     $ 6,289     $ 44,764     $ 11,007  
Loans classified as TDRs during the three months ended

Loans classified as TDRs during the periods indicated are presented in the table below. The modifications made during the reporting period involved either an extension of the loan term or a principal moratorium and the financial impact of these modifications was not material.

 

    March 31, 2014   March 31, 2013
(Dollars in Thousands)   Number of Contracts   Pre-Modified
Recorded
Investment		   Post-Modified
Recorded
Investment		   Number of Contracts   Pre-Modified
Recorded
Investment		   Post-Modified
Recorded
Investment
Commercial, Financial and Agricultural     1     $ 52     $ 54       2     $ 26     $ 78  
Real Estate - Construction     —         —         —         —         —         —    
Real Estate - Commercial Mortgage     1       584       584       5       4,387       4,432  
Real Estate - Residential     3       836       890       3       372       381  
Real Estate - Home Equity     3       248       248       1       88       90  
Consumer     1       34       34       1       35       33  
Total TDRs     9     $ 1,754     $ 1,810       12     $ 4,908     $ 5,014  
Loans modified as TDRs within the previous 12 months and subsequently defaulted

Loans modified as TDRs within the previous 12 months that have subsequently defaulted during the periods indicated are presented in the table below.

 

    Three Months Ended March 31,
    2014   2013
(Dollars in Thousands)   Number of
Contracts		  

Recorded

Investment(1)

   Number of
Contracts		  

Recorded

Investment(1)
Commercial, Financial and Agricultural     —       $ —         —       $ —    
Real Estate - Construction     —         —         —         —    
Real Estate - Commercial Mortgage     —         —         2       227  
Real Estate - Residential     —         —         2       77  
Real Estate - Home Equity     —         —         —         —    
Consumer     —         —         —         —    
Total TDRs     —       $ —         4     $ 304  

 

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

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

 

    March 31, 2014   March 31, 2013
(Dollars in Thousands)   Number of Contracts   Recorded Investment(1)   Number of Contracts   Recorded Investment(1)
Extended amortization     3     $ 1,262       3     $ 379  
Interest rate adjustment     1       156       2       325  
Extended amortization and interest rate adjustment     2       197       4       4,142  
Other     3       195       3       168  
Total TDRs     9     $ 1,810       12     $ 5,014  

 

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