XML 125 R39.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Purchased Credit Impaired ("PCI") Loans (Tables)
 12 Months Ended
Dec. 31, 2019
Covered Loans [Line Items]  
Rollforward of PCI Loans, Net of Allowance for Loan Losses
The following table is a rollforward of PCI loans, net of the allowance for loan losses, for the years ended December 31, 2019 and 2018.
($ in thousands)
Contractual Cashflows
 
Non-accretable Difference
 
Accretable Yield
 
Carrying Amount
Balance January 1, 2019
$
73,157

 
$
15,299

 
$
12,638

 
$
45,220

Acquisitions
111,963

 
13,541

 
30,238

 
68,184

Principal reductions and interest payments
(42,862
)
 
—

 
—

 
(42,862
)
Accretion of loan discount
—

 
—

 
(10,345
)
 
10,345

Changes in contractual and expected cash flows due to remeasurement
13,247

 
357

 
(1,711
)
 
14,601

Reductions due to disposals
(9,626
)
 
(3,668
)
 
(38
)
 
(5,920
)
Balance December 31, 2019
$
145,879

 
$
25,529

 
$
30,782

 
$
89,568

 
 
 
 
 
 
 
 
Balance January 1, 2018
$
112,711

 
$
29,006

 
$
13,962

 
$
69,743

Principal reductions and interest payments
(45,668
)
 
—

 
—

 
(45,668
)
Accretion of loan discount
—

 
—

 
(6,654
)
 
6,654

Changes in contractual and expected cash flows due to remeasurement
6,114

 
(13,707
)
 
5,330

 
14,491

Balance December 31, 2018
$
73,157

 
$
15,299

 
$
12,638

 
$
45,220



The accretable yield is recognized in interest income over the estimated life of the acquired loans using the effective
yield method.
Covered Loans  
Covered Loans [Line Items]  
Summary of PCI Loans by Category

Below is a summary of PCI loans by category at December 31, 2019 and 2018:
 
 
December 31, 2019
 
December 31, 2018
($ in thousands)
Weighted-
Average
Risk Rating1
Recorded
Investment
PCI Loans
 
Weighted-
Average
Risk Rating1
Recorded
Investment
PCI Loans
Commercial and industrial
5.65
$
15,334

 
6.09
$
2,159

Real estate loans:
 
 
 
 
 
Commercial - investor owned
7.02
36,903

 
7.19
23,939

Commercial - owner occupied
6.54
18,915

 
7.39
9,669

Construction and land development
5.82
7,893

 
6.03
4,548

Residential
6.34
11,069

 
6.40
6,082

Total real estate loans
 
74,780

 
 
44,238

Consumer and other
5.10
175

 
2.18
4

Purchased credit impaired loans
 
$
90,289

 
 
$
46,401

 
 
 
 
 
 
(1) Risk ratings are based on the borrower’s contractual obligation, which is not reflective of the purchase discount.
Summary of Aging of Recorded Investment in Past Due PCI Loans by Portfolio Class and Category
The aging of the recorded investment in past due PCI loans by portfolio class and category at December 31, 2019 and 2018 is shown below:
 
December 31, 2019
($ in thousands)
30-89 Days
 Past Due
 
90 or More
Days
Past Due
 
Total
Past Due
 
Current
 
Total
Commercial and industrial
$
—

 
$
356

 
$
356

 
$
14,978

 
$
15,334

Real estate:
 
 
 
 
 
 
 
 
 
Commercial - investor owned
1,250

 
1,340

 
2,590

 
34,313

 
36,903

Commercial - owner occupied
—

 
434

 
434

 
18,481

 
18,915

Construction and land development
—

 
217

 
217

 
7,676

 
7,893

Residential
791

 
992

 
1,783

 
9,286

 
11,069

Consumer and other
—

 
—

 
—

 
175

 
175

Total
$
2,041

 
$
3,339

 
$
5,380

 
$
84,909

 
$
90,289


 
December 31, 2018
($ in thousands)
30-89 Days
 Past Due
 
90 or More
Days
Past Due
 
Total
Past Due
 
Current
 
Total
Commercial and industrial
$
—

 
$
—

 
$
—

 
$
2,159

 
$
2,159

Real estate:
 
 
 
 
 
 
 
 
 
Commercial - investor owned
416

 
88

 
504

 
23,435

 
23,939

Commercial - owner occupied
591

 
6,279

 
6,870

 
2,799

 
9,669

Construction and land development
—

 
—

 
—

 
4,548

 
4,548

Residential
146

 
37

 
183

 
5,899

 
6,082

Consumer and other
—

 
—

 
—

 
4

 
4

Total
$
1,153

 
$
6,404

 
$
7,557

 
$
38,844

 
$
46,401