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Allowance for Credit Losses (Tables)
 6 Months Ended
Jun. 30, 2024
Credit Loss [Abstract]  
Summary of the Company’s loan portfolio by loan class
The following is a summary of the Company’s loan portfolio by loan class.
(In thousands)June 30, 2024December 31, 2023
Secured by real estate:
Residential properties$1,617,519 $1,551,777 
Construction and land development687,695 731,449 
Farmland 312,038 309,840 
Other commercial 2,722,113 2,666,956 
Total real estate5,339,365 5,260,022 
Commercial and industrial loans617,730 631,528 
Agricultural production and other loans to farmers111,422 91,976 
Consumer and other loans103,120 98,485 
Total loans before allowance for credit losses$6,171,637 $6,082,011 
Summary of the credit quality of the Company’s loan portfolio by loan class
The following table reflects loans by credit quality indicator and origination year at June 30, 2024. Loans acquired are shown in the table by origination year. The Company had an immaterial amount of revolving loans converted to term loans at June 30, 2024.
Term Loans Amortized Cost Basis by Origination Year
(Dollars in thousands)20242023202220212020PriorRevolving Loans Amortized Cost BasisTotal
Residential real estate:
Pass$130,529 $248,640 $389,046 $279,535 $114,477 $100,702 $332,322 $1,595,251 
Special mention— — — — — — — — 
Classified518 1,808 4,144 3,272 2,896 7,106 2,524 22,268 
Total residential real estate$131,047 $250,448 $393,190 $282,807 $117,373 $107,808 $334,846 $1,617,519 
Current period gross write offs$— $16 $— $126 $11 $113 $18 $284 
Construction & land development:
Pass$26,648 $42,821 $44,759 $8,197 $3,260 $10,587 $546,069 $682,341 
Special mention— — 246 — — — — 246 
Classified25 — 513 433 896 1,970 1,271 5,108 
Total construction & land development$26,673 $42,821 $45,518 $8,630 $4,156 $12,557 $547,340 $687,695 
Term Loans Amortized Cost Basis by Origination Year
(Dollars in thousands)20242023202220212020PriorRevolving Loans Amortized Cost BasisTotal
Current period gross write offs$— $— $— $— $— $— $— $— 
Farmland:
Pass$29,954 $36,384 $71,770 $30,019 $25,935 $24,027 $90,597 $308,686 
Special mention— — — — — — — — 
Classified68 1,224 144 181 65 1,192 478 3,352 
Total farmland$30,022 $37,608 $71,914 $30,200 $26,000 $25,219 $91,075 $312,038 
Current period gross write offs$— $— $— $— $— $— $— $— 
Other commercial real estate:
Pass$43,423 $207,333 $494,966 $400,713 $240,856 $275,280 $1,046,763 $2,709,334 
Special mention— — — — — — — — 
Classified20 100 1,128 2,621 1,469 4,463 2,978 12,779 
Total other commercial real estate$43,443 $207,433 $496,094 $403,334 $242,325 $279,743 $1,049,741 $2,722,113 
Current period gross write offs$— $7 $— $194 $— $— $— $201 
Commercial & industrial loans:
Pass$38,738 $81,049 $108,949 $36,754 $24,445 $26,202 $269,252 $585,389 
Special mention— — 5,794 — — — — 5,794 
Classified130 8,930 13,719 1,260 404 1,785 319 26,547 
Total commercial & industrial loans$38,868 $89,979 $128,462 $38,014 $24,849 $27,987 $269,571 $617,730 
Current period gross write offs$— $78 $504 $— $3 $— $397 $982 
Agricultural production & other loans to farmers:
Pass$9,903 $12,487 $5,506 $3,914 $2,730 $726 $75,249 $110,515 
Special mention— — — — — — — — 
Classified29 187 10 — 38 — 643 907 
Total agricultural production & other loans to farmers$9,932 $12,674 $5,516 $3,914 $2,768 $726 $75,892 $111,422 
Current period gross write offs$— $— $— $— $— $— $— $— 
Consumer & other loans:
Pass$21,697 $25,972 $9,980 $2,932 $3,083 $2,707 $36,346 $102,717 
Special mention— — — — — — — — 
Classified13 118 92 6 — — 174 403 
Term Loans Amortized Cost Basis by Origination Year
(Dollars in thousands)20242023202220212020PriorRevolving Loans Amortized Cost BasisTotal
Total consumer & other loans$21,710 $26,090 $10,072 $2,938 $3,083 $2,707 $36,520 $103,120 
Current period gross write offs$968 $94 $59 $48 $1 $3 $81 $1,254 
The following table reflects loans by credit quality indicator and origination year at December 31, 2023. Loans acquired are shown in the table by origination year. The Company had an immaterial amount of revolving loans converted to term loans at December 31, 2023.
Term Loans Amortized Cost Basis by Origination Year
(Dollars in thousands)20232022202120202019PriorRevolving Loans Amortized Cost BasisTotal
Residential real estate:
Pass$273,190 $417,855 $305,097 $125,236 $51,299 $74,212 $284,488 $1,531,377 
Special mention— — — — — — — — 
Classified1,203 3,473 4,661 2,838 2,509 4,785 931 20,400 
Total residential real estate$274,393 $421,328 $309,758 $128,074 $53,808 $78,997 $285,419 $1,551,777 
Current period gross write offs$— $32 $11 $36 $3 $173 $— $255 
Construction & land development:
Pass$58,243 $57,699 $17,349 $3,802 $6,354 $6,323 $578,723 $728,493 
Special mention— 246 — — — — — 246 
Classified— 416 71 960 1,255 8 — 2,710 
Total construction & land development$58,243 $58,361 $17,420 $4,762 $7,609 $6,331 $578,723 $731,449 
Current period gross write offs$— $68 $— $— $— $60 $— $128 
Farmland:
Pass$41,629 $74,359 $32,270 $27,928 $13,295 $19,374 $98,061 $306,916 
Special mention— — — — — — — — 
Classified425 150 529 116 65 1,300 339 2,924 
Total farmland$42,054 $74,509 $32,799 $28,044 $13,360 $20,674 $98,400 $309,840 
Current period gross write offs$— $— $— $— $— $114 $— $114 
Other commercial real estate:
Pass$200,328 $505,748 $393,612 $245,990 $115,642 $189,852 $1,003,206 $2,654,378 
Special mention— — — — — — — — 
Classified127 74 5,823 456 1,234 3,365 1,499 12,578 
Total other commercial real estate$200,455 $505,822 $399,435 $246,446 $116,876 $193,217 $1,004,705 $2,666,956 
Current period gross write offs$8 $— $193 $— $— $198 $— $399 
Term Loans Amortized Cost Basis by Origination Year
(Dollars in thousands)20232022202120202019PriorRevolving Loans Amortized Cost BasisTotal
Commercial & industrial loans:
Pass$109,708 $140,536 $41,974 $36,486 $25,063 $8,052 $256,077 $617,896 
Special mention— — — — — — — — 
Classified8,954 666 1,169 458 124 1,722 539 13,632 
Total commercial & industrial loans$118,662 $141,202 $43,143 $36,944 $25,187 $9,774 $256,616 $631,528 
Current period gross write offs$67 $434 $63 $13 $16 $9 $233 $835 
Agricultural production & other loans to farmers:
Pass$16,315 $7,336 $4,342 $3,493 $1,137 $581 $58,689 $91,893 
Special mention— — — — — — — — 
Classified35 — — 44 4 — — 83 
Total agricultural production & other loans to farmers$16,350 $7,336 $4,342 $3,537 $1,141 $581 $58,689 $91,976 
Current period gross write offs$34 $12 $— $— $— $— $7 $53 
Consumer & other loans:
Pass$41,346 $15,080 $4,770 $4,213 $596 $128 $32,199 $98,332 
Special mention— — — — — — — — 
Classified14 69 24 1 — — 45 153 
Total consumer & other loans$41,360 $15,149 $4,794 $4,214 $596 $128 $32,244 $98,485 
Current period gross write offs$2,720 $175 $98 $38 $12 $30 $97 $3,170 
Summary of allowance for loan losses and balances in the loan portfolio by loan segment
Transactions in the allowance for credit losses and balances in the loan portfolio by loan segment are as follows:
(In thousands)Commercial
and Industrial		Commercial
Real Estate		ResidentialConsumer
and other		Total
Three Months Ended June 30, 2024
Allowance for credit losses:
Beginning balance$8,221 $36,469 $21,129 $1,021 $66,840 
Provision for credit losses490 1,705 1,389 455 4,039 
Recoveries on loans46 147 82 363 638 
Loans charged off(314)(172)(170)(625)(1,281)
Ending balance$8,443 $38,149 $22,430 $1,214 $70,236 
Six Months Ended June 30, 2024
Allowance for loan losses:
Beginning balance$6,556 $37,767 $20,487 $1,062 $65,872 
Provision for credit losses2,800 382 2,086 682 5,950 
Recoveries on loans69 201 141 724 1,135 
Loans charged off(982)(201)(284)(1,254)(2,721)
Ending balance$8,443 $38,149 $22,430 $1,214 $70,236 
Period End Allowance Balance Allocated To:
Individually evaluated$576 $719 $— $— $1,295 
Collectively evaluated7,867 37,430 22,430 1,214 68,941 
Ending balance$8,443 $38,149 $22,430 $1,214 $70,236 

The allowance for credit losses on LHFI increased for the six months ended June 30, 2024 primarily as a result of provision for credit losses on commercial and industrial loans. Accrued interest receivable on loans, reported as a component of accrued interest receivable on the balance sheet, totaled approximately $27.9 million at June 30, 2024 and is excluded from the estimate of credit losses.
(In thousands)Commercial and IndustrialCommercial Real EstateResidentialConsumer and otherTotal
Three Months Ended June 30, 2023
Allowance for loan losses:
Beginning balance$6,404 $40,494 $16,420 $1,085 $64,403 
 Provision for loan losses(80)(175)937 104 786 
 Recoveries on loans115 97 67 558 837 
 Loans charged off(29)(106)(5)(657)(797)
Ending balance$6,410 $40,310 $17,419 $1,090 $65,229 
Six Months Ended June 30, 2023
Allowance for loan losses:
Beginning balance$4,750 $26,701 $9,958 $1,466 $42,875 
Impact of adopting ASU 2016-132,166 12,770 6,464 (656)20,744 
Provision for loan losses(392)804 1,050 744 2,206 
Recoveries on loans203 212 125 1,149 1,689 
Loans charged off(317)(177)(178)(1,613)(2,285)
Ending balance$6,410 $40,310 $17,419 $1,090 $65,229 
Period End Allowance Balance Allocated To:
Individually evaluated for impairment
$227 $— $— $— $227 
Collectively evaluated for impairment
6,183 40,310 17,419 1,090 65,002 
Ending balance$6,410 $40,310 $17,419 $1,090 $65,229 

Allowance for Credit Losses on Unfunded Loan Commitments

The Company maintains a separate allowance for credit losses on unfunded loan commitments, which is included in Other liabilities in the Company’s Consolidated Balance Sheets. The following table provides a roll-forward of the allowance for credit losses on unfunded loan commitments for the periods presented.

Three Months Ended June 30,
(In thousands)20242023
Beginning balance$7,076 $11,608 
(Recovery of) provision for credit losses on unfunded loan commitments(542)130 
Ending Balance$6,534 $11,738 
Six Months Ended June 30,
(In thousands)20242023
Beginning balance$8,951 $— 
Impact of adopting CECL— 12,505 
(Recovery of) provision for credit losses on unfunded loan commitments(2,417)(767)
Ending balance$6,534 $11,738