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Consolidated Statements of Cash Flows
$ in Thousands
12 Months Ended
Dec. 31, 2019
USD ($)
Dec. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
Operating Activities:      
Net income $ 20,691 $ 20,004 $ 13,478
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:      
Gain on sale of securities, net (23) 0 (11)
Loss on sale of premises and equipment 0 2 3
Gain on sale of Northrim Benefits Group 0 0 (4,445)
Depreciation and amortization of premises and equipment and intangible assets 3,046 2,353 2,967
Amortization of software 1,019 911 675
Amortization of investment security premium, net of discount accretion (15) 199 332
Change in fair value of marketable equity securities (911) 625 0
Deferred tax expense (benefit) 711 3,014 4,004
Stock-based compensation 832 816 665
Deferral of loan fees and costs, net 598 331 (278)
(Benefit) provision for loan losses (1,175) (500) 3,200
(Benefit) reserve for purchased receivables (96) (10) 29
Originations of home mortgage servicing rights carried at fair value (3,707) (3,641) (3,146)
Change in fair value of home mortgage servicing rights carried at fair value 2,608 125 (2)
Change in fair value of commercial servicing rights carried at fair value (6) (972) 0
Gain on sale of loans (19,813) (14,822) (18,013)
Proceeds from the sale of loans held for sale 670,986 551,607 571,909
Origination of loans held for sale (684,297) (527,516) (554,078)
Gain on sale of other real estate owned (380) (3) (371)
Impairment on other real estate owned 0 0 904
Impairment on equity method investment 0 804 686
Net changes in assets and liabilities:      
Decrease (increase) in accrued interest receivable 305 (432) (651)
Decrease (increase) in other assets 6,395 (2,512) 841
Increase (decrease) in other liabilities 2,411 (5,233) 586
Net Cash (Used) Provided by Operating Activities (821) 25,150 19,284
Investment in securities:      
Purchases of investment securities available for sale (132,104) (88,139) (84,339)
Purchases of marketable equity securities 0 (2,992) 0
Purchases of FHLB stock (880) 0 (3,665)
Proceeds from sales/calls/maturities of securities available for sale 130,482 122,644 102,660
Proceeds from calls/maturities of marketable equity securities 229 783 0
Proceeds from calls/maturities of securities held to maturity 0 0 890
Proceeds from redemption of FHLB stock 843 14 3,515
(Increase) decrease in purchased receivables, net (9,871) 7,835 (1,769)
(Increase) decrease in loans, net (58,879) (31,852) 12,278
Proceeds from sale of other real estate owned 1,299 1,522 3,302
Proceeds from the sale of Northrim Benefits Group 0 0 4,625
Investment in other real estate owned 0 (144) 0
Purchases of software (721) (517) (5,680)
Proceeds from sales of premises and equipment 0 3 116
Purchases of premises and equipment (2,318) (3,511) (1,555)
Net Cash (Used) Provided by Investing Activities (71,920) 5,646 30,378
Financing Activities:      
Increase (decrease) in deposits 144,263 (30,195) (9,370)
(Decrease) increase in securities sold under repurchase agreements (34,278) 6,532 139
Proceeds from borrowings 1,817 0 3,097
Repayments of borrowings (167) (121) (73)
Distributions to noncontrolling interest 0 0 (445)
Repayment of junior subordinated debentures 0 0 (8,248)
Proceeds from the issuance of common stock 73 243 100
Repurchase of common stock (12,569) (494) (1,607)
Cash dividends paid (8,512) (7,064) (5,965)
Net Cash Provided (Used) by Financing Activities 90,627 (31,099) (22,372)
Net Change in Cash and Cash Equivalents 17,886 (303) 27,290
Cash and Cash Equivalents at Beginning of Year 77,538 77,841 50,551
Cash and Cash Equivalents at End of Year 95,424 77,538 77,841
Supplemental Information:      
Income taxes paid 1,658 1,766 7,764
Interest paid 5,640 2,971 2,470
Noncash commitments to invest in Low Income Housing Tax Credit Partnerships 11,267 0 0
Transfer of loans to other real estate owned 0 686 5,912
Non-cash lease liability arising from obtaining right of use assets 1,234    
Cash dividends declared but not paid $ 89 $ 72 $ 53