FAIR VALUE DISCLOSURES (Tables)

3 Months Ended

Mar. 31, 2022

FAIR VALUE DISCLOSURES [Abstract]

Assets (Liabilities) Measured at Fair Value on Recurring and Non-Recurring Basis

The following table summarizes fair value measurements at the dates indicated (dollars in thousands):

	Level 1		Level 2			Level 3		Total
March 31, 2022
Assets (liabilities) measured at fair value on a recurring basis:
Securities available for sale:
U.S. government and agencies	$	—	$	—		$	—	$	—
State and municipal		—		253,008			—		253,008
Mortgage-backed securities		—		398,433			—		398,433
Collateralized mortgage obligations		—		105,019			—		105,019
Asset-backed and other amortizing securities		—		24,535			—		24,535
Other securities		—		12,409			—		12,409
Loans held for sale (mandatory)		—		22,323			—		22,323
Mortgage servicing rights		—		—			25,425		25,425
Asset derivatives		—		15,202			—		15,202
Liability derivatives		—		(1,238	)		—		(1,238	)
Assets measured at fair value on a non-recurring basis:
Impaired loans		—		—			6,815		6,815
December 31, 2021
Assets (liabilities) measured at fair value on a recurring basis:
Securities available for sale:
U.S. government and agencies	$	—	$	—		$	—	$	—
State and municipal		—		275,672			—		275,672
Mortgage-backed securities		—		303,089			—		303,089
Collateralized mortgage obligations		—		106,320			—		106,320
Asset-backed and other amortizing securities		—		26,936			—		26,936
Other securities		—		12,487			—		12,487
Loans held for sale (mandatory)		—		47,593			—		47,593
Mortgage servicing rights		—		—			19,700		19,700
Asset derivatives		—		7,328			—		7,328
Liability derivatives		—		(535	)		—		(535	)
Assets measured at fair value on a non-recurring basis:
Impaired loans		—		—			6,427		6,427

Quantitative Information about Recurring ad Non-Recurring Level 3 Fair Value Measurements

The following table presents quantitative information about recurring and non-recurring Level 3 fair value measurements at the dates indicated (dollars in thousands):

	Fair Value		Valuation Techniques	Unobservable Inputs	Range of Discounts
March 31, 2022
Non-recurring:
Impaired loans	$	6,815	Third party appraisals or inspections	Collateral discounts and selling costs		20%-100	%
Recurring:
Mortgage servicing rights		25,425	Discounted cash flows	Conditional prepayment rate		8.48	%
				Discount rate		8.63	%
December 31, 2021
Non-recurring:
Impaired loans	$	6,427	Third party appraisals or inspections	Collateral discounts and selling costs		20%-100	%
Recurring:
Mortgage servicing rights		19,700	Discounted cash flows	Conditional prepayment rate		12.35	%
				Discount rate		9.14	%

Estimated Fair Values, and Related Carrying Amounts of Financial Instruments

The estimated fair values, and related carrying amounts, of the Company’s financial instruments that are not previously disclosed in the recurring fair value section are as follows (dollars in thousands):

	Carrying Amount		Level 1		Level 2		Level 3		Total Fair Value
March 31, 2022
Financial assets:
Cash and cash equivalents	$	528,612	$	528,612	$	—	$	—	$	528,612
Loans held for investment, net		2,413,982		—		—		2,413,792		2,413,792
Loans held for sale (best efforts)		7,276		—		7,454		—		7,454
Accrued interest receivable		10,512		—		10,512		—		10,512
Financial liabilities:
Deposits	$	3,450,157	$	—	$	3,450,510	$	—	$	3,450,510
Accrued interest payable		952		—		952		—		952
Junior subordinated deferrable interest debentures		46,393		—		33,850		—		33,850
Subordinated debt securities		75,821		—		79,562		—		79,562

	Carrying Amount		Level 1		Level 2		Level 3		Total Fair Value
December 31, 2021
Financial assets:
Cash and cash equivalents	$	486,821	$	486,821	$	—	$	—	$	486,821
Loans held for investment, net		2,395,479		—		—		2,397,079		2,397,079
Loans held for sale (best efforts)		28,914		—		29,500		—		29,500
Accrued interest receivable		13,900		—		13,900		—		13,900
Financial liabilities:
Deposits	$	3,341,222	$	3,004,091	$	339,797	$	—	$	3,343,888
Short-term borrowings		26,550		26,550		—		—		26,550
Accrued interest payable		1,914		—		1,914		—		1,914
Junior subordinated deferrable interest debentures		46,393		—		45,690		—		45,690
Subordinated debt securities		75,775		—		77,939		—		77,939