(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | |||||||||||||
(Address of Principal Executive Offices) | (Zip Code) | |||||||||||||
(Registrant’s Telephone Number, Including Area Code) | ||||||||||||||
N/A (Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report) |
Securities registered pursuant to Section 12(b) of the Act: | ||||||||
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Large accelerated filer | ☐ | ☒ | |||||||||
Non-accelerated filer | ☐ | Smaller reporting company | |||||||||
Emerging growth company |
PAGE | |||||||||||
September 30, 2022 | December 31, 2021 | ||||||||||
(Unaudited) | (Audited) | ||||||||||
Assets | |||||||||||
Cash and due from banks | $ | $ | |||||||||
Interest-earning deposits | |||||||||||
Cash and cash equivalents | |||||||||||
Certificates of deposit in other banks | |||||||||||
Securities available for sale (“AFS”), at fair value | |||||||||||
Securities held to maturity (“HTM”), at amortized cost | |||||||||||
Other investments | |||||||||||
Loans held for sale | |||||||||||
Other assets held for sale | |||||||||||
Loans | |||||||||||
Allowance for credit losses - loans (“ACL-Loans”) | ( | ( | |||||||||
Loans, net | |||||||||||
Premises and equipment, net | |||||||||||
Bank owned life insurance (“BOLI”) | |||||||||||
Goodwill and other intangibles, net | |||||||||||
Accrued interest receivable and other assets | |||||||||||
Total assets | $ | $ | |||||||||
Liabilities and Stockholders’ Equity | |||||||||||
Liabilities: | |||||||||||
Noninterest-bearing demand deposits | $ | $ | |||||||||
Interest-bearing deposits | |||||||||||
Total deposits | |||||||||||
Short-term borrowings | |||||||||||
Long-term borrowings | |||||||||||
Other liabilities held for sale | |||||||||||
Accrued interest payable and other liabilities | |||||||||||
Total liabilities | |||||||||||
Stockholders’ Equity: | |||||||||||
Common stock | |||||||||||
Additional paid-in capital | |||||||||||
Retained earnings | |||||||||||
Accumulated other comprehensive income (loss) | ( | ||||||||||
Total stockholders’ equity | |||||||||||
Total liabilities and stockholders’ equity | $ | $ | |||||||||
Preferred shares authorized (no par value) | |||||||||||
Preferred shares issued and outstanding | |||||||||||
Common shares authorized (par value $ | |||||||||||
Common shares outstanding | |||||||||||
Common shares issued |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Interest income: | |||||||||||||||||||||||
Loans, including loan fees | $ | $ | $ | $ | |||||||||||||||||||
Investment securities: | |||||||||||||||||||||||
Taxable | |||||||||||||||||||||||
Tax-exempt | |||||||||||||||||||||||
Other interest income | |||||||||||||||||||||||
Total interest income | |||||||||||||||||||||||
Interest expense: | |||||||||||||||||||||||
Deposits | |||||||||||||||||||||||
Short-term borrowings | |||||||||||||||||||||||
Long-term borrowings | |||||||||||||||||||||||
Total interest expense | |||||||||||||||||||||||
Net interest income | |||||||||||||||||||||||
Provision for credit losses | |||||||||||||||||||||||
Net interest income after provision for credit losses | |||||||||||||||||||||||
Noninterest income: | |||||||||||||||||||||||
Trust services fee income | |||||||||||||||||||||||
Brokerage fee income | |||||||||||||||||||||||
Mortgage income, net | |||||||||||||||||||||||
Service charges on deposit accounts | |||||||||||||||||||||||
Card interchange income | |||||||||||||||||||||||
BOLI income | |||||||||||||||||||||||
Asset gains (losses), net | ( | ( | |||||||||||||||||||||
Other income | |||||||||||||||||||||||
Total noninterest income | |||||||||||||||||||||||
Noninterest expense: | |||||||||||||||||||||||
Personnel | |||||||||||||||||||||||
Occupancy, equipment and office | |||||||||||||||||||||||
Business development and marketing | |||||||||||||||||||||||
Data processing | |||||||||||||||||||||||
Intangibles amortization | |||||||||||||||||||||||
FDIC assessments | |||||||||||||||||||||||
Merger-related expense | |||||||||||||||||||||||
Other expense | |||||||||||||||||||||||
Total noninterest expense | |||||||||||||||||||||||
Income before income tax expense | |||||||||||||||||||||||
Income tax expense | |||||||||||||||||||||||
Net income | $ | $ | $ | $ | |||||||||||||||||||
Earnings per common share: | |||||||||||||||||||||||
Basic | $ | $ | $ | $ | |||||||||||||||||||
Diluted | $ | $ | $ | $ | |||||||||||||||||||
Weighted average common shares outstanding: | |||||||||||||||||||||||
Basic | |||||||||||||||||||||||
Diluted |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Net income | $ | $ | $ | $ | |||||||||||||||||||
Other comprehensive income (loss), net of tax: | |||||||||||||||||||||||
Unrealized gains (losses) on securities AFS: | |||||||||||||||||||||||
Net unrealized holding gains (losses) | ( | ( | ( | ( | |||||||||||||||||||
Net realized (gains) losses included in income | ( | ||||||||||||||||||||||
Income tax (expense) benefit | |||||||||||||||||||||||
Total other comprehensive income (loss) | ( | ( | ( | ( | |||||||||||||||||||
Comprehensive income (loss) | $ | ( | $ | $ | $ |
Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total | |||||||||||||||||||||||||
Balances at June 30, 2022 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||
Comprehensive income: | |||||||||||||||||||||||||||||
Net income, three months ended September 30, 2022 | — | — | — | ||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | ( | ( | ||||||||||||||||||||||||
Issuance of common stock in acquisition | — | — | |||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | ||||||||||||||||||||||||||
Exercise of stock options, net | — | — | — | ||||||||||||||||||||||||||
Issuance of common stock | — | — | — | ||||||||||||||||||||||||||
Balances at September 30, 2022 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||
Balances at June 30, 2021 | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Comprehensive income: | |||||||||||||||||||||||||||||
Net income, three months ended September 30, 2021 | — | — | — | ||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | ( | ( | ||||||||||||||||||||||||
Issuance of common stock in acquisition | — | — | |||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | ||||||||||||||||||||||||||
Exercise of stock options, net | — | — | |||||||||||||||||||||||||||
Issuance of common stock | — | — | — | ||||||||||||||||||||||||||
Purchase and retirement of common stock | ( | ( | — | — | ( | ||||||||||||||||||||||||
Balances at September 30, 2021 | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Balances at December 31, 2021 | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Comprehensive income: | |||||||||||||||||||||||||||||
Net income, nine months ended September 30, 2022 | — | — | — | ||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | ( | ( | ||||||||||||||||||||||||
Issuance of common stock in acquisition | — | — | |||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | ||||||||||||||||||||||||||
Exercise of stock options, net | — | — | |||||||||||||||||||||||||||
Issuance of common stock | — | — | — | ||||||||||||||||||||||||||
Purchase and retirement of common stock | ( | ( | — | — | ( | ||||||||||||||||||||||||
Balances at September 30, 2022 | $ | $ | $ | $ | ( | $ | |||||||||||||||||||||||
Balances at December 31, 2020 | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Comprehensive income: | |||||||||||||||||||||||||||||
Net income, nine months ended September 30, 2021 | — | — | — | ||||||||||||||||||||||||||
Other comprehensive income (loss) | — | — | — | ( | ( | ||||||||||||||||||||||||
Issuance of common stock in acquisition | — | — | |||||||||||||||||||||||||||
Stock-based compensation expense | — | — | — | ||||||||||||||||||||||||||
Exercise of stock options, net | — | — | |||||||||||||||||||||||||||
Issuance of common stock | — | — | — | ||||||||||||||||||||||||||
Purchase and retirement of common stock | ( | ( | — | — | ( | ||||||||||||||||||||||||
Balances at September 30, 2021 | $ | $ | $ | $ | $ |
(In thousands) | Nine Months Ended September 30, | ||||||||||
2022 | 2021 | ||||||||||
Cash Flows From Operating Activities: | |||||||||||
Net income | $ | $ | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation, amortization, and accretion | |||||||||||
Provision for credit losses | |||||||||||
Increase in cash surrender value of life insurance | ( | ( | |||||||||
Stock-based compensation expense | |||||||||||
Asset (gains) losses, net | ( | ( | |||||||||
Gain on sale of loans held for sale, net | ( | ( | |||||||||
Net change due to: | |||||||||||
Proceeds from sale of loans held for sale | |||||||||||
Origination of loans held for sale | ( | ( | |||||||||
Accrued interest receivable and other assets | ( | ||||||||||
Accrued interest payable and other liabilities | ( | ( | |||||||||
Net cash provided by (used in) operating activities | |||||||||||
Cash Flows From Investing Activities: | |||||||||||
Net (increase) decrease in loans | ( | ||||||||||
Net (increase) decrease in certificates of deposit in other banks | |||||||||||
Purchases of securities AFS | ( | ( | |||||||||
Purchases of securities HTM | ( | ( | |||||||||
Proceeds from sales of securities AFS | |||||||||||
Proceeds from calls and maturities of securities AFS | |||||||||||
Proceeds from calls and maturities of securities HTM | |||||||||||
Purchases of other investments | ( | ( | |||||||||
Proceeds from sales of other investments | |||||||||||
Proceeds from redemption of BOLI | |||||||||||
Net (increase) decrease in premises and equipment | ( | ( | |||||||||
Net (increase) decrease in other real estate and other assets | |||||||||||
Net cash (paid) received in branch sale | |||||||||||
Net cash (paid) received in business combination | ( | ||||||||||
Net cash provided by (used in) investing activities | ( | ||||||||||
Cash Flows From Financing Activities: | |||||||||||
Net increase (decrease) in deposits | |||||||||||
Net increase (decrease) in short-term borrowings | |||||||||||
Proceeds from long-term borrowings | |||||||||||
Repayments of long-term borrowings | ( | ( | |||||||||
Purchase and retirement of common stock | ( | ( | |||||||||
Proceeds from issuance of common stock | |||||||||||
Proceeds from exercise of stock options | |||||||||||
Net cash provided by (used in) financing activities | |||||||||||
Net increase (decrease) in cash and cash equivalents | ( | ||||||||||
Cash and cash equivalents: | |||||||||||
Beginning | |||||||||||
Ending * | $ | $ | |||||||||
Supplemental Disclosures of Cash Flow Information: | |||||||||||
Cash paid for interest | $ | $ | |||||||||
Cash paid for taxes | |||||||||||
Transfer of loans and bank premises to other real estate owned | |||||||||||
Capitalized mortgage servicing rights | |||||||||||
Acquisitions: | |||||||||||
Fair value of assets acquired | $ | $ | |||||||||
Fair value of liabilities assumed | |||||||||||
Net assets acquired |
(In millions, except share data) | Acquired from Charter | Fair Value Adjustments | Estimated Fair Value | ||||||||
Assets Acquired: | |||||||||||
Cash and cash equivalents | $ | $ | $ | ||||||||
Investment securities | |||||||||||
Loans | ( | ||||||||||
ACL-Loans | ( | ( | |||||||||
Premises and equipment | |||||||||||
BOLI | |||||||||||
Core deposit intangible | |||||||||||
Other assets | |||||||||||
Total assets | $ | $ | $ | ||||||||
Liabilities Assumed: | |||||||||||
Deposits | $ | $ | $ | ||||||||
Borrowings | |||||||||||
Other liabilities | |||||||||||
Total liabilities | $ | $ | $ | ||||||||
Net assets acquired | $ | ||||||||||
Purchase Price: | |||||||||||
Nicolet common stock issued (in shares) | |||||||||||
Value of Nicolet common stock consideration | $ | ||||||||||
Cash consideration paid | |||||||||||
Total purchase price | $ | ||||||||||
Preliminary goodwill | $ |
(In thousands) | August 26, 2022 | |||||||
Purchase price of PCD loans at acquisition | $ | |||||||
Allowance for credit losses on PCD loans at acquisition | ||||||||
Par value of PCD acquired loans at acquisition | $ |
(In millions, except share data) | Acquired from County | Fair Value Adjustments | Estimated Fair Value | ||||||||
Assets Acquired: | |||||||||||
Cash and cash equivalents | $ | $ | $ | ||||||||
Investment securities | ( | ||||||||||
Loans | ( | ||||||||||
ACL-Loans | ( | ( | |||||||||
Premises and equipment | ( | ||||||||||
BOLI | |||||||||||
Core deposit intangible | |||||||||||
Loan servicing rights | |||||||||||
Other assets | ( | ||||||||||
Total assets | $ | $ | $ | ||||||||
Liabilities Assumed: | |||||||||||
Deposits | $ | $ | $ | ||||||||
Borrowings | |||||||||||
Other liabilities | |||||||||||
Total liabilities | $ | $ | $ | ||||||||
Net assets acquired | $ | ||||||||||
Purchase Price: | |||||||||||
Nicolet common stock issued (in shares) | |||||||||||
Value of Nicolet common stock consideration | $ | ||||||||||
Cash consideration paid | |||||||||||
Total purchase price | $ | ||||||||||
Write-off prior investment in County | ( | ||||||||||
Goodwill | $ |
(In thousands) | December 3, 2021 | |||||||
Purchase price of PCD loans at acquisition | $ | |||||||
Allowance for credit losses on PCD loans at acquisition | ||||||||
Par value of PCD acquired loans at acquisition | $ |
(In millions, except share data) | Acquired from Mackinac | Fair Value Adjustments | Estimated Fair Value | ||||||||
Assets Acquired: | |||||||||||
Cash and cash equivalents | $ | $ | $ | ||||||||
Investment securities | |||||||||||
Loans | |||||||||||
ACL-Loans | ( | ( | |||||||||
Premises and equipment | ( | ||||||||||
BOLI | |||||||||||
Goodwill | ( | ||||||||||
Other intangibles | |||||||||||
Other assets | ( | ||||||||||
Total assets | $ | $ | ( | $ | |||||||
Liabilities Assumed: | |||||||||||
Deposits | $ | $ | $ | ||||||||
Borrowings | |||||||||||
Other liabilities | |||||||||||
Total liabilities | $ | $ | $ | ||||||||
Net assets acquired | $ | ||||||||||
Purchase Price: | |||||||||||
Nicolet common stock issued (in shares) | |||||||||||
Value of Nicolet common stock consideration | $ | ||||||||||
Cash consideration paid | |||||||||||
Total purchase price | $ | ||||||||||
Write-off prior investment in Mackinac | ( | ||||||||||
Goodwill | $ |
(In thousands) | September 3, 2021 | |||||||
Purchase price of PCD loans at acquisition | $ | |||||||
Allowance for credit losses on PCD loans at acquisition | ||||||||
Par value of PCD acquired loans at acquisition | $ |
Three Months Ended | Nine Months Ended | |||||||||||||
(In thousands, except per share data) | September 30, 2021 | September 30, 2021 | ||||||||||||
Total revenue, net of interest expense | $ | $ | ||||||||||||
Net income | $ | $ | ||||||||||||
Diluted earnings per common share | $ | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
(In thousands, except per share data) | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Net income | $ | $ | $ | $ | |||||||||||||||||||
Weighted average common shares outstanding | |||||||||||||||||||||||
Effect of dilutive common stock awards | |||||||||||||||||||||||
Diluted weighted average common shares outstanding | |||||||||||||||||||||||
Basic earnings per common share* | $ | $ | $ | $ | |||||||||||||||||||
Diluted earnings per common share* | $ | $ | $ | $ |
Nine Months Ended September 30, | |||||||||||
2022 | 2021 | ||||||||||
Dividend yield | % | % | |||||||||
Expected volatility | % | % | |||||||||
Risk-free interest rate | % | % | |||||||||
Expected average life | |||||||||||
Weighted average per share fair value of options | $ | $ |
Stock Options | Option Shares Outstanding | Weighted Average Exercise Price | Weighted Average Remaining Life (Years) | Aggregate Intrinsic Value (in thousands) | ||||||||||||||||||||||
Outstanding - December 31, 2021 | $ | |||||||||||||||||||||||||
Granted | ||||||||||||||||||||||||||
Exercise of stock options * | ( | |||||||||||||||||||||||||
Forfeited | ( | |||||||||||||||||||||||||
Outstanding - September 30, 2022 | $ | $ | ||||||||||||||||||||||||
Exercisable - September 30, 2022 | $ | $ |
Restricted Stock | Weighted Average Grant Date Fair Value | Restricted Shares Outstanding | ||||||||||||
Outstanding - December 31, 2021 | $ | |||||||||||||
Granted | ||||||||||||||
Vested * | ( | |||||||||||||
Forfeited | ( | |||||||||||||
Outstanding - September 30, 2022 | $ |
September 30, 2022 | |||||||||||||||||||||||||||||
(in thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | Fair Value as % of Total | ||||||||||||||||||||||||
Securities AFS: | |||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | % | ||||||||||||||||||||||||
State, county and municipals | % | ||||||||||||||||||||||||||||
Mortgage-backed securities | % | ||||||||||||||||||||||||||||
Corporate debt securities | % | ||||||||||||||||||||||||||||
Total securities AFS | $ | $ | $ | $ | % | ||||||||||||||||||||||||
Securities HTM: | |||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | % | ||||||||||||||||||||||||
State, county and municipals | % | ||||||||||||||||||||||||||||
Mortgage-backed securities | % | ||||||||||||||||||||||||||||
Total securities HTM | $ | $ | $ | $ | % |
December 31, 2021 | |||||||||||||||||||||||||||||
(in thousands) | Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | Fair Value as % of Total | ||||||||||||||||||||||||
Securities AFS: | |||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | % | ||||||||||||||||||||||||
State, county and municipals | % | ||||||||||||||||||||||||||||
Mortgage-backed securities | % | ||||||||||||||||||||||||||||
Corporate debt securities | % | ||||||||||||||||||||||||||||
Total securities AFS | $ | $ | $ | $ | % | ||||||||||||||||||||||||
Securities HTM: | |||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | % | ||||||||||||||||||||||||
State, county and municipals | % | ||||||||||||||||||||||||||||
Mortgage-backed securities | % | ||||||||||||||||||||||||||||
Total securities HTM | $ | $ | $ | $ | % |
September 30, 2022 | |||||||||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||||||||||||||||||
($ in thousands) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Number of Securities | ||||||||||||||||||||||||||||||||||
Securities AFS: | |||||||||||||||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||
State, county and municipals | |||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities | |||||||||||||||||||||||||||||||||||||||||
Corporate debt securities | |||||||||||||||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||
Securities HTM: | |||||||||||||||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||
State, county and municipals | |||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities | |||||||||||||||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ |
December 31, 2021 | |||||||||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or more | Total | |||||||||||||||||||||||||||||||||||||||
($ in thousands) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Number of Securities | ||||||||||||||||||||||||||||||||||
Securities AFS: | |||||||||||||||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||
State, county and municipals | |||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities | |||||||||||||||||||||||||||||||||||||||||
Corporate debt securities | |||||||||||||||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||
Securities HTM: | |||||||||||||||||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||
State, county and municipals | |||||||||||||||||||||||||||||||||||||||||
Mortgage-backed securities | |||||||||||||||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ |
As of September 30, 2022 | Securities AFS | Securities HTM | |||||||||||||||||||||
(in thousands) | Amortized Cost | Fair Value | Amortized Cost | Fair Value | |||||||||||||||||||
Due in less than one year | $ | $ | $ | $ | |||||||||||||||||||
Due in one year through five years | |||||||||||||||||||||||
Due after five years through ten years | |||||||||||||||||||||||
Due after ten years | |||||||||||||||||||||||
Mortgage-backed securities | |||||||||||||||||||||||
Total investment securities | $ | $ | $ | $ |
Nine Months Ended September 30, | |||||||||||
(in thousands) | 2022 | 2021 | |||||||||
Gross gains | $ | $ | |||||||||
Gross losses | ( | ( | |||||||||
Gains (losses) on sales of securities AFS, net | $ | $ | ( | ||||||||
Proceeds from sales of securities AFS * | $ | $ |
September 30, 2022 | December 31, 2021 | ||||||||||
(in thousands) | Amount | Amount | |||||||||
Federal Reserve Bank stock | $ | $ | |||||||||
Federal Home Loan Bank (“FHLB”) stock | |||||||||||
Equity securities with readily determinable fair values | |||||||||||
Other investments | |||||||||||
Total other investments | $ | $ |
September 30, 2022 | December 31, 2021 | ||||||||||||||||||||||
(in thousands) | Amount | % of Total | Amount | % of Total | |||||||||||||||||||
Commercial & industrial | $ | % | $ | % | |||||||||||||||||||
Owner-occupied commercial real estate (“CRE”) | |||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||
Residential construction | |||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||
Retail & other | |||||||||||||||||||||||
Loans | % | % | |||||||||||||||||||||
Less allowance for credit losses - Loans (“ACL-Loans”) | |||||||||||||||||||||||
Loans, net | $ | $ | |||||||||||||||||||||
Allowance for credit losses - Loans to loans | % | % |
Three Months Ended | Nine Months Ended | Year Ended | |||||||||||||||||||||||||||
(in thousands) | September 30, 2022 | September 30, 2021 | September 30, 2022 | September 30, 2021 | December 31, 2021 | ||||||||||||||||||||||||
Beginning balance | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
ACL on PCD loans acquired | |||||||||||||||||||||||||||||
Provision for credit losses | |||||||||||||||||||||||||||||
Charge-offs | ( | ( | ( | ( | ( | ||||||||||||||||||||||||
Recoveries | |||||||||||||||||||||||||||||
Net (charge-offs) recoveries | ( | ( | ( | ( | ( | ||||||||||||||||||||||||
Ending balance | $ | $ | $ | $ | $ |
Nine Months Ended September 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Commercial & industrial | Owner- occupied CRE | Agricultural | CRE investment | Construction & land development | Residential construction | Residential first mortgage | Residential junior mortgage | Retail & other | Total | |||||||||||||||||||||||||||||||||||||||||||||||||
ACL-Loans * | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||||||||||||||||
ACL on PCD loans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-offs | ( | ( | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net (charge-offs) recoveries | ( | ( | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||||||||||||||||
As % of ACL-Loans | % | % | % | % | % | % | % | % | % | % |
Year Ended December 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Commercial & industrial | Owner- occupied CRE | Agricultural | CRE investment | Construction & land development | Residential construction | Residential first mortgage | Residential junior mortgage | Retail & other | Total | |||||||||||||||||||||||||||||||||||||||||||||||||
ACL-Loans * | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||||||||||||||||
ACL on PCD loans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-offs | ( | ( | ( | ( | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net (charge-offs) recoveries | ( | ( | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending balance | $ | $ | $ | $ | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||||||||||||||||||
As % of ACL-Loans | % | % | % | % | % | % | % | % | % | % |
Three Months Ended | Nine Months Ended | Year Ended | |||||||||||||||||||||||||||
(in thousands) | September 30, 2022 | September 30, 2021 | September 30, 2022 | September 30, 2021 | December 31, 2021 | ||||||||||||||||||||||||
Provision for credit losses on: | |||||||||||||||||||||||||||||
Loans | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Unfunded Commitments | |||||||||||||||||||||||||||||
Investment securities | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ |
September 30, 2022 | Collateral Type | ||||||||||||||||||||||
(in thousands) | Real Estate | Other Business Assets | Total | Without an Allowance | With an Allowance | Allowance Allocation | |||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | $ | $ | |||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||
Residential construction | |||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||
Retail & other | |||||||||||||||||||||||
Total loans | $ | $ | $ | $ | $ | $ |
December 31, 2021 | Collateral Type | ||||||||||||||||||||||
(in thousands) | Real Estate | Other Business Assets | Total | Without an Allowance | With an Allowance | Allowance Allocation | |||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | $ | $ | |||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||
Residential construction | |||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||
Retail & other | |||||||||||||||||||||||
Total loans | $ | $ | $ | $ | $ | $ |
September 30, 2022 | |||||||||||||||||||||||
(in thousands) | 30-89 Days Past Due (accruing) | 90 Days & Over or nonaccrual | Current | Total | |||||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | |||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||
Residential construction | |||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||
Retail & other | |||||||||||||||||||||||
Total loans | $ | $ | $ | $ | |||||||||||||||||||
Percent of total loans | % | % | % | % |
December 31, 2021 | |||||||||||||||||||||||
(in thousands) | 30-89 Days Past Due (accruing) | 90 Days & Over or nonaccrual | Current | Total | |||||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | |||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||
Residential construction | |||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||
Retail & other | |||||||||||||||||||||||
Total loans | $ | $ | $ | $ | |||||||||||||||||||
Percent of total loans | % | % | % | % |
September 30, 2022 | December 31, 2021 | ||||||||||||||||
(in thousands) | Nonaccrual Loans | % of Total | Nonaccrual Loans | % of Total | |||||||||||||
Commercial & industrial | $ | % | $ | % | |||||||||||||
Owner-occupied CRE | |||||||||||||||||
Agricultural | |||||||||||||||||
CRE investment | |||||||||||||||||
Construction & land development | |||||||||||||||||
Residential construction | |||||||||||||||||
Residential first mortgage | |||||||||||||||||
Residential junior mortgage | |||||||||||||||||
Retail & other | |||||||||||||||||
Nonaccrual loans | $ | % | $ | % | |||||||||||||
Percent of total loans | % | % |
September 30, 2022 | Amortized Cost Basis by Origination Year | ||||||||||||||||||||||||||||
(in thousands) | 2022 | 2021 | 2020 | 2019 | 2018 | Prior | Revolving | Revolving to Term | TOTAL | ||||||||||||||||||||
Commercial & industrial | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
CRE investment | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Residential construction | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Retail & other | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Total loans | $ | $ | $ | $ | $ | $ | $ | $ | $ |
December 31, 2021 | Amortized Cost Basis by Origination Year | ||||||||||||||||||||||||||||
(in thousands) | 2021 | 2020 | 2019 | 2018 | 2017 | Prior | Revolving | Revolving to Term | TOTAL | ||||||||||||||||||||
Commercial & industrial | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
CRE investment | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Residential construction | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Retail & other | |||||||||||||||||||||||||||||
Grades 1-4 | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Grade 5 | |||||||||||||||||||||||||||||
Grade 6 | |||||||||||||||||||||||||||||
Grade 7 | |||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||
Total loans | $ | $ | $ | $ | $ | $ | $ | $ | $ |
September 30, 2022 | |||||||||||||||||||||||||||||
(in thousands) | Grades 1- 4 | Grade 5 | Grade 6 | Grade 7 | Total | ||||||||||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||||||||
Residential construction | |||||||||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||||||||
Retail & other | |||||||||||||||||||||||||||||
Total loans | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Percent of total | % | % | % | % | % |
December 31, 2021 | |||||||||||||||||||||||||||||
(in thousands) | Grades 1- 4 | Grade 5 | Grade 6 | Grade 7 | Total | ||||||||||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||||||||
Residential construction | |||||||||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||||||||
Retail & other | |||||||||||||||||||||||||||||
Total loans | $ | $ | $ | $ | $ | ||||||||||||||||||||||||
Percent of total | % | % | % | % | % |
September 30, 2022 | December 31, 2021 | ||||||||||||||||||||||||||||||||||
(in thousands) | Performing | Nonaccrual | Total | Performing | Nonaccrual | Total | |||||||||||||||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||||||||||||||
Total | $ | $ | $ | $ | $ | $ |
September 30, 2022 | December 31, 2021 | ||||||||||||||||||||||||||||||||||
($ in thousands) | Number of Loans | Pre-Modification Balance | Current Balance | Number of Loans | Pre-Modification Balance | Current Balance | |||||||||||||||||||||||||||||
Commercial & industrial | $ | $ | $ | $ | |||||||||||||||||||||||||||||||
Owner-occupied CRE | |||||||||||||||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||||||||
CRE investment | |||||||||||||||||||||||||||||||||||
Construction & land development | |||||||||||||||||||||||||||||||||||
Residential first mortgage | |||||||||||||||||||||||||||||||||||
Residential junior mortgage | |||||||||||||||||||||||||||||||||||
Total | $ | $ | $ | $ |
(in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
Goodwill | $ | $ | |||||||||
Core deposit intangibles | |||||||||||
Customer list intangibles | |||||||||||
Other intangibles | |||||||||||
Goodwill and other intangibles, net | $ | $ |
Nine Months Ended | Year Ended | ||||||||||
(in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
Goodwill: | |||||||||||
Goodwill at beginning of year | $ | $ | |||||||||
Acquisitions | |||||||||||
Goodwill at end of period | $ | $ |
Nine Months Ended | Year Ended | ||||||||||
(in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
Core deposit intangibles: | |||||||||||
Gross carrying amount | $ | $ | |||||||||
Accumulated amortization | ( | ( | |||||||||
Net book value | $ | $ | |||||||||
Additions during the period | $ | $ | |||||||||
Amortization during the period | $ | $ | |||||||||
Customer list intangibles: | |||||||||||
Gross carrying amount | $ | $ | |||||||||
Accumulated amortization | ( | ( | |||||||||
Net book value | $ | $ | |||||||||
Amortization during the period | $ | $ |
Nine Months Ended | Year Ended | ||||||||||
(in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
Mortgage servicing rights asset: | |||||||||||
MSR asset at beginning of year | $ | $ | |||||||||
Capitalized MSR | |||||||||||
MSR asset acquired | |||||||||||
Amortization during the period | ( | ( | |||||||||
MSR asset at end of period | $ | $ | |||||||||
Valuation allowance at beginning of year | $ | ( | $ | ( | |||||||
Additions | ( | ||||||||||
Reversals | |||||||||||
Valuation allowance at end of period | $ | ( | $ | ( | |||||||
MSR asset, net | $ | $ | |||||||||
Fair value of MSR asset at end of period | $ | $ | |||||||||
Residential mortgage loans serviced for others | $ | $ | |||||||||
Net book value of MSR asset to loans serviced for others | % | % |
(in thousands) | Core deposit intangibles | Customer list intangibles | MSR asset | LSR asset | |||||||||||||||||||
Year ending December 31, | |||||||||||||||||||||||
2022 (remaining three months) | $ | $ | $ | $ | |||||||||||||||||||
2023 | |||||||||||||||||||||||
2024 | |||||||||||||||||||||||
2025 | |||||||||||||||||||||||
2026 | |||||||||||||||||||||||
2027 | |||||||||||||||||||||||
Thereafter | |||||||||||||||||||||||
Total | $ | $ | $ | $ |
(in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
FHLB advances | $ | $ | |||||||||
Junior subordinated debentures | |||||||||||
Subordinated notes | |||||||||||
Total long-term borrowings | $ | $ |
As of September 30, 2022 | As of December 31, 2021 | |||||||||||||||||||||||||
(in thousands) | Maturity Date | Interest Rate | Par | Unamortized Premium /(Discount) / Debt Issue Costs (1) | Carrying Value | Interest Rate | Carrying Value | |||||||||||||||||||
Junior Subordinated Debentures: | ||||||||||||||||||||||||||
Mid-Wisconsin Statutory Trust I (2) | 12/15/2035 | % | $ | $ | ( | $ | % | $ | ||||||||||||||||||
Baylake Capital Trust II (3) | 9/30/2036 | % | ( | % | ||||||||||||||||||||||
First Menasha Statutory Trust (4) | 3/17/2034 | % | ( | % | ||||||||||||||||||||||
County Bancorp Statutory Trust II (5) | 9/15/2035 | % | ( | % | ||||||||||||||||||||||
County Bancorp Statutory Trust III (6) | 6/15/2036 | % | ( | % | ||||||||||||||||||||||
Fox River Valley Capital Trust (7) | 5/30/2033 | % | ( | % | ||||||||||||||||||||||
Total | $ | $ | ( | $ | $ | |||||||||||||||||||||
Subordinated Notes: | ||||||||||||||||||||||||||
Subordinated Notes due 2031 | 7/15/2031 | % | $ | $ | ( | $ | % | $ | ||||||||||||||||||
County Subordinated Notes due 2028 | 6/1/2028 | % | % | |||||||||||||||||||||||
County Subordinated Notes due 2030 | 6/30/2030 | % | % | |||||||||||||||||||||||
Total | $ | $ | $ | $ |
(in thousands) | Fair Value Measurements Using | |||||||||||||||||||||||||
Measured at Fair Value on a Recurring Basis: | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||
September 30, 2022 | ||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | ||||||||||||||||||||||
State, county and municipals | ||||||||||||||||||||||||||
Mortgage-backed securities | ||||||||||||||||||||||||||
Corporate debt securities | ||||||||||||||||||||||||||
Securities AFS | $ | $ | $ | $ | ||||||||||||||||||||||
Other investments (equity securities) | $ | $ | $ | $ | ||||||||||||||||||||||
Derivative assets | ||||||||||||||||||||||||||
Derivative liabilities | ||||||||||||||||||||||||||
December 31, 2021 | ||||||||||||||||||||||||||
U.S. government agency securities | $ | $ | $ | $ | ||||||||||||||||||||||
State, county and municipals | ||||||||||||||||||||||||||
Mortgage-backed securities | ||||||||||||||||||||||||||
Corporate debt securities | ||||||||||||||||||||||||||
Securities AFS | $ | $ | $ | $ | ||||||||||||||||||||||
Other investments (equity securities) | $ | $ | $ | $ | ||||||||||||||||||||||
Derivative assets | ||||||||||||||||||||||||||
Derivative liabilities |
Nine Months Ended | Year Ended | |||||||||||||
Level 3 Fair Value Measurements: | September 30, 2022 | December 31, 2021 | ||||||||||||
Balance at beginning of year | $ | $ | ||||||||||||
Acquired balance | ||||||||||||||
Maturities / Paydowns | ( | |||||||||||||
Unrealized gain / (loss) | ( | |||||||||||||
Balance at end of period | $ | $ |
(in thousands) | Fair Value Measurements Using | |||||||||||||||||||||||||
Measured at Fair Value on a Nonrecurring Basis: | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||
September 30, 2022 | ||||||||||||||||||||||||||
Collateral dependent loans | $ | $ | $ | $ | ||||||||||||||||||||||
Other real estate owned (“OREO”) | ||||||||||||||||||||||||||
MSR asset | ||||||||||||||||||||||||||
LSR asset | ||||||||||||||||||||||||||
December 31, 2021 | ||||||||||||||||||||||||||
Collateral dependent loans | $ | $ | $ | $ | ||||||||||||||||||||||
OREO | ||||||||||||||||||||||||||
MSR asset | ||||||||||||||||||||||||||
LSR asset |
September 30, 2022 | ||||||||||||||||||||||||||||||||
(in thousands) | Carrying Amount | Estimated Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||
Financial assets: | ||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
Certificates of deposit in other banks | ||||||||||||||||||||||||||||||||
Securities AFS | ||||||||||||||||||||||||||||||||
Securities HTM | ||||||||||||||||||||||||||||||||
Other investments, including equity securities | ||||||||||||||||||||||||||||||||
Loans held for sale | ||||||||||||||||||||||||||||||||
Loans, net | ||||||||||||||||||||||||||||||||
MSR asset | ||||||||||||||||||||||||||||||||
LSR asset | ||||||||||||||||||||||||||||||||
Accrued interest receivable | ||||||||||||||||||||||||||||||||
Financial liabilities: | ||||||||||||||||||||||||||||||||
Deposits | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
Short-term borrowings | ||||||||||||||||||||||||||||||||
Long-term borrowings | ||||||||||||||||||||||||||||||||
Accrued interest payable |
December 31, 2021 | ||||||||||||||||||||||||||||||||
(in thousands) | Carrying Amount | Estimated Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||
Financial assets: | ||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
Certificates of deposit in other banks | ||||||||||||||||||||||||||||||||
Securities AFS | ||||||||||||||||||||||||||||||||
Securities HTM | ||||||||||||||||||||||||||||||||
Other investments, including equity securities | ||||||||||||||||||||||||||||||||
Loans held for sale | ||||||||||||||||||||||||||||||||
Loans, net | ||||||||||||||||||||||||||||||||
MSR asset | ||||||||||||||||||||||||||||||||
LSR asset | ||||||||||||||||||||||||||||||||
Accrued interest receivable | ||||||||||||||||||||||||||||||||
Financial liabilities: | ||||||||||||||||||||||||||||||||
Deposits | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
Long-term borrowings | ||||||||||||||||||||||||||||||||
Accrued interest payable |
Table 1: Earnings Summary and Selected Financial Data | |||||||||||||||||||||||||||||||||||||||||
At or for the Three Months Ended | At or for the Nine Months Ended | ||||||||||||||||||||||||||||||||||||||||
(In thousands, except per share data) | 9/30/2022 | 6/30/2022 | 3/31/2022 | 12/31/2021 | 9/30/2021 | 9/30/2022 | 9/30/2021 | ||||||||||||||||||||||||||||||||||
Results of operations: | |||||||||||||||||||||||||||||||||||||||||
Net interest income | $ | 62,990 | $ | 55,084 | $ | 53,795 | $ | 53,559 | $ | 35,184 | $ | 171,869 | $ | 104,396 | |||||||||||||||||||||||||||
Provision for credit losses | 8,600 | 750 | 300 | 8,400 | 6,000 | 9,650 | 6,500 | ||||||||||||||||||||||||||||||||||
Noninterest income | 13,000 | 14,131 | 15,943 | 16,064 | 13,996 | 43,074 | 51,300 | ||||||||||||||||||||||||||||||||||
Noninterest expense | 42,567 | 36,538 | 37,550 | 39,408 | 33,061 | 116,655 | 89,889 | ||||||||||||||||||||||||||||||||||
Income before income tax expense | 24,823 | 31,927 | 31,888 | 21,815 | 10,119 | 88,638 | 59,307 | ||||||||||||||||||||||||||||||||||
Income tax expense | 6,313 | 7,942 | 7,724 | 5,510 | 2,295 | 21,979 | 14,960 | ||||||||||||||||||||||||||||||||||
Net income | $ | 18,510 | $ | 23,985 | $ | 24,164 | $ | 16,305 | $ | 7,824 | $ | 66,659 | $ | 44,347 | |||||||||||||||||||||||||||
Earnings per common share ("EPS"): | |||||||||||||||||||||||||||||||||||||||||
Basic | $ | 1.33 | $ | 1.79 | $ | 1.77 | $ | 1.29 | $ | 0.75 | $ | 4.88 | $ | 4.39 | |||||||||||||||||||||||||||
Diluted | $ | 1.29 | $ | 1.73 | $ | 1.70 | $ | 1.25 | $ | 0.73 | $ | 4.72 | $ | 4.22 | |||||||||||||||||||||||||||
Common Shares: | |||||||||||||||||||||||||||||||||||||||||
Basic weighted average | 13,890 | 13,402 | 13,649 | 12,626 | 10,392 | 13,648 | 10,098 | ||||||||||||||||||||||||||||||||||
Diluted weighted average | 14,310 | 13,852 | 14,215 | 13,049 | 10,776 | 14,127 | 10,503 | ||||||||||||||||||||||||||||||||||
Outstanding (period end) | 14,673 | 13,407 | 13,457 | 13,994 | 11,952 | 14,673 | 11,952 | ||||||||||||||||||||||||||||||||||
Period-End Balances: | |||||||||||||||||||||||||||||||||||||||||
Loans | $ | 5,984,437 | $ | 4,978,654 | $ | 4,683,315 | $ | 4,621,836 | $ | 3,533,198 | $ | 5,984,437 | $ | 3,533,198 | |||||||||||||||||||||||||||
Allowance for credit losses - loans | 60,348 | 50,655 | 49,906 | 49,672 | 38,399 | 60,348 | 38,399 | ||||||||||||||||||||||||||||||||||
Total assets | 8,895,916 | 7,370,252 | 7,320,212 | 7,695,037 | 6,407,820 | 8,895,916 | 6,407,820 | ||||||||||||||||||||||||||||||||||
Deposits | 7,395,902 | 6,286,266 | 6,231,120 | 6,465,916 | 5,428,774 | 7,395,902 | 5,428,774 | ||||||||||||||||||||||||||||||||||
Stockholders’ equity (common) | 938,463 | 839,387 | 836,310 | 891,891 | 729,278 | 938,463 | 729,278 | ||||||||||||||||||||||||||||||||||
Book value per common share | 63.96 | 62.61 | 62.15 | 63.73 | 61.01 | 63.96 | 61.01 | ||||||||||||||||||||||||||||||||||
Tangible book value per common share (2) | 36.21 | 37.49 | 37.03 | 39.47 | 38.43 | 36.21 | 38.43 | ||||||||||||||||||||||||||||||||||
Financial Ratios: (1) | |||||||||||||||||||||||||||||||||||||||||
Return on average assets | 0.93 | % | 1.32 | % | 1.30 | % | 0.96 | % | 0.59 | % | 1.18 | % | 1.24 | % | |||||||||||||||||||||||||||
Return on average common equity | 8.25 | 11.48 | 11.38 | 8.24 | 5.10 | 10.32 | 10.43 | ||||||||||||||||||||||||||||||||||
Return on average tangible common equity (2) | 13.93 | 19.21 | 18.75 | 13.19 | 7.62 | 17.25 | 15.41 | ||||||||||||||||||||||||||||||||||
Stockholders' equity to assets | 10.55 | 11.39 | 11.42 | 11.59 | 11.38 | 10.55 | 11.38 | ||||||||||||||||||||||||||||||||||
Tangible common equity to tangible assets (2) | 6.26 | 7.15 | 7.14 | 7.51 | 7.48 | 6.26 | 7.48 | ||||||||||||||||||||||||||||||||||
Reconciliation of Non-GAAP Financial Measures: | |||||||||||||||||||||||||||||||||||||||||
Adjusted net income reconciliation (3) | |||||||||||||||||||||||||||||||||||||||||
Net income (GAAP) | $ | 18,510 | $ | 23,985 | $ | 24,164 | $ | 16,305 | $ | 7,824 | $ | 66,659 | $ | 44,347 | |||||||||||||||||||||||||||
Adjustments: | |||||||||||||||||||||||||||||||||||||||||
Provision expense related to merger | 8,000 | — | — | 8,400 | 6,000 | 8,000 | 6,000 | ||||||||||||||||||||||||||||||||||
Assets (gains) losses, net | 46 | (1,603) | (1,313) | (465) | 1,187 | (2,870) | (3,716) | ||||||||||||||||||||||||||||||||||
Merger-related expense | 519 | 555 | 98 | 2,202 | 2,793 | 1,172 | 3,449 | ||||||||||||||||||||||||||||||||||
Branch closure expense | — | — | — | — | 944 | — | 944 | ||||||||||||||||||||||||||||||||||
Adjustments subtotal | 8,565 | (1,048) | (1,215) | 10,137 | 10,924 | 6,302 | 6,677 | ||||||||||||||||||||||||||||||||||
Tax on Adjustments (25% effective tax rate) | 2,141 | (262) | (304) | 2,534 | 2,731 | 1,576 | 1,669 | ||||||||||||||||||||||||||||||||||
Adjustments, net of tax | 6,424 | (786) | (911) | 7,603 | 8,193 | 4,727 | 5,008 | ||||||||||||||||||||||||||||||||||
Adjusted net income (Non-GAAP) | $ | 24,934 | $ | 23,199 | $ | 23,253 | $ | 23,908 | $ | 16,017 | $ | 71,386 | $ | 49,355 | |||||||||||||||||||||||||||
Adjusted diluted EPS (Non-GAAP) | $ | 1.74 | $ | 1.67 | $ | 1.64 | $ | 1.83 | $ | 1.49 | $ | 5.05 | $ | 4.70 | |||||||||||||||||||||||||||
Tangible Assets: | |||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 8,895,916 | $ | 7,370,252 | $ | 7,320,212 | $ | 7,695,037 | $ | 6,407,820 | |||||||||||||||||||||||||||||||
Goodwill and other intangibles, net | 407,117 | 336,721 | 338,068 | 339,492 | 269,954 | ||||||||||||||||||||||||||||||||||||
Tangible assets | $ | 8,488,799 | $ | 7,033,531 | $ | 6,982,144 | $ | 7,355,545 | $ | 6,137,866 | |||||||||||||||||||||||||||||||
Tangible Common Equity: | |||||||||||||||||||||||||||||||||||||||||
Stockholders’ equity (common) | $ | 938,463 | $ | 839,387 | $ | 836,310 | $ | 891,891 | $ | 729,278 | |||||||||||||||||||||||||||||||
Goodwill and other intangibles, net | 407,117 | 336,721 | 338,068 | 339,492 | 269,954 | ||||||||||||||||||||||||||||||||||||
Tangible common equity | $ | 531,346 | $ | 502,666 | $ | 498,242 | $ | 552,399 | $ | 459,324 | |||||||||||||||||||||||||||||||
Average Tangible Common Equity: | |||||||||||||||||||||||||||||||||||||||||
Stockholders’ equity (common) | $ | 890,205 | $ | 837,975 | $ | 861,319 | $ | 784,666 | $ | 608,946 | $ | 863,272 | $ | 568,390 | |||||||||||||||||||||||||||
Goodwill and other intangibles, net | 363,211 | 337,289 | 338,694 | 294,051 | 201,748 | 346,488 | 183,632 | ||||||||||||||||||||||||||||||||||
Average tangible common equity | $ | 526,994 | $ | 500,686 | $ | 522,625 | $ | 490,615 | $ | 407,198 | $ | 516,784 | $ | 384,758 |
For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||
2022 | 2021 | ||||||||||||||||||||||||||||||||||
(in thousands) | Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate | |||||||||||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||||||||||||
Interest-earning assets | |||||||||||||||||||||||||||||||||||
Commercial PPP Loans | $ | 6,433 | $ | 1,391 | 28.51 | % | $ | 173,463 | $ | 11,123 | 8.46 | % | |||||||||||||||||||||||
All other commercial-based loans | 4,143,934 | 138,881 | 4.42 | % | 2,222,290 | 75,845 | 4.50 | % | |||||||||||||||||||||||||||
Retail-based loans | 825,065 | 27,141 | 4.39 | % | 528,895 | 17,357 | 4.38 | % | |||||||||||||||||||||||||||
Total loans, including loan fees (1)(2) | 4,975,432 | 167,413 | 4.45 | % | 2,924,648 | 104,325 | 4.71 | % | |||||||||||||||||||||||||||
Investment securities: | |||||||||||||||||||||||||||||||||||
Taxable | 1,389,540 | 15,612 | 1.50 | % | 418,897 | 5,935 | 1.89 | % | |||||||||||||||||||||||||||
Tax-exempt (2) | 202,011 | 3,661 | 2.42 | % | 140,691 | 2,252 | 2.13 | % | |||||||||||||||||||||||||||
Total investment securities | 1,591,551 | 19,273 | 1.62 | % | 559,588 | 8,187 | 1.95 | % | |||||||||||||||||||||||||||
Other interest-earning assets | 251,983 | 2,734 | 1.44 | % | 829,382 | 2,140 | 0.34 | % | |||||||||||||||||||||||||||
Total non-loan earning assets | 1,843,534 | 22,007 | 1.59 | % | 1,388,970 | 10,327 | 0.99 | % | |||||||||||||||||||||||||||
Total interest-earning assets | 6,818,966 | $ | 189,420 | 3.67 | % | 4,313,618 | $ | 114,652 | 3.51 | % | |||||||||||||||||||||||||
Other assets, net | 731,928 | 452,047 | |||||||||||||||||||||||||||||||||
Total assets | $ | 7,550,894 | $ | 4,765,665 | |||||||||||||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||||||||||||||||
Interest-bearing liabilities | |||||||||||||||||||||||||||||||||||
Savings | $ | 854,307 | $ | 827 | 0.13 | % | $ | 595,385 | $ | 272 | 0.06 | % | |||||||||||||||||||||||
Interest-bearing demand | 1,010,372 | 2,647 | 0.35 | % | 681,079 | 2,114 | 0.41 | % | |||||||||||||||||||||||||||
Money market accounts (“MMA”) | 1,502,038 | 2,132 | 0.19 | % | 889,022 | 363 | 0.05 | % | |||||||||||||||||||||||||||
Core time deposits | 556,970 | 1,240 | 0.30 | % | 318,477 | 2,165 | 0.91 | % | |||||||||||||||||||||||||||
Total interest-bearing core deposits | 3,923,687 | 6,846 | 0.23 | % | 2,483,963 | 4,914 | 0.26 | % | |||||||||||||||||||||||||||
Brokered deposits | 450,311 | 2,394 | 0.71 | % | 284,738 | 2,885 | 1.35 | % | |||||||||||||||||||||||||||
Total interest-bearing deposits | 4,373,998 | 9,240 | 0.28 | % | 2,768,701 | 7,799 | 0.38 | % | |||||||||||||||||||||||||||
Wholesale funding | 239,362 | 7,053 | 3.91 | % | 79,882 | 1,729 | 2.87 | % | |||||||||||||||||||||||||||
Total interest-bearing liabilities | 4,613,360 | 16,293 | 0.47 | % | 2,848,583 | 9,528 | 0.45 | % | |||||||||||||||||||||||||||
Noninterest-bearing demand deposits | 2,034,865 | 1,307,222 | |||||||||||||||||||||||||||||||||
Other liabilities | 39,397 | 41,470 | |||||||||||||||||||||||||||||||||
Stockholders’ equity | 863,272 | 568,390 | |||||||||||||||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 7,550,894 | $ | 4,765,665 | |||||||||||||||||||||||||||||||
Interest rate spread | 3.20 | % | 3.06 | % | |||||||||||||||||||||||||||||||
Net free funds | 0.16 | % | 0.16 | % | |||||||||||||||||||||||||||||||
Tax-equivalent net interest income and net interest margin | $ | 173,127 | 3.36 | % | $ | 105,124 | 3.22 | % | |||||||||||||||||||||||||||
Tax-equivalent adjustment | $ | 1,258 | $ | 728 | |||||||||||||||||||||||||||||||
Net interest income | $ | 171,869 | $ | 104,396 |
For the Three Months Ended September 30, | |||||||||||||||||||||||||||||||||||
2022 | 2021 | ||||||||||||||||||||||||||||||||||
(in thousands) | Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate | |||||||||||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||||||||||||
Interest-earning assets | |||||||||||||||||||||||||||||||||||
Commercial PPP Loans | $ | 605 | $ | 1 | 0.93 | % | $ | 109,318 | $ | 2,310 | 8.27 | % | |||||||||||||||||||||||
All other commercial-based loans | 4,484,746 | 52,673 | 4.60 | % | 2,378,480 | 26,759 | 4.40 | % | |||||||||||||||||||||||||||
Retail-based loans | 905,907 | 10,421 | 4.60 | % | 588,624 | 6,242 | 4.24 | % | |||||||||||||||||||||||||||
Total loans, including loan fees (1)(2) | 5,391,258 | 63,095 | 4.60 | % | 3,076,422 | 35,311 | 4.51 | % | |||||||||||||||||||||||||||
Investment securities: | |||||||||||||||||||||||||||||||||||
Taxable | 1,391,330 | 5,350 | 1.54 | % | 472,598 | 2,061 | 1.74 | % | |||||||||||||||||||||||||||
Tax-exempt (2) | 234,123 | 1,639 | 2.80 | % | 139,272 | 744 | 2.14 | % | |||||||||||||||||||||||||||
Total investment securities | 1,625,453 | 6,989 | 1.72 | % | 611,870 | 2,805 | 1.83 | % | |||||||||||||||||||||||||||
Other interest-earning assets | 144,409 | 1,127 | 3.09 | % | 1,046,476 | 869 | 0.33 | % | |||||||||||||||||||||||||||
Total non-loan earning assets | 1,769,862 | 8,116 | 1.83 | % | 1,658,346 | 3,674 | 0.88 | % | |||||||||||||||||||||||||||
Total interest-earning assets | 7,161,120 | $ | 71,211 | 3.91 | % | 4,734,768 | $ | 38,985 | 3.24 | % | |||||||||||||||||||||||||
Other assets, net | 695,011 | 511,425 | |||||||||||||||||||||||||||||||||
Total assets | $ | 7,856,131 | $ | 5,246,193 | |||||||||||||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||||||||||||||||||||
Interest-bearing liabilities | |||||||||||||||||||||||||||||||||||
Savings | $ | 899,503 | $ | 488 | 0.22 | % | $ | 662,260 | $ | 100 | 0.06 | % | |||||||||||||||||||||||
Interest-bearing demand | 990,891 | 1,148 | 0.46 | % | 711,442 | 685 | 0.38 | % | |||||||||||||||||||||||||||
MMA | 1,540,610 | 1,309 | 0.34 | % | 962,538 | 135 | 0.06 | % | |||||||||||||||||||||||||||
Core time deposits | 543,444 | 408 | 0.30 | % | 329,012 | 630 | 0.76 | % | |||||||||||||||||||||||||||
Total interest-bearing core deposits | 3,974,448 | 3,353 | 0.33 | % | 2,665,252 | 1,550 | 0.23 | % | |||||||||||||||||||||||||||
Brokered deposits | 468,010 | 1,285 | 1.09 | % | 284,164 | 894 | 1.25 | % | |||||||||||||||||||||||||||
Total interest-bearing deposits | 4,442,458 | 4,638 | 0.41 | % | 2,949,416 | 2,444 | 0.33 | % | |||||||||||||||||||||||||||
Wholesale funding | 287,751 | 3,090 | 4.25 | % | 143,615 | 1,113 | 3.08 | % | |||||||||||||||||||||||||||
Total interest-bearing liabilities | 4,730,209 | 7,728 | 0.65 | % | 3,093,031 | 3,557 | 0.46 | % | |||||||||||||||||||||||||||
Noninterest-bearing demand deposits | 2,200,789 | 1,499,052 | |||||||||||||||||||||||||||||||||
Other liabilities | 34,928 | 45,164 | |||||||||||||||||||||||||||||||||
Stockholders’ equity | 890,205 | 608,946 | |||||||||||||||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 7,856,131 | $ | 5,246,193 | |||||||||||||||||||||||||||||||
Interest rate spread | 3.26 | % | 2.78 | % | |||||||||||||||||||||||||||||||
Net free funds | 0.22 | % | 0.16 | % | |||||||||||||||||||||||||||||||
Tax-equivalent net interest income and net interest margin | $ | 63,483 | 3.48 | % | $ | 35,428 | 2.94 | % | |||||||||||||||||||||||||||
Tax-equivalent adjustment | $ | 493 | $ | 244 | |||||||||||||||||||||||||||||||
Net interest income | $ | 62,990 | $ | 35,184 |
For the Three Months Ended September 30, 2022 Compared to September 30, 2021: | For the Nine Months Ended September 30, 2022 Compared to September 30, 2021: | ||||||||||||||||||||||||||||||||||
Increase (Decrease) Due to Changes in | Increase (Decrease) Due to Changes in | ||||||||||||||||||||||||||||||||||
(in thousands) | Volume | Rate | Net (1) | Volume | Rate | Net (1) | |||||||||||||||||||||||||||||
Interest-earning assets | |||||||||||||||||||||||||||||||||||
Commercial PPP Loans | $ | (1,220) | $ | (1,089) | $ | (2,309) | $ | (18,046) | $ | 8,314 | $ | (9,732) | |||||||||||||||||||||||
All other commercial-based loans | 24,677 | 1,237 | 25,914 | 77,726 | (14,690) | 63,036 | |||||||||||||||||||||||||||||
Retail-based loans | 3,562 | 617 | 4,179 | 9,667 | 117 | 9,784 | |||||||||||||||||||||||||||||
Total loans (2) | 27,019 | 765 | 27,784 | 69,347 | (6,259) | 63,088 | |||||||||||||||||||||||||||||
Investment securities: | |||||||||||||||||||||||||||||||||||
Taxable | 2,871 | 418 | 3,289 | 9,228 | 449 | 9,677 | |||||||||||||||||||||||||||||
Tax-exempt (2) | 615 | 280 | 895 | 1,081 | 328 | 1,409 | |||||||||||||||||||||||||||||
Total investment securities | 3,486 | 698 | 4,184 | 10,309 | 777 | 11,086 | |||||||||||||||||||||||||||||
Other interest-earning assets | (454) | 712 | 258 | (343) | 937 | 594 | |||||||||||||||||||||||||||||
Total non-loan earning assets | 3,032 | 1,410 | 4,442 | 9,966 | 1,714 | 11,680 | |||||||||||||||||||||||||||||
Total interest-earning assets | $ | 30,051 | $ | 2,175 | $ | 32,226 | $ | 79,313 | $ | (4,545) | $ | 74,768 | |||||||||||||||||||||||
Interest-bearing liabilities | |||||||||||||||||||||||||||||||||||
Savings | $ | 47 | $ | 341 | $ | 388 | $ | 155 | $ | 400 | $ | 555 | |||||||||||||||||||||||
Interest-bearing demand | 305 | 158 | 463 | 901 | (368) | 533 | |||||||||||||||||||||||||||||
MMA | 125 | 1,049 | 1,174 | 385 | 1,384 | 1,769 | |||||||||||||||||||||||||||||
Core time deposits | 278 | (500) | (222) | 1,047 | (1,972) | (925) | |||||||||||||||||||||||||||||
Total interest-bearing core deposits | 755 | 1,048 | 1,803 | 2,488 | (556) | 1,932 | |||||||||||||||||||||||||||||
Brokered deposits | 516 | (125) | 391 | 1,239 | (1,730) | (491) | |||||||||||||||||||||||||||||
Total interest-bearing deposits | 1,271 | 923 | 2,194 | 3,727 | (2,286) | 1,441 | |||||||||||||||||||||||||||||
Wholesale funding | 1,395 | 582 | 1,977 | 4,735 | 589 | 5,324 | |||||||||||||||||||||||||||||
Total interest-bearing liabilities | 2,666 | 1,505 | 4,171 | 8,462 | (1,697) | 6,765 | |||||||||||||||||||||||||||||
Net interest income | $ | 27,385 | $ | 670 | $ | 28,055 | $ | 70,851 | $ | (2,848) | $ | 68,003 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 2022 | 2021 | $ Change | % Change | 2022 | 2021 | $ Change | % Change | |||||||||||||||||||||||||||||||||||||||
Trust services fee income | $ | 1,969 | $ | 2,043 | $ | (74) | (4) | % | $ | 5,984 | $ | 5,724 | $ | 260 | 5 | % | |||||||||||||||||||||||||||||||
Brokerage fee income | 3,040 | 3,154 | (114) | (4) | 9,716 | 8,938 | 778 | 9 | |||||||||||||||||||||||||||||||||||||||
Mortgage income, net | 1,728 | 4,808 | (3,080) | (64) | 7,186 | 17,637 | (10,451) | (59) | |||||||||||||||||||||||||||||||||||||||
Service charges on deposit accounts | 1,589 | 1,314 | 275 | 21 | 4,602 | 3,541 | 1,061 | 30 | |||||||||||||||||||||||||||||||||||||||
Card interchange income | 3,012 | 2,299 | 713 | 31 | 8,543 | 6,492 | 2,051 | 32 | |||||||||||||||||||||||||||||||||||||||
BOLI income | 966 | 572 | 394 | 69 | 2,667 | 1,658 | 1,009 | 61 | |||||||||||||||||||||||||||||||||||||||
LSR income, net | (517) | — | (517) | N/M | (1,042) | — | (1,042) | N/M | |||||||||||||||||||||||||||||||||||||||
Other income | 1,259 | 993 | 266 | 27 | 2,548 | 3,594 | (1,046) | (29) | |||||||||||||||||||||||||||||||||||||||
Noninterest income without net gains | 13,046 | 15,183 | (2,137) | (14) | 40,204 | 47,584 | (7,380) | (16) | |||||||||||||||||||||||||||||||||||||||
Asset gains (losses), net | (46) | (1,187) | 1,141 | N/M | 2,870 | 3,716 | (846) | (23) | |||||||||||||||||||||||||||||||||||||||
Total noninterest income | $ | 13,000 | $ | 13,996 | $ | (996) | (7) | % | $ | 43,074 | $ | 51,300 | $ | (8,226) | (16) | % | |||||||||||||||||||||||||||||||
Trust services fee income & Brokerage fee income combined | $ | 5,009 | $ | 5,197 | $ | (188) | (4) | % | $ | 15,700 | $ | 14,662 | $ | 1,038 | 7 | % |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||
($ in thousands) | 2022 | 2021 | Change | % Change | 2022 | 2021 | Change | % Change | |||||||||||||||||||||||||||||||||||||||
Personnel | $ | 24,136 | $ | 16,927 | $ | 7,209 | 43 | % | $ | 65,008 | $ | 49,127 | $ | 15,881 | 32 | % | |||||||||||||||||||||||||||||||
Occupancy, equipment and office | 7,641 | 5,749 | 1,892 | 33 | 21,476 | 13,939 | 7,537 | 54 | |||||||||||||||||||||||||||||||||||||||
Business development and marketing | 2,281 | 1,654 | 627 | 38 | 6,169 | 3,853 | 2,316 | 60 | |||||||||||||||||||||||||||||||||||||||
Data processing | 3,664 | 2,939 | 725 | 25 | 10,647 | 8,408 | 2,239 | 27 | |||||||||||||||||||||||||||||||||||||||
Intangibles amortization | 1,628 | 758 | 870 | 115 | 4,399 | 2,400 | 1,999 | 83 | |||||||||||||||||||||||||||||||||||||||
FDIC assessments | 480 | 480 | — | — | 1,440 | 1,555 | (115) | (7) | |||||||||||||||||||||||||||||||||||||||
Merger-related expense | 519 | 2,793 | (2,274) | (81) | 1,172 | 3,449 | (2,277) | (66) | |||||||||||||||||||||||||||||||||||||||
Other expense | 2,218 | 1,761 | 457 | 26 | 6,344 | 7,158 | (814) | (11) | |||||||||||||||||||||||||||||||||||||||
Total noninterest expense | $ | 42,567 | $ | 33,061 | $ | 9,506 | 29 | % | $ | 116,655 | $ | 89,889 | $ | 26,766 | 30 | % | |||||||||||||||||||||||||||||||
Non-personnel expenses | $ | 18,431 | $ | 16,134 | $ | 2,297 | 14 | % | $ | 51,647 | $ | 40,762 | $ | 10,885 | 27 | % | |||||||||||||||||||||||||||||||
Average full-time equivalent (“FTE”) employees | 907 | 646 | 261 | 40 | % | 863 | 591 | 272 | 46 | % |
September 30, 2022 | December 31, 2021 | September 30, 2021 | |||||||||||||||||||||||||||||||||
(in thousands) | Amount | % of Total | Amount | % of Total | Amount | % of Total | |||||||||||||||||||||||||||||
Commercial & industrial | $ | 1,268,252 | 21 | % | $ | 1,042,256 | 23 | % | $ | 956,257 | 27 | % | |||||||||||||||||||||||
Owner-occupied CRE | 954,933 | 16 | 787,189 | 17 | 697,816 | 20 | |||||||||||||||||||||||||||||
Agricultural | 1,017,498 | 17 | 794,728 | 17 | 112,409 | 3 | |||||||||||||||||||||||||||||
Commercial | 3,240,683 | 54 | 2,624,173 | 57 | 1,766,482 | 50 | |||||||||||||||||||||||||||||
CRE investment | 1,132,951 | 19 | 818,061 | 18 | 662,871 | 19 | |||||||||||||||||||||||||||||
Construction & land development | 306,446 | 5 | 213,035 | 5 | 173,971 | 5 | |||||||||||||||||||||||||||||
Commercial real estate | 1,439,397 | 24 | 1,031,096 | 23 | 836,842 | 24 | |||||||||||||||||||||||||||||
Commercial-based loans | 4,680,080 | 78 | 3,655,269 | 80 | 2,603,324 | 74 | |||||||||||||||||||||||||||||
Residential construction | 101,286 | 2 | 70,353 | 1 | 59,611 | 2 | |||||||||||||||||||||||||||||
Residential first mortgage | 970,384 | 16 | 713,983 | 15 | 688,491 | 19 | |||||||||||||||||||||||||||||
Residential junior mortgage | 176,428 | 3 | 131,424 | 3 | 130,279 | 4 | |||||||||||||||||||||||||||||
Residential real estate | 1,248,098 | 21 | 915,760 | 19 | 878,381 | 25 | |||||||||||||||||||||||||||||
Retail & other | 56,259 | 1 | 50,807 | 1 | 51,493 | 1 | |||||||||||||||||||||||||||||
Retail-based loans | 1,304,357 | 22 | 966,567 | 20 | 929,874 | 26 | |||||||||||||||||||||||||||||
Total loans | $ | 5,984,437 | 100 | % | $ | 4,621,836 | 100 | % | $ | 3,533,198 | 100 | % |
Nine Months Ended | Year Ended | ||||||||||||||||
(in thousands) | September 30, 2022 | September 30, 2021 | December 31, 2021 | ||||||||||||||
ACL-Loans: | |||||||||||||||||
Balance at beginning of period | $ | 49,672 | $ | 32,173 | $ | 32,173 | |||||||||||
ACL on PCD loans acquired | 1,709 | 1,896 | 5,159 | ||||||||||||||
Provision for credit losses | 9,100 | 4,500 | 12,500 | ||||||||||||||
Charge-offs | (442) | (436) | (513) | ||||||||||||||
Recoveries | 309 | 266 | 353 | ||||||||||||||
Net (charge-offs) recoveries | (133) | (170) | (160) | ||||||||||||||
Balance at end of period | $ | 60,348 | $ | 38,399 | $ | 49,672 | |||||||||||
Net loan (charge-offs) recoveries: | |||||||||||||||||
Commercial & industrial | $ | (49) | $ | (31) | $ | 50 | |||||||||||
Owner-occupied CRE | (36) | — | — | ||||||||||||||
Agricultural | — | (48) | (48) | ||||||||||||||
CRE investment | 169 | (2) | (2) | ||||||||||||||
Construction & land development | — | — | — | ||||||||||||||
Residential construction | — | — | — | ||||||||||||||
Residential first mortgage | (58) | (34) | (93) | ||||||||||||||
Residential junior mortgage | 9 | 4 | 4 | ||||||||||||||
Retail & other | (168) | (59) | (71) | ||||||||||||||
Total net (charge-offs) recoveries | $ | (133) | $ | (170) | $ | (160) | |||||||||||
Ratios: | |||||||||||||||||
ACL-Loans to total loans | 1.01 | % | 1.09 | % | 1.07 | % | |||||||||||
Net charge-offs to average loans, annualized | 0.00 | % | 0.01 | % | 0.01 | % |
(in thousands) | September 30, 2022 | December 31, 2021 | September 30, 2021 | ||||||||||||||
Nonperforming loans: | |||||||||||||||||
Commercial & industrial | $ | 3,052 | $ | 1,908 | $ | 1,778 | |||||||||||
Owner-occupied CRE | 5,806 | 4,220 | 2,990 | ||||||||||||||
Agricultural | 20,646 | 28,367 | 1,782 | ||||||||||||||
Commercial | 29,504 | 34,495 | 6,550 | ||||||||||||||
CRE investment | 3,343 | 4,119 | 4,249 | ||||||||||||||
Construction & land development | 794 | 1,071 | 1,093 | ||||||||||||||
Commercial real estate | 4,137 | 5,190 | 5,342 | ||||||||||||||
Commercial-based loans | 33,641 | 39,685 | 11,892 | ||||||||||||||
Residential construction | — | — | — | ||||||||||||||
Residential first mortgage | 4,309 | 4,132 | 4,495 | ||||||||||||||
Residential junior mortgage | 277 | 243 | 232 | ||||||||||||||
Residential real estate | 4,586 | 4,375 | 4,727 | ||||||||||||||
Retail & other | 99 | 94 | 96 | ||||||||||||||
Retail-based loans | 4,685 | 4,469 | 4,823 | ||||||||||||||
Total nonaccrual loans | 38,326 | 44,154 | 16,715 | ||||||||||||||
Accruing loans past due 90 days or more | — | — | — | ||||||||||||||
Total nonperforming loans | $ | 38,326 | $ | 44,154 | $ | 16,715 | |||||||||||
Nonaccrual loans (included above) covered by guarantees | $ | 5,493 | $ | 6,776 | $ | 1,729 | |||||||||||
OREO: | |||||||||||||||||
Commercial real estate owned | $ | 628 | $ | 1,549 | $ | 1,219 | |||||||||||
Residential real estate owned | — | 99 | 355 | ||||||||||||||
Bank property real estate owned | 1,506 | 10,307 | 2,895 | ||||||||||||||
Total OREO | 2,134 | 11,955 | 4,469 | ||||||||||||||
Total nonperforming assets | $ | 40,460 | $ | 56,109 | $ | 21,184 | |||||||||||
Performing troubled debt restructurings | $ | — | $ | 5,443 | $ | 2,103 | |||||||||||
Ratios: | |||||||||||||||||
Nonperforming loans to total loans | 0.64 | % | 0.96 | % | 0.47 | % | |||||||||||
Nonperforming assets to total loans plus OREO | 0.68 | % | 1.21 | % | 0.60 | % | |||||||||||
Nonperforming assets to total assets | 0.45 | % | 0.73 | % | 0.33 | % | |||||||||||
ACL-Loans to nonperforming loans | 157 | % | 112 | % | 230 | % |
September 30, 2022 | December 31, 2021 | September 30, 2021 | |||||||||||||||||||||||||||||||||
(in thousands) | Amount | % of Total | Amount | % of Total | Amount | % of Total | |||||||||||||||||||||||||||||
Noninterest-bearing demand | $ | 2,477,507 | 33 | % | $ | 1,975,705 | 31 | % | $ | 1,852,119 | 34 | % | |||||||||||||||||||||||
Money market and interest-bearing demand | 3,012,405 | 41 | % | 2,834,824 | 44 | % | 2,154,557 | 40 | % | ||||||||||||||||||||||||||
Savings | 939,832 | 13 | % | 803,197 | 12 | % | 775,281 | 14 | % | ||||||||||||||||||||||||||
Time | 966,158 | 13 | % | 852,190 | 13 | % | 646,817 | 12 | % | ||||||||||||||||||||||||||
Total deposits | $ | 7,395,902 | 100 | % | $ | 6,465,916 | 100 | % | $ | 5,428,774 | 100 | % | |||||||||||||||||||||||
Brokered transaction accounts | $ | 252,891 | 3 | % | $ | 234,306 | 4 | % | $ | 152,858 | 3 | % | |||||||||||||||||||||||
Brokered and listed time deposits | 386,101 | 5 | % | 209,857 | 3 | % | 204,202 | 4 | % | ||||||||||||||||||||||||||
Total brokered deposits | $ | 638,992 | 8 | % | $ | 444,163 | 7 | % | $ | 357,060 | 7 | % | |||||||||||||||||||||||
Customer transaction accounts | $ | 6,176,853 | 84 | % | $ | 5,379,420 | 83 | % | $ | 4,629,099 | 85 | % | |||||||||||||||||||||||
Customer time deposits | 580,057 | 8 | % | 642,333 | 10 | % | 442,615 | 8 | % | ||||||||||||||||||||||||||
Total customer deposits (core) | $ | 6,756,910 | 92 | % | $ | 6,021,753 | 93 | % | $ | 5,071,714 | 93 | % |
(in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
Commitments to extend credit | $ | 1,854,064 | $ | 1,433,881 | |||||||
Financial standby letters of credit | 26,250 | 13,562 | |||||||||
Performance standby letters of credit | 9,059 | 7,336 |
September 30, 2022 | December 31, 2021 | ||||||||||
200 bps decrease in interest rates | (1.7) | % | (0.3) | % | |||||||
100 bps decrease in interest rates | (0.7) | % | (0.3) | % | |||||||
100 bps increase in interest rates | 0.5 | % | (0.1) | % | |||||||
200 bps increase in interest rates | 1.1 | % | (0.3) | % |
At or for the Nine Months Ended | At or for the Year Ended | ||||||||||
($ in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
Company Stock Repurchases: * | |||||||||||
Common stock repurchased during the period (dollars) | $ | 60,697 | $ | 61,464 | |||||||
Common stock repurchased during the period (full shares) | 661,662 | 793,064 | |||||||||
Company Risk-Based Capital: | |||||||||||
Total risk-based capital | $ | 855,119 | $ | 793,410 | |||||||
Tier 1 risk-based capital | 651,016 | 604,199 | |||||||||
Common equity Tier 1 capital | 613,284 | 567,095 | |||||||||
Total capital ratio | 12.0 | % | 13.8 | % | |||||||
Tier 1 capital ratio | 9.2 | % | 10.5 | % | |||||||
Common equity tier 1 capital ratio | 8.6 | % | 9.9 | % | |||||||
Tier 1 leverage ratio | 8.6 | % | 9.4 | % | |||||||
Bank Risk-Based Capital: | |||||||||||
Total risk-based capital | $ | 801,952 | $ | 700,869 | |||||||
Tier 1 risk-based capital | 750,572 | 664,688 | |||||||||
Common equity Tier 1 capital | 750,572 | 664,688 | |||||||||
Total capital ratio | 11.3 | % | 12.2 | % | |||||||
Tier 1 capital ratio | 10.6 | % | 11.6 | % | |||||||
Common equity tier 1 capital ratio | 10.6 | % | 11.6 | % | |||||||
Tier 1 leverage ratio | 10.0 | % | 10.3 | % | |||||||
* Reflects common stock repurchased under board of director authorizations for the common stock repurchase program. |
Total Number of Shares Purchased (a) | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs (b) | ||||||||||||||||||||
(#) | ($) | (#) | (#) | ||||||||||||||||||||
Period | |||||||||||||||||||||||
July 1 – July 31, 2022 | — | $ | — | — | |||||||||||||||||||
August 1 – August 31, 2022 | — | $ | — | — | |||||||||||||||||||
September 1 – September 30, 2022 | 72 | $ | 76.66 | — | |||||||||||||||||||
Total | 72 | $ | 76.66 | — | 686,000 |
Exhibit Number | Description | |||||||
2.1 | ||||||||
31.1 | ||||||||
31.2 | ||||||||
32.1 | ||||||||
32.2 | ||||||||
101.INS | The XBRL Instance Document does not appear in the Interactive Date File because its XBRL tags are embedded within the Inline XBRL document (2) | |||||||
101.SCH | Inline XBRL Taxonomy Extension Schema Document | |||||||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |||||||
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | |||||||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | |||||||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |||||||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
NICOLET BANKSHARES, INC. | |||||
November 1, 2022 | /s/ Michael E. Daniels | ||||
Michael E. Daniels | |||||
President and Chief Executive Officer | |||||
November 1, 2022 | /s/ H. Phillip Moore, Jr. | ||||
H. Phillip Moore, Jr. | |||||
Chief Financial Officer |
November 1, 2022 | /s/ Michael E. Daniels | ||||
Michael E. Daniels | |||||
President and Chief Executive Officer | |||||
(Principal Executive Officer) |
November 1, 2022 | /s/ H. Phillip Moore, Jr. | ||||
H. Phillip Moore, Jr. | |||||
Chief Financial Officer | |||||
(Principal Financial and Accounting Officer) |
November 1, 2022 | /s/ Michael E. Daniels | ||||
Michael E. Daniels | |||||
President and Chief Executive Officer |
November 1, 2022 | /s/ H. Phillip Moore, Jr. | ||||
H. Phillip Moore, Jr. | |||||
Chief Financial Officer |
Consolidated Balance Sheets (Parentheticals) - $ / shares |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Common shares, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Consolidated Statements of Income - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Interest income: | ||||
Loans, including loan fees | $ 63,060 | $ 35,294 | $ 167,313 | $ 104,267 |
Investment securities: | ||||
Taxable | 5,350 | 2,061 | 15,612 | 5,935 |
Tax-exempt | 1,181 | 517 | 2,503 | 1,582 |
Other interest income | 1,127 | 869 | 2,734 | 2,140 |
Total interest income | 70,718 | 38,741 | 188,162 | 113,924 |
Interest expense: | ||||
Deposits | 4,638 | 2,444 | 9,240 | 7,799 |
Short-term borrowings | 594 | 0 | 622 | 0 |
Long-term borrowings | 2,496 | 1,113 | 6,431 | 1,729 |
Total interest expense | 7,728 | 3,557 | 16,293 | 9,528 |
Net interest income | 62,990 | 35,184 | 171,869 | 104,396 |
Provision for credit losses | 8,600 | 6,000 | 9,650 | 6,500 |
Net interest income after provision for credit losses | 54,390 | 29,184 | 162,219 | 97,896 |
Noninterest income: | ||||
Mortgage income, net | 1,728 | 4,808 | 7,186 | 17,637 |
BOLI income | 966 | 572 | 2,667 | 1,658 |
Asset gains (losses), net | (46) | (1,187) | 2,870 | 3,716 |
Other income | 742 | 993 | 1,506 | 3,594 |
Total noninterest income | 13,000 | 13,996 | 43,074 | 51,300 |
Noninterest expense: | ||||
Personnel | 24,136 | 16,927 | 65,008 | 49,127 |
Occupancy, equipment and office | 7,641 | 5,749 | 21,476 | 13,939 |
Business development and marketing | 2,281 | 1,654 | 6,169 | 3,853 |
Data processing | 3,664 | 2,939 | 10,647 | 8,408 |
Intangibles amortization | 1,628 | 758 | 4,399 | 2,400 |
FDIC assessments | 480 | 480 | 1,440 | 1,555 |
Merger-related expense | 519 | 2,793 | 1,172 | 3,449 |
Other expense | 2,218 | 1,761 | 6,344 | 7,158 |
Total noninterest expense | 42,567 | 33,061 | 116,655 | 89,889 |
Income before income tax expense | 24,823 | 10,119 | 88,638 | 59,307 |
Income tax expense | 6,313 | 2,295 | 21,979 | 14,960 |
Net income | $ 18,510 | $ 7,824 | $ 66,659 | $ 44,347 |
Earnings per common share: | ||||
Basic (in dollars per share) | $ 1.33 | $ 0.75 | $ 4.88 | $ 4.39 |
Diluted (in dollars per share) | $ 1.29 | $ 0.73 | $ 4.72 | $ 4.22 |
Weighted average common shares outstanding: | ||||
Basic (in shares) | 13,890,066 | 10,391,896 | 13,647,973 | 10,098,492 |
Diluted (in shares) | 14,310,275 | 10,775,591 | 14,126,772 | 10,503,163 |
Trust services fee income | ||||
Noninterest income: | ||||
Fees and commissions | $ 1,969 | $ 2,043 | $ 5,984 | $ 5,724 |
Brokerage fee income | ||||
Noninterest income: | ||||
Fees and commissions | 3,040 | 3,154 | 9,716 | 8,938 |
Service charges on deposit accounts | ||||
Noninterest income: | ||||
Fees and commissions | 1,589 | 1,314 | 4,602 | 3,541 |
Card interchange income | ||||
Noninterest income: | ||||
Fees and commissions | $ 3,012 | $ 2,299 | $ 8,543 | $ 6,492 |
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
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Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 18,510 | $ 7,824 | $ 66,659 | $ 44,347 |
Unrealized gains (losses) on securities AFS: | ||||
Net unrealized holding gains (losses) | (26,162) | (3,074) | (89,630) | (8,581) |
Net realized (gains) losses included in income | 0 | 13 | (15) | 13 |
Income tax (expense) benefit | 7,064 | 827 | 24,204 | 2,313 |
Other comprehensive income (loss) | (19,098) | (2,234) | (65,441) | (6,255) |
Comprehensive income (loss) | $ (588) | $ 5,590 | $ 1,218 | $ 38,092 |
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands |
Total |
Common Stock |
Additional Paid-In Capital |
Retained Earnings |
Accumulated Other Comprehensive Income (Loss) |
---|---|---|---|---|---|
Beginning Balance at Dec. 31, 2020 | $ 539,189 | $ 100 | $ 273,390 | $ 252,952 | $ 12,747 |
Comprehensive income: | |||||
Net income | 44,347 | 44,347 | |||
Other comprehensive income (loss) | (6,255) | (6,255) | |||
Issuance of common stock in acquisition | 179,434 | 23 | 179,411 | ||
Stock-based compensation expense | 5,222 | 5,222 | |||
Exercise of stock options, net | 1,386 | 1 | 1,385 | ||
Issuance of common stock | 395 | 395 | |||
Purchase and retirement of common stock | (34,440) | (4) | (34,436) | ||
Ending Balance at Sep. 30, 2021 | 729,278 | 120 | 425,367 | 297,299 | 6,492 |
Beginning Balance at Jun. 30, 2021 | 559,395 | 98 | 261,096 | 289,475 | 8,726 |
Comprehensive income: | |||||
Net income | 7,824 | 7,824 | |||
Other comprehensive income (loss) | (2,234) | (2,234) | |||
Issuance of common stock in acquisition | 179,434 | 23 | 179,411 | ||
Stock-based compensation expense | 1,826 | 1,826 | |||
Exercise of stock options, net | 161 | 1 | 160 | ||
Issuance of common stock | 163 | 163 | |||
Purchase and retirement of common stock | (17,291) | (2) | (17,289) | ||
Ending Balance at Sep. 30, 2021 | 729,278 | 120 | 425,367 | 297,299 | 6,492 |
Beginning Balance at Dec. 31, 2021 | 891,891 | 140 | 575,045 | 313,604 | 3,102 |
Comprehensive income: | |||||
Net income | 66,659 | 66,659 | |||
Other comprehensive income (loss) | (65,441) | (65,441) | |||
Issuance of common stock in acquisition | 98,149 | 13 | 98,136 | ||
Stock-based compensation expense | 5,282 | 5,282 | |||
Exercise of stock options, net | 2,078 | 1 | 2,077 | ||
Issuance of common stock | 557 | 557 | |||
Purchase and retirement of common stock | (60,712) | (7) | (60,705) | ||
Ending Balance at Sep. 30, 2022 | 938,463 | 147 | 620,392 | 380,263 | (62,339) |
Beginning Balance at Jun. 30, 2022 | 839,387 | 134 | 520,741 | 361,753 | (43,241) |
Comprehensive income: | |||||
Net income | 18,510 | 18,510 | |||
Other comprehensive income (loss) | (19,098) | (19,098) | |||
Issuance of common stock in acquisition | 98,149 | 13 | 98,136 | ||
Stock-based compensation expense | 1,329 | 1,329 | |||
Exercise of stock options, net | 1 | 1 | |||
Issuance of common stock | 185 | 185 | |||
Ending Balance at Sep. 30, 2022 | $ 938,463 | $ 147 | $ 620,392 | $ 380,263 | $ (62,339) |
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands |
9 Months Ended | |||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
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Cash Flows From Operating Activities: | ||||
Net income | $ 66,659 | $ 44,347 | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||
Depreciation, amortization, and accretion | 16,994 | 9,301 | ||
Provision for credit losses | 9,650 | 6,500 | ||
Increase in cash surrender value of life insurance | (2,551) | (1,658) | ||
Stock-based compensation expense | 5,282 | 5,222 | ||
Asset (gains) losses, net | (2,870) | (3,716) | ||
Gain on sale of loans held for sale, net | (4,520) | (16,289) | ||
Net change due to: | ||||
Proceeds from sale of loans held for sale | 188,093 | 503,405 | ||
Origination of loans held for sale | (182,962) | (485,641) | ||
Accrued interest receivable and other assets | 7,719 | (6,721) | ||
Accrued interest payable and other liabilities | (14,145) | (2,488) | ||
Net cash provided by (used in) operating activities | 87,349 | 52,262 | ||
Cash Flows From Investing Activities: | ||||
Net increase in loans | (537,001) | 10,406 | ||
Net (increase) decrease in certificates of deposit in other banks | 8,419 | 8,561 | ||
Purchases of securities AFS | (8,623) | (214,343) | ||
Purchases of securities HTM | (56,479) | (20,996) | ||
Proceeds from sales of securities AFS | 23,984 | 15,975 | ||
Proceeds from calls and maturities of securities AFS | 70,781 | 81,681 | ||
Proceeds from calls and maturities of securities HTM | 21,378 | 0 | ||
Purchases of other investments | (30,327) | (4,787) | ||
Proceeds from sales of other investments | 4,014 | 1,534 | ||
Proceeds from redemption of BOLI | 578 | 0 | ||
Net (increase) decrease in premises and equipment | (7,965) | (6,894) | ||
Net (increase) decrease in other real estate and other assets | 9,785 | 1,046 | ||
Net cash (paid) received in branch sale | 147,833 | 0 | ||
Cash paid in business combination | (28,221) | |||
Cash received in business combination | 394,868 | |||
Net cash provided by (used in) investing activities | (381,844) | 267,051 | ||
Cash Flows From Financing Activities: | ||||
Net increase (decrease) in deposits | 68,428 | 199,698 | ||
Net increase (decrease) in short-term borrowings | 147,134 | 0 | ||
Proceeds from long-term borrowings | 0 | 103,953 | ||
Repayments of long-term borrowings | (20,000) | (42,559) | ||
Purchase and retirement of common stock | (60,712) | (34,440) | ||
Proceeds from issuance of common stock | 557 | 395 | ||
Proceeds from exercise of stock options | 2,078 | 1,386 | ||
Net cash provided by (used in) financing activities | 137,485 | 228,433 | ||
Net increase (decrease) in cash and cash equivalents | (157,010) | 547,746 | ||
Cash and cash equivalents: | ||||
Beginning | 595,292 | 802,859 | ||
Ending | [1] | 438,282 | 1,350,605 | |
Supplemental Disclosures of Cash Flow Information: | ||||
Cash paid for interest | 19,785 | 9,320 | ||
Cash paid for taxes | 25,660 | 24,116 | ||
Transfer of loans and bank premises to other real estate owned | 432 | 302 | ||
Capitalized mortgage servicing rights | 2,127 | 3,191 | ||
Acquisitions: | ||||
Fair value of assets acquired | 1,118,000 | 1,556,000 | ||
Fair value of liabilities assumed | 1,034,000 | 1,409,000 | ||
Net assets acquired | $ 84,000 | $ 147,000 | ||
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Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) - USD ($) $ in Millions |
Sep. 30, 2022 |
Sep. 30, 2021 |
---|---|---|
Statement of Cash Flows [Abstract] | ||
Restricted cash and cash equivalents | $ 0.0 | $ 1.9 |
Basis of Presentation |
9 Months Ended |
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Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation General In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments necessary to present fairly the consolidated balance sheets, statements of income, comprehensive income (loss), changes in stockholders’ equity and cash flows of Nicolet Bankshares, Inc. (the “Company” or “Nicolet”) and its subsidiaries, as of and for the periods presented, and all such adjustments are of a normal recurring nature. All material intercompany transactions and balances have been eliminated. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the entire year. These interim consolidated financial statements have been prepared according to the rules and regulations of the Securities and Exchange Commission and, therefore, certain information and footnote disclosures normally presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) have been omitted or abbreviated. These consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Critical Accounting Policies and Estimates Preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying disclosures. These estimates are based on management’s best knowledge of current events and actions the Company may undertake in the future. Estimates are used in accounting for, among other items, the allowance for credit losses, valuation of loans in acquisition transactions, useful lives for depreciation and amortization, fair value of financial instruments, impairment calculations, valuation of deferred tax assets, uncertain income tax positions and contingencies. Estimates that are particularly susceptible to significant change for the Company include the determination of the allowance for credit losses, the determination and assessment of deferred tax assets and liabilities, and the valuation of loans acquired in acquisition transactions; therefore, these are critical accounting policies. Factors that may cause sensitivity to the aforementioned estimates include but are not limited to: external market factors such as market interest rates and employment rates, changes to operating policies and procedures, changes in applicable banking or tax regulations, and changes to deferred tax estimates. Actual results may ultimately differ from estimates, although management does not generally believe such differences would materially affect the consolidated financial statements in any individual reporting period presented. There have been no material changes or developments with respect to the assumptions or methodologies that the Company uses when applying what management believes are critical accounting policies and developing critical accounting estimates as disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Future Accounting Pronouncements In March 2022, the FASB issued ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings (“TDRs”) and Vintage Disclosures. This ASU eliminates the accounting guidance for TDRs by creditors, while enhancing the disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. The ASU also requires public business entities to expand the vintage disclosures to include gross charge-offs by year of origination. The updated guidance is effective for fiscal years beginning after December 15, 2022, with early adoption permitted. Adoption of this amendment is not expected to have a material impact on the Company’s consolidated financial statements; though, it will result in new disclosures of gross charge-offs by year of origination and on the types of loan modifications to borrowers experiencing financial difficulties. Current TDR disclosures will be also removed. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. This ASU provides optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. It provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The updated guidance is effective for all entities as of March 12, 2020 through December 31, 2022. The Company continues to work through the cessation of LIBOR, including the modification of its loans and other financial instruments with attributes that are either directly or indirectly influenced by LIBOR. The Company expects to utilize the reference rate reform transition guidance, as applicable, and does not expect such adoption to have a material impact on its consolidated financial statements or financial disclosures. The Company will continue to assess the impact as the reference rate transition approaches June 30, 2023. Reclassifications Certain amounts in the 2021 consolidated financial statements have been reclassified to conform to the 2022 presentation. These reclassifications were not material and did not impact previously reported net income or comprehensive income.
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Acquisitions |
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Business Combination and Asset Acquisition [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisitions | Acquisitions Completed Acquisitions: Charter Bankshares, Inc. (“Charter”): On August 26, 2022, Nicolet completed its merger with Charter, pursuant to the Agreement and Plan of Merger dated March 29, 2022 (the “Charter Merger Agreement”), at which time Charter merged with and into Nicolet, and Charter Bank, the wholly owned bank subsidiary of Charter, was merged with and into Nicolet National Bank (the “Bank”), the wholly owned bank subsidiary of Nicolet. Pursuant to the Charter Merger Agreement, each share of Charter common stock issued and outstanding immediately prior to the effective time of the merger was converted into the right to receive 15.458 shares of Nicolet common stock and $475 in cash. As a result, Nicolet issued approximately 1.26 million shares of Nicolet common stock for stock consideration of $98 million and cash consideration of $39 million, for a total purchase price of $137 million. With the Charter merger, Nicolet expanded to Western Wisconsin and Minnesota. A summary of the assets acquired and liabilities assumed in the Charter transaction, as of the acquisition date, including the purchase price allocation was as follows.
The Company purchased loans through the acquisition of Charter for which there was, at the date of acquisition, more than insignificant deterioration of credit quality since origination (purchased credit deteriorated loans or “PCD” loans). The carrying amount of these loans at acquisition was as follows.
The Company accounted for the Charter acquisition under the acquisition method of accounting, and thus, the financial position and results of operations of Charter prior to the consummation date were not included in the accompanying consolidated financial statements. The accounting required assets purchased and liabilities assumed to be recorded at their respective estimated fair values at the date of acquisition. The estimated fair value was determined with the assistance of third party valuations, appraisals, and third party advisors. Goodwill arising as a result of the Charter acquisition is not deductible for tax purposes. County Bancorp, Inc. (“County”): On December 3, 2021, Nicolet completed its merger with County, pursuant to the Agreement and Plan of Merger dated June 22, 2021 (the “County Merger Agreement”), at which time County merged with and into Nicolet, and Investors Community Bank, the wholly owned bank subsidiary of County, was merged with and into the Bank. Pursuant to the County Merger Agreement, each share of County common stock issued and outstanding immediately prior to the effective time of the merger was converted into the right to receive, at the election of the shareholder, either cash of $37.18 or 0.48 shares of Nicolet common stock, subject to proration procedures such that 1,237,000 shares of County common stock were exchanged for cash, and the remaining shares were exchanged for Nicolet common stock. As a result, Nicolet issued approximately 2.4 million shares of Nicolet common stock for stock consideration of $176 million and cash consideration of $48 million, or a total purchases price of $224 million. With the County merger, Nicolet became the premier agriculture lender throughout Wisconsin. A summary of the assets acquired and liabilities assumed in the County transaction, as of the acquisition date, including the purchase price allocation was as follows.
The Company purchased loans through the acquisition of County for which there was, at the date of acquisition, more than insignificant deterioration of credit quality since origination (PCD loans). The carrying amount of these loans at acquisition was as follows.
The Company accounted for the County acquisition under the acquisition method of accounting, and thus, the financial position and results of operations of County prior to the consummation date were not included in the accompanying consolidated financial statements. The accounting required assets purchased and liabilities assumed to be recorded at their respective estimated fair values at the date of acquisition. The estimated fair value was determined with the assistance of third party valuations, appraisals, and third party advisors. Goodwill arising as a result of the County acquisition is not deductible for tax purposes. Mackinac Financial Corporation (“Mackinac”): On September 3, 2021, Nicolet completed its merger with Mackinac, pursuant to the terms of the Agreement and Plan of Merger dated April 12, 2021 (the “Mackinac Merger Agreement”), at which time Mackinac merged with and into Nicolet, and mBank, the wholly owned bank subsidiary of Mackinac, was merged with and into the Bank. Pursuant to the Mackinac Merger Agreement, Mackinac shareholders received fixed consideration of 0.22 shares of Nicolet common stock and $4.64 in cash for each share of Mackinac common stock owned, resulting in the issuance of approximately 2.3 million shares of Nicolet common stock for stock consideration of $180 million and cash consideration of $49 million, or a total purchase price of $229 million. The Mackinac merger expanded Nicolet prominently into Northern Michigan and the Upper Peninsula of Michigan, and added to Nicolet’s presence in upper northeastern Wisconsin. A summary of the assets acquired and liabilities assumed in the Mackinac transaction, as of the acquisition date, including the purchase price allocation was as follows.
The Company purchased loans through the acquisition of Mackinac for which there was, at the date of acquisition, more than insignificant deterioration of credit quality since origination (PCD loans). The carrying amount of these loans at acquisition was as follows.
The Company accounted for the Mackinac acquisition under the acquisition method of accounting, and thus, the financial position and results of operations of Mackinac prior to the consummation date were not included in the accompanying consolidated financial statements. The accounting required assets purchased and liabilities assumed to be recorded at their respective estimated fair values at the date of acquisition. The estimated fair value was determined with the assistance of third party valuations, appraisals, and third party advisors. Goodwill arising as a result of the Mackinac acquisition is not deductible for tax purposes. Summary Unaudited Pro Forma Information: The following unaudited pro forma information is presented for illustrative purposes only, and gives effect to the acquisitions of County and Mackinac as if the acquisitions had occurred on January 1, 2021, the beginning of the earliest period presented. The pro forma information should not be relied upon as being indicative of the historical results of operations the companies would have had if the acquisitions had occurred before such periods or the future results of operations that the companies will experience as a result of the mergers. The pro forma information, although helpful in illustrating the financial characteristics of the combined company under one set of assumptions, does not reflect the benefits of expected cost savings, opportunities to earn additional revenue, the impact of restructuring and merger-related expenses, or other factors that may result as a consequence of the mergers and, accordingly, does not attempt to predict or suggest future results.
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Earnings per Common Share |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings per Common Share | Earnings per Common Share Basic earnings per common share are calculated by dividing net income by the weighted average number of common shares outstanding during the period. Diluted earnings per common share are calculated by dividing net income by the weighted average number of shares adjusted for the dilutive effect of common stock awards (outstanding stock options and unvested restricted stock), if any. Presented below are the calculations for basic and diluted earnings per common share.
*Cumulative quarterly per share performance may not equal annual per share totals due to the effects of the amount and timing of capital increases. When computing earnings per share for an interim period, the denominator is based on the weighted average shares outstanding during the interim period, and not on an annualized weighted average basis. Accordingly, the sum of the earnings per share data for the quarters will not necessarily equal the year to date earnings per share data. For the three months ended September 30, 2022 and 2021, respectively, options to purchase approximately 0.2 million shares are excluded from the calculation of diluted earnings per common share as the effect of their exercise would have been anti-dilutive. For the nine months ended September 30, 2022 and 2021, respectively, options to purchase approximately 0.1 million shares are excluded from the calculation of diluted earnings per common share as the effect of their exercise would have been anti-dilutive.
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Stock-Based Compensation |
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Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-Based Compensation | Stock-Based Compensation The Company may grant stock options and restricted stock under its stock-based compensation plans to certain officers, employees and directors. These plans are administered by a committee of the Board of Directors, and at September 30, 2022, approximately 0.7 million shares were available for grant under these stock-based compensation plans. A Black-Scholes model is utilized to estimate the fair value of stock option grants, while the market price of the Company’s stock at the date of grant is used to estimate the fair value of restricted stock awards. The weighted average assumptions used in the Black-Scholes model for valuing stock option grants for the nine months ended September 30, 2022 and 2021 were as follows.
A summary of the Company’s stock option activity is summarized below.
* The terms of the stock option agreements permit having a number of shares of stock withheld, the fair market value of which as of the date of exercise is sufficient to satisfy the exercise price and/or tax withholding requirements. For the nine months ended September 30, 2022, 6,073 such shares were withheld by the Company. Intrinsic value represents the amount by which the fair market value of the underlying stock exceeds the exercise price of the stock options. The intrinsic value of options exercised for the nine months ended September 30, 2022 and 2021 was approximately $3.3 million and $1.7 million, respectively. A summary of the Company’s restricted stock activity is summarized below.
* The terms of the restricted stock agreements permit the surrender of shares to the Company upon vesting in order to satisfy applicable tax withholding requirements at the minimum statutory withholding rate, and accordingly, 465 shares were surrendered during the nine months ended September 30, 2022. The Company recognized approximately $4.6 million and $4.5 million of stock-based compensation expense (included in personnel on the consolidated statements of income) for the nine months ended September 30, 2022 and 2021, respectively, associated with its common stock awards granted to officers and employees. In addition, during the nine months ended September 30, 2022, the Company recognized approximately $0.7 million of director expense (included in other expense on the consolidated statements of income) for restricted stock grants totaling 8,852 shares with immediate vesting to directors, while during the first nine months of 2021, the Company recognized approximately $0.7 million of director expense for restricted stock grants totaling 9,595 shares with immediate vesting to directors, in each case representing the annual stock retainer fee paid to external board members for that year. As of September 30, 2022, there was approximately $19.9 million of unrecognized compensation cost related to equity award grants, which is expected to be recognized over the remaining vesting period of approximately four years. The Company recognized a tax benefit of approximately $0.4 million and $0.3 million for the nine months ended September 30, 2022 and 2021, respectively, for the tax impact of stock option exercises and vesting of restricted stock.
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Securities and Other Investments |
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Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities and Other Investments | Securities and Other Investments Securities Securities are classified as AFS or HTM on the consolidated balance sheets at the time of purchase. AFS securities include those securities that the Company intends to hold for an indefinite period of time, but not necessarily to maturity, and are carried at fair value on the consolidated balance sheets. HTM securities include those securities which the Company has both the positive intent and ability to hold to maturity, and are carried at amortized cost on the consolidated balance sheets. Premiums and discounts on investment securities are amortized or accreted into interest income over the estimated life of the related securities using the effective interest method. The amortized cost and fair value of securities AFS and HTM are summarized as follows.
All mortgage-backed securities included in the tables above were issued by U.S. government agencies and corporations. Investment securities with a carrying value of $786 million and $277 million, as of September 30, 2022 and December 31, 2021, respectively, were pledged as collateral to secure public deposits, as applicable, and for liquidity or other purposes as required by regulation. Accrued interest on investment securities totaled $7 million at September 30, 2022 and $5 million at December 31, 2021, and is included in accrued interest receivable and other assets on the consolidated balance sheets. The following table presents gross unrealized losses and the related estimated fair value of investment securities for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time individual securities have been in a continuous unrealized loss position.
Quarterly, the Company evaluates securities AFS in unrealized loss positions to determine whether the impairment is due to credit-related factors or noncredit-related factors. In making this evaluation, management considers the extent to which the fair value has been less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to hold the security for a period of time sufficient to allow for any anticipated recovery in fair value. As of September 30, 2022 and December 31, 2021, no allowance for credit losses on securities AFS was recognized. The Company does not consider its securities AFS with unrealized losses to be attributable to credit-related factors, as the unrealized losses in each category have occurred as a result of changes in noncredit-related factors such as changes in interest rates, market spreads and market conditions subsequent to purchase, not credit deterioration. Furthermore, the Company does not have the intent to sell any of these securities AFS and believes that it is more likely than not that we will not have to sell any such securities before a recovery of cost. The Company also evaluates securities HTM quarterly to determine whether an allowance for credit losses is necessary. In making this determination, management considers the facts and circumstances of the underlying investment securities. The U.S. government agency securities include U.S. Treasury Notes which are guaranteed by the U.S. government. For the state, county and municipal securities, management considers issuer bond ratings, historical loss rates by bond ratings, whether issuers continue to make timely principal and interest payments per the contractual terms of the investment securities, internal forecasts, and whether or not such investment securities provide insurance, other credit enhancement, or are pre-refunded by the issuers. For the mortgage-backed securities, all such securities were issued by U.S. government agencies and corporations, which are currently explicitly or implicitly guaranteed by the U.S. government and have a long history of no credit losses. Therefore, management determined no allowance for credit losses was necessary for the securities HTM. The amortized cost and fair value of investment securities by contractual maturity are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties; as this is particularly inherent in mortgage-backed securities, these securities are not included in the maturity categories below.
Proceeds and realized gains or losses from the sale of AFS securities were as follows.
* Includes proceeds of $21 million recognized on the sale of securities AFS upon acquisition of Charter for which no gain or loss was recognized in the income statement as the securities were marked to fair value through purchase accounting. Other Investments Other investments include “restricted” equity securities, equity securities with readily determinable fair values, and private company securities. As a member of the Federal Reserve Bank System and the Federal Home Loan Bank (“FHLB”) System, Nicolet is required to maintain an investment in the capital stock of these entities. These equity securities are “restricted” in that they can only be sold back to the respective institutions or another member institution at par. Therefore, they are less liquid than other exchange traded equity securities. As no ready market exists for these stocks, and they have no quoted market value, these investments are carried at cost. Also included are investments in other private companies that do not have quoted market prices, which are carried at cost less impairment charges, if any. The carrying value of other investments are summarized as follows.
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Loans, Allowance for Credit Losses - Loans, and Credit Quality |
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Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans, Allowance for Credit Losses - Loans, and Credit Quality | Loans, Allowance for Credit Losses - Loans, and Credit Quality The loan composition is summarized as follows.
Commercial and industrial loans included less than $1 million and $25 million of PPP loans at September 30, 2022 and December 31, 2021, respectively. Accrued interest on loans totaled $14 million and $11 million at September 30, 2022 and December 31, 2021, respectively, and is included in accrued interest receivable and other assets on the consolidated balance sheets. Allowance for Credit Losses - Loans: The majority of the Company’s loans, commitments, and letters of credit have been granted to customers in the Company’s market area. Although the Company has a diversified loan portfolio, the credit risk in the loan portfolio is largely influenced by general economic conditions and trends of the counties and markets in which the debtors operate, and the resulting impact on the operations of borrowers or on the value of underlying collateral, if any. A roll forward of the allowance for credit losses - loans is summarized as follows.
The following tables present the balance and activity in the ACL-Loans by portfolio segment.
*The PPP loans are fully guaranteed by the SBA; thus, no ACL-Loans has been allocated to these loans.
The ACL-Loans represents management’s estimate of expected credit losses in the Company’s loan portfolio at the balance sheet date. To assess the appropriateness of the ACL-Loans, management applies an allocation methodology which focuses on evaluation of qualitative and environmental factors, including but not limited to: (i) evaluation of facts and issues related to specific loans; (ii) management’s ongoing review and grading of the loan portfolio; (iii) consideration of historical loan loss and delinquency experience on each portfolio segment; (iv) trends in past due and nonperforming loans; (v) the risk characteristics of the various loan segments; (vi) changes in the size and character of the loan portfolio; (vii) concentrations of loans to specific borrowers or industries; (viii) existing economic conditions; (ix) the fair value of underlying collateral; and (x) other qualitative and quantitative factors which could affect expected credit losses. Assessing these numerous factors involves significant judgment. Management allocates the ACL-Loans by pools of risk within each loan portfolio segment. The allocation methodology consists of the following components. First, a specific reserve is established for individually evaluated credit-deteriorated loans, which management defines as nonaccrual credit relationships over $250,000, collateral dependent loans, purchased credit deteriorated loans, and other loans with evidence of credit deterioration. The specific reserve in the ACL-Loans for these credit deteriorated loans is equal to the aggregate collateral or discounted cash flow shortfall. Management allocates the ACL-Loans with historical loss rates by loan segment. The loss factors are measured on a quarterly basis and applied to each loan segment based on current loan balances and projected for their expected remaining life. Next, management allocates the ACL-Loans using the qualitative factors mentioned above. Consideration is given to those current qualitative or environmental factors that are likely to cause estimated credit losses as of the evaluation date to differ from the historical loss experience of each loan segment. Lastly, management considers reasonable and supportable forecasts to assess the collectability of future cash flows. Allowance for Credit Losses-Unfunded Commitments: In addition to the ACL-Loans, the Company has established an ACL-Unfunded commitments, classified in accrued interest payable and other liabilities on the consolidated balance sheets. This reserve is maintained at a level that management believes is sufficient to absorb losses arising from unfunded loan commitments, and is determined quarterly based on methodology similar to the methodology for determining the ACL-Loans. The reserve for unfunded commitments was $3.0 million at September 30, 2022 and $2.4 million at December 31, 2021. Provision for Credit Losses: The provision for credit losses is determined by the Company as the amount to be added to the ACL loss accounts for various types of financial instruments including loans, investment securities, and off-balance sheet credit exposures after net charge-offs have been deducted to bring the ACL to a level that, in management’s judgment, is necessary to absorb expected credit losses over the lives of the respective financial instruments. See Note 5 for additional information regarding the ACL related to investment securities. The following table presents the components of the provision for credit losses.
Collateral Dependent Loans: A loan is considered to be collateral dependent when, based upon management’s assessment, the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. For collateral dependent loans, expected credit losses are based on the estimated fair value of the collateral at the balance sheet date, with consideration for estimated selling costs if satisfaction of the loan depends on the sale of the collateral. The following tables present collateral dependent loans by portfolio segment and collateral type, including those loans with and without a related allowance allocation.
Past Due and Nonaccrual Loans: The following tables present past due loans by portfolio segment.
The following table presents nonaccrual loans by portfolio segment.
Credit Quality Information: The following tables present total loans by risk categories and year of origination. Loans acquired from Charter, Mackinac and County have been included in the September 30, 2022 and December 31, 2021 tables based upon the actual origination date.
The following tables present total loans by risk categories.
An internal loan review function rates loans using a grading system based on different risk categories. Loans with a Substandard grade are considered to have a greater risk of loss and may be assigned allocations for loss based on specific review of the weaknesses observed in the individual credits. Such loans are monitored by the loan review function to help ensure early identification of any deterioration. A description of the loan risk categories used by the Company follows. Grades 1-4, Pass: Credits exhibit adequate cash flows, appropriate management and financial ratios within industry norms and/or are supported by sufficient collateral. Some credits in these rating categories may require a need for monitoring but elements of concern are not severe enough to warrant an elevated rating. Grade 5, Watch: Credits with this rating are adequately secured and performing but are being monitored due to the presence of various short-term weaknesses which may include unexpected, short-term adverse financial performance, managerial problems, potential impact of a decline in the entire industry or local economy and delinquency issues. Loans to individuals or loans supported by guarantors with marginal net worth or collateral may be included in this rating category. Grade 6, Special Mention: Credits with this rating have potential weaknesses that, without the Company’s attention and correction may result in deterioration of repayment prospects. These assets are considered Criticized Assets. Potential weaknesses may include adverse financial trends for the borrower or industry, repeated lack of compliance with Company requests, increasing debt to net worth, serious management conditions and decreasing cash flow. Grade 7, Substandard: Assets with this rating are characterized by the distinct possibility the Company will sustain some loss if deficiencies are not corrected. All foreclosures, liquidations, and nonaccrual loans are considered to be categorized in this rating, regardless of collateral sufficiency. Troubled Debt Restructurings: Loans are considered troubled debt restructurings if concessions have been granted to borrowers who are experiencing financial difficulties. The following table presents the loan composition of nonaccrual and performing TDRs.
The following table presents the number of loans modified in a TDR, pre-modification loan balance, and post-modification loan balance by loan composition.
TDR concessions may include payment schedule modifications, interest rate concessions, maturity date extensions, bankruptcies, or some combination of these concessions. There were no loans which were classified as troubled debt restructurings during the previous twelve months that subsequently defaulted during 2021 or through September 30, 2022. As of September 30, 2022, there were no commitments to lend additional funds to debtors whose terms have been modified in troubled debt restructurings.
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Goodwill and Other Intangibles and Servicing Rights |
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Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Other Intangibles and Servicing Rights | Goodwill and Other Intangibles and Servicing Rights Management periodically reviews the carrying value of its intangible assets to determine if any impairment has occurred, in which case an impairment charge would be recorded as an expense in the period of impairment, or whether changes in circumstances have occurred that would require a revision to the remaining useful life that would affect expense prospectively. In making such determination, management evaluates whether there are any adverse qualitative factors indicating that an impairment may exist, as well as the performance, on an undiscounted basis, of the underlying operations or assets which give rise to the intangible. Management regularly monitors economic factors for potential impairment indications on the value of our franchise, stability of deposits, and the wealth client base, underlying our goodwill, core deposit intangible, and customer list intangibles, and determined no impairments were indicated. A summary of goodwill and other intangibles was as follows.
Goodwill: A summary of goodwill was as follows. During 2022, goodwill increased due to the Charter acquisition, while during 2021, goodwill increased due to the acquisitions of Mackinac and County. See Note 2 for additional information on the Company’s acquisitions.
Mortgage servicing rights (“MSR”): Mortgage servicing rights are amortized in proportion to and over the period of estimated net servicing income, and assessed for impairment at each reporting date, with the amortization recorded in mortgage income, net, in the consolidated statements of income. Mortgage servicing rights are carried at the lower of the initial capitalized amount, net of accumulated amortization, or estimated fair value, and are included in other assets in the consolidated balance sheets. A summary of the changes in the mortgage servicing rights asset was as follows.
The Company periodically evaluates its mortgage servicing rights asset for impairment. At each reporting date, impairment is assessed based on estimated fair value using estimated prepayment speeds of the underlying mortgage loans serviced and stratification based on the risk characteristics of the underlying loans (predominantly loan type and note interest rate). See Note 9 for additional information on the fair value of the MSR asset. Loan servicing rights (“LSR”): The Company acquired an LSR asset in connection with its acquisition of County on December 3, 2021 (see Note 2 for additional information on the County acquisition). The LSR asset was $13 million at September 30, 2022, and related to approximately $553 million of unpaid principal balances of loans serviced for others. The LSR asset will be amortized on an accelerated basis over the estimated remaining loan service period as the Company does not expect to add new loans to this servicing portfolio. See Note 9 for additional information on the fair value of the LSR asset. The following table shows the estimated future amortization expense for amortizing intangible assets and the servicing assets. The projections are based on existing asset balances, the current interest rate environment and prepayment speeds as of September 30, 2022. The actual amortization expense the Company recognizes in any given period may be significantly different depending upon acquisition or sale activities, changes in interest rates, prepayment speeds, market conditions, regulatory requirements and events or circumstances that indicate the carrying amount of an asset may not be recoverable.
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Short and Long-Term Borrowings |
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Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Short and Long-Term Borrowings | Short and Long-Term Borrowings Short-Term Borrowings: Short-term borrowings include any borrowing with an original maturity of one year or less. At September 30, 2022, short-term borrowings included $280 million of short-term FHLB advances, comprised of $80 million due in October 2022 at a weighted average rate of 2.70% and $200 million due in September 2023 at a weighted average rate of 4.30%. The Company did not have any outstanding short-term borrowings at December 31, 2021. Long-Term Borrowings: Long-term borrowings include any borrowing with an original maturity greater than one year. The components of long-term borrowings were as follows.
FHLB Advances: The Federal Home Loan Bank (“FHLB”) advances bear fixed rates, require interest-only monthly payments, and have maturity dates through February 2030. The weighted average rate of the FHLB advances was 1.09% at September 30, 2022 and 0.59% at December 31, 2021. Junior Subordinated Debentures: Each of the junior subordinated debentures was issued to an underlying statutory trust (the “statutory trusts”), which issued trust preferred securities and common securities and used the proceeds from the issuance of the common and the trust preferred securities to purchase the junior subordinated debentures of the Company. The debentures represent the sole asset of the statutory trusts. All of the common securities of the statutory trusts are owned by the Company. The statutory trusts are not included in the consolidated financial statements. The net effect of all the documents entered into with respect to the trust preferred securities is that the Company, through payments on its debentures, is liable for the distributions and other payments required on the trust preferred securities. Interest on all debentures is current. Any applicable discounts (initially recorded to carry an acquired debenture at its then estimated fair value) are being accreted to interest expense over the remaining life of the debenture. All the junior subordinated debentures are currently callable and may be redeemed in part or in full, at par, plus any accrued but unpaid interest. At September 30, 2022 and December 31, 2021, approximately $38 million and $37 million, respectively, of trust preferred securities qualify as Tier 1 capital. Subordinated Notes (the “Notes”): In July 2021, the Company completed the private placement of $100 million in fixed-to-floating rate subordinated notes due in 2031, with a fixed annual rate of 3.125% for the first five years, and will reset quarterly thereafter to the then current three-month Secured Overnight Financing Rate (“SOFR”) plus 237.5 basis points. The Notes due in 2031 are redeemable beginning July 15, 2026 and quarterly thereafter on any interest payment date. In December 2021, Nicolet assumed two subordinated note issuances at a premium as the result of the County acquisition. One issuance was $30 million in fixed-to-floating rate subordinated notes due in 2028, with a fixed annual interest rate of 5.875% for the first five years, and will reset quarterly thereafter to the then current three-month LIBOR plus 2.88% The second issuance was $22 million in fixed-to-floating rate subordinated notes due in 2030, with a fixed annual interest rate of 7.00% for the first five years, and will reset quarterly thereafter to the then current SOFR plus 687.5 basis points. The Notes due in 2028 are redeemable beginning June 1, 2023, and quarterly thereafter on any interest payment date, while the Notes due in 2030 are redeemable beginning June 30, 2025, and quarterly thereafter on any interest payment date. All Notes qualify as Tier 2 capital for regulatory purposes. The following table shows the breakdown of junior subordinated debentures and subordinated notes.
(1) Represents the remaining unamortized premium or discount on debt issuances assumed in acquisitions, and represents the unamortized debt issue costs for the debt issued directly by Nicolet. (2) The debentures, assumed in April 2013 as the result of an acquisition, have a floating rate of three-month LIBOR plus 1.43%, adjusted quarterly. (3) The debentures, assumed in April 2016 as a result of an acquisition, have a floating rate of three-month LIBOR plus 1.35%, adjusted quarterly. (4) The debentures, assumed in April 2017 as the result of an acquisition, have a floating rate of three-month LIBOR plus 2.79%, adjusted quarterly. (5) The debentures, assumed in December 2021 as the result of an acquisition, have a floating rate of three-month LIBOR plus 1.53%, adjusted quarterly. (6) The debentures, assumed in December 2021 as the result of an acquisition, have a floating rate of three-month LIBOR plus 1.69%, adjusted quarterly. (7) The debentures, assumed in December 2021 as the result of an acquisition, have a floating rate of 5-year LIBOR plus 3.40%, which resets every five years.
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Fair Value Measurements |
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Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements Fair value represents the estimated price at which an orderly transaction to sell an asset or transfer a liability would take place between market participants at the measurement date under current market conditions (i.e., an exit price concept), and is a market-based measurement versus an entity-specific measurement. The Company records and/or discloses certain financial instruments on a fair value basis. These financial assets and financial liabilities are measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the observability of the assumptions used to determine fair value. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from independent sources. Unobservable inputs are inputs that reflect assumptions of the reporting entity about how market participants would price the asset or liability based on the best information available under the circumstances. The three fair value levels are: •Level 1 – quoted market prices in active markets for identical assets or liabilities that a company has the ability to access at the measurement date •Level 2 – inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly •Level 3 – significant unobservable inputs for the asset or liability, which are typically based on an entity’s own assumptions, as there is little, if any, related market activity In instances where the fair value measurement is based on inputs from different levels, the level within which the entire fair value measurement will be categorized is based on the lowest level input that is significant to the fair value measurement in its entirety. This assessment of the significance of an input requires management judgment. Recurring basis fair value measurements: The following table presents the balances of assets and liabilities measured at fair value on a recurring basis for the periods presented.
The following is a description of the valuation methodologies used by the Company for the assets and liabilities measured at fair value on a recurring basis, noted in the tables above. Where quoted market prices on securities exchanges are available, the investments are classified as Level 1. Level 1 investments primarily include exchange-traded equity securities. If quoted market prices are not available, fair value is generally determined using prices obtained from independent pricing vendors who use pricing models (with typical inputs including benchmark yields, reported trades for similar securities, issuer spreads or relationship to other benchmark quoted securities), or discounted cash flows, and are classified as Level 2. Examples of these investments include U.S. government agency securities, mortgage-backed securities, obligations of state, county and municipals, and certain corporate debt securities. Finally, in certain cases where there is limited activity or less transparency around inputs to the estimated fair value, investments are classified within Level 3 of the hierarchy. Examples of these include private corporate debt securities, which are primarily trust preferred security investments, as well as certain municipal bonds and mortgage-backed securities. At September 30, 2022 and December 31, 2021, it was determined that carrying value was the best approximation of fair value for these Level 3 securities, based primarily on the internal analysis on these securities. The fair value of the derivative assets and liabilities is determined using a discounted cash flow analysis of the expected cash flows of each derivative, which considers the contractual terms of the underlying derivative financial instrument and observable market-based inputs, such as interest rate curves. The following table presents the changes in Level 3 securities AFS measured at fair value on a recurring basis.
Nonrecurring basis fair value measurements: The following table presents the Company’s assets measured at fair value on a nonrecurring basis, aggregated by level in the fair value hierarchy within which those measurements fall.
The following is a description of the valuation methodologies used by the Company for the items noted in the table above. For collateral dependent loans, the estimated fair value is based upon the present value of expected future cash flows discounted at the loan’s effective interest rate, the estimated fair value of the underlying collateral with consideration for estimated selling costs if satisfaction of the loan depends on the sale of the collateral, or the estimated liquidity of the note. For OREO, the fair value is based upon the estimated fair value of the underlying collateral adjusted for the expected costs to sell. To estimate the fair value of the MSR asset, the underlying serviced loan pools are stratified by interest rate tranche and term of the loan, and a valuation model is used to calculate the present value of the expected future cash flows for each stratum. The servicing valuation model incorporates assumptions that market participants would use in estimating future net servicing income, such as costs to service, a discount rate, ancillary income, default rates and losses, and prepayment speeds. Although some of these assumptions are based on observable market data, other assumptions are based on unobservable estimates of what market participants would use to measure fair value. Financial instruments: The carrying amounts and estimated fair values of the Company’s financial instruments are shown below.
The valuation methodologies for the financial instruments disclosed in the above table are described in Note 18, Fair Value Measurements, in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.
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Other Assets and Other Liabilities Held for Sale |
9 Months Ended |
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Sep. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Other Assets and Other Liabilities Held for Sale | Other Assets and Other Liabilities Held for SaleOn September 7, 2021, Nicolet entered into a Purchase and Assumption Agreement (the “Birmingham Agreement”) with Bank of Ann Arbor to sell Nicolet’s Birmingham, Michigan branch, including legacy mBank’s asset-based lending team (the “Birmingham Sale”). Pursuant to the terms of the Birmingham Agreement, Bank of Ann Arbor agreed to assume certain deposit liabilities and to acquire certain loans, as well as cash, personal property and other fixed assets associated with the Birmingham branch. The combined loan and deposit balances of the Birmingham branch (excluding certain loans and deposits not subject to the Birmingham Agreement) were approximately $199 million and $51 million, respectively, as of December 31, 2021. The Birmingham Sale closed on January 21, 2022. |
Basis of Presentation (Policies) |
9 Months Ended |
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Sep. 30, 2022 | |
Accounting Policies [Abstract] | |
General | General In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments necessary to present fairly the consolidated balance sheets, statements of income, comprehensive income (loss), changes in stockholders’ equity and cash flows of Nicolet Bankshares, Inc. (the “Company” or “Nicolet”) and its subsidiaries, as of and for the periods presented, and all such adjustments are of a normal recurring nature. All material intercompany transactions and balances have been eliminated. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the entire year. These interim consolidated financial statements have been prepared according to the rules and regulations of the Securities and Exchange Commission and, therefore, certain information and footnote disclosures normally presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) have been omitted or abbreviated. These consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.
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Critical Accounting Policies and Estimates | Critical Accounting Policies and Estimates Preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying disclosures. These estimates are based on management’s best knowledge of current events and actions the Company may undertake in the future. Estimates are used in accounting for, among other items, the allowance for credit losses, valuation of loans in acquisition transactions, useful lives for depreciation and amortization, fair value of financial instruments, impairment calculations, valuation of deferred tax assets, uncertain income tax positions and contingencies. Estimates that are particularly susceptible to significant change for the Company include the determination of the allowance for credit losses, the determination and assessment of deferred tax assets and liabilities, and the valuation of loans acquired in acquisition transactions; therefore, these are critical accounting policies. Factors that may cause sensitivity to the aforementioned estimates include but are not limited to: external market factors such as market interest rates and employment rates, changes to operating policies and procedures, changes in applicable banking or tax regulations, and changes to deferred tax estimates. Actual results may ultimately differ from estimates, although management does not generally believe such differences would materially affect the consolidated financial statements in any individual reporting period presented. There have been no material changes or developments with respect to the assumptions or methodologies that the Company uses when applying what management believes are critical accounting policies and developing critical accounting estimates as disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.
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Future Accounting Pronouncements | Future Accounting Pronouncements In March 2022, the FASB issued ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings (“TDRs”) and Vintage Disclosures. This ASU eliminates the accounting guidance for TDRs by creditors, while enhancing the disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. The ASU also requires public business entities to expand the vintage disclosures to include gross charge-offs by year of origination. The updated guidance is effective for fiscal years beginning after December 15, 2022, with early adoption permitted. Adoption of this amendment is not expected to have a material impact on the Company’s consolidated financial statements; though, it will result in new disclosures of gross charge-offs by year of origination and on the types of loan modifications to borrowers experiencing financial difficulties. Current TDR disclosures will be also removed. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. This ASU provides optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. It provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The updated guidance is effective for all entities as of March 12, 2020 through December 31, 2022. The Company continues to work through the cessation of LIBOR, including the modification of its loans and other financial instruments with attributes that are either directly or indirectly influenced by LIBOR. The Company expects to utilize the reference rate reform transition guidance, as applicable, and does not expect such adoption to have a material impact on its consolidated financial statements or financial disclosures. The Company will continue to assess the impact as the reference rate transition approaches June 30, 2023.
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Reclassifications | Reclassifications Certain amounts in the 2021 consolidated financial statements have been reclassified to conform to the 2022 presentation. These reclassifications were not material and did not impact previously reported net income or comprehensive income.
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Allowance for Credit Losses - Loans | The ACL-Loans represents management’s estimate of expected credit losses in the Company’s loan portfolio at the balance sheet date. To assess the appropriateness of the ACL-Loans, management applies an allocation methodology which focuses on evaluation of qualitative and environmental factors, including but not limited to: (i) evaluation of facts and issues related to specific loans; (ii) management’s ongoing review and grading of the loan portfolio; (iii) consideration of historical loan loss and delinquency experience on each portfolio segment; (iv) trends in past due and nonperforming loans; (v) the risk characteristics of the various loan segments; (vi) changes in the size and character of the loan portfolio; (vii) concentrations of loans to specific borrowers or industries; (viii) existing economic conditions; (ix) the fair value of underlying collateral; and (x) other qualitative and quantitative factors which could affect expected credit losses. Assessing these numerous factors involves significant judgment. Management allocates the ACL-Loans by pools of risk within each loan portfolio segment. The allocation methodology consists of the following components. First, a specific reserve is established for individually evaluated credit-deteriorated loans, which management defines as nonaccrual credit relationships over $250,000, collateral dependent loans, purchased credit deteriorated loans, and other loans with evidence of credit deterioration. The specific reserve in the ACL-Loans for these credit deteriorated loans is equal to the aggregate collateral or discounted cash flow shortfall. Management allocates the ACL-Loans with historical loss rates by loan segment. The loss factors are measured on a quarterly basis and applied to each loan segment based on current loan balances and projected for their expected remaining life. Next, management allocates the ACL-Loans using the qualitative factors mentioned above. Consideration is given to those current qualitative or environmental factors that are likely to cause estimated credit losses as of the evaluation date to differ from the historical loss experience of each loan segment. Lastly, management considers reasonable and supportable forecasts to assess the collectability of future cash flows.
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Acquisitions (Tables) |
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Business Combination and Asset Acquisition [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of assets acquired and liabilities assumed and preliminary purchase price allocation | A summary of the assets acquired and liabilities assumed in the Charter transaction, as of the acquisition date, including the purchase price allocation was as follows.
A summary of the assets acquired and liabilities assumed in the County transaction, as of the acquisition date, including the purchase price allocation was as follows.
A summary of the assets acquired and liabilities assumed in the Mackinac transaction, as of the acquisition date, including the purchase price allocation was as follows.
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Schedule of unaudited pro forma information | The following unaudited pro forma information is presented for illustrative purposes only, and gives effect to the acquisitions of County and Mackinac as if the acquisitions had occurred on January 1, 2021, the beginning of the earliest period presented. The pro forma information should not be relied upon as being indicative of the historical results of operations the companies would have had if the acquisitions had occurred before such periods or the future results of operations that the companies will experience as a result of the mergers. The pro forma information, although helpful in illustrating the financial characteristics of the combined company under one set of assumptions, does not reflect the benefits of expected cost savings, opportunities to earn additional revenue, the impact of restructuring and merger-related expenses, or other factors that may result as a consequence of the mergers and, accordingly, does not attempt to predict or suggest future results.
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Earnings per Common Share (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of basic and diluted earnings per common share | Presented below are the calculations for basic and diluted earnings per common share.
*Cumulative quarterly per share performance may not equal annual per share totals due to the effects of the amount and timing of capital increases. When computing earnings per share for an interim period, the denominator is based on the weighted average shares outstanding during the interim period, and not on an annualized weighted average basis. Accordingly, the sum of the earnings per share data for the quarters will not necessarily equal the year to date earnings per share data.
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Stock-Based Compensation (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of weighted average assumption for stock option | The weighted average assumptions used in the Black-Scholes model for valuing stock option grants for the nine months ended September 30, 2022 and 2021 were as follows.
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Schedule of stock options outstanding | A summary of the Company’s stock option activity is summarized below.
* The terms of the stock option agreements permit having a number of shares of stock withheld, the fair market value of which as of the date of exercise is sufficient to satisfy the exercise price and/or tax withholding requirements. For the nine months ended September 30, 2022, 6,073 such shares were withheld by the Company.
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Schedule of restricted stock awards | A summary of the Company’s restricted stock activity is summarized below.
* The terms of the restricted stock agreements permit the surrender of shares to the Company upon vesting in order to satisfy applicable tax withholding requirements at the minimum statutory withholding rate, and accordingly, 465 shares were surrendered during the nine months ended September 30, 2022.
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Securities and Other Investments (Tables) |
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Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of amortized cost and fair value of securities AFS | The amortized cost and fair value of securities AFS and HTM are summarized as follows.
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Schedule of amortized cost and fair value of securities HTM | The amortized cost and fair value of securities AFS and HTM are summarized as follows.
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Schedule of unrealized losses and fair value of investment securities | The following table presents gross unrealized losses and the related estimated fair value of investment securities for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time individual securities have been in a continuous unrealized loss position.
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Schedule of amortized cost and fair value of investment securities by contractual maturity | The amortized cost and fair value of investment securities by contractual maturity are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties; as this is particularly inherent in mortgage-backed securities, these securities are not included in the maturity categories below.
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Schedule of proceeds and realized gains or losses from the sale of AFS securities | Proceeds and realized gains or losses from the sale of AFS securities were as follows.
* Includes proceeds of $21 million recognized on the sale of securities AFS upon acquisition of Charter for which no gain or loss was recognized in the income statement as the securities were marked to fair value through purchase accounting.
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Summary of other investments | The carrying value of other investments are summarized as follows.
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Loans, Allowance for Credit Losses - Loans, and Credit Quality (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of loan composition by portfolio segment | The loan composition is summarized as follows.
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Schedule of changes in allowance for credit losses | A roll forward of the allowance for credit losses - loans is summarized as follows.
The following tables present the balance and activity in the ACL-Loans by portfolio segment.
*The PPP loans are fully guaranteed by the SBA; thus, no ACL-Loans has been allocated to these loans.
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Schedule of provision for credit losses | The following table presents the components of the provision for credit losses.
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Schedule of collateral dependent loans by portfolio segment | The following tables present collateral dependent loans by portfolio segment and collateral type, including those loans with and without a related allowance allocation.
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Schedule of past due loans by portfolio segment | The following tables present past due loans by portfolio segment.
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Schedule of nonaccrual loans by portfolio segment | The following table presents nonaccrual loans by portfolio segment.
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Schedule of loans by loan risk categories by portfolio segment | The following tables present total loans by risk categories and year of origination. Loans acquired from Charter, Mackinac and County have been included in the September 30, 2022 and December 31, 2021 tables based upon the actual origination date.
The following tables present total loans by risk categories.
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Loan composition of nonaccrual and performing TDRs | The following table presents the loan composition of nonaccrual and performing TDRs.
The following table presents the number of loans modified in a TDR, pre-modification loan balance, and post-modification loan balance by loan composition.
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Goodwill and Other Intangibles and Servicing Rights (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of goodwill and intangible assets | A summary of goodwill and other intangibles was as follows.
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Schedule of goodwill | A summary of goodwill was as follows. During 2022, goodwill increased due to the Charter acquisition, while during 2021, goodwill increased due to the acquisitions of Mackinac and County. See Note 2 for additional information on the Company’s acquisitions.
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Schedule of other intangible assets | A summary of other intangible assets was as follows. During 2022, core deposit intangibles increased due to the Charter acquisition, while during 2021, core deposit intangibles increased due to the acquisitions of Mackinac and County. See Note 2 for additional information on the Company’s acquisitions.
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Schedule of mortgage servicing rights | A summary of the changes in the mortgage servicing rights asset was as follows.
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Schedule of estimated future amortization expense for amortizing intangible assets and the MSR asset | The following table shows the estimated future amortization expense for amortizing intangible assets and the servicing assets. The projections are based on existing asset balances, the current interest rate environment and prepayment speeds as of September 30, 2022. The actual amortization expense the Company recognizes in any given period may be significantly different depending upon acquisition or sale activities, changes in interest rates, prepayment speeds, market conditions, regulatory requirements and events or circumstances that indicate the carrying amount of an asset may not be recoverable.
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Short and Long-Term Borrowings (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of components of long-term borrowings | The components of long-term borrowings were as follows.
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Schedule of junior subordinated debentures and subordinated notes | The following table shows the breakdown of junior subordinated debentures and subordinated notes.
(1) Represents the remaining unamortized premium or discount on debt issuances assumed in acquisitions, and represents the unamortized debt issue costs for the debt issued directly by Nicolet. (2) The debentures, assumed in April 2013 as the result of an acquisition, have a floating rate of three-month LIBOR plus 1.43%, adjusted quarterly. (3) The debentures, assumed in April 2016 as a result of an acquisition, have a floating rate of three-month LIBOR plus 1.35%, adjusted quarterly. (4) The debentures, assumed in April 2017 as the result of an acquisition, have a floating rate of three-month LIBOR plus 2.79%, adjusted quarterly. (5) The debentures, assumed in December 2021 as the result of an acquisition, have a floating rate of three-month LIBOR plus 1.53%, adjusted quarterly. (6) The debentures, assumed in December 2021 as the result of an acquisition, have a floating rate of three-month LIBOR plus 1.69%, adjusted quarterly. (7) The debentures, assumed in December 2021 as the result of an acquisition, have a floating rate of 5-year LIBOR plus 3.40%, which resets every five years.
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Fair Value Measurements (Tables) |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of assets and liabilities measured at fair value on a recurring basis | The following table presents the balances of assets and liabilities measured at fair value on a recurring basis for the periods presented.
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Changes in Level 3 assets measured at fair value on a recurring basis | The following table presents the changes in Level 3 securities AFS measured at fair value on a recurring basis.
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Schedule of assets measured at fair value on a nonrecurring basis | The following table presents the Company’s assets measured at fair value on a nonrecurring basis, aggregated by level in the fair value hierarchy within which those measurements fall.
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Schedule of estimated fair values of financial instruments | The carrying amounts and estimated fair values of the Company’s financial instruments are shown below.
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Acquisitions - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions |
Aug. 26, 2022 |
Dec. 03, 2021 |
Sep. 03, 2021 |
---|---|---|---|
Charter Bankshares, Inc. | |||
Business Acquisition [Line Items] | |||
Entity shares issued per acquiree share (in shares) | 15.458 | ||
Cash paid per acquiree share (in dollars per share) | $ 475 | ||
Number of common stock issued for consideration (in shares) | 1,262,360 | ||
Value of Nicolet common stock consideration | $ 98 | ||
Cash consideration paid | 39 | ||
Total purchase price | $ 137 | ||
County Bancorp, Inc. | |||
Business Acquisition [Line Items] | |||
Entity shares issued per acquiree share (in shares) | 0.48 | ||
Cash paid per acquiree share (in dollars per share) | $ 37.18 | ||
Number of common stock issued for consideration (in shares) | 2,366,243 | ||
Value of Nicolet common stock consideration | $ 176 | ||
Cash consideration paid | 48 | ||
Total purchase price | $ 224 | ||
Shares exchanged for cash (in shares) | 1,237,000 | ||
Mackinac Financial Corporation | |||
Business Acquisition [Line Items] | |||
Entity shares issued per acquiree share (in shares) | 0.22 | ||
Cash paid per acquiree share (in dollars per share) | $ 4.64 | ||
Number of common stock issued for consideration (in shares) | 2,337,230 | ||
Value of Nicolet common stock consideration | $ 180 | ||
Cash consideration paid | 49 | ||
Total purchase price | $ 229 |
Acquisitions - Summary of the assets acquired and liabilities assumed, including preliminary purchase price allocation (Details) - USD ($) $ in Thousands |
1 Months Ended | 9 Months Ended | 10 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|---|
Aug. 26, 2022 |
Dec. 03, 2021 |
Sep. 30, 2022 |
Sep. 30, 2022 |
Sep. 30, 2022 |
Dec. 31, 2021 |
|
Purchase Price: | ||||||
Goodwill | $ 52,660 | $ 154,038 | ||||
Charter Bankshares, Inc. | ||||||
Assets Acquired: | ||||||
Cash and cash equivalents | $ 10,000 | $ 10,000 | 10,000 | $ 10,000 | ||
Investment securities | 218,000 | 218,000 | 218,000 | 218,000 | ||
Loans | 848,000 | 827,000 | 827,000 | 827,000 | ||
ACL-Loans | (9,000) | (2,000) | (2,000) | (2,000) | ||
Premises and equipment | 9,000 | 10,000 | 10,000 | 10,000 | ||
BOLI | 29,000 | 29,000 | 29,000 | 29,000 | ||
Core deposit intangible | 0 | 19,000 | 19,000 | 19,000 | ||
Other assets | 5,000 | 7,000 | 7,000 | 7,000 | ||
Total assets | 1,110,000 | 1,118,000 | 1,118,000 | 1,118,000 | ||
Liabilities Assumed: | ||||||
Deposits | 869,000 | 870,000 | 870,000 | 870,000 | ||
Borrowings | 161,000 | 161,000 | 161,000 | 161,000 | ||
Other liabilities | 3,000 | 3,000 | 3,000 | 3,000 | ||
Total liabilities | $ 1,033,000 | 1,034,000 | 1,034,000 | 1,034,000 | ||
Net assets acquired | 84,000 | 84,000 | 84,000 | |||
Assets Acquired: | ||||||
Cash and cash equivalents | 0 | |||||
Investment securities | 0 | |||||
Loans | (21,000) | |||||
ACL-Loans | 7,000 | |||||
Premises and equipment | 1,000 | |||||
BOLI | 0 | |||||
Core deposit intangible | 19,000 | |||||
Other assets | 2,000 | |||||
Total assets | 8,000 | |||||
Liabilities Assumed: | ||||||
Deposits | 1,000 | |||||
Borrowings | 0 | |||||
Other liabilities | 0 | |||||
Total liabilities | 1,000 | |||||
Purchase Price: | ||||||
Nicolet common stock issued (in shares) | 1,262,360 | |||||
Value of Nicolet common stock consideration | $ 98,000 | |||||
Cash consideration paid | 39,000 | |||||
Total purchase price | 137,000 | |||||
Goodwill | $ 53,000 | |||||
County Bancorp, Inc. | ||||||
Assets Acquired: | ||||||
Cash and cash equivalents | $ 20,000 | 20,000 | 20,000 | 20,000 | ||
Investment securities | 301,000 | 300,000 | 300,000 | 300,000 | ||
Loans | 1,015,000 | 1,014,000 | 1,014,000 | 1,014,000 | ||
ACL-Loans | (11,000) | (3,000) | (3,000) | (3,000) | ||
Premises and equipment | 21,000 | 17,000 | 17,000 | 17,000 | ||
BOLI | 33,000 | 33,000 | 33,000 | 33,000 | ||
Core deposit intangible | 0 | 7,000 | 7,000 | 7,000 | ||
Loan servicing rights | 20,000 | 20,000 | 20,000 | 20,000 | ||
Other assets | 6,000 | 4,000 | 4,000 | 4,000 | ||
Total assets | 1,405,000 | 1,412,000 | 1,412,000 | 1,412,000 | ||
Liabilities Assumed: | ||||||
Deposits | 1,027,000 | 1,030,000 | 1,030,000 | 1,030,000 | ||
Borrowings | 218,000 | 219,000 | 219,000 | 219,000 | ||
Other liabilities | 8,000 | 8,000 | 8,000 | 8,000 | ||
Total liabilities | $ 1,253,000 | 1,257,000 | 1,257,000 | 1,257,000 | ||
Net assets acquired | $ 155,000 | $ 155,000 | 155,000 | |||
Assets Acquired: | ||||||
Cash and cash equivalents | 0 | |||||
Investment securities | (1,000) | |||||
Loans | (1,000) | |||||
ACL-Loans | 8,000 | |||||
Premises and equipment | (4,000) | |||||
BOLI | 0 | |||||
Core deposit intangible | 7,000 | |||||
Loan servicing rights | 0 | |||||
Other assets | (2,000) | |||||
Total assets | 7,000 | |||||
Liabilities Assumed: | ||||||
Deposits | 3,000 | |||||
Borrowings | 1,000 | |||||
Other liabilities | 0 | |||||
Total liabilities | $ 4,000 | |||||
Purchase Price: | ||||||
Nicolet common stock issued (in shares) | 2,366,243 | |||||
Value of Nicolet common stock consideration | $ 176,000 | |||||
Cash consideration paid | 48,000 | |||||
Total purchase price | 224,000 | |||||
Write-off prior investment | (1,000) | |||||
Goodwill | $ 70,000 |
Acquisitions - Summary of the assets acquired (including goodwill) and liabilities assumed, including preliminary purchase price allocation (Details) - USD ($) $ in Thousands |
9 Months Ended | 12 Months Ended | 13 Months Ended | ||
---|---|---|---|---|---|
Sep. 03, 2021 |
Sep. 30, 2022 |
Dec. 31, 2021 |
Sep. 30, 2022 |
Dec. 31, 2020 |
|
Assets Acquired: | |||||
Goodwill | $ 369,849 | $ 317,189 | $ 369,849 | $ 163,151 | |
Purchase Price: | |||||
Goodwill | 52,660 | $ 154,038 | |||
Mackinac Financial Corporation | |||||
Assets Acquired: | |||||
Cash and cash equivalents | $ 448,000 | 448,000 | 448,000 | ||
Investment securities | 104,000 | 104,000 | 104,000 | ||
Loans | 930,000 | 940,000 | 940,000 | ||
ACL-Loans | (6,000) | (2,000) | (2,000) | ||
Premises and equipment | 24,000 | 21,000 | 21,000 | ||
BOLI | 16,000 | 16,000 | 16,000 | ||
Goodwill | 20,000 | 0 | 0 | ||
Core deposit intangible | 4,000 | 7,000 | 7,000 | ||
Other assets | 25,000 | 22,000 | 22,000 | ||
Total assets | 1,565,000 | 1,556,000 | 1,556,000 | ||
Liabilities Assumed: | |||||
Deposits | 1,365,000 | 1,366,000 | 1,366,000 | ||
Borrowings | 28,000 | 29,000 | 29,000 | ||
Other liabilities | 13,000 | 14,000 | 14,000 | ||
Total liabilities | $ 1,406,000 | 1,409,000 | 1,409,000 | ||
Net assets acquired | $ 147,000 | 147,000 | |||
Assets Acquired: | |||||
Cash and cash equivalents | 0 | ||||
Investment securities | 0 | ||||
Loans | 10,000 | ||||
ACL-Loans | 4,000 | ||||
Premises and equipment | (3,000) | ||||
BOLI | 0 | ||||
Goodwill | (20,000) | ||||
Core deposit intangible | 3,000 | ||||
Other assets | (3,000) | ||||
Total assets | (9,000) | ||||
Liabilities Assumed: | |||||
Deposits | 1,000 | ||||
Borrowings | 1,000 | ||||
Other liabilities | 1,000 | ||||
Total liabilities | $ 3,000 | ||||
Purchase Price: | |||||
Nicolet common stock issued (in shares) | 2,337,230 | ||||
Value of Nicolet common stock consideration | $ 180,000 | ||||
Cash consideration paid | 49,000 | ||||
Total purchase price | 229,000 | ||||
Write-off prior investment | (2,000) | ||||
Goodwill | $ 84,000 |
Acquisitions - Carrying value of PCD loans acquired (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Aug. 26, 2022 |
Dec. 03, 2021 |
Sep. 03, 2021 |
---|---|---|---|---|
Charter Bankshares, Inc. | ||||
Business Acquisition [Line Items] | ||||
Allowance for credit losses on PCD loans at acquisition | $ 2,000 | $ 9,000 | ||
Loans | 827,000 | 848,000 | ||
Charter Bankshares, Inc. | PCD loans aquired | ||||
Business Acquisition [Line Items] | ||||
Purchase price of PCD loans at acquisition | 24,031 | |||
Allowance for credit losses on PCD loans at acquisition | 1,709 | |||
Loans | $ 25,740 | |||
County Bancorp, Inc. | ||||
Business Acquisition [Line Items] | ||||
Allowance for credit losses on PCD loans at acquisition | 3,000 | $ 11,000 | ||
Loans | 1,014,000 | 1,015,000 | ||
County Bancorp, Inc. | PCD loans aquired | ||||
Business Acquisition [Line Items] | ||||
Purchase price of PCD loans at acquisition | 64,948 | |||
Allowance for credit losses on PCD loans at acquisition | 3,262 | |||
Loans | $ 68,210 | |||
Mackinac Financial Corporation | ||||
Business Acquisition [Line Items] | ||||
Allowance for credit losses on PCD loans at acquisition | 2,000 | $ 6,000 | ||
Loans | $ 940,000 | 930,000 | ||
Mackinac Financial Corporation | PCD loans aquired | ||||
Business Acquisition [Line Items] | ||||
Purchase price of PCD loans at acquisition | 10,605 | |||
Allowance for credit losses on PCD loans at acquisition | 1,896 | |||
Loans | $ 12,501 |
Acquisitions - Unaudited pro forma information (Details) - County Bancorp, Inc and Mackinac Financial Corporation - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 9 Months Ended |
---|---|---|
Sep. 30, 2021 |
Sep. 30, 2021 |
|
Business Acquisition [Line Items] | ||
Total revenue, net of interest expense | $ 84,802 | $ 241,287 |
Net income | $ 16,470 | $ 62,243 |
Diluted earnings per common share (in dollars per share) | $ 1.06 | $ 4.09 |
Earnings per Common Share - Calculations for basic and diluted earnings (loss) per common share (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Earnings Per Share [Abstract] | ||||
Net income | $ 18,510 | $ 7,824 | $ 66,659 | $ 44,347 |
Weighted average common shares outstanding (in shares) | 13,890,066 | 10,391,896 | 13,647,973 | 10,098,492 |
Effect of dilutive common stock awards (in shares) | 420,000 | 384,000 | 479,000 | 405,000 |
Diluted weighted average common shares outstanding (in shares) | 14,310,275 | 10,775,591 | 14,126,772 | 10,503,163 |
Basic earnings per common share (in dollars per share) | $ 1.33 | $ 0.75 | $ 4.88 | $ 4.39 |
Diluted earnings per common share (in dollars per share) | $ 1.29 | $ 0.73 | $ 4.72 | $ 4.22 |
Earnings per Common Share - Narrative (Details) - shares shares in Millions |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Earnings Per Share [Abstract] | ||||
Shares excluded from calculation of earnings per common share (in shares) | 0.2 | 0.2 | 0.1 | 0.1 |
Stock-Based Compensation - Narrative (Details) - USD ($) $ in Millions |
9 Months Ended | |
---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares were available for grant (in shares) | 700,000 | |
Stock-based compensation expense | $ 4.6 | $ 4.5 |
Unrecognized compensation cost | $ 19.9 | |
Remaining vesting period over which cost expected to be recognized | 4 years | |
Tax benefit for impact of share based compensation | $ 0.4 | 0.3 |
Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total intrinsic value of options exercised | $ 3.3 | 1.7 |
Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock grant (in shares) | 60,852 | |
Restricted Stock | Director | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 0.7 | $ 0.7 |
Restricted stock grant (in shares) | 8,852 | 9,595 |
Stock-Based Compensation - Weighted average assumptions (Details) - Stock Incentive Plan - Stock Options - $ / shares |
9 Months Ended | |
---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Dividend yield | 0.00% | 0.00% |
Expected volatility | 30.00% | 30.00% |
Risk-free interest rate | 3.03% | 1.16% |
Expected average life (in years) | 7 years | 7 years |
Weighted average per share fair value of options (in dollars per share) | $ 30.99 | $ 26.55 |
Stock-Based Compensation - Stock option activity (Details) $ / shares in Units, $ in Thousands |
9 Months Ended |
---|---|
Sep. 30, 2022
USD ($)
$ / shares
shares
| |
Weighted Average Exercise Price | |
Shares surrendered to satisfy exercise price and/or tax withholding requirements (in shares) | 6,073 |
Stock Incentive Plan | Stock Options | |
Option Shares Outstanding | |
Beginning balance outstanding (in shares) | 1,833,246 |
Granted (in shares) | 132,929 |
Exercise of stock options (in shares) | (65,661) |
Forfeited (in shares) | (8,500) |
Ending balance outstanding (in shares) | 1,892,014 |
Weighted Average Exercise Price | |
Beginning balance outstanding (in dollars per share) | $ / shares | $ 57.69 |
Granted (in dollars per share) | $ / shares | 81.04 |
Exercise of stock options (in dollars per share) | $ / shares | 41.26 |
Forfeited (in dollars per share) | $ / shares | 77.62 |
Ending balance outstanding (in dollars per share) | $ / shares | $ 59.81 |
Exercisable (in shares) | 1,207,585 |
Exercisable (in dollars per share) | $ / shares | $ 50.84 |
Weighted average remaining life outstanding (in years) | 6 years 2 months 12 days |
Weighted average remaining life exercisable (in years) | 4 years 10 months 24 days |
Aggregate intrinsic value outstanding | $ | $ 24,920 |
Aggregate intrinsic value exercisable | $ | $ 24,324 |
Stock-Based Compensation - Restricted stock award activity (Details) |
9 Months Ended |
---|---|
Sep. 30, 2022
$ / shares
shares
| |
Restricted Shares Outstanding | |
Shares surrendered to satisfy exercise price and/or tax withholding requirements (in shares) | 6,073 |
Restricted Stock | |
Weighted Average Grant Date Fair Value | |
Beginning balance outstanding (in dollars per share) | $ / shares | $ 71.42 |
Granted (in dollars per share) | $ / shares | 75.99 |
Vested (in dollars per share) | $ / shares | 71.51 |
Forfeited (in dollars per share) | $ / shares | 56.01 |
Ending balance outstanding (in dollars per share) | $ / shares | $ 75.34 |
Restricted Shares Outstanding | |
Beginning balance outstanding (in shares) | 25,801 |
Granted (in shares) | 60,852 |
Vested (in shares) | (13,127) |
Forfeited (in shares) | (600) |
Ending balance outstanding (in shares) | 72,926 |
Shares surrendered to satisfy exercise price and/or tax withholding requirements (in shares) | 465 |
Securities and Other Investments - Amortized costs and fair value of securities AFS and HTM (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 1,034,993 | $ 917,412 |
Gross Unrealized Gains | 33 | 9,777 |
Gross Unrealized Losses | 85,429 | 5,528 |
Estimated Fair Value | $ 949,597 | $ 921,661 |
Fair Value as % of Total | 100.00% | 100.00% |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 686,424 | $ 651,803 |
Gross Unrealized Gains | 66 | 99 |
Gross Unrealized Losses | 58,851 | 3,508 |
Estimated Fair Value | $ 627,639 | $ 648,394 |
Fair Value as % of Total | 100.00% | 100.00% |
U.S. government agency securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 194,295 | $ 192,506 |
Gross Unrealized Gains | 0 | 6 |
Gross Unrealized Losses | 9,532 | 1,235 |
Estimated Fair Value | $ 184,763 | $ 191,277 |
Fair Value as % of Total | 19.00% | 21.00% |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 506,952 | $ 508,810 |
Gross Unrealized Gains | 65 | 0 |
Gross Unrealized Losses | 38,590 | 2,740 |
Estimated Fair Value | $ 468,427 | $ 506,070 |
Fair Value as % of Total | 74.00% | 78.00% |
State, county and municipals | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 454,740 | $ 311,717 |
Gross Unrealized Gains | 32 | 3,222 |
Gross Unrealized Losses | 42,908 | 2,202 |
Estimated Fair Value | $ 411,864 | $ 312,737 |
Fair Value as % of Total | 43.00% | 34.00% |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 39,121 | $ 42,876 |
Gross Unrealized Gains | 1 | 10 |
Gross Unrealized Losses | 3,363 | 173 |
Estimated Fair Value | $ 35,759 | $ 42,713 |
Fair Value as % of Total | 6.00% | 7.00% |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 239,430 | $ 270,017 |
Gross Unrealized Gains | 1 | 3,090 |
Gross Unrealized Losses | 25,996 | 1,845 |
Estimated Fair Value | $ 213,435 | $ 271,262 |
Fair Value as % of Total | 23.00% | 29.00% |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 140,351 | $ 100,117 |
Gross Unrealized Gains | 0 | 89 |
Gross Unrealized Losses | 16,898 | 595 |
Estimated Fair Value | $ 123,453 | $ 99,611 |
Fair Value as % of Total | 20.00% | 15.00% |
Corporate debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 146,528 | $ 143,172 |
Gross Unrealized Gains | 0 | 3,459 |
Gross Unrealized Losses | 6,993 | 246 |
Estimated Fair Value | $ 139,535 | $ 146,385 |
Fair Value as % of Total | 15.00% | 16.00% |
Securities and Other Investments - Narrative (Details) - USD ($) |
9 Months Ended | ||
---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
Investments, Debt and Equity Securities [Abstract] | |||
Investments securities pledged as collateral | $ 786,000,000 | $ 277,000,000 | |
Accrued interest on investment securities | 7,000,000 | 5,000,000 | |
Allowance for credit losses on securities AFS | 0 | 0 | |
Schedule of Held-to-maturity Securities [Line Items] | |||
Proceeds from sales of securities AFS | 23,984,000 | $ 15,975,000 | |
Charter Bankshares, Inc. | |||
Schedule of Held-to-maturity Securities [Line Items] | |||
Proceeds from sales of securities AFS | 21,000,000 | ||
Mortgage-backed securities | |||
Schedule of Held-to-maturity Securities [Line Items] | |||
Allowance for credit losses on securities HTM | $ 0 | $ 0 |
Securities and Other Investments - Gross unrealized losses and the related fair value of investment securities (Details) $ in Thousands |
Sep. 30, 2022
USD ($)
Security
|
Dec. 31, 2021
USD ($)
Security
|
---|---|---|
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, fair value | $ 685,287 | $ 455,210 |
Less than 12 months, unrealized losses | 55,850 | 5,216 |
12 months or more, fair value | 238,321 | 7,845 |
12 months or more, unrealized losses | 29,579 | 312 |
Total, fair value | 923,608 | 463,055 |
Total, unrealized losses | $ 85,429 | $ 5,528 |
Total, number of securities | Security | 1,402 | 315 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Less than 12 months, fair value | $ 601,535 | $ 606,169 |
Less than 12 months, unrealized losses | 56,949 | 3,508 |
12 months or more, fair value | 10,780 | 0 |
12 months or more, unrealized losses | 1,902 | 0 |
Total, fair value | 612,315 | 606,169 |
Total, unrealized losses | $ 58,851 | $ 3,508 |
Total, number of securities | Security | 170 | 127 |
U.S. government agency securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, fair value | $ 73,427 | $ 190,432 |
Less than 12 months, unrealized losses | 3,649 | 1,235 |
12 months or more, fair value | 111,307 | 0 |
12 months or more, unrealized losses | 5,883 | 0 |
Total, fair value | 184,734 | 190,432 |
Total, unrealized losses | $ 9,532 | $ 1,235 |
Total, number of securities | Security | 18 | 11 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Less than 12 months, fair value | $ 459,059 | $ 505,938 |
Less than 12 months, unrealized losses | 38,590 | 2,740 |
12 months or more, fair value | 0 | 0 |
12 months or more, unrealized losses | 0 | 0 |
Total, fair value | 459,059 | 505,938 |
Total, unrealized losses | $ 38,590 | $ 2,740 |
Total, number of securities | Security | 6 | 9 |
State, county and municipals | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, fair value | $ 325,212 | $ 103,950 |
Less than 12 months, unrealized losses | 29,803 | 2,119 |
12 months or more, fair value | 66,031 | 1,777 |
12 months or more, unrealized losses | 13,105 | 83 |
Total, fair value | 391,243 | 105,727 |
Total, unrealized losses | $ 42,908 | $ 2,202 |
Total, number of securities | Security | 906 | 132 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Less than 12 months, fair value | $ 25,308 | $ 30,898 |
Less than 12 months, unrealized losses | 2,663 | 173 |
12 months or more, fair value | 4,495 | 0 |
12 months or more, unrealized losses | 700 | 0 |
Total, fair value | 29,803 | 30,898 |
Total, unrealized losses | $ 3,363 | $ 173 |
Total, number of securities | Security | 58 | 46 |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, fair value | $ 163,160 | $ 137,561 |
Less than 12 months, unrealized losses | 17,180 | 1,616 |
12 months or more, fair value | 49,315 | 6,068 |
12 months or more, unrealized losses | 8,816 | 229 |
Total, fair value | 212,475 | 143,629 |
Total, unrealized losses | $ 25,996 | $ 1,845 |
Total, number of securities | Security | 384 | 159 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Less than 12 months, fair value | $ 117,168 | $ 69,333 |
Less than 12 months, unrealized losses | 15,696 | 595 |
12 months or more, fair value | 6,285 | 0 |
12 months or more, unrealized losses | 1,202 | 0 |
Total, fair value | 123,453 | 69,333 |
Total, unrealized losses | $ 16,898 | $ 595 |
Total, number of securities | Security | 106 | 72 |
Corporate debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, fair value | $ 123,488 | $ 23,267 |
Less than 12 months, unrealized losses | 5,218 | 246 |
12 months or more, fair value | 11,668 | 0 |
12 months or more, unrealized losses | 1,775 | 0 |
Total, fair value | 135,156 | 23,267 |
Total, unrealized losses | $ 6,993 | $ 246 |
Total, number of securities | Security | 94 | 13 |
Securities and Other Investments - Amortized cost and fair values of investment securities by contractual maturity (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Amortized Cost | ||
Due in less than one year | $ 220,008 | |
Due in one year through five years | 189,795 | |
Due after five years through ten years | 233,100 | |
Due after ten years | 152,660 | |
Allocated and single maturity date | 795,563 | |
Amortized Cost | 1,034,993 | $ 917,412 |
Fair Value | ||
Due in less than one year | 214,856 | |
Due in one year through five years | 180,208 | |
Due after five years through ten years | 206,362 | |
Due after ten years | 134,736 | |
Allocated and single maturity date | 736,162 | |
Fair Value | 949,597 | 921,661 |
Amortized Cost | ||
Due in less than one year | 5,032 | |
Due in one year through five years | 510,548 | |
Due after five years through ten years | 26,740 | |
Due after ten years | 3,753 | |
Allocated and single maturity date | 546,073 | |
Amortized Cost | 686,424 | 651,803 |
Fair Value | ||
Due in less than one year | 5,022 | |
Due in one year through five years | 471,106 | |
Due after five years through ten years | 24,404 | |
Due after ten years | 3,654 | |
Allocated and single maturity date | 504,186 | |
Fair Value | 627,639 | 648,394 |
Mortgage-backed securities | ||
Amortized Cost | ||
Mortgage-backed securities | 239,430 | |
Amortized Cost | 239,430 | 270,017 |
Fair Value | ||
Mortgage-backed securities | 213,435 | |
Fair Value | 213,435 | 271,262 |
Amortized Cost | ||
Due in less than one year | 140,351 | |
Amortized Cost | 140,351 | 100,117 |
Fair Value | ||
Mortgage-backed securities | 123,453 | |
Fair Value | $ 123,453 | $ 99,611 |
Securities and Other Investments - Proceeds and realized gains or losses from the sale of AFS securities (Details) - USD ($) $ in Thousands |
9 Months Ended | |
---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Investments, Debt and Equity Securities [Abstract] | ||
Gross gains | $ 20 | $ 4 |
Gross losses | (5) | (17) |
Gains (losses) on sales of securities AFS, net | 15 | (13) |
Proceeds from sales of securities AFS | 23,984 | 15,975 |
Debt Securities, Available-for-sale [Line Items] | ||
Proceeds from sales of securities AFS | 23,984 | $ 15,975 |
Charter Bankshares, Inc. | ||
Investments, Debt and Equity Securities [Abstract] | ||
Proceeds from sales of securities AFS | 21,000 | |
Debt Securities, Available-for-sale [Line Items] | ||
Proceeds from sales of securities AFS | $ 21,000 |
Securities and Other Investments - Other Investments (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Investments, Debt and Equity Securities [Abstract] | ||
Federal Reserve Bank stock | $ 34,722 | $ 20,973 |
Federal Home Loan Bank (“FHLB”) stock | 22,939 | 10,545 |
Equity securities with readily determinable fair values | 4,482 | 5,660 |
Other investments | 17,136 | 6,830 |
Total other investments | $ 79,279 | $ 44,008 |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Summary of loan composition (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Jun. 30, 2022 |
Dec. 31, 2021 |
Sep. 30, 2021 |
Jun. 30, 2021 |
Dec. 31, 2020 |
---|---|---|---|---|---|---|
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 5,984,437 | $ 4,621,836 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | 60,348 | $ 50,655 | 49,672 | $ 38,399 | $ 32,561 | $ 32,173 |
Loans, net | $ 5,924,089 | $ 4,572,164 | ||||
Allowance for credit losses - Loans to loans (in percent) | 1.01% | 1.07% | ||||
% of Total | 100.00% | 100.00% | ||||
Retail & other | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 56,259 | $ 50,807 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 1,055 | $ 932 | 557 | |||
% of Total | 1.00% | 1.00% | ||||
Commercial | Commercial & industrial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 1,268,252 | $ 1,042,256 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 14,593 | $ 12,613 | 11,644 | |||
% of Total | 21.00% | 23.00% | ||||
Commercial | Owner-occupied commercial real estate (“CRE”) | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 954,933 | $ 787,189 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 8,698 | $ 7,222 | 5,872 | |||
% of Total | 16.00% | 17.00% | ||||
Commercial | Agricultural | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 1,017,498 | $ 794,728 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 10,394 | $ 9,547 | 1,395 | |||
% of Total | 17.00% | 17.00% | ||||
Commercial real estate | CRE investment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 1,132,951 | $ 818,061 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 11,673 | $ 8,462 | 5,441 | |||
% of Total | 19.00% | 18.00% | ||||
Commercial real estate | Construction & land development | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 306,446 | $ 213,035 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 2,417 | $ 1,812 | 984 | |||
% of Total | 5.00% | 5.00% | ||||
Residential | Residential first mortgage | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 970,384 | $ 713,983 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 8,294 | $ 6,844 | 4,773 | |||
% of Total | 16.00% | 15.00% | ||||
Residential | Residential junior mortgage | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 176,428 | $ 131,424 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 1,878 | $ 1,340 | 1,086 | |||
% of Total | 3.00% | 3.00% | ||||
Residential | Residential construction | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans | $ 101,286 | $ 70,353 | ||||
Less allowance for credit losses - Loans (“ACL-Loans”) | $ 1,346 | $ 900 | $ 421 | |||
% of Total | 2.00% | 1.00% |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Narrative (Details) |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2022
USD ($)
branch
|
Dec. 31, 2021
USD ($)
branch
|
|
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans (less than) | $ 5,984,437,000 | $ 4,621,836,000 |
Accrued interest on loans | 14,000,000 | 11,000,000 |
Material loans criteria for ACL-Loans adequacy calculation | 250,000 | |
Reserve for unfunded commitments | $ 3,000,000 | $ 2,400,000 |
Number of loans classified as troubled debt with subsequent default | branch | 0 | 0 |
Commercial | Paycheck Protection Program Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans (less than) | $ 1,000,000 | $ 25,000,000 |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Roll forward of allowance for credit losses-loans (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 50,655 | $ 32,561 | $ 49,672 | $ 32,173 | $ 32,173 |
ACL on PCD loans acquired | 1,709 | 1,896 | 1,709 | 1,896 | 5,159 |
Provision for credit losses | 8,200 | 4,000 | 9,100 | 4,500 | 12,500 |
Charge-offs | (300) | (107) | (442) | (436) | (513) |
Recoveries | 84 | 49 | 309 | 266 | 353 |
Net (charge-offs) recoveries | (216) | (58) | (133) | (170) | (160) |
Ending balance | $ 60,348 | $ 38,399 | $ 60,348 | $ 38,399 | $ 49,672 |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Activity in ACL-Loans by portfolio segment (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
ACL-Loans | |||||
Beginning balance | $ 50,655 | $ 32,561 | $ 49,672 | $ 32,173 | $ 32,173 |
ACL on PCD loans acquired | 1,709 | 1,896 | 1,709 | 1,896 | 5,159 |
Provision for credit losses | 8,200 | 4,000 | 9,100 | 4,500 | 12,500 |
Charge-offs | (300) | (107) | (442) | (436) | (513) |
Recoveries | 84 | 49 | 309 | 266 | 353 |
Net (charge-offs) recoveries | (216) | (58) | (133) | (170) | (160) |
Ending balance | 60,348 | $ 38,399 | $ 60,348 | 38,399 | $ 49,672 |
As % of ACL-Loans | 100.00% | 100.00% | |||
Retail & other | |||||
ACL-Loans | |||||
Beginning balance | $ 932 | 557 | $ 557 | ||
ACL on PCD loans acquired | 0 | 3 | |||
Provision for credit losses | 291 | 443 | |||
Charge-offs | (189) | (106) | |||
Recoveries | 21 | 35 | |||
Net (charge-offs) recoveries | (168) | (71) | |||
Ending balance | 1,055 | $ 1,055 | $ 932 | ||
As % of ACL-Loans | 2.00% | 2.00% | |||
Commercial | Commercial & industrial | |||||
ACL-Loans | |||||
Beginning balance | $ 12,613 | 11,644 | $ 11,644 | ||
ACL on PCD loans acquired | 1,408 | 723 | |||
Provision for credit losses | 621 | 196 | |||
Charge-offs | (152) | (242) | |||
Recoveries | 103 | 292 | |||
Net (charge-offs) recoveries | (49) | 50 | |||
Ending balance | 14,593 | $ 14,593 | $ 12,613 | ||
As % of ACL-Loans | 24.00% | 25.00% | |||
Commercial | Owner-occupied CRE | |||||
ACL-Loans | |||||
Beginning balance | $ 7,222 | 5,872 | $ 5,872 | ||
ACL on PCD loans acquired | 156 | 1,045 | |||
Provision for credit losses | 1,356 | 305 | |||
Charge-offs | (36) | 0 | |||
Recoveries | 0 | 0 | |||
Net (charge-offs) recoveries | (36) | 0 | |||
Ending balance | 8,698 | $ 8,698 | $ 7,222 | ||
As % of ACL-Loans | 15.00% | 14.00% | |||
Commercial | Agricultural | |||||
ACL-Loans | |||||
Beginning balance | $ 9,547 | 1,395 | $ 1,395 | ||
ACL on PCD loans acquired | 0 | 2,585 | |||
Provision for credit losses | 847 | 5,615 | |||
Charge-offs | 0 | (48) | |||
Recoveries | 0 | 0 | |||
Net (charge-offs) recoveries | 0 | (48) | |||
Ending balance | 10,394 | $ 10,394 | $ 9,547 | ||
As % of ACL-Loans | 17.00% | 19.00% | |||
Commercial real estate | CRE investment | |||||
ACL-Loans | |||||
Beginning balance | $ 8,462 | 5,441 | $ 5,441 | ||
ACL on PCD loans acquired | 38 | 415 | |||
Provision for credit losses | 3,004 | 2,608 | |||
Charge-offs | 0 | (4) | |||
Recoveries | 169 | 2 | |||
Net (charge-offs) recoveries | 169 | (2) | |||
Ending balance | 11,673 | $ 11,673 | $ 8,462 | ||
As % of ACL-Loans | 19.00% | 17.00% | |||
Commercial real estate | Construction & land development | |||||
ACL-Loans | |||||
Beginning balance | $ 1,812 | 984 | $ 984 | ||
ACL on PCD loans acquired | 2 | 103 | |||
Provision for credit losses | 603 | 725 | |||
Charge-offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Net (charge-offs) recoveries | 0 | 0 | |||
Ending balance | 2,417 | $ 2,417 | $ 1,812 | ||
As % of ACL-Loans | 4.00% | 4.00% | |||
Residential | Residential first mortgage | |||||
ACL-Loans | |||||
Beginning balance | $ 6,844 | 4,773 | $ 4,773 | ||
ACL on PCD loans acquired | 93 | 272 | |||
Provision for credit losses | 1,415 | 1,892 | |||
Charge-offs | (65) | (113) | |||
Recoveries | 7 | 20 | |||
Net (charge-offs) recoveries | (58) | (93) | |||
Ending balance | 8,294 | $ 8,294 | $ 6,844 | ||
As % of ACL-Loans | 14.00% | 14.00% | |||
Residential | Residential junior mortgage | |||||
ACL-Loans | |||||
Beginning balance | $ 1,340 | 1,086 | $ 1,086 | ||
ACL on PCD loans acquired | 12 | 13 | |||
Provision for credit losses | 517 | 237 | |||
Charge-offs | 0 | 0 | |||
Recoveries | 9 | 4 | |||
Net (charge-offs) recoveries | 9 | 4 | |||
Ending balance | 1,878 | $ 1,878 | $ 1,340 | ||
As % of ACL-Loans | 3.00% | 3.00% | |||
Residential | Residential construction | |||||
ACL-Loans | |||||
Beginning balance | $ 900 | $ 421 | $ 421 | ||
ACL on PCD loans acquired | 0 | 0 | |||
Provision for credit losses | 446 | 479 | |||
Charge-offs | 0 | 0 | |||
Recoveries | 0 | 0 | |||
Net (charge-offs) recoveries | 0 | 0 | |||
Ending balance | $ 1,346 | $ 1,346 | $ 900 | ||
As % of ACL-Loans | 2.00% | 2.00% |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Provision for Credit Losses (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
Receivables [Abstract] | |||||
Loans | $ 8,200 | $ 4,000 | $ 9,100 | $ 4,500 | $ 12,500 |
Unfunded Commitments | 400 | 2,000 | 550 | 2,000 | 2,400 |
Investment securities | 0 | 0 | 0 | 0 | 0 |
Total | $ 8,600 | $ 6,000 | $ 9,650 | $ 6,500 | $ 14,900 |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Collateral dependent loans by portfolio segment (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | $ 31,622 | $ 38,499 |
Without an Allowance | 23,049 | 31,279 |
With an Allowance | 8,573 | 7,220 |
Allowance Allocation | 1,405 | 2,269 |
Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 22,151 | 27,685 |
Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 9,471 | 10,814 |
Retail & other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Without an Allowance | 0 | 0 |
With an Allowance | 0 | 0 |
Allowance Allocation | 0 | 0 |
Retail & other | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Retail & other | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Commercial | Commercial & industrial | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 3,032 | 2,296 |
Without an Allowance | 1,443 | 1,842 |
With an Allowance | 1,589 | 454 |
Allowance Allocation | 661 | 258 |
Commercial | Commercial & industrial | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Commercial | Commercial & industrial | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 3,032 | 2,296 |
Commercial | Owner-occupied CRE | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 5,205 | 3,537 |
Without an Allowance | 3,526 | 1,315 |
With an Allowance | 1,679 | 2,222 |
Allowance Allocation | 297 | 552 |
Commercial | Owner-occupied CRE | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 5,205 | 3,537 |
Commercial | Owner-occupied CRE | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Commercial | Agricultural | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 20,413 | 28,155 |
Without an Allowance | 16,900 | 25,310 |
With an Allowance | 3,513 | 2,845 |
Allowance Allocation | 205 | 841 |
Commercial | Agricultural | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 13,974 | 19,637 |
Commercial | Agricultural | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 6,439 | 8,518 |
Commercial real estate | CRE investment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 2,196 | 3,000 |
Without an Allowance | 404 | 1,684 |
With an Allowance | 1,792 | 1,316 |
Allowance Allocation | 242 | 407 |
Commercial real estate | CRE investment | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 2,196 | 3,000 |
Commercial real estate | CRE investment | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Commercial real estate | Construction & land development | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 685 | 1,038 |
Without an Allowance | 685 | 655 |
With an Allowance | 0 | 383 |
Allowance Allocation | 0 | 211 |
Commercial real estate | Construction & land development | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 685 | 1,038 |
Commercial real estate | Construction & land development | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Residential | Residential first mortgage | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 91 | 473 |
Without an Allowance | 91 | 473 |
With an Allowance | 0 | 0 |
Allowance Allocation | 0 | 0 |
Residential | Residential first mortgage | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 91 | 473 |
Residential | Residential first mortgage | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Residential | Residential junior mortgage | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Without an Allowance | 0 | 0 |
With an Allowance | 0 | 0 |
Allowance Allocation | 0 | 0 |
Residential | Residential junior mortgage | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Residential | Residential junior mortgage | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Residential | Residential construction | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Without an Allowance | 0 | 0 |
With an Allowance | 0 | 0 |
Allowance Allocation | 0 | 0 |
Residential | Residential construction | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | 0 | 0 |
Residential | Residential construction | Other Business Assets | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Loans | $ 0 | $ 0 |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Summary of loans by past due status (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 5,984,437 | $ 4,621,836 |
Percent of total loans | 100.00% | 100.00% |
30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 4,059 | $ 3,292 |
Percent past due | 0.10% | 0.10% |
90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 38,326 | $ 44,154 |
Percent past due | 0.60% | 0.90% |
Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 5,942,052 | $ 4,574,390 |
Percent of current loans | 99.30% | 99.00% |
Retail & other | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 56,259 | $ 50,807 |
Retail & other | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 138 | 115 |
Retail & other | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 99 | 94 |
Retail & other | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 56,022 | 50,598 |
Commercial | Commercial & industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,268,252 | 1,042,256 |
Commercial | Commercial & industrial | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 954 | 94 |
Commercial | Commercial & industrial | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 3,052 | 1,908 |
Commercial | Commercial & industrial | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,264,246 | 1,040,254 |
Commercial | Owner-occupied CRE | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 954,933 | 787,189 |
Commercial | Owner-occupied CRE | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 513 | 0 |
Commercial | Owner-occupied CRE | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 5,806 | 4,220 |
Commercial | Owner-occupied CRE | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 948,614 | 782,969 |
Commercial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,017,498 | 794,728 |
Commercial | Agricultural | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 108 |
Commercial | Agricultural | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 20,646 | 28,367 |
Commercial | Agricultural | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 996,852 | 766,253 |
Commercial real estate | CRE investment | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,132,951 | 818,061 |
Commercial real estate | CRE investment | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 27 | 114 |
Commercial real estate | CRE investment | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 3,343 | 4,119 |
Commercial real estate | CRE investment | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,129,581 | 813,828 |
Commercial real estate | Construction & land development | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 306,446 | 213,035 |
Commercial real estate | Construction & land development | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 0 |
Commercial real estate | Construction & land development | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 794 | 1,071 |
Commercial real estate | Construction & land development | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 305,652 | 211,964 |
Residential | Residential first mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 970,384 | 713,983 |
Residential | Residential first mortgage | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,621 | 2,592 |
Residential | Residential first mortgage | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 4,309 | 4,132 |
Residential | Residential first mortgage | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 964,454 | 707,259 |
Residential | Residential junior mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 176,428 | 131,424 |
Residential | Residential junior mortgage | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 249 | 23 |
Residential | Residential junior mortgage | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 277 | 243 |
Residential | Residential junior mortgage | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 175,902 | 131,158 |
Residential | Residential construction | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 101,286 | 70,353 |
Residential | Residential construction | 30-89 Days Past Due (accruing) | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 557 | 246 |
Residential | Residential construction | 90 Days & Over or nonaccrual | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 0 |
Residential | Residential construction | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 100,729 | $ 70,107 |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Nonaccrual loans by portfolio segment (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 38,326 | $ 44,154 |
Percent of total loans | 0.60% | 0.90% |
% of Total | 100.00% | 100.00% |
Retail & other | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 99 | $ 94 |
% of Total | 0.00% | 0.00% |
Commercial | Commercial & industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 3,052 | $ 1,908 |
% of Total | 8.00% | 4.00% |
Commercial | Owner-occupied CRE | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 5,806 | $ 4,220 |
% of Total | 15.00% | 10.00% |
Commercial | Agricultural | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 20,646 | $ 28,367 |
% of Total | 54.00% | 64.00% |
Commercial real estate | CRE investment | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 3,343 | $ 4,119 |
% of Total | 9.00% | 9.00% |
Commercial real estate | Construction & land development | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 794 | $ 1,071 |
% of Total | 2.00% | 3.00% |
Residential | Residential first mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 4,309 | $ 4,132 |
% of Total | 11.00% | 9.00% |
Residential | Residential junior mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 277 | $ 243 |
% of Total | 1.00% | 1.00% |
Residential | Residential construction | ||
Financing Receivable, Past Due [Line Items] | ||
Nonaccrual Loans | $ 0 | $ 0 |
% of Total | 0.00% | 0.00% |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Summary of loans by loan risk categories (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | $ 1,246,029 | $ 1,211,408 |
2021/2020 | 1,310,082 | 733,060 |
2020/2019 | 721,919 | 592,366 |
2019/2018 | 463,319 | 306,359 |
2018/2017 | 329,121 | 283,629 |
Prior | 1,102,946 | 771,550 |
Revolving | 805,725 | 722,034 |
Revolving to Term | 5,296 | 1,430 |
Loans | $ 5,984,437 | $ 4,621,836 |
Percent of total | 100.00% | 100.00% |
Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 5,622,985 | $ 4,294,134 |
Percent of total | 93.90% | 92.90% |
Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 230,584 | $ 224,741 |
Percent of total | 3.90% | 4.90% |
Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 46,102 | $ 5,703 |
Percent of total | 0.80% | 0.10% |
Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 84,766 | $ 97,258 |
Percent of total | 1.40% | 2.10% |
Retail & other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | $ 11,363 | $ 13,676 |
2021/2020 | 9,873 | 6,910 |
2020/2019 | 4,767 | 5,828 |
2019/2018 | 3,679 | 2,072 |
2018/2017 | 1,250 | 1,882 |
Prior | 24,660 | 20,164 |
Revolving | 667 | 275 |
Revolving to Term | 0 | 0 |
Loans | 56,259 | 50,807 |
Retail & other | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 11,363 | 13,676 |
2021/2020 | 9,873 | 6,886 |
2020/2019 | 4,751 | 5,826 |
2019/2018 | 3,677 | 2,053 |
2018/2017 | 1,220 | 1,882 |
Prior | 24,608 | 20,102 |
Revolving | 667 | 275 |
Revolving to Term | 0 | 0 |
Loans | 56,159 | 50,700 |
Retail & other | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 0 | 0 |
Retail & other | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 0 | 0 |
Retail & other | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 24 |
2020/2019 | 16 | 2 |
2019/2018 | 2 | 19 |
2018/2017 | 30 | 0 |
Prior | 52 | 62 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 100 | 107 |
Commercial | Commercial & industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 262,610 | 284,652 |
2021/2020 | 255,619 | 148,530 |
2020/2019 | 123,529 | 104,779 |
2019/2018 | 81,743 | 76,311 |
2018/2017 | 56,088 | 56,460 |
Prior | 100,806 | 74,178 |
Revolving | 387,857 | 297,346 |
Revolving to Term | 0 | 0 |
Loans | 1,268,252 | 1,042,256 |
Commercial | Commercial & industrial | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 254,713 | 282,369 |
2021/2020 | 246,195 | 146,131 |
2020/2019 | 108,418 | 99,702 |
2019/2018 | 76,355 | 69,478 |
2018/2017 | 52,099 | 50,557 |
Prior | 83,341 | 71,247 |
Revolving | 349,324 | 288,115 |
Revolving to Term | 0 | 0 |
Loans | 1,170,445 | 1,007,599 |
Commercial | Commercial & industrial | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 7,187 | 1,685 |
2021/2020 | 7,423 | 1,905 |
2020/2019 | 11,052 | 4,369 |
2019/2018 | 2,084 | 5,809 |
2018/2017 | 2,734 | 4,860 |
Prior | 4,344 | 2,097 |
Revolving | 18,807 | 8,408 |
Revolving to Term | 0 | 0 |
Loans | 53,631 | 29,133 |
Commercial | Commercial & industrial | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 158 | 598 |
2021/2020 | 1,649 | 54 |
2020/2019 | 675 | 16 |
2019/2018 | 638 | 687 |
2018/2017 | 453 | 67 |
Prior | 11,972 | 91 |
Revolving | 14,718 | 391 |
Revolving to Term | 0 | 0 |
Loans | 30,263 | 1,904 |
Commercial | Commercial & industrial | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 552 | 0 |
2021/2020 | 352 | 440 |
2020/2019 | 3,384 | 692 |
2019/2018 | 2,666 | 337 |
2018/2017 | 802 | 976 |
Prior | 1,149 | 743 |
Revolving | 5,008 | 432 |
Revolving to Term | 0 | 0 |
Loans | 13,913 | 3,620 |
Commercial | Owner-occupied CRE | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 131,362 | 162,331 |
2021/2020 | 195,086 | 100,443 |
2020/2019 | 120,690 | 115,311 |
2019/2018 | 110,431 | 94,671 |
2018/2017 | 97,579 | 81,644 |
Prior | 291,661 | 224,198 |
Revolving | 8,124 | 8,591 |
Revolving to Term | 0 | 0 |
Loans | 954,933 | 787,189 |
Commercial | Owner-occupied CRE | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 128,054 | 154,578 |
2021/2020 | 189,922 | 94,300 |
2020/2019 | 111,622 | 105,226 |
2019/2018 | 104,840 | 92,128 |
2018/2017 | 93,619 | 75,583 |
Prior | 269,617 | 202,816 |
Revolving | 7,952 | 6,945 |
Revolving to Term | 0 | 0 |
Loans | 905,626 | 731,576 |
Commercial | Owner-occupied CRE | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 2,868 | 7,753 |
2021/2020 | 4,750 | 3,019 |
2020/2019 | 2,824 | 6,529 |
2019/2018 | 2,826 | 2,543 |
2018/2017 | 3,875 | 2,515 |
Prior | 14,325 | 13,905 |
Revolving | 172 | 656 |
Revolving to Term | 0 | 0 |
Loans | 31,640 | 36,920 |
Commercial | Owner-occupied CRE | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 1,642 |
2019/2018 | 2,388 | 0 |
2018/2017 | 0 | 20 |
Prior | 887 | 805 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 3,275 | 2,467 |
Commercial | Owner-occupied CRE | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 440 | 0 |
2021/2020 | 414 | 3,124 |
2020/2019 | 6,244 | 1,914 |
2019/2018 | 377 | 0 |
2018/2017 | 85 | 3,526 |
Prior | 6,832 | 6,672 |
Revolving | 0 | 990 |
Revolving to Term | 0 | 0 |
Loans | 14,392 | 16,226 |
Commercial | Agricultural | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 257,617 | 146,522 |
2021/2020 | 174,031 | 96,036 |
2020/2019 | 97,246 | 34,333 |
2019/2018 | 30,270 | 28,003 |
2018/2017 | 26,126 | 47,511 |
Prior | 203,697 | 167,198 |
Revolving | 228,511 | 275,125 |
Revolving to Term | 0 | 0 |
Loans | 1,017,498 | 794,728 |
Commercial | Agricultural | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 238,387 | 128,404 |
2021/2020 | 154,364 | 87,844 |
2020/2019 | 93,529 | 28,416 |
2019/2018 | 26,185 | 22,887 |
2018/2017 | 20,967 | 36,298 |
Prior | 135,426 | 86,104 |
Revolving | 195,784 | 235,743 |
Revolving to Term | 0 | 0 |
Loans | 864,642 | 625,696 |
Commercial | Agricultural | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 12,109 | 14,796 |
2021/2020 | 15,525 | 4,183 |
2020/2019 | 2,823 | 2,391 |
2019/2018 | 2,028 | 915 |
2018/2017 | 1,504 | 3,912 |
Prior | 42,561 | 48,373 |
Revolving | 23,090 | 26,778 |
Revolving to Term | 0 | 0 |
Loans | 99,640 | 101,348 |
Commercial | Agricultural | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 49 | 38 |
2021/2020 | 1,491 | 38 |
2020/2019 | 31 | 36 |
2019/2018 | 33 | 0 |
2018/2017 | 0 | 86 |
Prior | 5,322 | 1,049 |
Revolving | 425 | 85 |
Revolving to Term | 0 | 0 |
Loans | 7,351 | 1,332 |
Commercial | Agricultural | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 7,072 | 3,284 |
2021/2020 | 2,651 | 3,971 |
2020/2019 | 863 | 3,490 |
2019/2018 | 2,024 | 4,201 |
2018/2017 | 3,655 | 7,215 |
Prior | 20,388 | 31,672 |
Revolving | 9,212 | 12,519 |
Revolving to Term | 0 | 0 |
Loans | 45,865 | 66,352 |
Commercial real estate | CRE investment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 168,715 | 203,355 |
2021/2020 | 230,373 | 142,128 |
2020/2019 | 200,272 | 143,259 |
2019/2018 | 146,136 | 60,234 |
2018/2017 | 83,051 | 73,104 |
Prior | 290,093 | 184,461 |
Revolving | 14,311 | 11,520 |
Revolving to Term | 0 | 0 |
Loans | 1,132,951 | 818,061 |
Commercial real estate | CRE investment | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 167,931 | 192,274 |
2021/2020 | 228,709 | 139,127 |
2020/2019 | 195,020 | 136,306 |
2019/2018 | 141,749 | 56,148 |
2018/2017 | 79,790 | 65,026 |
Prior | 261,027 | 162,991 |
Revolving | 13,890 | 11,289 |
Revolving to Term | 0 | 0 |
Loans | 1,088,116 | 763,161 |
Commercial real estate | CRE investment | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 784 | 11,081 |
2021/2020 | 1,664 | 3,001 |
2020/2019 | 5,252 | 6,497 |
2019/2018 | 3,131 | 3,945 |
2018/2017 | 983 | 6,726 |
Prior | 24,997 | 17,527 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 36,811 | 48,777 |
Commercial real estate | CRE investment | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 1,183 | 0 |
2018/2017 | 2,029 | 0 |
Prior | 1,078 | 0 |
Revolving | 206 | 0 |
Revolving to Term | 0 | 0 |
Loans | 4,496 | 0 |
Commercial real estate | CRE investment | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 456 |
2019/2018 | 73 | 141 |
2018/2017 | 249 | 1,352 |
Prior | 2,991 | 3,943 |
Revolving | 215 | 231 |
Revolving to Term | 0 | 0 |
Loans | 3,528 | 6,123 |
Commercial real estate | Construction & land development | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 82,769 | 82,531 |
2021/2020 | 139,561 | 72,415 |
2020/2019 | 15,958 | 13,068 |
2019/2018 | 10,492 | 20,430 |
2018/2017 | 27,553 | 1,201 |
Prior | 15,752 | 12,447 |
Revolving | 14,361 | 10,943 |
Revolving to Term | 0 | 0 |
Loans | 306,446 | 213,035 |
Commercial real estate | Construction & land development | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 82,695 | 81,891 |
2021/2020 | 139,561 | 72,415 |
2020/2019 | 15,958 | 12,547 |
2019/2018 | 9,979 | 19,511 |
2018/2017 | 27,553 | 1,184 |
Prior | 14,936 | 11,274 |
Revolving | 14,361 | 10,943 |
Revolving to Term | 0 | 0 |
Loans | 305,043 | 209,765 |
Commercial real estate | Construction & land development | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 40 | 640 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 521 |
2019/2018 | 513 | 919 |
2018/2017 | 0 | 0 |
Prior | 22 | 119 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 575 | 2,199 |
Commercial real estate | Construction & land development | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 0 | 0 |
Commercial real estate | Construction & land development | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 34 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 17 |
Prior | 794 | 1,054 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 828 | 1,071 |
Residential | Residential first mortgage | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 262,463 | 256,795 |
2021/2020 | 268,146 | 153,461 |
2020/2019 | 152,653 | 172,359 |
2019/2018 | 77,189 | 22,793 |
2018/2017 | 35,391 | 20,220 |
Prior | 171,944 | 86,511 |
Revolving | 2,595 | 1,840 |
Revolving to Term | 3 | 4 |
Loans | 970,384 | 713,983 |
Residential | Residential first mortgage | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 261,535 | 256,082 |
2021/2020 | 266,465 | 152,932 |
2020/2019 | 151,436 | 168,705 |
2019/2018 | 73,915 | 22,568 |
2018/2017 | 32,871 | 20,147 |
Prior | 167,038 | 82,479 |
Revolving | 2,595 | 1,840 |
Revolving to Term | 3 | 4 |
Loans | 955,858 | 704,757 |
Residential | Residential first mortgage | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 928 | 713 |
2021/2020 | 1,349 | 529 |
2020/2019 | 1,006 | 3,094 |
2019/2018 | 2,147 | 0 |
2018/2017 | 2,295 | 0 |
Prior | 418 | 1,508 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 8,143 | 5,844 |
Residential | Residential first mortgage | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 717 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 717 | 0 |
Residential | Residential first mortgage | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 332 | 0 |
2020/2019 | 211 | 560 |
2019/2018 | 410 | 225 |
2018/2017 | 225 | 73 |
Prior | 4,488 | 2,524 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 5,666 | 3,382 |
Residential | Residential junior mortgage | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 7,864 | 3,194 |
2021/2020 | 5,084 | 3,139 |
2020/2019 | 5,314 | 3,222 |
2019/2018 | 3,254 | 1,501 |
2018/2017 | 1,745 | 535 |
Prior | 3,669 | 2,013 |
Revolving | 144,205 | 116,394 |
Revolving to Term | 5,293 | 1,426 |
Loans | 176,428 | 131,424 |
Residential | Residential junior mortgage | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 7,864 | 3,194 |
2021/2020 | 4,875 | 3,139 |
2020/2019 | 5,314 | 3,021 |
2019/2018 | 3,227 | 1,501 |
2018/2017 | 1,745 | 512 |
Prior | 3,439 | 1,969 |
Revolving | 144,053 | 115,817 |
Revolving to Term | 5,293 | 1,426 |
Loans | 175,810 | 130,579 |
Residential | Residential junior mortgage | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 29 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 144 | 0 |
Revolving | 0 | 439 |
Revolving to Term | 0 | 0 |
Loans | 144 | 468 |
Residential | Residential junior mortgage | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 0 | 0 |
Residential | Residential junior mortgage | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 209 | 0 |
2020/2019 | 0 | 172 |
2019/2018 | 27 | 0 |
2018/2017 | 0 | 23 |
Prior | 86 | 44 |
Revolving | 152 | 138 |
Revolving to Term | 0 | 0 |
Loans | 474 | 377 |
Residential | Residential construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 61,266 | 58,352 |
2021/2020 | 32,309 | 9,998 |
2020/2019 | 1,490 | 207 |
2019/2018 | 125 | 344 |
2018/2017 | 338 | 1,072 |
Prior | 664 | 380 |
Revolving | 5,094 | 0 |
Revolving to Term | 0 | 0 |
Loans | 101,286 | 70,353 |
Residential | Residential construction | Grades 1-4 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 61,266 | 58,352 |
2021/2020 | 32,309 | 9,998 |
2020/2019 | 1,490 | 155 |
2019/2018 | 125 | 344 |
2018/2017 | 338 | 1,072 |
Prior | 664 | 380 |
Revolving | 5,094 | 0 |
Revolving to Term | 0 | 0 |
Loans | 101,286 | 70,301 |
Residential | Residential construction | Grade 5 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 52 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 0 | 52 |
Residential | Residential construction | Grade 6 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | 0 | 0 |
Residential | Residential construction | Grade 7 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022/2021 | 0 | 0 |
2021/2020 | 0 | 0 |
2020/2019 | 0 | 0 |
2019/2018 | 0 | 0 |
2018/2017 | 0 | 0 |
Prior | 0 | 0 |
Revolving | 0 | 0 |
Revolving to Term | 0 | 0 |
Loans | $ 0 | $ 0 |
Loans, Allowance for Credit Losses - Loans, and Credit Quality - Trouble Debt Restructuring (Details) $ in Thousands |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2022
USD ($)
loan
|
Dec. 31, 2021
USD ($)
loan
|
|
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 17,430 | $ 25,686 |
Number of loans classified as troubled debt | loan | 36 | 44 |
Pre-modification balance | $ 22,466 | $ 26,890 |
Troubled debt restructuring current outstanding balance | 17,430 | 25,686 |
Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 5,443 |
Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 17,430 | 20,243 |
Commercial | Commercial & industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 223 | $ 197 |
Number of loans classified as troubled debt | loan | 4 | 2 |
Pre-modification balance | $ 240 | $ 200 |
Troubled debt restructuring current outstanding balance | 223 | 197 |
Commercial | Commercial & industrial | Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 0 |
Commercial | Commercial & industrial | Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 223 | 197 |
Commercial | Owner-occupied CRE | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 2,639 | $ 6,354 |
Number of loans classified as troubled debt | loan | 3 | 6 |
Pre-modification balance | $ 5,138 | $ 6,913 |
Troubled debt restructuring current outstanding balance | 2,639 | 6,354 |
Commercial | Owner-occupied CRE | Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 3,466 |
Commercial | Owner-occupied CRE | Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 2,639 | 2,888 |
Commercial | Agricultural | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 14,181 | $ 16,835 |
Number of loans classified as troubled debt | loan | 26 | 31 |
Pre-modification balance | $ 16,237 | $ 17,228 |
Troubled debt restructuring current outstanding balance | 14,181 | 16,835 |
Commercial | Agricultural | Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 0 |
Commercial | Agricultural | Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 14,181 | 16,835 |
Commercial real estate | CRE investment | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 299 | $ 918 |
Number of loans classified as troubled debt | loan | 1 | 1 |
Pre-modification balance | $ 301 | $ 919 |
Troubled debt restructuring current outstanding balance | 299 | 918 |
Commercial real estate | CRE investment | Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 918 |
Commercial real estate | CRE investment | Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 299 | 0 |
Commercial real estate | Construction & land development | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 75 | $ 308 |
Number of loans classified as troubled debt | loan | 1 | 1 |
Pre-modification balance | $ 533 | $ 533 |
Troubled debt restructuring current outstanding balance | 75 | 308 |
Commercial real estate | Construction & land development | Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 0 |
Commercial real estate | Construction & land development | Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 75 | 308 |
Residential | Residential first mortgage | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 13 | $ 928 |
Number of loans classified as troubled debt | loan | 1 | 2 |
Pre-modification balance | $ 17 | $ 931 |
Troubled debt restructuring current outstanding balance | 13 | 928 |
Residential | Residential first mortgage | Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 913 |
Residential | Residential first mortgage | Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 13 | 15 |
Residential | Residential junior mortgage | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 0 | $ 146 |
Number of loans classified as troubled debt | loan | 0 | 1 |
Pre-modification balance | $ 0 | $ 166 |
Troubled debt restructuring current outstanding balance | 0 | 146 |
Residential | Residential junior mortgage | Performing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | 0 | 146 |
Residential | Residential junior mortgage | Nonaccrual | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructurings | $ 0 | $ 0 |
Goodwill and Other Intangibles and Servicing Rights - Goodwill and other intangibles (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
---|---|---|---|
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | $ 369,849 | $ 317,189 | $ 163,151 |
Other intangibles | 37,268 | 22,303 | |
Goodwill and other intangibles, net | 407,117 | 339,492 | |
Core deposit intangibles | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other intangibles | 34,791 | 19,445 | |
Customer list intangibles | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other intangibles | $ 2,477 | $ 2,858 |
Goodwill and Other Intangibles and Servicing Rights - Goodwill (Details) - USD ($) $ in Thousands |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2022 |
Dec. 31, 2021 |
|
Goodwill: | ||
Goodwill at beginning of year | $ 317,189 | $ 163,151 |
Acquisitions | 52,660 | 154,038 |
Goodwill at end of period | $ 369,849 | $ 317,189 |
Goodwill and Other Intangibles and Servicing Rights - Other intangible assets (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
|
Finite-Lived Intangible Assets [Line Items] | |||||
Net book value | $ 37,268 | $ 37,268 | $ 22,303 | ||
Amortization during the period | 1,628 | $ 758 | 4,399 | $ 2,400 | |
Core deposit intangibles: | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross carrying amount | 60,724 | 60,724 | 41,360 | ||
Accumulated amortization | (25,933) | (25,933) | (21,915) | ||
Net book value | 34,791 | 34,791 | 19,445 | ||
Additions during the period | 19,364 | 13,595 | |||
Amortization during the period | 4,018 | 2,987 | |||
Customer list intangibles: | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross carrying amount | 5,523 | 5,523 | 5,523 | ||
Accumulated amortization | (3,046) | (3,046) | (2,665) | ||
Net book value | $ 2,477 | 2,477 | 2,858 | ||
Amortization during the period | $ 381 | $ 507 |
Goodwill and Other Intangibles and Servicing Rights - Mortgage servicing rights (Details) - Mortgage Servicing Rights - USD ($) $ in Thousands |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2022 |
Dec. 31, 2021 |
|
Mortgage servicing rights asset: | ||
MSR asset at beginning of year | $ 13,636 | $ 10,230 |
Capitalized MSR | 2,127 | 4,329 |
MSR asset acquired | 0 | 1,322 |
Amortization during the period | (2,145) | (2,245) |
MSR asset at end of period | 13,618 | 13,636 |
Valuation Allowance: | ||
Valuation allowance at beginning of year | (1,200) | (1,000) |
Additions | 0 | (500) |
Reversals | 700 | 300 |
Valuation allowance at end of period | (500) | (1,200) |
MSR asset, net | 13,118 | 12,436 |
Fair value of MSR asset at end of period | 16,740 | 15,599 |
Residential mortgage loans serviced for others | $ 1,649,187 | $ 1,583,577 |
Net book value of MSR asset to loans serviced for others | 0.80% | 0.79% |
Goodwill and Other Intangibles and Servicing Rights - Narrative (Details) - LSR asset $ in Millions |
Sep. 30, 2022
USD ($)
|
---|---|
Finite-Lived Intangible Assets [Line Items] | |
Servicing asset | $ 13 |
Loans serviced for others | $ 553 |
Goodwill and Other Intangibles and Servicing Rights - Estimated future amortization expense (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Finite-Lived Intangible Assets [Line Items] | ||
Net book value | $ 37,268 | $ 22,303 |
Core deposit intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
2022 (remaining three months) | 2,091 | |
2023 | 7,589 | |
2024 | 6,298 | |
2025 | 5,161 | |
2026 | 3,983 | |
2027 | 3,218 | |
Thereafter | 6,451 | |
Net book value | 34,791 | 19,445 |
Customer list intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
2022 (remaining three months) | 126 | |
2023 | 483 | |
2024 | 449 | |
2025 | 449 | |
2026 | 249 | |
2027 | 166 | |
Thereafter | 555 | |
Net book value | 2,477 | $ 2,858 |
MSR asset | ||
Finite-Lived Intangible Assets [Line Items] | ||
2022 (remaining three months) | 386 | |
2023 | 2,735 | |
2024 | 2,635 | |
2025 | 1,884 | |
2026 | 1,394 | |
2027 | 1,394 | |
Thereafter | 3,190 | |
Net book value | 13,618 | |
LSR asset | ||
Finite-Lived Intangible Assets [Line Items] | ||
2022 (remaining three months) | 2,004 | |
2023 | 6,345 | |
2024 | 3,673 | |
2025 | 1,020 | |
2026 | 0 | |
2027 | 0 | |
Thereafter | 0 | |
Net book value | $ 13,042 |
Short and Long-Term Borrowings - Narrative (Details) |
1 Months Ended | 24 Months Ended | 48 Months Ended | 60 Months Ended | ||
---|---|---|---|---|---|---|
Dec. 31, 2021
USD ($)
note
|
Dec. 31, 2028 |
Dec. 31, 2030 |
Jul. 15, 2031 |
Sep. 30, 2022
USD ($)
|
Jul. 31, 2021
USD ($)
|
|
Debt Instrument | ||||||
Short-term borrowings | $ 0 | $ 280,000,000 | ||||
Trust preferred securities qualify as Tier 1 capital | $ 37,000,000 | $ 38,000,000 | ||||
FHLB advances | ||||||
Debt Instrument | ||||||
FHLB weighted average interest rate at period end | 0.59% | 1.09% | ||||
Subordinated notes | ||||||
Debt Instrument | ||||||
Number of notes assumed | note | 2 | |||||
Face amount issued | $ 152,400,000 | |||||
Subordinated Notes due 2031 | Subordinated notes | ||||||
Debt Instrument | ||||||
Face amount issued | 100,000,000 | $ 100,000,000 | ||||
Subordinated Notes due 2031 | Subordinated notes | Interest Rate For The Years One Through 5 | ||||||
Debt Instrument | ||||||
Fixed interest rate | 3.125% | |||||
Subordinated Notes due 2031 | Subordinated notes | SOFR | Forecast | Interest Rate After Year Five | ||||||
Debt Instrument | ||||||
Floating interest rate basis spread | 2.375% | |||||
County Subordinated Notes due 2028 | Subordinated notes | ||||||
Debt Instrument | ||||||
Face amount issued | $ 30,000,000 | 30,000,000 | ||||
County Subordinated Notes due 2028 | Subordinated notes | Interest Rate For The Years One Through 5 | ||||||
Debt Instrument | ||||||
Fixed interest rate | 5.875% | |||||
County Subordinated Notes due 2028 | Subordinated notes | London Interbank Offered Rate (LIBOR) | Forecast | Interest Rate After Year Five | ||||||
Debt Instrument | ||||||
Floating interest rate basis spread | 2.88% | |||||
County Subordinated Notes due 2030 | Subordinated notes | ||||||
Debt Instrument | ||||||
Face amount issued | $ 22,000,000 | 22,400,000 | ||||
County Subordinated Notes due 2030 | Subordinated notes | Interest Rate For The Years One Through 5 | ||||||
Debt Instrument | ||||||
Fixed interest rate | 7.00% | |||||
County Subordinated Notes due 2030 | Subordinated notes | SOFR | Forecast | Interest Rate After Year Five | ||||||
Debt Instrument | ||||||
Floating interest rate basis spread | 6.875% | |||||
FHLB advances | ||||||
Debt Instrument | ||||||
Short-term borrowings | 280,000,000 | |||||
FHLB advances | Maturing October 2022 | ||||||
Debt Instrument | ||||||
Short-term borrowings | $ 80,000,000 | |||||
Weighted average interest rate on short-term debt | 2.70% | |||||
FHLB advances | Maturing September 2023 | ||||||
Debt Instrument | ||||||
Short-term borrowings | $ 200,000,000 | |||||
Weighted average interest rate on short-term debt | 4.30% |
Short and Long-Term Borrowings - Long-term Borrowings (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Debt Instrument | ||
Long-term borrowings | $ 225,236 | $ 216,915 |
FHLB advances | ||
Debt Instrument | ||
Long-term borrowings | 33,000 | 25,000 |
Junior subordinated debentures | ||
Debt Instrument | ||
Long-term borrowings | 39,512 | 38,885 |
Subordinated notes | ||
Debt Instrument | ||
Long-term borrowings | $ 152,724 | $ 153,030 |
Short and Long-Term Borrowings - Junior Subordinated Debentures (Details) - USD ($) |
9 Months Ended | ||
---|---|---|---|
Sep. 30, 2022 |
Dec. 31, 2021 |
Jul. 31, 2021 |
|
Debt Instrument [Line Items] | |||
Carrying Value | $ 225,236,000 | $ 216,915,000 | |
Junior subordinated debentures | |||
Debt Instrument [Line Items] | |||
Par | 48,045,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | (8,533,000) | ||
Carrying Value | $ 39,512,000 | $ 38,885,000 | |
Junior subordinated debentures | 2005 Mid-Wisconsin Financial Services, Inc. | |||
Debt Instrument [Line Items] | |||
Interest Rate | 4.72% | 1.63% | |
Par | $ 10,310,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | (2,625,000) | ||
Carrying Value | $ 7,685,000 | $ 7,537,000 | |
Junior subordinated debentures | 2006 Baylake Corp. | |||
Debt Instrument [Line Items] | |||
Interest Rate | 5.02% | 1.57% | |
Par | $ 16,598,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | (3,233,000) | ||
Carrying Value | $ 13,365,000 | $ 13,187,000 | |
Junior subordinated debentures | 2004 First Menasha Bancshares, Inc. | |||
Debt Instrument [Line Items] | |||
Interest Rate | 6.32% | 3.01% | |
Par | $ 5,155,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | (498,000) | ||
Carrying Value | $ 4,657,000 | $ 4,624,000 | |
Junior subordinated debentures | County Bancorp Statutory Trust II | |||
Debt Instrument [Line Items] | |||
Interest Rate | 4.82% | 1.73% | |
Par | $ 6,186,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | (948,000) | ||
Carrying Value | $ 5,238,000 | $ 5,061,000 | |
Junior subordinated debentures | County Bancorp Statutory Trust III | |||
Debt Instrument [Line Items] | |||
Interest Rate | 4.98% | 1.89% | |
Par | $ 6,186,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | (1,006,000) | ||
Carrying Value | $ 5,180,000 | $ 5,121,000 | |
Junior subordinated debentures | Fox River Valley Capital Trust | |||
Debt Instrument [Line Items] | |||
Interest Rate | 6.40% | 6.40% | |
Par | $ 3,610,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | (223,000) | ||
Carrying Value | $ 3,387,000 | $ 3,355,000 | |
Junior subordinated debentures | London Interbank Offered Rate (LIBOR) | 2005 Mid-Wisconsin Financial Services, Inc. | |||
Debt Instrument [Line Items] | |||
Floating interest rate basis spread | 1.43% | ||
Junior subordinated debentures | London Interbank Offered Rate (LIBOR) | 2006 Baylake Corp. | |||
Debt Instrument [Line Items] | |||
Floating interest rate basis spread | 1.35% | ||
Junior subordinated debentures | London Interbank Offered Rate (LIBOR) | 2004 First Menasha Bancshares, Inc. | |||
Debt Instrument [Line Items] | |||
Floating interest rate basis spread | 2.79% | ||
Junior subordinated debentures | London Interbank Offered Rate (LIBOR) | County Bancorp Statutory Trust II | |||
Debt Instrument [Line Items] | |||
Floating interest rate basis spread | 1.53% | ||
Junior subordinated debentures | London Interbank Offered Rate (LIBOR) | County Bancorp Statutory Trust III | |||
Debt Instrument [Line Items] | |||
Floating interest rate basis spread | 1.69% | ||
Junior subordinated debentures | London Interbank Offered Rate (LIBOR) | Fox River Valley Capital Trust | |||
Debt Instrument [Line Items] | |||
Floating interest rate basis spread | 3.40% | ||
Subordinated notes | |||
Debt Instrument [Line Items] | |||
Par | $ 152,400,000 | ||
Unamortized Premium /(Discount) / Debt Issue Costs | 324,000 | ||
Carrying Value | $ 152,724,000 | $ 153,030,000 | |
Subordinated notes | Subordinated Notes due 2031 | |||
Debt Instrument [Line Items] | |||
Interest Rate | 3.13% | 3.13% | |
Par | $ 100,000,000 | $ 100,000,000 | |
Unamortized Premium /(Discount) / Debt Issue Costs | (785,000) | ||
Carrying Value | $ 99,215,000 | $ 99,057,000 | |
Subordinated notes | County Subordinated Notes due 2028 | |||
Debt Instrument [Line Items] | |||
Interest Rate | 5.88% | 5.88% | |
Par | $ 30,000,000 | $ 30,000,000 | |
Unamortized Premium /(Discount) / Debt Issue Costs | 189,000 | ||
Carrying Value | $ 30,189,000 | $ 30,402,000 | |
Subordinated notes | County Subordinated Notes due 2030 | |||
Debt Instrument [Line Items] | |||
Interest Rate | 7.00% | 7.00% | |
Par | $ 22,400,000 | $ 22,000,000 | |
Unamortized Premium /(Discount) / Debt Issue Costs | 920,000 | ||
Carrying Value | $ 23,320,000 | $ 23,571,000 |
Fair Value Measurements - Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | $ 949,597 | $ 921,661 |
U.S. government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 184,763 | 191,277 |
State, county and municipals | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 411,864 | 312,737 |
Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 213,435 | 271,262 |
Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 139,535 | 146,385 |
Reccurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 949,597 | 921,661 |
Derivative assets | 0 | 1,064 |
Derivative liabilities | 0 | 1,064 |
Reccurring | U.S. government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 184,763 | 191,277 |
Reccurring | State, county and municipals | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 411,864 | 312,737 |
Reccurring | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 213,435 | 271,262 |
Reccurring | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 139,535 | 146,385 |
Reccurring | Other investments (equity securities) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments (equity securities) | 4,482 | 5,660 |
Reccurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 0 | 0 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Reccurring | Level 1 | U.S. government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 0 | 0 |
Reccurring | Level 1 | State, county and municipals | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 0 | 0 |
Reccurring | Level 1 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 0 | 0 |
Reccurring | Level 1 | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 0 | 0 |
Reccurring | Level 1 | Other investments (equity securities) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments (equity securities) | 4,482 | 5,660 |
Reccurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 941,451 | 913,596 |
Derivative assets | 0 | 1,064 |
Derivative liabilities | 0 | 1,064 |
Reccurring | Level 2 | U.S. government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 184,763 | 191,277 |
Reccurring | Level 2 | State, county and municipals | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 410,021 | 310,316 |
Reccurring | Level 2 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 212,453 | 270,260 |
Reccurring | Level 2 | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 134,214 | 141,743 |
Reccurring | Level 2 | Other investments (equity securities) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments (equity securities) | 0 | 0 |
Reccurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 8,146 | 8,065 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Reccurring | Level 3 | U.S. government agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 0 | 0 |
Reccurring | Level 3 | State, county and municipals | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 1,843 | 2,421 |
Reccurring | Level 3 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 982 | 1,002 |
Reccurring | Level 3 | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities AFS | 5,321 | 4,642 |
Reccurring | Level 3 | Other investments (equity securities) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments (equity securities) | $ 0 | $ 0 |
Fair Value Measurements - Changes in Level 3 assets measured at fair value on a recurring basis (Details) - Securities AFS - Recurring - USD ($) $ in Thousands |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2022 |
Dec. 31, 2021 |
|
Level 3 Fair Value Measurements: | ||
Balance at beginning of year | $ 8,065 | $ 3,130 |
Acquired balance | 750 | 4,935 |
Unrealized gain / (loss) | (227) | 0 |
Balance at end of period | 8,146 | 8,065 |
Level 3 | ||
Level 3 Fair Value Measurements: | ||
Maturities / Paydowns | $ (442) | $ 0 |
Fair Value Measurements - Measured at Fair Value on Nonrecurring Basis (Details) - Measured at Fair Value on a Nonrecurring Basis - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Collateral dependent loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | $ 30,217 | $ 36,230 |
Other real estate owned (“OREO”) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 2,134 | 11,955 |
MSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 13,118 | 12,436 |
LSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 13,042 | 20,055 |
Level 1 | Collateral dependent loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 1 | Other real estate owned (“OREO”) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 1 | MSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 1 | LSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 2 | Collateral dependent loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 2 | Other real estate owned (“OREO”) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 2 | MSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 2 | LSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 0 | 0 |
Level 3 | Collateral dependent loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 30,217 | 36,230 |
Level 3 | Other real estate owned (“OREO”) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 2,134 | 11,955 |
Level 3 | MSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | 13,118 | 12,436 |
Level 3 | LSR asset | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value disclosure | $ 13,042 | $ 20,055 |
Fair Value Measurements - Summary of carrying amounts and estimated fair values of financial instruments (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Financial assets: | ||
Securities AFS | $ 949,597 | $ 921,661 |
Securities HTM | 627,639 | 648,394 |
Carrying Amount | ||
Financial assets: | ||
Cash and cash equivalents | 438,282 | 595,292 |
Certificates of deposit in other banks | 13,510 | 21,920 |
Securities AFS | 949,597 | 921,661 |
Securities HTM | 686,424 | 651,803 |
Other investments, including equity securities | 79,279 | 44,008 |
Loans held for sale | 3,709 | 6,447 |
Loans, net | 5,924,089 | 4,572,164 |
Accrued interest receivable | 21,542 | 15,277 |
Financial liabilities: | ||
Deposits | 7,395,902 | 6,465,916 |
Short-term borrowings | 280,000 | |
Long-term borrowings | 225,236 | 216,915 |
Accrued interest payable | 3,533 | 3,078 |
Carrying Amount | MSR asset | ||
Financial assets: | ||
Loan servicing rights | 13,118 | 12,436 |
Carrying Amount | LSR asset | ||
Financial assets: | ||
Loan servicing rights | 13,042 | 20,055 |
Estimated Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 438,282 | 595,292 |
Certificates of deposit in other banks | 13,409 | 22,236 |
Securities AFS | 949,597 | 921,661 |
Securities HTM | 627,639 | 648,394 |
Other investments, including equity securities | 79,279 | 44,008 |
Loans held for sale | 3,770 | 6,616 |
Loans, net | 5,638,877 | 4,606,851 |
Accrued interest receivable | 21,542 | 15,277 |
Financial liabilities: | ||
Deposits | 7,390,443 | 6,463,064 |
Short-term borrowings | 280,000 | |
Long-term borrowings | 220,616 | 216,092 |
Accrued interest payable | 3,533 | 3,078 |
Estimated Fair Value | MSR asset | ||
Financial assets: | ||
Loan servicing rights | 16,740 | 15,599 |
Estimated Fair Value | LSR asset | ||
Financial assets: | ||
Loan servicing rights | 13,042 | 20,055 |
Estimated Fair Value | Level 1 | ||
Financial assets: | ||
Cash and cash equivalents | 438,282 | 595,292 |
Certificates of deposit in other banks | 0 | 0 |
Securities AFS | 0 | 0 |
Securities HTM | 0 | 0 |
Other investments, including equity securities | 4,482 | 5,660 |
Loans held for sale | 0 | 0 |
Loans, net | 0 | 0 |
Accrued interest receivable | 21,542 | 15,277 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Short-term borrowings | 0 | |
Long-term borrowings | 0 | 0 |
Accrued interest payable | 3,533 | 3,078 |
Estimated Fair Value | Level 1 | MSR asset | ||
Financial assets: | ||
Loan servicing rights | 0 | 0 |
Estimated Fair Value | Level 1 | LSR asset | ||
Financial assets: | ||
Loan servicing rights | 0 | 0 |
Estimated Fair Value | Level 2 | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Certificates of deposit in other banks | 13,409 | 22,236 |
Securities AFS | 941,451 | 913,596 |
Securities HTM | 627,639 | 648,394 |
Other investments, including equity securities | 58,910 | 32,110 |
Loans held for sale | 3,770 | 6,616 |
Loans, net | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Short-term borrowings | 280,000 | |
Long-term borrowings | 33,104 | 25,097 |
Accrued interest payable | 0 | 0 |
Estimated Fair Value | Level 2 | MSR asset | ||
Financial assets: | ||
Loan servicing rights | 0 | 0 |
Estimated Fair Value | Level 2 | LSR asset | ||
Financial assets: | ||
Loan servicing rights | 0 | 0 |
Estimated Fair Value | Level 3 | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Certificates of deposit in other banks | 0 | 0 |
Securities AFS | 8,146 | 8,065 |
Securities HTM | 0 | 0 |
Other investments, including equity securities | 15,887 | 6,238 |
Loans held for sale | 0 | 0 |
Loans, net | 5,638,877 | 4,606,851 |
Accrued interest receivable | 0 | 0 |
Financial liabilities: | ||
Deposits | 7,390,443 | 6,463,064 |
Short-term borrowings | 0 | |
Long-term borrowings | 187,512 | 190,995 |
Accrued interest payable | 0 | 0 |
Estimated Fair Value | Level 3 | MSR asset | ||
Financial assets: | ||
Loan servicing rights | 16,740 | 15,599 |
Estimated Fair Value | Level 3 | LSR asset | ||
Financial assets: | ||
Loan servicing rights | $ 13,042 | $ 20,055 |
Other Assets and Other Liabilities Held for Sale (Details) - Held-for-sale - Birmingham Sale $ in Millions |
Dec. 31, 2021
USD ($)
|
---|---|
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Loans | $ 199 |
Deposits | $ 51 |
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