Loans (Tables)

3 Months Ended

Mar. 31, 2013

Loans

Schedule of balances in various loan categories

	March 31,			December 31,
(dollars in thousands)	2013			2012
Commercial	$	471,200		$	436,293
Real estate construction	37,975			35,501
Land loans	10,353			8,973
Real estate other	136,244			139,931
Factoring and asset based	200,831			195,343
SBA	91,893			87,375
Other	5,667			5,163
Total gross loans	954,163			908,579
Unearned fee income	(3,701		)	(3,056		)
Total loan portfolio	950,462			905,523
Less allowance for credit losses	(20,543		)	(19,948		)
Loans, net	$	929,919		$	885,575

Summary of credit quality of the loan portfolio, based upon internally assigned risk ratings

	March 31, 2013
			Special				Substandard
(dollars in thousands)	Pass		Mention		Substandard		(Nonaccrual)		Total
Commercial	$	450,683	$	15,173	$	4,895	$	449	$	471,200
Real estate construction	37,975		—		—		—		37,975
Land loans	10,317		—		27		9		10,353
Real estate other	105,924		—		24,632		5,688		136,244
Factoring and asset based	197,496		1,817		—		1,518		200,831
SBA	85,345		276		4,348		1,924		91,893
Other	5,667		—		—		—		5,667
Total gross loans	$	893,407	$	17,266	$	33,902	$	9,588	$	954,163

	As of December 31, 2012
			Special				Substandard
	Pass		Mention		Substandard		(Nonaccrual)		Total
Commercial	$	429,754	$	4,877	$	986	$	676	$	436,293
Real estate construction	35,501		—		—		—		35,501
Land loans	8,722		—		240		11		8,973
Real estate other	106,519		1,410		26,219		5,783		139,931
Factoring and asset based	192,798		803		292		1,450		195,343
SBA	77,028		437		7,863		2,047		87,375
Other	5,163		—		—		—		5,163
Total gross loans	$	855,485	$	7,527	$	35,600	$	9,967	$	908,579

Summary of payment status of loan portfolio

	As of March 31, 2013
			Still Accruing
			30-59 Days		60-89 Days		Over 90 Days
(dollars in thousands)	Current		Past Due		Past Due		Past Due		Nonaccrual		Total
Commercial	$	470,751	$	—	$	—	$	—	$	449	$	471,200
Real estate construction	37,975		—		—		—		—		37,975
Land loans	10,344		—		—		—		9		10,353
Real estate other	130,556		—		—		—		5,688		136,244
Factoring and asset based	199,313		—		—		—		1,518		200,831
SBA	89,902		67		—		—		1,924		91,893
Other	5,608		59		—		—		—		5,667
Total gross loans	$	944,449	$	126	$	—	$	—	$	9,588	$	954,163

	As of December 31, 2012
			Still Accruing
			30-59 Days		60-89 Days		Over 90 Days
(dollars in thousands)	Current		Past Due		Past Due		Past Due		Nonaccrual		Total
Commercial	$	435,543	$	74	$	—	$	—	$	676	$	436,293
Real estate construction	35,501		—		—		—		—		35,501
Land loans	8,962		—		—		—		11		8,973
Real estate other	134,148		—		—		—		5,783		139,931
Factoring and asset based	193,893		—		—		—		1,450		195,343
SBA	85,328		—		—		—		2,047		87,375
Other	5,119		42		2		—		—		5,163
Total gross loans	$	898,494	$	116	$	2	$	—	$	9,967	$	908,579

Summary of loans categorized as a troubled debt restructurings

	As of March 31, 2013
	Performing				Nonaccrual				Total
	Pre-		Post-		Pre-		Post-		Pre-		Post-
	Modification		Modification		Modification		Modification		Modification		Modification
(dollars in thousands)	Investment		Investment		Investment		Investment		Investment		Investment
Commercial	$	—	$	—	$	2,598	$	450	$	2,598	$	450
Real estate construction	—		—		—		—		—		—
Land loans	—		—						—		—
Real estate other	9,314		8,302		7,711		5,688		17,025		13,990
Factoring and asset based	—		—		—		—		—		—
SBA	480		496		—		—		480		496
Other	—		—		—		—		—		—
Total gross loans	$	9,794	$	8,798	$	10,309	$	6,138	$	20,103	$	14,936

	As of December 31, 2012
	Performing				Nonaccrual				Total
	Pre-		Post-		Pre-		Post-		Pre-		Post-
	Modification		Modification		Modification		Modification		Modification		Modification
	Investment		Investment		Investment		Investment		Investment		Investment
Commercial	$	—	$	—	$	2,598	$	676	$	2,598	$	676
Real estate construction	—		—		—		—		—		—
Land loans	—		—		—		—		—		—
Real estate other	10,291		8,902		7,711		5,783		18,002		14,685
Factoring and asset based	—		—		—		—		—		—
SBA	480		500		—		—		480		500
Other	—		—		—		—		—		—
Total gross loans	$	10,771	$	9,402	$	10,309	$	6,459	$	21,080	$	15,861

Schedule of impaired loans

	March 31,		December 31,
(dollars in thousands)	2013		2012
Nonaccrual loans (1)	$	9,588	$	9,967
Trouble debt restructurings - performing	8,798		9,402
Loans past due 90 days or more and accruing interest	—		—
Loans current or past due less than 90 days and accruing interest	—		—
Total impaired loans	$	18,386	$	19,369

(1)  Nonaccrual loans include troubled debt restructurings of $6.1 million and $6.5 million at March 31, 2013 and December 31, 2012, respectively.

Summary of breakdown of impaired loans by category

	As of March 31, 2013				As of December 31, 2012
	Unpaid				Unpaid
	Principal		Recorded		Principal		Recorded
(dollars in thousands)	Balance		Investment		Balance		Investment
Commercial	$	1,805	$	449	$	2,007	$	676
Real estate construction	—		—		—		—
Land loans	36		9		37		11
Real estate other	15,891		13,990		16,491		14,685
Factoring and asset based	3,281		1,518		2,965		1,450
SBA	3,331		2,420		3,427		2,547
Other	—		—		—		—
Total gross loans	$	24,344	$	18,386	$	24,927	$	19,369

Summary of the average recorded investment in impaired loans and related interest income recognized

	Three months ended March 31,
	2013				2012
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
(dollars in thousands)	Investment		Recognized		Investment		Recognized
Commercial	$	563	$	37	$	816	$	6
Real estate construction	—		—		1,935		30
Land loans	10		1		620		—
Real estate other	14,338		62		13,550		93
Factoring and asset based	1,484		31		1,633		—
SBA	2,484		22		2,114		8
Other	—		—		—		—
Total gross loans	$	18,878	$	153	$	20,668	$	137

Summary of loans individually and collectively evaluated for impairment and the corresponding allowance for loan losses

	As of March 31, 2013
	Individually Evaluated				Collectively Evaluated				Total Evaluated
	For Impairment				For Impairment				For Impairment
(dollars in thousands)	Loans		Allowance		Loans		Allowance		Loans		Allowance
Commercial	$	449	$	—	$	470,751	$	7,582	$	471,200	$	7,582
Real estate construction	—		—		37,975		721		37,975		721
Land loans	9		—		10,344		320		10,353		320
Real estate other	13,990		1,065		122,254		3,256		136,244		4,321
Factoring and asset based	1,518		—		199,313		4,731		200,831		4,731
SBA	2,420		—		89,473		2,743		91,893		2,743
Other	—		—		5,667		125		5,667		125
Total	$	18,386	$	1,065	$	935,777	$	19,478	$	954,163	$	20,543

	As of December 31, 2012
	Individually Evaluated				Collectively Evaluated				Total Evaluated
	For Impairment				For Impairment				For Impairment
(dollars in thousands)	Loans		Allowance		Loans		Allowance		Loans		Allowance
Commercial	$	676	$	—	$	435,617	$	6,394	$	436,293	$	6,394
Real estate construction	—		—		35,501		673		35,501		673
Land loans	11		—		8,962		333		8,973		333
Real estate other	14,685		1,408		125,246		3,770		139,931		5,178
Factoring and asset based	1,450		—		193,893		4,352		195,343		4,352
SBA	2,547		—		84,828		2,905		87,375		2,905
Other	—		—		5,163		113		5,163		113
Total	$	19,369	$	1,408	$	889,210	$	18,540	$	908,579	$	19,948

Summary of the activity in the allowance for loan losses

	Three months ended March 31, 2013
			Real					Real			Factoring
			estate		Land			estate			and asset
(dollars in thousands)	Commercial		construction		loans			other			based		SBA			Other		Total
As of December 30, 2012	$	6,394	$	673	$	333		$	5,178		$	4,352	$	2,905		$	113	$	19,948
Provision charged to expense	1,145		46		(14		)	(857		)	579		(161		)	12		750
Charge-offs	150		—		—			—			200		—			—		350
Recoveries	193		2		1			—			—		(1		)	—		195
As of March 31, 2013	$	7,582	$	721	$	320		$	4,321		$	4,731	$	2,743		$	125	$	20,543

	Three months ended March 31, 2012
			Real					Real		Factoring
			estate		Land			estate		and asset
(dollars in thousands)	Commercial		construction		loans			other		based		SBA			Other			Total
As of December 31, 2011	$	5,545	$	1,220	$	613		$	6,111	$	2,381	$	2,567		$	103		$	18,540
Provision charged to expense	432		365		(109		)	51		1,104		(80		)	(13		)	1,750
Charge-offs	73		—		—			—		750		187			—			1,010
Recoveries	18		2		4			—		—		—			—			24
As of March 31, 2012	$	5,922	$	1,587	$	508		$	6,162	$	2,735	$	2,300		$	90		$	19,304