Derivative Instruments and Hedging Activities (Tables)

9 Months Ended

Sep. 30, 2022

Derivative Instruments and Hedging Activities

Effect of derivative instruments in cash flow hedging relationships

The following table presents the effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the three and nine months ended September 30, 2022 and 2021:

		Three Months Ended September 30,				Nine Months Ended September 30,
(dollars in thousands)		2022		2021		2022		2021
Derivatives in	Location of Gain (Loss)	Gain (Loss)				Loss
Cash Flow Hedging	Reclassified	Reclassified from				Reclassified from
Relationships	from AOCI into Income	AOCI into Earnings				AOCI into Earnings
Interest rate swaps	Interest expense	$	288	$	(290)	$	(24)	$	(827)
Interest rate caps	Interest expense		(169)		(116)		(539)		(252)

Cash flow hedge

Derivative Instruments and Hedging Activities

Summary of interest rate derivatives

The following table presents a summary of the Company’s interest rate contracts as of September 30, 2022 and December 31, 2021:

	September 30, 2022				December 31, 2021
	Notional		Estimated		Notional		Estimated
(dollars in thousands)	Amount		Fair Value		Amount		Fair Value
Interest rate swap agreements:
Assets	$	125,000	$	10,834	$	90,000	$	1,717
Liabilities		—		—		35,000		(926)
Interest rate cap agreements:
Assets		125,000		19,203		110,000		7,356

Interest Rate Swap

Derivative Instruments and Hedging Activities

Summary of interest rate derivatives

The following table presents a summary of the Company’s interest rate swaps to facilitate customer transactions as of September 30, 2022 and December 31, 2021:

	September 30, 2022				December 31, 2021
	Notional		Estimated		Notional		Estimated
(dollars in thousands)	Amount		Fair Value		Amount		Fair Value
Interest rate swap agreements:
Assets	$	65,618	$	8,492	$	49,101	$	641
Liabilities		65,618		(8,492)		49,101		(641)
Total	$	131,236	$	—	$	98,202	$	—

Interest Rate Swap | Cash flow hedge

Derivative Instruments and Hedging Activities

Derivative Instruments and Hedging Activities

The following table presents a summary of the Company’s interest rate swaps designated as cash flow hedges as of September 30, 2022 and December 31, 2021:

(dollars in thousands)	September 30, 2022			December 31, 2021
Notional Amount	$	125,000		$	125,000
Weighted Average Pay Rate		1.23	%		1.27	%
Weighted Average Receive Rate		2.24	%		0.14	%
Weighted Average Maturity (Years)		3.02			3.76
Net Unrealized Gain	$	10,834		$	791

Interest Rate Cap | Cash flow hedge

Derivative Instruments and Hedging Activities

Derivative Instruments and Hedging Activities

The following table presents a summary of the Company’s interest rate caps designated as cash flow hedges as of September 30, 2022 and December 31, 2021:

(dollars in thousands)	September 30, 2022			December 31, 2021
Notional Amount	$	125,000		$	110,000
Unamortized Premium Paid		6,070			5,859
Weighted Average Strike Rate		0.96	%		0.90	%
Weighted Average Maturity (Years)		7.60			8.72