Derivatives and Hedging	3 Months Ended
Derivatives and Hedging	Mar. 31, 2022
Derivatives and Hedging [Abstract]
Derivatives and Hedging	Note 5: Derivatives and Hedging The Company is exposed to certain risks arising from both its business operations and economic conditions, including interest rate, liquidity, and credit risk. The Company uses derivative financial instruments as part of its risk management activities to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. Cash Flow Hedges of Interest Rate Risk The Company uses interest rate derivatives to add stability to interest expense and to manage its exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. During 2021, the Company entered into forward-looking derivatives that will be used to hedge variable cash flows associated with variable-rate funding. These 5 swaps had an aggregate notional amount of $ 100 million at March 31, 2022 and December 31, 2021. For derivatives designated and that qualify as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in Accumulated Other Comprehensive Income (“AOCI”) and subsequently reclassified into interest expense in the same period(s) during which the hedged transaction affects earnings. Amounts reported in AOCI related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s related, variable -rate debt. During the next twelve months, the Company estimates that an additional $ 0 will be reclassified as a reduction to interest expense. The Company’s derivative financial instruments are not effective until 2023. As a result, the derivative financial instrument s did not impact the Consolidated Statement of Income for the three-month period ended March 31, 2022. Non-designated Hedges Derivatives not designated as hedges are not speculative and result from a service provided to clients. The Company executes interest rate swaps with customers to facilitate their respective risk management strategies. Those interest rate swaps are simultaneously hedged by offsetting derivatives that the Company executes with a third-party, such that the Company minimizes its net risk exposure resulting from such transactions. Interest rate derivatives associated with this program do not meet the strict hedge accounting requirements and changes in the fair value of both the customer derivatives and the offsetting derivatives are recognized directly in earnings. Swap fees earned upon origination and credit valuation adjustments that represent the risk of a counterparty’s default are reported on the Consolidated Statements of Income as swap fee income, net. The effect of the Company’s derivative financial instruments gain (loss) are reported on the Consolidated Statements of Cash Flows within “other assets” and “other liabilities”. These 56 and 54 swaps had an aggregate notional amount of $ 563 million and $ 535 million at March 31, 2022 and December 31, 2021, respectively. Fair Values of Derivative Instruments on the Balance Sheet The table below presents the fair value of the Company’s derivative financial instruments and their classification on the balance sheet as of March 31, 2022 and December 31, 2021: Asset Derivatives Liability Derivatives Balance Sheet March 31, December 31, Balance Sheet March 31, December 31, Asset Derivatives 2022 2021 Location 2022 2021 (Dollars in thousands) Interest rate products: Derivatives not designated as hedging instruments Other assets $ 3,857 $ 11,305 Interest payable and other liabilities $ 3,862 $ 11,322 Derivatives designated as hedging instruments Other assets 2,090 3 Interest payable and other liabilities - 565 Total $ 5,947 $ 11,308 $ 3,862 $ 11,887 March 31, 2022 Gain or (Loss) Recognized in OCI on Derivative Gain or (Loss) Recognized in OCI Included Component Gain or (Loss) Recognized in OCI Excluded Component Location of Gain or (Loss) Recognized from Accumulated Other Comprehensive Income into Income Gain or (Loss) Reclassified from Accumulated OCI into Income Gain or (Loss) Reclassified from Accumulated OCI into Income Included Component Gain or (Loss) Reclassified from Accumulated OCI into Income Excluded Component (Dollars in thousands) Derivatives in Cash Flow Hedging Relationships Interest Rate Products $ 2,655 $ 2,655 $ - Interest expense $ - $ - $ - The table below presents the effect of cash flow hedge accounting on Accumulated Other Comprehensive Income as of March 31, 2022. The Company had no cash flow hedges for the three-months ended March 31, 2021.