FAIR VALUE DISCLOSURES (Tables)

9 Months Ended

Sep. 30, 2022

FAIR VALUE DISCLOSURES

Financial assets and financial liabilities measured at fair value on a recurring basis

(Dollars in thousands)		September 30, 2022		December 31, 2021
Fair value of financial assets:
Level 1 inputs:	Equity securities	$	1,045	$	1,173
	Debt securities available for sale - U.S. Treasury securities		107,259		11,797
Level 2 inputs:	Debt securities available for sale:
	State and municipal securities		135,098		172,600
	U.S. agency securities:
	Callable debentures		2,564		2,973
	Collateralized mortgage obligations		84,398		62,382
	Mortgage-backed securities		180,918		174,121
	Interest rate swaps		9,944		3,543
Level 3 inputs:	Credit risk participation agreement		27		15
	Total fair value of financial assets	$	521,253	$	428,604
Fair value of financial liabilities:
Level 2 inputs:	Interest rate swaps	$	9,944	$	3,543
	Total fair value of financial liabilities	$	9,944	$	3,543

Financial assets measured at fair value on a non-recurring basis are certain impaired loans

	September 30, 2022						December 31, 2021
(Dollars in thousands)	Recorded Investment		Specific ACL		Net		Recorded Investment		Specific ACL		Net
Level 3 inputs:
Loans evaluated individually
Commercial and industrial	$	9,205	$	2,517	$	6,688	$	9,624	$	3,986	$	5,638
Commercial real estate		733		28		705		2,629		609		2,020
Consumer		116		116		—		125		125		—
Total	$	10,054	$	2,661	$	7,393	$	12,378	$	4,720	$	7,658

Fair market values and carrying amounts of financial instruments that are reported at cost

		September 30, 2022				December 31, 2021
				Carrying				Carrying
(Dollars in thousands)		Fair Value		Amount		Fair Value		Amount
Financial assets:
Level 1 inputs:	Cash and due from banks	$	370,448	$	370,448	$	950,146	$	950,146
Level 2 inputs:	Bank-owned life insurance		74,274		74,274		73,156		73,156
	Accrued interest receivable		10,777		10,777		11,616		11,616
	Servicing asset		328		328		352		352
Level 3 inputs:	Loans, including held for sale, net		2,906,108		3,093,844		2,864,663		2,836,343
	Other investments		17,835		17,835		17,727		17,727
Total financial assets		$	3,379,770	$	3,567,506	$	3,917,660	$	3,889,340
Financial liabilities:
Level 1 inputs:	Noninterest-bearing deposits	$	1,780,473	$	1,780,473	$	1,784,981	$	1,784,981
Level 2 inputs:	Interest-bearing deposits		1,938,023		1,943,301		2,040,794		2,046,303
	Federal Home Loan Bank advances		—		—		50,591		50,000
	Accrued interest payable		306		306		201		201
Total financial liabilities		$	3,718,802	$	3,724,080	$	3,876,567	$	3,881,485