DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2018

Assets and liabilities measured at fair value on a recurring basis

The tables below present the Company’s assets and liabilities measured at fair value on a recurring basis as of the dates set forth aggregated by the level in the fair value hierarchy within which those measurements fall.



	September 30, 2018
	Level 1		Level 2		Level 3		Total

	(Dollars in thousands)
Financial Assets:
Available-for-sale securities	$	—	$	610,494	$	—	$	610,494
Loans held for sale	—		7,627		—		7,627
Correspondent interest rate swaps	—		3,182		—		3,182
Customer interest rate swaps	—		356		—		356
Correspondent interest rate caps and collars	—		304		—		304

Financial Liabilities:
Correspondent interest rate swaps	$	—	$	354	$	—	$	354
Customer interest rate swaps	—		3,147		—		3,147
Customer interest rate caps and collars	—		304		—		304



	December 31, 2017
	Level 1		Level 2		Level 3		Total

	(Dollars in thousands)
Financial Assets:
Available-for-sale securities	$	—	$	705,539	$	—	$	705,539
Correspondent interest rate swaps	—		1,326		—		1,326
Customer interest rate swaps	—		423		—		423
Correspondent interest rate caps	—		75		—		75

Financial Liabilities:
Correspondent interest rate swaps	$	—	$	448	$	—	$	448
Customer interest rate swaps	—		1,325		—		1,325
Customer interest rate caps	—		75		—		75

Schedule of fair value of assets measured on a nonrecurring basis

The following tables present the assets that were carried on the consolidated balance sheet at the end of the reporting period for which a nonrecurring change in fair value has been recorded:



	September 30, 2018
	Level 3		Total		Losses for the Nine Months Ended September 30, 2018

	(Dollars in thousands)
Assets Measured on a Nonrecurring Basis:
Impaired loans	$	28,832	$	28,832	$	7,619



	September 30, 2017
	Level 3		Total		Losses for the Nine Months Ended September 30, 2017

	(Dollars in thousands)
Assets Measured on a Nonrecurring Basis:
Impaired loans	$	18,916	$	18,916	$	7,459
Other real estate owned	802		802		118
Loans held for sale	15,503		15,503		1,847

Estimated fair values of the Company's financial instruments

The estimated fair values of the Company’s financial instruments as of the dates indicated are as follows:



	September 30, 2018
	Carrying Value		Level 1		Level 2		Level 3		Fair Value

	(Dollars in thousands)
Financial Assets:
Cash and short term investments	$	141,090	$	141,090	$	—	$	—	$	141,090
Available-for-sale securities	610,494		—		610,494		—		610,494
Held-to-maturity securities	62,595		—		61,667		—		61,667
Other securities	44,775		44,775		—		—		44,775
Loans held for sale	7,627		—		7,627		—		7,627
Loans held for investment, net of allowance	3,328,168		—		—		3,348,236		3,348,236
Real estate acquired by foreclosure	2,532		—		—		2,532		2,532
Total	$	4,197,281	$	185,865	$	679,788	$	3,350,768	$	4,216,421

Financial Liabilities:
Deposits	$	3,414,472	$	—	$	3,418,158	$	—	$	3,418,158
Securities sold under agreements to repurchase	3,502		—		3,502		—		3,502
Other borrowed funds	437,000		—		436,288		—		436,288
Subordinated debentures and subordinated notes	48,161		—		46,319		—		46,319
Total	$	3,903,135	$	—	$	3,904,267	$	—	$	3,904,267



	December 31, 2017
	Carrying Value		Level 1		Level 2		Level 3		Fair Value

	(Dollars in thousands)
Financial Assets:
Cash and short term investments	$	140,681	$	140,681	$	—	$	—	$	140,681
Available-for-sale securities	705,539		—		705,539		—		705,539
Held-to-maturity securities	13,275		—		13,146		—		13,146
Other securities	26,617		26,617		—		—		26,617
Loans held for sale	7,156		—		7,156		—		7,156
Loans held for investment	3,190,485		—		—		3,206,145		3,206,145
Real estate acquired by foreclosure	802		—		—		802		802
Total	$	4,084,555	$	167,298	$	725,841	$	3,206,947	$	4,100,086

Financial Liabilities:
Deposits	$	3,397,143	$	—	$	3,392,144	$	—	$	3,392,144
Securities sold under agreements to repurchase	5,173		—		5,173		—		5,173
Other borrowed funds	325,000		—		324,873		—		324,873
Subordinated debentures and subordinated notes	47,737		—		45,356		—		45,356
Total	$	3,775,053	$	—	$	3,767,546	$	—	$	3,767,546