Loans (Tables)

9 Months Ended

Sep. 30, 2015

Loans

Schedule of geographic distributions of loans

	September 30, 2015
	Illinois		Florida		Indiana		Total
	(dollars in thousands)
Commercial	$	574,073	$	17,001	$	30,221	$	621,295
Commercial real estate	881,925		171,686		131,079		1,184,690
Real estate construction	53,869		14,472		35,527		103,868
Retail real estate	537,283		105,771		11,720		654,774
Retail other	15,434		953		—		16,387
Total	$	2,062,584	$	309,883	$	208,547	$	2,581,014
Less held for sale(1)							15,694
							$	2,565,320
Less allowance for loan losses							47,212
Net loans							$	2,518,108

(1)Loans held for sale are included in retail real estate.

	December 31, 2014
	Illinois		Florida		Indiana		Total
	(dollars in thousands)
Commercial	$	554,779	$	16,739	$	30,242	$	601,760
Commercial real estate	811,034		171,243		121,874		1,104,151
Real estate construction	60,994		17,950		28,110		107,054
Retail real estate	473,171		106,658		12,644		592,473
Retail other	9,690		562		—		10,252
Total	$	1,909,668	$	313,152	$	192,870	$	2,415,690
Less held for sale(1)							10,400
							$	2,405,290
Less allowance for loan losses							47,453
Net loans							$	2,357,837

(1) Loans held for sale are included in retail real estate.

Schedule of weighted average risk grades segregated by category of loans (excluding held-for-sale, non posted and clearings) and geography

	September 30, 2015
	Weighted Avg. Risk Grade	Grades 1,3,6		Grade 7		Grade 8		Grade 9		Grade 10
	(dollars in thousands)
Illinois/Indiana
Commercial	5.12	$	526,992	$	49,932	$	11,815	$	14,418	$	1,318
Commercial real estate	5.69	915,629		38,861		36,623		20,214		2,892
Real estate construction	6.45	57,152		22,384		8,458		1,085		373
Retail real estate	5.91	508,812		11,353		7,625		3,969		1,833
Retail other	6.10	14,414		167		571		—		136
Total Illinois/Indiana		$	2,022,999	$	122,697	$	65,092	$	39,686	$	6,552
Florida
Commercial	4.85	$	15,781	$	61	$	63	$	543	$	553
Commercial real estate	6.12	124,110		19,995		13,030		14,325		226
Real estate construction	6.19	13,392		—		569		502		9
Retail real estate	6.32	83,795		11,511		8,483		1,005		535
Retail other	6.01	948		—		5		—		—
Total Florida		$	238,026	$	31,567	$	22,150	$	16,375	$	1,323
Total		$	2,261,025	$	154,264	$	87,242	$	56,061	$	7,875

	December 31, 2014
	Weighted Avg. Risk Grade	Grades 1, 3, 6		Grade 7		Grade 8		Grade 9		Grade 10
	(dollars in thousands)
Illinois/Indiana
Commercial	4.80	$	542,796	$	27,032	$	8,549	$	5,498	$	1,146
Commercial real estate	5.67	819,708		64,975		25,719		19,821		2,685
Real estate construction	5.91	71,074		5,332		11,448		1,204		46
Retail real estate	3.46	453,560		10,478		4,569		3,179		1,414
Retail other	3.21	9,632		26		24		—		8
Total Illinois/Indiana		$	1,896,770	$	107,843	$	50,309	$	29,702	$	5,299
Florida
Commercial	5.40	$	13,455	$	105	$	78	$	1,459	$	1,642
Commercial real estate	6.00	123,807		25,520		6,002		15,404		510
Real estate construction	6.21	16,475		—		615		842		18
Retail real estate	4.09	82,185		11,686		9,601		1,031		1,531
Retail other	2.94	562		—		—		—		—
Total Florida		$	236,484	$	37,311	$	16,296	$	18,736	$	3,701
Total		$	2,133,254	$	145,154	$	66,605	$	48,438	$	9,000

Schedule of age analysis of past due loans still accruing and non-accrual loans

	September 30, 2015
	Loans past due, still accruing						Non-accrual
	30-59 Days		60-89 Days		90+Days		Loans
	(dollars in thousands)
Illinois/Indiana
Commercial	$	68	$	277	$	76	$	1,318
Commercial real estate	—		107		—		2,892
Real estate construction	—		—		—		373
Retail real estate	1,743		52		82		1,833
Retail other	33		5		—		136
Total Illinois/Indiana	$	1,844	$	441	$	158	$	6,552
Florida
Commercial	$	75	$	—	$	—	$	553
Commercial real estate	—		—		—		226
Real estate construction	—		—		—		9
Retail real estate	151		—		—		535
Retail other	—		—		—		—
Total Florida	$	226	$	—	$	—	$	1,323
Total	$	2,070	$	441	$	158	$	7,875

	December 31, 2014
	Loans past due, still accruing						Non-accrual
	30-59 Days		60-89 Days		90+Days		Loans
	(dollars in thousands)
Illinois/Indiana
Commercial	$	15	$	105	$	—	$	1,146
Commercial real estate	1,068		—		10		2,685
Real estate construction	—		—		—		46
Retail real estate	488		128		—		1,414
Retail other	15		—		—		8
Total Illinois/Indiana	$	1,586	$	233	$	10	$	5,299
Florida
Commercial	$	—	$	—	$	—	$	1,642
Commercial real estate	—		—		—		510
Real estate construction	—		—		—		18
Retail real estate	—		—		—		1,531
Retail other	—		—		—		—
Total Florida	$	—	$	—	$	—	$	3,701
Total	$	1,586	$	233	$	10	$	9,000

Summary of restructured loans

	September 30, 2015		December 31, 2014
	(dollars in thousands)
Restructured loans:
In compliance with modified terms	$	8,784	$	11,866
30 – 89 days past due	61		—
Included in non-performing loans	1,340		1,126
Total	$	10,185	$	12,992

Schedule of details of impaired loans, segregated by category and geography

	September 30, 2015
	Unpaid Contractual Principal Balance		Recorded Investment with No Allowance		Recorded Investment with Allowance		Total Recorded Investment		Related Allowance		Average Recorded Investment
	(dollars in thousands)
Illinois/Indiana
Commercial	$	2,485	$	1,389	$	269	$	1,658	$	220	$	1,878
Commercial real estate	5,216		2,472		1,054		3,526		1,054		4,000
Real estate construction	1,016		340		33		373		33		420
Retail real estate	3,494		3,037		25		3,062		25		2,980
Retail other	136		136		—		136		—		208
Total Illinois/Indiana	$	12,347	$	7,374	$	1,381	$	8,755	$	1,332	$	9,486
Florida
Commercial	$	1,652	$	553	$	—	$	553	$	—	$	766
Commercial real estate	5,271		4,232		953		5,185		49		5,358
Real estate construction	579		510		—		510		—		552
Retail real estate	8,450		8,274		—		8,274		—		9,158
Retail other	6		—		6		6		6		7
Total Florida	$	15,958	$	13,569	$	959	$	14,528	$	55	$	15,841
Total	$	28,305	$	20,943	$	2,340	$	23,283	$	1,387	$	25,327

	December 31, 2014
	Unpaid Contractual Principal Balance		Recorded Investment with No Allowance		Recorded Investment with Allowance		Total Recorded Investment		Related Allowance		Average Recorded Investment
	(dollars in thousands)
Illinois/Indiana
Commercial	$	2,944	$	1,376	$	741	$	2,117	$	595	$	2,479
Commercial real estate	4,007		1,140		2,854		3,994		1,975		5,473
Real estate construction	46		—		46		46		46		2,269
Retail real estate	2,794		2,403		25		2,428		25		3,061
Retail other	8		8		—		8		—		2
Total Illinois/Indiana	$	9,799	$	4,927	$	3,666	$	8,593	$	2,641	$	13,284
Florida
Commercial	$	2,742	$	1,642	$	—	$	1,642	$	—	$	330
Commercial real estate	5,775		4,414		1,274		5,688		370		5,032
Real estate construction	620		551		—		551		—		485
Retail real estate	11,181		9,755		350		10,105		150		9,532
Retail other	7		—		7		7		7		5
Total Florida	$	20,325	$	16,362	$	1,631	$	17,993	$	527	$	15,384
Total	$	30,124	$	21,289	$	5,297	$	26,586	$	3,168	$	28,668

Schedule of activity on the allowance for loan losses

	As of and for the Three Months Ended September 30, 2015
	Commercial			Commercial Real Estate			Real Estate Construction			Retail Real Estate			Retail Other			Total
	(dollars in thousands)
Illinois/Indiana
Beginning balance	$	9,231		$	16,938		$	2,054		$	11,728		$	308		$	40,259
Provision for loan loss	(335		)	383			(66		)	666			(2		)	646
Charged-off	—			(589		)	—			(200		)	(56		)	(845		)
Recoveries	55			50			53			226			47			431
Ending Balance	$	8,951		$	16,782		$	2,041		$	12,420		$	297		$	40,491
Florida
Beginning balance	$	724		$	4,007		$	167		$	2,550		$	13		$	7,461
Provision for loan loss	24			(614		)	2			43			(1		)	(546		)
Charged-off	—			—			—			(230		)	—			(230		)
Recoveries	13			—			5			13			5			36
Ending Balance	$	761		$	3,393		$	174		$	2,376		$	17		$	6,721

	As of and for the Nine Months Ended September 30, 2015
	Commercial			Commercial Real Estate			Real Estate Construction			Retail Real Estate			Retail Other			Total
	(dollars in thousands)
Illinois/Indiana
Beginning balance	$	8,869		$	16,434		$	2,590		$	10,745		$	304		$	38,942
Provision for loan loss	(54		)	1,424			(774		)	1,942			86			2,624
Charged-off	(77		)	(1,297		)	—			(692		)	(240		)	(2,306		)
Recoveries	213			221			225			425			147			1,231
Ending Balance	$	8,951		$	16,782		$	2,041		$	12,420		$	297		$	40,491
Florida
Beginning balance	$	1,172		$	4,205		$	205		$	2,917		$	12		$	8,511
Provision for loan loss	(507		)	(1,030		)	(36		)	(417		)	(34		)	(2,024		)
Charged-off	—			—			—			(336		)	(1		)	(337		)
Recoveries	96			218			5			212			40			571
Ending Balance	$	761		$	3,393		$	174		$	2,376		$	17		$	6,721

	As of and for the Three Months Ended September 30, 2014
	Commercial			Commercial Real Estate		Real Estate Construction			Retail Real Estate			Retail Other			Total
	(dollars in thousands)
Illinois/Indiana
Beginning balance	$	7,695		$	15,426	$	2,776		$	10,802		$	238		$	36,937
Provision for loan loss	1,031			2,208		(623		)	(1,986		)	130			760
Charged-off	(121		)	—		—			(388		)	(114		)	(623		)
Recoveries	29			39		—			120			44			232
Ending Balance	$	8,634		$	17,673	$	2,153		$	8,548		$	298		$	37,306
Florida
Beginning balance	$	1,782		$	4,976	$	175		$	3,554		$	4		$	10,491
Provision for loan loss	(539		)	116		5			(345		)	3			(760		)
Charged-off	(6		)	—		—			(55		)	(1		)	(62		)
Recoveries	18			—		—			15			6			39
Ending Balance	$	1,255		$	5,092	$	180		$	3,169		$	12		$	9,708

	As of and for the Nine Months Ended September 30, 2014
	Commercial			Commercial Real Estate			Real Estate Construction			Retail Real Estate			Retail Other			Total
	(dollars in thousands)
Illinois/Indiana
Beginning balance	$	8,452		$	16,379		$	2,540		$	6,862		$	216		$	34,449
Provision for loan loss	879			2,388			(241		)	3,540			242			6,808
Charged-off	(825		)	(1,173		)	(657		)	(2,079		)	(306		)	(5,040		)
Recoveries	128			79			511			225			146			1,089
Ending Balance	$	8,634		$	17,673		$	2,153		$	8,548		$	298		$	37,306
Florida
Beginning balance	$	1,926		$	5,733		$	1,168		$	4,287		$	4		$	13,118
Provision for loan loss	(807		)	(912		)	(1,983		)	(1,096		)	(10		)	(4,808		)
Charged-off	(26		)	—			—			(192		)	(1		)	(219		)
Recoveries	162			271			995			170			19			1,617
Ending Balance	$	1,255		$	5,092		$	180		$	3,169		$	12		$	9,708

Schedule of allowance for loan losses and recorded investments in loans by category and geography

	As of September 30, 2015
	Commercial		Commercial Real Estate		Real Estate Construction		Retail Real Estate		Retail Other		Total
	(dollars in thousands)
Illinois/Indiana
Amount allocated to:
Loans individually evaluated for impairment	$	220	$	1,054	$	33	$	25	$	—	$	1,332
Loans collectively evaluated for impairment	8,731		15,728		2,008		12,395		297		39,159
Ending Balance	$	8,951	$	16,782	$	2,041	$	12,420	$	297	$	40,491
Loans:
Loans individually evaluated for impairment	$	1,658	$	3,150	$	33	$	3,062	$	136	$	8,039
Loans collectively evaluated for impairment	602,636		1,009,478		89,023		530,689		15,298		2,247,124
PCI loans evaluated for Impairment	—		376		340		—		—		716
Ending Balance	$	604,294	$	1,013,004	$	89,396	$	533,751	$	15,434	$	2,255,879
Florida
Amount allocated to:
Loans individually evaluated for impairment	$	—	$	49	$	—	$	—	$	6	$	55
Loans collectively evaluated for impairment	761		3,344		174		2,376		11		6,666
Ending Balance	$	761	$	3,393	$	174	$	2,376	$	17	$	6,721
Loans:
Loans individually evaluated for impairment	$	553	$	5,185	$	510	$	8,274	$	6	$	14,528
Loans collectively evaluated for impairment	16,448		166,501		13,962		97,055		947		294,913
Ending Balance	$	17,001	$	171,686	$	14,472	$	105,329	$	953	$	309,441

	As of December 31, 2014
	Commercial		Commercial Real Estate		Real Estate Construction		Retail Real Estate		Retail Other		Total
	(dollars in thousands)
Illinois/Indiana
Amount allocated to:
Loans individually evaluated for impairment	$	595	$	1,975	$	46	$	25	$	—	$	2,641
Loans collectively evaluated for impairment	8,274		14,459		2,544		10,720		304		36,301
Ending Balance	$	8,869	$	16,434	$	2,590	$	10,745	$	304	$	38,942
Loans:
Loans individually evaluated for impairment	$	2,117	$	3,994	$	46	$	2,428	$	8	$	8,593
Loans collectively evaluated for impairment	582,904		928,914		89,058		473,611		9,682		2,084,169
Ending Balance	$	585,021	$	932,908	$	89,104	$	476,039	$	9,690	$	2,092,762
Florida
Amount allocated to:
Loans individually evaluated for impairment	$	—	$	370	$	—	$	150	$	7	$	527
Loans collectively evaluated for impairment	1,172		3,835		205		2,767		5		7,984
Ending Balance	$	1,172	$	4,205	$	205	$	2,917	$	12	$	8,511
Loans:
Loans individually evaluated for impairment	$	1,642	$	5,688	$	551	$	10,105	$	7	$	17,993
Loans collectively evaluated for impairment	15,097		165,555		17,399		95,929		555		294,535
Ending Balance	$	16,739	$	171,243	$	17,950	$	106,034	$	562	$	312,528