Allowance for Probable Loan Losses (Tables)

6 Months Ended

Jun. 30, 2018

Allowance for Probable Loan Losses

Summary of the transactions in the allowance for probable loan losses by loan class

	Three Months Ended June 30, 2018
	Domestic														Foreign
			Commercial
			Real Estate:
			Other		Commercial
			Construction &		Real Estate:		Commercial
			Land		Farmland &		Real Estate:		Residential:		Residential:
	Commercial		Development		Commercial		Multifamily		First Lien		Junior Lien		Consumer		Foreign		Total
	(Dollars in Thousands)
Balance at March 31,	$	20,691	$	11,798	$	24,803	$	947	$	3,006	$	4,689	$	437	$	783	$	67,154
Losses charged to allowance		(2,284)		—		(70)		—		(30)		(9)		(65)		—		(2,458)
Recoveries credited to allowance		447		2		192		—		1		229		15		1		887
Net (losses) recoveries  charged to allowance		(1,837)		2		122		—		(29)		220		(50)		1		(1,571)
Provision charged to operations		(2,258)		2,903		(6,629)		627		614		1,884		63		66		(2,730)
Balance at June 30,	$	16,596	$	14,703	$	18,296	$	1,574	$	3,591	$	6,793	$	450	$	850	$	62,853

	Three Months Ended June 30, 2017
	Domestic														Foreign
			Commercial
			Real Estate:
			Other		Commercial
			Construction &		Real Estate:		Commercial
			Land		Farmland &		Real Estate:		Residential:		Residential:
	Commercial		Development		Commercial		Multifamily		First Lien		Junior Lien		Consumer		Foreign		Total
	(Dollars in Thousands)
Balance at March 31,	$	25,853	$	13,789	$	16,721	$	818	$	2,391	$	3,186	$	504	$	924	$	64,186
Losses charged to allowance		(2,264)		—		(40)		—		(30)		(33)		(39)		—		(2,406)
Recoveries credited to allowance		2,154		2		89		—		2		73		13		1		2,334
Net (losses) recoveries charged to allowance		(110)		2		49		—		(28)		40		(26)		1		(72)
Provision charged to operations		(603)		(542)		702		179		(49)		1,131		10		(23)		805
Balance at June 30,	$	25,140	$	13,249	$	17,472	$	997	$	2,314	$	4,357	$	488	$	902	$	64,919

	Six Months Ended June 30, 2018
	Domestic														Foreign
			Commercial
			Real Estate:
			Other		Commercial
			Construction &		Real Estate:		Commercial
			Land		Farmland &		Real Estate:		Residential:		Residential:
	Commercial		Development		Commercial		Multifamily		First Lien		Junior Lien		Consumer		Foreign		Total
	(Dollars in Thousands)
Balance at December 31,	$	27,905	$	11,675	$	16,663	$	1,109	$	2,950	$	6,103	$	440	$	842	$	67,687
Losses charged to allowance		(4,999)		(1)		(70)		—		(44)		(39)		(182)		—		(5,335)
Recoveries credited to allowance		1,030		4		210		—		2		295		27		1		1,569
Net (losses) recoveries  charged to allowance		(3,969)		3		140		—		(42)		256		(155)		1		(3,766)
Provision charged to operations		(7,340)		3,025		1,493		465		683		434		165		7		(1,068)
Balance at June 30,	$	16,596	$	14,703	$	18,296	$	1,574	$	3,591	$	6,793	$	450	$	850	$	62,853

	Six Months Ended June 30, 2017
	Domestic														Foreign
			Commercial
			Real Estate:
			Other		Commercial
			Construction &		Real Estate:		Commercial
			Land		Farmland &		Real Estate:		Residential:		Residential:
	Commercial		Development		Commercial		Multifamily		First Lien		Junior Lien		Consumer		Foreign		Total
	(Dollars in Thousands)
Balance at December 31,	$	25,649	$	13,889	$	16,731	$	806	$	2,455	$	3,716	$	531	$	884	$	64,661
Losses charged to allowance		(4,999)		—		(40)		—		(61)		(138)		(160)		—		(5,398)
Recoveries credited to allowance		2,853		3		147		—		7		97		29		15		3,151
Net (losses) recoveries  charged to allowance		(2,146)		3		107		—		(54)		(41)		(131)		15		(2,247)
Provision charged to operations		1,637		(643)		634		191		(87)		682		88		3		2,505
Balance at June 30,	$	25,140	$	13,249	$	17,472	$	997	$	2,314	$	4,357	$	488	$	902	$	64,919

Loans individually or collectively evaluated for their impairment and related allowance, by loan class

	June 30, 2018
	Loans Individually				Loans Collectively
	Evaluated For				Evaluated For
	Impairment				Impairment
	Recorded				Recorded
	Investment		Allowance		Investment		Allowance
	(Dollars in Thousands)
Domestic
Commercial	$	17,933	$	460	$	1,072,061	$	16,136
Commercial real estate: other construction & land development		2,166		116		1,779,787		14,587
Commercial real estate: farmland & commercial		6,020		—		2,011,747		18,296
Commercial real estate: multifamily		664		—		212,916		1,574
Residential: first lien		6,387		—		420,951		3,591
Residential: junior lien		799		—		708,784		6,793
Consumer		1,141		—		46,606		450
Foreign		330		—		151,128		850
Total	$	35,440	$	576	$	6,403,980	$	62,277

	December 31, 2017
	Loans Individually				Loans Collectively
	Evaluated For				Evaluated For
	Impairment				Impairment
	Recorded				Recorded
	Investment		Allowance		Investment		Allowance
	(Dollars in Thousands)
Domestic
Commercial	$	17,947	$	300	$	1,068,520	$	27,605
Commercial real estate: other construction & land development		2,455		116		1,681,095		11,559
Commercial real estate: farmland & commercial		33,123		18		2,010,162		16,645
Commercial real estate: multifamily		476		—		192,440		1,109
Residential: first lien		6,852		—		425,925		2,950
Residential: junior lien		723		—		700,025		6,103
Consumer		1,281		—		48,262		440
Foreign		347		—		158,539		842
Total	$	63,204	$	434	$	6,284,968	$	67,253

Loans accounted on non-accrual basis, by loan class

	June 30, 2018		December 31, 2017
	(Dollars in Thousands)
Domestic
Commercial	$	17,896	$	17,909
Commercial real estate: other construction & land development		2,166		2,455
Commercial real estate: farmland & commercial		6,020		33,123
Commercial real estate: multifamily		664		476
Residential: first lien		485		712
Residential: junior lien		—		11
Consumer		39		44
Total non-accrual loans	$	27,270	$	54,730

Impaired loans, by loan class

	June 30, 2018
							Quarter to Date				Year to Date
			Unpaid				Average				Average
	Recorded		Principal		Related		Recorded		Interest		Recorded		Interest
	Investment		Balance		Allowance		Investment		Recognized		Investment		Recognized
	(Dollars in Thousands)
Loans with Related Allowance
Domestic
Commercial	$	1,402	$	1,992	$	460	$	1,604	$	—	$	1,661	$	—
Commercial real estate: other construction & land development		142		169		116		143		—		144		—
Total impaired loans with related allowance	$	1,544	$	2,161	$	576	$	1,747	$	—	$	1,805	$	—

	June 30, 2018
					Quarter to Date				Year to Date
			Unpaid		Average				Average
	Recorded		Principal		Recorded		Interest		Recorded		Interest
	Investment		Balance		Investment		Recognized		Investment		Recognized
	(Dollars in Thousands)
Loans with No Related Allowance
Domestic
Commercial	$	16,531	$	43,980	$	16,594	$	1	$	16,738	$	1
Commercial real estate: other construction & land development		2,024		2,230		2,148		—		2,216		—
Commercial real estate: farmland & commercial		6,020		6,520		36,790		—		36,686		—
Commercial real estate: multifamily		664		696		664		—		568		—
Residential: first lien		6,387		6,508		6,426		76		6,864		152
Residential: junior lien		799		810		803		12		811		22
Consumer		1,141		1,144		1,145		1		1,179		2
Foreign		330		330		333		4		337		7
Total impaired loans with no related allowance	$	33,896	$	62,218	$	64,903	$	94	$	65,399	$	184

	December 31, 2017
			Unpaid				Average
	Recorded		Principal		Related		Recorded		Interest
	Investment		Balance		Allowance		Investment		Recognized
	(Dollars in Thousands)
Loans with Related Allowance
Domestic
Commercial real estate: other construction & land development	$	1,300	$	1,577	$	300	$	1,346	$	—
Commercial real estate: farmland & commercial		145		169		116		150		—
Commercial real estate: multifamily		449		590		18		489		—
Total impaired loans with related allowance	$	1,894	$	2,336	$	434	$	1,985	$	—

	December 31, 2017
			Unpaid		Average
	Recorded		Principal		Recorded		Interest
	Investment		Balance		Investment		Recognized
	(Dollars in Thousands)
Loans with No Related Allowance
Domestic
Commercial	$	16,646	$	44,095	$	19,354	$	3
Commercial real estate: other construction & land development		2,310		2,455		2,336		67
Commercial real estate: farmland & commercial		32,675		33,275		8,523		110
Commercial real estate: multifamily		476		505		401		—
Residential: first lien		6,852		6,968		6,860		298
Residential: junior lien		723		736		1,011		52
Consumer		1,281		1,283		1,214		1
Foreign		347		347		751		16
Total impaired loans with no related allowance	$	61,310	$	89,664	$	40,450	$	547

The following table details key information regarding the Company’s impaired loans by loan class at June 30, 2017:

	June 30, 2017
	Quarter to Date					Year to Date
	Average				Average
	Recorded		Interest		Recorded		Interest
	Investment		Recognized		Investment		Recognized
	(Dollars in Thousands)
Loans with Related Allowance
Domestic
Commercial	$	1,152	$	—	$	1,158	$	—
Commercial real estate: other construction & land development		767		—		1,033		—
Commercial real estate: farmland & commercial		1,314		—		1,567		—
Total impaired loans with related allowance	$	3,233	$	—	$	3,758	$	—

	June 30, 2017
	Quarter to Date				Year to Date
	Average				Average
	Recorded		Interest		Recorded		Interest
	Investment		Recognized		Investment		Recognized
	(Dollars in Thousands)
Loans with No Related Allowance
Domestic
Commercial	$	20,005	$	1	$	20,463	$	1
Commercial real estate: other construction & land development		2,482		—		2,610		—
Commercial real estate: farmland & commercial		8,532		30		8,774		58
Commercial real estate: multifamily		521		—		530		—
Residential: first lien		6,774		81		6,874		159
Residential: junior lien		977		12		982		23
Consumer		1,156		—		1,212		1
Foreign		755		4		751		8
Total impaired loans with no related allowance	$	41,202	$	128	$	42,196	$	250

Loans accounted for as trouble debt restructuring, by loan class

	June 30, 2018		December 31, 2017
		(Dollars in Thousands)
Domestic
Commercial	$	6,742	$	6,910
Commercial real estate:  farmland & commercial		—		—
Residential:  first lien		5,902		6,140
Residential:  junior lien		799		712
Consumer		1,101		1,237
Foreign		330		347
Total troubled debt restructuring	$	14,874	$	15,346

Information regarding the aging of past due loans, by loan class

	June 30, 2018
							90 Days or		Total
	30 - 59		60 - 89		90 Days or		greater &		Past				Total
	Days		Days		Greater		still accruing		Due		Current		Portfolio
	(Dollars in Thousands)
Domestic
Commercial	$	3,192	$	833	$	17,806	$	618	$	21,831	$	1,068,163	$	1,089,994
Commercial real estate: other construction & land development		639		124		3,452		2,638		4,215		1,777,738		1,781,953
Commercial real estate: farmland & commercial		2,069		3,336		3,394		532		8,799		2,008,968		2,017,767
Commercial real estate: multifamily		191		—		664		—		855		212,725		213,580
Residential: first lien		3,343		699		4,298		4,053		8,340		418,998		427,338
Residential: junior lien		1,230		284		994		994		2,508		707,075		709,583
Consumer		532		51		55		36		638		47,109		47,747
Foreign		2,355		1,322		14		14		3,691		147,767		151,458
Total past due loans	$	13,551	$	6,649	$	30,677	$	8,885	$	50,877	$	6,388,543	$	6,439,420

	December 31, 2017
							90 Days or		Total
	30 - 59		60 - 89		90 Days or		greater &		Past				Total
	Days		Days		Greater		still accruing		Due		Current		Portfolio
		(Dollars in Thousands)
Domestic
Commercial	$	3,790	$	398	$	18,308	$	537	$	22,496	$	1,063,971	$	1,086,467
Commercial real estate: other construction & land development		354		308		820		6		1,482		1,682,068		1,683,550
Commercial real estate: farmland & commercial		3,925		518		31,133		954		35,576		2,007,709		2,043,285
Commercial real estate: multifamily		84		—		476		—		560		192,356		192,916
Residential: first lien		4,295		2,458		4,095		3,861		10,848		421,929		432,777
Residential: junior lien		1,310		580		1,110		1,099		3,000		697,748		700,748
Consumer		868		98		160		133		1,126		48,417		49,543
Foreign		1,229		69		667		667		1,965		156,921		158,886
Total past due loans	$	15,855	$	4,429	$	56,769	$	7,257	$	77,053	$	6,271,119	$	6,348,172

Summary of the loan portfolio by credit quality indicator, by loan class

			June 30, 2018
			Special		Watch		Watch List—		Watch List—
	Pass		Review		List—Pass		Substandard		Impaired
			(Dollars in Thousands)
Domestic
Commercial	$	951,055	$	256	$	1,034	$	119,716	$	17,933
Commercial real estate: other construction & land development		1,715,667		1,115		7,169		55,836		2,166
Commercial real estate: farmland & commercial		1,817,420		57,123		39,372		97,832		6,020
Commercial real estate: multifamily		211,972		—		—		944		664
Residential: first lien		420,198		—		129		624		6,387
Residential: junior lien		707,903		—		881		—		799
Consumer		46,606		—		—		—		1,141
Foreign		151,128		—		—		—		330
Total	$	6,021,949	$	58,494	$	48,585	$	274,952	$	35,440

			December 31, 2017
			Special		Watch		Watch List—		Watch List—
	Pass		Review		List—Pass		Substandard		Impaired
			(Dollars in Thousands)
Domestic
Commercial	$	905,707	$	—	$	3,170	$	159,643	$	17,947
Commercial real estate: other construction & land development		1,616,604		1,288		672		62,531		2,455
Commercial real estate: farmland & commercial		1,863,763		5,134		41,820		99,445		33,123
Commercial real estate: multifamily		192,440		—		—		—		476
Residential: first lien		425,811		40		—		74		6,852
Residential: junior lien		699,875		150		—		—		723
Consumer		48,262		—		—		—		1,281
Foreign		158,539		—		—		—		347
Total	$	5,911,001	$	6,612	$	45,662	$	321,693	$	63,204