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Loans and Allowance for Loan Losses (Tables)
 6 Months Ended
Jun. 30, 2016
Loans And Allowance For Loan Losses  
Schedule of Loan Portfolio and Percentage of Loans in Each Category to Total Loans

The composition of the Corporation’s loan portfolio and the percentage of loans in each category to total loans at June 30, 2016 and December 31, 2015, were as follows:

  

    June 30, 2016   December 31, 2015
                 
Commercial, financial and agricultural loans   $ 69,803,252       24.2 %   $ 58,173,187       23.2 %
Real estate:                                
Construction loans     26,394,882       9.2 %     19,831,070       7.9 %
Commercial mortgage loans     91,965,136       31.9 %     85,777,359       34.2 %
Residential loans     79,578,011       27.7 %     67,969,119       27.1 %
Agricultural loans     16,185,437       5.6 %     15,620,266       6.2 %
Consumer & other loans     4,122,685       1.4 %     3,434,380       1.4 %
                                 
         Loans outstanding     288,049,403       100.0 %     250,805,381       100.0 %
                                 
Unearned interest and discount     (19,315 )             (19,046 )        
Allowance for loan losses     (3,112,642 )             (3,032,242 )        
       Net loans   $ 284,917,446             $ 247,754,093          
Summary of Maturities of Loan Portfolio

The following table shows maturities as well as interest sensitivity of the commercial, financial, agricultural, and construction loan portfolio at June 30, 2016.

 

   

Commercial,

Financial,

Agricultural and

Construction

     
Distribution of loans which are due:        
     In one year or less   $ 29,590,221  
     After one year but within five years     39,992,847  
     After five years     26,615,066  
         
          Total   $ 96,198,134  
Summary of Loans Due after One Year

The following table shows, for such loans due after one year, the amounts which have predetermined interest rates and the amounts which have floating or adjustable interest rates at June 30, 2016.

 

    Loans With        
    Predetermined   Loans With    
    Rates   Floating Rates   Total
             
Commercial, financial,            
agricultural and construction   $ 61,631,627   $ 4,976,286   $ 66,607,913
             
Schedule of Past Due Loans and Nonaccrual Loans

The following tables present an age analysis of past due loans and nonaccrual loans segregated by class of loans.

 

    Age Analysis of Past Due Loans
As of June 30, 2016
    30-89 Days Past Due   Greater than 90 Days   Total Past Due Loans   Nonaccrual Loans   Current Loans   Total Loans
                         
Commercial, financial and agricultural loans   $ 691,770     $ 0     $ 691,770     $ 4,919     $ 69,106,563     $ 69,803,252  
Real estate:                                                
Construction loans     367,767       0       367,767       0       26,027,115       26,394,882  
Commercial mortgage loans     23,310       0       23,310       462,607       91,479,219       91,965,136  
Residential loans     833,134       0       833,134       48,357       78,696,520       79,578,011  
Agricultural loans     0       0       0       148,680       16,036,757       16,185,437  
Consumer & other loans     54,713       0       54,713       0       4,067,972       4,122,685  
                                                 
         Total loans   $ 1,970,694     $ 0     $ 1,970,694     $ 664,563     $ 285,414,146     $ 288,049,403  

 

    Age Analysis of Past Due Loans
As of December 31, 2015
    30-89 Days Past Due   Greater than 90 Days   Total Past Due Loans   Nonaccrual Loans   Current Loans   Total Loans
                         
Commercial, financial and agricultural loans   $ 449,618     $ 521     $ 450,139     $ 0     $ 57,723,048     $ 58,173,187  
Real estate:                                                
Construction loans     121,694       0       121,694       0       19,709,376       19,831,070  
Commercial mortgage loans     810,515       0       810,515       0       84,966,844       85,777,359  
Residential loans     2,238,684       0       2,238,684       639,094       65,091,341       67,969,119  
Agricultural loans     148,761       0       148,761       906,505       14,565,000       15,620,266  
Consumer & other loans     84,342       0       84,342       0       3,350,038       3,434,380  
                                                 
         Total loans   $ 3,853,614     $ 521     $ 3,854,135     $ 1,545,599     $ 245,405,647     $ 250,805,381  
Schedule of Impaired Loans Segregated by Class of Loans

The following tables present impaired loans, segregated by class of loans as of June 30, 2016, and December 31, 2015:

 

    Unpaid   Recorded Investment       Year-to-date
Average		   Interest
Income Received
June 30, 2016   Principal Balance   With No Allowance   With Allowance   Total   Related Allowance   Recorded Investment   During Impairment
                             
Commercial, financial and
agricultural loans		   $ 4,919     $ 0     $ 4,919     $ 4,919     $ 4,919     $ 0     $ 0  
Real estate:                                                        
Construction loans     186,872       66,072       0       66,072       0       154,409       6,049  
Commercial mortgage loans     889,987       541,809       348,178       889,987       0       3,600,748       26,151  
Residential loans     2,232,248       1,005,639       1,205,697       2,211,336       66,140       2,241,646       63,113  
Agricultural loans     250,809       250,809       0       250,809       74,277       743,470       4,878  
Consumer & other loans     3,708       3,708       0       3,708       0       5,557       109  
                                                         
         Total loans   $ 3,568,543     $ 1,868,037     $ 1,558,794     $ 3,426,831     $ 145,336     $ 6,745,830     $ 100,300  

 

    Unpaid   Recorded Investment       Year-to-date
Average		   Interest
Income Received
December 31, 2015   Principal Balance   With No Allowance   With Allowance   Total   Related Allowance   Recorded Investment   During Impairment
                             
Commercial, financial and
agricultural loans		   $ 0     $ 0     $ 0     $ 0     $ 0     $ 0     $ 0  
Real estate:                                                        
Construction loans     193,524       72,724       0       72,724       0       133,693       15,049  
Commercial mortgage loans     3,256,589       496,159       2,760,430       3,256,589       212,283       2,096,082       89,947  
Residential loans     1,988,434       662,523       1,304,999       1,967,522       91,831       3,832,546       107,070  
Agricultural loans     257,211       257,211       0       257,211       0       422,099       25,823  
Consumer & other loans     4,569       4,569       0       4,569       0       0       0  
                                                         
         Total loans   $ 5,700,327     $ 1,493,186     $ 4,065,429     $ 5,558,615     $ 304,114     $ 6,484,420     $ 237,889  
Schedule of Troubled Debt Restructuring by Loan Class

Loans modified in a troubled debt restructuring are considered to be in default once the loan becomes 30 days past due.

 

    June 30, 2016
            Under restructured terms
   

 

Accruing

   Non-accruing  

 

#

  

 

Current

  

 

#

  

 

Default

Commercial, financial, and agricultural loans   $ 0     $ 0       0     $ 0       0     $ 0  
Real estate:                                                
   Construction loans     0       0       0       0       0       0  
   Commercial mortgage loans     0       0       0       0       0       0  
   Residential loans     5,063       0       1       5,063       0       0  
   Agricultural loans     906,208       0       3       906,208       0       0  
Consumer & other loans     3,708       0       1       3,708       0       0  
Total TDR’s   $ 914,979     $ 0       5     $ 914,979       0     $ 0  

  

    December 31, 2015
            Under restructured terms
   

 

Accruing

   Non-accruing  

 

#

  

 

Current

  

 

#

  

 

Default

Commercial, financial, and agricultural loans   $ 0     $ 0       0     $ 0       0     $ 0  
Real estate:                                                
   Construction loans     0       0       0       0       0       0  
   Commercial mortgage loans     2,280,466       0       1       2,280,466       0       0  
   Residential loans     5,376       0       1       5,376       0       0  
   Agricultural loans     0       0       0       0       0       0  
Consumer & other loans     4,569       0       1       4,569       0       0  
Total TDR’s   $ 2,290,411     $ 0       3     $ 2,290,411       0     $ 0  
Schedule of Troubled Debt Restructurings by Types of Concessions Made

The following table presents the amount of troubled debt restructurings by types of concessions made, classified separately as accrual and non-accrual at June 30, 2016, and December 31, 2015.

 

    June 30, 2016   December 31, 2015
    Accruing   Nonaccruing   Accruing   Nonaccruing
    #   Balance   #   Balance   #   Balance   #   Balance
Type of concession:                                                                
Payment modification     0     $ 0       0     $ 0       0     $ 0       0     $ 0  
Rate reduction     0       0       0       0       0       0       0       0  
Rate reduction, payment modification     5       914,979       0       0       3       2,290,411       0       0  
Forbearance of interest     0       0       0       0       0       0       0       0  
Total     5     $ 914,979       0     $ 0       3     $ 2,290,411       0     $ 0  
Schedule of Internal Loan Grading By Class of Loans

The following tables present internal loan grading by class of loans as of June 30, 2016, and December 31, 2015:

 

June 30, 2016   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Rating:                                                        
Grade 1- Exceptional   $ 500,801     $ 0     $ 0     $ 25,479     $ 0     $ 418,114     $ 944,394  
Grade 2- Above Avg.     0       0       0       8,619       319,938       3,838       332,395  
Grade 3- Acceptable     30,766,944       9,567,777       26,802,386       32,853,971       9,392,172       1,904,746       111,287,996  
Grade 4- Fair     37,247,405       15,635,494       58,236,441       41,534,658       4,779,269       1,757,548       159,190,815  
Grade 5a- Watch     180,035       1,057,806       2,735,842       1,477,018       627,662       19,844       6,098,207  
Grade 5b- OAEM     1,004,370       0       2,792,020       1,010,302       0       10,456       4,817,148  
Grade 6- Substandard     73,338       133,805       1,398,447       2,637,794       1,066,396       8,139       5,317,919  
Grade 7- Doubtful     30,359       0       0       30,170       0       0       60,529  
       Total loans   $ 69,803,252     $ 26,394,882     $ 91,965,136     $ 79,578,011     $ 16,185,437     $ 4,122,685     $ 288,049,403  

 

December 31, 2015   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Rating:                                                        
Grade 1- Exceptional   $ 731,270     $ 0     $ 0     $ 25,988     $ 0     $ 416,250     $ 1,173,508  
Grade 2- Above Avg.     0       0       0       10,011       329,069       0       339,080  
Grade 3- Acceptable     30,581,968       7,569,566       26,285,799       31,303,029       9,648,983       1,756,139       107,145,484  
Grade 4- Fair     26,075,703       11,022,826       53,296,973       30,946,390       3,930,746       1,230,515       126,503,153  
Grade 5a- Watch     217,295       1,097,222       4,791,317       1,263,077       638,402       5,999       8,013,312  
Grade 5b- OAEM     560,678       0       523,596       1,233,611       0       13,802       2,331,687  
Grade 6- Substandard     6,273       141,456       879,674       3,155,625       1,073,066       11,675       5,267,769  
Grade 7- Doubtful     0       0       0       31,388       0       0       31,388  
       Total loans   $ 58,173,187     $ 19,831,070     $ 85,777,359     $ 67,969,119     $ 15,620,266     $ 3,434,380     $ 250,805,381  
Schedule of Allowance For Loan Losses Methodology

The following table details activity in the ALL and loans evaluated for impairment by class of loans for the three and six month periods ended June 30, 2016. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories. The annualized net charge-offs to average loans outstanding ratio was (0.01)% for the six months ended June 30, 2016.

 

Three months ended June 30, 2016:

 

    Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Allowance for loan losses:                                                        
Beginning balance,
March 31, 2016		   $ 175,729     $ 1,043,083     $ 1,192,098     $ 393,510     $ 86,656     $ 174,921     $ 3,065,997  
                                                         
Charge-offs     0       0       0       0       0       0       0  
Recoveries     1,103       0       0       4,874       0       668       6,645  
Net charge-offs     (1,103 )     0       0       (4,874 )     0       (668 )     (6,645 )
Provisions charged to operations     (6,858 )     0       0       36,531       0       10,327       40,000  
Balance at end of period, June 30, 2016   $ 169,974     $ 1,043,083     $ 1,192,098     $ 434,915     $ 86,656     $ 185,916     $ 3,112,642  
                                                         

  

Six months ended June 30, 2016:

 

June 30, 2016   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Allowance for loan losses:                                                        
Beginning balance, December 31, 2015   $ 144,781     $ 1,043,083     $ 1,192,098     $ 381,891     $ 86,656     $ 183,733     $ 3,032,242  
                                                         
Charge-offs     0       0       0       0       0       8,426       8,426  
Recoveries     1,600       0       0       15,047       0       2,179       18,826  
Net charge-offs     (1,600 )     0       0       (15,047 )     0       6,247       (10,400 )
Provisions charged to operations     23,593       0       0       37,977       0       8,430       70,000  
Balance at end of period, June 30, 2016   $ 169,974     $ 1,043,083     $ 1,192,098     $ 434,915     $ 86,656     $ 185,916     $ 3,112,642  
                                                         
Ending balance -                                                        
Individually evaluated
for impairment		   $ 4,919     $ 0     $ 66,140     $ 74,277     $ 0     $ 0     $ 145,336  
Collectively evaluated for impairment     165,055       1,043,083       1,125,958       360,638       86,656       185,916       2,967,306  
Balance at end of period   $ 169,974     $ 1,043,083     $ 1,192,098     $ 434,915     $ 86,656     $ 185,916     $ 3,112,642  
                                                         
Loans :                                                        
Ending balance -                                                        
Individually evaluated
for impairment		   $ 4,919     $ 959,489     $ 5,419,552     $ 2,368,022     $ 1,668,086     $ 3,708     $ 10,423,776  
Collectively evaluated for impairment     69,798,333       25,435,393       86,545,584       77,209,989       14,517,351       4,118,977       277,625,627  
Balance at end of period   $ 69,803,252     $ 26,394,882     $ 91,965,136     $ 79,578,011     $ 16,185,437     $ 4,122,685     $ 288,049,403  

 

The following table details activity in the ALL and loans evaluated for impairment by class of loans for the year ended December 31, 2015.

 

December 31, 2015   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Allowance for loan losses:                                                        
Beginning balance, December 31, 2014   $ 299,850     $ 1,043,083     $ 1,192,098     $ 312,822     $ 86,656     $ 179,642     $ 3,114,151  
                                                         
Charge-offs     263,809       0       0       33,238       0       22,153       319,200  
Recoveries     42,253       0       0       22,047       0       31,691       95,991  
Net charge-offs     221,556       0       0       11,191       0       (9,538 )     223,209  
Provisions charged to operations     66,487       0       0       80,260       0       (5,447 )     141,300  
Balance at end of period, December 31, 2015   $ 144,781     $ 1,043,083     $ 1,192,098     $ 381,891     $ 86,656     $ 183,733     $ 3,032,242  
                                                         
Ending balance -                                                        
Individually evaluated
for impairment		   $ 0     $ 0     $ 212,283     $ 91,831     $ 0     $ 0     $ 304,114  
Collectively evaluated for impairment     144,781       1,043,083       979,815       290,060       86,656       183,733       2,728,128  
Balance at end of period   $ 144,781     $ 1,043,083     $ 1,192,098     $ 381,891     $ 86,656     $ 183,733     $ 3,032,242  
                                                         
Loans :                                                        
Ending balance -                                                        
Individually evaluated
for impairment		   $ 0     $ 1,012,831     $ 5,414,491     $ 2,896,953     $ 1,682,207     $ 4,569     $ 11,011,051  
Collectively evaluated for impairment     58,173,187       18,818,239       80,362,868       65,072,166       13,938,059       3,429,811       239,794,330  
Balance at end of period   $ 58,173,187     $ 19,831,070     $ 85,777,359     $ 67,969,119     $ 15,620,266     $ 3,434,380     $ 250,805,381