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Fair Market Value of Financial Assets and Liabilities (Tables)
 9 Months Ended
Sep. 30, 2015
Fair Market Value of Financial Assets and Liabilities [Abstract]  
Fair Value Assets Measured on Recurring Basis
The following tables present the fair value measurements of assets recognized in the accompanying balance sheets measured at fair value on a recurring basis as of September 30, 2015 and December 31, 2014 and indicate the level within the fair value hierarchy of the valuation techniques.

    
Fair Value Measurements at
September 30, 2015 Using
 
(in thousands)
 
Fair Value
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs
(Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Assets measured – recurring basis
        
Available-for-sale securities:
        
U.S. Treasury and government agencies
 
$
202,050
  
$
19,997
  
$
182,053
  
$
0
 
State and political subdivisions
  
135,459
   
0
   
135,459
   
0
 
U.S. government sponsored agency mortgage-backed securities
  
214,176
   
0
   
214,176
   
0
 
CRA investment funds
  
25,028
   
25,028
   
0
   
0
 
Mortgage servicing rights
  
3,030
   
0
   
0
   
3,030
 

    
Fair Value Measurements at
December 31, 2014 Using
 
(in thousands)
 
Fair Value
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs
(Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Assets measured – recurring basis
        
Available-for-sale securities:
        
U.S. Treasury and government agencies
 
$
188,932
  
$
492
  
$
188,440
  
$
0
 
State and political subdivisions
  
137,458
   
0
   
137,458
   
0
 
U.S. government sponsored agency mortgage-backed securities
  
288,907
   
0
   
288,907
   
0
 
CRA investment funds
  
24,889
   
24,889
   
0
   
0
 
Mortgage servicing rights
  
2,968
   
0
   
0
   
2,968
 
Reconciliation of the Beginning and Ending Balance of Recurring Fair Value Measurement Using Significant Unobservable (level 3) Inputs
Following is a reconciliation of the beginning and ending balances of recurring fair value measurements recognized in the accompanying balance sheet using significant unobservable (Level 3) inputs for the three and nine months ended September 30, 2015 and 2014:

Mortgage Servicing Rights
    
  
Three Months Ended
  
Nine Months Ended
 
  
September 30
  
September 30
 
(in thousands)
 
2015
  
2014
  
2015
  
2014
 
Beginning balance
 
$
3,235
  
$
3,062
  
$
2,968
  
$
3,424
 
Total recognized gains (losses)
                
Included in net income
  
(228
)
  
80
   
(37
)
  
(212
)
Issues
  
146
   
89
   
443
   
234
 
Settlements
  
(123
)
  
(119
)
  
(344
)
  
(334
)
Ending balance
 
$
3,030
  
$
3,112
  
$
3,030
  
$
3,112
 
                 
Total gains (losses) for the period included in net income attributable to the change in unrealized gains or losses related to assets still held at the reporting date
 
$
(228
)
 
$
80
  
$
(37
)
 
$
(212
)
Realized and Unrealized Gains and Losses for Items Included in Net Income in the Consolidated Statement of Income
Realized and unrealized gains and losses for items reflected in the tables above are included in net income in the consolidated statements of income as follows:

Noninterest Income
    
  
Three Months Ended
  
Nine Months Ended
 
  
September 30
  
September 30
 
(in thousands)
 
2015
  
2014
  
2015
  
2014
 
Total gains (losses)
 
$
(351
)
 
$
(39
)
 
$
(381
)
 
$
(546
)
Fair Value Measurements of Recognized Assets Measured on Nonrecurring Basis
The following tables present the fair value measurements of assets recognized in the accompanying balance sheets measured at fair value on a nonrecurring basis as of September 30, 2015 and December 31, 2014 and indicate the level within the fair value hierarchy of the valuation techniques.

    
Fair Value Measurements at
September 30, 2015 Using
 
(in thousands)
 
Fair Value
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs
(Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Assets measured – nonrecurring basis
        
Impaired loans (collateral dependent)
 
$
2,195
  
$
0
  
$
0
  
$
2,195
 
Other real estate/assets owned
  
4,015
   
0
   
0
   
4,015
 

    
Fair Value Measurements at
December 31, 2014 Using
 
(in thousands)
 
Fair Value
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs
(Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Assets measured – nonrecurring basis
        
Impaired loans (collateral dependent)
 
$
4,665
  
$
0
  
$
0
  
$
4,665
 
Other real estate/assets owned
  
6,472
   
0
   
0
   
6,472
 
Quantitative Information About Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements
The following tables present quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements at September 30, 2015 and December 31, 2014.

(in thousands)
 
Quantitative Information about Level 3 Fair Value Measurements
  
Fair Value at September 30, 2015
 
Valuation Technique(s)
Unobservable Input
 
Range (Weighted Average)
Mortgage servicing rights
 
$
3,030
 
Discount cash flows, computer pricing model
Constant prepayment rate
  
6.1% - 23.9%
(11.3%)
        
Probability of default
  
0.0% - 100.0%
(2.7%)
        
Discount rate
  
10.0% - 11.5%
(10.1%)
          
Impaired loans (collateral-dependent)
 
$
2,195
 
Market comparable properties
Marketability discount
  
5.0% - 10.0%
(7.0%)
          
Other real estate/assets owned
 
$
4,015
 
Market comparable properties
Comparability adjustments
  
5.0% - 30.0%
(10.5%)

(in thousands)
 
Quantitative Information about Level 3 Fair Value Measurements
  
Fair Value at December 31, 2014
 
Valuation Technique(s)
Unobservable Input
 
Range (Weighted Average)
Mortgage servicing rights
 
$
2,968
 
Discount cash flows, computer pricing model
Constant prepayment rate
  
4.6% - 25.1%
(11.3%)
        
Probability of default
  
0.0% - 100.0%
(3.6%)
        
Discount rate
  
10.0% - 11.5%
(10.1%)
          
Impaired loans (collateral-dependent)
 
$
4,665
 
Market comparable properties
Marketability discount
  
5.0% - 10.0%
(7.0%)
          
Other real estate/assets owned
 
$
6,472
 
Market comparable properties
Comparability adjustments
  
3.0% - 67.0%
(18.0%)
Fair Value of Financial Instruments and Levels within the Fair Value Hierarchy of the Valuation Techniques
The following table presents estimated fair value of CTBI's financial instruments as of September 30, 2015 and indicates the level within the fair value hierarchy of the valuation techniques.

    
Fair Value Measurements
at September 30, 2015 Using
 
(in thousands)
 
Carrying Amount
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs (Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Financial assets:
        
Cash and cash equivalents
 
$
163,192
  
$
163,192
  
$
0
  
$
0
 
Certificates of deposit in other banks
  
5,759
   
0
   
5,769
   
0
 
Securities available-for-sale
  
576,713
   
45,025
   
531,688
   
0
 
Securities held-to-maturity
  
1,661
   
0
   
1,651
   
0
 
Loans held for sale
  
1,983
   
2,029
   
0
   
0
 
Loans, net
  
2,784,920
   
0
   
0
   
2,793,430
 
Federal Home Loan Bank stock
  
17,927
   
0
   
17,927
   
0
 
Federal Reserve Bank stock
  
4,887
   
0
   
4,887
   
0
 
Accrued interest receivable
  
13,581
   
0
   
13,581
   
0
 
Mortgage servicing rights
  
3,030
   
0
   
0
   
3,030
 
                 
Financial liabilities:
                
Deposits
 
$
2,975,229
  
$
737,657
  
$
2,219,060
  
$
0
 
Repurchase agreements
  
256,153
   
0
   
0
   
256,120
 
Federal funds purchased
  
9,215
   
0
   
9,215
   
0
 
Advances from Federal Home Loan Bank
  
1,084
   
0
   
1,233
   
0
 
Long-term debt
  
61,341
   
0
   
0
   
49,073
 
Accrued interest payable
  
1,641
   
0
   
1,641
   
0
 
                 
Unrecognized financial instruments:
                
Letters of credit
 
$
0
  
$
0
  
$
0
  
$
0
 
Commitments to extend credit
  
0
   
0
   
0
   
0
 
Forward sale commitments
  
0
   
0
   
0
   
0
 

The following table presents estimated fair value of CTBI's financial instruments as of December 31, 2014 and indicates the level within the fair value hierarchy of the valuation techniques.

 
(in thousands)
   
Fair Value Measurements
at December 31, 2014 Using
 
  
Carrying Amount
  
Quoted Prices in Active Markets for Identical Assets
(Level 1)
  
Significant Other Observable Inputs (Level 2)
  
Significant Unobservable Inputs
(Level 3)
 
Financial assets:
        
Cash and cash equivalents
 
$
105,517
  
$
105,517
  
$
0
  
$
0
 
Certificates of deposit in other banks
  
8,197
   
0
   
8,213
   
0
 
Securities available-for-sale
  
640,186
   
25,381
   
614,805
   
0
 
Securities held-to-maturity
  
1,662
   
0
   
1,644
   
0
 
Loans held for sale
  
2,264
   
2,321
   
0
   
0
 
Loans, net
  
2,699,377
   
0
   
0
   
2,691,906
 
Federal Home Loan Bank stock
  
17,927
   
0
   
17,927
   
0
 
Federal Reserve Bank stock
  
4,869
   
0
   
4,869
   
0
 
Accrued interest receivable
  
13,548
   
0
   
13,548
   
0
 
Mortgage servicing rights
  
2,968
   
0
   
0
   
2,968
 
                 
Financial liabilities:
                
Deposits
 
$
2,874,257
  
$
677,626
  
$
2,192,848
  
$
0
 
Repurchase agreements
  
235,186
   
0
   
0
   
235,193
 
Federal funds purchased
  
11,041
   
0
   
11,041
   
0
 
Advances from Federal Home Loan Bank
  
61,170
   
0
   
61,106
   
0
 
Long-term debt
  
61,341
   
0
   
0
   
35,615
 
Accrued interest payable
  
908
   
0
   
908
   
0
 
                 
Unrecognized financial instruments:
                
Letters of credit
 
$
0
  
$
0
  
$
0
  
$
0
 
Commitments to extend credit
  
0
   
0
   
0
   
0
 
Forward sale commitments
  
0
   
0
   
0
   
0